COMIDA meeting - more of the same
Well, the annual State of COMIDA meeting came and went.
There was a protest by Metro Justice along with press and interview at 11:30. The only TV coverage I see is the link.
The meeting went about an hour. The press was there covering the annual report by COMIDA as well as, I’m sure, the town of Brighton’s pursuit of COMIDA grants, allocations, tax breaks given to the Wellesley Hotel.
There is an annual report and eventually it will be up on their web site (I’ll add a link later) . Judy Seil took the audience through it. Also - it appears Judy is no longer the Acting Director, now she is the Monroe County Director of Economic Development - so I suppose congratulations are in order. Anyway - her presentation had lots of numbers and graphics - but I took away this point.
In 2007 COMIDA allowed $405 million dollars to be used tax free in the form of various tax breaks (mortgage tax exemption, Sales tax exemption, etc) or loans and she says they created about 1,300 new jobs as well as retaining ~6300 jobs.
So - anyone want to do the math? Assuming the numbers are accurate. 7,600 jobs for $405 million dollars.
Um - what could we spend $405 million dollars on? Remember - COMIDA reallocates tax revenue so that $405 million is money that is not coming into town or county coffers. Just being silly here, but Maggie Brooks’ mantra is lower property taxes - $405 million dollars seems like an awful lot of money that could reduce our overall tax rate by having more entities pay into the system. Well, maybe not so silly after all.
Don’t get me wrong - everyone wants a free lunch, so why would a company leave money on the table if they can lower the cost to their particular enterprise? But, as we have said time and time again, well, actually Bloomberg said it - a business that relays solely on a tax break to meet its bottom line isn’t much of a business.
I think reader Bigboy, in the comments of a previous post, hit it on the head with regards to a comment about corporate welfare:
…Same thing with Seabreeze - a family run business that is not going anyhere. Or Manning and Napier - a highly successful multiBILLION dollar money manager that got funds to move from downtown to Woodcliff. Or Mid-town athletic, a franchise that happens to want to Clay tennis courts at taxpayers expense.
Oh, and that bit about retained jobs? What is that? Just companies not promising to move away? Like Seabreeze? Mid-town athlectic club? Any of the hotels that received grants, the Dentists? and the list goes on.
$405 million dollars
Get your tax bill yet? Comparing 2008 and 2007? Complaining about the increase, or just complaining about taxes in general?
Well, not everyone actually pays them, thus shifting the burden on to those who do.
COMIDA needs to be more diligent as to who they award tax incentives to, so we can ensure we get the most for our tax dollar.
Seabreeze shouldn’t really be mentioned in this context. It’s not like the park can get up and move somewhere else, only close. And no one in the Rochester area should want that to happen. It is a valuable local attraction. I used to work there and you’d be amazed how far people travel to get there for the day. If keeping the park open means a few tax breaks or a few subsidies I think the Rochester area can live with it.
They only have maybe 10 employees year around. The rest are just high school and college kids that they exploit for low wages all summer. The argument is valid for Mid-town or Manning and Napier though, they shouldn’t receive any public funding/support. They aren’t a historical part of the community.
Seabreeze is a family owned business that has the capability to raise rates and pass along the costs of those who use it. The money benefits one family - not the kids or workers who can never even aspire to be in upper management. I hope that COMIDA aslo does not begin to underwrite movie theaters, roller rinks, ski resorts, or the myriad of private family/entertainment facilities like the YMCA. I guess they are on par considering mid-town athletic club. And what happens the next time someone doesn’t budget the books at Seabreeze, am I going to be asked to fund it then again? I am tired of handouts and corporate welfare. I like Seabreeze but I should not have my tax rates go up to support it - that is what their day ticket or “user fee” should cover.
[...] Got Cabana boys? Don’t have to disclose membership or revenues, but lots of local politicians are members. Is this the wisest investment of tax breaks? [...]