A fast-growing drugmaker in Hauppauge is getting help from New York State to reduce its electric bills over seven years, Gov. Andrew M. Cuomo announced Tuesday.
Contract Pharmacal Corp., which employs more than 900 people, will receive 726 kilowatts of cheap electricity from the Power Authority in exchange for promising to retain 500 workers and hire 200 more.
A thousand kilowatts equals 1 megawatt, which equals the electricity used by 800 to 1,000 homes.
Contract Pharmacal plans to spend $19 million on its operations, which produce over-the-counter drugs, vitamins and dietary supplements for pharmaceutical giants and retailers. It added a seventh building in January and is converting the mezzanine area of another into production space.
Eric Antman, the company's chief financial officer, said the energy savings "allows us to continue to invest in the business, which adds jobs. . . . It also helps lower the costs to make the product, and that allows us to continue to be awarded new business."
Another agency, Empire State Development, gave Contract Pharmacal more than $2.1 million in state tax credits last year to support its expansion. The Suffolk County Industrial Development Agency also provided tax breaks.
Contract Pharmacal is among six businesses on Long Island winning incentives from the Power Authority's ReCharge NY program. Contract is receiving the largest allocation of low-cost electricity in the latest round of awards.
The second-largest allocation, 692 kilowatts, is going to Dealertrack Technologies Inc. for a new headquarters near its current home in Lake Success. A company spokesman and state officials Tuesday declined to identify the location.
In a securities filing, Dealertrack, which makes software for car dealers, said it expects to buy out its existing lease at 1111 Marcus Ave. for $4 million.
The company is receiving a reduction in electric bills over seven years in return for a $15 million investment and adding 155 people to its local workforce of 500.
Joseph J. Kearney of the Nassau County Industrial Development Agency said, "We have been working together with the state in our efforts to make Nassau County Dealertrack's long-term home."
Others receiving cheap electricity include:
Webair Internet Development Inc. will use 266 kilowatts for a $15 million expansion in Garden City that creates six jobs and preserves 34.
CPI Aerostructures Inc., a defense contractor in Edgewood, will invest $4 million in its operations and retain a workforce of 268. With Joe Ryan