TODAY'S PAPER
77° Good Morning
77° Good Morning
Business

State power authority awards low-cost electricity to 8 local concerns

Island International Exterior Fabricators, located on the site

Island International Exterior Fabricators, located on the site of the former Grumman plant off Route 25 in Calverton, seen on Sept. 13, 2016. Photo Credit: Newsday/John Paraskevas

A manufacturer of prefabricated building facades in Calverton plans to increase the size of its workforce by 46 percent to 318 workers as part of a $2.7 million expansion, state officials said.

The expansion project by Island International Exterior Fabricators LLC was awarded low-cost electricity from the state Power Authority on Tuesday. Seven allocations for other organizations also were approved by the authority’s board, including five for Northwell Health sites in Nassau County.

“These power awards incentivize businesses to stay and grow in our state for the benefit of all New Yorkers," Gov. Andrew M. Cuomo said.

The ReCharge NY allocations are for seven years and can save companies and nonprofits thousands of dollars annually on utility bills. The electricity is produced by dams near Niagara Falls and along the St. Lawrence River upstate, not by plants burning fossil fuels.

In return for 706 kilowatts of cheap hydropower, Island International promised to preserve 218 jobs in multiple buildings at Calverton’s Enterprise Park, which once was home to a Grumman Corp. aircraft manufacturing operation. The company plans to add 100 jobs over the next few years, the highest job count among those entities that received power allocations on Tuesday.

A thousand kilowatts can power between 800 and 1,000 homes.

Island International designs and produces building facades for offices, hotels, museums and apartments in the metropolitan area. "We are appreciative of everything that New York State has done, but we decline to comment until we see the particulars" of the ReCharge NY award, company executives said. 

The power allocation is Island International's latest government incentive for a project that calls for adding 85,000 square feet to its Calverton facilities.

In February, the Riverhead Town Industrial Development Agency granted tax breaks totaling about $4 million over 15 years after the company spurned the IDA’s initial offer as being too low. Empire State Development, the state’s primary business-aid agency, has granted $4 million in state tax credits, according to IDA documents.

Among the latest power recipients, Northwell was allocated 686 kilowatts for five locations, where it plans to invest a total of $840,000. The health care giant also has committed to retaining the most employees: 3,144.

Long Island Fireproof Door Inc. in Port Washington has pledged to invest the most in its facilities: $5 million. The company, like Island International, had considered moving its production operation to Pennsylvania.

Long Island Fireproof won 156 kilowatts in return for promising to add 20 jobs to its payroll of 310.

The other power recipient is U.S. Alliance Paper Inc. in Edgewood. 

Power Authority CEO Gil C. Quiniones said ReCharge NY “has been especially effective on Long Island, where it has created more than 2,400 jobs and $3.1 billion in capital investments since the program launched in 2012.”

Comments

We're revamping our Comments section. Learn more and share your input.

More news