The biggest taker in WNY isn’t willing to give back to his employees and is lobbying against the Martins Prevailing Wage Bill:
Below is a request from Brian McMahon from the NYS Economic Development Council that all our friends contact the elected officials indicated below and ask that the Martins Prevailing Wage Bill (S7861/A10141) NOT MOVE.
Legislation (S7861/A10141) is pending before the New York Senate and Assembly Labor Committee, which would mandate the payment of prevailing wages in connection with industrial development agency and local development corporation projects as well as require prevailing wages on Historic Tax Credit (HTC), Brownfield Cleanup Program (BCP), or any other tax credit program that reduces or forgives a state tax. If passed, this legislation will stifle new investment and job creation and have disastrous consequences for industrial development agencies, private developers and broader economic development in New York State as a whole.
Industrial development agencies currently serve a vital role in locally driven economic development, providing much needed low-interest financing and tax abatements to reduce the high costs of doing business in New York State. This legislation will limit the role of industrial development agencies, by requiring artificially high wages, stripping industrial development agencies of their full potential to encourage investment and job creation. Similarly, this legislation will also strip away benefits accruing through such valuable tax credit programs, like the HTC and BCP tax credit programs, artificially increasing construction costs relating to such projects and taking away the real “teeth” industrial development agencies and New York State tax credit programs utilize to “bite” into the high costs of doing business in New York State.
By artificially increasing construction costs via a prevailing wage mandate affecting industrial development agencies and New York State tax credit programs, it is more than likely that investors and job creators will look outside of the state for better economic pastures, a fact evidenced by data showing that over forty (40) counties in Upstate New York have lost population since 2010. This legislation will only encourage this de-population trend and cause business to invest and create jobs in competing states.