ECONOMIC DEVELOPMENT POWER
ALLOCATION BOARD
MINUTES
September 24, 2009
Video conference – 10:00 a.m.
New York Power Authority Offices:
123 Main Street, 16th Floor, White Plains, NY
30 South Pearl Street, 10th Floor, Albany, NY
St. Lawrence/FDR Power Plant, 830 Barnhart Island, Massena, NY
Empire State Development Corp., 95 Perry Street, Suite 500, Buffalo, NY
1. Approval of the Minutes of the Meeting of July 22, 2009
2. Power for Jobs Extended Benefits Recommendations for
Electricity Savings Reimbursements
A. COMPANIES IN JOB COMPLIANCE
Con Edison - Service Territory
|
American Ballet Theater New York - New York County
American Indian Community House New York - New York County
Belmont Metals, Inc. Brooklyn - Kings County
Beth Israel Medical Center New York - New York County
Continental Food Products, Inc. Flushing - Queens County
Empire Merchants LLC Astoria - Queens County
Greater Jamaica Development Corp. Jamaica - Queens County
|
New York University New York - New York County
Norampac - New York City, Inc. Maspeth - Queens County
North General Hospital New York - New York County
NYU Medical Center New York - New York County
S. R. Guggenheim Museum New York - New York County
Streamline Plastics Bronx - Bronx County
The Joyce Theater Foundation, Inc. New York - New York County |
Long Island Power Authority - Service Territory
|
Enzo Clinical Labs, Inc. Farmingdale - Suffolk County
Kozy Shack, Inc. Hicksville - Nassau County
Long Beach Medical Center Long Beach - Nassau County
Madelaine Chocolates Rockaway Beach - Queens County |
Maloya Laser Inc. Commack - Suffolk County
Silver Lake Cookie Co. Islip - Suffolk County
Standard Microsystems Corp. Hauppauge - Suffolk County
Ultimate Precision Metal Farmingdale - Suffolk County |
National Grid - Service Territory
|
Albany International Corp. Homer - Cortland County
Albany Molecular Research, Inc. Albany - Albany County
AMRI – Rensselaer Rensselaer - Rensselaer County
Caledonia - Livingston County
C. R. Bard, Inc. Queensbury - Warren County
Carville National Leather Corp. Johnstown - Fulton County
Cooper Hand Tools Cortland - Cortland County
Cooper Industries Syracuse - Onondaga County
Corning, Inc. Canton - St. Lawrence County
Cortland Line Co., Inc. Cortland - Cortland County
CWM Chemical Services, LLC Model City - Niagara County
Dielectric Laboratories, Inc. Cazenovia - Madison County
Diemolding Corp. Canastota - Madison County
Dupli Envelopes & Graphics Corp. Syracuse - Onondaga County
Edward John Noble Hospital Gouverneur - St. Lawrence County
Fiber Glass Industries Inc. Amsterdam - Montgomery County
Fitzpatrick & Weller, Inc. Ellicottville - Cattaraugus County
Ford Motor Company Buffalo - Erie County
G L & V Sandy Hill Inc. Hudson Falls - Washington County
Higbee Inc. Syracuse - Onondaga County
Interface Solutions, Inc. Fulton - Oswego County
Intertek Testing Services Cortland - Cortland County |
Kilian Manufacturing Corp. Syracuse - Onondaga County
Lewis County General Hospital Lowville - Lewis County
Luvata Buffalo, Inc. Buffalo - Erie County
Lydall Manning Green Island - Albany County
McLane Eastern Baldwinsville - Onondaga County
Meloon Foundries, Inc. Syracuse - Onondaga County
Met Weld Inc. Altamont - Albany County
Mohawk Paper Mills Cohoes - Albany County
Nathan Littauer Hospital & Nursing Home Gloversville - Fulton County
Natrium Products, Inc. Cortland - Cortland County
Paul Bunyan Products, Inc. Preble - Cortland County
Queensboro Farm Products, Inc. Canastota - Madison County
Robison & Smith, Inc. Gloversville - Fulton County
RSA Solutions Inc. Amherst - Erie County
SABIC Innovative Plastics Selkirk - Albany County
