Obtaining IDA benefits is guided by certain regulations contained in New York State General Municipal Law 18A. The following outlines the steps involved in the project approval process:
- The organization determines that it meets one or more of the project eligibility criteria outlined in the “Is my business eligible?” section.
- The organization completes the online IDA Project Worksheet. Once submitted, the IDA and Office of Economic Development staff will arrange for a conference with the organization to discuss the eligibility of the project, types of benefits that can be provided, terms and conditions of a project agreement between the Agency and organization, and amount of legal and agency fees involved in executing the project.
- Following review of the project by the IDA, the organization will be invited to submit an application. Bond projects and straight lease projects each have intervening steps to preparing an application. An application fee of $250 is required when the application is submitted. Small business, bond and straight lease applications are available electronically once an organization has met with the Agency and is determined eligible for IDA assistance.
- The application is presented to the board members of the Industrial Development Agency and must be formally “induced” -- tentatively approved. (Agency board meetings are held on the first Thursday of the month. The organization requesting assistance and its legal counsel attend the meeting to answer any questions that the board may have.)
- Once a project is induced, the IDA must publish a public notice advising of the actions and benefits to be provided to the organization. A 30-day notification period must be given to the municipality in which the project is located. During this period, counsels for both the Agency and project prepare the project document. Bond projects involve compiling a team necessary to execute the indentures involved in an issuance.
- Following the expiration of the 30-day period, and once a public hearing is held and the project documents are completed, the IDA board must vote to authorize the execution of the project.
- The project agreements are executed. The Agency issues a Sales Tax Exemption Letter to the project and files an exemption document with New York State.
- During the term of the agreement, the applicant is required to make annual reports to the IDA, detailing the amount of benefits taken and number of jobs retained or created. Consistent with state law, the organization receiving benefits is also required to file job openings with the county’s workforce development office.