Assemblyman Santabarbara Pushes for Upstate Revitalization Tax Credit in State Budget

Assemblyman Angelo Santabarbara (D-Rotterdam) is working with his upstate colleagues in the state Legislature to include the Upstate Revitalization Investment Tax Credit in this year’s budget.

“This credit will encourage investment back into our upstate cities and continue to breathe new life into the region’s economy,” said Assemblyman Angelo Santabarbara. “We’re seeing a comeback in upstate New York and this credit would be a key part of our ongoing effort to create jobs, attract residents and restore our communities.”

The proposal, which was included in the Assembly’s one-house budget proposal, is designed to encourage businesses, civic organizations and individuals to purchase and restore properties in distressed upstate communities. The credit would set a 20 percent reimbursement rate for expenses connected to the purchase and/or rehabilitation of an eligible property.

“For decades small cities and downtowns have struggled, with business closings and vacant storefronts. Our upstate economy is in desperate need of incentives that will encourage businesses to reinvest. This legislation would certainly provide a badly needed boost for our small upstate communities and businesses,” said Fulton Montgomery Regional Chamber of Commerce President Mark Kilmer.

“Assemblyman Santabarbara’s proposal establishes an important incentive to spur further revitalization and investment in Schenectady’s downtown. This credit will undoubtedly go a long way in helping rejuvenate the area, bring new businesses downtown and help existing businesses grow,” said James Salengo, Executive Director of Downtown Schenectady Improvement Corp.

Eligible projects must be located in distressed areas as defined by the U.S. Department of Treasury Community Development Financial Institutions Investment Area criteria, which includes having a poverty rate of at least 20 percent or an unemployment rate 1.5 times the national average.

The credit, which is non-refundable, would be capped at $200,000 for an individual project and the state would authorize up to $10 million in credits in any taxable year.