Wednesday, July 29, 2009

Erie County Legislature Passes Quality Jobs Resolution

Why is Chris Collins against better wages for working families?
Maybe it's the company he keeps.

While Erie County Executive Chris Collins's reelection committee is raking in thousands of dollars in checks from corporations, he is fighting a bill that would make sure Erie County workers get paychecks they could live on. Tell the County Executive to support working families not just big businesses.

Recently, Erie County Executive Chris Collins drafted a resolution to transfer authority to fund non-profit construction projects from Industrial Development Agencies (IDAs) to the Industrial Land Development Corporation (ILDC). Collins's proposal was an end-run around proposed New York State IDA reforms. Collins's ploy would have enabled the ILDC to provide tax-exempt financing of large non-profit capital construction projects without any accountability, transparency, or quality job standards.

Thankfully, good policy trumped bad politics and the Erie County Legislature wisely voted to attach a prevailing wage requirement to non-profit construction projects on Friday, July 24, during a special legislative session. These requirements ensure that economic development dollars are spent in a way that creates quality jobs for local residents.

The common sense reform measures introduced by members of the legislature are a welcome step toward comprehensive statewide economic development reform.

County Executive Collins is refusing to accept the action taken by the legislative body and claims he will continue to pressure lawmakers until he succeeds at eliminating the prevailing rate requirement.

If you would like to tell your County Legislators and Chris Collins that Erie County voters support Quality Jobs in WNY, you can Take Action RIGHT NOW!

What's At Stake?
...

In 2006 legislation was introduced in Albany to bring about comprehensive reform on New York's over 115 Industrial Development Agencies.

Industrial Development Agencies were created in the late 1960's to encourage the retention and growth of industrial, manufacturing, warehousing, and commercial industries.

Essentially IDAs were charged with retaining and creating jobs by offering property and sales tax breaks to business. IDAs were also empowered to offer tax-exempt financing.

However, IDAs have failed to live up to their mission. They have not created quality jobs in our communities but have squandered precious tax dollars on projects that: would have proceeded without tax breaks; have failed to create any jobs; or pirated jobs from another neighboring community. All too often, well connected developers have received tax breaks with few questions asked and little is done when businesses fail to live up to the promises they make.

We need reform to ensure that we're getting our money's worth. By introducing business standards, accountability measures, and transparency reforms, IDAs could become the strategic investment vehicles they were originally intended to be, and with stimulus money on the way, they could create the good jobs we need now.

Despite the recent mess in Albany, this package of reforms has been advancing. Our New York State Coalition - The Initiative for Development Accountability is hopeful that at its special session this fall, the New York State Legislature will act to pass comprehensive IDA reform.

Why is this important to understand? Because the recent action of Erie County Executive Chris Collins and the Erie County IDA was motivated by a desire to escape the common sense and much needed reforms being proposed in Albany.

For the time being we have defeated the County Executive's attempted end-run around statewide reform, but, as state reform moves forward, Collins will continue to search for loop holes. And, other counties throughout upstate are following his lead.

To learn more about the NYS Initiative for Development Accountability or the Coalition for Economic Justice please call 716.892.5877.

No comments: