VanDuzee warehouse blaze costs $580,000 in cleanup expenses

Sept. 27--Tweet

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WATERTOWN -- A $750,000 payment from the city's insurance carrier is more than enough money to pay for expenses associated with the cleanup of the Election Day fire that destroyed most of the old state Department of Transportation barns on VanDuzee Street last November.

Continental Casualty Insurance, Chicago, handed over the $750,000 check to the city in July after initially disputing and then settling the claim for the property at 424 VanDuzee St., according to paperwork obtained by The Watertown Daily Times.

The $750,000 payment exceeded the nearly $580,000 in expenses that the city incurred for the cleanup of the debris from the fire and to pay overtime for firefighters, Comptroller James E. Mills said. Initially, city officials projected the cleanup would cost about $800,000.

The Nov. 3, 2015 fire remains unsolved. Police were never able to say what or who caused the massive blaze that destroyed the vacant warehouses. Investigators determined someone started the fire that destroyed most of the city-owned barns, but whether it was intentionally or accidentally set remains unknown.

The expenses include $358,691 to Independent Commercial Contractors to clean up and haul away debris from the fire; $160,000,282 in tipping fees paid to the Development Authority of the North Country for accepting the debris at the Rodman landfill; $31,403 to GYMO Architecture, Engineering and Land Surveying for environmental services and about $30,000 in overtime costs.

The Times was forced to file an official Freedom of Information Act request to the city because the insurance company required that the information be released to news media only through that means, city officials said.

Continental Casualty officials did not return a reporter's phone calls on Monday.

The city had a $1 million insurance policy to cover loss or damage to the property and $250,000 in "errors and omissions" policy, according to the documents.

Earlier this month, Jacob S. "Jake" Johnson, who owns the only remaining building still standing at the VanDuzee Street site, offered to purchase the 9.5-acre site from the city for $100,000, so he could build a brewery and brew pub there.

Council members rejected the offer, saying that the property is worth nearly three times that much. The property is currently assessed at $287,500, according to the city assessor's website.

Mayor Joseph M. Butler said Monday he sent Mr. Johnson a letter rejecting the offer, but he indicated the city was willing "to continue to talk" to him about his proposal. City officials, however, are requiring specifics and more details about the project, the mayor said.

Councilman Stephen A. Jennings would like the city to look at other possible development for the property, adding he would like it included in the city's Local Waterfront Revitalization Plan for the Black River.

"It's the best property along the river in the city," he said.

City Manager Sharon A. Addison noted the state Department of Environmental Conservation owns the fishing access along the river at the site. The city would like to use that strip of land for trail access, she said.

More than 100 firefighters fought the Election Day blaze on Nov. 3 for hours at the scene of the sprawling property, once a series of interconnected warehouse buildings. Within a few weeks, the site was cleared and the debris hauled away.

Mr. Johnson, who owns Jake's Garden Center on outer Washington Street and a lawn care and landscaping business, couldn't be reached for comment on Monday.

For years, teens and homeless people were known to get inside the deteriorating buildings.

In the months leading up to the fire, City Council mulled the fate of those buildings. The city took ownership of the complex through back taxes in 2015. Council members were considering demolishing them and possibly redeveloping the site.

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