Geneva council backs CDBG support for Liquid Orchard, discusses BEST microenterprise program

The Geneva City Council on Feb. 3 voted to support a Community Development Block Grant (CDBG) economic development application to help Liquid Orchard locate at the Tech Farm agritech campus and discussed changes and oversight for the city’s microenterprise assistance program now called BEST.

David West, Geneva’s economic development director, told the council the CDBG funds would flow from the federal government through New York State to the city, which would then pass them to the business if the grant is awarded. "They would create 10 to 15 new jobs," West said of Liquid Orchard, which he described as a juice product company that would be a tenant in the new Tech Farm building and would work with Cornell’s center of excellence for food-based startups.

The vote to support the Liquid Orchard application passed 9–0 after a motion by Councilor Neil Brennan and a second from Councilor Gillette. The council earlier amended the agenda to add the public hearing on the grant application.

Why it matters: CDBG economic development grants are federal funds administered through the state and commonly used to buy equipment or otherwise help businesses expand. City staff and council members framed the proposed support as a tool to encourage growth on the Tech Farm campus, keep Cornell-linked startups in Geneva and accelerate occupancy of the new building.

Discussion and clarifications: West and councilors pressed several practical points during the public hearing. He said the city would not be providing Geneva tax dollars directly: "We're not giving them Geneva City tax dollars. We're taking money that would either way be going to other places and keeping it here for a while," West said. When Councilor Lavin asked where the funds originate, West answered, "It's federal money...It goes to New York State."

Councilors also asked about site work and environmental impacts; West said Liquid Orchard would use existing lab and tenant space in the new Tech Farm building and would not undertake new site work that could affect stormwater.

BEST (formerly MAP) microenterprise discussion: The council held a second public hearing and an extended discussion of the microenterprise assistance program, now called BEST. West summarized the program history and how the city runs it with state and federal CDBG funds administered by New York State and administered locally by a review committee.

Key program details provided by staff: - Microenterprise is defined as a business with five or fewer employees. - Historically, awards ranged from about $5,000 to $30,000; in the most recent round staff said they favored larger awards (commonly $30,000 and a second tier around $11,000). - The city awarded approximately $153,000 in the most recent microenterprise round (the MAP program) and plans to apply again under the BEST name. - Program rules require that roughly 50% of funding go to brand-new businesses; other awards may go to existing firms under five employees. - All awards are reimbursement-based, and staff must review receipts to determine allowable expenses; West noted the reimbursement requirement limits some very new firms' ability to participate. - Job-creation requirement: staff said any funded business must document creation of at least one job; awards in excess of $30,000 require two jobs.

Council concerns and staff responses: Several councilors asked about review committee composition, potential favoritism, and council oversight. Councilor Josh Petropoulos asked what would be required for the council to have more oversight and to guard against conflicts of interest. West said past rounds were managed by the LDC and IDA with outside consultants (MRB) and a scoring rubric intended to reduce bias; he recommended a mixed review panel of economic development and community experts and said council could appoint liaisons to the review process. "I think what we're hearing though is there's no pushback on it," West said, but he invited council input on panel makeup and rubric criteria.

Staff said the city now has a grants coordinator, Jennifer Sutton, who West credited with improving administration and speeding rounds. When asked about past gaps in the program, West said the long pause between 2018 and 2022 was attributable to pandemic disruptions and staffing turnover; the 2024 application had been prepared in 2022.

Process limits: Staff repeatedly stressed federal-state program rules set core eligibility and administrative requirements. West said some operational choices — such as adding local criteria to the scoring rubric or placing a council liaison on the review panel — are possible so long as they do not conflict with federal or state requirements.

What’s next: For Liquid Orchard, the city’s support is a step in the application process; if Geneva is awarded the CDBG grant the council would later be asked to pass a formal resolution to accept the funds and authorize execution of grant documents. For BEST, staff said smoother staffing and clearer outreach should increase application volume; the city will prepare the next application consistent with federal and state rules.

Votes at a glance: - Motion to amend the agenda to add a public hearing on proposed housing and related matters: passed (voice/roll call). Second by Councilor Peeler. - Resolution supporting a CDBG grant application for Liquid Orchard (to enable a grant application and potential pass-through to the business): mover Councilor Brennan, second Councilor Gillette; passed 9–0. - (Other routine votes during the meeting are recorded in council minutes and included in the actions list below.)

Ending: Councilors and staff characterized the Liquid Orchard item and the BEST program as economic development tools to encourage local job creation and business growth, while several council members asked staff to return with clearer criteria or liaison arrangements so the council can better understand selection and oversight in future award rounds.