Two years ago, New York State Governor George Pataki designated five more areas – now there are 72 – in upstate New York as Empire Zones – areas sponsored by the state government to revitalize the local economies and increase business enterprises through tax incentives and other benefits. Manhattan’s Chinatown applied to the Empire Zone Program, but hasn’t heard if it has been accepted. With the approaching deadline, many community activists are losing hope that Chinatown will become an Empire Zone.

However, according to a report in AM New York, there is still hope for Chinatown. The report points out that although tourists have come back to Chinatown, the events of 9/11 and rumors of SARS had a tremendously negative impact on the community’s economy that is still being felt today. For example, in the last two years the number of people employed in industrial jobs decreased from 14,000 to 7000. This alone should qualify Chinatown for the assistance program.

The program, which starts after the state budget is finalized in April, will not be implemented any time soon; due to differences in the State Senate and Assembly, the state budget has not been passed. This gives Chinatown a few more months to push to get accepted into the program.

Recently, Charles Gargano, head of the Empire State Development Corp., told a group of business people that the city on its own could put together an Empire Zone for Chinatown without going through the State Legislature. [The law allows the city to redistribute up to 25 percent of its overall Empire Zone area to create a new one, without state approval, drawing on unused space from existing zones.] The community feels that this proposal is very practical. If it’s to become an Empire Zone, letting Chinatown have some of the unused acres is enough to revitalize Chinatown's economy.

Although all hope is not abandoned, many see the delay in getting a response from Pataki as a political game.