BY DENNIS BROBSTON
Forecasting is always difficult. No matter
what you say, you’re not going to get it quite
right. The good thing about forecasting is
you’re not alone. This time of year always
brings interest about next year’s opportunities.
I’d like to remind you about Saratoga Economic
Development Corporation’s mission.
SEDC’s mission is to create jobs and diversify
the tax base while improving the quality of
life for the residents of Saratoga County.
We accomplish this through the retention
of existing business, attraction of new industry
and improving our product – Saratoga
County.
As the first point of contact for economic
development in the county, our focus on
manufacturing, distribution, corporate headquarters,
energy, technology and large office
projects has created over 17,000 direct jobs
and over $11 billion investment in our 36 year
history. We’ve been able to do this because of
partners that believe economic development
done by a private group is essential to deal
with the confidential matters of business
growth. I’d like to thank those partners and
our members for their support.
John Naisbitt, a well-known author, educator
and businessman believes “the most
reliable way to forecast the future is to try to
understand the present.” I can put my arms
around that and feel that I understand it. So
this forecast for 2015 will be about the present
and how we need to adapt to make the
future bright.
Saratoga County continues to grow in
population and business investment due to
a number of factors. They include low taxes, developable land, good business climate, low
crime rate and good schools.
There are other reasons but these stand
out as we get feedback from site selectors
and relocating families. For Saratoga County
to sustain this growth, we must pay attention
to some pitfalls that can trap us and bring
us down.
Anytime you have growth, whether in housing
or commercial/industrial development,
people get nervous. They become afraid because
the world is changing and their town,
city or neighborhood is in the path of change.
In many instances, we have heard people say
no to new development simply because they
have a “not in my backyard” mentality.
The acronym is NIMBY. As Saratoga County
continues to grow, this attitude may grow
as well.
I mentioned a number of factors that
have allowed Saratoga County’s growth to
continue. I would like to discuss three of
those in greater detail.
First, low taxes. Saratoga County has the
lowest county tax in the state of New York.
There are many towns here that also do not
have a town tax. Although the recession of
2009 caused difficulty in their budgeting
processes, the municipalities have been
successful in their efforts to rein-in spending,
thereby keeping taxes under control.
As long as the global economy continues to
grow, Saratoga County will continue to have
low taxes.
Many of us wish our school taxes would be
lower, but we understand that is a much more
difficult situation. The way New York state
funds education will be difficult to change
and politically challenging to our elected
officials. More than likely, the school tax
formula will not vary much in the near future.
Many companies coming to us looking for
a site to locate are surprised by the cost of
education here. As a result, those companies
expect incentive programs to offset the
higher school taxes in our state compared
to other states. Our industrial development
agencies are a vital tool in leveling the playing
field between our sites and those outside
our state.
Another factor is availability of developable
land. As Saratoga County grew, most
of the easy-to-develop parcels were utilized
for growth. We have fewer zoned acres in
the industrial/manufacturing classification
than what is required for sustainable growth.
For growth in 2015 and beyond to occur, our
municipalities must consider expanding their
portfolio of zoned properties for businesses.
Newly zoned land will also need planning
for roads, electricity, natural gas, water,
sewer, communications and other required
items for these lands to be marketable. It is
vitally important that our municipalities partner
with land owners, economic development
groups, government agencies and any other
possible collaborators to prepare for growth
to take place. Just zoning property will not
make us marketable.
Once we know what the infrastructure
needs are for our newly zoned sites, a plan
to install and pay for the infrastructure is
necessary.
Saratoga County created a water authority
that allowed GlobalFoundries in Malta to be
confident adequate water supply would be
available for their manufacturing processes.
Without that water, GlobalFoundries would
not be here. Together we need to plan how
to expand infrastructure so we can continue
to take advantage of business growth in the
near future.
The third to discuss is a good business
climate. Many things determine what a good
business climate consists of. It is always
important that a municipality communicates
its desire for business growth to take
place. That being said, it is also important
that communities understand how they are
perceived by the construction and land development
businesses they deal with.
We have municipalities that do a great job
in working with developers, contractors and
construction people. Their staff understands
that time is money and getting through
approval processes quickly and efficiently
is best for all sides. However, we do have
municipalities that are struggling in these
areas. Long approval processes, inadequate
staffing, unreasonable fees and even poor customer
service will quickly erode the ability to
attract and retain companies. We encourage
our elected officials to critique their building
and planning departments in order to better
serve the public in the business community.
Saratoga County will continue to prosper
if we consider these factors. Growing our tax
base as well as our population will enable us
to afford the necessary requirements for a
good quality of life. We must remember that a
stagnant economy, or stagnant development,
will deter financial growth required for a
sustainable future. SEDC will focus on these
issues along with our members and partners
so 2015 and beyond will have the potential
for growth.