New York Gov. Mario M. Cuomo signed legislation Monday placing a bond act for jobs on the November ballot.
The "Jobs for the New, New York" bond act, Proposal No. 1, would establish an $800 million investment fund to support projects that improve the infrastructure and create permanent, private-sector jobs.
The act, expected to be financed through the issuance of tax-exempt bonds, would provide money for roads, bridges, sewers, and water works. The program is expected to generate nearly 24,000 jobs in the construction industry soon after its enactment and up to 100,000 private-sector jobs over the next 10 years.
Debt service for the new program would average about $65 million a year, according to a press release issued by the governor's office. However, the program should generate between $114 million and $155 million in new tax revenue for the state and local governments each year, the release says.
Under the plan, $600 million would be distributed to the state's 62 counties according to population, with each county receiving at least $2 million. Another $100 million would be reserved for distribution based on an agreement between the governor and the Legislature.
The final $100 million would be allocated among infrastructure projects throughout the state by the commissioner of the Department of Economic Development. Priority would be given to projects that use minority- or women-owned businesses, support apprenticeship training, or are located in highly distressed areas or in economic development zones.
During a special session last week, the state Legislature voted to place the jobs bond act on the November ballot. The Legislature also increased the bonding power of the state job development authority by $150 million.
The bonding issues were among several items that created a logjam when the 1992 legislative session ended on July 3. The jobs bond act proposal was initially opposed by the Republican-controlled Senate.