Schenectady International, Inc. Schenectady - Schenectady County
Snyder Industries, Inc. N. Tonawanda - Niagara County
Sorrento Lactalis, Inc. Buffalo - Erie County
Syracuse Label Co., Inc. Liverpool - Onondaga County
Syracuse University Syracuse - Onondaga County
Vicks Lithograph & Printing Yorkville - Oneida County
Welch Allyn Data Collection Inc. Skaneateles Falls - Onondaga County |
New York State Electric & Gas – Service Territory
|
Audio Sears Stamford - Delaware County
Consumers Beverages, Inc. Buffalo - Erie County
Endicott Interconnect Technologies Endicott - Broome County
Ever Fab, Inc. East Aurora - Erie County |
Manitoba Corp. Lancaster - Erie County
Meadwestvaco Corp. Sidney - Delaware County
Polymer Conversions Orchard Park - Erie County
|
B. COMPANIES NOT IN JOB COMPLIANCE
Con Edison – Service Territory
|
Edison Price Lighting, Inc. New York - New York County |
|
Long Island Power Authority – Service Territory
|
Commercial Envelope Manufacturing Corp. Deer Park - Suffolk County |
|
National Grid – Service Territory
|
Albany International Corp. Albany - Albany County |
|
3. Economic Development Plan – Use of Net Revenues Produced
by Sale of Expansion Power as Industrial Incentive Awards
4. Next Meeting
A regular meeting of the Economic Development Power Allocation Board was held via video conference at the following participating locations:
1) New York Power Authority, 123 Main Street, White Plains, NY
2) New York Power Authority, 30 South Pearl Street, Albany NY
3) St. Lawrence/FDR Power Plant, 830 Barnhart Island, Massena, NY
4) Empire State Development Corp., 95 Perry Street, Suite 500, Buffalo, NY
The following Members of the Board were present at the following locations:
Kenneth Schoetz, Chairman (Buffalo, NY)
Bernard P. McGarry, Member (Albany, NY)
Eugene L. Nicandri, Member, (Massena, NY)
Also in attendance were:
Gil Quiniones Chief Operating Officer, NYPA
Karen Delince Corporate Secretary, NYPA
James F. Pasquale Acting Senior Vice President - Marketing & Economic Development, NYPA
Paul Finnegan Senior Vice President - Public & Government Affairs, NYPA
Vincent Esposito Principal Attorney II, NYPA
Sarah Barish-Straus Special Assistant - Project Development, NYPA
Anthony C. Savino Manager – Business Power Allocations and Compliance, NYPA
Michael Saltzman Director, Media Relations, NYPA
Lorna Johnson Assistant Secretary, NYPA
Mary Jean Frank Associate Corporate Secretary, NYPA
M. Huvane Director - Business Muni & Coop Marketing & Economic Development, NYPA
1. Adoption of Minutes
The minutes of the meeting of July 22, 2009 were unanimously adopted.
2. Power for Jobs Program – Extended Benefits
SUMMARY
The Members of the Economic Development Power Allocation Board (EDPAB”) are asked to recommend that the Power Authority’s Trustees (“Trustees”) approve extended benefits for 76 Power for Jobs (“PFJ”) customers as listed in Exhibits “A” and “B.”
BACKGROUND
In July 1997, the New York State Legislature approved a program to provide low-cost power to businesses and not-for-profit corporations that agree to retain or create jobs in New York State. In return for commitments to create or retain jobs, successful applicants received three-year contracts for PFJ electricity.
The PFJ program originally made 400 megawatts (“MW”) of power available and was to be phased in over three years. As a result of the initial success of the program, the Legislature amended the PFJ statute to accelerate the distribution of the power and increase the size of the program to 450 MW. In May 2000, legislation was enacted that authorized additional power to be allocated under the program. Legislation further amended the program in July 2002.
