Calling the New York Power Authority's (NYPA) settlement offer to Buffalo and Erie County "utterly unacceptable," Legislator Tim Kennedy, 2nd District, is fighting for increased funding and local control for waterfront development.

Kennedy's resolutions seeking increased funding for waterfront and brownfield redevelopment unanimously passed the Legislature's Energy and Environment Committee with bipartisan support last week. Passage by the full Legislature is anticipated.

Kennedy is working in close consultation with Congressman Higgins, Assemblyman Schroeder and Councilman Conrad on this effort. Conrad, the newly appointed South Distinct representative, is leading a similar effort in the Buffalo Common Council.

The measure is in response to an offer from (NYPA) to compensate Buffalo and Erie County with $2 million per year for fifty years in consideration for the negative impacts of the ice boom at the mouth of the Niagara River and other NYPA operations. While the ice boom is necessary in the winter to prevent NYPA's water intakes from clogging, research has suggested that the ice boom causes slightly colder temperatures in Buffalo in the Spring which has lead to increased heating costs for residents and businesses.

A May, 2004 report from New York State Comptroller Alan Hevesi found that NYPA uses substantial profits from the Niagara Power Project to subsidize its money-losing operations in New York City. The annual net profits of the Niagara Power Project are estimated to be in excess of $500 million dollars.

Kennedy stated that "NYPA has made billions off the backs of Western New Yorkers and for them to offer us a mere two million dollars is utterly unacceptable" noting that "Niagara County will be receiving $1.25 Billion over the next fifty years."

In addition to pursuing a better and more equitable settlement offer, Congressman Higgins and Assemblyman Schroeder are also pursuing legislation in their respective houses to increase the amount of low-cost hydropower used for job growth and retention in Western New York.

"It is absurd that local businesses are paying 17 cents per kilowatt hour for electricity - among the highest rates in the country - when Niagara hydropower could be delivered to them for less than 2 cents per kilowatt hour," Kennedy said. "The water that creates the hydropower is our asset and we deserve the benefit."

In addition to Legislator Kennedy's legislation on the NYPA settlement, the full Legislature also unanimously adopted his resolution in support of Congressman Higgins' Waterfront Development Corporation. "Entities charged with waterfront development have either focused only on planning, as opposed to construction, or have focused on the waterfront only as secondary priority compared to other initiatives," Kennedy said.

"We need a locally controlled entity focused solely on the design and construction of physical improvements at the water's edge," Kennedy said, while noting that such entities have been important to the success of high-quality waterfront development initiatives around the country, such as Battery Park City in Manhattan and the development of the Baltimore Harbor.

Kennedy also acknowledged Legislator Ed Kuwik for his support and his leadership on waterfront issues. "Aside from being a diligent and skillful Legislator, Ed Kuwik he has long been a champion of waterfront redevelopment," said Kennedy, whose district borders the City of Lackawanna represented by Legislator Kuwik.

Kennedy took office in January 2005, appointed to fill the unexpired term of Mark Schroeder who was elected Assembly Member of the 145th District. Legislator Kennedy's office is located at 1928 South Park, near Tifft Street, and he can be reached at 824-6180.

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