WTC Records Folder 0139 label, 2001

NYC 9/11 Public Portal Document

OCT-30-2001 10 40 NYC LEG OFFICE 212 566 0925 P.02/33 u~-1 sy' ei i r: XV I- NYL t-yrtu U- L el J tkkl 1 i u 1'41 4b40~!'(

Schumer I Clinton New York- Economic Recovery Tax Stimulus Program Amended for Discussion

The goals of the New York Economic recovery Program are to: 1) keep Manhattan businesses and residents committed to the city follo -Ing the 9/11 terrorist attacks - current loss in tax revenue to the city and state is estimated at $12 billion, and 2) rebuild lower Manhattan. Preliminary estimates place the number of jobs lost at over x25,000_

1) Lower Manhattan Economic Recovery Zone Tax Credit: ...............$3.0 billion

$3,000 annual per employee Federal tax credit to encourage employers to locate or remain located in the Lower Manhattan Recovery Zone (Manhattan south of Canal Street), which would last for five years. Employers could only claim the credit for employees who earn under $150,000 per year.

OR CUKt& . 1p' [Option B

New York State Qualifed Federal Tax Credit :.. . . . _ '~. . . . . . .... $3.0 billion

Modeled after the existing federal Low Income Housing Tax Credit Program, this tax credit pool would be authorized at a value equivalent to the number of displaced employees. 125,000, by $25,000. Employers that are located within the New York Recovery Zone or that had their buildings damaged or destroyed by the attacks would be eligible to receive a one-time per-employee (for employees cinder $150k) federal tax credit in exchange for a long-term commiixnent to stay in New York City. 'me State of Nev York, as it does with the Low Income Hoeing Tax Credit, would certify that the companies fulfilled the eligibility requ.ireinents.

!) build New York City Bonding Authori(y: . .. .. ...................... $500 million

Up to $5 billioo in Federal tax-exempt bonding authority to enable the replacement of lost commercial and residential space in and around the New York Recovery Zone. In addition, the bonding authority would not be subject to the qualified private activity bond caps that goy:em other issuances of municipal bonds in New York City.

3) Additional Advanced Refunding: ........................................ $500 million

Allowing municipal issuers ict. New York State — including the Port Authority of New York and New Jersey, New York City Hospitals, and the Metropolitan Transportation Authority -- to raise much needed capital by permitting one additional advanced refunding of m,itticipal and 5Q1( bonds over the next three years. This refunding authority would allow mumicipal issuers in New Yarit to take advantage of current low

NYC-WTC 000136571