Lancaster IDA Information

[gorja]

Originally posted by shortstuff:
does this make sense? Is this about 200 million dollars?

No, no, no.

County prop tax, town prop tax and school prop tax exemptions-
$3,778,813.

Minus
County PILOTS, town PILOTS and school PILOTS-
$1,979,013

= $1,799,800

[4248]

That's project amount, not taxes abated.

Help us out here Theo -
how much would have been collected or how much was Exempted?

On $3,778,813.00

[therising]

Help us out here Theo -
how much would have been collected or how much was Exempted?

On $3,778,813.00

Sorry for clarifying the $20 Million thing, sir. As for your grin ,and your question - the answer doesn't really matter --- you just wanted to point out, that, although i was correct, there's still a story here.

So, whatever....

[4248]

Sorry for clarifying the $20 Million thing, sir. As for your grin ,and your question - the answer doesn't really matter --- you just wanted to point out, that, although i was correct, there's still a story here.

So, whatever....

Theo,
As usual your correct - sort of and I appreciate when you stated,
"you just wanted to point out, that, although i was correct, there's still a story here."

Yes, you are helping prove the point - numbers and statistics are ever changing due to many reasons - the one constant in this whole IDA-Town Hall saga is Lancaster isn't collecting as much taxes from commercial and private ventures as they should. From those who can afford it, while those who can least afford it are forced to subsidize those who are exempt - Our Town Government enables and creates that.

Thanks

[KevinL]

Attended LIDA meeting today at 4PM. One of the board members mentioned that Lancaster Airport will have a new application request for an IDA to cover a new $600,000.00 10 Bay in near future. Only preliminary at this time. I hope LIDA Board members do their homework this time around and vote "NO" to IDA application. Let's see if they make the right decision this time around. IDA's for airport does not benefit town in any way, period!

[ichingtheory]

Attended LIDA meeting today at 4PM. One of the board members mentioned that Lancaster Airport will have a new application request for an IDA to cover a new $600,000.00 10 Bay in near future. Only preliminary at this time. I hope LIDA Board members do their homework this time around and vote "NO" to IDA application. Let's see if they make the right decision this time around. IDA's for airport does not benefit town in any way, period!

This should be interesting. I guarantee there will be MANY upset residents if they do get another IDA.

[Lee Chowaniec]

Attended LIDA meeting today at 4PM. One of the board members mentioned that Lancaster Airport will have a new application request for an IDA to cover a new $600,000.00 10 Bay in near future. Only preliminary at this time. I hope LIDA Board members do their homework this time around and vote "NO" to IDA application. Let's see if they make the right decision this time around. IDA's for airport does not benefit town in any way, period!

I wa at the same meeting and heard the same thing. What I also heard is LIDA members talking about justifying IDA grants, handing out money only to keep businesses from moving from the town or helping businesses recover/stay afloat during the hard economic times and to keep the jobs in play that could be lost.

The airport is not going anywhere, it is a private entity serving the public and when applying for and receiving three prior IDA's listed on its application that there would be no job creations and the IDA's purpose was to provide cheap hangar space and cheap gas.

That is reason enough to deny an IDA that will have taxpayers foot the bill. Add to the fact that the federal and state governments will be providing aid to build the hangar adds more reason to deny the IDA. And, if all that is not reason enough, where will the state money come from as Patterson has put a freeze on all such expenditures.

What a slap in the face to taxpayers should this project go through. Is there no shame anymore. Isn't there anyone in government that gives a crap about the taxpayer anymore?

[shortstuff]

of the airport receiving another IDA. They are not going anywhere and with state and federal monies coming out of our pockets, I have a plan.

Everyone write your letter to:

Mr. Bob Giza, Supervisor
21 Central Avenue
Lancaster, NY 14086

Address your letter stating you do not wish for the Lancaster-Buffalo Airport to receive another IDA. The town resident's have enough on their plate, and we do not wish to subsidize another IDA to the Lancaster Airport.

Sincerely,
Overburdened Taxpayer

[ichingtheory]

of the airport receiving another IDA. They are not going anywhere and with state and federal monies coming out of our pockets, I have a plan.

Everyone write your letter to:

Mr. Bob Giza, Supervisor
21 Central Avenue
Lancaster, NY 14086

Address your letter stating you do not wish for the Lancaster-Buffalo Airport to receive another IDA. The town resident's have enough on their plate, and we do not wish to subsidize another IDA to the Lancaster Airport.

