ECONOMIC DEVELOPMENT POWER

ALLOCATION BOARD

 

MINUTES

 

February 22, 2005

Video Conference – 10:00 a.m.

 

                                                  New York Power Authority Offices:

30 South Pearl Street, 10th Floor, Albany, NY

123 Main Street, 16th Floor, White Plains, NY

Louis P. Ciminelli Construction, 369 Franklin Street, Buffalo, NY

Empire State Development Corporation, 633 Third Avenue, New York, NY

 

 

 

1.                    Approval of the Minutes of the Meeting of December 14, 2004

 

 

2.             Power for Jobs Extended Benefits Recommendations for Contract Extensions

 

Citi Group

Con Edison

New York – New York County

 

Coca Cola Bottling Co. NY

Con Edison

Hawthorne – Westchester County

 

Cumberland Packaging

Con Edison

Brooklyn - Kings County

 

Kinray, Inc.

Con Edison

Whitestone – Queens County

 

Maimonides Medical Center

Con Edison

Brooklyn, - Kings County

 

Montefiore Medical Center

Con Edison

Bronx – Bronx County

 

San-Mar Laboratories, Inc

Con Edison

Elmsford – Westchester County

 

Sound Shore Medical Center of Westchester 

Con Edison

New Rochelle -Westchester County

 

 

 

The Jewish Museum

Con Edison

New York – New York County

 

The Mount Vernon Hospital

Con Edison

Mount Vernon – Westchester County

 

Whitney Museum of American Art

Con Edison

New York – New York County

 

Yeshiva University

Con Edison

New York – New York

 

Fortunoff

LIPA

Uniondale – Nassau County

 

Gurwin Jewish Geriatric Center

LIPA

Commack – Suffolk County

 

Kleer-Fax Inc.

LIPA

Amityville – Suffolk County

 

Agri-Link Inc.

NIMO

Fulton – Oswego County

 

Allied Frozen Storage, Inc.

NIMO

Buffalo – Erie County

 

AMF Bowling Inc.

NIMO

Lowville – Lewis County

 

Amsterdam Printing & Litho

NIMO

Amsterdam – Montgomery County

 

Anoplate Corp.

NIMO

Syracuse – Onondaga County

 

Bonded Insulation Company, Inc

NIMO

Hagaman – Montgomery County

 

Brooks Memorial Hospital

NIMO

Dunkirk – Chautauqua County

 

Brownville Specialty Paper Products

NIMO

Brownville – Jefferson County

 

Byrne Dairy, Inc.

NIMO

Syracuse – Onondaga County

 

Charles T. Sitrin Health Care Center

NIMO

New Hartford – Oneida County

 

Clinton’s Ditch Cooperative Company

NIMO

Cicero – Onondaga County

 

Di Highway Sign & Structure Corp.

NIMO

New York Mills – Oneida County

 

Ethox Corp.

NIMO

Buffalo – Erie County

 

Faster Form Corp

NIMO

Frankfort – Herkimer County

 

Gehring Tricot Corp.

NIMO

Dolgeville – Herkimer County

 

Gernatt Asphalt Products, Inc.

NIMO

Collins – Erie County

 

H.P. Hood, Inc.

NIMO

Oneida – Madison County

 

Hebeler Corporation

NIMO

Tonawanda – Erie County

 

Helmont Mills

NIMO

 St. Johnsville – Montgomery County

 

Indium Corporation of America

NIMO

Utica – Onieda County

 

Matt Brewing Company

NIMO

Utica – Oneida County

 

Mayer Brothers Apple Products, Inc

NIMO

West Seneca – Niagara County

 

Mercy Hospital

NIMO

Buffalo – Erie County

 

Mount Saint Mary’s Hospital

NIMO

Lewiston – Niagara County

 

Native Textiles

NIMO

Glen Falls – Warren County

 

Niagara Falls Medical Center

NIMO

Niagara Falls – Niagara County

 

Norlite Corp.

NIMO

Cohoes – Albany County

 

Oneida Healthcare Center

NIMO

Oneida – Madison County

 

Onondaga Beverage Corp.

NIMO

Liverpool – Onondaga County

 

Ontario Foods, Inc.

NIMO

Medina – Orleans County

 

Orion Bus Industries

NIMO

Oriskany – Oneida County

 

Peak Resorts Inc. dba Greek Peak

NIMO

Cortland – Cortland County

 

Precision Systems Mfg, Inc.

NIMO

Liverpool – Onondaga County         

 

Rensselaer Polytechnic Institute

NIMO

Troy – Rensselaer County

 

St. Lawrence University

NIMO

Canton – St. Lawrence County

 

Suit-Kote Corp.

