Tag: economic development

Apr 30

2024

IDAs have ‘perverse incentive’ to issue tax breaks

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The Erie County IDA earns a majority of its revenue from fees generated by approving subsidy deals. Photo by Garrett Looker. No wonder industrial development agencies across New York State dole out so many tax breaks, watchdog groups say: The more IDAs issue, the more money they make for themselves. That system creates a “perverse incentive,” the groups claim in a new report. “It just creates this horrible incentive where the IDA isn’t working for the public anymore, it’s working for its own self interest,” said Anya Gizis, a researcher at Good Jobs First and one of the report’s authors.[...]

Posted 1 year ago

Apr 25

2024

Feds revoke major permit for STAMP industrial park

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Three spills of drilling fluid into protected wetlands contributed to revocation of permit. The U.S. Fish and Wildlife Service has dealt a major blow to the developers of a massive industrial park in rural Genesee County, notifying them this week that the agency would revoke a key permit needed to construct the park’s wastewater pipeline. That pipeline in recent months has emerged as one of the most controversial components of the 1,250-acre Science, Technology and Advanced Manufacturing Park — STAMP — one of the largest industrial parks under construction in New York. It’s so far generated two lawsuits and its[...]

Posted 1 year ago

Apr 2

2024

Roundup of Buffalo Bills stadium coverage

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Image courtesy of WGRZ. Now seems like a good time to review our reporting on the Bills’ new $1.7 billion stadium, slated to open in 2026. Most of the following stories were reported by J. Dale Shoemaker and Mark Scheer.  Taxpayer subsidies: Subsidies will top $1 billion between construction and maintenance and go well beyond what New York State typically spends on stadiums and arenas or what taxpayers spend in most other states. The lease will not provide Erie County taxpayers with any relief for maintenance and other ongoing stadium costs.  Economic impact: Stadiums typically generate little new economic activity,[...]

Posted 2 years ago

Mar 7

2024

Judge rules in favor of industrial park construction

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The Orleans County County Courthouse in Albion. A judge Thursday tossed out a lawsuit that threatened continued development of a massive industrial park in rural Genesee County. Orleans County had sued in an effort to halt construction of a sewage transmission line through its jurisdiction that would route wastewater from the STAMP industrial park into Oak Orchard Creek. Orleans officials contend the wastewater would pollute the creek and potentially damage the county’s fishing industry.   State Supreme Court Judge Frank Caruso dismissed the case on procedural grounds. He ruled Orleans County waited too long to file suit. The case pitted neighbor[...]

Posted 2 years ago

Jan 30

2024

Tonawanda Senecas to feds: Reject Plug Power loan

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The Tonawanda Seneca Nation is urging the Biden administration to reject a $1.6 billion loan sought by hydrogen producer Plug Power, alleging the company is evading federal environmental reviews at its planned Genesee County facility.  At issue is what Plug Power will spend the money on should the federal government approve its loan application later this year. Company executives have discussed the loan as essential for the company after it filed a statement with the Securities and Exchange Commission in November which stated “substantial doubt that we will have sufficient capital to fund our operations through the next 12 months.”[...]

Posted 2 years ago

Dec 28

2023

J. Dale Shoemaker’s subsidy reporting

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Another year coming to a close. Another 525,600 minutes (almost) expired. As Jonathan Larson asked three decades ago: How do you measure a year? It’s an especially tough question for a reporter like myself who writes about the economy and economic development. There’s any number of metrics — interest rates are up, now steadying; inflation is up, now slowly coming down; wages are up slightly; so is rent — but all of those numbers tend to miss the big picture. Are we in a recession? Or is the economy doing great and we’re just in a “vibe-secession,” caused by our[...]

Posted 2 years ago

Dec 20

2023

IDAs look to dish out housing tax breaks

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This story was produced by Investigative Post and New York Focus and based on interviews with 30 lawmakers, officials, advocates, lawyers and developers, as well as a review of data and historical records. Gov. Kathy Hochul’s push for more housing has been interpreted by industrial development agencies as a green light to ramp up controversial tax breaks for developers. The state’s 107 IDAs have never been explicitly authorized to subsidize housing and some lawmakers say that’s for a reason: Housing creates few permanent jobs compared to the industrial and commercial projects the agencies were designed to support. When IDAs do[...]

Posted 2 years ago

Dec 14

2023

Lawsuit: Radioactive slag at affordable housing project

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A developer claims subcontractors used radioactive slag as construction fill at an affordable housing project just north of Buffalo’s medical campus. Now the developer wants the subcontractors, and the company that sold them the contaminated material, to pay $1.6 million for the cleanup, and other costs. The allegations were made in a lawsuit filed last week in federal court by the Buffalo-based McGuire PV Holdings, LLC. The company is in the midst of a years-long effort to revitalize the Pilgrim Village affordable housing complex, located between Michigan Avenue and Ellicott Street, across the street from Gates Vascular Institute. McGuire claims[...]

Posted 2 years ago
Investigative Post