Sincerely,
Overburdened Taxpayer

Good idea but I have to wonder if Bob will take residents advice. I am not sure about other LIDA members but willing to bet Bob's vote will be "YES". We can only hope they make the right decision this time around.

[ichingtheory]

I wa at the same meeting and heard the same thing. What I also heard is LIDA members talking about justifying IDA grants, handing out money only to keep businesses from moving from the town or helping businesses recover/stay afloat during the hard economic times and to keep the jobs in play that could be lost.

The airport is not going anywhere, it is a private entity serving the public and when applying for and receiving three prior IDA's listed on its application that there would be no job creations and the IDA's purpose was to provide cheap hangar space and cheap gas.

That is reason enough to deny an IDA that will have taxpayers foot the bill. Add to the fact that the federal and state governments will be providing aid to build the hangar adds more reason to deny the IDA. And, if all that is not reason enough, where will the state money come from as Patterson has put a freeze on all such expenditures.

What a slap in the face to taxpayers should this project go through. Is there no shame anymore. Isn't there anyone in government that gives a crap about the taxpayer anymore?

Regarding freeze on expenditures:
I plan on contacting Patterson's Office in attempt to find out if he included state money for NYS airport projects.

[Lee Chowaniec]

Lancaster IDA meeting – January 4, 2010

At the recent Lancaster Industrial Development (LIDA) Agency, members spoke on being in contact with several businesses that needed financial help in growing their operations. One of the parties was interested in the 3949 Walden Avenue Colecraft Building. LIDA Chair and Town Supervisor Robert Giza voiced that the Town Board is looking at using that building as a police station.

It was stated that Lancaster Airport Inc. had contacted the LIDA on applying for another IDA for the construction of a $600,000 ten bay hangar. “That would be the last of the airport expansion, so he wants an IDA on it. So, that one will be one that will be coming up in the near future.”*

Consultant J. Ray Barnhardt spoke on an application from Poly Fusion for PILOT (payment-in-lieu-of-taxes) consideration. It would be a special PILOT. He related meeting with Poly Fusion in March of 2009 when the manufacturing company was doing well. “We got them a $21,500 training grant from ECC. They still have some problems but are coming back and keeping their employment status quo, so we have recommended something to keep them over the hump.”

Barnhardt continued, “With new business coming in, we are considering a five (5) year PILOT at 50%. That is a special PILOT. We gave Brill a 50% PILOT and it decreased by 10% each year. It did include land in the property tax abatement which is something we normally don’t do.**There will be a Public Hearing on the matter on February 18th.”

LIDA Chair Giza declared that it was his understanding that the manufacturer had a lot of orders that they could not fill. It was noted that the company was in business for 35 years, 22 years in Lancaster, and had received a previous IDA. It was affirmed that the company employees 36 individuals and has a payroll of $1.2 million.

Barnhardt declared that the IDA should stipulate that the 36 jobs be maintained over the life of the IDA and that some employee growth take place. Chair Giza voiced that he hoped the business would be expanding in five to six years. “We don’t want to see you leave.”

The applicant declared that he hoped to have a staff of 40 by the completion of the IDA. “We have a payroll of $1.2 million. A lot of our business comes from outside our county. Our property tax is currently $28,000, so 50% would work.”***

Barnhardt stated that the only negative is that other companies will see this type of thing without major expansion taking place. “We have to work this out so that we are retaining jobs.”

“There is no claw-back feature,” cautioned Chair Giza. It was agreed that the 36 jobs must be maintained and jobs created in the future using a sliding scale.”

Another member (?) interjected with, “We are saving them (applicant) $50,000 to protect a $1.2 million payroll. What is there to talk about? Do the math!”

He was told that the process needed to take place and that the IDA should be conditioned on that 36 jobs will be saved and some saved over the life of the PILOT, and that if the applicant didn’t comply they go back paying property taxes as they had been.

It was again mentioned that saving 36 jobs**** was the tie in and that as manufacturing jobs, they were good paying jobs.

Comments

*End of airport expansion? Meaning what?

