Assembly Speaker Sheldon Silver announced the SFY 2013-14 Budget approved by the Assembly includes $9.9 million in restorations and new funding for economic development projects as well as $700 million in business tax credits to boost the state's economy.
"This budget closes a $1.3 billion deficit and for the third consecutive year it will come in at less than two percent growth. It is also essential that we continue to make investments to further New York's economic growth." said Silver. "These investments are crucial to re-establishing the ladder to the middle-class through better job opportunities so New Yorkers can achieve financial security for themselves and their families."
"I am pleased that when the budget is completed we will have restored financial support and provided new funds for economic development initiatives that have the ability to strengthen our economy and build a future for our young people here in New York State," said Ways and Means Committee Chair Herman D. Farrell, Jr. "The finalized budget also will provide business tax credits to help companies stay competitive so they can grow their workforces and operations in our state."
Economic Development Initiatives
As a result of the Assembly Majority's advocacy, the budget includes $6.99 million in funding restorations and $2.89 million in new spending for a range of economic development programs.
Restoration funding will be provided to several of the state's cutting edge, high technology university and private industry partnerships, including $2.5 million for the College of Nanoscale Science and Engineering and $500,000 for the Center at Excellence at Stony Brook University. In addition, the new start-up centers at the state's Centers of Excellence at the University of Buffalo and the Rochester Institute of Technology will each receive $250,000 in restored funds as well as $250,000 in new spending.
This fiscal plan also provides $1.05 million to the Utica-Rome Region's Griffiss Local Development Corporation, which operates the Griffiss Business and Technology Park, where many technology and innovation based companies are located, including the Air Force Research Laboratory.
Investments in New York's Businesses
The business tax credits in this budget will be worth $700 million by 2017-18, and include tax relief measures that would:
To support the development of small businesses, $365,000 is restored to the Minority and Women-Owned Business Development and Lending Program for a total appropriation $1 million, and $150,000 is provided for the creation of a new EB-5 Immigrant-Owned Business Program at CUNY's York College.
For the state to realize the full economic potential of its tourism industry, the budget will provide $7 million to launch the new tourism marketing program: "Market NY." This initiative is meant to establish a dynamic, compelling and comprehensive marketing campaign of the state's world renowned tourist attractions in order to more effectively reach out to potential visitors within the state and beyond.
This fiscal plan provides bridge loans for procurement purposes within the Small Business Revolving Loan Fund to help minority - and women-owned businesses and other small businesses access capital at affordable rates. It also would expand the Excelsior Linked Deposit program so small businesses in high technology industries can participate.
Silver and Farrell noted that the budget establishes the New York State Innovation Venture Capital Fund and the New York State Business Incubator and Innovation Hot Spot Support Act, which are programs designed to assist the start-up and growth of newly established business and technology companies in the state.
The Innovation Venture Capital Fund would provide early-stage seed money for investments in new businesses and promote the transition from research and development to commercialization. The Hot Spot Support Act will assist the state's existing economic development incubator programs, providing fledgling companies with access to such support services as technical, marketing, and entrepreneurial training. Companies operating within an innovation Hot Spot also will be eligible for tax exemptions.