NYS Office of the Comptroller DiNAPOLI: LOCAL SALES TAXES JUMP 49.2 PERCENT IN SECOND QUARTER COMPARED TO SAME PERIOD IN 2020

 

Statewide Collections Surpassed Pre-Pandemic Levels

 Sales tax revenue for local governments in New York state rose by 49.2% in the second quarter (April to June 2021) compared to the same period last year, a dramatic increase from last year’s weak collections during the first wave of the COVID-19 pandemic, according to State Comptroller Thomas P. DiNapoli. Sales tax collections during this period totaled just over $1.6 billion and even surpassed collections reported during the second quarter of 2019, before the onset of the pandemic.

“The strength of these collections, along with federal aid, will give local governments statewide the chance to improve their fiscal stability, but it will take time to recover from the strain caused by the COVID-19 pandemic,” said DiNapoli. “While this is good news, local leaders are advised to budget carefully. If this pandemic has taught us anything, it’s to always plan for unpredictable circumstances.”

The size of the increase largely reflects extremely weak collections in the April to June period of 2020. However, even compared to pre-pandemic collections for the same period in 2019, statewide collections in 2021 were up 8.7% or $396 million. Every region outside of New York City experienced two-year growth over 18%. The Mid-Hudson and North Country regions both reported increases of more than 29%.

New York City’s collections grew by 44.6% in the second quarter of 2021 — the first increase after four quarters of year-over-year declines, but its total collections have yet to return to pre-pandemic levels. The city was hit earliest and hardest by the pandemic and was slower to reopen than the rest of the state, much of which had begun to see increasing sales tax collections starting as soon as the third quarter of 2020.

Year-to-date, statewide local collections in 2021 are up 18.8%, or nearly $1.5 billion, over the first six months of 2020. Such results, where nearly every region in the state saw a surge in collections, may reflect a combination of pent-up consumer demand, along with purchases tied to recent spikes in home sales.

In addition, two major changes that required many out-of-state vendors to collect and remit state and local sales taxes may have prevented steeper declines. The first change occurred after June 2018, when the U.S. Supreme Court’s ruling in South Dakota v. Wayfair established the economic nexus policy, expanding the group of vendors required to collect sales tax. The second change, the marketplace provision, now requires online marketplace providers, such as eBay and Etsy, to collect and remit sales taxes on behalf of their third-party vendors effective June 2019.

The first full “sales tax year” during which both the economic nexus policy and the marketplace provision were in effect was March 2020 through February 2021. During that period, the vendors subject to these changes reported $16.2 billion in total sales to New Yorkers, generating an estimated $686 million in sales tax revenue. Of that total, $431 million was generated by sales outside of New York City and $255 million by sales inside the city. Both, far exceeded the state’s original estimates. The better-than-expected outcome during this period was likely due, in part, to how the pandemic influenced consumer behavior by reducing in-person purchases and increasing online shopping. 

Regionally, the percentage of taxable sales from marketplace and nexus vendors varied by county, as did the effect of pandemic-related changes in consumer behavior.  In general, less densely populated counties, such as Allegany, Oswego, and Washington, had relatively high percentages of revenue from online vendors, as did Putnam County.  Such counties likely benefited from the combination of more online shopping during the pandemic with the state’s ability to capture taxes from a wider array of online sales.

In New York City the percentage of revenue generated by marketplace and nexus vendors was 4.5%, below the 5.4% average for counties in the rest of the state in the March to May sales tax quarter of 2020-21.

Table

Monthly and Quarterly Local Sales Tax Collections by Region

Report

Local Sales Taxes Surge 49.2 Percent in April-June 2021 Over Same Quarter in 2020

Governor Cuomo Announces launch of $100 Million New York City Musical and Theatrical Production Tax Credit

 

Post-Pandemic Program Will Encourage Reopening of Broadway Productions as Part of State's Comprehensive Economic Recovery Initiative  

More Information Available Here  

 Governor Andrew M. Cuomo today announced the launch of the new $100 million New York City Musical and Theatrical Production Tax Credit, designed to help revitalize an industry vital to the state’s continued economic recovery. This program will further jump-start the entertainment industry and help to generate additional tourism activity in New York City. Prior to the pandemic, Broadway theatres welcomed a collective audience of nearly 250,000 people each week, while the industry supported more than 90,000 local jobs and contributed over $14 billion to the New York City economy annually. Since the program was first announced as part of the FY 2022 Budget, at least 35 productions have announced opening performance plans for this year. 

