It's Your Money NYC: Hold Your Government Accountable

Funding for '09

$ 14,770,000

Employees

1

Who funds this program?

City

14,688,000 (99%)

Federal

82,000 (1%)

How is the money spent?

Salaries

81,000 (1%)

Contracted Services

7,284,000 (49%)

Other and Fixed Charges

7,404,000 (50%)

What your money funds:

The New York Empowerment Zone is a federal economic initiative started in 1996 that uses public funds and tax incentives to encourage private investment in Upper Manhattan and the South Bronx.

1. The program provides a package of tax credits, preferable loan options, and work opportunity programs for businesses located within the zones.
2. One such tax credit allows employers located in the Empowerment Zone to reduce their tax bill by up to $3,000 a year for each employee who is an Empowerment Zone resident. The credit is based on 20% of the first $15,000 of wages paid in a calendar year.
3. Another service is preferable bond financings. Qualified Empowerment Zone businesses are eligible for triple tax-exempt bonds that facilitate financing of new facilities and renovation or expansion of existing facilities. The bonds are issued through the New York City Industrial Development Agency (IDA) and are most useful for very large commercial development projects or by very large businesses with access to the capital markets.
4. The program is administered by both the Upper Manhattan Empowerment Zone (UMEZ) and Bronx Overall Economic Development Corporation (BOEDC).