Rochester Business Alliance/NYS Legislature/Jazz Festival -- 20 June 2008

>> Coming up on "need to know."
That nearly completed session is here.
Our guest is Sandy Parker.
Also, Ed Hall talks about efforts to capitalize on the success of the jazz festival.
BRENDA TREMBLAY reports and a high-school poetry wall.
And we look at what is new in business.
[CAPTIONING MADE POSSIBLE BY WXXI]
[CAPTIONED BY THE NATIONAL
CAPTIONING INSTITUTE
--www.ncicap.org--]
>> The news magazine since 1997.
This is "need to know."
>> Thank you for joining us.
I'm Peter Iglinski.
The current session of the New York State Legislature goes to an end on Monday.
Lawmakers continue to wrap up and the economic strain shows no sign of easing.
State revenues are down, gas prices are soaring, and unemployment is on the rise.
A number of issues in Albany remain unresolved.
Joining me is Sandy Parker, the president and CEO of the rochester business alliance.
The economic picture is pretty grim.
There is a change in course.
>> Well, from our perspective, are from the perspective of the organization, very little has been done to change course to improve the entire economy of upstate and the state as a whole.
We were very disappointed that so little actually has been addressed.
We continue to push on a couple of the items that we think still have a possibility of getting approved before Monday or Tuesday of next week.
>> The coalition of business labor, many groups, you are an important part of that.
Is the agenda laid out last December focused on three areas?
economic reform policies, Regulatory form?
Let us get a snapshot.
>> I think economic policies is one area where we think we see one potential for success.
There were really two areas that we outlined.
One was Brownfield reform, and the other was energy policy reform.
We have not made any progress on the energy process peace but we do think there is a good possibility that we will see some very positive reform as it pertains to Brownfield.
Brownfields are particularly important to the upstate major cities.
Because there's a lot of property in Buffalo, Rochester, Syracuse, in Binghamton that needs to be cleared up in order for new development to come into those locations.
>> You basically want them disheveled?
>> That is right.
Similar, actually, to what we're doing with the midtown project.
Or the state is going to come in and we will clean up the site so that, then, and a developer, can go and be built as one of the new locations.
There are several midtown location is located across upstate.
>> OK.
What about tax relief?
>> The very little has been done in tax relief.
As you know, this year, in particular, and quite frankly, as we look out into the future, the state's fiscal situation is a very, very onerous.
One of the things that we have to do is we push out into the future and we have to advocate for less state spending.
The one thing that we were very positive on is that saws a commission that it did complete their report on the property tax reform.
And the governor, a couple of weeks ago, has proposed a program bill that will cap property taxes.
At 4 percent, that is.
Per year.
And we think that is the first step in actually taking a look at some of the tax issues that our citizens face.
>> Schools, of course, are concerned.
They think it will tie their hands unnecessarily.
Doesn't all property tax relief boil down to a controlling the factors that actually drive up the property costs?
Utility rates, unfunded mandates, health care costs?
Isn't that were the problem is?
>> Sure.
I think if you look at the report, it did address those other areas.
One of the areas that it clear the recommends is that we begin to take a look at mandate relief.
We look at reforming the Triboro amendment.
We look at pension reform.
We look at more cost sharing as it pertains to health care costs.
Those are all areas that really have to be addressed because, unless you address those, there is no relief for the school districts in terms of increasing their costs.
The reason that the governor's property tax cap bill is so important is that that provides the blunt instrument to begin the discussion on the other issues that were identified in the report.
>> But it is a big"if."
There is no need for property tax caps?
>> True.
But we have never had the will to address those issues without a club.
And that is what those tax caps do.
It provides us with the governors' terms -- a blunt instrument to begin the process of addressing those other issues.
>>.
Area, regulatory reform.
It's a very little has been done.
We're looking at the end of session and there are several areas here that we're very concerned about.
Family Medical leave Act bill.
That is one of the items that currently is being addressed.
Another is still standing out there.
And the proposal around idas and that there's three key areas that we need to push on throughout the end of this session.
If nothing happens as of Monday or Tuesday, those certain areas will be on our agenda as we move out to the rest of this year and into the 2009 legislative session.
Very little happened as it pertains to legislative reform.
>> I cannot begin to tell you how many years I have been addressing these things.
Why should we have hope now that something will be done?
>> Well, I think we -- the state, for one thing, is almost at a crisis point.
I think you are hearing more and more of the voters actually expressing real concern in terms of the economy of the state.
In particular, the economy of upstate.
We continue to lose our population.
It is an election year.
