The Dunkirk Common Council has scheduled a special meeting for Monday at 5 p.m. to reconsider a resolution that was tabled at Tuesday's meeting.
Resolution 70-2013 would have authorized the city to enter into a landlord consent agreement to help with the financing of the project. Chadwick Bay Marina LLC owner Jeff Gambino would have obtained financing from Loeb Term Solutions LLC and the Chicago-based firm wanted the city to create a security interest for Loeb in the event of a lease default by Chadwick Bay Marina Holding Inc. The new financing would have allowed Gambino to buy Pucci out of the marina and proposed restaurant-type facility.
The resolution would have directed Mayor Anthony J. Dolce to make a deal that would have provided Loeb with security interest in certain collateral prior to the city's interest and notify Loeb in writing at least 30 days prior to commencing any proceedings to terminate the lease. In addition, 70-2013 stated Loeb would be notified if Chadwick lease payments were not received on time and, to the city's knowledge, Chadwick is not in default under the current lease. Loeb would also have the ability to enter the premises to deal with the collateral in the event of a default.
Councilwoman-at-Large Councilwoman-at-Large Stephanie Kiyak called for the meeting and she was asked if she thought the resolution would pass this time.
"I can't go into the heads of my other council members but I would believe that between Tuesday and Monday evening, whatever questions are still lingering will be answered and when it goes up for a vote it will probably pass, but that's all I can say," she replied. "I believe there's a very good chance it's going to pass.
"As far as I'm concerned the project is still going on. This resolution didn't really have anything to do with the project per se, it had to do with the fact they were seeking additional funding from another lender and they were seeking our approval. The mayor needed to sign off on the collateral listing so that Jeff would be able to go with this lender.
"That's really what's before us with this resolution. Whatever other questions may come up, that's separate from this issue. As far as I know the project has never been put at risk. This is a totally separate issue."
Kiyak added council is aware there are two separate issues involved.
"To my understanding this issue is concerning him wanting to pay off Mike and it had nothing to do with Jeff's plans to go ahead," she added. "He dropped his plans off, the next step is going before the planning board in a couple of weeks. It's on their agenda so things are moving along on the marina."
For his part, Dolce said he has had no indication from council whether the resolution will pass Monday.
"I'm curious to see what's going to be brought up then that wasn't already brought up or discussed or what's new that couldn't have been done prior to Tuesday's meeting," he added.
Part of the immediate concern was the lender's reaction to the council tabling the resolution. Dolce said Gambino told him Wednesday that he has talked again with the proposed lenders and he will get back in touch with Dolce.
"I'm hoping that the reason the meeting was called was to get this done Monday. What transpires between now and Monday that would be any different from what took place between last Thursday and Tuesday remains to be seen," the mayor added.
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