BY JASON SUBIK
The Leader Herald
JOHNSTOWN – FMCC’s nonprofit arm, the Fulmont College Association, has put its three now vacant Campus View Apartment dormitories up for sale, priced at the property’s estimated value of $ 1.8 million.
Fulton-Montgomery Community College president, Greg Truckenmiller, who also serves as chairman of the FCA, briefed the college’s board of trustees during its meeting on Thursday.
âWe have re-listed the property, so in the summer we have the [New York state] The Office of the Attorney General‘s Bureau of Charities and the U.S. Department of Agriculture to make sure everyone on board was on the same page as to how to market the property, who to track and what to make sure the process is smooth once we have a sales contract have in hand “, said Truckenmiller.
The FCA’s previous attempt to sell the buildings earlier this year didn’t go off without a hitch.
The property’s repositioning follows a failed attempt to sell the buildings to Amsterdam-based Dan Vann Properties LLC – owned by former Amsterdam Common Council member Dan Roth – for $ 1.1 million in April.
Established in 1966 as a not-for-profit arm of the FMCC, the FCA is charged with performing functions that the college is prohibited by its state charter, such as direct ownership of dormitories, running college bookstores, and providing food services.
As a nonprofit, the FCA needed court system approval to sell its assets, but its court motion to sell the buildings to Roth was withdrawn after being challenged on her behalf by attorney Teresa Monroe of the Monroe law firm in Albany on her behalf for client Bianca Alicea from Amsterdam, Nursing student at FMCC since 2017, and the owner of rental units, William Petrosino from Amsterdam.
Denying suspected fraud and fatally flawed process in court, Monroe attacks the FCA’s approval request on a number of reasons, including the fact that the unnamed only real estate agent for the deal was former FMCC board chairman Michael Sampone, who was in charge of the Pyramid Brokerage Company of. worked Albania. Monroe stated in their legal challenge that Sampone and Pyramid had challenged the multiple listing service Sampone and Pyramid had used to market the property “doesn’t really seem to exist.” She also questioned a highly unusual provision in the sales agreement with Pyramid that said the agent would be paid a fee of $ 77,000 whether or not the court approved the sale to Dan Vann Properties.
Ultimately, the FCA withdrew its court motion after the U.S. Attorney’s Office for the Northern Borough of New York filed notice with the Fulton County Supreme Court that it would see Assistant Attorney John D. Hoggan Jr. attend a court conference on the proposed The matter would be posted for April 30th.
The controversial sale of the dormitory rooms was hampered by several factors. The FCA needed USDA officials to sign the sale because that federal agency loaned the FCA $ 11.3 million from the USDA in 2010 to purchase and renovate the 1980s Fulton Hall and Montgomery Hall dorm buildings Company she owned for $ 4 million, then built the 144-bed Raider Hall dorm for $ 7.1 million in 2012.
The purpose of building the FMCC dormitories was to attract more in-country and international students paying double tuition to college. Although initially successful, the plan failed after President Donald Trump’s administration began to introduce new restrictions on student visas, which helped increase the number of international students at the FMCC from 160 in 2016 to 47 by the 2020-21 school year reduce what cost the college at least $ 1.3 million in annual tuition income and hundreds of thousands of dollars in rent for the FCA’s buildings, crippling companies’ ability to make their annual debt service payments of $ 770,000 to the USDA.
According to the FCA’s 990 nonprofit tax forms filed with the Internal Revenue Service and posted on the irs.gov website, the program revenue generated by the Campus View Apartments fell significantly in the 2015-16 school year when it reached $ 2.3 million were $ 1.8 million for the 2017/18 school year and then to $ 1.3 million for the 2018/19 school year. In the 2019/20 school year, the dormitories were completely closed due to the coronavirus pandemic.
However, the FCA’s 990 forms filed with the IRS are incomplete due to missing the 2016-17 school year. The 990 forms available show that the FCA has had expenses in excess of revenue every year since the 2014-15 school year when it lost $ 119,000. For the 2015-16 school year, it lost $ 189,648. Although the 2016-17 990 is missing, the “Previous year” Information in the FCA’s 990 form for 2017-18 shows that the FCA lost a whopping $ 509,015 in the 2016-17 school year, losses then dropped to $ 70,947 for the 2017-18 school year, but then back to 760,178 US dollars for school rose in 2018-19 year.
During the FCA’s first attempt to sell the dormitories, it argued in its court action that the lack of revenue from the dormitory buildings combined with the huge annual debt servicing payments to the USDA combined threatened the FCA’s solvency.
Since what he’s the. called “Soap opera” of the first attempt at selling, Truckenmiller said the FCA refused to pay Pyramid Brokerage Company the $ 77,000 fee criticized by Monroe, but the company has stuck to Pyramid Brokerage to try to sell the property again, only this time without Sampone as a broker, he was replaced by Peter W. Struzzi, the main real estate agent of the Pyramid Brokerage Company.
In her lawsuit challenging the first attempt to sell the property, Monroe alleged that an affidavit by Struzzi filed as part of the FCA’s court motion was false because Struzzi claimed the property was not through existing list has been listed “Fulton County Multiple Listing Service.”
According to the property’s new listing available on pyramidbrokerage.com, the property includes 4.5 acres of land in the city of Johnstown on County Route 142 and the three buildings – Fulton Hall, Montgomery Hall, and the 144-bed co- Ed Raider Hall – covering an area of ââ74,740 square feet. The publication encourages prospective buyers to contact Struzzi at 518-489-9199 ext 111 or email [email protected]
“The listing is live and will be available for approximately 30 days.” Truckenmiller announced to the FMCC board of trustees on Thursday. “I had a debriefing with our broker a few days ago and they see some activity and interest and send information to people who are interested.”
Truckenmiller said the FCA will continue to play an important role in the college after the dormitories are sold.
“You remain the tax representative of the student senate, you are our contractor with our bookstore and with our catering.” he said.