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Tax Cuts And Workers Show the Empire States' Commitment

Financial incentives are attractive, but it's an overall attitude that draws and keeps companies in New York.

  [ 7/8/1998 ]  By: Kerrie L. Bertz   Print This Article  Reprint/License This Article  E-mail This Article To A Friend  
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Frankfort-based Granny's Kitchens Ltd. doubled its donut production facility in 1993 to 80,000 square feet. Last year the national wholesale manufacturer added another 30,000 square feet. The latest investment exceeded $2.5 million.

"The decision was made [because of] the governor's personal commitment to work with us in the community," said Alan Rosenblum, Granny's president/CEO. "The governor actually came down to the plant and spearheaded the incentives. One of (Gov. George) Pataki's personal projects is to help manufacturers create jobs. The bottom line is job development, and he knows that."

Granny's incentives included an infrastructure improvement grant of $125,000, a low-interest loan for roads and property grading, low-interest financing for equipment, employment-based tax incentives, $8,000 in training money, and other refunds, exemptions and credits for being in an economic development zone.

"We took proposals from Georgia, North Carolina and other communities that had the infrastructure in place," Rosenblum said. "But our roots are here, and we wished to stay in the Mohawk Valley Region. But we needed the state to help us remain competitive."

While incentives and programs have improved, creating a pro-business climate is an evolving process, according to Duane Hopper, president and CEO of Graphic Controls Corp. in Buffalo.

"New York State has a ways to go; however it's encouraging to see tax cuts and a progressive attitude," said Hopper, whose medical supply company has been in New York since 1956. "If the trends continue the way they have, it will get better and better."

Worker dedication
Employers are not surprised by the commitment residents show toward furthering their educations. In fact, they say it is representative of the dedication workers show to their jobs.

"People here are very focused," said Ron Longo, co-owner of Northern Safety Company Inc., located in central New York. "That's primarily why we wanted to stay here. We've built a strong business with quality workers. Without them, we wouldn't have grown our business."

A slew of incentives, including a $125,000 infrastructure improvement grant, helped secure Granny's Kitchens Ltd.'s expansion in Frankfort.
The wholesale distributor of industrial safety products is building a 90,000 square foot facility in Frankfort, just southeast of its current location in Utica. In addition to New York, Longo and his brother, Sal Longo, considered sites in the Carolinas and Kentucky for the $6 million investment.

"If you're looking for good, hard-working people with a strong work ethic, low turnover and dedication, then you'll find it here," said Longo. "We're a mail-order company. We could have moved anywhere, but the work force in New York is so strong that we didn't feel we could duplicate that anywhere else.

"I've found that New York people are very focused for at least nine months out of the year," he said. "They don't mind working hard or working overtime when it's really cold out. We have a very low turnover. People don't call in sick, and they don't show up late like they might in a warmer climate."

Longo went on to compliment the loyalty New York workers show.

"New York has always seemed to have a negative union label, but it's not that way any more," he said. "If you treat your workers well, you don't even hear from workers or unions. We like to say, 'Our people don't work for us; they work with us.' We've only lost four people in the past three years, and two of them have come back to work for us."

 

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