As Inflation Hits 40 Year Highs & Thousands Leave NY, Republicans’ Plan Would Make our State More Affordable & Expand Economic Opportunity
ALBANY, NY – The New York State Senate Republican Conference today unveiled the ‘End the Exodus’ economic plan as part of the ongoing ‘Take Back NY’ 2022 Agenda. As inflation spikes – and countless families and businesses leave the state for greater financial freedom and quality of life – the Republican priorities would reverse these destructive trends by increasing affordability and expanding economic opportunity in New York.
“New York leads the nation in outmigration. Our greatest asset – our people – are leaving by the hundreds of thousands thanks to sky-high taxes, burdensome regulations, and an overall economic climate that ranks last in the nation for freedom. My colleagues across the aisle have offered nothing but financial hardship for hardworking New Yorkers and small businesses since they took the Majority. Enough. We need to make our state more affordable, expand economic opportunity, and enact Senate Republicans’ economic plan if we want to End the Exodus,” said Senate Republican Leader Rob Ortt.
“It’s no coincidence that our state led the nation last year in overall tax burden and population loss. Hundreds of thousands of our fellow New Yorkers are heading for the exits, and they’re going to Florida, South Carolina, and other low-tax states. It’s not the weather – it’s the tax-and-spend policies levied by Democrat One-Party Rule in our state. New York is at a crossroads for our economic future, and we must enact our affordability agenda to meet the moment. Together, we can finally End the Exodus,” said Senator Tom O’Mara.
“Prior to the pandemic, New York State earned the dubious distinction of leading the nation in imposing a crushing cost of living. During the pandemic, NY’s affordability crisis has grown even worse, as inflation hit a 40-year high, further hurting families and small businesses, significantly driving up the cost of everything from gasoline to groceries, to home heating costs. New York’s affordability crisis has led to hundreds of thousands of residents saying our new state motto – I LEAVE NY – as they made an Empire State Exodus fueling our nation-leading out-migration. We need a new direction. Our End the Economic Exodus Plan is laser-focused on reducing the crushing cost of living for all New Yorkers. Our plan allows localities the option to offer state sales tax holidays on essential goods and services, repeal outdated regulatory barriers impacting affordable housing, protect the rights of property owners, make childcare more affordable by cutting costly regulations, expand the Empire State Child Tax Credit, and the Dependent Care Credit, increase support for employer-provided early childhood education and care, and provide nearly $300 million in energy tax relief. The policies we’re advancing will reverse years of Democrat-led decay and decline and result in a more affordable state,” Senator Daphne Jordan said.
“Even before the pandemic, our state’s economy has been in decline. If we’re going to get our economy back on track and create opportunity, we have to address our business climate and the reasons it’s one of the worst in the nation. That means reforming the way economic development is done and ending the culture of unwieldy top-down mandates and the exorbitant taxes and fees that stifle growth and job creation. If we do that, we can create the situation for the vibrant economy all New Yorkers deserve,” said Senator Dan Stec.
New York faces extreme short- and long-term economic challenges, including:
Inflation – a 7 percent spike in consumer prices over last year, or a 40-year high – including skyrocketing costs for transportation, food, and other essential goods and services;
Pain at the Pumps – average gas prices in the state have gone up by more than a dollar-per-gallon, or an estimated 43 percent increase from a year ago;
Rising Home Heating Costs – monthly average home heating oil prices have also risen by more than a dollar per gallon from a year ago, or an estimated 48 percent increase from a year ago;
Declining Consumer Sentiment – since 2018, New Yorkers have become less optimistic about overall and future economic conditions, with recent concerns spiking over over food and gas prices;
Overall Tax Burden – New York has the highest tax burden in the nation at 12.79 percent – without factoring in a plethora of other burdensome fees; and
Economic Freedom – New York has ranked last in the nation in terms of “economic and overall freedom” for years – according to one think tank.
Senate Republicans’ End the Exodus plan includes:
Cutting New York’s Highest-In-The-Nation Taxes:
Enact a permanent, constitutional cap on runaway state spending;
Repeal unfunded mandates that drive up local property taxes;
Accelerate and expand the historic, Senate Republican-authored Middle-Class Tax Cut;
Require a 2/3 vote of the state legislature for any tax increase; and
Reject the Senate Democrats’ radical plans to dramatically increase gas, home heating, and everyday-living costs - and temporarily SUSPEND the state gas tax.
Reducing the Cost of Living:
Allow localities the option to offer state sales tax holidays on essential goods and services;
Advocate for and protect the rights of property owners;
Make childcare more affordable and available by examining costly regulations, expanding the Empire State Child Tax Credit and the dependent care credit, and increasing support for employer-provided early childhood education and care; and
Mitigate the impact of the global energy crisis by providing nearly $300 million in energy tax relief.
Improving the State Business Climate:
Cut red tape and burdensome regulations;
Reduce taxes on small businesses;
Reform the way economic development – for years plagued by corruption – is done in New York;
Reject Democrats’ radical plans to ban natural gas hookups in construction;
Slash small businesses skyrocketing unemployment insurance tax rates by using federal pandemic relief funds to replenish the depleted unemployment insurance fund; and
Cap unemployment taxes to protect businesses still struggling with pandemic recovery.
The End the Exodus plan builds upon Senate Republicans’ ‘Take Back New York’ 2022 Legislative Agenda unveiled at the start of the year, which includes a plan to restore public safety, as well as calls to end overreaching government mandates.
“The path is clear. We need to cut taxes, reduce the cost of living, and improve our business climate if we want to Take Back the mantle of the Empire State. Let’s End the Exodus,” concluded Leader Ortt.