New York’s expensive startup initiative only created 76 jobs

“When Governor Andrew Cuomo launched Start-Up New York in late 2013, his office called it a ‘game-changing’ initiative that promised ‘a windfall’ of innovation. The program established 356 tax-free zones in order to ‘attract high-tech and other start-ups.’ However, a new report from the state’s Department of Economic Development found that the initiative only created 76 jobs in 2014, despite a $28 million ad campaign.

Cuomo’s senior economic aide told Capital New York that 76 jobs was ‘a good number that we can stand behind,’ and it was only a matter of time before the other jobs materialized.

The zones created by Start-Up New York were tied to 62 sponsoring colleges and universities. The program allowed companies to operate tax-free for 10 years ‘on eligible campuses and spaces.’ According to the report, those 76 jobs came from 30 companies in industries like software, biotech, and manufacturing. The companies were supposed to invest $91 million over five years, but only invested $1.7 million.”

(Via.) The Verge

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