BY JIMMY LAWTON
North Country This Week

OGDENSBURG — Ogdensburg’s Land Bank Corporation has made strong progress in cleaning up zombie properties around the city, but money for the work is drying up.

Ogdensburg Land Bank Chair Phil Cosmo, who previously served as the city comptroller, shared the good news with city council at a recent meeting, but said funding for more projects is running short.

Blighted properties that go unsold in Ogdensburg become a costly problem for the city, as taxpayers are forced to make the county and school whole on unpaid taxes.

That is set to change soon, to some degree, as the city is pushing property tax foreclosure jurisdiction to the county, which means the city will no longer assume ownership of unpaid properties, instead the county will.

Aside from the expense, the properties also hurt values of nearby homes and businesses and hinder development.

In 2018 Ogdensburg was successful in forming a Land Bank Corporation to address the problem.

Armed with more than $1 million in state funds, the land bank acquired titles to city-owned surplus properties. The bank then works to make the properties marketable. Sometimes that means rehabbing properties, sometimes that means tearing down structures.

Cosmo said the Land Bank has been widely successful, but as funding dwindles it could quickly lose steam.

Cosmo said the Land Bank received $1.1 million from the state a few years ago as well as $48,000 from the now defunct Habitat for Humanity organization.

“The good news is it’s a lot of money, the bad news is we’ve pretty much spent it all. Not that it’s bad news, but our coffers are getting low.”

Some noted that the bank has sold several side-lots to homeowners and completed three demolitions in 2021 alone.

He also mentioned some successful rehabilitations.

The Land Bank is also working with BOCES by purchasing the student built houses to help reduce costs of construction.

City Council has been largely supportive of the program. Councilor Dan Skamperle and Mayor Jeffrey M. Skelly both offered praise from the program, which they say has made a visible difference in the city.

Cosmo noted that the land bank benefits the city in many ways and was hopeful the council could secure $100,000 to assist with associated costs.

He said the Land Bank system is designed in a way that it will rarely recoup the costs associated with developing properties.

“The land bank was set up with the idea that we won’t break even,” he said.

Cosmo said the city has provided substantial assistance through in-kind help as well as assistance in administrative work.

City Manager Stephen Jellie said the city could likely find a way to grant the Land Banks request. He said it’s something that the Financial Restructuring Board may assist with.

However, Jellie was clear that the Land Bank should also approach the county, given that the county is the new steward of tax delinquent properties in the city.

Jellie has been critical of the fact the county hasn’t committed the $20.9 million in American Rescue Plan Act funds and said the land bank should reach out to see if the county would be willing to assist.

He also expected the county could provide in-kind assistance from the county attorney.

“I think there is a great case to be made,” Jellie said.

John Rishe questioned if the Community Development Block Grants or Community Development Housing Grants could be used for that purpose.

Jellie said it’s possible but added that the housing authority and other programs also rely on those funds.