NIMO

Cortland – Cortland County

 

The Beeches of Rome, Inc.

NIMO

Rome – Oneida County

 

Trans World Entertainment

NIMO

Albany – Albany County

 

Utica Converters, Inc.

NIMO

Utica – Oneida County

 

Cameron Fabricating Corporation

NYSEG

Horseheads – Chemung County

 

Elrae Industries

NYSEG

Alden – Erie County

 

Lancaster Steel Services Co. Inc

NYSEG

Lancaster – Erie County

 

Novapak Corporation

NYSEG

Philmont – Columbia County

 

NYSARC, Inc – Columbia County Chapter

NYSEG

Mellenville – Columbia County

 

PCB Piezotronics, Inc.

NYSEG

Depew – Erie County

 

Delphi Automotive Systems

RG&E

Rochester – Monroe County

 

J.C. Plastics, Inc.

RG&E

Rochester – Monroe County

 

 

 

 

 

 

 

 

3.             Power for Jobs Extended Benefits Recommendations for Electricity
Savings Reimbursements and/or Contract Extensions                       

 

Barttell Machinery Systems

NIMO

Rome – Broome County

 

Bristol Myers Squibb

NIMO

East Syracuse – Onondaga County

 

Canton Potsdam Hospital

NIMO

Potsdam – St. Lawrence County

 

Chapin Manufacturing

NIMO

Batavia – Genesee County

 

Edward John Noble Hospital

NIMO

Gouverneur – St. Lawrence County

 

Fiber Glass Industries, Inc.

NIMO

Amsterdam – Montgomery County

 

Ginsberg Institutional Foods

NIMO

Hudson – Columbia County

 

Homogeneous Metals

NIMO

Clayville – Oneida County

 

International Fiber Corporation

NIMO

North Tonawanda – Niagara County

 

Isadore A. Rapasadi & Sons

NIMO

Canastota – Madison County

 

Kaz Incorporated

NIMO

Hudson – Columbia County

 

Kintz Plastics

NIMO

Howes Cave – Schoharie County

 

Lewis County General Hospital

NIMO

Lowville – Lewis County

 

 

Little Falls Hospital

NIMO

Little Falls – Herkimer County

 

Mills Services, Inc.

NIMO

Cobleskill – Schoharie County

 

Nathan Littauer Hospital

NIMO

Gloversille – Fulton County

 

National Baseball Hall of Fame

NIMO

Cooperstown – Otsego County

 

New Venture Gear

NIMO

East Syracuse – Onondaga County

 

Pall Trinity Micro

NIMO

Cortland – Cortland County

 

Pepsi Bottling Group, LLC

NIMO

Latham – Albany County

 

Quandt’s Food Service Distr.

NIMO

Amsterdam – Montgomery County

 

Queensboro Farm Product

NIMO

Canastota – Madison County

 

Revere Copper Products

NIMO

Rome – Oneida County

 

Robinson & Smith Inc.

NIMO

Gloversville – Fulton County

 

Snyder Industries, Inc.

NIMO

North Tonawanda – Niagara County

 

TMP Technologies, Inc.

NIMO

Wyoming – Erie County

 

Ventre Packaging Co. Inc.

NIMO

Syracuse – Onondaga County

 

Frito-Lay

NYSEG

Binghamton – Broome County

 

 

OTHER BUSINESS

 

4.                    INFORMATIONAL ITEM

 

5.                    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, 30 South Pearl Street, Albany NY

2)       New York Power Authority, 123 Main Street, White Plains, NY 

3)       Louis P. Ciminelli Construction, 369 Franklin Street, Buffalo, NY

4)       Empire State Development Corporation, 633 Third Avenue, New York, NY

 

The following Members of the Board were present at the following locations:

Louis P. Ciminelli, Chairman (Buffalo, NY)

James A. Duncan, Member (Buffalo, NY)

Bernard P. McGarry, Member (Albany, NY)

Kevin S. Corbett, Member (New York, NY)

 

 

 

Also in attendance were:

 

Louise M. Morman                              Senior Vice President – Marketing, Economic Development
& Supply Planning, NYPA

Gary Paslow                                          Vice President – Governmental Affairs & Policy Development

Thomas Warmath                                Vice President and Chief Risk Officer, NYPA

James H. Yates                                     Vice President – Major Account Marketing &
Economic Development, NYPA

Angela D. Graves                                 Deputy Secretary, NYPA

Joseph J. Carline                                  Assistant General Counsel – Power & Transmission, NYPA

John B. Hamor                                      Executive Director – State Governmental Relations, NYPA

James F. Pasquale                                Director – Business Power Allocations, Regulation and Billing, NYPA

Anthony C. Savino                              Manager – Business Power Allocations and Compliance, NYPA

Bonnie Fahey                                       Executive Administrative Assistant

Mary Jean Frank                                  Associate Secretary, NYPA

Lorna M. Johnson                               Assistant Secretary, NYPA

Michael J. Santarcangelo                    Director, Energy Policy, ESDC

 


1.                   Adoption of Minutes

The minutes of the meeting of December 14, 2004, were unanimously adopted.

