Politics & Government

Malone Trying to Help Small Businesses H.I.R.E. With Incentive Program

Incentive program would grant small businesses $1,000 for creating a job for one full year.

While federal officials debate parts of a $450 billion spending plan aimed at stimulating the nationwide economy, Southampton Town is attempting to do its own part to spin the wheels of local commerce.

Councilman Jim Malone, C-Hampton Bays, proposed an incentive plan on Friday that would offer small businesses $1,000 if they create a full-time position and keep it filled for one full year.

Titled Hiring Incentive Rebate for Employers (H.I.R.E.), the program for its first year of operation, in the 2012 budget, will offer up to $25,000 to local businesses who are interested.

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"Unemployment continues to lag and languish, and much of it has to do with the burdens on small business, which are our greatest employer," Malone said. "One of those burdens is the uncertainty, cost, and difficulty a small business takes on when it risks hiring an individual. Hopefully this can act as an incentive."

Malone said the businesses don't need to keep the same person on for an entire year — they would not be required to keep a poorly performing employee — so long as they fill the position.

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He said he believes he has the support to pass the bill, which adds $25,000 to a 2012 budget that — at least in its current form — .

Karen Connolly, executive director of the , said the bill could be a welcome sign to many small business owners.

"Anything to encourage small businesses to add to employment and help their own survival is good right now," she said.

However, Connolly said she didn't claim to speak for all businesses, and Sean King of on Hampton Road explained a couple of reasons why he wouldn't put his hat in the ring for the $1,000 incentive.

"We're seasonal. When we're busy, we hire. When we're not, we lay off," he said. "Plus, I don't need the town going through my finances. It's not like I need a bailout. I'm not G.M."

Malone said that in order for a business to be eligible for the incentive, a panel consisting of the town's director of business management, the town comptroller, and the deputy supervisor would review applications, including the businesses' W-2 forms. The job created must be at least 35 hours per week, and the primary place of business must be in Southampton Town. The town board has the final say to determine if the business is eligible for the rebate, and there are no appeals.

As of Friday, Malone had not yet come to a final determination as to how many rebates one business could earn, though said somewhere in the range of three to five would be likely. He added that he's hoping to work with the town's grant coordinator to secure state or federal dollars, and hopes to have $50,000 for the program in the 2013 budget.


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