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Mattress Maker Picks Green Mountain Site

Tammy Daniels

NORTH ADAMS, Mass. — According to reports from The Manchester (Vt.) Journal, a New York bedding company looking for a new home has decided on Vermont.

WCW Inc., a manufacturer of speciality mattresses for the hospitality and medical industries had also been eyeing the former Sprague building in the Hardman Industrial Park. The city was prepared to offer a property tax incentive and declare the site an economic opportunity development area to open up incentives from the state. The City Council was expected to take up the matter at its meeting next week.

Mayor Richard Alcombright said he had spoken with WCW owner John Wilkinson on Monday morning and Wilkinson seemed to be leaning toward Manchester. However, he had received no notice by late afternoon on Wilkinson's decision.

Alcombright said he had been retooling figures to offer a better benefits package. 

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The Hoosick Fall, N.Y., company would have brought 100 jobs and a payroll estimated at $4 million to the city with the potential for growth. WCW had narrowed down its new location to either North Adams or Manchester. It was expected to make a decision early this week.

The Manchester Journal quotes Manchester Select Board Chairman Ivan Beattie as saying, "Clearly, WCW's relocation from New York State to Manchester is proof-positive that the town's tax and development policies and new economic development office are paying dividends."

Wilkinson told the Journal that he expects the company to begin operating "marginally" in the 160,000 square foot building in 30 days and be fully operations in 4 to 5 months. The building, known as the Applejack building, is currently occupied by Applejack Art Partners.

The paper said Gov. Peter Shumlin's office was expected to make an announcement on Tuesday after the state offered to provide an incentive package for the company to move there.

The town's community development office gave "no comment" last week on which site WCW was eyeing; the Manchester Journal speculated it was the Applejack Arts building but gave no further information.

Tags: Hardman Industrial Park, jobs      

City Still Pursuing Bedmaker

Tammy Daniels

WCW Inc., a New York mattress manufacturer, is reportedly negotiating to purchase the former Sprague building in the Hardman Industrial Park.

NORTH ADAMS, Mass. — A mattress manufacturer eyeing sites in the city and Manchester, Vt., is expected to make a decision early next week on where it will move 100 jobs.

The city and state are continuing to work with WCW Inc., a maker of specialty beds for the medical and hospitality industry, despite the company's legal tangle over property taxes in New York State.

"This will be resolved," said Mayor Richard Alcombright on Thursday. "I don't see it in the way of the city moving forward in pursuing this company and these jobs."

WCW and the town of Hoosick and the village of Hoosick Falls have been in a standoff over the valuation of the company's 1 Mechanic St. building purchased in 2006 by its realty arm, JW Realty.

The town accuses WCW of failing to pay $1 million in taxes and reneging on an understanding about a lowered evaluation. Rensselaer County, which is stuck with the bill that WCW hasn't paid, is asking the court to foreclose on the property.

WCW says the assessment wasn't lowered enough to reflect fair market value and the town hasn't been willing to work to resolve the issue. The owners also say the town's claim WCW has a bad "track record" on taxes isn't true and that it's up to date on its three other properties.

There have been accusations between them of tactical delays, failing to file paperwork, outsized assessments, and useless negotiations. The matter has been tied up in court since 2007; the most recent move is the summary foreclosure judgment requested by the county.

Owner John Wilkinson has been mostly silent on the issue, declining to speak to the media despite numerous phone calls. On Thursday, he sent a response to Alcombright addressing the recent news articles and outlining his side of the dispute.

Wilkinson said the company had purchased the property for $400,000 and had an appraisal done that came up with a value of $1.2 million, to which it agreed. The village has valued the property at $13.3 million; the town has set an assessed value of $2 million. (New York has multiple taxing authorities.)

Alcombright, a former banker, said it was not unusual for such a dispute to take four or five years to resolve. But it has raised eyebrows on this side of the border and fears of a fly-by-night business taking advantage of the city.

Alcombright said the letter was in line with what Wilkinson had discussed with he and Michael L. Vedovelli, regional director for the state Office of Business Development. The city and state are crafting an incentive package to induce Wilkinson to choose the Berkshires over the Green Mountains and the deadline is tight for both the public initiative and the private relocation.

"I'm not seeing this as a huge red flag," the mayor said. "To slow down this process because this has been politicized is insane."

WCW is looking to purchase the empty Sprague Electric building in the Hardman Industrial Park owned Curran Memorial Realty Trust. The city would offer a limited property tax discount, estimated at about $175,000 over five years based on the current assessment of $2.2 million. The valuation of the building has been abated several times and is about the half the value from when Sprague was operating there. Its fiscal 2011 taxes were $70,781.

