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GCEDC Board to consider final incentives for $345M solar project in Byron and $55M STAMP electrical substation

By Press Release

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors will consider approving final incentives for a $345 million solar project in the Town of Byron, and construction of a campus-wide electrical substation at the Science Technology and Advanced Manufacturing Park (STAMP). Both matters will be discussed at the agency’s June 3 board meeting.

NextEra Energy Inc. is planning a $345.55 million Excelsior Energy Center utility scale solar farm project to be located on multiple agricultural properties in Town of Byron. The project is a 280 MW (AC) solar generation system, and a 20 MW 4-hour energy storage system, that will be interconnected with the electric grid.

The project will provide enhanced property tax payments via a 20-year PILOT (Payment In Lieu Of Taxes) and host benefit agreements. The project will contribute $6,500/MWAC in total PILOT/host benefit payments annually + a 2 percent annual escalator over the 20-year term.

Resulting property tax-type benefits of the project in the Town of Byron, Byron-Bergen Central schools, and Genesee County are estimated at over $45.2 million.

NextEra Energy is seeking approximately $32.7 million in property and sales tax incentives. A public hearing on the proposed agreement was held April 19.

Plug Power Inc. is planning to invest $55 million toward a campus-wide substation at STAMP. The substation will enable 100 percent renewable, reliable electricity at less than $0.035/kwh to future tenants in partnership with the New York Power Authority and National Grid.

The proposed substation investment is in addition to the $232 million Plug Power is investing to build a green hydrogen manufacturing facility at STAMP. The facility is estimated to create 68 full-time jobs.

Plug Power is seeking approximately $2.8 million in sales tax incentives related to the substation construction. A public hearing on the proposed agreements will be held at 10 a.m. on June 3.

The GCEDC Board meeting is at 4 p.m. and because of the ongoing coronavirus pandemic the meeting will be conducted via videoconference and can be viewed online at www.gcedc.com.

Schumer proposes $52B in fed aid & incentives as catalyst for Upstate's semiconductor fab industry

By Press Release

Press release:

U.S. Senate Majority Leader Charles E. Schumer met with Micron Technology President and CEO, Sanjay Mehrotra, to pitch Micron to locate a future plant in Upstate New York after filing the bipartisan U.S. Innovation and Competition Act* last week.

The legislation combines his Endless Frontiers Act, other bipartisan competitiveness bills, and $52 billion in emergency supplemental appropriations to implement the semiconductor-related manufacturing and R&D programs authorized in last year’s National Defense Authorization Act. It also supports a legacy chip production program that is essential to the auto industry, the military, and other critical industries.

During his meeting with Mehrotra, the senator said New York boasts several sites across Upstate ready to be home to a new Micron facility -- from the STAMP** campus in Western New York (in Genesee County's Alabama) and the White Pines campus in Central New York, to Marcy Nanocenter in the Mohawk Valley and Luther Forest in the Capitol Region.

Schumer expressed his strong support for the project coming to the Empire State. As new federal incentives are being considered, Micron is evaluating opportunities to strengthen the company’s manufacturing and R&D footprint.

“Micron’s interest in exploring options to expand its footprint in the U.S., and potentially in Upstate NY, is exciting news for the entire state and country. I made it clear to Micron that I strongly support locating a cutting-edge memory fab at one of the several shovel-ready sites across New York and reiterated that Upstate NY’s robust semiconductor industry makes it the perfect place for Micron to settle,” Senator Schumer said.

“Our world-class manufacturing workforce combined with New York’s considerable experience in semiconductor manufacturing and R&D means the state is revving and ready to welcome a new facility. I stand ready to help Micron harness all that the federal government has to offer for the U.S. to continue to lead the semiconductor industry and cement New York as a global hub for high-tech manufacturing.”

Schumer added, “When I first announced my proposal to create the first-ever new federal semiconductor manufacturing and R&D incentives program, I said it could put sites across New York in contention for landing new semiconductor fabs and the thousands of new jobs that follow.

"I filed the bill to fully fund my proposal last week and am working to have the Senate pass the bill by the end of this week, but already it has sparked consideration by companies like Micron to expand domestically.

"Once we are able to pass the emergency funding into law, I will work to secure the federal investment necessary and offer my all-out support to help Upstate compete for this plant and other facilities that will help shore up our domestic semiconductor supply.”

Schumer pointed out, the United States has gone from producing 24 percent of the world’s semiconductors in 2000, to just 12 percent, while China by comparison, has gone from producing zero chips to 16 percent of the world’s supply. This is because the United States is not matching the investments that other competing nations are making in order to land new job-creating semiconductor chip fabs.

The historic U.S. Innovation and Competition Act, will provide federal incentives to semiconductor fabs in the United States, helping to reverse the trend of foreign-made semiconductors and level the playing field for companies like Micron to build new fabs in the United States.

Schumer said Micron is a strong supporter of CHIPS and passage, along with strong government support for a project, would increase their consideration of building new fabs like this one in the United States.

Micron is the only manufacturer of semiconductor memory and storage solutions in the United and the world’s fourth-largest semiconductor company. Employing more than 40,000 people in 17 countries, Micron is headquartered in Boise, Idaho, where it operates one of the world’s most advanced R&D centers, and has a strong U.S. manufacturing presence in Manassas, Va.

*U.S. Innovation and Competition Act -- section by section summary here, pdf / legislation text here, pdf

**STAMP is the acronym for Science and Technology Advanced Manufacturing Park.

Schumer introduces bill to invest $53 billion in domestic semiconductor production

By Press Release

Press release:

Today, U.S. Senate Majority Leader Charles E. Schumer filed the bipartisan U.S. Innovation and Competition Act, which combines Schumer’s Endless Frontier Act, other bipartisan competitiveness bills, and $52 billion in emergency supplemental appropriations to implement the semiconductor-related manufacturing and R&D programs authorized in last year’s National Defense Authorization Act and a program to support legacy chip production that is essential to the auto industry, the military, and other critical industries.

An additional $1.5 billion is provided for implementation of implement the USA Telecommunications Act that was also passed as part of last year’s NDAA to foster U.S. innovation in the race for 5G. This package of innovation bills will receive a final Senate vote in the days ahead.

“The U.S. Innovation And Competition Act will be the blueprint to make Upstate New York the global innovation and semiconductor hub as one of the most significant government investments in American innovation and manufacturing in generations,” said Senate Majority Leader Schumer.

“I’m proud that this bipartisan legislation advances my Endless Frontier Act to keep the U.S. on the cutting-edge of technology and provides a historic investment in the nation’s semiconductor industry that will strengthen national security and create jobs across Upstate New York. We must invest in R&D, innovation, and manufacturing to ensure the U.S. continues to lead the world in science and technology. The Empire state is the perfect place to grow innovation industries, including our semiconductor R&D and manufacturing, and my amendment will solidify New York as a global hub for technology.”

Schumer added, “I’m making it a top priority to move quickly and secure the necessary funding to stand up the semiconductor programs I fought to pass into law last year that will bring us one step closer to ensuring our domestic semiconductor industry can safely and securely supply our military, intelligence agencies, and other government needs. This is a step essential to growth in high-tech R&D, manufacturing, and jobs across Upstate New York and to our national security and U.S. leadership in this critical industry."

Details on the supplemental appropriations proposed by Senator Schumer appear below:

·       $49.5 billion allocated over 5 years for a CHIPS for America Fund. Funding must be used to implement the Commerce Department semiconductor incentive and R&D programs authorized by the FY21 NDAA (Sec. 9902 & 9906). Within the fund, the following appropriations are available:

o   Incentive Program: $39 billion appropriated upfront and allocated over 5 years to implement the programs authorized in Sec. 9902. $2 billion is provided to solely focus on legacy chip production to advance the economic and national security interests of the United States.

§  $19 billion in FY22, including the $2 billion legacy chip production funding

§  $5 billion each year, FY23 through FY26

o   Commerce R&D programs: $10.5 billion appropriated upfront and allocated over 5 years to implement programs authorized in Sec. 9906, including the National Semiconductor Technology Center (NSTC), National Advanced Packaging Manufacturing Program, and other R&D programs authorized in Sec. 9906.

§  $5 billion in FY22

·       $2.5 billion for advanced packaging

·       $2 billion for NSTC

·       $500 million for other related R&D programs

For use across the advanced packaging, NSTC, and other related R&D programs, the following would be provided:

§  $2 billion in FY23

§  $1.3 billion in FY24

§  $1.1 for FY25 and FY26 

·       $2 billion for a CHIPS for America Defense Fund: Funding is appropriated up front and $400 million is allocated each year, over 5 years for the purposes of implementing programs authorized in Sec. 9903(b), providing support for R&D, testing and evaluation, workforce development, and other related activities, in coordination with the private sector, universities, and other Federal agencies to support the needs of the Department of Defense and the intelligence community.

·       $500 million for a CHIPS for America International Technology Security and Innovation Fund: Funding is appropriated upfront and $100 million each year, allocated over 5 years to the Department of State, in coordination with the U.S. Agency for International Development, the Export-Import Bank, and the U.S. International Development Finance Corporation, for the purposes of coordinating with foreign government partners to support international information and communications technology security and semiconductor supply chain activities, including supporting the development and adoption of secure and trusted telecommunications technologies, semiconductors, and other emerging technologies.

