Establishes the "tourism economic development fund" to be funded with revenue from the licensing of the "I Love NY" brand; moneys from such fund shall be appropriated for the promotion, attraction, stimulation, development and expansion of tourist travel, resort, vacation, culture and convention activities in this state.
Ayes (56): Adams, Addabbo, Alesi, Avella, Ball, Bonacic, Breslin, Carlucci, DeFrancisco, Diaz, Dilan, Espaillat, Farley, Flanagan, Fuschillo, Gallivan, Gianaris, Golden, Griffo, Grisanti, Hassell-Thomps, Johnson, Kennedy, Klein, Krueger, Lanza, Larkin, LaValle, Libous, Little, Marcellino, Martins, Maziarz, McDonald, Montgomery, Nozzolio, O'Mara, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Saland, Sampson, Savino, Serrano, Seward, Skelos, Smith, Squadron, Stavisky, Stewart-Cousin, Valesky, Young, Zeldin
Nays (2): Duane, Parker
Excused (3): Hannon, Huntley, Oppenheimer
TITLE OF BILL: An act to amend the economic development law and the state finance law, in relation to resources of the "I Love NY" brand
PURPOSE: To ensure that any revenue generated from the use of the "I LOVE NY" brand shall be deposited in the Tourism Economic Development Fund, and to be made exclusively available to fund the promotion of tourism.
SUMMARY OF PROVISIONS: Section 1- Amends subdivision 3 of section 153 of the economic development law to provide that any revenue from licensing or leasing of the "I LOVE NY" brand shall be deposited in the Tourism Economic Development Fund as defined in section 99-u of the state finance law, and be made available for appropriation to the department of economic development for the purpose of funding the promotion of tourism.
Section 2- Amends the state finance law by adding a new section 99-u to provide:
- For the creation of a Tourism economic development fund; such fund shall consist of: (a) all moneys derived from the licensing and leasing of the "I LOVE NY" brand; (b) all moneys appropriated for the purpose of such fund and all moneys transferred to such fund pursuant to law; and (c) any interest earned by the investment of moneys in such fund, which shall be added to such fund.
- Revenues in the Tourism Economic Development fund shall be kept separate and shall not be commingled with any other moneys in the custody of the comptroller.
- Moneys of the fund shall be available for appropriation and allocation to the department of economic development for the purpose of funding the promotion of tourism within the state and its regions pursuant to programs and activities authorized under the economic development law.
Section 3- Contains the effective date.
JUSTIFICATION: The tourism industry is a part of each region of the State, providing sustained employment and revenue. Tourism is responsible for 7.9% of the state's employment, demonstrating its integral place in the economies across the entire State. To that end, in 2010, tourism employment grew 2.1 %, generating 4.4% in personal income growth derived from visitors to the State.
The "I LOVE NY" program provides statewide marketing strategies establishing partnerships and implementing programs to encourage visitation with the logo itself being a resource for the State, as it generates revenue from licensing to commercial entities. Such revenues when dedicated to tourism as part of a cohesive tourism marketing strategy will increase state revenue and further set NY apart as a tourist destination, as well as promote and maintain vital jobs within the state in these difficult economic times.
Marketing is what will bring the visitors back and it is incumbent upon New York to ensure that the tourism industry can continue to generate critical revenues. This bill will help ensure that the leisure traveler is aware of the myriad travel destinations across the state- from wineries to amusement parks, historic sites to sports arenas- that are all within a few hours' drive for millions of people. As seen in 2010, tourism to the state generate 5.6$ billion for state and local governments from visitors spending nearly $50 billion.
LEGISLATIVE HISTORY: New bill.
FISCAL IMPLICATIONS: None to the State.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 6663 IN SENATE March 8, 2012 ___________Introduced by Sen. LITTLE -- read twice and ordered printed, and when printed to be committed to the Committee on Cultural Affairs, Tourism, Parks and Recreation AN ACT to amend the economic development law and the state finance law, in relation to resources of the "I Love NY" brand THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 3 of section 152 of the economic development law, as added by section 1 of part DD of chapter 59 of the laws of 2006, is amended to read as follows: 3. Nothing in this article shall prohibit the department from licens- ing and leasing the brand to any commercial entity, provided that the appropriate market value for such lease is obtained; AND FURTHER PROVIDED, THAT ANY REVENUE FROM SUCH LICENSING OR LEASING SHALL BE DEPOSITED IN THE TOURISM ECONOMIC DEVELOPMENT FUND ESTABLISHED IN SECTION NINETY-NINE-U OF THE STATE FINANCE LAW, AND BE MADE AVAILABLE FOR APPROPRIATION TO THE DEPARTMENT FOR THE PURPOSE OF FUNDING THE PROMOTION, ATTRACTION, STIMULATION, DEVELOPMENT AND EXPANSION OF TOURIST TRAVEL, RESORT, VACATION, CULTURAL AND CONVENTION ACTIVITIES AUTHORIZED PURSUANT TO THIS CHAPTER. S 2. The state finance law is amended by adding a new section 99-u to read as follows: S 99-U. TOURISM ECONOMIC DEVELOPMENT FUND. 1. THERE IS HEREBY ESTAB- LISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSION- ER OF TAXATION AND FINANCE A SPECIAL FUND TO BE KNOWN AS THE "TOURISM ECONOMIC DEVELOPMENT FUND". 2. SUCH FUND SHALL CONSIST OF: (A) ALL MONEYS DERIVED FROM LICENSING AND LEASING OF THE "I LOVE NY" BRAND; (B) ALL MONEYS APPROPRIATED FOR THE PURPOSE OF SUCH FUND AND ALL MONEYS TRANSFERRED TO SUCH FUND PURSU- ANT TO LAW; AND (C) ANY INTEREST EARNED BY THE INVESTMENT OF MONEYS IN SUCH FUND, WHICH SHALL BE ADDED TO SUCH FUND. 3. MONEYS IN THE TOURISM ECONOMIC DEVELOPMENT FUND SHALL BE KEPT SEPA- RATE AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTODY OF THE COMPTROLLER. ALL DEPOSITS OF SUCH MONEYS SHALL, IF REQUIRED BY THEEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD14956-01-2 S. 6663 2
COMPTROLLER, BE SECURED BY OBLIGATIONS OF THE UNITED STATES OR THE STATE HAVING A MARKET VALUE EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOS- ITS. ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED TO GIVE SECURITY FOR SUCH DEPOSITS. ANY SUCH MONEYS IN SUCH FUND MAY, IN THE DISCRETION OF THE COMPTROLLER, BE INVESTED IN OBLIGATIONS IN WHICH THE COMPTROLLER IS AUTHORIZED TO INVEST PURSUANT TO SECTION NINETY-EIGHT-A OF THIS ARTICLE. 4. MONEYS OF SUCH FUND SHALL BE AVAILABLE FOR APPROPRIATION AND ALLO- CATION TO THE DEPARTMENT OF ECONOMIC DEVELOPMENT FOR THE PURPOSE OF FUNDING THE PROMOTION, ATTRACTION, STIMULATION, DEVELOPMENT AND EXPAN- SION OF TOURIST TRAVEL, RESORT, VACATION, CULTURE AND CONVENTION ACTIV- ITIES WITHIN THE STATE AND ITS REGIONS PURSUANT TO PROGRAMS AND ACTIV- ITIES AUTHORIZED PURSUANT TO THE ECONOMIC DEVELOPMENT LAW. S 3. This act shall take effect immediately.