Tag: Subsidies

Mar 20

2023

Moog seeking 14th tax subsidy from IDA

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 Moog Inc., one of Western New York’s largest employers, is a highly profitable company, netting $155 million last year alone. That’s partly due to the billions in federal defense contracts it’s landed over the past decade. Yet time and time again — 13 times since 1973 — Moog has gone before the Erie County Industrial Development Agency seeking — and receiving — millions in tax breaks. It’s received nearly $10 million in subsidies since 2006. The company is headed back to the IDA on Wednesday asking for a 14th round of subsidies. Moog’s request for $2.9 million in sales[...]

Posted 1 year ago

Feb 14

2023

IDA subsidizing more market-rate housing

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Under normal circumstances, market-rate housing is supposed to conform to the forces of the free market: A developer buys a piece of land, builds housing, and sells or rents it for a price that recoups their costs and turns a profit. But in Niagara County, the Industrial Development Agency is poised to subsidize two market-rate apartment complexes — a total of 90 units — to the tune of $3.9 million. In one project, the proposed IDA subsidy would cover 22 percent of the building costs. That project would create zero jobs. In the other, the subsidies would cover 44 percent[...]

Posted 1 year ago

Feb 9

2023

Podcast: Sen. Sean Ryan discusses IDA reform

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Throughout the State of New York, industrial development agencies give out tax breaks to companies in order to bring and expand operations to local communities. From entities as large as Amazon to as small as an A&W restaurant, these deals usually involve companies paying reduced property and sales taxes over an extended period of time. But, as Investigative Post’s J. Dale Shoemaker has reported, those deals can have expensive consequences for the community; including its children. Those expensive consequences include nearly $2 billion drained from public schools each year throughout the state. New York State Senator Sean Ryan believes these[...]

Posted 1 year ago

Feb 9

2023

Niagara IDA ups its subsidies for fast food eateries

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The Niagara County Industrial Development Agency on Wednesday doubled down on two projects its leaders claim will convince tourists to spend their vacation dollars in Niagara Falls rather than across the border. Those projects? Two fast food restaurants, a Moe’s Southwest Grill and an A&W. The IDA had previously signaled it would offer tax subsidies to those projects — a total of $172,000 in property and sales tax breaks — and made those offers official at its monthly meeting Wednesday morning. That alone drew the ire of local politicians, namely state Sen. Sean Ryan, who’s pledged to reform IDAs across[...]

Posted 1 year ago

Feb 8

2023

Report: Tax breaks costing schools big money

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Public schools across the state are losing out on close to $2 billion a year — and probably a whole lot more — because of tax breaks given to corporations by economic development agencies. That’s among the conclusions of a study released today by Good Jobs First, a national research group that tracks economic development subsidies. The report said tax breaks affecting schools in New York far outpace those in other states. That lost revenue has prompted state lawmakers, including Sen. Sean Ryan, to propose legislation that would prohibit economic development agencies from abating property and sales taxes that are[...]

Posted 1 year ago

Jan 31

2023

Heaney discusses Tesla on ‘Pressroom

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Jim Heaney spoke this week with David Lombardo on The Capital Pressroom about Investigative Post’s recent reporting on the Tesla plant in South Buffalo and tax subsidies issued to fast-food restaurants in Niagara Falls. Both stories were reported by J. Dale Shoemaker. The Tesla story documented the failure of that $1 billion project to live up to its potential. Dale’s IDA reporting has prompted legislation intended to address what critics say is an abuse of the IDA law. Capitol Pressroom is broadcast weekdays on about 20 NPR stations across upstate. It airs on WBFO at 8 p.m. Monday through Friday and[...]

Posted 1 year ago

Jan 27

2023

Bills target alleged abuses by IDAs

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State lawmakers plan to introduce legislation this spring that would close a loophole that allows industrial development agencies to grant tax breaks to restaurants and other retail businesses — thanks in part to what they perceive as abuses in Niagara County. The state banned tax breaks for retail projects, including restaurants, a decade ago. But they left in exceptions for tourism projects and retail establishments in so-called “distressed areas” with high poverty and high unemployment. The new proposed legislation is sponsored by Sen. Sean Ryan, the newly-appointed chairman of the Commerce, Economic Development, and Small Business Committee, and Assemblyman Jonathan[...]

Posted 1 year ago

Jan 23

2023

Another subsidized tenant for STAMP

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A remote industrial park in Genesee County will soon have its second tenant: Edwards Vacuum, a company that manufactures equipment used in the semiconductor industry. But luring Edwards Vacuum, a British company, to the Science, Technology and Advanced Manufacturing Park, or STAMP, has come at a cost: $39.2 million in taxpayer subsidies. That’s in exchange for 600 jobs over the next decade, with 343 being hired in the next three years. And that’s just the beginning. In addition to $22 million in subsidies from Empire State Development, New York’s economic development arm, and $17.2 million in property and sales tax[...]

Posted 1 year ago
Investigative Post

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