An additional $1.5 billion is provided for the implementation of implementing the USA Telecommunications Act that was also passed as part of last year’s NDAA to foster U.S. innovation in the race for 5G.

Details on the Endless Frontier Act:

The Endless Frontier Act, as reported by the Senate Commerce Committee, seeks to maintain and build on U.S. science and technology leadership through investments in research and 5 development and strengthening regional economic development, manufacturing, and supply chains. The legislation would authorize roughly $120 billion over 5 years for activities at the National Science Foundation (“NSF”), Department of Commerce (“DOC”), the Department of Energy (“DOE”), and the National Aeronautics and Space Administration (“NASA”).

The Endless Frontier Act advances priorities including reducing undue geographic concentration of R&D funding, encourage broader participation of populations underrepresented in STEM, and increase collaboration across federal agencies and with non-governmental partners on innovation.

Notable Provisions:

·       Technology Directorate: The Endless Frontier Act would create a new Directorate of Technology and Innovation at the NSF to support research and technology development in key technology focus areas, such as artificial intelligence and quantum science, in order to strengthen the global leadership of the United States in innovation. Major activities would include funding research and development at collaborative institutes, supporting academic technology transfer and intellectual property protection, establishing technology testbeds, and awarding scholarships and fellowships to build the relevant workforce. The Directorate would be authorized at $29 billion over fiscal years 2022 to 2026, including a transfer of $2.9B to existing NSF divisions to support basic research collaboration. 

·       NSF Research and Development Programs: The Endless Frontier Act would authorize $52 billion over fiscal years 2022 to 2026 for existing NSF activities, representing a seven percent increase each year. The legislation would also create a Chief Diversity Officer at NSF and increase STEM education to enhance the domestic STEM workforce. The legislation also incorporates a series of new programs, including programs for precision agriculture, rural STEM education, quantum information science, skilled technical education, critical minerals, and bioeconomy R&D.

·       Regional Technology Hubs: The Endless Frontier Act creates a regional technology hub program at DOC to support regional economic development in innovation. Technology hubs would carry out workforce development activities, business and entrepreneur development activities, technology maturation activities, and infrastructure activities related to the technology development. The technology hubs program would be authorized at $10 billion over fiscal years 2022 to 2026.

·       Manufacturing: The Endless Frontier Act would authorize close to a quadrupling of the DOC Manufacturing Extension Partnership and create a new track within the program for public benefit activities like workforce development and cybersecurity services. The Manufacturing Extension Partnership would be funded at $2.4B over fiscal years 2022 to 2026. The substitute would also authorize the Manufacturing USA program, at $1.2B over fiscal years 2022 to 2026, and add workforce and coordination provisions. 

·       Supply Chain Resiliency: The Endless Frontier Act would establish a supply chain resiliency program at the Department of Commerce to work with the private sector, for the purpose of identifying and recommending opportunities to mitigate or address supply chain vulnerabilities in the United States and in allied and partner countries. It would also amend the recently-enacted CHIPS Act to provide $2 billion in incentives for domestic production of mature semiconductor technologies, such as for the automotive industry. 

Schumer’s U.S. Innovation and Competition Act is supported throughout the state. Supporters include:  

"GLOBALFOUNDRIES thanks Senate Majority Leader Chuck Schumer for his leadership, his ongoing support of our industry, and his forward-looking perspective on U.S. chip manufacturing,” said GlobalFoundries CEO Tom Caulfield. “The semiconductor supply chain is not only a top priority for the U.S., but also a global issue with many countries looking to bolster their own chip production. The Endless Frontiers Act has bipartisan sponsorship and great momentum - the time is now to act to pass the bill and ensure that the U.S. is not left behind in the race to secure onshore chip manufacturing."

M&T Bank Chairman and CEO Rene F. Jones said,As a bank for communities, we understand that economic development and prosperity requires building an “ecosystem” that attracts, retains, develops, and engages modern talent, creating sustainable and equitable engines for economic growth. This is especially true in small and mid-tier cities, where we serve and across the country. In cities like Buffalo and Rochester, we are building a new technology hub and hosting a growing number of innovative entrepreneurial businesses that support long-term competitiveness. The Endless Frontier Act sponsored by Senators Schumer and Young has bipartisan support and backing from the business community because it helps the United States regain our position as the world’s leader in technology and innovation while building out economic opportunities that are inclusively distributed across the country.”      

Greater Rochester Chamber of Commerce President and CEO Bob Duffy said, “Upstate New York, and especially the Greater Rochester/Finger Lakes region, is poised to become a global hub for the critical semiconductor manufacturing industry. Greater Rochester Chamber of Commerce wholeheartedly supports Senator Schumer’s amendment to the Endless Frontiers Act, which will invest in much-needed infrastructure like our Genesee County STAMP facility. This will not only help create jobs and bolster the economy in our region, but drive innovation, advancement, and competitiveness for our nation. We are grateful to Senator Schumer for his continued leadership and for championing the EFA.”

"Senate Majority Leader Schumer has long-championed upstate New York as the ideal region for critical growth of the domestic semiconductor manufacturing and R&D investments due to our university research and talent, our established and ever-growing semiconductor supply chain, along with our considerable capacity of renewable, reliable, and competitively priced electricity,” said Steve Hyde, president & CEO, Genesee County Economic Development Center. “We applaud Senator Schumer for his leadership, and agree that passage of the Endless Frontiers Act and the recommended appropriations would be catalytic in growing the high-tech economy at the Western New York Science & Technology Advanced Manufacturing Park (STAMP) and all across upstate New York."

Hudson Valley Economic Development Corporation President and CEO Mike Oates said, “HVEDC applauds Senator Schumer’s leadership in championing the Endless Frontier Act, which will invest in the Hudson Valley's growing semiconductor manufacturing industry and high-tech research and development initiatives. The Endless Frontier Act will bolster technological innovation and create jobs as we welcome global industry leaders like ON Semi to town. We thank Senator Schumer for his continued efforts to grow the Hudson Valley’s global footprint as a leader in semiconductor manufacturing and innovation.”

“EWI applauds Senator Schumer’s leadership in advancing the bipartisan Endless Frontier Act,” said Henry Cialone, president and CEO of  Buffalo Manufacturing Works/EWITo compete on a global scale, manufacturers must be able to make effective use of emerging technologies such as additive manufacturing, advanced metal stamping with servo technology, and next generation nondestructive inspection – innovations that drive productivity, quality, and reduce cost. EWI enthusiastically supports this bill because it focuses on increasing U.S. manufacturing competitiveness through innovation and investing in the manufacturing workforce.”

Buffalo Niagara Partnership President and CEO Dottie Gallagher said,The Endless Frontier Act represents a once-in-a-lifetime opportunity to turbo charge scientific and technological innovation in the United States. Buffalo Niagara’s economy will benefit tremendously in repositioning America as the world’s true technology leader with a critical focus on manufacturing, research, and workforce development.  The Buffalo Niagara Partnership supports this bipartisan legislation and strongly advocates for its passage.  The BNP commends Senator Schumer for leading this effort.”

"From our automobiles to our smart phones to the appliances in our kitchens, semiconductors are critical, not just to our national security, but to our everyday life,” said Oneida County Executive Anthony J. Picente Jr. “Senator Schumer’s leadership in ensuring that we continue to build domestic research and production capacity, encouraging more companies like CREE-Wolfspeed to invest, is great news for America and Oneida County.”

Onondaga County Executive Ryan McMahon said, “Passing this bill will be a significantly important step towards securing a semiconductor manufacturing facility in Onondaga County. Our site is known across the globe for its easy access to affordable water and power along with our great quality of life. Thank you to Senator Schumer for his steadfast leadership and advocacy for this bill and our community.” 

“ON Semiconductor applauds the inclusion of CHIPS for America Act funding in the Endless Frontiers Act substitute amendment,” said Hassane El-Khoury, president and CEO of ON Semiconductor.  “The Act will help America compete with its trading partners who have been aggressively supporting semiconductor research and manufacturing in their countries."

A section-by-section summary of the United States Innovation and Competition Act of 2021 can be found here and the text of the legislation can be found here.

Jacobs joins bipartisan effort to boost domestic semiconductor production

By Press Release

Press release:

Congressman Chris Jacobs (NY-27) joined a bipartisan group of representatives and senators to call on President Biden to prioritize funding and policies in his FY2022 budget proposal that bolster domestic semiconductor manufacturing and supply chains.

“Domestic production of semiconductors is an economic and national security priority,” Jacobs said. “China is investing billions of dollars into developing this technology and mass manufacturing. We cannot afford to rely on them or other foreign manufacturers.

"We saw this year the devastation when foreign supply chains break down, and given the sensitive, classified, and consumer technologies powered using semiconductors, we must ensure a robust domestic manufacturing program is developed to protect security.”

Specifically, the letter calls for prioritized investment into initiatives outlined in the CHIPS for America Act that was enacted into law as part of the FY21 National Defense Authorization Act. The legislation creates incentives to support semiconductor research and development and the domestic manufacturing of semiconductors.

“Nationally, these investments are critical to our economic development, global competitiveness, and national security," Jacobs said. "Locally, these investments also have the potential to aid in the economic development of Western New York by supporting assets such as the STAMP plant in Genesee County that are readily available to host high-technology manufacturers.

