Government Affairs Albany UpdateMarch 22, 2002
- Senator Alesi Introduces Omnibus Invest In New York Tax Recovery Bill
- Energy Forum Stresses Need for More Power
- Lobby Commission Legislative Proposals
Senator James Alesi (R-Fairport), along with co-sponsors DeFrancisco, Farley, Hoffman, Johnson, Kuhl, Larkin, Maltese, Maziarz, Meier, Nozzolio, Padavan, Saland, Seward, Trunzo, Volker, and Wright, this week introduced Senate bill number S.6605, The Business Council's omnibus Invest In New York Tax Act. Note: The bill text is not available at this time.
Upon its introduction, Business Council President Dan Walsh said: "We look forward to working with Senator Alesi and the rest of the Senate members to keep New York's economy rolling on the path to recovery. Adopting single-sales factor, facilitating new capital-company investments in Manhattan, and reforming taxes on the telecommunications and financial services industries would encourage New York employers to invest in capital improvements and jobs here, not in other states. Repealing the alternative minimum tax would let employers that create jobs take full advantage of incentives put in place by the Legislature precisely to encourage and reward job creation."
Provisions included in the Invest In New York Tax Act are:
- authorization for single sales factor taxation, which will ensure that the portion of a multi-state firm's total income taxable in New York does not increase simply because the firm locates more jobs in New York;
- phased repeal of the tax rate on Minimum Taxable Income, which at present strips away much of the value of New York's investment incentives from those firms that can and do invest the most in New York;
- removal of the cutoff date for the financial sector's Investment Tax Credit on property used in the sale, purchase, and exchange of securities;
- establishment of a revitalization Certified Capital Company program specifically for lower Manhattan, which was decimated by the terrorist attack on the United States of America on September 11, 2001;
- clarification of the tax treatment of charges for telecommunications services aggregated or bundled with nontaxable telecommunications services; and
- creation of parity in the application of existing statutory provisions of Section 183 dividends taxation to all telecommunications carriers.
An Energy Forum held in Albany on March 20th stressed the need for New York State to build more plants and increase its supply of electricity. The eight member panel was comprised of The Business Council's Vice Chairman and KeySpan CEO Robert Catell, State Senate Energy Committee Chairman James Wright, Assembly Energy Committee Chairman Paul Tonko, the Independent System Operator's President Bill Museler, New York City Building Congress President Richard Anderson, Mirant New York President Mark Lynch, NYSERDA President Bill Flynn and the New York AFL-CIO President Denis Hughes. The panelists discussed the energy needs facing New York State and other issues such as the security and safety of New York's energy infrastructure. One point that was discussed at length was the misconception that New York is not in need of additional generation for the coming years due to the recession of last fall and the temporary loss in demand due to the destruction of the World Trade Center. Many of the panelists noted that even with slow economic growth, new power is needed to fuel New York's growing power needs. For example, the summer of 2001 serves as an indication of how tight the supply of electricity is in New York.
On August 9, 2001 New York State reached its all time peak demand of 30,983 MW. If new generation is not brought on line over the next several years, New York will be in danger of coming close to exceeding levels of demand in excess of reliability standards. Significant load pockets already exist in New York City and Long Island. The Business Council has been adamant in its support for new baseload generation and has published the figure of 9,200 MW as a target for new power over the next five years as means to insure reliability and lower costs. For a copy of our report, access: http://www.ppinys.org/reports/2002/power_to_grow.pdf
Lobby Commission Legislative
Staff Contact: Ken Pokalsky
The Temporary State Commission on Lobbying has issued its annual report for 2001. In addition to its list of "top ten" lobbying firms that have been receiving considerable media attention this week, the Commission has also proposed six amendments to the Lobbying Act. These include:
- expand the definition of "lobbying" to include efforts to influence any administrative or official action being considered by a state or local official. Currently, the Lobbying Act only pertains to efforts to influence legislative and rulemaking decisions.
- eliminate the requirement that lobbyist file semi-annual reports, since these reports overlap with, and largely duplicate the content of, the bi-monthly lobbyist reports filed in January and July.
- eliminate the requirement that public corporations file retainer agreements and lobbyist designations with their bimonthly reports, since this information is already required as part of their registration statements.
- prohibit contingency retainers for local lobbying. The current prohibition on contingency retainers only applies to state-level lobbying.
- expand the Commission's enforcement authority to allow it to suspend or eliminate a lobbyist's ability to lobby as a penalty for repeat and/or significant violations of the Act, and to treat a violation of such suspension or prohibition as a felony.
- allow lobbyists to file two-year registrations that correspond with the two-year legislative session.
You can obtain the full Annual Report from the Commission's web site at: http://www.nylobby.state.ny.us