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FOR IMMEDIATE RELEASE:  December 16, 2010                                             

CONTACT:
Erich Weyant (ECHDC)
eweyant@empire.state.ny.us |
716.846.8258                                                                                           

LAWSUIT REGARDING CANAL SIDE FUNDING DISMISSED

State Supreme Court dismisses suit based on lack of standing and statute of limitations
requirements

New York State Supreme Court Justice Frederick Marshall today handed down a decision in a
lawsuit regarding the use of New York State Power Authority (NYPA) funds for the Canal Side
project. The suit had been filed in late July, 2010 and had sought to block the disbursement of
$3.7 million in annual payments to the Erie Canal Harbor Development Corporation (ECHDC)
over a period of 20 years. The judge found that the plaintiffs lacked standing to maintain the
action, and had not filed the suit within the applicable statute of limitations period.

“This is a tremendous win for our community,” said Erie Canal Harbor Development
Corporation Chair Jordan Levy. “These funds are the key to the revitalization of our waterfront,
and their loss would have dealt a devastating blow to Western New York.”

The funding is comprised of two streams: $4.7 million annually from the Niagara Relicensing
Settlement and $3.7 million annually as part of an Industrial Incentive Award, and will be used
to leverage a total of $105 million in bonds that will be used by ECHDC for waterfront
revitalization efforts on Buffalo’s waterfront.

“Our community can now move forward,” said ECHDC President Thomas P. Dee. “This
decision marks a turning point for the Canal Side project: we have a vision, a plan, and now the
guaranteed funding to ensure the development of a first class waterfront that will be enjoyed by
generations to come.”

Erie Canal Harbor Development Corporation is a subsidiary agency of Empire State

Development Corporation whose vision is to revitalize Western New York’s waterfront and
restore economic growth to Buffalo based on the region’s legacy of pride, urban significance and
natural beauty.

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