Looking Ahead

Low Taxes, Good Economy Brings More Business

By Mayor Rudy Giuliani

Four years ago our businesses were over-burdened by taxes, and residents felt this was a city that could not be managed. Today we have lower taxes, a better quality of life and a more business-friendly government. We’ve changed the philosophy and attitude of city government to support New York City business and create jobs in all five boroughs.

Mayor Giuliani

Perhaps the best indicator of our success is the fact that the city has more than 170,000 new private sector jobs since 1994 – compared to the 320,000 jobs lost under the previous administration.

Throughout the city, reducing tax burdens has been key to stimulating business success and job growth. We have eliminated the commercial rent tax everywhere, except south of 96th Street in Manhattan where it has been dramatically reduced. We also have reformed the unincorporated business tax and slashed the hotel occupancy tax, once the highest in the nation. In December 1999, the city’s regressive 8.25 percent sales tax on clothing under $100 will be eliminated, and I recently proposed a child and dependent care credit to assist hard working mothers and fathers who pay for child care or dependent care while they work or look for work.

In addition to lowering taxes, we have created a government which partners with business, offering support and innovative programs to help companies overcome obstacles to success.

For example, Eagle Electric Manufacturing Company, one of the city’s largest manufacturers with 1,400 employees, recently committed to remain at its facility in Long Island City rather than move to North Carolina. Our administration was able to forge an agreement that has lowered Eagle’s costs, allowing the company and its many jobs to stay right here.

College Point Corporate Park is another example of how business is thriving in Queens.

The park’s current businesses employ more than 4,000 people, and that number is growing. With assistance from the city, The New York Times recently opened its new state-of-the-art color printing facility in the park, bringing almost 700 jobs to Queens.

And the Jamaica Entertainment Center retail development will bring new jobs and services to the area. A multiplex theater will anchor the $80 million, 300,000-square-foot, mixed-use complex. This new development is expected to feature major national retailers and create more jobs for Queens residents.

Under our administration, we also have helped finance the growth of small businesses in the city. For example, the city issued $4.5 million in triple tax-exempt bonds enabling Gabrielli Truck Sales in Springfield Gardens to purchase a six-acre, city-owned site, and construct a new facility and street, as well as create 61 new jobs. And, thanks to financing provided by the city’s Industrial Incentive Program, Rockaway Beach’s Madelaine Chocolate Novelties will construct a new facility, renovate its current site, keep 375 jobs in Queens and add 100 more.

As we look to the 21st Century, this administration continues to seek ways to create jobs – in Queens as well as the city’s other four boroughs – for the benefit of all New Yorkers.

And we continue to work to maintain and enhance the city’s position as the "Business Capital of the World."