Low-Cost Hydropower Allocations and Funding Awards Approved by the New York Power Authority Will Support Clean Energy Production and New Business Investments in the Region
Governor Andrew M. Cuomo today announced the creation and retention of more than 170 jobs in the North Country through low-cost hydropower allocations and funding awards approved by the New York Power Authority Board of Trustees. The recipients of the power and funding awards include Arconic in Massena, North American Forest Group in the Town of Oswegatchie, Queenaire Technologies in Ogdensburg and the St. Lawrence County Chamber of Commerce. These incentive awards build on the Governor's announcement of the latest round of ReCharge NY allocations, which include power allocations to two other North Country firms.
"In New York we are leveraging our clean power assets to support jobs and economic investments around the state, and this strategy has been especially effective in the North Country region," Governor Cuomo said. "These power allocations and funding awards will provide continued support and security to enterprises looking to stay and grow in the region for years to come."
"Supporting businesses and growing jobs is one of our most important priorities for the North Country," said Lieutenant Governor Kathy Hochul. "With these awards of low-cost hydropower and funding, we are supporting clean energy production, and creating new opportunities for expansion for companies here in New York."
The NYPA board allocated 5 megawatts (MW) of low-cost hydropower to Arconic, a global technology, engineering and advanced manufacturing leader located in Massena, in return for a commitment from the manufacturer to retain 145 jobs for 10 years. Arconic previously benefited from NYPA hydropower under an existing Power Authority contract with Alcoa at the same location. That contract is currently set to expire in March 2019 and negotiations between NYPA and Alcoa on a new contract are still underway.
Eugene L. Nicandri, NYPA vice chairman and Massena resident, said, "Arconic's decision to commit to the North Country for the long-term is great news for the region. These are 145 jobs that will stay in the region for years to come. As both a NYPA trustee and a resident of Massena, I couldn't be more proud of this significant announcement."
Gil C. Quiniones, NYPA president and CEO, said, "These economic development awards, highlighted by Arconic's commitment to Massena, provide a significant boost to the local economy in Northern New York. Through NYPA's low-cost power and funding awards, we're able to leverage the St. Lawrence-FDR project for the benefit of the region's economy."
The NYPA board approved a one-megawatt power allocation to North American Forest Group (NAFG) in return for a commitment by the firm to create at least 21 new jobs and invest $2 million into its establishment of a sawmill operation. NAFG's expansion is also being supported with a performance-based grant from Empire State Development, and funding and incentives from the St. Lawrence County IDA, the Development Authority of the North Country and the Ogdensburg Growth Fund.
The NYPA trustees also approved two recommendations of funding awards from the Northern New York Power Proceeds Allocation Board.
Queenaire Technologies, a manufacturer of ozone-based cleaning machines, was awarded $59,600 in support of a nearly $300,000 project to expand its existing warehouse, complete research and development, purchase new equipment and provide training to staff. The expansion is expected to lead to the creation of six new jobs.
St. Lawrence County Chamber of Commerce was awarded more than $220,000 as part of a $1.1 million initiative to establish a tourism and events division in the county. The new division will launch a marketing strategy that leverages the area's reputation as a fishing destination and create new events that focus on other year-round recreational prospects offered by local natural resources in order to increase tourism activity and encourage tourism related business development.
The funding awards apply net earnings from unutilized hydropower from Massena's St. Lawrence-Franklin D. Roosevelt Power Project to county businesses and institutions. The Northern New York Power Proceeds Act, which was authorized by Governor Andrew Cuomo in 2014, allowed NYPA to deposit the net earnings from the market sale of unutilized electricity from the 20 megawatt St. Lawrence County Economic Development Power program into a fund, which can then be used to support economic development projects in St. Lawrence County.
The Northern New York Power Proceeds Allocation Board makes regular funding recommendations on economic development projects in St. Lawrence County to the NYPA Board of Trustees. Eligibility criteria and application instructions may be found at the proceeds board's website at www.nypa.gov/NNYPPAB/.
Empire State Development President and CEO Howard Zemsky said, "Through the collaborative efforts of the State and local partners, New York continues to promote business growth and encourage economic development across the North Country."
Patrick J. Kelly, CEO, St. Lawrence County Industrial Development Agency, said, "These allocations are evidence that the continuing economic development partnership between NYPA and the IDA is creating results. Not only are manufacturing projects in multiple communities being supported, the County's ability to capitalize on tourism and recreation activities will also be greatly enhanced as a result of these awards."
Senator Joseph Griffo said, "I am pleased that the New York Power Authority Board of Trustees has approved a variety of economic development incentives that will help to create and retain jobs across the state and in the North Country. These incentives wisely utilize New York's hydroelectric assets to provide low-cost power and funding awards, generated from the sale of hydroelectric power, in order to further economic development in the state."
Senator Patty Ritchie said, "Not only does the New York Power Authority's St. Lawrence-FDR Power Project help generate clean, renewable power, it acts as a catalyst for the economic growth of our region. I look forward to seeing how the investments announced today by the New York Power Authority help the North Country continue to grow and create much-needed jobs."
Assembly Member Addie A.E. Jenne said, "Our abundant low cost hydropower is a key advantage for our region as we work to retain our longstanding businesses and grow our economy. I am pleased that industry like Arconic and our state and community are able to come together to ensure good jobs for our hard working families. I applaud the focus of building off our strengths. It bodes well for our long-term success."
Massena Town Supervisor Steve O'Shaughnessy said, "NYPA's support of new and existing businesses has been a tremendous benefit to our region. The availability of low-cost power and other incentives provided by NYPA are a key component of our efforts to build the local economy and provide good-paying jobs in our community,"
Massena Mayor Tim Currier said, "NYPA remains an important partner in our economic development efforts. I want to thank the Power Authority for their continued support of economic development initiatives in our region. Our community benefits in many ways from the St. Lawrence-FDR Power Project and the low-cost power that is used to retain and attract new businesses to our region."
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 70 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.