Home > NEWS > Email from the President > Business Tax Credit Deferral & Energize NY

Tell the Governor NO! (and Assembly YES!)
June 23, 2010

In an ideal world, there would be no economic development incentives in New York at all. We wouldn’t need them.

But very little about doing business in NYS is ideal; indeed, we can’t even see ideal from here!

And that’s why I’m asking you to do two things today that can make a big difference Upstate, and especially in our region:

First, the Governor may submit a budget bill that would delay certain tax credits (incentives) for six years, with the goal of filling the state’s budget hole. It’s a short term fix that will block long term and long overdue urban development. The tax credits are a part of programs such as the recently improved Historic Preservation Tax Credit (which would make projects like AM&As and Hotel Lafayette doable) and brownfield redevelopment program (remember, we have one of the largest concentrations of brownfields in the nation).

Investing in development of vacant buildings and abandoned land – making them places of commerce again – will help the state’s economy. By effectively killing these important programs – which the Partnership and its members lobbied hard to create in the first place – the Governor will all but ensure long term fiscal problems for the state. Investments that lead to gainful employment for New Yorkers help the New York State budget.

Please leave a message for Governor Paterson telling him not to delay tax credits for six years. You can leave a voicemail for his staff at 518.474.8390 or email him.

Second, the NYS Senate recently passed Energize NY legislation which the Governor’s office has pledged to sign into law. It’s a replacement program for “Power for Jobs,” which expired May 15, and which supports 14,400 jobs in our region. The Senate’s bill (co-sponsored by Sen. George Maziarz) creates a larger economic development power program and includes a set-aside of power for use just Upstate. The problem? The Assembly isn’t taking up this bill. Assembly Energy Chair Kevin Cahill has submitted his own proposal for a smaller program with many fatal flaws, and which the Governor won’t support (meaning, it won’t become law).

Please click here to urge our local Assemblymembers, Assembly Speaker Silver and Assemblyman Cahill to introduce and pass Energize NY.

And if you need a reminder why NYS requires these incentives, consider the following: In 2010, New York's overall business climate ranks #50 out of 50 states. Our business tax climate? #49.

We do make the top of the list of states in some unfortunate categories: state and local personal income tax per-capita (#3), state and local corporate income tax per-capita (#2), state and local government debt per-capita (#3), state and local spending per-capita (#4), Medicaid spending per capita (#1)…..

Andrew J. Rudnick