“I am encouraged the President has recognized the importance of secure supply chains and domestic manufacturing; I urge him to prioritize these needed investments.”

To read the letter to President Biden, click here (pdf).

STAMP boost: Feds give OK for Plug Power to submit loan guarantee application

By Press Release

Press release:

After fighting for and securing Plug Power’s new hydrogen fuel cell "gigafactory" in Rochester, U.S. Senator Charles E. Schumer today (April 8) announced his support to secure a $520 million federal loan guarantee from the U.S. Department of Energy (DOE) to be used in constructing a network of green hydrogen facilities.

This includes the planned 68-job green hydrogen production facility at the Western New York Science, Technology, Advanced Manufacturing Park -- STAMP -- site in Genesee County between Rochester and Buffalo.

Schumer first wrote to the DOE in November 2020 to advocate for the DOE to approve a loan guarantee through its Title XVII Loan Guarantee Program. Last month he doubled down in urging the new Energy Secretary Jennifer Granholm to provide support and resources to help make Plug Power’s plans to build its hydrogen fuel production facility in Genesee County's Town of Alabama a reality.

The DOE has since approved Plug Power, which initially submitted its Part I application in November 2020, to submit a Part II Application for a loan guarantee under the Title XVII Loan Guarantee Program which is the next step in the multistep process to ultimately secure a DOE conditional commitment and final loan guarantee agreement.  

Senator Schumer said, “Securing this federal loan guarantee will be a win-win to supercharge Plug Power to new heights by supporting its planned 68-job hydrogen fuel production facility at the WNY STAMP site in Genesee County while also creating the nation’s first U.S.-wide network of green hydrogen production facilities to produce carbon-free fuel-cell power.

"I’m glad the DOE has now given Plug Power the green light to pursue a federal loan guarantee. I’ll continue to support Plug Power to the fullest in securing this loan guarantee and creating North America’s largest green hydrogen production facility right here in the heart of Western New York. “

The $520 million loan guarantee will support Plug Power’s construction of five new green hydrogen production facilities to create the nation's first green hydrogen production network. The facilities will vary in size, producing between 10 to 60 tons of green hydrogen fuel per day up, totaling approximately 180 tons per day of liquid hydrogen production capacity.

Plug Power plans on starting with the construction of a $290 million production facility at the WNY STAMP site, which will produce 45 tons of green hydrogen daily, create 68 new jobs, and rank as North America’s largest green hydrogen production facility.

Schumer previously noted this new network of green hydrogen fuel production facilities, including the facility at STAMP, can be a national model in efforts to achieve the Biden Administration’s goal to drastically reduce greenhouse gas emissions and create quality clean-energy jobs.

Plug Power’s new production facility at STAMP would produce green hydrogen to supply fuel-cell-powered equipment and vehicles such as freight transportation and logistics handling equipment – some powered by fuel cells that will be manufactured at the upcoming Plug Power "gigafactory" slated to open in Rochester this summer.

Schumer said Plug Power can lead the charge in dramatically reducing our nation’s greenhouse gas emissions with the construction of its first green hydrogen production facility at the STAMP campus.

Plug Power, founded in 1997 and headquartered in Latham, NY, currently employs more than 400 workers in New York to innovate, manufacture and assemble hydrogen fuel cells including about 300 workers in the Capital Region at its headquarters and Capital Region manufacturing sites in Latham and Clifton Park, and about 70 workers at its Rochester manufacturing site.

In 2020, Schumer successfully fought for Plug Power to build their new "gigafactory" in Rochester, which will manufacture hydrogen electrolyzers, used for the production of hydrogen fuel, and hydrogen PEM fuel cells used to produce electricity to power transportation equipment. Slated to open in the middle of next year, the "gigafactory" will add another 375 employees to Plug Power’s New York workforce.

Genesee leaving no stone unturned as it works to meet increasing demand for safe, affordable water

By Mike Pettinella

When it comes to Genesee County’s water supply, municipal officials are fixated on a goal of a regionalized system under the umbrella of the Monroe County Water Authority.

Projects continue to move forward to the east and west of Genesee County as part of what is known as Phase 2 – resulting in an additional two and a half million gallons per day. And much more work is planned for Phase 3, which is expected to increase the county’s daily water output by another six million gallons.

With a steady influx of economic development in the county and the prospect of large-scale manufacturing at the Western New York Science & Technology Advanced Manufacturing Park in the Town of Alabama in the near future, the demand for water is bound to amplify.

“We’re flipping over rocks everywhere we go to find more water,” said Highway Superintendent Tim Hens, who is responsible for carrying out the county’s strategy.

Hens said that developing a regional water supply will result in a “resilient, safe and affordable” commodity for years and years.

“That’s probably the best thing for everybody,” he said. “The cost of repairing stuff down the road would be borne by the entire MCWA service area, not just the Village of Le Roy, for example, trying to replace its own water plant.”

Great Lakes water: Safe and plentiful

He said water coming from the Great Lakes is safe and plentiful.

“The water is safer (because) you’re dealing with Great Lakes water as opposed to water that might be contaminated with a flood or runoff or anything else that might go wrong,” he said. “It’s safer and, honestly, it’s more redundant because we will have potentially water supply from four different water plants on the Great Lakes.”

Genesee County has been working over the past two decades to achieve its quest for eight and a half million gallons per day, Hens said, calling the effort “very complex with a lot of intermunicipal relations.”

He said the county’s system currently pumps about four and half million gallons a day through the City of Batavia’s water treatment plant. That water, in turn, is sold to the communities in the central part of the county.

The key player in all of this is the Monroe County Water Authority.

“We get about two and a half million gallons per day from the MCWA through the North Road booster station in Le Roy,” Hens said. “And then Monroe County buys a little bit of water from Erie County to feed Darien, Pembroke and Corfu on the west side.”

Pump station upgrades ongoing

Hens said several pump station upgrades are either in progress or on the schedule as the county works to meet the demand:

  • Mumford and Churchville, small portions of Phase 2 that are set to come online by April 15;
  • Morgan Road in Scottsville; Scottsville; Riga, and North Road, which were submitted to MCWA for consideration last week;
  • Golden Road booster station in the Town of Chili, which was submitted to MCWA on March 5.
  • Bissell Road in Bergen, which calls for the installation of 1,700 linear feet of water main to the MCWA connection, and would provide up to 35,000 gallons per day. Hens said this minor project should be done by June.

Additionally, Hens said that installation of water mains on North Road and Vallance Road in Le Roy and a water line on Chestnut Ridge Road in Chili (that will feed into the yet-to-be-constructed Golden Road booster station) is finished.

Hens said that the pump station upgrades and the Golden Road booster station will mark at end to Phase 2 work.

“All of those projects combined will increase our water supply,” he said. “Hopefully, by this time next year we will have everything done and we can have that water available for the summer of 2022.”

Hot days tax the water supply

While Hens said he looks forward to the warm summer months, he is concerned about “those 90-degree days that put a strain on the water supply.”

“Right now, we’re kind of tapped out on water supply,” he said. “On a hot summer day, like last year on the Fourth of July, we were kind of in drought conditions. We’re pretty much – there was no water left to tap. We were producing all the water that we could produce, and it was being used up on a daily basis.”

Genesee County is taking steps to secure water for its central (including the City of Batavia) and western zones as well, Hens said.

“The city water plant draws water from two primary locations – the Tonawanda Creek and the wells on Cedar Street (in front of the county highway department near O-At-Ka Milk Products),” Hens advised.

He said Well A and Well B are active, but are susceptible to an extended drought. For that reason, the county is looking at adding a third well, Well C.

“Given the fact that we are at – kind of peak supply, peak demand right now until Phase 2 is completed – we need to make sure the Batavia water plant has enough water coming out of it to meet the demand, especially in the summertime,” Hens said. “Well C would be there not necessarily to produce more water but as a backup in case one of the other wells has an issue. That way, we can be assured that the city plant can produce as much water as needed.”

Well C is vital to the overall plan

Hens said the county has completed an environmental review and may be ready to award a bid to Frey Drilling to get this project moving.

“It will probably be late summer or the fall before its online. It’s going to be a critical piece for the next few years to have that,” he said.

On the west side, Hens said the county gets about a million gallons a day from Erie County to serve residents in Darien, Pembroke, Corfu (and a small area in the Town of Alabama).

“We’re looking at every single drop of water that we can get until we can do Phase 3 and eventually Phase 4,” he said.

He said he looked into a project with Erie County that officials thought would create an additional two and a half million gallons per day, but it fell through.

“Last fall, we did some hydraulic testing with Erie and Monroe counties, combined, and artificially created a demand by pumping into Genesee County to see the effect on Erie County. When we were pumping in at a higher rate, we caused pressure issues in Erie County as far west as Cheektowaga along Walden Avenue,” Hens said. “Because of that, it would actually cost more money because of the need to do system upgrades, and we kind of shelved the idea."

Looking ahead, the county is embarking on the environmental, design and master planning work for Phase 3.

Phase 3 completion three years away

“In a perfect world, we would start Phase 3 construction by 2023, but it’s hard to say. I’m hoping, fingers crossed, that Phase 3 can be delivered, complete and operational by 2024 -- 2025 at the latest,” he said.

