$1.6 million in WNY power proceeds supports manufacturer's expansion project
The New York Power Authority board of trustees has approved $1.6 million in funding to Moog, one of the world's leading manufacturers of precision control components and systems with locations in Wheatfield and Elma in Western New York. The funding supports the company's creation of 100 jobs and the retention of 50 jobs in Niagara and Erie counties, and is directly tied to
Gov. Andrew M. Cuomo's May 2017 announcement that the firm would be expanding in Western New York.
"Moog's decision to expand at two locations in Western New York is strengthening the regional economy by creating an influx of new jobs and capital investments," said John R. Koelmel, NYPA chairman. "The company has been a longtime customer of the Power Authority and we're excited to continue to support its growth in both Wheatfield and Elma."
"The Power Authority, under Gov. Cuomo's direction and in concert with Empire State Development, has worked with Moog to facilitate the firm's expansion projects," added Gil C. Quiniones, NYPA president and CEO. "By leveraging multiple economic development programs fueled by NYPA's Niagara Power Project, we're able to provide significant incentives through both funding awards and low-cost hydropower allocations."
The funding will support a $26 million expansion project at Moog's test facility for space propulsion in Wheatfield, creating 50 jobs at the location and supporting the retention of 50 jobs. The building renovations include new machinery and equipment, furniture and fixtures, and other site improvements. Also included as part of the project is the installation of energy-efficient equipment, such as a new steam boiler, LED lighting upgrades and heating and cooling enhancements.
Moog has also committed to create 50 jobs at its Elma manufacturing facility. These jobs are in addition to 69 new jobs the firm committed to create at that location in return for a 4 megawatt low-cost hydropower allocation that was awarded to Moog in September 2017.
The NYPA funding award is made possible from net earnings from the sale of unused hydropower from NYPA's Niagara power plant and stems from power proceeds legislation signed into law by Cuomo in 2012. To be eligible for power proceeds awards, enterprises must be located within a 30-mile radius of NYPA's Niagara power plant, and the projects must support the growth of business and lead to the creation or protection of jobs. Contracts include provisions for periodic audits to ensure the funds are used for agreed-upon purposes.
Learn more about business growth opportunities supported by the Power Authority on NYPA's
economic development webpage.
As announced in May 2017, Empire State Development is supporting Moog's expansion projects with $8.5 million in performance-based Excelsior tax credits, which are tied to job creation commitments. Additionally, the Niagara County Industrial Development Agency is providing sales tax abatements and property tax abatements in support of the expansion.
"It's exciting that the Power Authority has decided to once again reinvest into our community and wishes to continue its vital role in the ever-expanding Wheatfield economy," New York State Sen. Rob Ortt said. "Not only will the funding provided by the NYPA board of trustees help ensure we retain one of the cutting-edge businesses in the field of precision control components and systems, but it will also be responsible for putting 100 Western New York residents to work. The importance that Niagara's power generation plays in our economy can't be overstated, and news such as this $1.6 million investment is certainly welcome."
"I applaud the Power Authority on the approval of this funding, and I also want to thank Moog for investing in Western New York," Assemblyman Angelo Morinello said. "This funding will create 100 new jobs and retain 50. Job security is vital to our community, and this just shows how much the community means to the Power Authority."
NYPA, the largest state public power organization in the nation, operates 16 electricity generating facilities and more than 1,400 circuit-miles of transmission lines. NYPA is a major power supplier for New York. More than 70 percent of the electricity NYPA produces is clean, renewable hydropower. NYPA uses no tax money or state credit; operations are financed through the sale of bonds and revenues earned in large part through sales of electricity. For more information about the Power Authority visit
nypa.gov.
