Authorizes the state to forgive outstanding loan debt from the Ogdensburg Bridge and Port Authority

Title of bill

An act authorizing the forgiveness of loans received by the Ogdensburg Bridge and Port Authority

Purpose

To forgive advances the Oswego Port Authority received from the State of New York going back to 1950, so that the repayment costs may instead be used for infrastructure improvements and new jobs.

Summary of provisions

Section one of the bill authorizes the State of New York to forgive outstanding loans made to the Ogdensburg Bridge and Port Authority between the years 1950 and 1960.

Section two provides for an immediate effective date.

Existing law

Currently the Ogdensburg Bridge and Port Authority is obligated to repay outstanding debt owed to the State of New York for advances made dating back to 1950.

Justification

The Ogdensburg Bridge and Port Authority received loans from the State of New York, beginning in 1950. The loans were used for improvements and purchases associated with the Ogdensburg Bridge and Port Authority, a public benefit corporation established in 1950 to improve transportation in Northern New York on the border with Ontario, Canada. By relieving the Bridge and Port of its obligations to repay these advances or legacy costs, more funding may be directed to job development in communities surrounding the Authority.

The Ogdensburg Bridge and Port Authority has been recognized as an economic driver both locally and for the entire state. The Authority operates two industrial parks, an international airport, a railroad, a deep water international port on the St. Lawrence Seaway and an international 1.5 mile suspension bridge over the St. Lawrence River connecting New York State to Canada. By forgiving 60-year-old loans, the authority will be able to focus its efforts on enhancing its economic development and job creation efforts. The Authority has an established track record of convincing Canadian companies to locate new operations in its industrial parks and using its international bridge and deep water port to ship goods between New York and Canada.

This legislation will help to pump needed funds back into the local economy surrounding the Ogdensburg Bridge and Port Authority, lessening the Port's annual fiscal obligations and allowing it to focus on growth.

Legislative history

None. This is a new bill.

Fiscal implications

Minimal to the State since these loans date back nearly 60 years and are being repaid at a very small rate and without interest.

Local fiscal implications

This bill will have a positive fiscal impact on the local economy surrounding the Ogdensburg Bridge and Port Authority. EFFECTIVE DATE : Immediately.