May 2, 2012

Limited link seen between jobs, NY tax breaks

Associated Press

ALBANY — New York State Comptroller Thomas DiNapoli says he sees little connection between job growth and the nearly $500 million in tax breaks provided by industrial development agencies operating in municipalities statewide.

DiNapoli says more than 4,000 businesses received the tax breaks. But he says IDAs realized 22,000 fewer jobs last year than the year before while using the economic development tool.

DiNapoli says taxpayers clearly aren't getting the best bang for their buck.

He says that's particularly true in high-cost areas such as Long Island and the mid-Hudson Valley.

In his report, DiNapoli says the average job secured by an IDA cost taxpayers more than $2,500 in tax breaks. He says that's a 9-percent increase over the previous year.