Again, it always gives us an opportunity to try to affect some real reform.
And, in fact, we have a governor who is really following in the footsteps of his predecessor in terms of trying to do what is right for upstate New York.
>> As a bit unsettling, as you know, with the change of governors?
How confident are you that the right pieces are in place in Albany?
>> Well, I think we have some of the right pieces in place.
I think, perhaps one of the most hopeful things for me is that I was always very optimistic, because I felt that Spitzer really had the right agenda for the turnaround of upstate New York.
I think Governor Paterson really has picked up on that agenda very nicely.
The appointment of the head of esd is a very positive news for upstate.
We have a very successful business person who has lived and worked in the Buffalo area.
Knows the issues of upstate.
Has been very outspoken on the issues of upstate.
Way one the organization was happening.
There are pieces that lead me to be optimistic that we will, in fact, begin to address some of these issues.
>> When the year started, state had its own of economic development czar.
That changed and was taken away.
You opposed unshackled, the and restructuring of the economic development agency.
Does the appointment of set your concerns with the restructuring of the agency?
>> Desperate our concern is that we wanted to make sure we had someone at the helm who really knew what the upstate issues are.
He knows what those issues are.
I think if you look at the plan moving forward, he is, in fact, going to appoint someone who will report to him that will have responsibility for the upstate area.
Really, all of the things we were fearful of -- what were fearful that we would have a downstate person heading it up.
Someone who really did not understand what some of the issues were in upstate.
Those issues never came to be.
We're pleased with that.
>> Lobbying continues, the session ends on Monday, you probably are not open for a lot to happen by Monday.
Are you hoping for a special session?
Do you have word that a special session will be called?
>> Yes.
Actually, we're hoping for a lot of the things that are currently -- that a lot of things do not happen, actually.
The worry is that some of the reforms like fmla or ida reform will take place.
We were and -- we were in opposition to that.
We certainly were, over the summer, going to push for the property taxes.
And the caps on those.
We do think that the governor will stand by his word that he will, in fact, perhaps call the Legislature back into session prior to the election.
So that, given that happening, probably in the October timeframe, September or October, we really have a lot of work to do over the summer to try to get the voters engaged on some of these issues.
>> Sandy Parker, president and CEO of the rochester business alliance, thank you.
>> Thank you.
>> You can go online to listen to this interview and other needed to know sessions.
Tight end www.wxxi.org/ntk -- type in www.wxxi.org/ntk.
The rochester international jazz festival attracts music fans from all over the U.S. and abroad.
Attendance last year was estimated at 121,000, which gives a significant boost of the economy.
But the hope is that it is a beginning.
Ed Hall the president and CEO.
He wants to leverage the success of the jazz festival.
Thank you for being here.
>> Thank you.
>> A lot of people last year.
15,000 the first year.
A big difference.
Have you seen a difference for the local economy?
>> Yes.
We're able to track, obviously, attendants, but we're also able to attract were those people came from.
That is the way that the tickets are sold.
We can actually track is a codes of where people come from.
We do not have but number fully for this year, but last year over 24 states were represented, 14 foreign countries, and we know these are people who are coming to stay with us and our hotels, restaurants, and by retail.
It has a significant economic impact.
>> Is there any indication that people coming here for the jazz festival are returning for other purposes?
>> We think so.
You always need a hook or a reason to invite people to come to your area.
And this gives us a marvelous one.
A nine-day festival that has a great diversity.
Something for everybody.
But while people are here, they tended to discover our other hidden jewels, if you will.
Think of a family, or a set of parents, who may have come as an adult couple to come to visit the jazz festival.
They discover a strong national museum and bringing their children back.
They want to enjoy that great facility.
There are so many wonderful assets that we have in this region.
The culinary tours, the wine tours, there is a great deal of diversity within a tank of gas of the Greater Rochester area.
That is a great selling point for us.
>> So, the nights are full with music.
Are the actual going to spend time during the day to go elsewhere to come back, that is a lot of energy.
>> Some people do that.
Some people, it depends on your definition of "leisure."
Some people like to cram every experience that can on a long weekend.
They just go, go, go.
Some people want to take it that a softer pace.
We do think there is a mix of that kind of activity.
To be honest, we're so close to the wine trail.
It is a perfectly conceivable thing that you can do that in the daytime and enjoy the jazz festival at night.
>> Your druthers is that they come back.
That means more hotel rooms.
Have you set short-term and long-term targets?
>> Yes, we do.
We do that every year.
>> Regarding the jazz festival concerning the crowd in particular?
