New York State Regional Economic Development Councils and Available Resources
Regional Economic Development Councils (REDC) were established in 2011 by Governor Andrew Cuomo to redesign New York State’s approach to economic development. Over the past five years, strategic plans have been developed and updated, in order to pursue economic growth vital to the ten designated regions in New York State. The plans involve various grants, loans, tax credits and other incentives intended to be used to improve New York State’s business economy.
The incentives available are provided primarily through completion of the Consolidated Funding Application (CFA), which represents a single application used to apply for state economic resources from numerous state agencies. For the applicant, the CFA provides consolidated access to pools of grants and tax credits from a number of state programs without completing multiple applications. The CFA also allows the REDC’s a direct source of information, in order to identify priorities for state resources.
In 2016, the sixth round of the CFA is being conducted providing economic development applicants access to over 30 state programs with over $750 million of New York State resources available, including $245 million in competitive funds from Empire State Development.
The process for the online application opened on May 2, 2016 and all applications must be submitted by 4:00 PM on July 29, 2016. The awards will be announced in the Fall of 2016.
The resources allocated to the REDC’s in 2016 and available to successful applicants include:
- Up to $175 million for Empire State Development Grants that provide funding for capital-based economic development projects intended to create or retain jobs and increase business or economic activity in a region;
- Up to $70 million for Excelsior Jobs Program Tax Credits;
- Up to $60 million in energy incentives from NYS Energy Research and Development Authority and New York State Power Authority;
- Up to $300 million in Low Cost Financing (Industrial Development Bonds) through the statewide private activity bond allocation, which provides lower cost tax-exempt bond financing for qualified projects by authorized state or local government issuers.
The ten REDC’s include:
Central New York, Mohawk Valley, Southern Tier, North Country, Finger Lakes,
Western New York, Capital Region, Mid-Hudson, New York City and Long Island
Development, expansion and job growth are the focus of these initiatives. Additionally, targeted industries and projects that involve specific statewide programs are provided priority consideration. For example, proposed projects that advance downtown revitalization through housing and economic development to attract and retain residents, visitors and businesses (Downtown Revitalization Initiative) will be looked upon favorably.
Does your company have a strategic plan that includes expansion and job growth? Do your plans include a regionally significant geographic area? The deadline for all applicants to be considered for the Fall of 2016 awards is July 29, 2016. We can assist you with the application process and help you structure for maximum tax efficiency. Call any one of our partners at 315-446-3600.