Hochul on Thursday signed the Green CHIPS bill, which could provide up to $10 billion in tax credits for semiconductor manufacturing projects over a 20-year period. The credits are available through the Excelsior Jobs program. Projects must meet certain job creation goals to receive the tax benefits.
The Green CHIPS legislation complements the federal CHIPS and Science Act that was signed by Biden earlier in the week. That legislation could invest up to $280 billion into the semiconductor industry in the United States.
Hochul explained why federal and state investments are important. The U.S. accounted for nearly 40% of semiconductor production in the 1990s. Now, it lags behind China, Taiwan and South Korea.
"We're ready to raise those numbers up, but not just raise them up for this country, raise them up here in New York state," Hochul said at a signing ceremony in Albany. "And the implications are massive for national security, technological innovation, economic growth and independence."
New York is hoping to boost an industry that already has a significant presence in the state. Hochul said that the state is home to 76 semiconductor and electronics manufacturers, with those producers generating a $5 billion economic impact and more than 343,000 jobs.
There are discussions about more semiconductor manufacturers coming to New York. Central New York leaders are aiming to land a major company that could invest billions in the Syracuse area and create more than 10,000 jobs.
U.S. Senate Majority Leader Chuck Schumer, who attended Hochul's signing event, agrees that New York could become a leading hub for the semiconductor industry. The federal and state bills, he said, "will be the one-two punch upstate New York needs to land major investment and create thousands of good-paying jobs in an industry that will dominate this century."
The state legislators supporting the bill included state Sen. John Mannion, who currently represents parts of Cayuga and Onondaga counties. Mannion, D-Geddes, was a prime cosponsor of the bill and attended the signing ceremony on Thursday.
"Central New York is positioned to play a major role in the country's strategy and Onondaga County is already home to the best shovel-ready site in the nation for a computer chip fab and the thousands of jobs it will create," Mannion said.
©2022 The Citizen, Distributed by Tribune Content Agency, LLC.
