Oneida County votes to back downtown Utica's Nexus Center bonding

The Oneida County Board of Legislators voted unanimously Wednesday afternoon to back bonding that the Aud Authority may acquire to cover the completion costs of the Nexus Center in downtown Utica. 

The Aud Authority sent out requests for proposals in May. 

Oneida County Executive Anthony Picente Jr. presented the board a proposed resolution in March that would allow the county to potentially help the Aud Authority by having the county back any bonds the authority may receive.   

“Today was the first step in getting back to the construction,” Picente said. “It’s one step.” 

More:What's happening with the Nexus Center in downtown Utica?

Lawsuit issues 

The county is in the middle of a lawsuit filed by the contractor working on the Nexus Center. 

Hueber-Breuer of Syracuse, the contractor, is suing the Upper Mohawk Valley Auditorium Authority and Oneida County for at least $10.4 million for work completed on the project. The lawsuit was filed in early October. 

Designed as a 170,000-square-foot building along Whitesboro Street next to the Adirondack Bank Center at Utica Memorial Auditorium, Nexus is slated to be a sports recreation facility primarily used for ice hockey, box lacrosse and soccer.  

It will include locker rooms, commercial office space, retail space, food and beverage services and other multipurpose training spaces.  

Ground was broken at the site in February 2020, though construction halted in May due to the coronavirus pandemic and cash flow issues. 

The county has paid $9.7 million of $18.1 million owed to the contractor on behalf of the Aud Authority, according to the lawsuit. The county was being reimbursed by the state for up to $22 million in payments thanks to a grant through Empire State Development, according to previous reports.

More:Contractor sues Aud Authority, Oneida County over unpaid work on Nexus Center

Looking at the resolution 

Picente’s resolution states the county executive would be authorized to negotiate and develop agreements with the Authority to provide the necessary financial, contractual or other support to complete the Nexus project.  

The resolution further stated the completion costs cannot exceed $63 million. 

Picente said the county is still negotiating with the Aud Authority on the overall agreement and how bond payments will be divided. He expects the particulars to be taken up by the Board at its next meeting in July. 

“You have to have something to start the process,” Picente said. “This starts the process.” 

Hueber-Breuer response 

Picente said the bonding and construction could not restart until the lawsuit with Hueber-Breuer was resolved. 

Andy Breuer, president of Hueber-Breuer, said the company had not seen the resolution, but is hopeful that construction could soon restart. 

“Our understanding is that today the Legislature unanimously passed a resolution to enter into the Project Funding Agreement with the Auditorium Authority. While we have not seen the Resolution nor the details of the Agreement, we are optimistic that today’s action paves the way for the underwriters to proceed with the bond financing. Hueber-Breuer and our team of subcontractors remains optimistic that bond proceeds will soon be available, so that we can roll up our sleeves to re-engage in the construction of the Nexus Center,” he said in an emailed statement.