Hens said a major component of Phase 3 would be to run pipelines back into Monroe County, all the way to the Shoremont Treatment Plant in Greece.

“That’s quite a bit of pipeline, with a lot of it through urban areas, and will be a very expensive project,” he said.

Upon the completion of Phase 3, Hens said that the City of Batavia water plant would be taken offline.

Furthermore, county officials are discussing a proposal to establish a Niagara County-MCWA relationship similar to the current Erie County-MCWA pact, Hens said.

“This could benefit us as we await Phase 3 and provide water to STAMP’s large water needs in the future and benefit MCWA in the long-term as they might be the source beyond what Niagara County could provide to STAMP at full build-out,” Hens explained. “Monroe County, if it agrees, would operate the systems. We’re not sure if it’s feasible; it’s just an option because we’re definitely going to need the water.”

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Schumer says Biden's plan to invest in semiconductor industry can fuel WNY job growth

By Press Release

 Press release:

Following his advocacy, Schumer released the following statement regarding President Biden’s Plan to Invest in the U.S. Semiconductor Industry, that included $50 billion to fund and implement the federal semiconductor manufacturing and R&D incentives, which Schumer introduced last year as part of his American Foundries Act, and that passed into law as part of the Fiscal Year 2021 National Defense Authorization Act: 

U.S. Senate Majority Leader Charles E. Schumer said, “I have made it a top priority to work with President Biden to prioritize the absolute necessity of making a major investment in the nation’s semiconductor domestic manufacturing and R&D, which can also fuel new high-paying jobs across Upstate New York.

"President Biden delivered on my requests with his inclusion of $50 billion to implement the new federal semiconductor manufacturing and R&D programs, that I fought for and passed into law in last year’s defense authorization bill. With the industry’s top companies considering expansion and new investment at New York sites -- like STAMP in Western New York, White Pines in Central New York, Marcy Nanocenter in the Mohawk Valley, and Luther Forest in the Capital Region -- we have no time to waste.

"So I want to move quickly to pass this funding to support the semiconductor industry’s plans to invest in the United States, enhance our global competitiveness, promote our national security, and create thousands of new jobs.

"As I announced weeks ago, I am working to bring to the Senate floor this spring a competitiveness package that includes my bipartisan Endless Frontier Act to invest in American innovation and manufacturing.

"As part of this legislative effort, I am working with members of both parties and the administration to include emergency spending to fully fund the federal semiconductor manufacturing and R&D programs authorized in the defense bill.”

GCEDC president applauds New York Power Authority's support of Plug Power project at WNY STAMP

By Mike Pettinella

The New York Power Authority Board of Trustees’ decision Tuesday to allocate low-cost hydropower and funding to Plug Power’s expansion project at the Western New York Science, Technology and Advanced Manufacturing Park is another vital step in the Genesee County Economic Development Center’s efforts to promote the 1,250-acre mega site in the Town of Alabama.

That’s the way Steve Hyde, GCEDC president and chief executive officer, sees it after learning that the NYPA board approved a 10,000-kilowatt hydropower provision along with $1.5 million in funding from the Western New York Power Proceeds program.

Plug Power, based in Latham, will be investing $290 million on the construction of a green hydrogen fuel production plant and a 450-megawatt electric substation to serve the STAMP complex.

“Funding from the Western New York Power Proceeds program and the allocation of low cost hydropower from the Niagara Power Project are critical components to Plug Power’s $290 million investment at the STAMP site,” Hyde said.

“The collaboration among NYPA, National Grid and Plug Power to build a 345-115kv electrical substation, which will allow access to 100-percent renewable and reliable low-cost power, will provide our agency a significant advantage in our marketing and promotional efforts on behalf of STAMP against other sites nationally and globally.”

Hyde said he was “extremely grateful” for NYPA’s support of the project, which reportedly will create 68 jobs and produce 45 tons of green hydrogen daily.

Gov. Andrew Cuomo announced that the NYPA board approved economic development awards to 23 entities that will support 2,292 jobs across the state — with 870 jobs being newly created — and spur more than $580 million in private capital investments.

Eighteen operations are receiving awards through ReCharge NY energy allocations, while the remaining five are receiving Niagara hydropower allocations and funding awards to enterprises in Western New York.

Included among the awards is a 5,100-kW power allocation to Plug Power for its expansion project in Monroe County that will create nearly 380 jobs.

Schumer pitches Intel CEO on making Upstate NY the global hub of semiconductor industry

By Press Release

Press release:

After announcing that a strategic partnership between Intel and IBM will bring hundreds of new semiconductor R&D jobs to New York’s Capital Region, U.S. Senate Majority Leader Charles E. Schumer followed up on his efforts to cement Upstate New York as the global hub of the semiconductor industry and pitched Intel’s recently appointed CEO Pat Gelsinger on how Intel should build on its new partnership with IBM and locate their next semiconductor fabrication (“fab”) plant in Upstate New York.

Last week, Intel shared its plans to select a second site for its next U.S. manufacturing facility within a year, following the announcement of the IBM R&D partnership.

Schumer said New York boasts several sites across Upstate ready to be home to Intel’s next Chip fab, or the supply chain Intel would require, from Alabama's STAMP campus in Western New York and the White Pines campus in Central New York, to Marcy Nanocenter in the Mohawk Valley and Luther Forest in the Capitol Region.

Plus, Upstate New York boasts a thriving semiconductor ecosystem as evidenced by the just announced IBM partnership, the state’s top notch universities and world-class workforce, and a diversity of companies across the supply chain. Typically, semiconductor fabs bring thousands of new jobs into a region, a number which Schumer said would be a win-win-win for the local economy, Upstate New York workforce, U.S. competitiveness, and Intel itself.

“Intel’s plans to invest in a second U.S. semiconductor fab offers a game-changing opportunity for Upstate New York and I made it clear to Intel all that New York has to offer to make their U.S. expansion a huge success for the company and the country,” Senator Schumer said.

“With an existing semiconductor ecosystem, including leading R&D companies, premier universities to train the next-generation workforce, a thriving supply chain, and robust utilities that can host advanced manufacturing, Upstate New York is tailor made to be the home of Intel’s new manufacturing facility.”

Schumer added, “An Intel fab in Upstate New York would not only help shore up our domestic production of chips, but it also positions the company to take even more advantage of its partnership with IBM to develop and lead in next generation semiconductor technology, a point I made to Intel’s CEO as they consider further building out their U.S. manufacturing operations in the year ahead.

"I stand ready to give my all out support in helping Intel harness all that the federal government has to offer to continue to lead the tech industry and position New York as a global hub of semiconductor manufacturing, including pushing to fully fund the federal incentives I created in last year’s defense bill so companies like Intel receive support to invest in U.S. competitiveness and create thousands of new jobs.”

Schumer has long emphasized the importance of active federal support for the semiconductor industry. This includes his push to include provisions in the FY2021 NDAA to create new federal semiconductor manufacturing, R&D, and training programs.

He notes that even though the United States revolutionized the semiconductor and broad microelectronics industries and invented nearly all of the key technology used to this day, by 2030, non-U.S. competitors are projected to control 83 percent of the global semiconductor manufacturing supply. And domestic production could be less than 10 percent, threatening U.S. reliance on foreign-made microelectronics, including from China, and posing huge risks to U.S. national and economic security.

In a meeting with then-nominee for Commerce Secretary, Gina Raimondo, Schumer raised the urgent need to fully fund and implement the new Commerce semiconductor manufacturing grant and R&D programs he passed into law as part of last year’s defense authorization. He pointed to this Intel investment as an example for why these federal incentives are such a high priority.

In February, Schumer announced that the Senate would work on a bill in the spring of this year that includes his bipartisan Endless Frontier Act, which would provide a major infusion of federal funds for federal R&D, including for semiconductors.

As part of this competitiveness package Schumer plans to bring to the Senate floor this spring, he will be pushing for emergency funding to implement the federal semiconductor programs created in last year’s defense bill so these critical programs can be implemented to help the U.S. successfully compete with other countries, including China, for new semiconductor manufacturing investment.

Schumer has led the effort to create these historic new federal investments in domestic semiconductor manufacturing and R&D. Last year, Schumer unveiled his bipartisan American Foundries Act to bolster U.S. leadership in semiconductor and broader microelectronics industries. He successfully added this bill as an amendment in July 20202 to the Senate’s Fiscal Year 2021 National Defense Authorization Act (NDAA).

The new programs included in NDAA will increase federal support for semiconductor manufacturing by providing new federal incentives to conduct advanced research and development of semiconductor technology, including the creation of the NSTC, secure the supply chain, and ensure national and economic security by reducing reliance on foreign semiconductor manufacturing.

GCEDC board approves Plug Power project for WNY STAMP

By Howard B. Owens

Press release:

Plug Power Inc.’s development of North America’s largest green hydrogen production facility at the Western New York Science & Technology Advanced Manufacturing Park (STAMP) received final approval from the Genesee County Economic Development Center (GCEDC) Board of Directors at its March 25 meeting.

Plug Power Inc. plans to build the $232.7 million green energy technology facility at a 29.884-acre site at STAMP, with a proposed initial operation creating 68 new jobs at an average salary of approximately $70,000.

