NYPA Press Release

NYPA Board of Trustees Approves Economic Development Support of More Than 960 Jobs Around New York State

For Immediate Release: 7/28/20

Contact:

Paul DeMichele | paul.demichele@nypa.gov | (914) 390-8186


ReCharge NY Power Allocations Create More Than $134 Million in

Capital Investments and 122 New Jobs throughout New York to Support

Covid-19 Pandemic Recovery

 

HiOperator in Buffalo to Create 131 Jobs

 

Video of WNY Energy in Medina Producing Technical Grade Ethanol Used in Hand Sanitizers

 

In-Law Brewing Company in Chase Hills Expanding its Craft Beer Operation

 

 

WHITE PLAINS—The New York Power Authority (NYPA) Board of Trustees today approved economic development awards in support of 960 jobs and $153 million in capital investments statewide in support of New York State’s economic recovery from the Covid-19 pandemic. The NYPA board approved nearly three megawatts (MW) of ReCharge NY power to eight enterprises throughout the state. In addition, the board also approved low-cost power allocations and funding awards to enterprises in Western New York and the North Country, including $230,000 in support of HiOperator’s creation of 131 jobs in Buffalo.

 

John R. Koelmel, NYPA chairman and Buffalo resident, said, “NYPA’s hydropower has been a key driver of the state’s economic development success over the years, and as the state safely gets back to work, NYPA’s economic development awards will provide a significant boost to local economies throughout the state.”

 

Gil C. Quiniones, NYPA president and CEO, said, “These economic development awards go directly to a business’s bottom line at a time when support is needed most. Under the Governor’s NY Forward plan, the state is safely moving forward from the pandemic and NYPA is committed to aiding businesses around the state get back on their feet.”

 

ReCharge NY

The NYPA board today approved allocations of low-cost power under the statewide ReCharge NY program to eight New York enterprises in support of more than 800 jobs, with 122 of those being newly created. Governor Andrew M. Cuomo’s ReCharge NY program, established in 2012, has positively affected the New York State economy by encouraging companies to retain and create jobs, while sparking capital investment throughout the state. Including today’s allocations, ReCharge NY awards have been made to 710 businesses and not-for-profit organizations.

 

The low-cost RNY power awards will be distributed to enterprises in Western New York, Central New York, Finger Lakes, the Capital District and on Long Island.

 

Included among the businesses receiving RNY power are Active Retirement Community in South Setauket on Long Island, Cryomech in DeWitt in Central New York, and Simmons Machine Tool Corporation in Menands in the Capital District.

 

The full list of ReCharge NY allocations

 

The NYPA board also approved seven seven-year allocation extensions for existing ReCharge NY customers around the state. Those allocations directly support more than 3,700 jobs and are tied to nearly $214 million in new capital investments over the next several years.

 

The full list of today’s seven-year RNY allocation extensions

 

ReCharge NY offers up to seven-year power contracts. Half of the power—455 MW—is from NYPA’s Niagara and St. Lawrence-Franklin D. Roosevelt hydroelectric power plants, which provide some of the greenest, cleanest and lowest-cost electricity in the state. The remaining 455 MW is lower-cost power bought by NYPA on the wholesale market.

Western New York

The NYPA trustees approved a funding award under the Western New York Power Proceeds program to HiOperator in Buffalo. The firm, a customer service delivery entity, is receiving $230,000 to support a $1.35 million expansion project that involves a complete renovation of the current space, including demolition of the current office infrastructure, a buildout of new office space, and the purchase of computers and other IT equipment. HiOperator has committed to create 131 new position over the next five years.

 

The NYPA funding award is made possible through net earnings resulting from the sale of unused hydropower generated at NYPA’s Niagara power plant and stems from power proceeds legislation signed into law by Governor Cuomo in 2012. To be eligible for power proceeds awards, enterprises must be located within a 30-mile radius of NYPA’s Niagara power plant and the projects must support the growth of business and lead to the creation or protection of jobs. Contracts include provisions for periodic audits to ensure the funds are used for agreed-upon purposes.

 

The NYPA board also approved a 700-kilowatt hydropower allocation to WNY Energy to support the creation of 10 jobs and $17.5 million in capital investments. The ten-year power allocation is in support of the construction of an 8,000-square-foot addition to its existing facility in Medina that produces technical and beverage grade ethanol. The company would also be making significant machinery and equipment purchases as part of its expansion project, which is expected to complete in 2021.

