O’Mara Speaks Out Against IDA Bill at Albany Press Conference

Assemblyman Tom O’Mara (R,I,C-Big Flats) today joined with Erie County Executive Chris Collins, State Senator Michael Ranzenhofer, and several of his Assembly Republican colleagues at a press conference in Albany to oppose the Hoyt-Thompson Industrial Development Agency “Reform” legislation.

Assemblyman O’Mara argued that the legislation would damage the local economy, prevent a quick economic recovery and kill already scarce employment opportunities.   

            “This legislation would significantly increase our economic development costs,” said O’Mara.  “Currently, IDAs offer low-cost financing and property tax abatements that can save businesses around 15 percent of the total project cost.  By forcing businesses to pay non-competitive wages, this bill increases costs for an IDA project anywhere from 25 to 60 percent, which would basically eliminate any tax savings provided by IDAs.”

            O’Mara also outlined the dilemma of local manufacturing companies that may be forced to leave the state if the Hoyt-Thompson bill passes and noted that IDAs have created or retained thousands of jobs locally in projects like Schweizer/Sikorsky Hawkworks (600 jobs created), Anchor Glass (400 jobs retained), Synthes (340 created), Vulcraft/NUCOR Steel(225 created), DeMets Candy (150 created), General Revenue Corp. (300 created), American Customer Care (100 created) and have helped many other local businesses with incentives necessary to spur investment.

            “This IDA ‘reform’, coupled with recent Empire Zone ‘reform’, will all but kill job creation in New York.  Unfortunately, because of the oppressive taxes and increased costs of doing business here, the state needs these incentives to attract and retain jobs in New York,” remarked O’Mara.  “I wish New York was a more competitive place to do business and we didn’t need this program to attract companies and jobs here, but that is not the case.”     

            “High taxes and fees, onerous regulations and mountains of red tape have already made doing business in upstate New York extremely difficult,” said O’Mara. “The Hoyt-Thompson bill would eviscerate the incentives that IDAs can provide and would make expanding, retaining or attracting new companies and jobs to the state difficult, if not impossible.”

“This bill is bad for economic development in upstate New York and will only hinder the types of innovation and entrepreneurship that is needed to diversify and drive the state’s economy in the right direction. As the recent Wall Street Journal recently reported, while other states are increasing incentives for job creation, New York is doing the opposite,” concluded O’Mara.    

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