Tuesday, January 29, 2008

NY vs PA: NY Loses

An article appeared today in the Binghamton Press & Sun-Bulletin that illustrates what we Upstaters are up against when competing for jobs, even against states in our own back yard. "Endicott firms opts against staying in NY." Camco Manufacturing, which employs 50, will be closing in Endicott, NY and reopening about 45 miles away in Athens, PA, just across the NY border. Its president, Rich Arnold commented:
"We're sorry to leave, but New York state -- between property taxes, NYSEG costs, workers' comp -- it's about $150,000 a year extra to stay ..."
$150,000 for 50 employees works out to $3,000/year for every employee!

Endicott Mayor Bertoni and other local officials tried to get Camco to stay with incentives.
"For every line item, it was as good or better than moving away." said Bertoni, noting that officials were willing to offer Camco additional power supply at municipal rates to expand, as well as various tax incentives tied to job retention.
Maybe it is the "incentives" that is the problem. Businesses that are good for the community won't look for handouts because they know that "incentives" will raise everyone else's taxes ... and at some point, they will be paying for someone else's "incentive."

What ever the governor plans for Upstate, it is doomed to fail unless the cost of doing business in Upstate NY is brought into line with other states - - WITHOUT "INCENTIVES."

5 comments:

Anonymous said...

Awesome post!

RomeHater said...

It always costs more to give a business money rather than cutting taxes to make conditions better for everyone.

Strikeslip said...

When will they ever learn?

Mrs Mecomber said...

They don't want to learn.

Mrs Mecomber said...

They don't want to learn.