Last year’s sunset of the law that allowed New York’s industrial development agencies to sell bonds on behalf of nonprofits for civic facilities has stalled 95 projects valued at more than $2.14 billion, according to a list released last week by an organization advocating for the law to be renewed.
The list identifies projects all over the state that range from less than $1 million to $400 million that would use IDA bonds as part of their financing. The projects include nursing homes, senior housing, medical centers, charter schools, and higher education.
The list was released by the New York State Economic Development Council, a trade group that lobbies on behalf of economic development professionals.
The law allowing IDAs to sell bonds for nonprofits expired at the end of January 2008. A major sticking point in efforts to renew the law has been a Democratic proposal that would require prevailing wages be paid on projects receiving IDA financing. Republican lawmakers have balked at that.
With both houses in the Legislature controlled by Democrats earlier this year, it appeared that a Democratic IDA reform bill could finally pass, but with the Senate deadlocked following a Republican coup two weeks ago, it is unclear whether any bills will get passed this session.
Also up in the air is a proposal that would allow the Dormitory Authority of the State of New York to sell bonds on behalf of nonprofits without getting special legislation on a case-by-case basis, as it has to now for projects other than medical centers and colleges and universities.
In a press release accompanying the list, Jeffrey Zogg of the Associated General Contractors of New York State Inc., a trade group representing construction businesses, called on legislators to pass a bill that would restore industrial development agencies’ bonding ability.