Economic development subcommittee opens with focus on small businesses, gaming, tourism and tech investments

Assemblyman Al Sturpi and Sen. April Baskin opened the joint Economic Development subcommittee meeting to set procedural rules and lay out budget priorities, saying staff will continue consultations with members as the budget process proceeds.

The co‑chairs recited subcommittee guidelines covering parliamentary procedure, designation of alternates and secretaries, restrictions on proxies and the requirement that any report be approved by a majority of each house's delegation. Sturpi named Adam Tenney as the Assembly recording secretary; Baskin had named Sean O’Brien for the Senate.

Sturpi said the subcommittee will review the Department of Economic Development, the Urban Development Corporation, the Division of Alcohol and Beverage Control, the Office of Cannabis Management and the New York State Gaming Commission, and urged increased funding for innovation hubs, incubators, minority‑ and women‑owned businesses, biomedical research centers and workforce development for teachers and paraprofessionals.

Sen. April Baskin highlighted priorities that include centers of excellence, cultural institutions, local tourism matching grants and public‑safety equipment tied to the Monroe–Rochester initiative. "We look forward to working with the assembly and the executive on increasing essential funding for centers of excellence, centers of advanced technology, minority and women owned businesses," she said.

Several members used the opening comments to press for targeted supports for small businesses. "Small business is the backbone of New York's economy," said Sen. Barela, who noted that small firms employ about 45% of the workforce and make up about 99% of businesses in the state. Barela urged lowering costs and regulatory burdens—citing electricity, energy and permitting costs—rather than relying solely on grant spending.

Sen. Steven Chan said businesses are "scared" by high utility and operating costs and proposed inserting budget provisions to help keep small businesses open, including suggesting a one‑year utilities tax holiday to provide immediate savings to ratepayers and small firms.

Assemblymember Mary Anne Button Sean, chair of small business, described two Assembly proposals: increasing the small‑business subtraction modification from 15% to 25% and creating a small business hardship savings account allowing up to 10% tax‑deferred contributions to aid recruitment and retention.

Assemblymember Steve Otis, chair of the Assembly Committee on Science and Technology, and others highlighted technology and research investments—citing Micron’s Rochester project, a Stony Brook quantum hub proposal and the Empire AI initiative—and urged continued support for broadband and digital‑inclusion programs via Empire State Development’s Connect All Office.

Assemblymember Matt Slater, speaking for the minority, criticized the state’s tax and regulatory climate and identified legislation (referred to in the record as "A5582") that would create a Division of Regulatory Review and Economic Growth to halt proposed regulations and issue enforceable recommendations to remove outdated rules.

Members also addressed rural and regional needs: Assemblymember Michael Cashman supported investment in the Cornell Center of Excellence for food and agriculture, while Assemblymember Scott Bendett called the proposed $50 million county infrastructure allocation "too small" and suggested considering a substantially larger sum.

Sen. Michelle Hinchey said the budget proposes a $1,000,000 increase for tourism matching grants in her Hudson Valley region, a restaurant tax credit (up to $10,000) for donated meals, a doubling of the farm food donation tax credit and incentives to help residents install heat pumps to lower household costs and support clean‑energy transition.

No formal motions or votes were taken. The co‑chairs said staff will continue consultations with members; Sturpi closed the meeting.