0	 . 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." 

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" 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

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°'^^^^^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.
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