Southampton creates local hiring incentive

In the midst of budget cuts and likely layoffs, Southampton's town council passed two resolutions designed to help revive the area's economy and encourage hiring.

One program passed at Tuesday night's meeting would give a one-time incentive, most likely $1,000, to businesses that hire and sustain a position for a year, beginning at the end of 2012. Special consideration will be given to hires of town employees who would be laid off next year, or returning veterans from the Iraq and Afghanistan wars.

The program would initially be funded with $25,000 from the town's fund balance, but the sponsor of the resolution, Councilman James Malone, said he hopes to eventually grow the program with grant money.

The Hiring Incentive Rebate for Employers, or H.I.R.E., program was approved 4-1, with Councilwoman Bridget Fleming voting against it. Among her concerns was that town hall planned to lay off up to 21 workers, from police to youth bureau workers, and that the proposal needed more research.

"We had a room full of people begging us not to eliminate certain positions," Fleming said about the earlier part of the meeting, when those expected to be laid off appealed to the board for their jobs, "and we are talking about $25,000 here, which could be more than half a position."

Another resolution, passed 5-0, would revive the now-dormant Industrial and Commercial Incentive Board to promote economic development and job creation in the town. The board would work with other town advisory groups as well as outside government and private groups, to work with the business community in finding tax breaks or grant money, for instance.

Among those to be on the board would be representatives from the land management department; the offices of the town attorney, comptroller and assessor; a local business organization, the chambers of commerce and two community members.

In Southampton, where much of the economy is supported by tourism, summer went well for retailers and other businesses, but business has dropped off precipitously since Labor Day, said Micah Schlendorf, president of the Southampton Chamber of Commerce. Any new programs that seek to promote the businesses would be helpful, he said.

Jim Frankenbach, owner of Southampton Nursery, employs 11 people, most of whom work part time. He said the money isn't enough to spur him to create a job, but he likes the idea.

"It seems smart to me," Frankenbach said. "Maybe more companies that hire year-round would take advantage of it."