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May 18, 2008
State Development Agency Buffeted by Slowing Economy and Internal Rifts
New York Times
CHARLES V. BAGLI
For more than a year, the state’s main economic development agency, the Empire State Development Corporation, has been in disarray, plagued by turf battles, poor management and the political collapse of Gov. Eliot Spitzer, business leaders and state officials say.
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A co-chairman of the development corporation, Patrick J. Foye, was one of the first officials to lose his job when Gov. David A. Paterson took over in March. Mr. Paterson has yet to nominate someone to run the agency.Moreover, the governor has sent conflicting messages, preaching fiscal austerity while suggesting that the state can move forward on a host of costly projects, including the Second Avenue subway, the extension of the No. 7 line, the $14 billion redevelopment of the West Side railyards, the $14 billion Penn Station project and the $4 billion Atlantic Yards basketball arena and residential complex in Brooklyn.
A senior adviser to Mr. Paterson rejected the idea that the administration had sent mixed messages, saying the governor would not commit to projects that the state cannot afford. The official, who was not authorized to be quoted by name, also said the administration planned to release plans for revamping the agency. As part of that overhaul, Mr. Paterson will eliminate one of Mr. Spitzer’s more contentious innovations: dividing the corporation’s leadership into downstate and upstate leaders.
Posted by amy at May 18, 2008 9:39 AM