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"RENEW NEW YORK" AGENDA MOVES FORWARD

Governor Eliot Spitzer said today that the recently-enacted state budget fully funds priority items in his “Renew New York” plan for the upstate region.

“We are moving forward with all of the priority items identified in our plan,” Spitzer said. “These initiatives will help spark a true resurgence in upstate New York.”

On January 2, in his first major policy announcement as Governor, Spitzer unveiled the Renew New York agenda with more than a dozen ideas and initiatives to strengthen the upstate economy and spur a regional turnaround.

Listed below are descriptions of the priority items in the Renew New York agenda and the outcome in the recently enacted state budget:

Original Goal: “Implement a major property tax reduction targeting most of its benefits to the middle class.”

Outcome: The budget provides $1.3 billion in property tax relief and reforms the STAR program to ensure that middle income homeowners receive the greatest benefits. Under the enacted budget plan, an upstate family making $90,000 or less per year (81% of the upstate population) will receive a 60% increase in their previous STAR benefit. Families making less than $250,000 will receive increased relief between 30% and 60% of their previous STAR benefit.

Here is how an average middle class homeowner (making less than $90,000) will benefit:

   |------------+--------------------+----------------------+-----------------|
   |            | Avg. 2006-07 Basic | Avg. 2007-08 Middle  | Avg. 2007-08    |
   |            | STAR Savings       | Class STAR Rebate    | Total STAR      |
   |            |                    |                      | Savings         |
   |------------+--------------------+----------------------+-----------------|
   |Albany      | $621               | $373                 | $   994         |
   |------------+--------------------+----------------------+-----------------|
   |Broome      | $777               | $466                 | $1,243          |
   |------------+--------------------+----------------------+-----------------|
   |Clinton     | $619               | $371                 | $   990         |
   |------------+--------------------+----------------------+-----------------|
   |Erie        | $526               | $316                 | $   842         |
   |------------+--------------------+----------------------+-----------------|
   |Genesee     | $750               | $450                 | $1,200          |
   |------------+--------------------+----------------------+-----------------|
   |Monroe      | $672               | $403                 | $1,075          |
   |------------+--------------------+----------------------+-----------------|
   |Niagara     | $674               | $404                 | $1,078          |
   |------------+--------------------+----------------------+-----------------|
   |Onondaga    | $697               | $418                 | $1,115          |
   |------------+--------------------+----------------------+-----------------|
   |Schenectady | $737               | $442                 | $1,179          |
   |------------+--------------------+----------------------+-----------------|
   |Tompkins    | $628               | $377                 |$1,005           |
   |------------+--------------------+----------------------+-----------------|

Original Goal: “Significantly expand state aid to distressed upstate cities and towns.”

Outcome: The budget expands the Aid and Incentives to Municipalities (AIM) program to upstate cities, towns and villages by over $50 million in 2007-08 million, an 8% increase, and adds new accountability measures to ensure these dollars are wisely spent.

Here’s how various upstate cities fare under the program:

   |------------+-------------+----------------+---------|
   |            | 2006-07 Base| 2007-08        | Change  |
   |            |             | Increase       |         |
   |------------+-------------+----------------+---------|
   |Buffalo     |$142 m       | $13 m          |  9%     |
   |------------+-------------+----------------+---------|
   |Dunkirk     |$ 1.4 m      |$158,281        |11.5%    |
   |------------+-------------+----------------+---------|
   |Fulton      |$ 1.4 m      |$185,155        |13.5%    |
   |------------+-------------+----------------+---------|
   |Lockport    |$ 2.3 m      |$266,277        |11.5%    |
   |------------+-------------+----------------+---------|
   |Rochester   | $  72 m     | $10 m          | 14%     |
   |------------+-------------+----------------+---------|
   |Schenectady |$  10 m      |$894,000        |  9%     |
   |------------+-------------+----------------+---------|
   |Syracuse    | $  63 m     | $6 m           |  9%     |
   |------------+-------------+----------------+---------|

Original Goal: “Significantly increase aid to upstate schools.”