Chapter 59 of the Laws of 2004 extended the benefits for PFJ customers whose contracts expired before the end of the program in 2005. Such customers had to choose to receive an “electricity savings reimbursement” rebate and/or a power contract extension. The Authority was also authorized to voluntarily fund the rebates, if deemed feasible and advisable by the Trustees.
PFJ customers whose contracts expired on or prior to November 30, 2004 were eligible for a rebate to the extent funded by the Authority from the date their contract expired through December 31, 2005. Customers whose contracts expired after November 30, 2004 were eligible for rebate or contract extension, assuming funding by the Authority, from the date their contracts expired through December 31, 2005.
Approved contract extensions entitled customers to receive the power from the Authority pursuant to a sale-for-resale agreement with the customer’s local utility. Separate allocation contracts between customers and the Authority contained job commitments enforceable by the Authority.
In 2005, provisions of the approved State budget extended the period PFJ customers could receive benefits until December 31, 2006. Chapter 645 of the Laws of 2006 included provisions extending program benefits until June 30, 2007. Chapter 89 of the Laws of 2007 included provisions extending program benefits until June 30, 2008. Chapter 59 of the Laws of 2008 included provisions extending the program benefits until June 30, 2009. Chapter 217 of the Laws of 2009 included provisions extending the program benefits until May 15, 2010.
At its meeting of October 18, 2005, EDPAB approved criteria under which applicants whose extended benefits EDPAB had reduced for non-compliance with their job commitments could apply to have their PFJ benefits reinstated in whole or in part. EDPAB authorized staff to create a short-form application, notify customers of the process, send customers the application and evaluate reconsideration requests based on the approved criteria.
DISCUSSION
EDPAB is requested to recommend that the Authority’s Trustees approve electricity savings reimbursement rebates to the 76 PFJ customers, 73 of which are meeting their current job commitments and are listed in Exhibit “A.” However, three customers reported actual job numbers below their contractual commitments; staff is recommending that these customers have their allocations reduced proportionately to their job shortfalls, where appropriate. These customers are listed in Exhibit “B.” Collectively, these organizations have agreed to retain more than 57,000 jobs in New York State in exchange for rebates. The rebate program will be in effect until May 15, 2010, the program’s sunset.
RECOMMENDATION
It is requested that the Economic Development Power Allocation Board recommend that the Authority’s Trustees approve the payment of electricity savings reimbursements to the 76 businesses listed in Exhibits “A” and “B.”
The following resolution was unanimously adopted by members of the Board present.
WHEREAS, the following entities have applied for extended benefits recommendations for electricity savings reimbursements under the Power for Jobs program:
Con Edison - Service Territory
|
American Ballet Theater New York - New York County
American Indian Community House New York - New York County
Belmont Metals, Inc. Brooklyn - Kings County
Beth Israel Medical Center New York - New York County
Continental Food Products, Inc. Flushing - Queens County
Empire Merchants LLC Astoria - Queens County
Greater Jamaica Development Corp. Jamaica - Queens County
|
New York University New York - New York County
Norampac - New York City, Inc. Maspeth - Queens County
North General Hospital New York - New York County
NYU Medical Center New York - New York County
S. R. Guggenheim Museum New York - New York County
Streamline Plastics Bronx - Bronx County
The Joyce Theater Foundation, Inc. New York - New York County |
Long Island Power Authority - Service Territory
|
Enzo Clinical Labs, Inc. Farmingdale - Suffolk County
Kozy Shack, Inc. Hicksville - Nassau County
Long Beach Medical Center Long Beach - Nassau County
Madelaine Chocolates Rockaway Beach - Queens County |
