Politics & Government

LaValle Strengthens Brownfield Remediation Bill to Help Repower Legacy Plants

Tax credits inserted into State Senate budget bill to garner interest in repowering.

State Senator Kenneth LaValle, R-Port Jefferson, has put language into the Senate version of this year’s proposed New York State budget to create incentives for repowering of Port Jefferson’s electrical plant in an attempt to make legislation that , according to a spokesperson for the senator.

Last year’s bill provided tax breaks and credits through the State’s brownfield clean-up program to garner corporate interest in repowering the old and ineffective LIPA power plant in Port Jefferson.

"Repowering involves leveling the site or a good portion of it," said Drew Biondo, the senator’s director of communication, in an interview about the original bill. "That plant has been there for 50 years so who knows what’s in the ground."

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Companies might be afraid of taking on the Port Jefferson power plant site fearing the potential cost of remediation.

"The bill addresses that fear," he said. "Some of the costs are covered for the clean-up by New York State."

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New language in the budget bill will help to strengthen the original legislation and widen the net.

"This budget bill encourages the development of a new or repowered facility in the Village of Port Jefferson and other legacy power plant sites on Long Island," LaValle said.

The goal, according to a statement issued by LaValle’s office, is to replace existing plants with more modern and efficient power sources.

Similar to the previous bill, the budget language provides investors with refundable development credits and covers at least 25 percent of cleanup and infrastructure expenses. It also promises up to a full property tax or PILOT rebate and brownfield development credits from the State.

According to Biondo, the difference between this new language and last year’s bill is that it is not a stand-alone piece of legislation although it’s unknown if it will survive in the final budget.

The State assembly and the Governor both have to submit their proposed budgets, which then get merged. At that point, language gets changed and items get dropped during negotiations.

"It’s when the horse trading goes on," Biondo said.


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