“New York is not 'New York' without theatre, but for more than a year and a half visitors and residents were unable to enjoy the unparalleled experience of a live stage performance," Governor Cuomo said. “Theatrical productions support thousands of jobs and showcase performances and artists that reflect our state’s great talent and diversity. With the state's coronavirus restrictions lifted, these tax credits will help to restart this quintessentially New York industry more quickly.”  

The $100 million New York City Musical and Theatrical Production Tax Credit is a two-year program designed to support the entertainment and tourism industries in New York City. The program will offset some of the costs associated with producing a show, including production costs for sets, costumes, wardrobes, makeup, technical support, salaries, sound, lighting and staging. Eligible companies can receive tax credits of 25% of qualified production expenditures. First-year program applicants can receive up to $3 million per production, with second year applications being eligible for up to $1.5 million. ​

All program participants will be required to take part in a New York State diversity and arts job training program and expand opportunities for low-income New Yorkers to access productions at low or no-cost. To continue supporting the arts, highly profitable participating productions will increase access to art and cultural programs by contributing to a cultural access fund overseen by the New York State Council on the Arts. 

More information on the program, including the program guidelines and application, is available here. 

Empire State Development Acting Commissioner and President & CEO-designate Eric Gertler said, "While the devastating effects of the COVID-19 pandemic were felt by all, it was particularly damaging to New York's performance artists and the entire entertainment community. The greater theatre ecosystem includes so many businesses, from companies directly involved in production to the nearby restaurants that complete the 'dinner and a show' experience. Innovative programs like the New York City Musical and Theatrical Tax Credit will help rebuild this crucial piece of our economy, while supporting the businesses and employees that depend on live performances."    

President of the Broadway League Charlotte St. Martin said, “Governor Cuomo's support of Broadway during the pandemic has been vital to the industry’s survival. His announcement comes at a perfect moment for New York. This unprecedented initiative will increase access to Broadway shows for New York State residents and create new career pathways in our industry. We're gratified for the Governor's enthusiastic support of Broadway and investment in the industry’s workforce, which are so vital to the economic and cultural health of New York State."

The New York City Musical and Theatrical Production Tax Credit Programs is part of a comprehensive package of economic recovery initiatives announced in April as part of the FY2022 Budget to help restart the State’s economy and support the recovery of New York’s businesses. The $1 billion package includes assistance and relief for arts and cultural organizations, musical and theatrical productions, the tourism industry, restaurants, and the state’s small businesses, which represent 98% of New York’s economy. Earlier this year, Governor Cuomo launched NY PopsUp, an unprecedented and expansive festival featuring hundreds of pop-up performances to revitalize the spirits of New Yorkers with the energy of live performances and jumpstart the state's live entertainment industry.

Empire State Development launched NYSBusinessRecovery.ny.gov, a dedicated website featuring an interactive tool that can guide businesses through the state’s various pandemic recovery programs. The site also highlights additional resources available to support businesses seeking pandemic relief. It will be continuously updated by Empire State Development as more details and funding information become available.  

MAYOR DE BLASIO AND STATEN ISLAND BOROUGH PRESIDENT JAMES ODDO ANNOUNCE AGREEMENT TO BRING ATLANTIC LEAGUE TEAM TO STATEN ISLAND BALLPARK

 

Staten Island Entertainment to activate stadium with baseball and additional community programming beginning Spring 2022

 Mayor de Blasio, Borough President James Oddo, and New York City Economic Development Corporation (NYCEDC) announced an agreement with Staten Island Entertainment to bring professional baseball back to the Staten Island Ballpark. Staten Island Entertainment will bring an Atlantic League team to play at the St. George waterfront stadium beginning in 2022. The team will be named following an engagement process with local elected officials, community members, and other stakeholders.
 
Prior to the 2022 season, NYCEDC and Staten Island Entertainment will make necessary upgrades to the facility, which will include installation of synthetic turf, seating and concourse upgrades, and other improvements. The renovated stadium will be a destination venue for New Yorkers across the five boroughs; Staten Island Entertainment plans to release an annual calendar of concerts and other community events to draw additional visitors to the facility and the borough.
 
