To the Editor:

Do you feel generous today? Crossgates Mall wants $2.4 million in local tax breaks to build a private hotel on its Guilderland land. Personally, I think Guilderland could use another hotel, but that is a separate question than whether or not taxpayers should help them build it.

Believe it or not, Guilderland’s Industrial Development Agency, a board of unelected political appointees, can grant such a bonanza without any further approval needed. According to Crossgates’ own application, the hotel would generate only about 50 permanent jobs, mostly housekeeping and clerks, and some construction work just while the hotel is being built.

IDAs in general in New York State have become off-the-radar bastions of corporate welfare. According to a state comptroller report, nearly $700 million in tax breaks were doled out in 2015 alone by the state’s 109 IDAs. Many corporations involved have also developed a notorious reputation for not delivering on the jobs they promised.

IDAs can serve a useful purpose by creating low-cost financing and some financial assistance for worthy nonprofits and businesses. But their deliberations must be scrutinized very carefully. Keep in mind, so-called “tax breaks” are really tax shifts to the people not getting the breaks. That would be you.

A large chunk of the anticipated tax revenue from the new development would not go to our schools, county, town, or fire districts. It would be kept by Crossgates.

It was cause for concern to see I was the only person who questioned the tax breaks at the recent IDA public hearing. Lack of attention has its cost. Be sure to make your voice heard to the town supervisor and to the IDA board members (google Guilderland IDA).

Mark Grimm

Albany County Legislator

Guilderland

Editor’s note: See related Enterprise story from March 30, 2017: “Crossgates hotel seeks tax break.”