OPPORTUNITIES FOR JOB CREATION AND RETENTION

Assemblyman Jim Conte knows that job creation and retention are vital to the success of New York. Our economy depends in large part upon the health of the small business and manufacturing communities. Nearly 98 percent of all businesses in New York are small ones, and almost 52 percent of working New Yorkers are employed by small businesses.

Long Island’s businesses must be able to compete in the international marketplace – hence the importance of equipping them with the best incentives, technology and human capital possible. We need to stop the “brain-drain” by making New York a more affordable place to live, so that skilled labor does not continue to abandon our state, leaving our businesses with an unskilled workforce. This is why Assemblyman Jim Conte will continue to push for measures that will help to reduce the cost of doing business in New York and provide a skilled workforce – because we simply cannot afford to let our businesses close up shop and leave. Jim Conte’s agenda is simple: it includes reductions in business taxes, health care and energy costs, reform of the Scaffold Act and incentives for small businesses so that our main streets can thrive.

Helping New York’s Small Businesses:

The Small Business Improvement Act - The “Small Business Improvement Act” is designed to both assist small business in its dealings with state government and to provide some assistance to struggling downtown areas. The “Small Business Improvement Act” does this by clearing bureaucratic roadblocks in state government, allowing small business to access its fair share of state contracts, and offering other assistance to business owners. This Act would:

• Require that at least 15 percent of state contracts are with businesses employing 100 or fewer employees
• Reduce payment time to small businesses on state contracts from 60 to 30 days, reflecting the standard used by the federal government;
• Establish the Governor’s Office of Regulatory Reform in statute and expand the Online Permit Assistance and Licensing (OPAL) program to cover all NYS departments, agencies, and authorities that require permits, registrations, and fees;
• Provide education grants to business owners and employees for courses necessary for the support and operation of a micro-enterprise business;
• Allow binding arbitration for state contract disputes, instead of requiring court action, if the contract was awarded as a result of a small business development related set aside;
• Create a demonstration 511 “one stop shop” service to handle questions from existing or new businesses in the state and direct those questions to the appropriate agencies;
• Direct the Empire State Development Corporation (ESDC) to conduct a comprehensive study on the effectiveness of existing ESDC programs with respect to small businesses; and
• Provide funding for programs that will help upgrade and renovate downtown and main street facades.

The Small Business Relief Act - New York’s business environment has been hostile to the business community for years because of the crippling tax burdens faced by all New Yorkers. In addition to the more broad-based tax relief Assemblyman Conte continues to propose, he also supports the “Small Business Relief Act,” which is targeted specifically towards helping our small businesses survive and thrive throughout the state. The Act would:

• Authorize a sales tax exemption for businesses located in an Academic Incubator facility;
• Establish the college to work program to provide companies that pay college tuition on behalf of an individual, with a tax credit equal to 25 percent of the tuition paid on behalf of the individual, with a maximum allowable credit of $5,000 per year per individual;
• Allow businesses to pay all fees, filings, and assessments as part of their annual state tax filing;
• Commercialize Centers of Excellence and Genesis Centers of Research to allow companies that have conducted R&D in the state to continue to receive tax benefits when they move into actual manufacturin
• Eliminate S-Corp tax differential;
• Increase the sales tax vendor credit from 5 to 10 percent, and raise the maximum credit to $1,000 per year to more fairly reimburse compliance costs;
• Restore the one percent lower tax rate for small businesses; and
• Provide a Small Business Energy Tax Reduction.

Business STAR Program - This plan would make property owned by a small business (100 or fewer employees) eligible for the basic STAR benefits to reduce their property tax burden.

Reducing Energy Costs for Businesses and Consumers:

Energy costs continue to place a huge burden on businesses in our state and are a deterrent to doing business in New York. According to the Public Policy Institute, average electric prices here are 63 percent above the national average. Natural gas costs are also higher than in most other states, particularly for industrial customers. Because these energy costs will only continue to rise, our state must enact measures that will help decrease this burden on our businesses and ensure their economic viability. That’s why Assemblyman Jim Conte supports the following proposals:

NYS School Energy Efficiency Fund - Creates the NYS School Energy Efficiency Fund to provide funding to New York school facilities for energy-efficient upgrades.