The City Council will have to approve any agreement.

Wilkinson wrote that a final attempt  in June to talk to the town and village was rejected and the failure to achieve a resolution was the determining factor in the decision to relocate.

"At the time WCW/JW Realty determined a new location was essential and would be leaving Hoosick Falls," he wrote.

Tags: Hardman Industrial Park, jobs      

Mattress Maker Facing Foreclosure in N.Y.

Tammy Daniels

WCW has been in a dispute with the town of Hoosick, N.Y., over the value of its property on Mechanic Street. The county has brought foreclosure action against the mattress maker, which is now looking to move its operations.

NORTH ADAMS, Mass. — A New York manufacturer considering relocating to the city is facing foreclosure in Hoosick Falls for failing to pay property taxes.

WCW Inc., a mattress manufacturer, owes Rensselaer County more than $1.4 million in back taxes and penalties dating back more than four years, the Eastwick Press, a local paper covering eastern Rensselaer, reported Friday. The company has been appealing the valuation of its One Mechanic St. property set in 2007 by the town of Hoosick and the village of Hoosick Falls.

North Adams and the state Office of Business Development have been working with the WCW to craft a tax incentive package to encourage owner John Wilkinson to move his operations — and 100 jobs — into the former Sprague Electric building in the Hardman Industrial Park.

Mayor Richard Alcombright said he and state officials were aware of what he described as a "long running dispute" between Wilkinson and Hoosick over assessments.

"He did talk to me about it," Alcombright said when reached Sunday night. "One of the reasons he did want to locate here is because he and the town of Hoosick could not come to an agreement. ... I don't know all the details. [The article] bears out what he told me."

According to Eastwick Press, the company's realty arm, J.W. Realty Co., purchased properties on Mechanic Street in Hoosick Falls for $400,000 in 2006. The purchase was described as "a sale of distress" while the properties were assessed at about $10.4 million; the company filed a grievance, which resulted in the valuation being dropped to $1.74 million (it has since jumped to $2.08 million). WCW apparently balked at that number as well and negotiations between the company and officials failed to resolve the issue.

WCW also owns another site on Route 22 and operates a call center in Bennington, Vt. Wilkinson told Eastwick Press on Wednesday he could not speak to the company's future in Hoosick Falls until next week.

On Wednesday, the North Adams Finance Committee voted to recommend to the City Council a tax incentive that would give WCW property tax breaks over the next five years and designate the Sprague property as an economic development area, allowing the mattress maker to apply for state incentives as well.

Alcombright said he planned to talk further with Wilkinson on Monday about the news reports. However, he was not "overly concerned" about WCW's dispute with Hoosick.

"The fact that he's planning on buying the building, not leasing, tells me his finances are strong and his credit is good," he said. The Sprague building is assessed at $2.2 million and Wilkinson is reportedly in negotiations to buy it. Based on that assessment, the company would get about $177,000 in tax breaks from the city.

The Rensselaer County attorney told Eastwick Press he expects a summary judgement on foreclosure in 30 to 45 days. WCW is looking to relocate all three of its operations by the end of this year, either in North Adams or to another site being looked at in Manchester, Vt.

Tags: Hardman Industrial Park, WCW      

Mattress Company Could Bring 100 Jobs to City

Tammy Daniels

Finance Committee Chairman Michael Bloom and member David Bond endorsed the creation of an economic opportunity area and tax incentive for a company looking to move 100 jobs to the city.

NORTH ADAMS, Mass. — The city is hoping a Hoosick Falls, N.Y., company will make its beds — lots of them — in North Adams. The move could bring at least 100 jobs.

WCW Inc., a family-owned manufacturer of bedding for hospitals and the hospitality industry, is eyeing the former Sprague Electric building in the Hardman Industrial Park. The growing venture wants to consolidate all three of its current facilities into one operation.

The Finance Committee on Wednesday eagerly endorsed a request by Mayor Richard Alcombright to designate the nearly 100,000 square-foot building and property in the industrial park an economic opportunity area and the accompanying five-year special property tax assessment. A resolution and tax incentive will go before the City Council on Aug. 23.

The incentive is part of a package to sweeten the deal over a competing site in Manchester, Vt.

"[Owner] John Wilkinson really likes North Adams, he's made that very clear," said Alcombright, who was knowledgeable about what Vermont was offering. "I looked at the numbers that he had ... we certainly seemed to be very, very competitive; in fact, I think we're more competitive."

The mayor said the condition and size of the building, the city's lower property prices and taxes, significantly lower state workers compensation rates and state tax credits, and McCann Technical School and Massachusetts College of Liberal Arts were all attractors. It also hasn't hurt that Housing and Economic Development Secretary Gregory Bialecki has spoken to the Wilkinsons on the city's behalf.

