Paterson decides on over 80 bills

Buffalo Business First reported that Gov. David Paterson signed or vetoed more than 80 bills over the course of this week—and many of them will impact business.

In all, Paterson approved 68 bills. He also vetoed 14 bills that would have required $5.4 million in state spending, citing the need to cut state spending while the state must erase at least a $2.1 billion budget deficit.

“We will not reach that destination [a balanced budget] by undertaking expenditures that are not absolutely necessary,” Paterson said in one veto statement.

Among the business-related bills that Paterson signed into law are ones that:
• require energy companies seeking to build new electric transmission plants to pay fees of up to $450,000 to help communities have their voices heard in the siting process. The law will help communities and municipalities, “many of which are strapped for cash and are currently unable to hire the experts necessary to intervene effectively [in the siting process],” the bill’s sponsors said.
• enable the state Department of Labor to bring court actions against employers to collect underpayment of wages and other damages on behalf of employees.
Under the bill, for the first time, such action can now be taken against partnerships and limited liability companies, which are becoming more popular forms of starting a business. The bill also raises the minimum possible civil penalty that employers face for wage law violations from $200 to $1,000. The maximum penalty is now $10,000, five times its previous size.
• authorize state regional economic development offices to help small- and medium-sized businesses comply with state and federal regulations and permitting processes
• require most state agencies and public authorities to create a “mentor-protege” program where experienced state contractors assist “emerging small, minority- or woman-owned businesses.”
• expand membership on state advisory boards for small businesses and minority- or woman-owned businesses. The bill also gives the boards more power to enable companies to access state assistance programs.

In addition, Paterson signed a law banning drivers from texting or e-mailing from a portable electronic device while they are driving.

Paterson also vetoed 14 bills, including one that would have created a fund to boost early-stage commercialization of new technologies.

Under the bill, the New York State Foundation for Science, Technology and Innovation (known as NYSTAR) would have had to give out awards to academic institutions, regional technology development corporations and other entities for such work. Each award would have been worth between $500,000 and $1 million.

The bill’s sponsors said the commercialization work “could potentially have a positive impact on existing companies or lead to the formation of new companies in New York.” Paterson, however, vetoed the bill, citing the state’s budget deficit.

Kathryn Wylde, president and CEO of The Partnership for New York City, praised the veto. The nonprofit group is comprised of a 200 CEOs from corporate, investment and entrepreneurial firms downstate.

“This bill would have committed the state to allocate funds to new business development activities that are more appropriately carried out by expert investors in the private sector,” Wylde said. “The state does not have the resources to fund discretionary programs. The best way for New York state to encourage economic growth and job creation is through the reduction of taxes.”

State legislators are expected to hold a special session in Albany next month to attempt to erase the projected $2.1 billion budget deficit. Paterson has previously said he intends to propose a budget-balancing plan that does not include new or higher taxes and fees.
Legislators can also try to override the vetoes.