Reduce Heating Fuel Costs for Business - Eliminates the Petroleum Business Tax on non-residential heating fuel.

Energy Policy - The Assembly Republican Conference is calling for the creation of a comprehensive statewide energy policy to make New York competitive in the 21st century. This policy would streamline current programs, allow for a more complete evaluation of the state’s

energy needs, push for a more adequate and cost competitive energy supply, and show New York’s dedication to solving the energy problem in our state.

 

Alternative Energy Sources:

The United States is the top consumer of oil worldwide, consuming 300 times more than China, the second largest oil-consuming country. Our nation is far too dependent on foreign oil, which is why we are increasingly feeling the pain at the pump. As of December 2007, the average price for a gallon of gasoline has reached an astronomical $3.26. Assemblyman Jim Conte knows that the best thing our state and nation can do to address this issue is to transition to home-grown alternative fuels. This is why Jim Conte supports the following measures that encourage the production and use of alternative energy sources:

The Alternative Fuels Incentive Fund: Assembly Republicans support dedicating the sales tax revenue generated above $1 on the sale of gasoline to a new Alternative Fuel Incentive Fund. This would generate $265 million annually. The fund would provide tax credits, grants, investments and other incentives to encourage ownership of hybrid and flex-fuel vehicles and the building of alternative fueling stations and refineries to expand the availability of these fuels in our state. The accelerated transition to homegrown alternative fuels is the only lasting way to lower fuel costs. The $265 million fund would go toward:

• A $500 tax credit for the purchase of a hybrid or “flex-fuel” vehicle
• A tax credit equal to 30 percent of the costs associated with putting in an alternative fueling pump at a gas station;
• Providing $1 million for each of the 27 travel plazas on the NYS Thruway with alternative fueling stations
• Providing $20 million in grants for the construction of new ethanol refineries across the state; and
• $30 million for research and development.

E85 Conversion Pumps - Creates a grant program to provide a reimbursement of 75 percent of the funds to filling station owners for the conversion of pumps that are E85 (85 percent ethanol) compatible.

Alternative Fuel Stations - Provides a tax credit for the construction of an alternative fuel refueling facility.

Energy Tax Relief for Families:

Recent increases in energy costs have created another undue financial burden for families and senior citizens. Assemblyman Jim Conte supports the following initiatives for energy cost relief for all New Yorkers:

Senior Heat Tax Rebate - Creates a $200 Heat Tax Rebate to help seniors heat their homes.

Residential Petroleum Tank Credit - Provides a $500 tax credit for the cost of removing an old tank and installing a new one.

Energy Star Appliances - Creates a sales tax exemption and an income tax credit for Energy Star-labeled appliances and energy-efficient building materials.

Energy-Efficient Improvements - Provides a tax-credit of 25 percent, or up to $2,500, to offset the cost of energy-efficient improvements to a residence.

Alternative Fuels Sales Tax Exemption - Exempts the sales tax on alternative fuels used for home heating purposes providing similar protections to homeowners who currently use petroleum or natural gas.

Fuel Cells - Increases the fuel-cell Personal Income Tax Credit from 20 percent to 25 percent.

Energy Gross Receipts Tax - Eliminates the remaining portion of the Energy Gross Receipts Tax on distribution services for residential customers.

Renew the Clean Heating Fuel Credit - In 2006, the Clean Heating Fuel Credit was created to provide residents of New York a tax credit when purchasing bioheat used for space heating or hot water production. Unfortunately, this credit was allowed to expire in 2007. This proposal would reinstate this tax credit, which is equal to one cent for each percent of biodiesel per gallon of bioheat purchased, until 2012.