“Baseball is back on Staten Island,” said Mayor Bill de Blasio. “This ballpark has the potential to unite Staten Islanders around the home team and attract visitors from across the city and the region. We’re proud to secure a long-term future for this venue and build a recovery for all of us on Staten Island.”
 
“Having our national pastime played once again in our borough will be wonderful, but this agreement is about so much more,” said Staten Island Borough President James Oddo. “It’s about young players and professional athletes from many different sports.  It’s about local businesses and nearby cultural institutions. This is an opportunity to use Richmond County Ballpark to its fullest capacity, and to make it part of the lives of so many more Staten Islanders. Thank you to Mayor de Blasio and his team for the work they did to get this deal done, specifically the good folks at NYCEDC led by Rachel Loeb, and before that by my old friend James Patchett, as well as their hardworking staff that negotiated this deal."
 
“We are ecstatic to bring professional baseball back to the St. George waterfront and to reactivate the facility as a destination for Staten Islanders and visitors alike to enjoy concerts and additional events,” said NYCEDC President and CEO Rachel Loeb. “Congratulations to our partners Borough President Oddo and Staten Island Entertainment on bringing this vision to reality.”
 
“This is one of the most exciting ventures I have ever been a part of,” said SIE partner John Catsimatidis. “We will bring family entertainment back to the people of Staten Island, boost the local economy and see our team conquer the Atlantic League.”
 
“We will also welcome local sports teams to use our professional stadium for playoffs and championships,” said SIE partner Eric Shuffler. “We look forward to partnering with the community to create something great on Staten Island, starting with our team name.”
 
"We appreciate Major League Baseball and the Atlantic League for their support in this effort," said New York Yankees President Randy Levine. "This is something really exciting for the residents of the great borough of Staten Island. We wish them all of the success in the world."
 
The City recognizes the work and cooperation of Nostalgic Partners to successfully reassign the stadium lease to Staten Island Entertainment and appreciates their best efforts to bring professional baseball back to Staten Island.
 
 

164 Days and Counting

 

Monday I'll be back in the Bronx with City Hall in your borough at the rotunda in the Bronx Courthouse on the Grand Concourse at East 161st Street. It's to bad the Yankees are out of town, or I would have taken my good friend BP Ruben Diaz Jr. to a game with me. 

I want to make sure I bring a lot of police with me, because those people in the Bronx aren't happy with me. For over seven years I have been dumping on the Bronx, by sending homeless people we didn't want in Manhattan, and making sure that Bronx public schools were the worse of all the schools in the city. That's my new Tale of Two Cities. Manhattan, Brooklyn, Queens, Staten Island, and then there is the Bronx.

Governor Cuomo Updates New Yorkers on State's Progress During COVID-19 Pandemic

 

29,397 Vaccine Doses Administered Over Last 24 Hours

2 COVID-19 Deaths Statewide Yesterday 

 Governor Andrew M. Cuomo today updated New Yorkers on the state's progress combatting COVID-19.

"As we near the midpoint of summer, life is picking back up and people are living again after putting everything on hold last year. The best way to take advantage of all that summer in New York has to offer is to get vaccinated - protect yourself and your loved ones," Governor Cuomo said. "COVID, especially the Delta variant, poses a great risk to those who remain unvaccinated. Get your vaccine before it's too late." 

  

Today's data is summarized briefly below:

• Test Results Reported - 93,174 
• Total Positive - 1,584 
• Percent Positive - 1.70% 
• 7-Day Average Percent Positive - 1.50% 
• Patient Hospitalization - 483 (+21) 
• Patients Newly Admitted - 95 
• Patients in ICU - 105 (+5) 
• Patients in ICU with Intubation - 34 (-2) 
• Total Discharges - 186,075 (+69) 
• Deaths - 2 
• Total Deaths - 43,043 
• Total vaccine doses administered - 21,911,089 
• Total vaccine doses administered over past 24 hours - 29,397 
• Total vaccine doses administered over past 7 days - 225,622 
• Percent of New Yorkers ages 18 and older with at least one vaccine dose - 71.4% 
• Percent of New Yorkers ages 18 and older with completed vaccine series - 66.0%
• Percent of New Yorkers ages 18 and older with at least one vaccine dose (CDC) - 74.1%
• Percent of New Yorkers ages 18 and older with completed vaccine series (CDC) - 67.6%
• Percent of all New Yorkers with at least one vaccine dose - 59.5% 
• Percent of all New Yorkers with completed vaccine series - 54.8%
• Percent of all New Yorkers with at least one vaccine dose (CDC) - 61.9%
• Percent of all New Yorkers with completed vaccine series (CDC) - 56.2%

