D&C Guest Essay on COMIDA
Jesse Lenney, president of Metro Justice, has written a guest essay in the D&C that neatly encapsulates the problem with New York State’s Industrial Development Agencies (IDA’s), including our local County Of Monroe IDA.
There is no accountability built into the system. Businesses that receive these IDA subsidies are not required by New York state law to create the promised jobs. According to a study by Jobs with Justice, in 2005 businesses receiving IDA subsidies across the state failed to create 63 percent of the promised jobs. In fact according to JWJ, over a quarter of the COMIDA-subsidized businesses cut their work forces after receiving tax breaks. And state law does not require businesses to repay the subsidies if they fail to provide the jobs.
Unlike all 10 of the top-ranking “pro-business states” (according to Pollina Corporate Real Estate ranking of business- friendly states), New York has not created any wage standards for businesses benefiting from these IDA subsidies. In fact, IDAs in New York are subsidizing low-wage businesses and allowing them to bring in construction workers from out of state.
Interesting.
We actually saw COMIDA work as it should when the Henrietta Holiday Inn received COMIDA subsidies which were then removed when the company hired non-union workers.
Nice catch, Sayhar. Thanks.