Empire State Development Corporation

Agency Web Site: http://esd.ny.gov/

Mission

Doing business as Empire State Development (ESD), the Urban Development Corporation (UDC) is a New York State public benefit corporation. Its overall objective is to promote a vigorous and growing state economy, encourage business investment and job creation, and support diverse, prosperous, local economies across New York State through the efficient use of loans, grants, tax credits, real estate development, marketing, and other forms of assistance.

Organization and Staffing

In 1995, the operational efforts of the Department of Economic Development (DED) and the Urban Development Corporation (UDC) were consolidated to form Empire State Development.

Empire State Development is headed by a President/CEO appointed by the Governor, subject to Senate confirmation. ESD is governed by a nine-member board of directors comprising two ex-officio members and seven members appointed by the Governor with the consent of the Senate. ESD operates regional offices in Binghamton, Buffalo, Elmira, Hauppauge, New Windsor, New York City, Plattsburgh, Rochester, Syracuse, Troy, Utica, and Watertown, with headquarters in Albany, Buffalo, and New York City.

ESD also has an International Division with a network around the world, including offices in Canada, China, Israel, Mexico, South Africa, and the United Kingdom.

Budget Highlights

The FY 2018 Executive Budget recommends almost $2.5 billion in new spending authorization in support of various ESD programs and initiatives, an increase of $337.4 million (13.5 percent) from FY 2017. This net increase is largely due to new capital initiatives.

Major budget actions include:

• Buffalo Billion Phase Two. The Executive Budget allocates $400 million (funded from monetary settlements) over five years to support the $500 million total State commitment to the second phase of the Buffalo Billion investment development plan. Buffalo Billion Phase II will extend investment in Western New York to the neighborhood level and strengthen existing connections between downtown, suburban, and surrounding areas.
• Investment in Life Sciences. The Budget commits $300 million (funded from monetary settlements) over ten years to support the State's multi-year $650 million Life Sciences Initiative. The State will provide $200 million to support investment in wet-lab and innovation space, and $100 million in investment capital and support for early stage life science initiatives.
• Life Sciences Laboratory Public Health Initiative. The Budget includes $150 million to support a life sciences laboratory public health initiative which will develop life science research, innovation, and infrastructure through a joint effort between Empire State Development and the Department of Health.
• Moynihan Train Hall. A multi-year commitment totaling $700 million for the transformation of the James A. Farley Post Office building into the Moynihan Trail Hall, a world-class transportation hub with more space than Grand Central's main concourse. This new Trail Hall will house passenger facilities for the LIRR and Amtrak, as well as feature 112,000 square feet of retail space and over 500,000 square feet of office space.
• Regional Economic Development Councils. The Executive Budget includes core capital and tax-credit funding that will be combined with a wide range of existing agency programs for a seventh round of REDC awards. The Budget continues to make resources available from other State agencies to support community revitalization and business growth consistent with the existing Regional Council plans through the Consolidated Funding Application process. The core funding includes: $150 million to fund high value regional priority projects; and $70 million in State tax credits – set aside from the Excelsior Jobs tax credit program to fund regional priority projects.
• NYSUNY 2020 and NYCUNY 2020. To build upon the success of the initial Challenge Grants, the FY 2018 Budget includes $110 million to launch a new round of NYSUNY 2020 and NYCUNY 2020. Priority will be given to plans that use technology to improve academic success, leverage public-private partnerships through the Excelsior Business program, and better connect students to the workforce.
• Kingsbridge National Ice Center. The budget provides $108 million in loan funding to support the redevelopment of the currently vacant Kingsbridge Armory in the Bronx into an ice-sports facility. With the bridge loan funding from the State, the project is anticipated to create 400 permanent jobs. The facility, which will be known as the Kingsbridge National Ice Center, will feature multiple year-round indoor ice rinks and a 5,000 seat feature rink for national and international ice hockey and skating events.
• Cultural, Arts and Public Spaces. $10 million dedicated to increasing business and tourism in downtowns through a Cultural, Arts and Public Spaces Development Fund. This fund will support the State's commitment to vibrant public spaces and artistic and cultural experiences at regional attractions such as amphitheaters and performing arts spaces.
• New York Power Electronics Manufacturing Consortium. An additional $33 million to complete the State's $135 million multi-year commitment to support the New York Power Electronics Manufacturing Consortium development and commercialization of the use of wide bandgap power electronic devices.
• Clarkson-Trudeau Partnership. An additional $5 million to support the partnership between the State, Clarkson University, and the Trudeau Institute to form a world-class biotech enterprise and further establish the North Country Region as a premier center of biotechnology research and development.
• New York Works Economic Development Fund. The $199 million New York Works Economic Development Fund Program will provide capital grants to support projects that facilitate an employer’s ability to create new jobs, retain existing jobs, fund infrastructure investments necessary to attract new businesses, or to expand existing businesses.
• Strategic Projects Program. The FY 2018 Budget includes $207.5 million to support investments in strategic economic development projects that create or retain jobs, and support innovation.
• Market NY. $8 million for Market NY to support tourism marketing plans and projects that best demonstrate regional collaboration among counties and promote regional attractions.
• Innovation Hot Spots and Incubators Program. The Executive Budget authorizes $5 million in new funding to continue to foster innovation by offering start-up companies valuable business support services; to help commercialize academic research; and promote further collaboration between business and academia.
• Promote Tourism and Business Investment. The Budget includes $69.5 million to support efforts to promote New York State as a tourism destination; attract and expand business investment and job creation; and support economic development initiatives of the State.
• Economic Development Investments. The Budget includes $33 million to support ongoing economic development initiatives including the New York State Economic Development Fund, the Minority- and Women-Owned Business Development and Lending Program, the Urban and Community Development Program, the Entrepreneurial Assistance Program, and international trade efforts.
• High Technology Grants. The Executive Budget authorizes over $35 million to support ongoing university-based matching grants and other high technology and research and development programs administered by the Department of Economic Development’s Division of Science, Technology and Innovation.

For more information on this agency's budget recommendations located in the Executive Budget Briefing Book, click on the following link:

Briefing Book – Economic Development (PDF)

Note: Most recent estimates as of 1/17/2017