Calculations had been updated to reflect the MRB Group Highbridge Development Schoharie, LLC Route 30 A Development Economic and Fiscal Impact Analysis.

The Highbridge development may dramatically increase Town and County real property tax collections over the next 10 years.
As indicated in the County Budget Book, the Schoharie County Budget is heavily dependent on real property tax collection, estimated at 26% revenue or $22,597,987 in 2023.
Town of Schoharie total tax to be collected in 2023 is budgeted at $956,560.

How will the tax breaks work if the current agreement moves forward?

• Highbridge is working with the Industrial Development Agency to secure a Payment in Lieu of Taxes (PILOT) agreement.
  • As the current anticipated real property tax payment will be honored throughout the first 5 years, there will be no loss in expected real property tax revenue. 
• Typically, for the first 5 years they will will pay the current real property tax. Today, real property tax on this vacant land is estimated at $13,651 combined collection for all taxing jurisdictions. 
• Typically, after the proposed $67,800,000 new construction investments, beginning in year 6 of the agreement, they will begin paying real property tax on a percentage of the new assessed value. 
• Current estimates indicate that the resulting tax will be more than 30X the current amount billed by end of year 6. 

Calculations had been updated to reflect the MRB Group Highbridge Development Schoharie, LLC Route 30 A Development Economic and Fiscal Impact Analysis.

The temporary construction workers and permanent jobs created at the Highbridge site are expected to boost the local buying power and result in increased sales tax collection.

According to the former Schoharie County Administrator, sales tax growth is imperative to provide property tax relief for all residents. As read in the County Budget Book, most Counties balance finances with a healthy 34% sales tax contribution to revenues. The 2023 adopted County budget reflects a 22% revenue attributed to sales tax at $19,415,133 of $86,721,843 total revenue representing a 10% shortfall of standard.

Total Town of Schoharie Sales Tax share in 2023 is budgeted at $60,000. 

What are the anticipated sales tax impacts?

• Temporary construction jobs will have an anticipated payroll of $15.6 million
• Permanent jobs will have an anticipated annual payroll of $14.4 million 
• A typical person spends 3% of annual earning on gasoline alone which correlates to $18,720 sales tax collected annually on gas during construction and nearly $17,280 collected when operational. This amount represents more than 4 homeowners paying real property tax annually at $3,900 average.

Calculations had been updated to reflect the MRB Group Highbridge Development Schoharie, LLC Route 30 A Development Economic and Fiscal Impact Analysis.

The Highbridge development proposes more than 287* permanent jobs will be created after 188* temporary construction jobs complete the work, based on reported industry averages per square foot. 

Warehouse workers earn more in the Mohawk Valley than they do in the Capital Region. The NYS Department of Labor reports the average annual wage for transportation and warehouse at $54,382 Mohawk Valley versus $50,100 in the Capital Region Labor Market.

Schoharie County is considered the Mohawk Valley Region, NYS Department of Labor reports:

Transportation and Warehouse             $54,383 average wage

Professional and Technical                    $68,525 average wage

Note, retail trade workers typically earn $34,560 annual wage, sporting goods retail workers earn $21,723, and retail & accommodation/food service is at a $22,950 annual wage.