§ 180 — Independent analysis

New York § 180

• Jurisdiction: New York
• Law TAX: Tax
• Art. 8: Department of Taxation and Finance; Commissioner of Taxation and Finance

Text

§ 180. Independent analysis. 1. The department shall contract with an\neconomic impact firm for the provision of an independent, comprehensive,\nanalysis of each tax credit, tax deduction, and tax incentive\nestablished in this chapter or any other chapter of the law which\nrelates to increasing economic development including, but not\nnecessarily limited to, increasing employment, developing the state's\nworkforce, and increasing business activity. Such analysis shall include\nthe relevant programs run at the state agency level, including relevant\nprograms administered by executive agencies, authorities, commissions,\nand other government run entities, and shall not include an analysis of\nindividual private entities or individual taxpayers. Such analysis shall\ninclude, but need not be limited to, a complete and thorough evaluation\nof the return on investment for each tax credit, tax deduction, and tax\nincentive, the economic impact of each relevant program, including\ndirect and indirect benefits, including the creation of temporary\nproject hires, the fiscal impact of each relevant program, including\nrevenues received and forgone by municipalities and New York state, as\napplicable. For the purposes of this section, "return on investment"\nshall mean: (a) total job creation, including temporary project hires\nresulting from each project supported by each relevant program, and\nretained jobs; (b) whether the expenditures by the state on each tax\ncredit, tax deduction or tax incentive result in an increase or decrease\nin tax revenues for New York state municipalities, and New York state;\n(c) other estimated quantifiable economic benefits, including but not\nnecessarily limited to personal income; indirect, induced, long term,\nand temporary job creation; and private investment for each tax credit,\ntax deduction and tax incentive; (d) whether similar job creation or\nprivate investment would have occurred without the existence of a state\ntax incentive; and (e) other qualitative economic benefits that improve\nthe economy, and provide opportunities for advancement for New York\nresidents, including: (i) global media exposure; (ii) increased tourism\nattraction and positioning of New York as a destination, providing\nquality of life amenities to assist with community development,\nplacemaking, positioning communities for add-on private sector\ninvestment, making New York competitive on the basis of cost and other\nattraction amenities; and (iii) contributing to the positive perception\nof the state and its regions to assist with business attraction and\ncreating economic opportunity for New Yorkers.\n 2. Prior to the analysis pursuant to subdivision one of this section,\nthe economic impact firm that the department contracts with may solicit\ninput from leaders in the business community, organized labor and\neconomic development stakeholders, including, but not necessarily\nlimited to representatives from nonprofits, academic institutions, and\nleading New York state community development experts.\n 3. Such analysis shall be completed and submitted to the department no\nlater than January first, two thousand twenty-four and shall be posted\npublicly on the department's website within thirty days of submission to\nthe department. The analysis shall also be submitted to the governor,\nthe temporary president of the senate, the speaker of the assembly, and\nthe chair of the senate finance committee and the chair of the assembly\nways and means committee.\n 4. The economic impact firm providing the department's comprehensive\nanalysis shall adhere to the requirements in this subdivision.\nNotwithstanding this subdivision, the department may contract with a\nfirm upon a written determination by the commissioner which shall detail\nthat such firm was awarded such contract on the basis that no firm meets\nthe requirements set forth in this subdivision.\n (a) Such economic impact firm shall be prohibited from providing\nanalysis services to the department if the analysis partner having\nprimary responsibility for the analysis, or the analysis partner\nresponsible for reviewing the analysis, has performed analysis services\nfor the department in the past three fiscal years.\n (b) Such economic impact firm shall be prohibited from performing any\nnon-analysis services to the department contemporaneously with the\nanalysis, including: (i) bookkeeping or other services related to the\naccounting records or financial statements of such department; (ii)\nfinancial information systems design and implementation; (iii) appraisal\nor valuation services, fairness opinions, or contribution-in-kind\nreports; (iv) actuarial services; (v) internal analysis outsourcing\nservices; (vi) management functions or human services; (vii) broker or\ndealer, investment advisor, or investment banking services; and (viii)\nlegal services and expert services unrelated to the analysis.\n (c) Such economic impact firm shall be prohibited from providing\nanalysis services to the department if an employee assigned to the\nanalysis has performed analysis services for the department or has been\nemployed by the department in the past three fiscal years.\n