 

 


2.                   Power for Jobs Extended Benefits Recommendations for Contract Extensions

 

The members of the Board considered the 62 contract extensions listed below for Power for Jobs.  Mr. Pasquale explained that some 46,528 jobs would be impacted.

 

The following resolution was unanimously adopted by members of the Board present.

 

WHEREAS, the following entities have applied for Power for Jobs contract extensions:

 

Citi Group

Con Edison

New York – New York County

 

Coca Cola Bottling Co. NY

Con Edison

Hawthorne – Westchester County

 

Cumberland Packaging

Con Edison

Brooklyn - Kings County

 

Kinray, Inc.

Con Edison

Whitestone – Queens County

 

Maimonides Medical Center

Con Edison

Brooklyn, - Kings County

 

Montefiore Medical Center

Con Edison

Bronx – Bronx County

 

San-Mar Laboratories, Inc

Con Edison

Elmsford – Westchester County

 

Sound Shore Medical Center of Westchester 

Con Edison

New Rochelle -Westchester County

 

The Jewish Museum

Con Edison

New York – New York County

 

The Mount Vernon Hospital

Con Edison

Mount Vernon – Westchester County

 

Whitney Museum of American Art

Con Edison

New York – New York County

 

Yeshiva University

Con Edison

New York – New York

Fortunoff

LIPA

Uniondale – Nassau County

 

Gurwin Jewish Geriatric Center

LIPA

Commack – Suffolk County

 

Kleer-Fax Inc.

LIPA

Amityville – Suffolk County

 

Agri-Link Inc.

NIMO

Fulton – Oswego County

 

Allied Frozen Storage, Inc.

NIMO

Buffalo – Erie County

 

AMF Bowling Inc.

NIMO

Lowville – Lewis County

 

Amsterdam Printing & Litho

NIMO

Amsterdam – Montgomery County

 

Anoplate Corp.

NIMO

Syracuse – Onondaga County

 

Bonded Insulation Company, Inc

NIMO

Hagaman – Montgomery County

 

Brooks Memorial Hospital

NIMO

Dunkirk – Chautauqua County

 

Brownville Specialty Paper Products

NIMO

Brownville – Jefferson County

 

Byrne Dairy, Inc.

NIMO

Syracuse – Onondaga County

 

Charles T. Sitrin Health Care Center

NIMO

New Hartford – Oneida County

 

Clinton’s Ditch Cooperative Company

NIMO

Cicero – Onondaga County

 

Di Highway Sign & Structure Corp.

NIMO

New York Mills – Oneida County

 

Ethox Corp.

NIMO

Buffalo – Erie County

 

Faster Form Corp

NIMO

Frankfort – Herkimer County

 

Gehring Tricot Corp.

NIMO

Dolgeville – Herkimer County

 

Gernatt Asphalt Products, Inc.

NIMO

Collins – Erie County

 

H.P. Hood, Inc.

NIMO

Oneida – Madison County

 

Hebeler Corporation

NIMO

Tonawanda – Erie County

 

Helmont Mills

NIMO

St. Johnsville – Montgomery County

 

Indium Corporation of America

NIMO

Utica – Onieda County

 

Matt Brewing Company

NIMO

Utica – Oneida County

 

Mayer Brothers Apple Products, Inc

NIMO

West Seneca – Niagara County

 

Mercy Hospital

NIMO

Buffalo – Erie County

 

Mount Saint Mary’s Hospital

NIMO

Lewiston – Niagara County

 

Native Textiles

NIMO

Glen Falls – Warren County

 

Niagara Falls Medical Center

NIMO

Niagara Falls – Niagara County

 

Norlite Corp.

NIMO

Cohoes – Albany County

 

Oneida Healthcare Center

NIMO

Oneida – Madison County

 

Onondaga Beverage Corp.

NIMO

Liverpool – Onondaga County

 

Ontario Foods, Inc.

