New York gives away $7 billion of your tax dollars per year to businesses to help attract and keep businesses through a hodgepodge of programs at the state and local levels of government.
One example is Industrial Development Agencies (IDAs), which grant tax exemptions and other incentives to businesses. In 2011, 46% of projects receiving support IDAs, lost jobs, failed to create a single job, or never made any job promises. 94 subsidy agreements that ended in 2011 lost jobs. These businesses originally agreed to create a total of 5,971 jobs. Instead, they lost 17,017 jobs. We can’t afford this.
If you’re receiving public dollars, it’s not enough to just create jobs – we must create good, long-term jobs in a transparent process. New York’s economic development programs should be reviewed and revised to focus on developing long-term industries with family sustaining jobs; ensure appropriate transparency, as well as labor standards and taxpayer protections, with specific and clear job creation goals; and provide a means to clawback investments in projects that fail to create promised jobs.