Leader Of The Blood Hound Brims Sentenced To 25 Years In Prison For Racketeering, Narcotics, And Firearms Offenses

 

 Audrey Strauss, the United States Attorney for the Southern District of New York, announced that BRANDON GREEN, a/k/a “Light,” was sentenced today to approximately 24.5 years in prison by U.S. District Judge Paul G. Gardephe in connection with his leadership of the Blood Hound Brims, a violent street and prison gang that operated in New York City and elsewhere, and his participation in narcotics trafficking and firearms offenses.  GREEN was convicted on March 27, 2019, following an approximately five-week jury trial before Judge Gardephe, who also imposed today’s sentence. 

U.S. Attorney Audrey Strauss said:  “Brandon Green, one of the leaders of a ruthlessly violent gang, was responsible for extensive narcotics trafficking throughout the city and state of New York.  Today’s lengthy sentence sends an important message to the Blood Hound Brims and other gang members that they will be arrested, prosecuted and face justice for their crimes.” 

According to court documents, the evidence at trial, and statements made in court proceedings:

The Blood Hound Brims was a criminal enterprise that operated principally in the greater New York area, from at least 2005 up to and including 2016. The BHB was a faction of the Bloods street gang, which operates nationwide, and is under the New York Blood Brim Army (“NYBBA”).  The BHB operated within and around various locations in New York, including New York City, Westchester County, Elmira, and in Pennsylvania, as well as within and outside federal and state penal systems. 

The BHB used a hierarchical structure that was organized, in part, by New York City borough, and that was maintained, in part, through the payment of dues.  The founder and leader of the gang was Latique Johnson, and other members and associates of the BHB referred to Johnson as the “Godfather.” The gang was divided into several “pedigrees,” each of which had its own leadership structure which was approved by Johnson.  Leadership positions within the pedigrees included, among others, treasurers who collected dues from members of a particular pedigree, and individuals who performed security and disciplinary functions for the pedigree. 

Members of the BHB had regular meetings, sometimes called “pow wows” or “9-11s,” at which members were required to pay dues.  Some of the meetings were among members of a particular pedigree, and other meetings were for all members of the Enterprise.  Word of the meetings was disseminated via text message, word-of-mouth, and flyers.  The BHB’s business, including rivalries with other gangs, shootings, the arrest of gang members, guns, and drugs, was regularly discussed at these meetings.  “Kitty dues” – money that paid for commissary funds, lawyers, guns, and drugs, and that served as tribute to Johnson – were collected at these meetings.  The BHB maintained its own rules and constitution that new members were required to learn.  Members of the BHB also used code words and secret phrases to communicate with each other both while in prison and on the street in order to avoid detection by law enforcement.   

One of the BHB’s principal objectives was to sell cocaine base, commonly known as “crack cocaine,” powder cocaine, and heroin, which members and associates of the BHB sold throughout the greater New York area and in Pennsylvania. 

Members and associates of the BHB engaged in multiple acts of violence against rival gangs.  These acts of violence included assaults and attempted murders, which were committed to protect the Gang’s drug territory, to retaliate against members of rival gangs who had encroached on the territory controlled by the BHB, and to otherwise promote the standing and reputation of the Gang vis-à-vis rival gangs.  These acts of violence also included assaults and attempted murders against members and associates of the BHB itself, as part of internal power struggles within the Gang.

