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Economic Development, Department of

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Agency Web Site: https://esd.ny.gov/Link to External Website

Mission

Together with Empire State Development, the New York State Department of Economic Development:

  • Advises the Governor and Legislature on all major economic development issues and decisions;
  • Develops and recommends State economic development strategies;
  • Provides technical and financial assistance to businesses through a network of regional offices; and
  • Coordinates the efforts of other State agencies, authorities and organizations, as well as local governments, on actions that affect the State’s economy.

Organization and Staffing

The Department of Economic Development (DED) is governed by a Commissioner, appointed by the Executive. DED is comprised of the following divisions: Strategic Business, Environmental, Motion Picture and Television, Economic Incentives, Tourism, Minority and Women-Owned Business Development, High Technology, and Policy and Research.

Budget Highlights

The Executive Budget recommends $88.4 million for the Department. This is a decrease of $3.6 million from the FY 2019 budget, reflecting reduced spending from the non-recurrence of one-time FY 2019 Legislative adds.

The Executive Budget recommends a workforce of 153 FTEs for the Department to help support delivery of key Department programs such as Minority and Women-Owned Business Development.

Major budget actions include:

  • Centers of Excellence Program: The budget includes $9.596 million in new funding to continue support for the expanded Centers of Excellence Program. This is a decrease of $2.3 million from last year due to the non-recurrence of one-time FY 2019 Legislative adds.
  • New York State Innovation Hot Spots and New York State Incubators Program: The budget includes $5 million in new funding to support expenses of the Innovation Hot Spots and Incubators Program. Designated Hot Spots and Incubators will serve as high technology innovation incubators, providing growth support funding for start-up companies.
  • "I ♥ NY” Program: A $2.5 million appropriation is recommended for "I ♥ NY” tourism advertising, the same level as last year
  • Tourism Matching Grants: $3.8 million is provided to assist local tourism promotion agencies, the same level as last year.
  • MWBE 15-a Reauthorization: Reauthorizes and extends the provisions of law relating to participation by minority and women-owned business enterprises in state contracts and expands upon those provisions based upon the findings of the 2016 Disparity Study.

For more information on this agency's budget recommendations located in the Executive Budget Briefing Book, click on the following link:

Program Highlights

Marketing and Advertising

This program promotes New York State as a premier tourist destination and business location. Major activities include the “I ♥ NY” advertising campaign and local tourism matching grants administered through locally-based tourism promotion agencies representing the State’s 62 counties. The Department of Economic Development also manages tourist information services at the Beekmantown and Binghamton Gateway Centers; develops the State’s tourism master plan; targets information to consumers and the travel trade; participates in national and international trade shows; provides technical assistance to tour directors and creates publications for use by the Department and the other economic development agencies.

Business Assistance Programs

To improve the competitiveness of New York State companies, the Department of Economic Development provides assistance to businesses for productivity assessments; business-specific skills training for new and existing workers; and third-party technical assistance to develop strategies for expanding export markets.

Small Business Assistance

The Division for Small Business serves as an ombudsman for small businesses and also offers these enterprises training and technical assistance. In addition, the Department provides State and Federal procurement assistance to small businesses. The Division also operates the Clean Air Act Ombudsman Unit, which helps small businesses comply with these environmental regulations.

Minority and Women-Owned Business Development

The Division of Minority and Women-Owned Business Development was established to increase the participation of minority- and women-owned businesses in State procurement opportunities. The Division identifies and certifies minority- and women-owned business enterprises; publishes a directory of certified firms to market small businesses to public and private sector organizations; and provides technical assistance to minority-and women-owned businesses.

Policy and Research Division

This Division performs policy analysis and economic research; models the economic impacts of economic development projects; supports business development activities; monitors and intervenes in State regulatory activities affecting energy supply, telecommunications, transportation, environmental facilities, and commercial/industrial site and facility development; and coordinates the development and review of State economic development programs.

ALL FUNDS
APPROPRIATIONS
(dollars)
Category Available
FY 2019
Appropriations
Recommended
FY 2020
Change From
FY 2019
Reappropriations
Recommended
FY 2020
State Operations 26,195,000 26,695,000 500,000 18,786,000
Aid To Localities 65,816,333 61,713,663 (4,102,670) 211,168,997
Total 92,011,333 88,408,663 (3,602,670) 229,954,997

ALL FUND TYPES
PROJECTED LEVELS OF EMPLOYMENT BY PROGRAM
FILLED ANNUAL SALARIED POSITIONS
Program FY 2019
Estimated FTEs
03/31/19
FY 2020
Estimated FTEs
03/31/20
FTE Change
Administration
General Fund 29 29 0
Clean Air
Special Revenue Funds - Other 2 2 0
Economic Development
General Fund 93 93 0
Marketing and Advertising Program
General Fund 29 29 0
Total 153 153 0

