The Jamestown Board of Public Utilities (BPU) has executed renewed electric “Flex Rate Agreements” with two regional manufacturers, providing them with slightly lower electric rates in exchange for continued economic development investments and stable workforce numbers, the New York public power utility said on Jan. 8.
Both SKF USA and Bush/eSolutions have signed new contracts to continue in the Service Classification Six (SC-6) program.
The two companies were required to provide statistics on their current and projected employment numbers, their annual capital investments and their planned business outlook for the new contract period.
The BPU’s Flex Rate Program is an economic development tool used by the utility to assist local industrial companies by offering reduced electric costs in exchange for a manufacturer’s pledge to invest in its local facility and workforce.
Currently, six of the region’s largest manufacturers qualify for inclusion in the SC-6 program.
SKF USA’s Factory Manager, Joseph Sienicki Jr., indicated that the flexible electric rate has enabled the local plant to plan for the acquisition of new equipment and to maintain a high level of employment while increasing its production of aircraft bearings.
“SKF continues to provide the highest quality ball bearings for the aircraft industry and our plant operates three shifts with a high level of electricity needed for machine operations at all times,” Sienicki said. “The electric flex rate has helped our company balance our production requirements and expenses related to our machinery’s electric loads.”
Bush Industries, doing business as eSolutions, located in Mason Industrial Park in the Town of Ellicott, is a leading manufacturer and distributor of case goods and ready-to-assemble furniture for commercial and residential offices.
Troy Pitts, Operations and Quality Director at eSolutions, believes that the SC-6 program and the savings it represents for that company translate into reinvestment in people and equipment, Jamestown BPU noted.
“Utilizing the SC-6 program and the guidance of the Jamestown BPU, Bush/eSolutions has seen efficiency gains in the last two years and we look forward to our continued partnership with the BPU for many years to come,” Pitts said.
“Both SKF USA and Bush Industries/eSolutions, operating in highly competitive fields, continue to succeed right here in the Greater Jamestown Community,” said BPU General Manager David Leathers. “We are pleased that the BPU’s Flex Rate/SC-6 Program provides both companies with this assistance as they continue to thrive in our utility territory, employing local residents.”
“The SC-6 Flex Rate Program is designed to keep large employers competitive while reinforcing their long-term commitment to our region,” said Kristofor Sellstrom, BPU Deputy General Manager–Electric. “By aligning electric costs with investment, efficiency, and workforce stability, the BPU is helping these companies grow, modernize and provide high-quality jobs in our community.”
