NYPA Approves 13 New Power for Jobs Allocations; Lower-Cost Electricity to Help Create Over 270 New Jobs
March 20, 2003
FOR IMMEDIATE RELEASE
NEW YORK—The New York Power Authority Trustees Thursday approved new allocations under the latest phase of Governor George E. Pataki’s Power for Jobs program, with 13 businesses and not-for-profit organizations promising to create 272 new jobs in return for the discount-priced electricity.
“The newest recipients of this power are spread out across New York State, demonstrating the continued vitality of Governor Pataki’s highly successful Power For Jobs program, which is linked to about 300,000 jobs at more than 700 businesses and nonprofit enterprises, including hospitals, colleges and cultural institutions,” said Louis P. Ciminelli, NYPA chairman. “The latest allocations stem from legislation last year, setting aside additional amounts of economical power for reallocations to existing customers and new allocations to other qualified recipients.”
Ciminelli noted that in addition to the new allocations, the trustees approved reallocations for 10 Power for Jobs customers whose contracts were expiring in 2002 and beyond. Collectively, the latest allocations, for new and existing customers, total more than 10,000 kilowatts (kw) of power, and will help protect or create over 4,900 jobs.
The businesses receiving new allocations are the AT&T Corp, Manhattan; Clay Park Labs, the Bronx; Diamond Ice Cube Co., the Bronx; B.H. Aircraft Co., Ronkonkoma; Dayton T. Brown, Inc., Bohemia; Crowley Foods, LLC, Lafargeville (Jefferson county); Fedco Automotive Components Co., Buffalo; Sabin Metal Corp., Scottsville (Monroe county); Sonoco Flexible Packaging, Fulton (Oswego county); and the Ontario Knife Co., Franklinville (Cattaraugus county).
Three not-for-profits were also among the first-time recipients: Albany Institute of History and Art; Ellis Hospital, Schenectady; and Samaritan Medical Center, Watertown. (See attachments for the specific allocations and job commitments.)
The legislation proposed by Governor Pataki and enacted into law in 2002 established a new Phase Five for Power for Jobs, making an additional 183,000 kw of lower cost power available through 2005 for existing and new customers. Previous to today’s action, the NYPA trustees had approved 182 allocations under Phase Five, linked to the retention of 65,117 jobs, for businesses and nonprofits whose three-year contracts were expiring. The latest allocations are the first to include new customers in the current program phase, and leave nearly 76,000 kw still to be allocated.
First launched in late 1997 with an allotment of 400,000 kw, Power for Jobs was originally expected to protect or create up to 40,000 jobs, which is about 13 percent of the current job total. The program, which has resulted in cumulative savings of hundreds of millions of dollars for its customers, was conceived as a bridge to competition and lower prices in the electricity marketplace from the deregulation of the electric power industry.
NYPA administers the Governor’s program, with its trustees authorizing allocations on the basis of recommendations of the New York State Economic Development Power Allocation Board (EDPAB)—a four member board consisting of appointees of the Governor and state legislature.