Middletown IDA outlines projects boosting economic development and tax benefits

A significant focus of the March 4th, 2025 Common Council Meeting in Middletown, NY, was the role of the Industrial Development Agency (IDA) in promoting local economic growth. The IDA, a public benefit corporation authorized by the state, aims to enhance the city's prosperity by attracting and retaining diverse businesses through various incentives.

The IDA board, composed of seven volunteer members appointed by the mayor and approved by the Common Council, discussed its mandate to hold public hearings before approving projects and to conduct annual independent audits. These measures ensure transparency and accountability in their operations.

One of the key highlights was the IDA's success in revitalizing the former Horton Hospital site. The hospital, which had not contributed taxes for years, was transformed into a space for Touro University College, which now offers master's programs and dormitories. This project not only repurposed a large building but also began generating tax revenue, with the IDA facilitating a payment in lieu of taxes (PILOT) agreement that currently brings in approximately $151,000 annually. This amount is set to increase until the PILOT ends in 2028, after which the property will be fully taxable.

The meeting underscored the IDA's critical role in fostering sustainable growth in Middletown, showcasing how strategic partnerships and incentives can lead to revitalization and economic development. As the city looks ahead, the IDA's ongoing projects and initiatives will be pivotal in shaping the local economy.