Albany OKs rural business grant program
{dcidc}From Journal Staff Reports
Legislation to establish a state matching grants program to encourage the development of clusters of industries and agribusinesses using existing economic strengths in rural Upstate New York has been signed into law.
State Sen. George H. Winner Jr. (R-C, 53rd-Dist.), a sponsor of the measure, announced the signing Friday.
A new "Cluster Based Industry and Agribusiness Development Grant Program" will offer grants of up to $25,000 on a competitive basis as seed money to community-based development corporations that will assist industry and agribusiness development and foster jobs and economic revitalization in rural areas. The matching grants initiative will be administered within the state's existing Rural Revitalization Program.
The new program envisions strategic clusters such as biotechnology, energy, information technology, specialized agriculture and rural heritage trail regions. Cluster-based economic development builds on existing strengths of rural regions by helping existing businesses grab market share in a competitive world economy through the development of new products. For example, traditional textile mills have begun making advanced materials, such as Gore-Tex.
According to Winner, cluster based industry and agribusiness development grants would be economically beneficial to rural New York by facilitating local economic development strategies oriented to indigenous resources in rural areas, such as the grape-and-wine industry in the Finger Lakes region. Many rural communities face special challenges, including limited access to capital, limited technological infrastructure and an eroding employment base.
Winner, chairman of the Legislative Commission on Rural Resources, said the law recognizes that many areas of rural New York lag behind the rest of the state in employment growth and income.
"Investment in research to bring new ideas and opportunities is essential," Winner said. "We're seeking to encourage regional industry and agribusiness clusters to invest in laboratories and think tanks that engage in cutting-edge research.
"It's no accident that fast-growth companies are concentrated around major universities that fuel a region's innovative culture and entrepreneurial economy," he said. "We are fortunate to have several world-class universities and related educational institutions that are helping us build innovative clusters in rural regions of the state."