Those that read my column regularly realize that I am the eternal optimist. Well, now that the long awaited building boom in the Hudson Valley reaches crescendo, I am more conservative in my long range outlook.
This long awaited rise in business activity………..possibly the strongest in the history of the Valley, how long does it last? Where are we going to be in four or five years? Our mega projects has everyone scampering for qualified workers-something we pride ourselves in providing. Many locals are importing workers from other regions which fortunately is something the union model provides.
We are very thankful to Montreign Resorts, CPV and the many other projects ongoing or soon to break ground. As this newsletter goes to print, we are very hopeful that a Project Labor Agreement is obtained for the Legoland project which is planned for Goshen. Believe me, I’m thrilled about the work underway and soon to be started. While many of the projects aren’t using CCA members as General Contractors, CCA members are gaining a lot of work as sub-contractors on many of these projects.
Is the pipeline going to continue to flourish past the jobs we are now aware of? Will backlog build or will work slow after the current projects wind down? I am involved in Economic Development organizations and read many publications on the subject. The only thing I have learned is that there is no crystal ball and there are many divergent opinions.
Couple the economics of doing business in New York State (our high tax structure) and the outrageous regulatory burden, and companies coming here have a need to be here or a window of opportunity (i.e. distribution, power, entertainment). New York continues to lag the nation in growth. While Governor Cuomo continues to strive for economic growth, without a corresponding drop in taxes, it will continue to be an uphill battle. The Governor also needs to get a grip on the State agencies and their regulatory burdens.
If you want to determine if you’re an optimist or pessimist, I ask this question: If you had a child graduating high school this year, would you encourage your child follow in your career path? We need to look at our business for more than the next four or five years that are in the business cycle. What follows that?
Me? I’m still an optimist, but a bit more conservative than in the past.