Senate plan would invest $3.7 billion in Upstate economy

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2007

Upstate's economy would receive a $3.7 billion boost through tax relief and incentives under the Senate Majority's Upstate economic revival plan.

The plan, unveiled May 15 by Senate Majority Leader Joseph Bruno, seeks to revitalize the Upstate economy by reducing taxes, updating infrastructure and strengthening business, a release from the Majority said. The plan would provide businesses more than $3.7 billion in tax relief, investment and economic incentives over three years.

"Revitalizing the upstate economy and creating new economic opportunities for young New Yorkers is a top priority for the Senate Majority," Senator Bruno said. "With the launch of our Upstate Now agenda, we are advancing a comprehensive, strategic plan that will strengthen the state's economy, particularly Upstate, create thousands of new jobs and generate tremendous new investments in communities all across our State.”

"Senator Bruno and his colleagues in the Senate majority have crafted a broad package of proposals that would benefit the Upstate economy and all of New York State,” said Kenneth Adams, president and CEO of The Business Council. “It's particularly encouraging to see the Senate emphasize the need to help Upstate with proposals that address both the core business-climate issues that hurt all employers in all sectors across the state as well as the need for investment in technology and innovation, which will be central to New York's future economic success."

The Upstate Now plan would:

  • Provide tax relief to New York businesses by reducing taxes on the state's manufacturing sector; provide school tax rebates to business employing fewer than 20 people; lower the corporate franchise tax from 7.1 to 6.85 percent; reduce taxes on small business, aviation and marine fuel; and advocate for tax relief at the federal level by lobbying for the elimination of taxes on New York's economic development incentives.

  • Update and improve Upstate's infrastructure by investing $300 million in capital support to economic development and technology project, building a high-speed railway connecting the state's city centers; rebuild and revive the state's highways, roads, bridges, water and sewer lines; support state-wide broadband access; invest in the 21st Century Food Laboratory in Geneva and the state Data Center in Utica; and create new commerce and economic growth zones around regional airports.

  • Encourage growth in innovation and technology by providing major manufacturers with refundable tax credits; invest $100 million in regional partnerships for investment; use $300 million in regional venture funds to create new investments; invest in agribusiness and agriculture enterprise applied research and technology; exempt businesses in academic incubators from sales tax; provide commercialization assistance grants; increase credits for qualified emerging technology companies and create incentives for bioscience and nanoscience commercialization; encourage and support new capital investments in Upstate technology centers; and reconfigure economic zones to address rural needs.

  • Promote energy independence and clean alternative energy; provide $350 million in refundable energy tax credit to small businesses; create solar and fuel cell manufacturer tax credits, cellulosic ethanol production tax credits, and alternative energy use tax credits; eliminate petroleum business tax on nonresidential heating fuel; provide $300 for research on clean, renewable energy; extend existing low-cost power programs, including Power for Jobs; reduce property taxes on Biofeedstock production land.

  • Reduce health care costs on small business by allowing businesses to purchase Health New York at the unsubsidized cost; expand Health-NY coverage for individuals from 208 percent of the federal poverty level to 250 percent; provide small business with tax credits for health insurance cost; and exempt Health Savings Accounts from state health insurance mandates.

  • Revitalize aging Upstate communities by encouraging development by cleaning brownfields and finding new use for obsolete manufacturing facilities; encouraging downtown revitalization; create asbestos remediation tax credit; and finding ways to better promote Upstate's heritage, history and culture.

  • Attract new manufacturers by finding global manufacturers looking to invest in U.S. facilities, and develop inventive packages, including refundable tax credits, to attract major manufacturers.

  • Invest in workforce preparation programs and meet businesses workforce needs by expanding SUNY Learning Network's remote education programs; supporting experience-based education programs and developing networks of community college technology training centers; creating regional technology-focused high schools; supporting employer investments in workforce education and training; enhancing funding for individual training accounts; and supporting the state-wide introduction of the New Work Readiness certificate.

  • Encourage entrepreneurs by creating a simplified business start-up and support program by creating a hotline for small business and an online program with problem-solving tools; creating an online incubation program for small and start-up companies; establishing an online database of forms and regulations in simplified language; ensuring funds for start-up businesses; creating entrepreneur savings accounts and revolving loan funds for certain industries; and ensuring equal authority of the regional Empire State Development chairs.

  • Promote Upstate's recreational and cultural opportunities by enhancing coordination of regional tourism; promoting historic and cultural sites; and elevate the I Love New York tourism program by removing it from Empire State Development oversight and creating a cabinet-level leadership position.

More on the Senate Majority's Upstate Now plan is available at www.senate.state.ny.us.