Cuomo’s Financial File: A 2020 Achilles’ Heel?


Earlier this month, New York Gov. Andrew Cuomo hinted that if former Vice President Joe Biden doesn’t run for president in 2020 he may rethink his personal earlier resolution to not run. Saying he was “frightened out of my sneakers about President Trump,” Cuomo informed an Albany public radio station he believed “the Democrats ought to win” however “are able to blowing it.” 

Cuomo made his earlier resolution to skip 2020, he stated, based mostly on “conversations with individuals [that led him] to assume sure persons are going to get into the race.” Biden has definitely flirted with a run, however what occurs if he backs out, as he did in 2016? (Early suggestions about his prospects from some voters is harsh.) Or what if Cuomo decides to run anyway? “If, if, if, if,” he stated. “Name me on the fifth ‘if.’”

Ought to Cuomo enter the already-crowded Democratic presidential discipline, he may shake up the race. Now in his third time period, he’s the nation’s longest-serving present governor, and he oversees the fourth most-populous state within the nation. Amongst a pack of Democrats who’re skewing to the left, Cuomo would place himself as a centrist. When it comes to discovering a candidate able to defeating Donald Trump, Democrats may conclude a mainstream progressive like Cuomo might have a greater probability than a candidate extra on the perimeter.

Whereas there are accomplishments Cuomo can level to as justification to run for president — his early help for homosexual marriage, tax cuts, his efforts to advance gun management — he may rise or fall as a candidate based mostly on one concern: the financial system. He embraced the topic in his first inaugural deal with in 2011, declaring, “It begins with jobs, jobs, jobs, getting the financial system working as soon as once more.” And he has had success. Since Cuomo took workplace, New York has added 1 million new jobs (“greater than any administration in 75 years,” he lately boasted), and the unemployment price has dropped from p.c when Cuomo took workplace to 4.6 p.c as of January (after hitting a low of three.5 p.c in November 2018). However right here’s the dangerous information: Each the variety of jobs created and the unemployment price in New York lag behind nationwide averages.

As well as, Cuomo simply suffered a humiliating embarrassment when Amazon introduced it will not proceed with plans to open its HQ2 in Queens, New York. Cuomo had labored behind the scenes for months to rearrange $three billion in incentives for Amazon if the corporate undertook a $2.5 billion funding in a brand new facility that will generate a projected 25,000 jobs and $28 billion in tax income for the state. However critics on the left, led by state Sen. Michael Gianaris in Queens and Congresswoman Alexandria Ocasio-Cortez in Washington, argued the incentives amounted to company welfare and launched a spirited assault on Amazon. When the corporate caved to that stress and introduced it will not proceed with its New York plans, Cuomo was blindsided. After a number of days of silence, he lastly spoke out, calling the choice “the best tragedy that I’ve seen since I’ve been in authorities,” and commenced last-ditch efforts to persuade Jeff Bezos to rethink the choice — up to now to no avail.

However Cuomo’s greatest blunder has been Buffalo Billion, an financial growth venture meant to revitalize the chronically downtrodden metropolis in western New York. The centerpiece of the plan is a 1.2-million-square-foot photo voltaic “gigafactory” constructed and outfitted at Riverbend in Buffalo at a price of $750 million. A pet venture of Cuomo, the manufacturing facility was begun initially for SolarCity, the photo voltaic panel firm cofounded by Elon Musk. However when SolarCity neared chapter, Tesla, one other Musk firm, absorbed it. Since Tesla was solely marginally higher off financially, the operation was sublet to Panasonic.

So the state has created a large (principally empty) manufacturing facility for tenants that ended up being Tesla and Panasonic — New York really owns the ability and rents it out for $1 yearly — all as a result of SolarCity first dedicated to bringing 5,000 new jobs to New York over 10 years. At present, the workforce is fewer than 700, with the prospect that that quantity may very well be lower as Tesla offers with its well-publicized money circulate issues. Plus, President Trump has imposed tariffs on photo voltaic gear, additional miserable the market.

To make matter worse for Cuomo, federal prosecutors convicted quite a lot of his mates and former aids for rigging the bids to ensure the development contract for the manufacturing facility went to an organization whose proprietor had contributed to Cuomo through the years. The governor himself was not indicted, however his administration has been tainted by the corruption.

Regardless of his successes — and there have been some — Cuomo might even see his future political prospects decided by two of probably the most mercurial names in enterprise in the present day — Jeff Bezos and Elon Musk. To date, it appears, Cuomo has been out of his league when coping with these enterprise titans, not a powerful endorsement for working the nation.

The writer of books about John McCain, John Kerry, and Karl Rove, Paul Alexander usually writes about politics.

This site uses Akismet to reduce spam. Learn how your comment data is processed.