** Residents have been told by the Town Assessor that IDA’s are never granted on the land.

*** The total PILOT savings would amount to $50,000 to $60,000 over the five-year IDA life; not much considering the company is $1.8 in the red)

**** Are we saving jobs or is there a company cash flow problem the Town is trying to help resolve?

IDA memo to Town Board

According to a memo put out by the Lancaster Industrial Development Agency (LIDA), the agency had a good year considering the condition of the national and state economy. “The basis of the growth was brought about by existing companies expanding their operation in the Town and their ability to induce new companies to build new or purchase existing plants in Lancaster. The bad news for the Town is that we lost companies. Bauer Radiator was sold and moved to Cheektowaga. Honda will close its dealership on Walden Avenue.”

The following is a list of new and existing companies that have built new buildings or expanded existing plants under the IDA umbrella and the project cost:

Windsong Radiology Group, P.C. - $1,579,300
North Forest Properties (sales tax only) - $1,612,500
Kessler Family LLC (Friendly’ Rest. – sales tax only - $401,048
Regent Corporation Enhancement Project - $100,000
Scott’s Buffalo Wings, Inc. (sales tax only) - $2,471,353
Ecology & Environment (sales tax only) - $1,100,000
Gasuik Sales & Marketing, Inc. (sales tax only) - $200,000
Pollside Leasing, LLC (sales tax only) - $100,000
Affordable Senior Housing Opportunities of WNY - $9,650,000
Parker-Hannifin, LLC (sales tax only) - $100,000
AMS Servicing, LLC (sales tax only) $400,000
Mary Beth Dunn, D.D.S. (sales tax only) $400,000
TOPS Markets – Refinancing - $40,000,000
Lancer Glass, Inc (sales tax only) - $72,000

TOTAL - $58,186,201

By a July 7, 2008 resolution the Town accepted a $125,000 gift for a band shell project from Tops Markets. Supervisor Robert Giza openly declared he thought he would be able to get such gift from Tops. In 2009 Tops receives a $40 million IDA.

[WNYresident]

How much building was there no with incentives in the same time period?

[4248]

There always seems to be "Exceptions" on things whenever it comes to taxes - except of course when it comes to your average Lancaster Homeowner.

Someone else noticed, I believe it was Lee C. that Supervisor Bob Giza and if I remember correctly, Tax Assessor D.Marrano said the land doesn't get exemptions - "that IDA breaks don't cover land."

"Consultant J. Ray Barnhardt" who spoke on behalf of Poly Fusion has donated campaign money to the Lancaster Dem.Com and Supervisor Giza. I guess thats pretty common now a days


It was also noted, "LIDA Chair Giza declared that it was his understanding that the manufacturer had a lot of orders that they could not fill" -

If that were the case, I guess if I owned a company and I was trying to persuade someone to give me money or in this case , forgive/reduce my taxes - I would have brought some documentation of those "Pending or unfilled Contracts."

I also find this curious and disturbing, " Mr.Barnhardt declared that the IDA should stipulate that the 36 jobs be maintained over the life of the IDA and that some employee growth take place."

I think that was a reasonable and prudent suggestion - but when your friend/The Town Supervisor/IDA Chairman says,

“There is no claw-back feature,” cautioned Chair Giza.

Meaning, don't worry we are making another exception


What the heck was he thinking?
Your too free with the gifts there Mr.Supervisor.

Many residents are having a hard time paying all their bills and taxes too. We aren't making extra cash either - how about you forgive 50% percent of our taxes for the next five years MR.Supervisor.

[gorja]

Originally posted by Lee Chowaniec:
One of the parties was interested in the 3949 Walden Avenue Colecraft Building. LIDA Chair and Town Supervisor Robert Giza voiced that the Town Board is looking at using that building as a police station.

With no inquiry of what the party had to offer? So instead of inquiring what the party had to offer and maybe putting that parcel back on the tax roll, instead of building a new police station at less money than it is to renovate, instead of thinking of the police department and the Lancaster taxpayers, it's just Giza says the Town Board is looking at using the building as a police station.

That stinks.

[ichingtheory]

With no inquiry of what the party had to offer? So instead of inquiring what the party had to offer and maybe putting that parcel back on the tax roll, instead of building a new police station at less money than it is to renovate, instead of thinking of the police department and the Lancaster taxpayers, it's just Giza says the Town Board is looking at using the building as a police station.

That stinks.

I agree gorja. It makes me wonder if there is a side deal of some sort. My opinion only. I may be overreacting but something does not sound right.