Syracuse IDA grants waiver to local-access requirement for Northside Genesee foundation work; contractor value about $3.5M

The Syracuse Industrial Development Agency on Sept. 9 approved a waiver to the local-access requirement for the Northside Genesee project’s concrete foundations, slab work and reinforcement, authorizing a contract with Rigoni Foundations valued at approximately $3,500,000.

Project manager Otis DeLuca told the board the project was bid initially to 23 contractors, 16 of which met the local-access requirement and 7 of which did not. After the project stalled for financing and was reissued for price reaffirmation, many contractors declined to re-bid. DeLuca said the second round resulted in five bids, four from local contractors and one from a non-local contractor; Rigoni was the selected contractor for the foundation package.

Staff and contractor representatives explained the procurement context: pricing adjustments from inflation were generally in line with expectations, and several contractors who had expressed initial interest became unavailable because they had taken on other work. Huber Brewer supplied a letter describing that reality in more detail.

Cost and local content: Agency staff and the project team said the foundation package is about $3,500,000, which the project team described as approximately 5.4% of the overall construction cost. IDA staff estimated a typical material share for foundation work at roughly 35–40 percent; staff also noted reinforcing bar (rebar) will be sourced from a supplier outside the local-access area while concrete itself will be purchased from local concrete companies. Staff estimated that having rebar sourced outside the local area would reduce the locally sourced proportion by roughly another 15 percentage points.

The waiver was presented as a targeted exception to allow timely construction to proceed after the limited bidder field and schedule pressures. Board members asked questions about bidder composition, the split between materials and labor, and local participation; staff and the contractor answered those questions on the record.

Board action: A motion to approve the waiver passed by voice vote. Board minutes record the motion, second, and the voice vote in favor.

Voices from the record: Otis DeLuca (project manager) described the bidding history and contractor availability; a representative for Huber Brewer discussed the contractor letter and local procurement efforts; agency staff provided the staff estimate about material share and noted the commitment to prioritize local contractors and vendors where feasible.

Next steps: With the waiver approved, the project team may proceed with the foundation contract and continue work on the Northside Genesee site. Staff said they will continue to monitor local participation in subsequent procurement packages.