ALBANY - Gov. Eliot Spitzer's first State of the State address on Wednesday is expected to include plans to cut taxes and ease business laws to revive the upstate economy while forcing Albany to abide by a higher ethical standard.

Spitzer released his upstate agenda Tuesday as he was finishing off the speech. It includes a property tax cut of $6 billion over three years aimed at middle class homeowners, state aid for “distressed upstate cities and towns” in exchange for restraints on local spending; and creating an “upstate economic development czar.” The high-level appointment would coordinate new and existing programs to help keep, expand and attract jobs upstate, which he compared to Appalachia during his campaign.

“We are making a commitment at the start of the new administration to do something about a long-standing problem that affects millions of New Yorkers,” Spitzer said. “The turnaround we seek won't be easy and won't occur immediately, but we will keep at it until the job is done.”

“This initiative shows that Governor Spitzer recognizes that many of New York's economic problems are created by taxes and job-creation costs that are just too high,” said Matthew Maguire of the New York State Business Council. “This proposal to address such high costs as property taxes, workers' comp, and energy is aggressive and ambitious, and it is most welcome.”

Spitzer's plans mirror his campaign promises. They include:

€ Creating an upstate chairman for the Empire State Development Corp., based in Buffalo, to attract and help employers.

€ Reforming the workers' compensation law to reduce business operators' costs, and the Wicks Law upstate that can add to public construction costs.

€ Aid to small businesses to create jobs.

€ Increasing upstate school aid.

The Democrat also calls for bringing fast, broadband Internet service to distressed upstate cities and rural towns to help attract business.

Two members of Spitzer's transition team also said Tuesday that they expect Spitzer to strengthen state ethics laws. Blair Horner of the New York Public Interest Research Group and Rachel Leon of Common Cause-New York said they aren't sure which measures Spitzer will present in his address but both called for:

€ An independent ethics commission to replace one for the executive branch and another for the Legislature.

€ Restrictions on campaign contributions by unions, businesses and lobbyists seen as part of the “pay to play” culture in Albany.

€ Banning gifts to elected officials and state employees.

€ Banning pay for speeches by public officials.

€ Required ethics training for all state officials.

“We hope these will be front and center in the State of the State,” Leon said. “Now is the time to act.”