Maloya Laser Inc. Commack - Suffolk County
Silver Lake Cookie Co. Islip - Suffolk County
Standard Microsystems Corp. Hauppauge - Suffolk County
Ultimate Precision Metal Farmingdale - Suffolk County |
National Grid - Service Territory
|
Albany International Corp. Homer - Cortland County
Albany Molecular Research, Inc. Albany - Albany County
AMRI – Rensselaer Rensselaer - Rensselaer County
Caledonia - Livingston County
C. R. Bard, Inc. Queensbury - Warren County
Carville National Leather Corp. Johnstown - Fulton County
Cooper Hand Tools Cortland - Cortland County
Cooper Industries Syracuse - Onondaga County
Corning, Inc. Canton - St. Lawrence County
Cortland Line Co., Inc. Cortland - Cortland County
CWM Chemical Services, LLC Model City - Niagara County
Dielectric Laboratories, Inc. Cazenovia - Madison County
Diemolding Corp. Canastota - Madison County
Dupli Envelopes & Graphics Corp. Syracuse - Onondaga County
Edward John Noble Hospital Gouverneur - St. Lawrence County
Fiber Glass Industries Inc. Amsterdam - Montgomery County
Fitzpatrick & Weller, Inc. Ellicottville - Cattaraugus County
Ford Motor Company Buffalo - Erie County
G L & V Sandy Hill Inc. Hudson Falls - Washington County
Higbee Inc. Syracuse - Onondaga County
Interface Solutions, Inc. Fulton - Oswego County
Intertek Testing Services Cortland - Cortland County |
Kilian Manufacturing Corp. Syracuse - Onondaga County
Lewis County General Hospital Lowville - Lewis County
Luvata Buffalo, Inc. Buffalo - Erie County
Lydall Manning Green Island - Albany County
McLane Eastern Baldwinsville - Onondaga County
Meloon Foundries, Inc. Syracuse - Onondaga County
Met Weld Inc. Altamont - Albany County
Mohawk Paper Mills Cohoes - Albany County
Nathan Littauer Hospital & Nursing Home Gloversville - Fulton County
Natrium Products, Inc. Cortland - Cortland County
Paul Bunyan Products, Inc. Preble - Cortland County
Queensboro Farm Products, Inc. Canastota - Madison County
Robison & Smith, Inc. Gloversville - Fulton County
RSA Solutions Inc. Amherst - Erie County
SABIC Innovative Plastics Selkirk - Albany County
Schenectady International, Inc. Schenectady - Schenectady County
Snyder Industries, Inc. N. Tonawanda - Niagara County
Sorrento Lactalis, Inc. Buffalo - Erie County
Syracuse Label Co., Inc. Liverpool - Onondaga County
Syracuse University Syracuse - Onondaga County
Vicks Lithograph & Printing Yorkville - Oneida County
Welch Allyn Data Collection Inc. Skaneateles Falls - Onondaga County |
New York State Electric & Gas – Service Territory
|
Audio Sears Stamford - Delaware County
Consumers Beverages, Inc. Buffalo - Erie County
Endicott Interconnect Technologies Endicott - Broome County
Ever Fab, Inc. East Aurora - Erie County |
Manitoba Corp. Lancaster - Erie County
Meadwestvaco Corp. Sidney - Delaware County
Polymer Conversions Orchard Park - Erie County
|
Con Edison – Service Territory
|
Edison Price Lighting, Inc. New York - New York County |
|
Long Island Power Authority – Service Territory
|
Commercial Envelope Manufacturing Corp. Deer Park - Suffolk County |
|
National Grid – Service Territory
|
Albany International Corp. Albany - Albany County |
|
NOW THEREFORE BE IT RESOLVED, That the Board hereby finds and determines that such applications meet the requirements of the extended benefits provisions of the Power for Jobs legislation contained in Article 6 of the Economic Development Law as amended by Chapter 217 of the Laws of 2009; and be it further
RESOLVED, That the Board recommends to the Power Authority of the State of New York the 76 applications for extended benefits recommendations for electricity savings reimbursements discussed herein totaling 70,888 kW for the period through May 15, 2010.
3. Extension of Use of Net Revenues Produced by Sale
of Expansion Power as Industrial Incentive Awards
Mr. James Pasquale recommended that this item be tabled for consideration at a future EDPAB meeting. Chairman Kenneth Schoetz said that the EDPAB members have requested staff to provide additional details on this item before it is considered by them at another regular EDPAB meeting or, if necessary, a special meeting.
4. Next Meeting
The next meeting of the Board is to be determined.