East Haven Rep. Votes to Approve Sikorsky Aircraft Deal

From the Connecticut General Assembly:

James Albis (D –East Haven) voted today to approve a deal for Sikorsky Aircraft, which has made its home in Stratford since 1929, to remain in Connecticut until at least 2032 and save thousands of Connecticut jobs. The deal was approved by the full General Assembly.

The helicopter giant will be eligible for financial incentives in exchange for building nearly 200 CH-53K King Stallion helicopters in state and hiring additional workers to construct them.

The agreement is also a boon for local manufacturers. Per the terms of the deal, Sikorsky will nearly double its spending of $350 million per year with local Connecticut suppliers throughout the state, including one supplier in East Haven that employs 77 local residents.

“The construction of these helicopters is vital for the growth of Connecticut’s economy” Rep. Albis said. “This agreement expands our manufacturing base, provides jobs with living wages, and secures economic stability for workers and small businesses for years to come. This is a monumental moment for Connecticut and I am proud to support this deal.”

In summary, the deal will:

• Build nearly 200 CH-53K King Stallion Helicopters – the largest maritime helicopter in the world – in Connecticut for the United States Navy until at least June 2032

• Keep the Sikorsky headquarters in the state and maintain its Stratford site as a primary production facility for its government based helicopter business
• Retain and grow its full time employment in Connecticut to more than 8,000 by the end of the term of the agreement
• Increase its capital spending for machinery and equipment by 22 percent
• Drive an estimated $69.2 billion into the Connecticut economy between 2016 and 2032

• Allow Sikorsky to spend an estimated $21.1 billion on wages and benefits between 2016 and 2032

• Support approximately 24,601 jobs directly and indirectly

• Invest an estimated $744.8 million in contractor employment

Inject an estimated $384.4 million in direct and indirect average annual tax revenue into the Connecticut economy, totaling $6.54 billion from 2016 to 2032

The incentives, worth up to $220 million over 15 years, include exemptions from sales and use taxes and annual grants during the term of the deal. In turn, Sikorsky and Lockheed will keep its HQ and primary manufacturing in the state, retain and expand its full-time staff, increase capital spending and give top priority to its Connecticut-based suppliers.

Photo courtesy of Shutterstock