Broadridge Financial Solutions gets $2.4 million in tax breaks to keep 60 jobs in Islip Town

Broadridge Financial Solutions Inc., one of Long Island’s largest employers and highest-valued public companies, won more than $2 million in additional property tax breaks on Tuesday for two facilities in Islip Town.

The town board, which also serves as the board of the Islip Town Industrial Development Agency, voted unanimously to approve the incentives that potentially could stretch to 15 years.

The tax aid is part of a larger initiative that also involves Suffolk County and New York State and is aimed at keeping Broadridge from moving work to other states.

"This is part of a coordinated effort to retain Broadridge," said Islip IDA director John G. Walser, adding that the Suffolk IDA and Empire State Development, the state’s primary business-aid agency, have already granted more assistance to the company.

Broadridge functions as one of Wall Street’s back offices by delivering more than 7 billion documents to shareholders each year and processing trillions of dollars in stock trades each day. Besides its local operations, the fast-growing company has offices in Manhattan, Europe, Asia and Australia.

Securities filings show Broadridge reported a profit of $839.5 million for the year ended June 30 on revenue of $6.9 billion.

Last month, Gov. Kathy Hochul announced the company’s commitment to invest nearly $80 million in its Long Island facilities and to retain 2,200 jobs statewide in return for the new tax breaks and grant funding.

Broadridge had considered closing one of four facilities in Edgewood, a hamlet in Islip, and its Lake Success headquarters to save up to $270 million over 10 years. The plan would have reduced the company’s workforce in New York State to about 750 employees, according to an application for tax incentives from the Suffolk IDA last year.

Broadridge had considered transferring work and jobs to California, Connecticut, Florida, Tennessee and Texas, where it also has facilities, the application states.

On Tuesday, the Islip IDA granted $2.4 million in property tax savings over 12 years with an option to extend the savings for a further three years under certain conditions. The tax savings are for 120 Wilshire Blvd. and 300 Executive Dr. in Edgewood. Broadridge rents a portion of the total space from both.

In return, the company will invest $725,000 in the buildings and retain 60 jobs, according to Walser, the IDA official.

State records show the properties have been receiving tax aid for about a dozen years under an agreement reached in 2012.

After the IDA vote, Angie Carpenter, the agency’s board chair and Islip supervisor, told Newsday, "Broadridge not only provides high-quality jobs for our residents but also reinforces the town’s reputation as a hub for innovation and economic opportunity."

Broadridge spokesman Gregg L. Rosenberg said the company appreciates Islip "recognizing that there is significant competition from other states in attracting strong and growing companies. We thank the IDA for addressing this competition and taking steps to keep high-quality jobs on Long Island."

Islip’s action follows the Suffolk IDA awarding $17 million in additional tax breaks over 12 years for Broadridge’s other two facilities in Edgewood, and Empire State Development providing up to $40 million in grant money and tax credits.

The board of the state Power Authority next week will consider an application from Broadridge to extend the allocations of low-cost electricity that it already receives, said spokeswoman Natalie Asitimbay.

State records show Broadridge’s Edgewood facilities receive 2,400 kilowatts in return for retaining 1,713 jobs.

By James T. Madore

james.madore@newsday.comJamesTMadore

James T. Madore writes about Long Island business news including the economy, development, and the relationship between government and business. He previously served as Albany bureau chief.