Plug Power Inc. also will invest $55 million to help build a 345/115KV electric substation in partnership with the New York Power Authority and National Grid. The substation will support future expansion and growth opportunities at STAMP’s 1,250-acre mega-site.

“The investments by Plug Power Inc. will advance our region’s expanding green hydrogen economy, create good jobs aligned with our county’s workforce training programs, and advance major infrastructure that is accessible to future projects,” said GCEDC President & CEO Steve Hyde.

“This project by Plug Power, along with the team effort by the GCEDC Board of Directors, the Empire State Development, the New York Power Authority, and National Grid, show our capacity to advance regionally significant projects at STAMP.”

Under the incentives application approved by the GCEDC Board, Plug Power Inc. will contribute approximately $2.3 million annually to support local municipalities and infrastructure development under a 20-year agreement.

In addition to Plug Power, the GCEDC Board also approved or accepted applications from five projects totaling another $420 million of capital investment in Genesee County.

The GCEDC Board approved final incentives for Forefront Power LLC (Elba Solar) for a $9.7 million community solar project on Norton Road in the Town of Elba. The project will generate 5MW of power and generate approximately $518,803 in new revenue to Genesee County, the Town of Elba, and the Elba Central School District over the proposed 15-year agreement.

The board also approved final incentives for Solar Liberty for community solar projects on Tesnow Road in the Town of Pembroke at a capital investment of $7.7 million. The projects will generate 4MW and 5MW of power and will generate approximately $856,024 in new revenue to Genesee County, the Town of Pembroke, and the Akron Central School District over the proposed 15-year agreement.

Finally, the GCEDC Board of Directors accepted initial applications for two other projects:

  • Excelsior Energy LLC is proposing to invest $345.55 million in a utility-scale solar project on multiple properties in the Town of Byron. The project will generate 280 MW of power. Excelsior has negotiated a 20-year tax and community host agreements, including payments of $6,500 per MW, with a 2-percent annual escalator, to Genesee County, the Town of Byron, and the Byron-Bergen School District.
  • DePaul Special Needs Apartments LP is proposing to invest $3.75 million to expand by 20 living units an existing special needs housing campus in the City of Batavia. The project would increase annual PILOT payments by approximately $6,000 per year for the remainder of the facility’s existing PILOT schedule.

UPDATE: We asked Jim Krencik, marketing director for GCEDC, to clarify the tax abatements for these projects. He provided the following. The "Property Tax Payments" followed by tax savings is the PILOT on the project (payments in lieu of taxes). The sales tax exemption is an exemption on sales tax for materials used in construction.

Plug Power

  • Approved Property Tax Payments
    • $2.3 million / year
    • $46 million / 20 years
  • Estimated Savings
    • $117.7 million property tax savings / 20 years if assessed at cost of construction ($232.7 million)
  • Anticipated assessment is much more likely to be $60-90 million
    • ·        $2.3 million / year = 0 percent abatement on a $65 million assessment
  • $1.1 million sales tax exemptions

Excelsior Solar

  • Proposed Property Tax Payments
    • $1.8 million / year 1, increases by 2 percent annually
    • Based on $6,500 / megawatt
    • $44 million / 20 years
  • Estimated Savings
    • $21.4 million property tax savings / 20 years
    • On solar panels only, land with panels on them are assessed separately
    • $11.2 million sales tax exemption

GCEDC: completion this summer of water lines at STAMP will add 1M+ gallons of capacity

By Press Release

Photo: Work on a new high-capacity water line along Route 77 is part of a $2 million infrastructure construction project at STAMP.

Submitted photo and press release:

The Genesee County Economic Development Center (GCEDC) today announced that with the anticipated completion of a $2 million infrastructure project this summer, water capacity will increase to more than 1 million gallons per day at the 1,250-acre Western New York Science & Technology Advanced Manufacturing Park (STAMP) mega site in Genesee County.

“Every infrastructure milestone adds to the tremendous momentum behind STAMP. Our ability to deliver low-cost, 100-percent renewable power, and utility infrastructure aligned with project timelines and capacities, is driving even greater interest from site selectors and companies looking to locate in Genesee County,” said GCEDC President and CEO Steve Hyde.

Hyde noted that STAMP’s development is advancing with significant infrastructure design, engineering, and construction milestones. The mega-site is already designed and permitted for the construction of over 6 million square feet of advanced manufacturing facility space.

The water infrastructure project includes the installation of new high-capacity water lines that will connect with previously extended infrastructure on New York State Route 77 that runs along the STAMP site.

The water line project is supported by New York State, and is aligned with investments by Genesee County and the towns of Alabama and Pembroke to expand infrastructure for economic and community growth. Morsch Pipeline in Avon serves as the lead contractor on the project.

In February, Plug Power Inc. announced it plans to begin construction of North America’s largest green hydrogen production facility at STAMP. Plug Power’s $290 million proposed facility and electric substation investment further expands access to high-capacity, flexible infrastructure on parcels ranging from 30 acres to over 650 acres, Hyde said.

“Partnering with an industry leader like Plug Power is another significant asset available at STAMP to grow the renewable and advanced manufacturing sectors, which will transform our regional economy for generations,” Hyde said.

GCEDC board approves Plug Power incentives

By Howard B. Owens

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors accepted an initial application for incentives from Plug Power Inc. for a proposed $232.7 million green energy technology facility at Western New York Science & Technology Advanced Manufacturing Park (STAMP) at its March 4 board meeting.

The project, announced by Plug Power on Feb. 25, will produce green hydrogen using an electrolysis process of water utilizing renewable hydropower.

Under the terms of a proposed 20-year PILOT (Payment In Lieu Of Taxes) agreement, Plug Power would pay approximately $2.3 million annually to support local municipalities and infrastructure, including Genesee County, the Town of Alabama, and the Oakfield-Alabama Central School District.

Plug Power will also invest $55 million for the construction of a 345/115KV electric substation in partnership with the New York Power Authority and National Grid to support future expansion and growth opportunities at STAMP.

“Plug Power’s vision at STAMP includes over $100 million of investments into our municipal partners and site infrastructure," said Steve Hyde, GCEDC president and CEO. "These investments further enhance the strengths of our 1,250-acre mega site.

"At STAMP, projects can access low-cost power that is 100-percent renewable and reliable, at a site that is located, zoned and built for projects to succeed within their timelines.”

Plug Power would initially create approximately 68 new jobs at an average starting salary of approximately $70,000 plus benefits, totaling over $95 million in wages over 20 years. For every $1 of public benefit requested, more than $4.3 of planned investment and spending is estimated for the project, and totaling approximately $500 million over 20 years.

A public hearing will be scheduled on the proposed incentives.

The GCEDC Board of Directors also approved a purchase and sale agreement with Plug Power Inc. covering approximately 29.884 acres at STAMP for the proposed project.

In other actions:

The GCEDC board approved $906,000 of incentives to support LandPro Equipment LLC’s planned $9.2 million project to acquire and develop a 14-acre parcel to build a 50,000-square-foot facility for a full-service regional John Deere facility. The planned facility would primarily be used for operations and training, with a portion of the facility used for retail. The project proposes to create five new jobs and retain approximately 60 jobs in Genesee County.

The GCEDC board also accepted an initial application from Forefront Power LLC (Elba Solar) for a proposed $9.7 million community solar project. The project would generate 5 MW of power and is projected to generate approximately $518,803 in new revenue to Genesee County, the Town of Elba, and the Elba Central School District over a 15-year agreement.

The GCEDC board also accepted applications from Solar Liberty for two community solar projects with a capital investment of approximately $7.7 million in. The projects will generate 4 MW and 5 MW of power and are projected to generate approximately $856,024 in new revenue to Genesee County, the Town of Pembroke, and the Akron Central School District over a 15-year agreement.

Public hearings will be scheduled on the proposed incentives for each of the community solar projects.

GCEDC board to consider assistance for $233 million green energy facility at WNY STAMP

By Press Release

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors will consider accepting an initial application for incentives for Plug Power’s proposed $232.7 million green energy technology facility at Western New York Science & Technology Advanced Manufacturing Park (STAMP) at its March 4 board meeting.

The facility would produce green hydrogen through an electrolysis process of water utilizing clean hydropower. The production facility would produce approximately 45 metric tons of liquid hydrogen on a daily basis and sold to customers to replace fossil fuels in the transportation sector.

Construction is anticipated to begin this summer.

Plug Power would initially create approximately 68 new jobs at an average starting salary of approximately $70,000 plus benefits, totaling over $102 million over 20 years.

The company is requesting $118.2 million in sales and property tax exemptions from the GCEDC. For every $1 of public benefit requested, more than $4.3 of investment is proposed by the company or $520 million over 20 years.

Additionally, under the terms of a proposed 20-year PILOT agreement, Plug Power would pay approximately $2.3 million annually to support local municipalities and infrastructure, including Genesee County, the Town of Alabama, and the Oakfield-Alabama Central School District.

Plug Power will also invest $55 million for the construction of a  345/115KV electric substation in partnership with the New York Power Authority and National Grid to support future expansion and growth opportunities at STAMP.

Plug Power and New York Governor Andrew M. Cuomo announced the proposed project on Feb. 25, which is also being supported by the New York Power Authority and Empire State Development.

