Politics on the Hudson

   Gov. David Paterson had a news conference today to accept the final report of the state Small Business Task Force, but only one question from a reporter was on that topic. Instead, the governor was peppered with questions about the status of negotations on how to close the state’s $3.2 billion budget gap. The governor announced last night that talks had ended with the Senate and Assembly over a deficit-reduction plan, but lawmakers are hoping that the governor will send them a compromise bill.

   The Small Business Task Force, which the governor convened in July, studied how to improve the business climate in the state, and members came up with suggestions like reducing red tape, increasing access to capital, offering more training and technical assistance and reforming state regulations. Specific proposals include setting up a small-business revolving loan fund; exploring the viability of an interest-rate subsidy program; and developing an online licensing and permitting system.

   The one question on the report was how is the state going to get the money to implement any of the recommendations. State officials said the goal is to make the changes without adding any costs to government.

   “In this age of super-sized corporations, small businesses may not make the headlines, but they do drive job creation,” Paterson said. “The road to prosperity runs through New York’s corner stores and technology start-ups, its mom-and-pop restaurants and roadside repair shops.”

   The task force’s recommendations include “some solid first steps toward improving New York’s business climate,” panel member Mike Elmendorf, state director of the National Federation of Independent Business, said in a statement.

   “Clearly, even more must be done to lower the Empire State’s high cost of doing business and crushing tax burden to enable small business owners—New York’s innovators and job creators—to create new opportunities and grow our economy,” he said.

   Also this morning, the governor announced the launch of the state Small Business Lending Guide, a free online manual that seeks to connect small business owners and entrepreneurs with alternative banks and credit unions that are lending right now. In September, the state launched the state Director of Small Business Programs, an interactive online director of businesses and resources.