It was exciting to hear the news that New York state is planning to invest $200 million to build a pharmaceutical facility in Dunkirk. The move is reportedly going to create hundreds of jobs and in a community that has been hit hard by the loss of ConAgra and the potential closure of NRG’s Dunkirk plant, this is certainly welcome news for the entire region.

We need to remember that it is an investment of our tax dollars.

With any investment, the investors, in this case us as taxpayers, look to maximize his or her Return on Investment. But Gov. Andrew Cuomo and his economic development team often curtail our return by placing burdensome and costly Project Labor Agreements on developments.

For projects scattered across New York, the Executive Chamber made it clear that the money would not come unless a PLA was attached. For those unfamiliar with PLAs, they are essentially contracts that mandate that the vast majority of workers are hired out of union halls. Typically this means three out of every four workers.

Powerful special interests utilize political clout to advocate for these contracts, which is certainly the only feasible explanation for their presence. PLAs should concern you as a taxpayer because they have been proven to drive up costs on projects upwards of 30 percent.

Assuming very conservative estimates on the added costs of PLAs, attaching one to this construction could cost taxpayers anywhere from $24 million to $60 million extra in unnecessary spending.

State officials need to be prudent with our tax dollars and not attach a PLA to this mammoth investment. Instead, they should open up bidding to everyone and accept the lowest responsible bidder to do the work.

As fiscal stewards of our money, this is what we deserve. And as investors in this project, it’s what we deserve.

Brian Sampson is president of Associated Builders and Contractors, Empire State Chapter.