Thank you for the article on COMIDA. We badly need a public discussion of economic development. I have attended dozens of COMIDA meetings over several years, and not once has there been a proposal for improvement until community members call for it. IDA's in New York granted over $500 million in tax breaks in 2005 and $1.1 billion from 2003 to 2005. They do this on the basis of promises. And the record shows that only 36 percent of the promises are fulfilled. We need reform badly.
Board chair Robert Hurlbut is wrong about the necessity for tax incentives. Business consultants, major investors, even the mayor of New York, say that any business that decides to locate based on tax incentives is not a good investment.
It is also ironic that Hurlbut spoke at length about the worthiness of a single job in defense of the original subsidy approval. Over $300,000 in subsidy for the promise of one job: that's public money. The irony is that Hurlbut's nursing-home business has a history of bitterly fought resistance to spending Hurlbut money to provide a living wage and benefits for the workers.
This brings us to the need for living-wage and prevailing-wage standards for subsidized projects. It makes no sense to subsidize a business that has workers on food stamps, Medicaid and housing subsidies. Real economic development means that the community benefits, not just the business owner. According to Dr. Ronald Pollina, corporate relocation consultant and economist, the 10 top business-friendly states have adopted wage standards. We can do it too!
The state legislature and the governor are currently considering changes to the IDA laws that would include these and other reforms demanded by citizen action groups across the state. Our local elected officials and citizens, taxpayers all, have a lot at stake. Every tax break to one business is a tax increase for the rest of us.
Bill McCoy, Magee Avenue, Rochester