To The Editor:
What do you the taxpayer get, and how much do you lose, and who controls who gets a P.I.L.O.T. agreement?
The taxpayer gets another business that will not have to pay the full tax bill.
This is okay because the business will add jobs to the area.
How many jobs is the big question and how much will they make an hour is the other big question.
This past week I attended the E.D.P. committee meeting at the county
building.(Economic, Development and Planning committee).
I am not a member of this committee for a number of reasons.
In that meeting the Head of Operation Oswego County and Oswego County’s IDA presented the committee with a report that showed the new businesses and an existing business that were starting up or expanding.
A total of 32 new jobs will be created.
That’s all three businesses together.
One will create eight, another will create 16 and another two.
None of these jobs will pay the median income for the county.
Also, there is no guarantee or requirement they will hire that many.
There are construction jobs in there but they are only temporary jobs.
The permanent job salaries are about $22,000 (10.87 an hour) or less per year.
One P.I.L.O.T. agreement is for 20 years (two jobs created); the big one is for 30 years.
Asked during the meeting who controls who gets a P.I.L.O.T. , the answer was the IDA or O.O.C. and no one else.
There is a board but they vote in favor of the recommendation given by the IDA and OOC.
Let’s look at the big one.
A 30-year P.I.L.O.T. for the construction East Lake Commons LLC on the Midtown Plaza in the city of Oswego.
There will be 72 apartment units (24 market rate apartments and 48
low-income in downtown area or Section 8 housing.)
With more than half of the apartments as low-income units, how many people are going to pay full market rate to live there?
Hopefully, Oswego has a No Sponge Bob Square Pants drapes in the windows ordinance.
They are claiming to hire up to 16 full-time and 12 part-time employees.
They will pay a P.I.L.O.T. payment of 20,833 a year to the county.
Of that amount,10% will go to the IDA.
Which means the County will receive $18,000 a year over 30 years.
That adds up to $540,000.
Let’s compare this to what they would pay in taxes without the P.I.L.O.T.
During the EDP meeting Legislator Marie Schadt, D – District 19, ran the numbers as follows.
A property assessed at $26,348,869 should be paying $407,420 in county taxes,
$251,250 in city taxes, and $555,046 in school taxes a year.
The total is $1,213,746 a year.
Multiplied by 30 years, that comes to $36,412,380 tax dollars.
The county’s share would have been $12,222,600.
A far cry from $540,000.
All that to gain 16 full-time and 12 part-time and 48 low-income apartments
and below median income paying jobs.
We agree there should be P.I.L.O.T. agreements to attract new business and help existing businesses; but the agreement should be no longer than five to 10 years, depending on the size and the number of jobs created.
Well at least they are paying something.
The hotels owned by the Broadwell group don’t pay any taxes until the year 2032.
How much do you think they will be paying for their Water Park, built on the only land in that area they are paying taxes on?
Legislator Frank Castiglia Jr. Minority Leader – D-25th District