Manufacturing Council Update
Staff Contact: Johnny Evers
January 29, 2018
January 2018 - Inaugural Manufacturing Council Update
- Executive Budget to Impact Manufacturers
- Business Council 2018 Legislative Agenda
- Upcoming HR/Labor Webinars
This is the inaugural issue of a monthly committee update for the newly re-established Manufacturing Council of The Business Council of New York State, Inc.
This past Fall The Business Council re-instituted its regional manufacturing round-tables. Meetings were held in Rochester, Buffalo and Albany. Additionally Business Council staff visited member companies in the Elmira, Southern Tier and Syracuse areas to get feedback on issues of importance to manufacturers. In all we met with over 100 companies to discuss issues, listen to business concerns, and provide a legislative and regulatory update.
In addition to the regional meetings held, and those being planned for other areas of the State, The Business Council will be sending out this monthly Manufacturing Council Update to inform member companies of the issues being discussed by state policy makers. Each issue will focus on areas of concern to manufacturers such as energy policy, workers’ compensation, taxation, etc. By improving the communications between member companies and The Business Council we hope to strengthen the voice of manufacturing in Albany. With an over 100 year history as the voice for manufacturing in New York State, we welcome your participation and feedback.
For more information, contact Johnny Evers at 518-694-4463.
Executive Budget to Impact Manufacturers
Governor Cuomo’s Executive Budget proposal contains several proposals that would adversely impact the state’s manufacturing sector. The Business Council will be opposing these measures as the state legislature works on completing the state’s new budget by the April 1 deadline.
First, it proposes to repeal the sales tax exemption for energy purchased through ESCOs for all non-residential customers. This proposal would increase industrial and commercial customer’s energy costs by an estimated $120 million per year.
Second, it proposes a three year deferral of most business tax credits, meaning that credits already earned but not yet used, or any new credits earned, could not be used to reduce taxes in 2018, 2019 or 2020. This deferral is applicable to a taxpayer’s credits above $2 million for any tax year, and applies to the investment tax credit, remaining empire zone credits, the manufacturing-specific real property tax credit, and brownfield cleanup and redevelopment credits, among others. The only major credit programs excluded from this deferral are the Excelsior Jobs credit and the Film Production credit. This proposal also has separate schedules for reclaiming deferred refundable and nonrefundable credits starting in 2021. The overall cost of the deferral is estimated at $82 million the first year, $278 million in FY 2020.
Other budget issues of interest to manufacturers include:
Doing Business with State and Local Government
- A five year extension of the state’s current MWBE program for state contractors, with an increase in participation target to 30%; 10% price preference for MWBEs in low bid contracts; and an extension of the program local government contracts.
- An increase in the competitive bid threshold for the Metropolitan Transit Authority from $100,000 to $1 million, and new MTA authority to revisit contracts lacking explicit terms and/or durations.
- A requirement that all state contractors submit annual reports on sexual harassment violations; nondisclosure agreements executed by the contractor; and employee training practices related to sexual harassment prevention.
- A prohibition on campaign contributions from parties actively bidding on or have recently bid on any government procurement contract to office-holders and candidates associated with the branch of government requesting the procurement.
Workforce Development Funding
- A new, $175 million workforce development funding program to be developed with input from the REDCs, and overseen by a new office of Workforce Development to coordination for all state workforce training programs; a new One-Stop Shop for employers to access state WFD programs and information.
Energy Costs & Programs
- Authorizes the New York Power Authority to engage in energy-related projects, programs and services with any of its power customers.
Labor Law and Employment
- Directs the state to create a Voluntary Retirement Savings Program for private-sector employees; participation in the program would be optional for employers, and would require employers to provide information to employees, and allow for payroll withholdings by employees.
- Strengthen the State’s Authority to Enforce Federal Motor Carrier Safety Regulations, by allowing the state DOT commissioner to suspend registrations because of an out of service order issued by the US DOT, to hold suspensions until federal notice, and impose fines for additional violation.
2018 Legislative Agenda
Human Resources/Labor Webinars
The Business Council of New York State, Inc. has a robust and active committee dedicated to HR and labor issues. Our full time staffer Frank Kerbein is responsible for all of the issues that have a major impact on employment law and human resources. Our 2018 HR Webinar series is provided below. More information and on-line registration for the HR/Labor Webinar series is available here!
|Paid Family Leave Update||February 22||11:00 a.m. - 12:00 p.m.|
|ADA/FMLAWorkers' Compensation Compliance||March 15||11:00 a.m. - 12:00 p.m.|
|Employee Work Schedules, Break and Meal Period Compliance / NYS Budget Update||April 19||11:00 a.m. - 12:00 p.m.|
|End of Session Preview / Paid Family Leave Update||May 17||11:00 a.m. - 12:00 p.m.|
|Legislative Update / End of Session Review||June 26||11:00 a.m. - 12:00 p.m.|
Spring is coming!
Spring will be here before you know it, and the best and brightest college interns will be taken if you don’t start recruiting efforts soon. If you have not had the opportunity to log onto our new intern matching platform, InternShop, check it out today!
InternShop is a FREE benefit for Business Council members that connects students seeking internship opportunities to Business Council members across the State. Our custom developed platform allows students to search internship postings from member businesses and businesses to search for interns from over 70 colleges and universities in New York State.
John T. Evers, PhD
Director of Government Affairs
The Business Council of New York State, Inc.
111 Washington Avenue
Albany, NY 12210
Tel. 518-465-7511 ext. 204