COALITION FOR SUSTAINABLE ECONOMIC DEVELOPMENT

Tax Abatement Policy Recommendations

Tax abatements are a privilege that should only be granted upon considering an
applicants commitment to providing the following community benefits. Rather than an
all or nothing approach to abatements, a policy of granting graduated levels of
abatements - including enhanced abatements - may be provided based on the extent of
the applicants commitment to providing the community benefits identified below.
Municipalities, TCAD and the IDA should be proactive in recruiting businesses that
provide these benefits.

Community Benefits
Hiring and Working Conditions
Developers and employers have no documented history of wage-theft and ensure that
everyone involved with the building of the project, as well as those who work in the
finished product, will make at least a living wage as defined and updated by
Alternatives Federal Credit Union every two years.

The developers and managers of the finished product will have a diversity hiring
commitment in place for all pay grades.

At least 90% of all project employees of the general contractor, subcontractor or

subcontractor to a subcontractor (collectively the workers) working on the project must
reside within the local labor area (defined as Tompkins, Schuyler, Cortland, Tioga,
Chemung, Seneca and Cayuga counties.) Companies do not have to be local
companies as defined herein, but must employ local workers residing within the local
labor area to qualify under the 90% local labor criteria.

All workers involved in the project will have the right to organize and their human rights
as defined by the 1948 Universal Declaration of Human Rights will be respected.

For projects over $500K contractors, subcontractors, and subcontractors to

subcontractors shall have in place a state approved apprenticeship program if their
craft falls under the jurisdiction of a craft represented by the local building trades
council.

Developers and employers will have an ongoing record of maintaining safe and healthy
working conditions for all employees and contractors.

Employers and contractors will not ask about prior criminal convictions on their job
application or in the initial interview process.

Environmental Protection
The design, construction and operation of the project uses energy efficient building
practices, minimizes use of fossil fuels, and furthers the Countys goals of reducing
greenhouse gas emissions.

Projects will protect important or fragile environmental resources (as identified by

governmental advisory bodies or through other credible evidence), such as woodlands,
wetlands, streams or lakes, air or water quality, steep slopes, neighborhood character or
historic features.

Projects will contribute to a sustainable development pattern, such as density or

transit oriented development, not suburban sprawl.

Social Justice
The project increases equal access to basic services including food, water, and
energy security, and

The project supports our community goal of encouraging development of and use of
minority and women-owned businesses.

Residential projects will provide mixed-income housing that is available and affordable
to low- and middle-income families, particularly in the city core.

The project uses locally sourced goods and materials in their projects in construction
and in operation to the degree possible.

The applicant demonstrates good corporate citizenship, including a history of

compliance with local building codes, payment of taxes on time, etc.

The applicant demonstrates a financial need for tax abatement.

Public Process
Since tax abatements involve a waiver of significant levels of public monies there should
be a robust process to inform and engage the public during multiple stages of the
abatements development. A transparent public process can help ensure positive
outcomes for both developers and the community.
For all projects applying for tax abatements, the relevant municipality (city, town, county)
shall conduct a transparent, accessible public process that includes the following steps:

Posting notice that an abatement has been applied for, and a timeline for procedural
steps in the abatement process.

Posting the abatement application and all related documentation online and in the
relevant municipal library and the County library as soon as possible.

Conducting an initial public information session - while discussions between TCAD, the
municipality and developer are still in formative stages - in which the public has an
opportunity to ask questions, articulate expectations for public benefits, and otherwise
provide input on the abatement application.

Providing the public with the developers and governing bodys responses to questions
and concerns raised in the public information session before the municipality or the IDA
rules on the application.

Posting notice of public hearing on the abatement and providing all related documents
online and in the County and relevant municipal public library at least 10 days before
the public hearing.

Abatement Application
The abatement application should be a mechanism for establishing accountability.
Instead of check boxes, the application should request descriptions. For example:
instead of Do you have diversity in hiring practice? Yes / No application should say
Describe your diversity in hiring practices. What is the current diversity of your
workforce?

Accountability
For all projects that have been granted tax abatements there should be mechanisms in
place to ensure that the project adheres to the community benefits agreed to when the
abatement was granted, and recapture policy should be invoked for projects which have
not complied with the terms of their abatement contract.
Information about the projects adherence to the terms of the abatement agreement
and/or recapture actions will be made public both online and in relevant public libraries.

IDA Committee Structure

In appointing members of the IDA, the County Legislature should attempt to ensure that
the following interests are represented:
School District
Social Justice and Equity
Labor
The Environment
Municipal Government
Businesses