Outcome: The enacted budget implemented an historic increase in education aid, the majority of which will now be implemented through a new “Foundation Aid” formula that drives resources to districts that need it most.

Here is a sampling of how upstate school districts will benefit:

   |-------------+------------+-----------|
   | School      | Change     | % Change  |
   | District    |            |           |
   |-------------+------------+-----------|
   |Albany       | $  9.8 m   | 16.2%     |
   |-------------+------------+-----------|
   |Binghamton   | $  6.7 m   | 16.2%     |
   |-------------+------------+-----------|
   |Buffalo      |$46.7 m     |  9.1%     |
   |-------------+------------+-----------|
   |Rochester    |$32.2 m     |  8.5%     |
   |-------------+------------+-----------|
   |Schenectady  |$14.4 m     | 20.7%     |
   |-------------+------------+-----------|
   |Syracuse     |$22.4 m     | 10.1%     |
   |-------------+------------+-----------|
   |Utica        | $  9.4 m   | 12.3%     |
   |-------------+------------+-----------|
   |Watertown    | $  4.2 m   | 13.8%     |
   |-------------+------------+-----------|

Original Goal: “Launch a Universal Broadband Initiative”

Outcome: The budget provides $5 million to start a statewide broadband initiative to ensure that New Yorkers in upstate cities and rural towns and villages have increased access to affordable, high-speed Internet service.

Original Goal: “Implement a comprehensive plan that promotes enjoyment of outdoor activities and stimulates tourism in upstate New York.”

Outcome: The Governor’s outdoor agenda was announced in March. The agenda includes new fishing access sites, boat launches and hiking trails, as well as other sportsmen’s initiatives. These initiatives will be financed by a record increase in the Environmental Protection Fund. In addition, the final budget includes a significant increase in “I Love NY” funds, a portion of which will be used to promote outdoor events and activities.

Original goal: “Create a Pride of New York Wholesalers Market in New York City for upstate farmers to connect to downstate markets, and increase funding for farmland protection.”

Outcome: The final budget includes $500,000 for the Pride of New York Wholesale Farmers’ Market in New York City. Funding for farmland protection initiatives is also increased. In addition, the final budget includes a $30 million dairy farmer assistance program to be administered by ESDC in conjunction with the Department of Agriculture & Markets. The program will provide subsidies to dairy farmers to help them recover from extremely low prices, high fuel and feed costs, and flooding that ruined feed crops last year.

Original goal: “Prioritize and advance upstate infrastructure projects including the Peace Bridge expansion, Fort Drum connector and the conversion of Route 17 into Interstate 86.”

Outcome: The budget provides $1.3 billion of funding for transportation projects, a portion of which will be devoted to these critical projects. Administration officials will ensure that the priority projects will move forward.

Original goal: “Expand state assistance to combat violent crime, drug trafficking and gang activity in upstate cities.”

Outcome: The budget provides $2 million to improve coordination by law enforcement in addressing violent crime, drug trafficking and gang activity in upstate cities. It includes another $2 million for community-based organizations to participate in multi-agency crime prevention initiatives.

Previously, the administration acted to fulfill other Renew New York agenda items, including the following:

Original Goal: “Designate an upstate chair of the Empire State Development Corporation (ESDC) and locate an ESDC headquarters in Buffalo.”

Outcome: Daniel Gundersen, a top economic development official in Pennsylvania, was named upstate ESDC chair and is based in a new ESDC headquarters in Buffalo.

Original Goal: “Reform the Workers’ Compensation system.”

Outcome: The Governor signed landmark legislation reforming the workers comp system on March 13. The legislation will increase benefits for injured workers for the first time in more than a decade, while reducing employer costs by 10 to 15 percent.

Original Goal: “Convene an emergency preparedness summit of state and local officials.”

Outcome: The summit will occur this summer in the Southern Tier, site of significant recurring flooding.

Three Renew New York Agenda items are currently being negotiated: Wicks Law reform; power plant siting legislation and brownfields legislation.