A public hearing on proposed incentives will be scheduled if the Board accepts the project application.

Plug Power's commitment to STAMP adds up to more than just 68 jobs, says GCEDC CEO

By Howard B. Owens

The construction of a hydrogen fuel production facility at WNY Science and Technology Advanced Manufacturing Park will have benefits for Genesee County that go far beyond the 68 jobs expected to go along with the $290 million project, said Steve Hyde, CEO of the Genesee County Economic Development Center, in an interview this afternoon.

Besides positioning STAMP to potentially be a big part of New York's green energy future, Plug Power has agreed to invest more than $55 million in a 450-megawatt electrical substation that other potential STAMP manufacturers can tap into.

"This is a big, huge investment," Hyde said. "This will more than double our investment into infrastructure in STAMP."

While some infrastructure is already in place much of the infrastructure construction for STAMP has been on hold until an advanced manufacturer agreed to locate a plant in the 1,250-acre mega site. Now the business development team at GCEDC will be able to tell site selectors that critical infrastructure, such as the substation, will be in place by a time-specific date.  That may help some site selectors who have been kicking the tires of STAMP -- including, according to news reports, Samsung -- make a final decision about their construction plans.

STAMP has been Hyde's dream project for more than a decade and throughout all these years he has cheerfully repeated, "economic development is a marathon and not a sprint." He used the phrase again today.

And he's not across the finish line yet. There is still a purchase agreement to complete and get approved by the GCEDC board with Power Plug as well as ironing out the final figures on an incentive package to help bring down development costs for the company. Typically these include a PILOT (payments made in lieu of taxes), and tax abatements on construction materials.

New York has already committed to providing $2 million in tax credits for job-creation its Excelsior program. These are incentives the company will not receive unless they meet job creation targets.

Plug Power will tap into clean hydroelectronic power from Niagara Falls to convert water into hydrogen and oxygen. The hydrogen will be liquified, stored in tanks, and transported to Henrietta where Power Plug is building a hydrogen fuel cell factory. 

Many of those fuel cells will be used in forklifts and other warehouse equipment used by companies like Walmart and Amazon, giving those companies a cost-effective and 100-percent carbon-free source of energy for a key part of its operations.

Hydrogen fuel cells will also be available for long-haul trucking as well as other applications.

"We're going to be part of a 100-percent green, renewable energy ecosystem," Hyde said.

He said that will help make STAMP attractive to other companies participating in New York's push to replace fossil fuels with renewable energy. 

That viewpoint mirrors the opportunity for STAMP to become an innovative hub for green energy with 1366 Technologies, which manufactures state-of-the-art solar wafer chips, announcing its intention to build a plant in STAMP in 2015. That proposal fell apart after years of delays because the Department of Energy would not sign off on a previously promised loan guarantee. Then Rep. Chris Collins apparently did nothing during that time to help push the project along with the DOE.

The DOE will not be as heavily involved in this project and Rep. Chris Jacobs seems to have no reservations about supporting the project. He issued this statement this evening:

“Landing Plug Power is an incredible win for Genesee County and the entire region. Thanks to the great work of the Genesee County Economic Development Center, the STAMP site is attracting high-tech, innovative businesses to bolster our region and provide high-paying jobs to Western New York. This is only the beginning, and I’ll do whatever I can to help bring more opportunities to our area.”

The Plug Power plant is expected to produce 45 tons of hydrogen fuel on a daily basis. 

The New York Power Authority is supporting the project with: 

  • 10 MW allocation of low-cost hydropower from the Niagara Power Project;
  • $1.5 million from the Western New York Power Proceeds program;
  • 143 MW of High-Load Factor power that NYPA will procure for Plug Power on the energy market.

Power Plug is investing another $125 million in a facility in Henrietta to create fuel cells. The project is expected to create another 377 jobs for the region.

In a statement released yesterday, Plug Power CEO Andy Marsh said, "Plug Power's future rightfully revolves around building the green hydrogen economy. We are grateful our home state of New York supports aggressive climate and clean energy initiatives. And, that Plug Power's green hydrogen solutions can make such an impact on positive environmental and economic climates in the state."

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Governor Cuomo announces that Plug Power to construct green hydrogen facility at WNY Stamp

By Press Release

Press release from Gov. Cuomo:

Governor Andrew M. Cuomo today announced that leading alternative energy technology provider Plug Power will invest $290 million in the construction of a state-of-the-art green hydrogen fuel production facility and electric substation at the Western New York Science, Technology and Advanced Manufacturing Park located in the Town of Alabama, Genesee County.

The Plug Power project is the first build at the STAMP site and will require that the company fund the construction of a 450-megawatt electric substation to support its expansion as well as future growth opportunities at the business park. Plug Power has additionally committed to creating 68 jobs at the new production facility, which will produce 45 tons of green hydrogen daily.

The firm's commitment to develop its new green hydrogen fuel production facility in New York is the result of a comprehensive state and local incentive package from the New York Power Authority, Empire State Development and Genesee County. Construction on the new facility is expected to begin this summer.  

"New York State is committed to establishing itself as the leader in the national effort toward a more renewable future focused on green energy excellence, and we're showing that protecting the environment and encouraging economic growth aren't mutually exclusive," Governor Cuomo said. "We are incredibly proud to partner with Plug Power once again and applaud the company's continued investment in the Finger Lakes Region and to its commitment to creating top-quality green jobs as we work to foster new investment and job growth during a difficult economic time for many New Yorkers."

"Not only does today's announcement mean more advanced manufacturing jobs in Genesee County, but we are also investing in a cleaner, greener future for New York State," Lieutenant Governor Kathy Hochul said. "Through the support of New York State, Plug Power, a leading alternative energy technology provider, will develop a new green hydrogen fuel production facility. We are proud to partner with companies like Plug Power that are building on our efforts to keep our state ahead of the curve and create a green economy." 

The state incentives directly support the Governor's ambitious Green Energy program—the most aggressive climate and clean energy initiative in the nation—which will spur more than $29 billion in public and private investment across the state and create 12,400 megawatts of green energy, enough to power six million homes. The investments will not only help shift the state toward a carbon neutral economy, fulfilling the goals of New York's Climate Leadership and Community Protection Act, but also spur economic recovery from the COVID-19 pandemic. 

NYPA's incentives, which are subject to approval by the New York Power Authority Board of Trustees next month, will mark the first NYPA customer approved for economic development incentives under the Power Authority's new green jobs criteria, announced by the Governor in December. The Governor is recommending that the NYPA board approve these incentives:

  • 10 MW allocation of low-cost hydropower from the Niagara Power Project.
  • $1.5 million from the Western New York Power Proceeds program.
  • 143 MW of High-Load Factor power that NYPA will procure for Plug Power on the energy market.

Empire State Development will provide up to $2 million in Excelsior Tax Credits in exchange for job creation commitments. Genesee County will provide additional local tax incentives, pending various approvals by the Genesee County Economic Development Center.

Empire State Development Acting Commissioner and President & CEO-designate Eric Gertler said, "Plug Power's forward-thinking innovation and ongoing commitment to New York State are helping to advance Governor Cuomo's clean energy vision. This hydrogen fuel manufacturing facility at the STAMP mega-site will strengthen New York's green economy by creating top quality, high-tech manufacturing jobs." 

Gil C. Quiniones, NYPA president and CEO, said, "The state's clean energy economy is growing rapidly under the Governor's leadership and Plug Power is seizing the plentiful opportunities for green energy companies to expand and flourish in New York. Leveraging NYPA's carbon-free hydropower from the Niagara Power Project to attract a firm dedicated to the development of green hydrogen for fuel cell applications is an example of how we should address the climate crisis."

The Plug Power expansion is part of a focused strategy to construct up to seven hydrogen production facilities across North America by 2022. In January, the Governor announced that Plug Power will be establishing a $125 million Innovation Center in Monroe County, creating 377 new jobs. That facility will manufacture hydrogen fuel cell stacks for its ProGen hydrogen fuel cell engines used to power a variety of electric vehicles, including material handling equipment, on-road commercial fleet vehicles, and drones. The company also operates a facility in Rochester's Eastman Business Park and maintains its headquarters in the Capital Region. 

Plug Power CEO Andy Marsh said, "Plug Power's future rightfully revolves around building the green hydrogen economy. We are grateful our home state of New York supports aggressive climate and clean energy initiatives. And, that Plug Power's green hydrogen solutions can make such an impact on positive environmental and economic climates in the state. Many thanks to the leaders of New York State for their continued support including Senator Schumer, Governor Cuomo, and many from Empire State Development, Genesee County Economic Development Center, and others." 

STAMP is a 1,250-acre mega site located at the center of Upstate New York's largest population, research, and workforce training hubs. Connected with New York's high-tech corridor by New York State Thruway, STAMP has completed all site-level design and engineering, and all-site level environmental and zoning approvals to house projects including semiconductor manufacturing, renewables manufacturing, biopharma manufacturing, and other high-capacity industries.

The mega site is strategically located in NYPA's low-cost hydropower zone and will be serviced by high-capacity, 100-percent renewable, reliable power sources. STAMP has been validated as a regional priority project by the Finger Lakes Regional Economic Development Council and has been supported by local, regional, and state governments, as well as business, university, and utility partners. 