>> In that particular instance, and that is just like all of the other major festivals and events that we have on the annualized basis.
We tried to do is communicate with those tests while they are here to put more information in their hands and show them the additional opportunities that they might have to come back.
>> Have you get their attention when they're here for the jazz festival?
It is such an overwhelming events?
>> This is a little bit tough.
We're on site on the jazz street.
We have a representative there.
We're passing out information.
We're answering questions.
That is a service that we need to provide for visitors while we're here to make their visit as enjoyable as it can be.
To be able to tell them when things are open, how long it takes to visit a particular museum or attraction, so that is how we try to do it with a staff on the ground.
But you're right, it is difficult.
It is a big venue.
People are coming and going very fast.
But we do make the effort.
>> Let us talk about the tough crowd for you.
Journalists, travel writers, the out-of-towners.
Are you working with them?
>> We love them, because we have the opportunity through them to tell our story without doing paid media.
We like to earn the media by showing them the diversity of things.
The rich history of music.
The Eastman School is known worldwide for the many talented musicians it has trained.
There are lots of stories with the music hook here in our community.
So we try to present that to riders.
Now, it is a challenge, because each of them has a their own special interests.
If they are a freelance writer, then other magazine, then of their readers, they know their fears, so, they want to go after that a particular story angle.
We cannot give them a preprinted itinerary.
We have to respond to their needs.
It is Staff intensive.
But we feel like it is very worthwhile.
>> What is your goal with the writers?
What do you want them to do?
>> We want them to first have a very pleasant experience while they're here.
But we would like for them to take the message of Rochester back to their readers, by so doing, we're able to spread the good news about our community without actually having to pay for it.
>> What is at stake?
What is the potential involved?
>> Well, tourism is in a difficult period.
This is because of the rising costs of energy.
In the past, that has worked to our benefit.
Because we are geographically located where millions of people with any tankful of gas.
We hope the pattern will hold, but this is the largest we have ever experienced.
What is at stake is thousands of jobs, millions of dollars in tax revenue for our community.
Last year, our estimate is that the value of the visitors to this the community was in excess of $900 million.
It is a lot of money.
Jobs, taxes that we as permanent residents did not have to pay because our visitors pay them for us.
>> In terms of what we can gain, if things work out a way that you wanted them to, what could it mean for the economy?
>> Well, I think if you look at the pattern, again, a mere seven years ago, it was an idea.
It drew about 15,000 people.
Now, we're at the threshold of 130,000 people or 140,000 people.
Each of those visitors has to make an expenditure.
Whether they are here from 50 miles away or 500 miles away.
There will be buying food, buying things that they need.
Necessities at retail.
It has a tremendous economic impact.
This is one of many world class festivals and events that we have won an annualized basis.
If you look at each one of them, the value of that visitor is very important to the local citizen.
Because he is generating money that the local citizen does not have to pull out of his pocket and pay in taxes.
>> President and CEO of a visit rochester, good to have you.
>> Thank you.
>> Of visit rochester, formerly the Greater Rochester Visitors Association, is in the 76 year of working to develop the community as a destination point.
Despite what parents may tell their children, words have power.
They can inspire us, hurt our feelings, and mend fences.
Brenda tremblay reports on a public art project that uses words to share poetry and ideas on a busy city street.
>> Words alone have power.
But words strung together in poetic phrases remind us of that the world is more vivid and magical than we realize.
Pittsford conceptual artist, Jan Feldman, had that in mind when she went back to the Monroe Avenue neighborhood where she once lived and attended Monroe High school.
>> Than ever I grew up in was a little bit more than a mile from here.
My block, my street, it was at Justin street.
It was my family and that was a very extended family.
So I went to this school.
And I walked here.
Both ways.
Going in coming.
And this was my big reunion year.
That was the anniversary.
So, but it would be really cool to do something here.
>> She said her sites on the big iron fence surrounding her old school.
It's a formidable boundary separating the grounds from the street.
It keeps unwanted visitors out.
But Feldman saw other possibilities.
She saw the fence as a blank palette, a billboard for words strung together in poetry.
>> I get these concepts.
I think of myself more as a conceptual artist.
And I get all this energy around my ideas.
And it is a very exciting to share it with people and get them involved.
I find that it is in power and to other people to it but dissipate.
>> To do that, she held six workshops in locations all over the county.
In public libraries, in the mall, at Rochesters literary center, writers and books.
She gathered volunteers of all ages and gave a short stack of words.
She asked them to compose a message or poem of 10 words or less.
Then, she had the phrases printed on large, white tiles, and asked students at Monroe High School to help her hang them on the fence outside their school.
