Paul Groenwegen, Attorney for State of New York, said, "Their claim is economic grants are unconstitutional under a section of the constitution that prohibits gifts to private parties."
He says that's the problem. Groenwegen believes the tax money given to companies is appropriate, arguing it serves a public purpose, bringing jobs to the state.
Groenwegen said, "We're saying these particular transactions are not gifts, which if they are characterized as gifts
, they're gifts to a public authority which are permissible under the constitution."