NIMO

Medina – Orleans County

 

Orion Bus Industries

NIMO

Oriskany – Oneida County

 

Peak Resorts Inc. dba Greek Peak

NIMO

Cortland – Cortland County

 

Precision Systems Mfg, Inc.

NIMO

Liverpool – Onondaga County         

 

Rensselaer Polytechnic Institute

NIMO

Troy – Rensselaer County

 

St. Lawrence University

NIMO

Canton – St. Lawrence County

 

Suit-Kote Corp.

NIMO

Cortland – Cortland County

 

The Beeches of Rome, Inc.

NIMO

Rome – Oneida County

 

Trans World Entertainment

NIMO

Albany – Albany County

 

Utica Converters, Inc.

NIMO

Utica – Oneida County

 

Cameron Fabricating Corporation

NYSEG

Horseheads – Chemung County

 

Elrae Industries

NYSEG

Alden – Erie County

 

Lancaster Steel Services Co. Inc

NYSEG

Lancaster – Erie County

 

Novapak Corporation

NYSEG

Philmont – Columbia County

 

NYSARC, Inc – Columbia County Chapter

NYSEG

Mellenville – Columbia County

 

PCB Piezotronics, Inc.

NYSEG

Depew – Erie County

 

Delphi Automotive Systems

RG&E

Rochester – Monroe County

 

J.C. Plastics, Inc.

RG&E

Rochester – Monroe County

 

NOW THEREFORE BE IT RESOLVED, That the Board hereby finds and determines that such applications meet the requirements of the Power for Jobs legislation contained in Chapter 316 of the Laws of 1997; Chapter 386 of the Laws of 1998; Chapter 63 of the Laws of 2000; Chapter 226 of the Laws of 2002; and Chapter 59 of the Laws of 2004, would advance the public policy set forth in Section 189(i) of the Economic Development Law to provide effective incentives to promote economic development, maintain and develop jobs, and encourage new capital investment throughout New York State; and be it further

 

RESOLVED, That the Board recommends to the Power Authority of the State of New York the 62 contract extensions discussed herein totaling 49,890 kW until December 31, 2005, and that the following terms be incorporated into the Power Authority’s contracts for Power for Jobs Service:

 

-        applicants to maintain a total of 46,528 jobs;

 

-        such allocations shall be subject to the reduction of power and

affirmative action provisions set forth in the Power Authority’s

standard form of  contract for Power for Jobs Service.

 


3.                   Power for Jobs Extended Benefits Recommendations for Electricity
Savings Reimbursements and/or Contract Extensions                       

 

The members of the Board considered the 28 applications for electricity savings reimbursements and/or contract extensions listed below for Power for Jobs.  Mr. Pasquale explained that some 11,007 jobs would be impacted.

 

                The following resolution was unanimously adopted by members of the Board present.

 

WHEREAS, the following entities have applied for electricity savings reimbursements and/or contract extensions under the Power for Jobs program:

 

Barttell Machinery Systems

NIMO

Rome – Broome County

 

Bristol Myers Squibb

NIMO

East Syracuse – Onondaga County

 

Canton Potsdam Hospital

NIMO

Potsdam – St. Lawrence County

 

Chapin Manufacturing

NIMO

Batavia – Genesee County

 

Edward John Noble Hospital

NIMO

Gouverneur – St. Lawrence County

 

Fiber Glass Industries, Inc.

NIMO

Amsterdam – Montgomery County

 

Ginsberg Institutional Foods

NIMO

Hudson – Columbia County

 

Homogeneous Metals

NIMO

Clayville – Oneida County

 

International Fiber Corporation

NIMO

North Tonawanda – Niagara County

 

Isadore A. Rapasadi & Sons

NIMO

Canastota – Madison County

 

Kaz Incorporated

NIMO

Hudson – Columbia County

 

Kintz Plastics

NIMO

Howes Cave – Schoharie County

 

Lewis County General Hospital

NIMO

Lowville – Lewis County

 

Little Falls Hospital

NIMO

Little Falls – Herkimer County

 

Mills Services, Inc.

NIMO

Cobleskill – Schoharie County

 

Nathan Littauer Hospital

NIMO

Gloversille – Fulton County

 

National Baseball Hall of Fame

NIMO

Cooperstown – Otsego County

 

New Venture Gear

NIMO

East Syracuse – Onondaga County

 

Pall Trinity Micro

NIMO

Cortland – Cortland County

 

Pepsi Bottling Group, LLC

NIMO

Latham – Albany County

 

Quandt’s Food Service Distr.

