June 18, 2012

After Sidney Manufacturer Flooded, Gillibrand Calls on Feds to Help Amphenol Aerospace Relocate

Current Facility Sits in Flood-Prone Area and has Totaled $40 Million in Damages Over the Past Five Years

Washington, D.C. – After a local Sidney manufacturer was flooded, U.S. Senator Kirsten Gillibrand urged the Economic Development Administration (EDA) to help Amphenol Aerospace relocate locally in Delaware County. Over the past five years, Amphenol Aerospace has experienced nearly $40 million in repeated flood damage at their current facility, putting nearly 1,200 jobs at risk. Through the Federal Disaster Relief Opportunity Program, the EDA can help foot the bill for the company to relocate locally to a less flood prone site. The move would retain local jobs while saving Amphenol Aerospace millions of dollars in disaster rebuilding funds. 

“Amphenol Aerospace is one of our largest employers here in Delaware County, and it is critical that we keep these manufacturing jobs in our local economy,” said Senator Gillibrand. “While Amphenol Aerospace has experienced significant flood damage over the past five years, they are committed to our community and want to relocate locally. This federal support would be key to helping them recover, saving jobs, and ensuring they continue to thrive here in Delaware County.” 

James Thomson, Chairman of the Delaware County IDA said, “On behalf of Delaware County and the IDA, we are very excited by Amphenol’s continued commitment to Sidney, the surrounding communities and their highly dedicated workforce.  Amphenol is a tremendous asset to the three-county region. Through the assistance and support of Senator Gillibrand’s office we can retain this regional economic driver.” 

“The Village of Sidney is very fortunate that the Amphenol Corporation is committed to remaining a part of our community,” Sidney Mayor Andy Matviak said. “It requires a lot of hard work by many people from the leaders at Amphenol to our government representatives.  Senator Gillibrand's announcement in support of additional funding can help make this a reality and we appreciate her support. 

“Thanks to the village, county, state and federal officials and agencies, Amphenol could continue its presence of more than 85 years in Sidney,” said Amphenol Aerospace and Industrial Group Senior Vice President Gary Anderson. “Thanks also goes out to our employees, our suppliers and sister companies for returning operations capability to 100 percent in record time in support of our customers. A new factory, in a high and dry location, represents the best solution for our customers by both eliminating the flood risk and preserving decades of industry knowledge and expertise resident in our management team and employees.” 

Located in Sidney, Amphenol Aerospace is a global leader in the manufacturing of interconnect products for commercial and military industrial markets, employing approximately 1,200 with a payroll of $60 million. Over the past five years, Amphenol Aerospace has acquired nearly $40 million in flood damages to their facility. The proposed site relocation would move Amphenol Aerospace’s 675,000 square foot facility to a new, shovel ready site nearby on Delaware Avenue, outside of the flood prone area. 

The DCIDA and Amphenol are requesting $3,810,412 in funding from the EDA, with the estimated total cost of development being over $4.76 million. New York State has pledged nearly $3 million in grants and additional tax incentives for construction of the new facility. The requested federal funding for the project would come through the 2012 Disaster Relief Opportunity Program administered by the Economic Development Administration. 

In her letter to EDA Regional Director Willie C. Taylor, Senator Gillibrand wrote, “This public-private partnership will ensure these essential jobs and economic benefits will not be lost to the region.” 

Below is the text of Senator Gillibrand’s letter:

 

Mr. Willie C. Taylor

Regional Director, Philadelphia Regional Office

Economic Development Administration

601 Walnut Street, Suite 140 South

Philadelphia, PA 19106-3323

 

Dear Mr. Taylor, 

            I write in support of the application submitted by the Delaware County Industrial Development Agency (DCIDA), in partnership with Amphenol Aerospace Corporation, for funding from the FY 2012 Disaster Relief Opportunity through the Economic Development Administration. This funding would help move Amphenol Aerospace operations to a new 23-acre location.           

            Amphenol Aerospace is one of the largest manufacturers of interconnect products in the world for the military and commercial aerospace and industrial markets.  They have a 675,000 square foot facility that employs approximately 1,200 area residents with an annual payroll of $60 million.  Amphenol has experienced severe flood damage twice in the last few years, in both 2006 and 2011, with loses from those disasters exceeding $40 million.  

            The requested funding would be used to develop a 23-acre shovel ready site to move Amphenol operations and retain over 1,200 jobs.  The DCIDA has identified this new shovel ready site to be less susceptible to the flooding that has plagued Amphenol over the last few years. The DCIDA and Amphenol are requesting $3,810,412 in funding from the EDA, with the estimated project cost of development being over $4.76 million. The DCIDA has committed over $1 million in funding for the project while New York State has pledged nearly $3 million in grants and additional tax incentives for the construction of the facility. This public-private partnership will ensure these essential jobs and economic benefits will not be lost to the region. 

I ask that you please give this application your full consideration. If you have any questions, or desire further information, please do not hesitate to contact my staff member Andrew Usyk at (202) 224-4451.