Tag: economic development

Jan 8

2018

Buffalo Billion emails highlight political giving

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A list of hundreds of emails from a key figure in the Buffalo corruption case underscores the role of campaign contributions in the scandal. Lobbyist Todd Howe repeatedly emailed his clients – including executives at LPCiminelli who are facing charges of bid-rigging – about giving money to Gov. Andrew Cuomo and his then running mate, Lt. Gov. Kathy Hochul. The index of emails, submitted into evidence by defense lawyers at the end of December but withdrawn just days later, includes only their subject lines, not the full text of the messages or the dates they were sent. Still, it offers[...]

Posted 6 years ago

Dec 21

2017

A Buffalo Billion bust in Syracuse

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 Gov. Andrew Cuomo’s original plan to redevelop the former Republic Steel site in South Buffalo included Soraa, a California based company that manufactures high efficiency lights. Soraa and Silevo, a solar panel manufacturer, were going to occupy a factory at Riverbend, built at taxpayer expense under the Buffalo Billion program. SolarCity, owned by Elon Musk, bought out Silevo and the state and Soraa decided to locate the lighting plant in Syracuse. Some $90 million in state funds were spent to build the factory in exchange for a promise of 420 jobs. Like the SolarCity project, the Syracuse plant was ensnared[...]

Posted 6 years ago

Dec 6

2017

LPCiminelli scaling back operations

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LPCiminelli, the embattled construction firm reeling from the indictment of three of its executives, is shuttering half its business. The company is selling off its heavy construction equipment at an auction next week in anticipation of closing its general contracting arm. Rather than building facilities, LPCiminelli will focus on development and construction management. Subscribe to our weekly newsletter delivered Sundays to your inbox. The company has been under siege for three years, since Investigative Post exposed what federal investigators later determined was corruption in the state’s awarding of a contract to LPCiminelli to develop the Tesla solar panel manufacturing plant[...]

Posted 6 years ago

Nov 16

2017

Heaney talks IBM on ‘Pressroom

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Susan Arbetter interviews Jim Heaney on The Capitol Pressroom regarding Investigative Post’s recent story about IBM and the Buffalo Billion. Heaney said taxpayers are not getting a good return for their considerable investment in major Buffalo Billion projects and that IBM has effectively said it’s none of the public’s business how it is using $55 million in subsidies.    

Posted 6 years ago

Nov 13

2017

Zemsky pressed on Buffalo Billion projects

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Howard Zemsky, the state’s economic development czar, told state Assembly members Monday that state officials are pushing IBM to create more high-tech jobs in Buffalo. “The kinds of jobs that we’re going to see at the IBM center are not going to continue to be call center jobs,” Zemsky said. The state pledged $55 million to renovate and equipment the six floors of Key Center’s south tower to lure IBM here on the promise of creating good-paying, high-tech jobs. But, as Investigative Post reported last week, many of the employees at the company’s office downtown work call center jobs for[...]

Posted 6 years ago

Nov 9

2017

IBM another Buffalo Billion letdown

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Bringing IBM to Buffalo was meant to create good-paying jobs and develop a technology hub downtown. Three years ago, Gov. Andrew Cuomo announced that the state would spend $55 million on equipment and office space for the company to set up a “center for cutting-edge software development.” In exchange, IBM and its partners agreed to create 500 jobs over five years. State officials made the point over and over: these would be good-paying, high-tech jobs. But many of the employees in IBM’s Buffalo office, at least so far, are working in low-skilled, relatively low-paying, call center jobs. Most of them[...]

Posted 6 years ago

Oct 11

2017

Heaney talks 43North on ‘Pressroom

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Jim Heaney tells Susan Arbetter of The Capitol Pressroom that out-of-town entrepreneurs who take state money and then leave after just a year remind him of a Steve Miller song … “Take the Money and Run.”    

Posted 7 years ago

Oct 4

2017

Entrepreneurs take state grants and flee WNY

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Cory Rosenfield knew the deal: in exchange for up to a $1 million state investment in his fledgling company, he would have to move the business to Buffalo for at least a year – and hopefully much longer. So, when he made his pitch to the judges of the 43North competition two years ago, he assured them this wouldn’t be a problem. “We are so excited to be making our new home in Buffalo,” he said. “We are here to stay no matter what.” Just over a year later, the company had gone back to Toronto – despite winning $250,000.[...]

Posted 7 years ago
Investigative Post

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