 

The firm, which has been a NYPA customer since it was established more than 15 years ago, has been receiving 5,000 kW in return for its commitment of 40 jobs. The firm is typically a major producer of ethanol for a variety of industries; however, due to the COVID-19 pandemic, the company modified its operations beyond the production of fuel ethanol to produce technical grade ethanol used in hand sanitizers. The company now provides clients with ethanol needed to produce sanitizer in response to the global pandemic. WNY Energy can produce up to 150,000 gallons of technical grade ethanol each day.

 

Low-cost Niagara hydropower is available for companies within a 30-mile radius of the Power Authority’s Niagara Power Project or businesses in Chautauqua County. Niagara hydropower is linked to tens of thousands of existing jobs in the region.

 

North Country

The NYPA board also approved a funding award under the Northern New York Power Proceeds program to In-Law Brewing Company in the amount of $51,000. The company, established in 2017, currently operates out of a 100-year-old dairy barn in Chase Mills, where it produces up to 18 different craft beers. The NYPA funding will directly support building construction, the purchase of machinery and equipment, and other items related to a business expansion. The firm will create five new jobs as part of the project.

 

The funding award applies net earnings from unutilized hydropower from the St. Lawrence-FDR Power Project in Massena to St. Lawrence County businesses and institutions. The Northern New York Power Proceeds Act, which was authorized by Governor Andrew M. Cuomo in December 2014, allowed for NYPA to deposit the net earnings from the market sale of unutilized electricity into a fund, which can then be used to support economic development projects in St. Lawrence County.

 

The NYPA board today also approved a 10-year contract extension of 1,850 kilowatts of low-cost St. Lawrence hydropower to Upstate Niagara for use at its North Country Dairy facility in North Lawrence. The firm is committing to employ at least 80 full-time employees and an average of $2 million per year in capital investments for the extended term of the allocation.

 

NYPA's hydropower allocations from the St. Lawrence-Franklin D. Roosevelt Power Project are provided to manufacturers under seven-year contracts and are reserved for businesses in Franklin, Jefferson and St. Lawrence counties.

 

Learn more about business growth opportunities supported by the Power Authority on NYPA’s Economic Development webpage.

 

Quotes of Support:

“The Recharge NY program has been an effective and useful tool for many communities and businesses,” Senator Joseph Griffo said. “I am pleased that the program continues to support jobs and investment in New York State.”

 

“As New York begins to reopen during the COVID-19 pandemic, this investment will fuel job creation and provide critical support to our state and local economy,” said Senator Tim Kennedy. “I congratulate HiOperater on this exciting news, and thank Governor Cuomo for his sustained commitment to Western New York's workforce.”

 

“North Country Dairy is a big employer and major economic contributor in our region, so I am very pleased with this news of a 10-year contract extension,” said Senator Betty Little. “I appreciate Governor Cuomo and NYPA directing this financial resource to support this plant which specializes in yogurt, especially at this critical time.”

 

“Congratulations to HiOperator receiving $230,000 and to WNY Energy on receiving a 700-kilowatt allocation of hydropower. These are critical steps to creating and maintaining local jobs and restarting WNY’s economy in the wake of this terrible pandemic,” Assembly Majority Leader Crystal Peoples-Stokes said. “I want to thank NYPA’s Board of Trustees and Governor Cuomo for his continued investment and commitment to WNY’s growth.”

 

“I am proud to join my colleagues in commending local businesses like Western New York Energy that adapted and rose to meet the challenge of the Covid-19 Pandemic,” Assemblyman Mike Norris said. “Modifying production to fulfill critical needs for our state is a testament the spirit of New York industry and I applaud the investment of ReCharge NY Power Allocations to businesses that think forward, help restart New York and grow our economy and new jobs for the future.”

 

“The 10-year agreement to provide low-cost power to North Lawrence Dairy will support our local dairy farmers, workers and our community,” Assemblyman Billy Jones said. “It is important to provide this valuable resource to assist our existing business as we work to strengthen and rebuild our economy.”

 

About NYPA

NYPA is the largest state public power organization in the nation, operating 16 generating facilities and more than 1,400 circuit-miles of transmission lines. More than 80 percent of the electricity NYPA produces is clean renewable hydropower. NYPA uses no tax money or state credit. It finances its operations through the sale of bonds and revenues earned in large part through sales of electricity. For more information visit www.nypa.gov and follow us on Twitter @NYPAenergy, Facebook, Instagram, Tumblr and LinkedIn.