The panel featured Steve Carroll, president and business manager of IBEW Local 320; Joseph Hally, senior vice president of corporate affairs for Central Hudson Gas & Electric; John Cooney Jr., executive director of the Construction Industry Council of Westchester & Hudson Valley, Inc.; and Dan Depew, CEO and executive director of the Construction Contractors Association of the Hudson Valley.

Panelists highlighted the cost of purchasing Central Hudson’s infrastructure, the lack of specifics regarding the takeover process, and the value of the experienced Central Hudson workforce that maintains the system and responds when damaging storms occur.

Mr. Hally noted that the bill would increase costs and be mired in delays. He said Central Hudson “is not for sale” and that, while bill supporters suggest the utility could be purchased for about $3.5 billion, fair market value estimates put the purchase price at between $6 billion and $7.5 billion. This figure would not include an additional estimated $2.6 billion to $5.2 billion in gas conversion costs.

Mr. Hally added that the bill would also shift fiscal responsibility from Central Hudson shareholders to Hudson Valley ratepayers and taxpayers. In addition, the new entity would no longer be subject to the same scrutiny by the Public Service Commission, and the public would no longer be able to participate in hearings involving Central Hudson and the PSC, as the new entity would be managed by political appointees. He also said that any potential takeover of the utility could result in a prolonged process lasting decades.

Central Hudson’s billing system issues resulted in the Public Service Commission reaching a $64.59 million settlement with the utility in June 2024, which was borne entirely by utility shareholders. Panelists said that issue put the utility in the crosshairs of some state legislators.

Stephanie Raymond, who became president and CEO of Central Hudson in October 2024, noted earlier in the day, during a labor policy agreement ceremony with the building trades, that the company has made great strides since then. “We have completely changed. We are a better company. We are a stronger company,” Ms. Raymond said.

Another key issue raised by the panel was the uncertainty surrounding how much the new entity would pay in taxes and how those payments would be determined. Central Hudson currently pays more than $60 million to area counties, municipalities and school districts.

Mr. Cooney noted that utility takeovers have been attempted in the past, including the costly takeover of the Long Island Power Authority, “and the preponderance of those efforts have failed,” he said. Mr. Cooney estimated that utility and energy-related projects account for about 40% of CIC members’ civil work.

Mr. Carroll of IBEW Local 320 also cited problems with the New York City Housing Authority as another example of a government-run public entity that has faced challenges.

Mr. Cooney said a takeover of the utility would create uncertainty, resulting in project delays and decreased investment in workers and equipment. He said contractors would be forced to “move on and compete in other markets outside of the utility market.”

“This truly hasn’t worked anywhere else, so why here?” Mr. Cooney said.

Mr. Depew of the CCA characterized the potential economic impacts of a government takeover of the utility on the region as “catastrophic.”

The Protect Our Power Coalition is a partnership of local economic development groups, chambers of commerce, labor unions and community advocates working to keep energy in the Hudson Valley affordable, reliable and accountable. The Construction Industry Council of Westchester & Hudson Valley, Inc., the Hudson Valley Building & Construction Trades Council, and the Construction Contractors Association of the Hudson Valley are among the coalition’s members.