Genesee County Economic Development Center President and CEO Steve Hyde said, "Efforts by New York State to invest in a mega-site such as STAMP in collaboration with Genesee County, the Town of Alabama, and the New York Power Authority, have resulted in a significant interest among advanced manufacturing companies across the globe at STAMP and Genesee County.

"The economic benefits of this proposed development at STAMP also underscores how this project contributes to New York State's leading role in mitigating climate change, as Plug Power is an international leader in manufacturing clean hydrogen which can significantly reduce air emissions and in the process create good-paying jobs for our community and region."

Low-cost Niagara hydropower is available for companies within a 30-mile radius of NYPA's Niagara Power Project or businesses in Chautauqua County. Niagara hydropower is linked to tens of thousands of existing jobs in the region. The NYPA funding award is made possible through net earnings resulting from the sale of unused hydropower generated at NYPA's Niagara power plant and stems from power proceeds legislation signed into law by Governor Cuomo in 2012.

Alabama Town Supervisor Robert Crossen said, "I am encouraged by the interest that various advanced manufacturing companies, including Plug Power have in the Town of Alabama and STAMP. We have worked very hard to bring forward a site suitable for a project of this scale, and we look forward to achieving the important steps to develop and advance this project in our community."

Greater Rochester Enterprise President and CEO Matt Hurlbutt said, "Plug Power plans to establish a hydrogen generation facility at the STAMP mega-site in Genesee County because of its unique infrastructure, including low-cost, clean hydropower. The power generated at this new facility will also support Plug Power's Giga factory in Rochester."

Bob Duffy, President and CEO of Greater Rochester Chamber of Commerce, and Finger Lakes Regional Economic Development Committee Co-Chair, said, “We are thrilled that Plug Power has chosen the Western New York Science and Technology Advanced Manufacturing Park (STAMP) site for their hydrogen fuel production facility and electric substation. The Finger Lakes Regional Economic Development Council has been proud to support STAMP as a regional priority, and we commend Steve Hyde from the Genesee County Economic Development Center and Genesee County leadership for their work in positioning the site as a viable location for largescale projects. Greater Rochester Chamber looks forward to continuing to work with CEO Andy Marsh and the Plug Power team to ensure their ongoing success and growth in the Finger Lakes Region and beyond.

From the Plug Power website:

Plug Power is building the hydrogen economy as the leading provider of comprehensive hydrogen fuel cell turnkey solutions. The Company’s innovative technology powers electric motors with hydrogen fuel cells amid an ongoing paradigm shift in the power, energy, and transportation industries to address climate change and energy security, while meeting sustainability goals.

Plug Power created the first commercially viable market for hydrogen fuel cell technology. As a result, the Company has deployed over 40,000 fuel cell systems for e-mobility, more than anyone else in the world, and has become the largest buyer of liquid hydrogen, having built and operated a hydrogen highway across North America.

Plug Power delivers a significant value proposition to end-customers, including meaningful environmental benefits, efficiency gains, fast fueling, and lower operational costs. Plug Power’s vertically-integrated GenKey solution ties together all critical elements to power, fuel, and provide service to customers such as Amazon, BMW, The Southern Company, Carrefour, and Walmart.

The Company is now leveraging its know-how, modular product architecture and foundational customers to rapidly expand into other key markets including zero-emission on-road vehicles, robotics, and data centers. Learn more at www.plugpower.com.

Schumer calls on Department of Energy to support project at WNY STAMP

By Press Release

Press release:

After fighting for and securing Plug Power’s commitment to build their new "gigafactory" for hydrogen fuel cell manufacturing in Rochester last month, U.S. Senator Charles E. Schumer today called on the U.S. Department of Energy (DOE) to support the newly proposed plan by New York-based Plug Power to create the first U.S.-wide network of green hydrogen production facilities.

Plug Power plans on starting with the construction of a $290 million production facility at the Western New York STAMP (Science, Technology and Advanced Manufacturing Plant) site in Genesee County between Rochester and Buffalo. Schumer said DOE’s engagement will be a win-win in opening the door to additional federal resources to make Plug Power’s plans a reality while providing DOE with a first-ever national model for the creation of a domestic green hydrogen energy production supply chain.

Schumer said with DOE support, the new 60+ job green hydrogen production facility eyed at STAMP could help lead the nation in producing carbon-free green power to run hydrogen fuel-cell-powered vehicles and equipment all while creating new green jobs.

“My message to the DOE is that with its support, New York’s own Plug Power can lead the charge in dramatically shifting the nation towards clean energy starting with the construction of its first green hydrogen production facility at the STAMP campus in Western New York,” Senator Schumer said.

“The facility would create over 60 new good-paying green-energy jobs, boost the Western New York economy, and serve as a jumping-off point to create the nation’s first U.S.-wide network of green hydrogen production facilities to produce carbon-free fuel-cell power.

"With DOE support, this new green hydrogen fuel production facility in the heart of Western New York between Rochester and Buffalo can be a national model in efforts to achieve the Biden Administration’s drastically reducing greenhouse gas emissions and creating and 10 million clean energy jobs.”

In his letter to DOE today, Schumer invited DOE officials to join him in meeting with Plug Power to discuss how DOE support, technical assistance, and resources can help supercharge Plug Power to new heights by making its plans to build its hydrogen fuel production facility in Genesee County a reality.

Additionally, the senator explained that the expansion is part of Plug Power’s planned green hydrogen network to develop vertically integrated hydrogen infrastructure across the United States positioning the New York-based company to lead the charge in dramatically reducing the country’s greenhouse gas emissions.

Plug Power’s new production facility at STAMP would produce 40 tons-per-day of green hydrogen to supply fuel-cell-powered equipment and vehicles such as freight transportation and logistics handling equipment – some powered by fuel cells that will be manufactured at the upcoming Plug Power Gigafactory slated to open in Rochester this summer.

The facility would become the first nationally recognized green hydrogen production center and the first of its kind in the Northeast United States.

Plug Power, founded in 1997 and headquartered in Latham, NY, currently employs more than 400 workers in New York to innovate, manufacture and assemble hydrogen fuel cells including about 300 workers in the Capital Region at its headquarters and Capital Region manufacturing sites in Latham and Clifton Park, and about 70 workers at its Rochester manufacturing site.

In 2020, Schumer successfully fought for Plug Power to build their new "gigafactory" in Rochester, which will manufacture hydrogen electrolyzers, used for the production of hydrogen fuel, and hydrogen PEM fuel cells used to produce electricity to power equipment. Slated to open in the middle of next year, the "gigafactory" will add another 375 employees to Plug Power’s New York workforce.

Senator Schumer’s letter to the Department of Energy appears below:

Dear Acting Secretary,

I am writing to seek the Department of Energy’s (DOE) assistance in the newly proposed plan by New York-based Plug Power to create the nation’s first U.S.-wide network of green hydrogen production facilities, starting with the construction of a $264 million production facility at the Western New York STAMP site in Genesee County between Rochester and Buffalo. With a soon-to-be nearly 975 member New York workforce and a history of reliability and strong investment in the U.S. hydrogen economy, Plug Power is perfectly positioned to meaningfully contribute towards to Biden Administration’s goals of drastically reducing greenhouse gas emissions and creating 10 million clean energy jobs.   

Plug Power is striving to build five new green hydrogen fuel production facilities across the U.S., including a proposed $290 million production facility at the Western New York Science and Technology Advance Manufacturing Park (WNY STAMP) that will produce 40 tons-per-day of green hydrogen to supply the fuel-cells in advanced freight transportation vehicles and logistics handling equipment. Support and technical assistance from DOE now would create a win-win in both opening the door to additional federal resources to make Plug Power’s plans a reality while providing DOE with a first-ever national model for the creation of a domestic green hydrogen energy production supply chain. This new 60+ job green hydrogen production facility eyed at STAMP could help lead the nation in producing carbon-free green power to run hydrogen fuel-cell-powered vehicles and equipment all while creating new green jobs. 

Plug Power is focused on serving the zero-emissions material handling, transportation, and industrial sectors with low-cost green hydrogen fuel that is generated using 100% renewable, zero carbon energy. This project aims to strengthen our country’s economic, environmental, and national security by utilizing domestic energy resources, including low-cost renewable energy from solar photovoltaic, wind, and hydro-electric generation facilities to produce green hydrogen. It will decrease the need for energy imports while creating industry and employment growth opportunities across a variety of markets.

Plug Power, founded in 1997 and headquartered in Latham, NY, employs over 1,217 across the world, including over 600 employees in New York with another 375 expected to be added in the coming years at the company’s new gigafactory slated to open in Rochester, NY this summer. The company is focused on building the hydrogen economy as the leading provider of comprehensive hydrogen fuel cell turnkey solutions. Plug Power created the first commercially viable market for hydrogen fuel cell technology, deploying approximately 40,000 fuel cell systems, more than any other company in the world.

I would welcome the opportunity to host DOE officials for a meeting with Plug Power to discuss how DOE can provide technical assistance, support, and resource access to this cutting-edge company to help drive the construction of this new WNY green hydrogen production facility, a strong step towards a nationwide green hydrogen supply chain.

Thank you for your time and attention to this matter, please do not hesitate to reach out to my staff with any questions you may have.

