Updated 10:21a.m., Nov. 19, 2015

MASSENA -- A Massena businessman says he is circulating a plan he and some associates have developed “to keep Alcoa here at little or no cost to the public.”

The plan aims to make smelting in Massena profitable, even though the company says it was cutting back in Massena because of the low worldwide price for aluminum and Massena operations were not profitable.

Tom Gramuglia is recommending that the New York Power Authority drop its price for electricity to Alcoa by a third, which could save the company $5 million a year.

He also recommends a 10 percent cut in pay to workers at Alcoa, saving the company another $5 million a year, coupled with a commitment from Alcoa to pay a 15 percent share to the workers when the smelting operation returns to profitability.

He also recommends that the Massena Electric Department “Brings back the Dam proposal which creates a savings to Alcoa of approximately $175 Million- $22 Million per year on the cleanup of the Grass River.” The dam has been proposed as an alternative to the current cleanup plan.

He also notes that the St. Lawrence River Valley Redevelopment Agency is charged by the St Lawrence Country IDA $300,000 per year, while his plan calls for the IDA to stop charging the River Agency and for the River Agency to divert that money to Alcoa along with an additional $200,000 per year as long as the smelter is kept open.

“The money paid by the River Agency to the IDA does not create any substantial jobs. Our plan's use of these funds could save 485 jobs,” Gramuglia says. “We wanted to show NYPA that St. Lawrence County will be making a substantial contribution through the River Agency in conjunction with a substantial rate reduction by NYPA to Alcoa,” he said.

That and other commitments, Gramuglia says, will save the company $32.5 million a year, while Alcoa has said the smelter at Massena s losing money at a rate of $24 million a year. Gramuglia’s plan would thus give the company a profit of $8.5 million a year there.

“We have sent this plan to save Alcoa to various people and groups. The reaction so far has been very positive,” Gramuglia said.

He said a suggestion by Assemblymember Addie Russell, D-Theresa, that a n employee stock option plan be formulated, “is a long long shot at best.”

He said several Massena business people put the plan together, and that it could “keep Alcoa here at little cost to the public. and could bring back the East plant. Alcoa would go from a loss to a profit on the West plant at current aluminum prices.”

Also suggested is the model of Novelis Aluminum in Oswego, “a plant that was owned by Alcan and now employees 1000 people,” using “recycled aluminum, something our plan calls for in the East Plant.