Archive: Business & Technology

The Office of State Comptroller Thomas P. DiNapoli (OSC) has notified Tompkins County Area Development (TCAD) that they will audit the Tompkins County Industrial Development Agency (IDA). TCAD manages the IDA on behalf of the county.  DiNapoli has questioned the effectiveness of IDAs throughout the state, and has argued for more state oversight and accountability.

“In many parts of New York, IDA projects provide a much-needed boost to local economic development efforts,” DiNapoli said last May. “However, I continue to stress the need for more accountability and disclosure to ensure taxpayers are getting their money’s worth. Accurate reporting is vital for determining whether job creation goals are reaching their benchmarks and this report shows improvements need to be made. New Yorkers should not be left to doubt the effectiveness of providing businesses with tax breaks and other benefits.”

But TCAD President Michael Stamm says the Tompkins County IDA has been effective at creating new jobs.  Since its first project in 1973, he says the IDA has assisted 108 projects that resulted in 4.8 million square feet of newly constructed and renovated facilities, an investment of $776 million in facilities and equipment and the creation of over 5,200 high quality jobs. These projects have paid over $46 million in property taxes to local school districts and municipalities.

The IDA is the branch of Tompkins County that continues to negotiate with Cayuga Operating Company on its PILOT agreement to determine the power plant's property value, which has noticably impacted Lansing property taxpayers in the past three years.

The IDA was audited by the OSC in 2004. The audit covered activities from 1993 to 2003 and resulted in effective feedback for TCAD to refine some of the IDA procedures.

IDAs are governed by a variety of complex State regulations and reporting requirements, some of which are changed on an annual basis. TCAD devotes substantial resources to complying with these complex requirements. In 2011, TCAD hired an independent consultant to review the Tompkins County IDA to ensure compliance with all State requirements.

A mailing Wednesday said, "TCAD looks forward to the results of this audit and any suggestions that might be made to aide better compliance with the complex state requirements."

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