Schumer pushes bipartisan Endless Frontiers Act to boost U.S. semiconductor industry

By Press Release

Press release:

Yesterday, Senate Majority Leader Chuck Schumer discussed his push to direct Senate committees to craft legislation to protect American jobs and outcompete China. Below are Senator Schumer’s remarks, which can also be viewed here:

"Today on our caucus call, I directed the chairs and members of our relevant committees to start drafting a legislative package to outcompete China and create new American jobs.

"The legislation will have as its centerpiece a bicameral, bipartisan bill, the Endless Frontiers Act, which I introduced last year with (Sen.) Todd Young (R-IN), and Representatives Ro Khanna (D-CA), and Mike Gallagher (R-WI) in the House. And it will take the key cutting industries and make American investments so we will outcompete China in all of them.

"In addition, we will make serious investments in strengthening the U.S. semiconductor industry to outcompete China and stop depending on foreign sources.

"Right now, semiconductor manufacturing is a dangerous weak spot in our economy and in our national security. That has to change.

"You've all seen that auto plants throughout America are closed because they can't get the chips. We cannot rely on foreign processors for the chips. We cannot let China get ahead of us in chip production. This will be part of the proposal that we will introduce. 

"We will also talk about the build out of 5G and how America can remain number one there. And all of these have bipartisan support. The bill we will intend to introduce, and I talked to Senator Young about it, and he's eager to get it done, will be bipartisan.

"Our intention is to put this legislation on the Senate floor for a vote this spring.

"To get a little more specific, the new legislation must achieve three goals: enhance American competitiveness with China by investing in American innovation, American workers and American manufacturing; invest in strategic partners and alliances: NATO, Southeast Asia and India; and expose, curb, and end once and for all China's predatory practices which have hurt so many American jobs.

"We're looking at emergency funding to implement the bipartisan Semiconductor Program as part of this package. You all know about the chip shortage. I want this bill to address America's short term and long term plan to protect the semiconductor supply chain and to keep us number one in things like AI, 5G, quantum computing, biomedical research, storage. All of these things are part of the bill and the Endless Frontiers Act.

"So we need to get a bill like this to the president's desk quickly to protect America's long term economic and national security."

***************************************************************************

In Genesee County, the Science and Technology Advanced Manufacturing Park -- STAMP -- in Alabama is a semiconductor fabrication (“fab”) plant.

Previously: Schumer pitches top brass at Samsung on shovel-ready STAMP site for new semiconductor plant

Hyde: Capable workforce, low-cost energy, no equipment taxes put WNY STAMP in an enviable position

By Mike Pettinella

At first glance, one might think that a major metropolitan area such as Austin, Texas, or Phoenix, Arizona, would have major advantages over the Western New York Science and Technology Advanced Manufacturing Park – better known as STAMP – when it comes to convincing an international corporation to build a semiconductor facility in the Town of Alabama.

But not so fast, says Steve Hyde, chief executive officer of the Genesee County Economic Development Center, who participated in a video interview with Howard Owens, publisher of The Batavian, earlier today.

Hyde, when given the opportunity to “sell the STAMP site,” didn’t hesitate -- coming up with several reasons why it would be beneficial for a company such as Samsung, for example, to build a $13 billion chip manufacturing plant at STAMP.

Recent published reports indicated that Samsung was considering STAMP – as well as the Austin and Phoenix areas – for a new semiconductor plant and that the Albany-based Plug Power was planning on operating a “green hydrogen” facility at the Genesee County park.

“STAMP can really compete and they (potential tenants) have got to take a serious look at us,” Hyde said. “That’s why we’re seeing opportunities in a big way right now in the marketplace.”

Hyde backed up that statement by pointing out that STAMP is located between two metropolitan areas (Buffalo and Rochester), has a growing and hungry workforce, and has access to low-cost green energy, and also the fact that New York does not impose “personal property taxes” on manufacturing equipment – a significant savings to these mega companies.

“There are very discreet advantages here in Western New York that you want to seize upon and emphasize,” Hyde said. “And they also need to consider that against some of the challenges in a market that has been a boomtown for 25 years (speaking of Austin) … that you have incredible competition for the workforce there right now.”

He noted that in Austin, the home of Tesla, Oracle, Texas Instruments and Samsung, big companies are competing for the same set of workers.

“Plus, the infrastructure there is overwhelmed and the congestion is crazy. So, there’s some challenges there relative to workforce,” he said. “When you look at us, we’re at a distance of a mile a minute you can literally travel on the highways. And there’s a well-qualified workforce from New York’s second- and third-largest metros. And for the pay rate at STAMP (estimated at $75,000 to $100,000 annually) … those workers will drive 30 to 45 minutes.”

Hyde also said another big advantage is that New York doesn’t charge “personal property taxes.”

“All of the manufacturing equipment in Texas is taxed as personal property taxes. So, when you really look closely at it, we’re going to be really aggressive on the incentive side with the state … and will be far less expensive than Austin because we don’t tax the equipment that will be two-thirds the cost of the project,” he explained.

He also pointed out that this area has good workforce solutions, noting that area colleges, including Genesee Community College, and Genesee Valley BOCES are building degree programs for high-tech industry.

“These big projects that we’re talking about, whether it’s a big renewable project or semiconductor, (they’re) huge power users,” Hyde said. “They want green power and we’ve got the New York Power Authority and we’ve got Niagara Falls less than 30 miles away. We have some of the lowest-cost green energy available in all of North America – like half of what it costs in Austin.

“So, you look at power, you look at operating costs, our labor is about 10 percent cheaper than Austin right now because the market has run up so much. Those factors are a huge part of the cost profile of running an operation like this.”

Hyde’s comments come in the face of a story in the Buffalo-based Investigative Post that indicates Samsung is leaning toward Austin as the site for the microchip factory that would employ about 1,800 people.

According to the Investigative Post report:

  • Austin “appears to have a leg up, as it is already home to Samsung Austin Semiconductor, which has 2,500 employees;
  • Samsung has purchased 250 acres of land next to its existing facility and has applied for zoning variances, and is seeking more than $1 billion in incentives to build there. It quoted Nate Jensen, a professor at the University of Texas-Austin, as saying Samsung’s odds of expanding there are “north of 90 percent.”
  • Roger Kay, a market analyst with Boston-based Endpoint Technologies Associates, said that Austin has “the inside track” and suggested other sites, including STAMP, “are most likely involved to help the company drive up the value of incentives in Austin.”

Hyde remains optimistic, stating:

“We’ve been eating this elephant a bite at a time as capital becomes available. You know what, though, we’re finally just now arriving at the season where we built the initial pieces of the infrastructure for the site and we can accommodate smaller projects. But we’ve got all of the big infrastructure fully designed, fully permitted and fully ready to build … and now the big projects are inside that window.”

Interview with Steve Hyde, CEO of GCEDC

By Howard B. Owens
Video Sponsor
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Interview with Steve Hyde, CEO of GCEDC. We'll talk about the state of economic development in Genesee County, touching on the ag park, Downtown Batavia, and STAMP. We're scheduled to start at 1 p.m.

Published report has Plug Power building a $264 million 'green hydrogen' facility at STAMP

By Mike Pettinella

Last week it was Samsung. Now, it’s Plug Power.

According to a story in today’s edition of The Buffalo News, the Albany-based Plug Power has disclosed plans to erect five “green hydrogen” plants in the United States, including a $264 million facility at the Western New York Science and Technology Advanced Manufacturing Park in the Town of Alabama.

The plant, which would produce green hydrogen for freight and materials handling equipment, is expected to be in operation by 2024, per the published report.

Previously, it was reported on The Batavian that Samsung is considering the placement of a $17 billion semiconductor plan at STAMP, a venture of the Genesee County Economic Development Center.

GCEDC President/CEO Steve Hyde, responding to an inquiry from The Batavian, issued the following statement, without specifically mentioning Plug Power:

“The Genesee County Economic Development Center recently reached out to our various public sector partners, including the Genesee County Legislature, the Town of Alabama among other local and state partners requesting that the GCEDC take on the role as lead agency for an environmental review of a potential project at STAMP.

“As a result, the GCEDC has completed extensive site readiness for the 1,250-acre STAMP site, including all site-level environmental, archeological, wetland delineation, and zoning requirements. This enables site selectors and prospective tenants to conduct effective due diligence as they evaluate projects at STAMP.

“We are very excited about this significant economic development opportunity for our community and look forward to working with our public sector partners during the due diligence by Project Gateway, as we have on dozens of other economic development projects in Genesee County over the last several years.”

Currently, there are no tenants at the 1,250-acre business park, although county officials have indicated that many companies are looking at the site.

Other highlights of The Buffalo News story:

  • Plug Power would begin construction this March, with an expected completion in December 2022, creating 62 full-time jobs with an average salary of $75,000 plus benefits;
  • An award of $1.5 million to support the venture has been recommended by the Western New York Power Proceeds Allocation Board;
  • In its application, Plug Power said it uses a process called electrolysis … leading to “zero-emission freight transport and logistics handling equipment utilizing fuel-cells and clean energy manufactured in New York.” The company said it will be the first of its kind in the Northeast, and would lead to other businesses moving to STAMP.
  • Plug Power will request $2 million from Empire State Development, and a package of sales and property tax abatements through the GCEDC.

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