NIMO

Amsterdam – Montgomery County

 

Queensboro Farm Product

NIMO

Canastota – Madison County

 

Revere Copper Products

NIMO

Rome – Oneida County

 

Robinson & Smith Inc.

NIMO

Gloversville – Fulton County

 

Snyder Industries, Inc.

NIMO

North Tonawanda – Niagara County

 

TMP Technologies, Inc.

NIMO

Wyoming – Erie County

 

Ventre Packaging Co. Inc.

NIMO

Syracuse – Onondaga County

 

Frito-Lay

NYSEG

Binghamton – Broome County

 

NOW THEREFORE BE IT RESOLVED, That the Board hereby finds and determines that such applications meet the requirements of the Power for Jobs legislation contained in Chapter 316 of the Laws of 1997; Chapter 386 of the Laws of 1998; Chapter 63 of the Laws of 2000; Chapter 226 of the Laws of 2002; and Chapter 59 of the Laws of 2004, would advance the public policy set forth in Section 189(i) of the Economic Development Law to provide effective incentives to promote economic development, maintain and develop jobs, and encourage new capital investment throughout New York State; and be it further

 

RESOLVED, That the Board recommends to the Power Authority of the State of New York the 28 applications for electricity savings reimbursements discussed herein totaling 23,838 kW until December 31, 2005.


4.             INFORMATIONAL ITEM

Gary Paslow, James Pasquale and Joe Carline briefed Board members on the statutory requirements related to job commitments.

 

Review of the applications for extended Power for Jobs benefits (energy savings reimbursements and/or contract extensions) has determined that more than one-third of the applicants (120 of 322) have reported employment levels below their contractual job commitments.

 

Section 189 of the New York State Economic Development Law, as amended by Chapter 59 of the laws of 2004, provides the statutory authorization for the extended benefits that may be provided to Power for Jobs customers with contracts that expire before December 31, 2005.  The statute authorizes the Economic Development Power Allocation Board (EDPAB) to “solicit and review applications for the power for jobs electricity savings reimbursements and contract extensions…”

 

The law also states:

 

“An applicant shall be eligible for such reimbursements and/or extensions only if it is in compliance with and agrees to continue to meet the job retention and creation commitments set forth in its prior power for jobs contract.”

 

Consequently, EDPAB is unable, under current law, to approve extended benefits for applicants with expired contracts whose reported employment levels are below the job commitments of their previous contract.

 

The Board discussed the issue and asked staff to notify all applicants with reported employments levels below contractual job commitments that their applications for extended benefits cannot be approved. The Board also asked staff to similarly notify legislative leaders and the Governor’s office of the matter.

 

Gary Paslow also briefed Board members on an issue relating to out-dated references to the New York Power Authority’s FitzPatrick nuclear power plant, sold by the Authority in 2000, as the source of the power supply for several power programs, including those administered by the Economic Development Power Allocation Board.

 

                The Public Authorities Law and the Economic Development Law provide for the sale of FitzPatrick nuclear power to businesses in New York State under the Power for Jobs, Economic Development Power and other power programs of the New York Power Authority. State law governing the supply of power under Power for Jobs program enables NYPA to use other sources of electricity. The programs affected by the “FitzPatrick” language problem include the Economic Development Power program, the High Load Factor Power program and Municipal Development Agency Power. 

 

NYPA sold the FitzPatrick Project to Entergy in 2000 and continues to honor all contracts under the power programs existing at the time of the plant sale with power purchased in the market. However, as these contracts begin to expire in 2005, NYPA will not be able to enter into new long-term contracts under the programs unless the references in the existing laws to the FitzPatrick project as a source of power are changed. 

 

Effort to resolve the FitzPatrick statutory language issues have been ongoing for several years. In March 2002, a Governor’s Program Bill (S.6425) relating to the creation of Phase Five of the Power for Jobs program included provisions to address the FitzPatrick language problem. However, the legislation was amended and the enacted without those provisions. In the 2003-2004 sessions, legislation (S.5152) was introduced in the state Senate, but no companion legislation was introduced in the Assembly. Legislation is being developed for introduction in 2005. Under the proposed bill, NYPA would have authority to purchase power in the marketplace to serve customers under the various former FitzPatrick programs, including the Economic Development Power program administered by EDPAB.

 

Until appropriate legislation is enacted, EDPAB cannot consider new allocations nor renew existing allocations under the EDP Program. If satisfactory legislation is enacted, continuity of service will require that EDPAB review and make recommendations to NYPA regarding new contracts and/or contract extensions.  


5.             Next Meeting

The next meeting of the Board is to be determined.