In a letter of intent to the mayor, WCW President Jeffrey Wilkinson wrote, "this project would involve the purchase of an existing building suitable to allow the relocation of our entire operation and staff. This would involved relocation of approximately 100 jobs with an annual payroll in excess of $4 million."

Local and state officials have been working with the company to bring the deal to fruition over the past six weeks.

"This is by far the most exciting, encouraging thing since ... Mass MoCA," said Councilor Keith Bona.

Michael L. Vedovelli, regional director for the state Office of Business Development, said the City Council's approval will be necessary to wrap up a package including state tax credits by a September deadline for the Economic Assistance Coordinating Council.

"It's viewed as a three-way partnership with all parties coming together," he said, describing the state's package as "aggressive."

Where a TIF, or tax increment financing, agreement allows reductions on capital investments, the STA provides for property tax discounts over the entire value. That's important, said Alcombright, because investment into the building is expected to be small while the assessment on the property is $2.2 million.

WCW mattresses are sold to hospital and hotels — and exported to China.

"The STA will provide, I believe, the incentive we need to have this company locate in North Adams," said the mayor. "Their commitment, on the other hand, is the purchase of the building, capital improvements, corporate growth and expansion of jobs over time."

The STA would would tax the company at 25 percent increments, starting at 0 and ending at 100 percent over the five years.

John Wilkinson has been in the bedding business for some 30 years; WCW was established in 1992 and holds 16 patents for various types of bedding and mattresses. It currently operates an administrative headquarters and a manufacturing facility for sewing, foam cutting and assembly in Hoosick Falls and customer call center in Bennington, Vt.

WCW is looking to relocate before the end of the year and the former Sprague building is "the perfect size" for them, said the mayor. The structure is about 20 years old; it has been vacant for some years but is in good condition. It also has space to the south that would allow for future expansion.

About 80 percent of current jobholders are expected to follow the company; that percentage would decrease as jobs opened for local residents and the company expanded. 

Alcombright and Michael Nuvallie of the Office of Community Development toured the facility last week and were impressed with the operation. In addition to being family owned and an American manufacturer (that exports to China), the company is very green: everything is recycled, it's very clean and it uses nontoxic materials.

"I think everybody in this city is ready for some good news," said Bond. He asked, "is there any way for the council, the community, to communicate with this company and really let them know ... how well received they would be?"

"I think supporting the STA shows how committed you as a council and the city of North Adams are toward this project," said Vedovelli, "and if you're talking about welcome, I think that's a very strong sign."

Tags: Hardman Industrial Park, jobs      
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Voting Registration Deadlines

:: Preliminary Election: Deadline to register is Wednesday, Sept. 7. (Office open from 8 to 8.)
:: General Election: Deadline to register is Tuesday, Oct. 18

Registration can be completed at the city clerk's office at City Hall.

Absentee ballots are now available at the city clerk's office for the Sept. 27 preliminary city election. Voters may come in between the hours of 8 and 4:30 weekdays. Written reguests for mailed ballots can be sent to City Clerk's Office, 10 Main St., North Adams, MA 01247. Deadline for absentee ballots is Monday, Sept. 26, at noon.

The preliminary election will be held Tuesday, Sept. 27, to narrow the field of three mayoral candidates to two. The general election to select nine city councilors and a mayor will be held Tuesday, Nov. 8.


 

City Council

Returned Papers
As of 8/9 at 5 p.m.
 Lisa M. Blackmer* Yes
 Michael Bloom Yes
 Keith Bona* Yes
 David Bond* Yes
 Marie Harpin* Yes
 Alan Marden* Yes
 John Barrett Yes
 Eric R. Buddington Yes
 Nancy P. Bullett Yes
 Robert Cardimino Yes
 Catherine Chaput Yes
 Roland G. Gardner  
 Diane M. Gallese-Parsons  Yes
Shane Gaudreau  
 James B. Gyurasz  Yes
 Michael Hernandez  Yes
 Jennifer Breen Kirsch  Yes
Brian L. Flagg  
 Kellie A. Morrison  Yes
 Greg Roach  Yes
 Gail Kolis Sellers  Yes
18 candidates returned papers
 
 Mayor  
 Richard J. Alcombright*  Yes
 Ronald A. Boucher  Yes
 Robert Martelle  Yes
 Preliminary election will eliminate one
 
 School Committee  
 Mary Lou Accetta* Yes
 Lawrence K. Taft* Yes
 Leonard Giroux Jr.  Yes
 Tara J. Jacobs  Yes
 David Lamarre Yes
   
McCann School Committee  
 George M. Canales Yes

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