BILL NUMBER: S3587

SPONSOR: PARKER
 
TITLE OF BILL:  An act to amend the public authorities law, in
relation to emerging technology industrial classifications for clean
environment and energy technologies

 
PURPOSE OR GENERAL IDEA OF BILL:

The intent of this legislation is to add clean environmental and energy
technologies to the list of emerging industrial classifications in New
York State.

 
SUMMARY OF SPECIFIC PROVISIONS:

A new subparagraph seven is added to section 3102-e of the Public
Authorities Law to read as follows:

(7) clean environment and energy technologies that involve new and inno-
vative pollution reduction methods, renewable resource energy generation
or storage, and energy efficiency measures such as smart grid, automated
              

or computerized energy control systems designed to deliver electric
generation to the end use customer in an integrated manner using the
latest advances in digital and informational technology to improve elec-
tric system efficiency.

 
JUSTIFICATION:

The intent of this legislation is to add clean environmental and energy
technologies to the list of emerging industrial classifications in New
York State. This classification will allow entrepreneurs and business
involved in cutting edge clean environmental and energy technologies to
be certified as a "Qualified Emerging Technology Company" which would
make them eligible for additional capital tax credits and investment
opportunities.

Currently, for a company to be certified as by the NYS Commissioner of
Tax and Finance for tax breaks as emerging technology company (QETC),
the industry must: (i) be as defined under section 3102-e of the public
authorities law (PAL); (ii) be located in New York State; and,

(iii) have total annual product sales of $10 million or less. The
current emerging technologies under section 3102-e(1) (b) of the PAL
those technologies related to: advanced materials and processing; engi-
neering, production, and defense; electronic and photonic devices and
components; information and communication technologies; biotechnologies;
and, remanufacturing. In New York State, significant investment is
already being made by businesses and utilities, as well as the New York
State Energy and Research Development Authority (NYSERDA), the Empire
State Development Corporation (ESDC), the Public Service Commission
(PSC), the Division of Housing and Community Renewal (DHCR) and the New
York. State Foundation for Science, Technology and Innovation (NYSTAR).
In addition to State funding, there has also been increased funding
available from the federal sources. This growth is expected to create
new business opportunities and integrate clean environmental and energy
technologies, practices and services across all sectors. While signif-
icant investment is being made in New York, the State faces the threat
of falling behind in the race to develop the clean environmental and
energy technologies to other states such as California, Connecticut,
Maine, Maryland, Massachusetts, New Jersey as well as several other
states being to actively pursue supporting these technologies. If New
York State fails to aggressively promote these technologies, it would
mean a significant loss of revenue, but also a significant job loss from
a sector that is actively working to train and develop a skilled work-
force capable of supporting these industries.

 
PRIOR LEGISLATIVE HISTORY:

2017/18: S3121
2015-2016: S.1526 - Referred to Commerce, Economic Development and Small
Business
2013-2014: S.3206 -Died in Commerce
2011-2012: S.3371 - Died in Commerce, Ec Dev, Small Business
2010: S.8356 - Died in Rules

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.