According to a new Siena College Poll released this morning - ” New York State consumer confidence decreased 0.5 points in August, while the nation’s confidence increased 1.1 points, according to the latest poll by the Siena (College) Research Institute (SRI). At 62.5, New York’s overall consumer confidence is 6.4 points below the nation’s* 68.9 confidence level.
In August, buying plans were up for: major home improvements, 0.1 points to 13.8%. Buying plans were down for: cars/trucks, 2.6 points to 7.0%; computers, 1.8 points to 11.0%; and furniture, 2.1 points to 15.3%. Buying plans remained unchanged for homes, at 2.0%.

“It’s hard to put a positive spin on these numbers,” according to Dr. Doug Lonnstrom, professor of statistics and finance at Siena College and SRI Founding Director. “Statewide our numbers are weak and depict worried consumers very reluctant to spend. Under the hood, we see Democrats saying the economic glass is nearly half full, but Republicans, 25 future index points lower, are now more pessimistic about their own prospects as well as the five-year state outlook than they have been since we began measuring consumer confidence in 1999. Over six of every ten Republicans expect poor business conditions in New York this year and widespread unemployment through 2015. Democrats forecast a somewhat rosier picture for the state and are much more likely than Republicans to insist that somehow, someway, they personally will be better off in a year.”

Each month since January 1999, the SRI survey establishes a Consumer Confidence index number for New York State consumers. This index number allows a direct comparison of New Yorkers to all Americans (“the nation”) as surveyed by the University of Michigan’s Consumer Sentiment index. The SRI survey measures current and future consumer confidence, which combined provides the overall consumer confidence. SRI further looks at confidence in New York State by region (metro New York City and Upstate), age, income, gender and party.”

To read more click here.

Daina Costello writes on LoHud.com - “…it’s not the wind, rain or heat that farmer Bob Stuart says could compromise the legacy of his farm. No, instead it’s the politicians looking to impose regulations on an industry they don’t understand, he says.

“They sit in their air-conditioned offices and they make laws. They have no idea what it’s like to pick tomatoes in 90-degree heat, and they have no idea what it’s like to prune in 15 degrees,” said Stuart, clothes chalky with dried dirt from the fields. “You can live without politicians, but you can’t live without food.”

Heeding similar outrage from farmers throughout New York, the state Senate this month narrowly defeated a labor bill that farmers said would put have them out of business and driven up food costs.

The legislaton, known as the Omnibus Farmworker Labor Bill, sought to secure greater protections for agricultural workers, many of whom are migrants.

The bill sought to guarantee workers 24 consecutive hours of rest every seven days, time-and-a-half overtime pay and the right to collective bargaining on farms that make more than $650,000 in gross income over the year.

The 31-28 vote was the bill’s second Senate defeat, yet advocates say the fight is not over yet.”

To read more click here.

Unshackle Upstate, a coalition representing more than 70,000 employers with 1.5 million workers, released today its rankings of all 212 state legislators.

They have two goals for these legislative scorecards. Primarily, Unshackle Upstate wants to provide all New Yorkers with a thorough informational tool that clearly demonstrates which elected officials have acted in the best interest of the taxpayers of this state and which ones have not. Secondly, we want to encourage all elected officials to embrace our agenda of reducing taxes, fees and assessments; cutting state and local spending; reducing state borrowing and curtailing mandates.

To see your local legislator’s score click here.

The November elections will be critical to shaping the future of our state. We hope that you find the information on your Senators and Assembly Members valuable when you’re considering who to support on Election Day.

The Business Council joins Unshackle Upstate in the belief that for those elected officials that scored well, you should consider keeping them in office. For those that did not, ask them why they did not support the taxpayers of the state of New York and then ask yourself if you should support them. We encourages you to challenge our elected officials to defend the interest of taxpayers…or get a new job!

All through the Gulf oil spill disaster opponents to drilling in the Marcellus Shale have drawn parallels between that horrible event and the similar disaster that would befall New Yorkers should drilling be allowed in our state. Drilling for oil off the US coast a mile above the ocean floor is a different operation than drilling for natural gas on land but drilling opponents like to link the two in another attempt to scare New Yorkers and sway leaders.

There is one area however, where these two drilling operations are similar. That is the understanding that a moratorium will dramatically hurt drilling and has a long term effect on jobs in the region. The Obama administration is considering lifting the six month ban that they hastily placed on off shore drilling because they have learned that these giant and very expensive rigs don’t sit idle when not in use. Companies are moving the rigs to other parts of the world and the jobs are going with them. This is severely hurting Gulf States and will have an impact for years to come. Similarly, the moratorium on drilling in the Marcellus Shale forces drillers to plan for their rigs to be used in friendlier states. There are a finite number of rigs in the US and they are always in use. Rig plans are done many months or even years in advance of drilling. A moratorium on shale drilling in New York doesn’t just put off business for nine months it could push drilling out for years and significantly postpone the resulting economic boost that development of the Marcellus Shale will provide.

TimeWarner Cable YNN reporter Steve Ference looks at the cost of hiring employees in New York and the attitudes found in The Business Council of New York State’s member survey on the business climate.

To watch his report click here.

Despite overwhelming frustration with state government and a difficult economic climate, employers who responded to a Business Council survey were optimistic about economic recovery.

“Although they have dealt with a difficult recession and a hostile business environment in New York, our members believe their businesses will grow and their bottom lines will improve over the next 18 months,” said Kenneth Adams, president and CEO of The Business Council of New York State, Inc. “They are not reaching for any champagne yet, but they see economic improvement ahead in 2011,” he added.

The electronic survey which was conducted in June and July asked Business Council members about the economic climate they have faced in the past six months and their outlook over the next six months and the next 12 to 18 months.

