EDITORIAL: The Hacker Boat case exhibits how IDAs should not work domestically

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 EDITORIAL: The Hacker Boat case shows how IDAs shouldn't work locally

We support Hacker’s move to Queensbury. However, we do not support the unnecessary granting of local tax breaks.

IDAs are not allowed to give breaks to “an industrial or manufacturing facility” moving from one area of ​​state to another. However, the law provides for exceptions if the tax breaks “discourage” an applicant from leaving the state or are “reasonably necessary” to keep the company competitive.

Hacker said something vague about opportunities outside of the state in his application. But as I said, the executives had Queensbury in their sights for years.

The motion says the tax breaks will allow the company to cut retail prices on its boats by $ 2,000 to $ 3,000. But prices for hacker boats start at around a quarter of a million dollars and go up significantly from there.

Buyers who can pay that much don’t make their choice based on a $ 2,000 difference in price.

By including wide exemptions, the law allows IDAs to do what they want. You’re not supposed to steal companies from other parts of New York City, but if the company president says, well, we’ve heard of some nice locations in North Carolina, then … an exemption will be granted.

IDAs were set up to help economically disadvantaged areas like Ticonderoga attract and retain employers. In this case, however, Ti loses the company to a more affluent area.