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Council pressed to transfer land today

News Staff Reporter

Published:August 3, 2010, 12:25 PM

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  • Carl Paladino and Larry Quinn during City Hall news conference

Updated: August 3, 2010, 10:46 PM

As the Common Council faces intense pressure from business leaders to approve the transfer of land near the waterfront at a special meeting today, the head of the Council's Community Development Committee criticized what he called "intimidation" tactics and questionable deadlines.

Supporters of the transfer from the city to the Erie Canal Harbor Development Corp. insist the vote is critical to a possible downtown expansion of HSBC Bank USA. If the transfer fails, Larry Quinn, a member of the development corporation's board, said lawmakers who opposed it "shouldn't even be fit to hold public office."

But Delaware Council Member Michael J. LoCurto responded that serious questions remained on whether the HSBC project is an "if come" trial balloon with little chance of materializing. Others have questioned whether the bank would vacate its offices in HSBC Center in favor of a centralized campus near its Atrium building about a block south.

Lawmakers learned only several days ago that HSBC was interested in a few acres of land that make up the so-called Webster Block, currently a parking lot across Washington Street from HSBC's Atrium building and bounded by Washington, Scott, Main and Perry streets.

LoCurto insisted that too many issues remain unresolved for the Council to rush a vote on the transfer. Angered by Quinn's remarks, he noted that no one had elected Quinn to dictate waterfront development.

"Maybe he's not fit to hold that position," LoCurto said. "He comes around and tries to intimidate and browbeat the Council on his timeline."

Earlier Tuesday, Quinn had joined other business leaders and Mayor Byron W. Brown in pushing for the land transfer. At a City Hall news conference, speakers warned that if the Council doesn't approve the measure, Buffalo would be out of the running for a project that would protect thousands of downtown jobs while creating new employment.

The pressure on the lawmakers included a rare joint appearance by Brown and developer Carl P. Paladino in a news conference with business leaders, including the Buffalo Niagara Partnership.

"Everyone knows that the mayor and I have had our differences. But this is not a day for fighting, division or petty politics," said Paladino, one of the mayor's longtime political foes. "This is a day for unity, and I stand with the mayor and demand that the Council act immediately to transfer this land. If they ignore this call, the thousands of jobs lost and the pain and suffering that they will bring will be on their heads, and their heads alone."

Executives of London-based HSBC will begin reviewing site options this week, said Quinn, who criticized some Council members who have been reluctant to approve the land transfer, accusing them of engaging in "petty politics."

"Don't play a game with this one, because this is the real deal. And if you miss it, what a shame -- and you shouldn't even be fit to hold public office," Quinn said at the news conference.

LoCurto said the harsh statements left him unpersuaded.

"It sounds to me like they're trying to build a building on public land for some of their banking buddies," LoCurto said.

HSBC officials have not publicly discussed the need for speedy approval. Monday, they would confirm only that Canal Side is one of numerous sites in Buffalo and elsewhere under consideration as possible expansion sites. One bank official even stated that a final decision is not expected for "some months." The bank also is reportedly looking at suburban sites and has not ruled out remaining in HSBC Center.

Quinn acknowledged that waterfront planners originally voiced a preference for HSBC to stay in the 38-story tower.

"When [HSBC] made it clear to us about a month ago ... that [Canal Side] was the site they want to consider, we moved in that direction," Quinn said.

Brown is forcing the Council to return from summer recess to vote on the land transfer.

Council Majority Leader Richard A. Fontana said he believes he has four of the six votes required to transfer the land. In addition to his support, Fontana said the plan has the backing of North Council Member Joseph Golombek Jr., University Council Member Bonnie E. Russell and Masten Council Member Demone A. Smith. Fontana and Brown said the original proposal has undergone numerous revisions.

The deal still calls for transferring the land in return for a $10 million payment in state funds. Each of the nine Council districts would receive $1 million to improve commercial corridors. An additional $1 million would be earmarked for general purposes.

But Fontana said the amendments will give lawmakers greater say in how the money is spent. Also, the Canal Harbor Development Corp. would consider giving the Council a nonvoting seat on its board.

The plan initially was put forth last month as an alternative to a proposal favored by some Council members that would mandate "living wage" and other requirements for waterfront development.

Fontana said he spoke with an HSBC official this week, who reiterated the "time-sensitive nature" of knowing whether the city will transfer the land to the Erie Canal Harbor Development Corp.

Waterfront planners said an expanded HSBC presence at Canal Side would not alter efforts to lure an anchor tenant for the former site of Memorial Auditorium -- previously reserved for the ill-fated Bass Pro project. Quinn said HSBC is "very much counting" on an anchor tenant as a neighbor if it opts to expand.

bmeyer@buffnews.comnull

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