GREEN, 38, of the Bronx, New York, was one of BHB’s primary suppliers of cocaine and heroin, providing other Gang members with redistribution quantities of narcotics for resale in New York City and Elmira, New York. GREEN also maintained a supply of firearms, which he sometimes made available to other members of the Gang.  At the time of GREEN’s arrest in May 2017, U.S. Marshals recovered six loaded firearms from the residence where he was living.                                             

Latique Johnson, a/k/a “La Brim,” 41, of the Bronx, New York, the Gang’s founder, was convicted following a jury trial of of racketeering conspiracy, assault in aid of racketeering, attempted murder in aid of racketeering, narcotics conspiracy, and firearms. Johnson was sentenced in 2019 to 30 years in prison.

Donnell Murray, 41, of the Bronx, New York, a BHB leader was convicted following a jury trial of racketeering conspiracy, assault in aid of racketeering, narcotics conspiracy, and a firearms offense.  Murray was sentenced in 2019 to 20 years in prison.

David Cherry, 40, of the Bronx, New York, a BHB leader, was convicted following a guilty plea to a firearms offense.  Cherry was sentenced in June to 10 years in prison.

A RECOVERY FOR ALL OF US: MAYOR DE BLASIO ANNOUNCES “NYC HOMECOMING WEEK” CONCERTS COMING TO ALL FIVE BOROUGHS IN AUGUST 2021

 

Mayor Bill de Blasio today announced that the City of New York will host concerts in each of the five boroughs—between August 14^th to 22^nd—as part of NYC Homecoming Week and to celebrate the Summer of New York City.

 

The concerts will be held: 

• Monday, August 16^th at Orchard Beach in The Bronx
• Tuesday, August 17^th at Richmond County Bank Park in Staten Island
• Thursday, August 19^th at Brooklyn Army Terminal in Brooklyn
• Friday, August 20^th at Forest Hills Stadium in Queens
• Saturday, August 21^st at The Great Lawn, Central Park in Manhattan 

 

“Joining one of the greatest Central Park concerts in history will be momentous concerts in each borough featuring renowned artists who have made New York City proud,” said Mayor Bill de Blasio. “It’s time to celebrate our city, support our local businesses, and have an incredible Summer of New York City.”

 

“Just like Hip Hop music triumphantly emerged originally from the tumultuous ’70s, the Universal Hip Hop Museum is proud to produce a part of the NYC Homecoming celebration,” said Rocky Bucano, Executive Director and President, Universal Hip Hop Museum. “Hip Hop culture reflects the mosaic that makes NYC, with its sound coming from all genres and spanning many communities. Working in partnership with the City and others, this is our love letter to music fans from all over NYC.”

 

The full line-up of artists who will perform at each of the NYC Homecoming Week concerts will be announced in the coming weeks. The Mayor, music industry legend Clive Davis, Live Nation and Danny Meyer will unveil the lineup and ticketing details for the highly-anticipated concert on the Great Lawn. Universal Hip Hop Museum Executive Director and President Rocky Bucano will then join the Mayor to announce the full lineup and ticketing details for the concerts in the Bronx, Brooklyn, Queens, and Staten Island.

 

NYC Homecoming Week events will also include free film screenings hosted by Rooftop Films, NYC Restaurant Week, Summer Streets. iconic events, cultural activities, public art, and more in all five boroughs.

 

This celebration of New York City’s resilience will drive support for the mom-and-pop businesses and local organizations that define our neighborhoods and that kept the heart of our city beating throughout the COVID pandemic.

 

To sign up for email updates on NYC Homecoming Week events and tickets, go to nyc.gov/HomecomingWeek.  

 

“No city rivals New York as a stage for artists and spectators to come together in personn—and for too many months, we’ve missed experiencing the rousing energy of live performances in public places,” said Danny Meyer, restaurateur and Board Chair of NYCEDC. “It’s time for a homecoming—for New Yorkers who temporarily moved away, and for visitors who have been longing for what we do better than anywhere else on earth. Be there. This homecoming is for you.”

 

“In beating back the COVID-19 pandemic and revitalizing our businesses, arts, and culture, New Yorkers have proven that you can never count New York City out,” said Deputy Mayor for Housing and Economic Development Vicki Been. “Homecoming is a celebration of everything we have achieved. Throughout each of the five boroughs, we will be highlighting special talent that represent the spirit and soul of our city. I hope you’ll come and join in on the fun; we wouldn’t be here without you.”

