Standing up to the downstate tax-and-spend agenda

Since Unshackle Upstate was created in 2006, we have worked to give upstate taxpayers and employers a voice in the halls of the state Capitol. Given the huge concentration of wealth in the New York City region, and the significant influence of labor unions (some of which even control ballot lines, giving them an incredible amount of power in Albany), this has not been an easy task.

Some of what led to decades of economic stagnation throughout much of upstate New York was global in nature. But much of what is holding the upstate economy back originates in Albany. By adding our voice to the discussion in Albany, we can help improve the state’s business climate and the upstate economy.

As a respected advocacy organization, Unshackle Upstate takes pride in avoiding the personal insults and ad hominem attacks that too often infect our political system. Recently, former Assemblyman Richard Brodsky chose to take the low road over his disagreements with our policy agenda.

But whether Mr. Brodsky wants to acknowledge it, the reality is that upstate and downstate have two very different economies. New York City’s financial sector has grown dramatically over the last two decades, while its construction and tourism sectors are booming. In contrast, upstate’s traditional manufacturing base continues to face major challenges, and lags behind the nation – and the New York City area – in job growth. Recent data from the state Department of Labor found that six upstate regions collectively lost 6,400 jobs over the last year.

This is not new – it has been happening for decades – and, unfortunately, the trend continues. A recent analysis by Joel Kotkin, a fellow in urban studies at Chapman University and Wendell Cox, a senior fellow of the Center for Opportunity Urbanism, found that 126,000 taxpayers fled New York for other low-tax states in 2014.

We agree with Mr. Brodsky that the state should continue to invest in infrastructure. That is why we helped highlight this issue in our 2015 report“Invest In New York’s Infrastructure – A Successful Economy Requires A Strong Foundation”. Considering that Mr. Brodsky keeps such a close eye on what our organization says and does, we’re surprised that he failed to mention this report. And while the Legislature and Gov. Cuomo have taken some initial steps to address upstate’s aging infrastructure, there is much more work that needs to be done.

The same can be said for tax relief and regulatory reform. Unshackle Upstate strongly supported the 2 percent property tax cap because real property taxes were out of control. For far too long, hardworking upstate families were subjected to unaffordable property tax increases year after year. Partnering with our allies in the business community, we advocated for a strong real property tax cap. Not surprisingly, powerful unions and many downstate legislators opposed the measure.

The cap would go on to save property taxpayers approximately $7.6 billion dollars between 2011 and 2015, according to analysis published by the Empire Center. But rather than the take the sensible step of making the tax cap permanent, it was only extended for 4 years in 2015. Why? Because the same special interests that opposed the tax cap in 2011 called on the downstate-led Assembly to reject making it permanent – and they happily obliged.

This is just one example demonstrating how upstate is negatively impacted by downstate influence. Lowering Workers’ Compensation costs, reforming the costly Scaffold Law and permitting ride-sharing services to operate in upstate are all common sense measures obstructed by downstate interests.

Mr. Brodsky is correct in noting that upstate benefits from the strong New York City economy. But upstate New Yorkers are a proud group, and we prefer to carry our own weight. If Albany stops saddling us with some of the nation’s highest taxes, energy costs and regulatory burdens, we will be able to do so.

We don’t pull issues out of thin air. Unshackle Upstate and our member organizations go to great lengths to listen to employers and taxpayers and discuss the challenges that stymie job creation and economic growth. Our agenda is a direct reflection of those conversations. When was the last time Mr. Brodsky sat down with a farmer from Medina, a small business owner from Canandaigua, or a manufacturer in Binghamton to get their take on what the state can do to make it easier for them to operate and grow a successful business?

Only someone who spent close to 30 years in Albany could come to the conclusion that higher taxes and more government spending are the answers to upstate’s economic struggles.

Anyone who has paid attention to state government over the last two decades will recognize that downstate special interests have pushed an aggressive anti-taxpayer / anti-employer agenda in Albany. An agenda upstate cannot afford. Even Gov. Cuomo has repeatedly recognized that powerful downstate interests wield tremendous influence in the Capitol, often to the detriment of the upstate economy.

Name-calling and petty insults will not stop Unshackle Upstate from following through on our mission to strengthen the upstate economy. Retreating from that fight and embracing New York City’s tax-and-spend agenda would be, well, idiotic.

Greg Biryla is the executive director of, Unshackle Upstate.