>> D.C. that?
Is it the right way?
>> The kids are so capable.
I told them, once they did it, they did, like, 99 percent of the installation as a group.
As a team.
>> Members of the Monroe High School National Honor Society hung the poems on the fence with white plastic ties.
They mounted the words "journey to heaven, cool shalom," a poem written by an 86-year-old man.
They hung a poem by a 12 year-old girl named Jayla.
It says, "decided future."
For several days, the words fluttered on the fence.
Random fragments of ideas strung together.
A stream of consciousness.
Like text messages.
Received in a dream.
Cars slow down, pedestrians stopped to look, and --
>> What I was trying to do was to inspire.
Not just to inspire artistically and creatively, but to inspire and a positive way.
To have people who drive by or walk by to pass by and take something away.
Unfortunately, they took stuff away literally.
By ripping it off.
>> Within a few days, the words started to disappear.
A week later, only a few fragments remained.
The artist says she felt a little disheartened.
In But she hopes that while it lasted, someone saw a few words that sparked a lasting sense of hope and wonder.
>> And now for a look at the business section with "the democrat and chronicle."
>> Joining us is business reporter, MATT DANEMAN.
Welcome back.
>> Always a pleasure.
>> The Industrial Development Agency adopted a number of reforms.
Why were they needed?
Will then make a difference?
>> Well, it will remain to be seen whether these placate all the critics.
That is what they're all about.
Industry Development Agency is around the state have been hammered around the area by good government groups arguing that there is not enough good monitoring done to see whether this tax break that this company gets really results in this number of promised jobs.
Which is what the taxpayers bricks are for.
Monroe County announced this week have a lot to do with monitoring abusive local labor and monitoring the use of these in these construction projects.
These are the things which do not quite hit what the thrust of the argument has been.
It is a reform and it makes some changes and it might make the process a little bit more accountable, but still, the main problem is whether the numbers that COMIDA said will happen are good solid numbers.
>> The requirement is that the company is having a tax break for some incentive, for business expansion or renovation, that local labor needs to be used.
Unless there is an exception.
>> Exactly.
The idea being that if local tax dollars are going to be forgone, local labor needs to have a role in building this building or installing this equipment.
>> OK.
The latest New York state unemployment numbers are out.
What do they say?
>> Nothing good.
For May, the unemployment rate in the Rochester area's 5.3%.
A full percentage point higher than it was in May of 2007.
That represents about 2600 fewer jobs than there were one year ago.
It puts us right up within a 10th of a percentage point between the U.S. and the state unemployment rate.
Basically, what you're looking at, is seasonal employment.
It just has not bounced up enough to offset the sort of continuing declines we see in places like manufacturing.
Usually in May, you see some of seasonal employment was up and things like construction and hospitality.
Those sectors.
They have not materialized nearly as much.
>> No bright spots?
>> Well, there was growth in education.
Some growth and hospitality.
But not enough to make it worthwhile.
>> Anything significant?
A federal survey provides some details on manufacturing.
This is where the good news is, right?
>> Actually, no.
The Federal Reserve, it every time looks at what a grass will be on housing and manufacturing.
Manufacturing is declining and drinking in terms of orders and in terms of sales being made.
Worse than economists had thought.
There was hope that there would be a modest bounce between April numbers and May numbers.
Actually, they continued to shrink downward.
Manufacturing, no long term surprise and New York state.
It has been suffering.
But there was hope there would be a little bit of a bounce here and there.
But none.
It's back up and declined a little bit.
>> Is across the board?
>> Desperate yes, it looks at manufacturing all over the place.
It does not just look at orders and sales but things like how much our manufacturers are investing in capital.
How much investment in the future?
Not that is down significantly from a year or so, too.
In the present economic climate, manufacturing is not doing so hot.
>> In the future of bonds?
That appears to be up in the air.
What have you heard?
>> This is a real one.
It is a weird one.
They have AM application for tax breaks for project want to do with it will take out the building and put in a few smaller shops and restaurants.
But the building supposedly is owned by the company as opposed to the other.
But they're saying, would come and have no intention of leaving.
It sells pretty fine things.
There's a public hearing on the proposal in July.
Hopefully, that will clear some of it.
>> Business reporter for the "Democrat and Chronicle," thank you for being with us.
I'm Peter Iglinski.
Thank you for joining us.
>> Previous broadcasts can be seen if you have time Warner's on demand service.
Go to Rochester on demand, Channel 111, then look for WXXI news.
There, you will find a selection of recent programs.