 

“We're thrilled to bring this never-before-seen celebration to every borough. Through NYC Homecoming Week, we will honor all that the great people of our City have done to contribute to our recovery from the COVID pandemic—from the tireless efforts of frontline workers and the small businesses that define our neighborhoods, to the historic programs developed through the City’s innovative initiatives and the millions of New Yorkers who have done their part to get vaccinated,” said the City’s Senior Advisor for Recovery Lorraine Grillo. “You do not want to miss Homecoming and these incredible concerts. This defining week will play a memorable and important role in uplifting our communities as we continue to build a recovery for all of us.”

 

“On March 14th, we gathered to honor those we lost to COVID. On July 7th, we honored our essential workers and first responders who sustained us through the darkest days of the pandemic with a historic ticker tape parade,” said Citywide Events Executive Director Dan Gross. “Come August 14th, we will show the world that New York City is once again the epicenter for live events, the arts and culture, and all that makes our city the ultimate place to be. On behalf of all of our agency partners, it is our distinct honor to show the world that there is No Stopping New York.”

 

“NYC Homecoming Week will be a special and celebrated moment to bring visitors back to the five boroughs for a bundle of authentic New York City events including live concerts, cultural and outdoor activity, and dining with an extended NYC Restaurant Week,” said NYC & Company President and CEO Fred Dixon. “We are grateful to the Mayor for organizing this remarkable period of events that will help to tell visitors and the world, ‘It’s time for New York City now.’”

 

“NYC Homecoming Week is an exciting opportunity to celebrate the Summer of New York,” said Daniele Baierlein and Jorge Luis Paniagua Valle, Co-Executive Directors of the Mayor’s Fund to Advance New York City. “We look forward to partnering with businesses and community leaders to create a memorable experience that brings New Yorkers together from every borough to enjoy the musical and cultural treasures that the greatest city in the world has to offer.”

 

“It's the Summer of NYC, and the best place to be is in our 30,000 acres of parks and open spaces!” said NYC Parks Commissioner Mitchell J. Silver, FAICP. “This event signifies the resurgence of New York City’s cultural life, which is a magnet for visitors and residents alike. Throughout the years our parks have been the home of many iconic concerts, and we are proud to host this very special homecoming event.”

 

“As we continue to rebuild our economy, it’s evident that New York City is back and stronger than before,” said NYCEDC President and CEO Rachel Loeb. “We’re thrilled the NYC Homecoming concerts will bring relief for businesses that were impacted by the pandemic and will put smiles back on the faces of all New Yorkers.”

 

“Culture is what makes our city great and makes for strong, healthy communities, so we're thrilled that artists and cultural workers will drive NYC Homecoming Week festivities,” said Cultural Affairs Commissioner Gonzalo Casals. “We've been through an immensely challenging year together, and nothing can help bring us together to heal and celebrate like art can. We encourage everyone to visit these exciting performances and join NYC Homecoming Week in their own neighborhoods.” 

 

“We are delighted that New York City’s arts, entertainment and hospitality communities have come together to support this historic celebration of our city's resilience,” said Mayor’s Office of Media and Entertainment Commissioner Anne del Castillo.  “It's inspiring to see our creative community, which is core to our identity as a global capital, once again leading the city’s recovery.”

 

“Small businesses are the backbone of our communities and have demonstrated remarkable grit and determination over the last year,” said Department of Small Business Services Commissioner Jonnel Doris. “NYC Homecoming Concerts are a great way to enjoy the vibrancy of the City this summer, and support businesses that give our neighborhoods strength and character. We need all New Yorkers to ‘Shop Your City’ this summer—and every day.”

 

“This is truly exciting news about ‘Homecoming Week’ next month, with amazing concerts in each of the five boroughs,” said Department of Transportation Commissioner Hank Gutman.  “But Homecoming Week will be special because it also includes the return of cycling and strolling on Summer Streets—from 9am until 1pm in Manhattan on Saturday, August 14. As New Yorkers continue to follow the Mayor’s call to get out and enjoy the ‘Summer of NYC,’ we strongly encourage everyone to come to Summer Streets, New York City’s original 7 miles of Open Streets.”  

 

“New York City's art and culture scene is central to our recovery,” said Community Affairs Unit Commissioner Roberto Perez. “I am so excited to enjoy the Summer of New York City at the Homecoming Concerts with communities across the five boroughs. Looking forward to this iconic celebration.”