Paula’s Donuts and consulting firm RV Rhodes were approved for sales tax abatements Thursday by the Clarence Industrial Development Agency to support their new projects in town.

Paula Huber is expanding her doughnut business beyond its current home in Buffalo into leased space at 8560 Main St. The new Harris Hill location will consist of a bakery and retail store; the Paula’s store on Kenmore Avenue will stay open.

Paula’s was approved for a sales tax savings of about $8,000, on a project estimated at $125,000. The new location is expected to have about 20 full-and part-time jobs, said Paul Leone, an IDA consultant. The location is in a town “enhancement zone” targeted for business growth and is considered adaptive reuse of vacant space.

Paula’s will fill vacant space flanked by Clarence Eye Care and Clarence Pediatric Dentistry.

While the project was approved unanimously, board member Michael Buettner raised a broader point about the IDA backing projects like a doughnut shop, when there are obvious competitors in the area.

“As long as it’s adaptive reuse and it’s in an enhancement zone, then it’s a little different ballgame,” Buettner said. “Because otherwise, some of these businesses are retail businesses that have a ton of competition out there that we are helping.”

Chairman David C. Hartzell Jr. agreed that the board should be selective about which projects it provides benefits to, especially through payment-in-lieu-of-taxes programs, or PILOTs, to avoid giving a new or expanded business a leg up over local competitors. “We’re here to help business in Clarence, not hurt business,” he said.

Vice Chairman Clayt Ertel said

there is a “multiplier” effect generated by filling vacant space. “You put another business in the town, business activity creates business activity,” he said.

The IDA board also approved sales tax savings of about $8,000 for the RV Rhodes project, at a location east of Westwood Road.

Amy Pearl is moving her consultancy from leased space at 610 Main St. in Buffalo to 8304 Main St., a property she and her husband, Ken, have owned since 2006 through Pearl Holdings, Leone said.

Ken Pearl’s business, Architecture Unlimited, is at the same location. RV Rhodes has four full-time and two part-time employees, Leone said.

The project, also in an enhancement zone, is estimated at $170,000 and will include a 900-square-foot addition, Leone said.

In other IDA business, Hartzell, who took office as town supervisor this month, was reappointed the IDA board’s chairman.

Typically the Clarence town supervisor does not also serve as the Clarence IDA’s chairman. But after some discussion, members agreed that was a tradition rather than a policy, and they reappointed Hartzell, who expressed interest in remaining in the position.

Following a 40-minute executive session, the board reappointed a number of IDA officials to their positions, but it reserved decision on attorney, a position held by Steven Bengart. The board at its Feb. 16 meeting will interview candidates for the job, Hartzell said.

mglynn@buffnews.comnull