Three bills sponsored by New York State Senator Pete Harckham and Rep. Sandy Galef to ensure workforce protection and financial support to local communities and taxpayers while the Indian Point Energy Center (IPEC) is in its decommissioning process passed, were legally signed by Governor Andrew M. Cuomo.
With immediate effect, the new IPEC laws signal strong support for the communities surrounding the nuclear power plant, whose third and last operating reactor is to be shut down in April 2021. Holtec International, based in New Jersey, has been approved by the US Nuclear Regulatory Commission to shut down the facility.
“With Indian Point closing in less than four months, it was imperative that legal safeguards be in place for the existing workforce and their families, as well as guaranteed income for the local communities and schools,” said Harckham. “Now the upcoming changes are being softened and handled more easily. I am grateful that Governor Cuomo has signed this legislation and I appreciate all the struggles so many people, including Sandy Galef, my legislative partner on this matter, went through to ensure that our residents get the help and consideration they deserve. “
“What a perfect way to start the New Year with the signing of these three bills to protect Village, City and School District Taxpayers and Indian Point Nuclear Workers,” said Galef. “Working with the governor’s office, local officials and union representatives, we achieved our goal last night to incorporate these bills into New York State law. It has been a pleasure for me to work with Senator Harckham to pass this important piece of legislation, and we will continue to work together on other issues arising from the closure and decommissioning of the Buchanan nuclear power plants. “
New laws include S.7846, which will address the possible negative impact on the workforce during the shutdown by keeping workers at Indian Point at applicable wages, which is the same as wages for the same work in the area to be paid. This will remain in effect after the current company owner Entergy officially handed the property over to Holtec for decommissioning and control of operations. The new law also recognizes the need for professional maintenance of the Indian Point facility during its shutdown and requires that new hires be selected from a list of skilled workers at the plant.
“I applaud the concerted efforts of Senator Pete Harckham and Rep. Sandy Galef to ensure the protection of workers and the safety of our community during the decommissioning of Indian Point Nuclear Power Plant Units 1, 2 and 3,” said Thomas Carey, President of Westchester / Putnam Central Labor Body. “Senator Harckham, Rep. Galef, and labor and community leaders have worked tirelessly to produce these bills that fully understand the concerns of our school districts, fire departments, small businesses, and most importantly, our residents. They were genuinely preoccupied with all aspects of this massive undertaking and the dialogue continued well into the late evenings on many occasions. Once again a big thank you to our two legislators. “
The financial impact of the Indian Point closure on the local community is expected to be significant. The municipal tax base and funding of the local school district has long been supported by the energy facility, and maintaining much of that support is vital, especially given the unforeseen municipal costs incurred during the novel coronavirus pandemic.
To help stabilize tax revenues for the City of Cortlandt, the Village of Buchanan and the Hendrick Hudson School District during the transition, S. 8075 will now include spent fuel and the fuel barrels in the nuclear power plant as part of its real estate tax assessment. Otherwise, the market value of the plant that is not in operation will adversely affect the valuation and create an unmanageable earnings gap for these tax-financed companies.
The third new law, p.8204, concerns Indian Point’s PILOT (Payment in Lieu of Taxes) agreement, which expires in April 2021. The law only allows previously generated power plants to make these payments.