To read more on the survey’s findings click here.

State Senator George Winner writes on nysenate.gov about how the budget will drive jobs and businesses out of New York.

“The just-completed 2010-2011 New York State budget puts a few finishing touches on what has become a disturbing and disheartening habit of New York government in the past few years: devaluing not just a strong, but in these toughest of times what should be an unshakable commitment to economic development.

In fact, state leaders have been taking actions that serve better to drive jobs away than create them – and it simply can’t go on. The glaring example of this lack of a strong commitment to businesses, industries, and overall economic growth took place a few months ago as state leaders approached the final week before the scheduled termination, on June 30th, of what had been upstate New York’s No. 1 economic development tool – the Empire Zone program – and still, despite loud pledges to do otherwise, hadn’t enacted anything to replace it…

Not long ago state leaders put the finishing touches on this year’s state budget and one of their last actions was to approve financing legislation that includes a three-year deferral of tax credits that businesses throughout our region and across New York have already earned and were counting on to create and retain jobs in New York. This action amounts to a $2-billion business tax increase over the next three years.

Here’s how Ken Adams, president of the Business Council of New York State, responded, “Beyond several anti-business measures built into the 2011 budget, the two worst decisions for the long-term economic health of New York involve the state violating commitments it made to firms that have been playing by the rules and investing here.

“First, a three-year deferral of already earned tax credits. Many companies have made significant investments to create and retain jobs in New York…Part of their calculation in making those investments included tax credits to offset the high cost of doing business here. Now the state says, ‘Hold on, you can’t get your credits until 2013.’

“Companies will see their taxes increase by more than $2 billion during the next three years. Many are skeptical that the state will be in a position to make things right when the deferral period is over.”

And then Mr. Adams makes his most damaging point: “Understandably, these companies – many of which financed their projects based on the timely payment by the state of the credits they earned – will have grave doubts about entering into more economic development agreements with New York. Firms considering moving to New York see us as the state that can’t keep its word.”

To read more click here.

Mr. Fleischer the president of Bogen Communications Inc. in Ramsey, N.J. writes in the Wall Street Journal about the taxes and healthcare costs of retaining and hiring employees.

“With unemployment just under 10% and companies sitting on their cash, you would think that sooner or later job growth would take off. I think it’s going to be later—much later. Here’s why.

Meet Sally (not her real name; details changed to preserve privacy). Sally is a terrific employee, and she happens to be the median person in terms of base pay among the 83 people at my little company in New Jersey, where we provide audio systems for use in educational, commercial and industrial settings. She’s been with us for over 15 years. She’s a high school graduate with some specialized training. She makes $59,000 a year—on paper. In reality, she makes only $44,000 a year because $15,000 is taken from her thanks to various deductions and taxes, all of which form the steep, sad slope between gross and net pay.

Daniel Henninger discusses how Robert Rubin and Alan Greenspan agree that Americans should send more of their paychecks to Washington. Also, Fannie and Freddie ask for more cash within weeks of an Obama pledge to end taxpayer rescues.

Before that money hits her bank, it is reduced by the $2,376 she pays as her share of the medical and dental insurance that my company provides. And then the government takes its due. She pays $126 for state unemployment insurance, $149 for disability insurance and $856 for Medicare. That’s the small stuff. New Jersey takes $1,893 in income taxes. The federal government gets $3,661 for Social Security and another $6,250 for income tax withholding. The roughly $13,000 taken from her by various government entities means that some 22% of her gross pay goes to Washington or Trenton.

She’s lucky she doesn’t live in New York City, where the toll would be even higher.”

To read more from the Wall St. Journal click here.

Adam Sichko of The Business Review writes about new rules that could limit home building in suburban areas and further hurt New York’s struggling economy.

“Developers and builders are bracing themselves for new legislation aimed at squashing suburban sprawl—with some fearing that it could limit what they build and slow down projects.

The bill, which sailed through the Legislature last month, requires state agencies to prioritize infrastructure funding to only projects that meet what are called “smart growth” principles.

The idea is to drive mixed-use development in areas that already have roads, power lines, sewers and water pipes in place.”

To read more click here.

In an op-ed in today’s Times Union, Kenneth Adams, president and CEO of The Business Council, expresses his concern that state government is creating a climate of uncertainty in New York, rather than fostering an environment that encourages private sector investment and job creation.

“The nation may be creeping out of the recession. Second quarter corporate earnings reports are encouraging. Manufacturing is doing well. The banking sector is on solid ground again. Exports are up.

Still, employment numbers remain grim, and if there is one state likely to suffer a “jobless recovery,” it’s New York.

Just when the rest of the state recognizes that the only thing that matters is private sector job growth, Albany has come up with a new strategy to deter investment and discourage companies from hiring: uncertainty.

New York business owners have had to cope with high taxes and burdensome regulations for decades. Now there’s more. It has become increasingly hard to predict what’s next in the state’s business environment. The uncertainty created by state government is stripping away something business owners depend on in tough economic times: predictability.

It’s not just that politicians have spent seven months unable to agree on a state budget. The sense of uncertainty is exacerbated when policy makers can’t make up their minds or break promises previously made to the business community.

Beyond several anti-business measures built into the 2011 budget, the two worst decisions for the long-term economic health of New York involve the state violating commitments it made to firms that have been playing by the rules and investing here.

First, a three-year deferral of already earned tax credits. Many companies have made significant investments to create and retain jobs in New York, clean up brownfields or make their facilities cleaner and more efficient. Part of their calculation in making those investments included tax credits to offset the high cost of doing business here. Now the state says, “Hold on, you can’t get your credits until 2013.”

To read ore click here.