The Upstate Economy

New York's senators say they have three new pieces of legislation that will reduce unemployment among recent veterans.

At a joint press conference Monday outside Syracuse University's Institute for Veterans and Military Families, Senators Kirsten Gillibrand (D-NY) and Charles Schumer (D-NY) unveiled the three bills, which Gillibrand says have bipartisan support.

Unemployment among veterans who served after September 11, 2001 is more than 12 percent, according to the Bureau of Labor Statistics.

When the first StartFast Venture Accelerator begins this morning in Syracuse, the clock will start ticking for nine startups hoping to turn their big idea into a profit maker.

Modeled off of similar accelerators around the country, the teams have 100 days to soak up as much advice and support as they can. They're also given seed money and workspace.

StartFast is the creation of two local entrepreneurs, Chuck Stormon and Nasir Ali. In return for the investment and admittance into the program, Stormon and Ali get a small stake in the company.

More tax breaks does not equal more jobs.

That's according to State Comptroller Thomas DiNapoli's latest report on New York's industrial development agencies (IDAs).

In his fifth report on IDAs [PDF], DiNapoli says the number of jobs created by the local economic development engines dropped by 22,000 from the year before.

DiNapoli also cites a $483 million gap in what IDAs gave out in tax breaks and how much they took in via payments-in-lieu-of-taxes (PILOTs).

That breaks down, the report finds, to a $2,659 cost per job - up 9 percent from the year before.

"Taxpayers are not getting enough bang for their buck when it comes to IDAs," DiNapoli said in a statement.

Onondaga Community College's reluctance to turn over financial information to county lawmakers regarding the new SRC Arena is creating some friction. It has become part of budget discussions between Onondaga County and the community college.

Four major hospitals; three large colleges; dozens of churches, charities and government buildings.

They drive Syracuse's economic and cultural activity. But leave the city's bank account hurting for revenue.

In all, Syracuse nonprofits and other tax-exempt properties make up 56 percent of the city. That's land City Hall can't collect taxes on.

Add to that properties with temporary tax breaks given to encourage development.

Add to that more than 3,000 smaller plots throughout the city that are vacant or delinquent on their taxes.

"This is characteristic of the type of problem the city has in collecting property taxes," says Common Councilor Khalid Bey, chair of the council's economic development committee.

The Cuomo administration is promoting a new program aimed at reducing unemployment among teens and young adults in low-income parts of the state.

The Labor Department's New York Youth Works program was first announced in February. Officials were in Syracuse late last week to highlight the benefits of the program.

The recent growth in New York's manufacturing sector has slowed, but economists say it's not all bad news.

"I wouldn't make too much out of just one month. It still is indicating growth," says Richard Deitz, senior economist at the Federal Reserve Bank of New York.

On Monday, the New York Fed released the April edition of its Empire State Manufacturing Survey [PDF].

After four months of steady growth, the Fed's "business conditions index" saw a 14-point drop. Still, the overall outlook remains positive. 

Deitz says manufacturing employment continued to increase, though unevenly in different parts of the state.

The education and healthcare sectors - or "eds and meds" - provide potential for upstate New York's economy - as long as the region can translate research activity into job creation.

That was the message from William Dudley, president of the Federal Reserve Bank of New York. Dudley was in Syracuse Thursday for a series of speeches. He also sat down with the Innovation Trail.

"The educational establishment is world-class," Dudley said. "And the amount of innovation that those institutions are driving is substantial. But not much of that innovation actually leads to jobs in the region."