STATE OPERATIONS
ALL FUNDS FINANCIAL REQUIREMENTS BY FUND TYPE
APPROPRIATIONS
(dollars)
Fund Type Available
FY 2019
Recommended
FY 2020
Change
General Fund 19,735,000 20,235,000 500,000
Special Revenue Funds - Federal 2,000,000 2,000,000 0
Special Revenue Funds - Other 4,460,000 4,460,000 0
Total 26,195,000 26,695,000 500,000

STATE OPERATIONS
ALL FUNDS FINANCIAL REQUIREMENTS BY PROGRAM
APPROPRIATIONS
(dollars)
Program Available
FY 2019
Recommended
FY 2020
Change
Administration
General Fund 3,207,000 3,707,000 500,000
Clean Air
Special Revenue Funds - Other 387,000 387,000 0
Economic Development
General Fund 11,691,000 11,691,000 0
Special Revenue Funds - Federal 2,000,000 2,000,000 0
Special Revenue Funds - Other 885,000 885,000 0
Marketing and Advertising Program
General Fund 4,837,000 4,837,000 0
Special Revenue Funds - Other 3,188,000 3,188,000 0
Total 26,195,000 26,695,000 500,000

STATE OPERATIONS - GENERAL FUND
SUMMARY OF PERSONAL SERVICE APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED
(dollars)
Program Total Personal Service Regular
(Annual Salaried)
Amount Change Amount Change
Administration 1,737,000 0 1,698,000 0
Economic Development 10,092,000 0 10,086,000 0
Marketing and Advertising Program 2,001,000 0 1,942,000 0
Total 13,830,000 0 13,726,000 0
STATE OPERATIONS - GENERAL FUND
SUMMARY OF PERSONAL SERVICE APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED CONTINUED
(dollars)
Program Temporary Service
(Nonannual Salaried)
Holiday/Overtime Pay
Amount Change Amount Change
Administration 0 0 39,000 0
Economic Development 0 0 6,000 0
Marketing and Advertising Program 7,000 0 52,000 0
Total 7,000 0 97,000 0

STATE OPERATIONS - GENERAL FUND
SUMMARY OF NONPERSONAL SERVICE AND MAINTENANCE UNDISTRIBUTED
APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED
(dollars)
Program Total Supplies and Materials
Amount Change Amount Change
Administration 1,970,000 500,000 64,000 0
Economic Development 1,599,000 0 176,000 0
Marketing and Advertising Program 2,836,000 0 665,000 0
Total 6,405,000 500,000 905,000 0
STATE OPERATIONS - GENERAL FUND
SUMMARY OF NONPERSONAL SERVICE AND MAINTENANCE UNDISTRIBUTED
APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED CONTINUED
(dollars)
Program Travel Contractual Services
Amount Change Amount Change
Administration 86,000 0 1,779,000 500,000
Economic Development 136,000 0 1,228,000 0
Marketing and Advertising Program 15,000 0 1,495,000 0
Total 237,000 0 4,502,000 500,000
STATE OPERATIONS - GENERAL FUND
SUMMARY OF NONPERSONAL SERVICE AND MAINTENANCE UNDISTRIBUTED
APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED CONTINUED
(dollars)
Program Equipment
Amount Change
Administration 41,000 0
Economic Development 59,000 0
Marketing and Advertising Program 661,000 0
Total 761,000 0

STATE OPERATIONS - OTHER THAN GENERAL FUND
SUMMARY OF APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED
(dollars)
Program Total Personal Service
Amount Change Amount Change
Clean Air 387,000 0 195,000 0
Economic Development 2,885,000 0 0 0
Marketing and Advertising Program 3,188,000 0 84,000 0
Total 6,460,000 0 279,000 0
STATE OPERATIONS - OTHER THAN GENERAL FUND
SUMMARY OF APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED CONTINUED
(dollars)
Program Nonpersonal Service
Amount Change
Clean Air 192,000 0
Economic Development 2,885,000 0
Marketing and Advertising Program 3,104,000 0
Total 6,181,000 0

AID TO LOCALITIES
ALL FUNDS FINANCIAL REQUIREMENTS BY FUND TYPE
APPROPRIATIONS
(dollars)
Fund Type Available
FY 2019
Recommended
FY 2020
Change
General Fund 57,816,333 49,713,663 (8,102,670)
Special Revenue Funds - Federal 8,000,000 12,000,000 4,000,000
Total 65,816,333 61,713,663 (4,102,670)

AID TO LOCALITIES
ALL FUNDS FINANCIAL REQUIREMENTS BY PROGRAM
APPROPRIATIONS
(dollars)
Program Available
FY 2019
Recommended
FY 2020
Change
High Technology
General Fund 43,108,333 39,722,663 (3,385,670)
Marketing and Advertising Program
General Fund 12,895,000 8,178,000 (4,717,000)
Research Development Program
General Fund 343,000 343,000 0
Training and Business Assistance Program
General Fund 1,470,000 1,470,000 0
Special Revenue Funds - Federal 8,000,000 12,000,000 4,000,000
Total 65,816,333 61,713,663 (4,102,670)

Note: Most recent estimates as of 1/15/2019

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