You are here:
 Businesses > Economic Development > Industrial Development Agency
City of Albany Industrial Development AgencyThe City of Albany Industrial Development Agency's mission is essentially to encourage investment and job creation/ retention within the City of Albany. CAIDA was created in 1974 as a Public Benefit Corporation and offers business financial incentives in the form of tax-exempt and taxable bonds to cover the cost of construction, rehabilitation, and equipping for a wide range of civic, commercial and industrial projects. The IDA participates in a project by taking title to or a leasehold interest in the real property and/or equipment of the project using the proceeds of bonds sold by IDA. By separate agreement, the private firm leases the facilities from the IDA. Lease payments are usually equal to the debt service bond obligations. The IDA provides no credit enhancement and issues bonds on a non-recourse basis. Financial IncentivesProjects undertaken by the Agency are exempt from sales tax on supplies and materials during the construction phase of the project as well as mortgage recording taxes. Real property tax abatement may also be available. Based on the size of the Project, beneficiaries can take advantage of the five year declining exemption under Section 485-B of the New York State Real Property Tax Law. Projects meeting certain job retention / creation and other criteria may also be eligible for the Urban Reinvestment Tax Incentive Program (URTIP). This enhanced property tax abatement is modeled after the Section 485-e of the New York State Real Property Tax Law. There will be a seven year 100% abatement of the increase in assessed value resulting from the project. The abatement will be reduced by 25% in each of the next four (4) years until taxes are paid on 100% of the assessed value of the property. The Process The 7-member board meets on a monthly basis to consider projects and actions that advance this mission as well as CAIDA's financial position. The Capitalize Albany Corporation provides staff support to the (CAIDA). In their role as the economic development agency for the City of Albany, the Capitalize Albany Corporation staff will meet with prospective developers to discuss the specifics of a particular project or development. Capitalize Albany Corporation staff then make recommendations about appropriate economic development programs as well as other planning, zoning or project related issues. If the IDA is an appropriate route, the applicant will complete and submit an application that outlines certain information and data that assist Board members in evaluating whether the proposed jobs created or retained, "public benefit" and other economic impacts on the local economy, are worth the cost of assisting the business. Each project is also required to provide an inducement resolution that specifically states how the project meets the statutory definitions of eligibility. The Agency convenes a public hearing prior to inducing all projects. The IDA Board of Directors then questions the project sponsors, evaluates their answers and reviews public hearing transcripts, and inducement resolution findings in making its decision to approve the project for IDA benefits.
Online Resources
Agendas
Minutes
Meeting InformationIDA Documents
|