Tag: economic development

Mar 26

2017

State of Subsidies

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This is the first part of a series that runs through Thursday. The full lineup of stories, columns and radio interviews can be found here » Gov. Andrew Cuomo has sunk a lot of taxpayer money – $25 billion by his estimate – into recharging upstate’s moribund economy. The governor has increased spending on subsidy programs to record levels, launched bold policy initiatives and crisscrossed upstate to announced projects he has frequently described as “game-changers.” “Economic success is shared all across the state. It’s not just New York City that’s doing well, it’s the entire state,” the governor declared in his[...]

Posted 8 years ago

Jan 9

2017

Heaney weighs in on Buffalo Billion II

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WGRZ News Anchor Maryalice Demler interviewed Editor Jim Heaney hours after Gov. Andrew Cuomo unveiled a broad outline of a $500 million extension of his Buffalo Billion program. You can catch Heaney’s comments in the video below or in the slightly revised text that follows. Heaney also provided analysis to WBFO. What do you find striking in the governor’s proposal? It’s very short on spending details. There’s no talk of reforms to avoid the corruption we’ve seen so far in the programs. But more than that, a lot of the spending has little or nothing to do with economic development. I[...]

Posted 8 years ago

Nov 15

2016

Second Buffalo Billion deal benefits Ciminelli

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U.S. Attorney Preet Bharara says the way LPCiminelli won the contract to build the SolarCity factory in Buffalo was criminal. The deal-making behind another Buffalo Billion project that LPCiminelli had previously landed, to build space for biotech company Albany Molecular Research Inc., bears some striking similarities to the way the company won the SolarCity work, Investigative Post has found. In both cases, for example, lobbyist Todd Howe worked for LPCiminelli and the state-affiliated economic development agency that managed Buffalo Billion projects and chose which companies would win contracts. Howe has pled guilty to federal corruption charges and is cooperating with[...]

Posted 8 years ago

Nov 9

2016

Tainted contract nets LPCiminelli $20 million

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Federal prosecutors say top executives at LPCiminelli went to great lengths to ensure they would win the lucrative contract to build a factory for SolarCity at Riverbend. Just how lucrative? State officials refuse to say how much the company is being paid. But Investigative Post has calculated, based on interviews and public records, that LPCiminelli’s fee for the project works out to between $20 million and $22 million. That’s one of the largest developer fees paid out in the region in recent years, because of the sheer size of the project, according to construction industry sources. Three LPCiminelli executives, including[...]

Posted 8 years ago

Oct 11

2016

‘Billion mastermind Kaloyeros resigns

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The fall from grace is just about complete for Alain Kaloyeros. The so-called “nano-tech guru” who Gov. Andrew Cuomo has praised as a “near genius” has resigned as CEO of SUNY Polytechnic Institute. His success building a nano-technology sector in the Albany area prompted Cuomo to put Kaloyeros in charge of his initiative to revitalize the upstate economy through a series a big-ticket projects in Buffalo, Dunkirk, Rochester, Syracuse and Utica. But reporting by Investigative Post into the awarding of a lucrative contract to LPCiminelli to build a factory for SolarCity triggered investigations by U.S. Attorney Preet Bharara and State Attorney General Eric[...]

Posted 9 years ago

Sep 23

2016

Double talk from Cuomo on ‘Billion indictments

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Gov. Andrew Cuomo obviously believes the best defense is a good offense. The governor came to town Friday, fresh off the indictment of three of his close associates and two of his major campaign contributors and attempted to claim victory. He told a gathering at the Albright-Knox Art Gallery that Buffalo is booming and announced a second phase of the Buffalo Billion program is coming as soon as Howard Zemsky figures out what it should involve. In short, Cuomo tried to change the topic. Only after his remarks before a sympathetic audience at the art gallery did he address the[...]

Posted 9 years ago

Sep 22

2016

More dubious Buffalo Billion dealings

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Editor’s note: This story has been updated to reflect new developments as of Sept. 22, 2016.  The close relationship between EYP Architecture and Engineering and (currently suspended) SUNY Polytechnic President Alain Kaloyeros was further described by state attorney general Eric Schneiderman in a complaint unsealed today. State investigators allege that EYP, referred to as “Architect-1” throughout the complaint, was described as SUNY Poly’s “in-house architect” by a former employee of Columbia development, whose president has been charged with collaborating with Kaloyeros to rig bids for a project to build SUNY Poly housing. The employee told investigators that EYP had been involved[...]

Posted 9 years ago

Sep 19

2016

SUNY Poly plays by the rules — or, guidelines

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Editor’s note: A version of this story published Sunday in the Times Union of Albany. Two state-affiliated development corporations at the center of a federal corruption probe operated for years without rules commonly used by government agencies to promote competition, discourage favoritism and get the best deal for taxpayers when choosing companies to do business with. As a result, they’ve used unusually loose procurement policies to select developers for multimillion dollar projects, an Investigative Post analysis shows. Some of their contract awards – often to Gov. Andrew Cuomo’s major campaign donors – are now being investigated by state and federal[...]

Posted 9 years ago
Investigative Post