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Direct automotive industry employment in New York exceeds 30,000 jobs and another 200,000 employees work in auto-related businesses such as parts suppliers and other sub- contractors. The State is home to 20 automotive facilities that are owned and operated by automobile manufacturers including parts distribution, corporate offices, research and development, sales and marketing centers, financial centers, and engineering and design facilities." cJ)
" 

### addition, there are nearly 200 auto parts manufacturers in New York who are supplied with materials and parts gby about 150 minority-owned sub-contractors. The State supports approximately 4 percent of the nation's auto

parts related manufacturing jobs, which produce almost 5 percent of the nation's auto parts shipments by value."
Leadership. Advocacy, Professional Development.

Brian 1. McMahon Stephen G. Hyde EXECUI1VE DIRECTOR Genesee County Econmonic Development Center Theresa 'Naivada Westchester County IDA 'MIllam G. Mannix Town of lstp IDA Msthoel Reese Fdton County EDC TREASURER
'iT jay Mital Castigo County Pianning & Development SECRETAPY Adore Ftynn Kurtz, CEcD The Development Corportlon CRAJR Michael B. Stomm Tompkins County ,Aseo Development Cl-AjR-ELECT Brian T. NIcIahon Executive Director

2011 IUL ZO PM 12: 36 ,n^-.··,···r·ı- ^^. 

# °'^^^^^SECY7^RAT I A I E EconomicDevelopmentCouncil

### The Honorable Ray LaHood, The Honorable Lisa Jackson

July/5, 20/1 Page 2
This employment base, which is greatest in Western New York, where job losses in manufacturing have been devastating in recent decades, will be significantly and permanently impacted if the proposed 2017— 2025 fuel economy standards are implemented. 

### The fuel economy regulations agreed upon previously for years 2012-16 represent a very aggressive— in fact unprecedented - increase in year-over-year fuel economy improvements for cars and trucks. Following that program with an even more extreme standard will require technology costs, and reduced customer choice, that the market will not bear. The Center for Automotive Research recently published a study based on the government's own data from the National Academy of Science (NAS) showing that extreme standards will cost about 260,000 jobs 

### and could force vehicle prices up by 

### nearly S 10,000 —a cost that will be borne by customers. The pay-off for the customer in fuel savings at very aggressive fuel economy levels versus the additional technology costs just doesn't work. Many of those jobs would be lost from auto stamping and engine manufacturing plants in New York State. This is simply too high a price to pay for over regulation. The New York State Economic Development Council and its member organizations work every day to create and retain good jobs for the state and its communities. We encourage you to carefully balance the factors that impact sensible fuel economy standards, including consumer choice, affordability and the economic concerns that weigh on our nation's fragile recovery. While laudable in its goals, the proposed fuel economy standards would do much more harm to local economies and the families whose jobs and lives would be impacted than any benefit that might be achieved for the environment. A much better balance must be found.m U

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