HomeMy WebLinkAbout96-29Ordinance No. 96-29
i Ordinance Amending
Ordinance 96-4
Ordinance to Amend the Town of Pulaski Code to Establish
Enterprise Zone Incentives
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Adopted: November 19, 1996
Effective: January 1, 1996
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Ordinance No. 96-29
• Ordinance Amending
Ordinance Number 96- 4
An Ordinance to Amend the Town of Pulasla Code to Establish
Enterprise Zone Incentives
Enterprise Zones
Article 1
Town of Pulaski Enterprise Zone
Section 1 Statement of Purpose
The Virginia Enterprise Zone Act of the Code of Virginia, as amended, authorizes
the establishment of an enterprise zone. It is the purpose of the Enterprise Zone
Act, and of this Article, to stimulate business and neighborhood growth within the
area so designated as the Town of Pulaski Enterprise Zone by means of state
income tax credits, employment grants and local incentives more particularly set
forth herein.
Section 2 Boundaries of the Town of Pulaski Enterprise Zone.
The boundaries of the Town of Pulaski Enterprise Zone are as set forth on the
map entitled, "Map of the Town of Pulaski Enterprise Zone," which is on file in
the office of the Director of Economic Development of the Town of Pulaski,
• Virginia, the area of which has been declared an enterprise zone by the Governor
of the Commonwealth of Virginia for a period of twenty (20) years in accordance
with the Virginia Enterprise Zone Act.
Section 3 Definitions and Qualifications.
The definitions and qualifications of the Town of Pulaski Enterprise Zone are as
set forth in the July 1995 Virginia. Enterprise Zone Program documents entitled:
• Instructions for Requesting State Tax Credits for Existing Businesses
Form EZ-SE
• Instructions for Requesting State Tax Credits for New Businesses
Form EZ-SN
• Instructions for Requesting State Tax Credits for Real Property Improvements
Form EZ-SR
• Instructions for Requesting State Job Grants
Form EZ-SJ
And additional definitions concerning local incentives are as set forth in Section 4
of this document. All forms previously mentioned in this section are on file in the
office of the Director of Economic Development of the Town of Pulaski, Virginia.
Note: Anew business is a business not previously conducted in the
Commonwealth of Virginia. by such taxpayer and that begins operation in the
Town of Pulaski Enterprise Zone after January 1, 1996. An existing business is
one that was actively engaged in the conduct of trade or business before January 1
• 1996 in the area prior to such an area being designated as the Town of Pulaski
Enterprise Zone. See forms above for clarification.
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• Section 4 Local Enterprise Zone Incentives
Incentive: 1) Business Loan Program -This program is designed to address attraction or
expansion of new or existing businesses by providing "gap" financing not covered by
crnnmercial banking. Funds can be used for acquisition or r•~ovation of buildmgs,
purchasing machinery and equipment and some working capital. The general
limitations on applicability are 1) Loan program will not comprise more than 45% of
the financing for the project with borrower providing at least 10%. 2) Funded project
should create or maintain at least one job for every $10,000 legit. 3) Project must be
eligible ugrdes Title I of the Housing and Community Development Act of 1974. A
complete listing of the loan program guidelines are as set forth in the document
entitled, "Town of Pulaski UDAG Revolving Loan Fund Guidelines," which is on
file in the office of the Director of Economic Development of the Town of Pulaski,
Virginia.
2) Rezoning Fee Waiver -Businesses locating to or within the zone will receive a
waiver from fees associated with all three components of the rezoning process. Fee
waived are as follows: 1) $75 flat fee, 2) cost of legal advertiserrrerrt estimated at $100
and 3) cost of certified mailings to adjacent property owners estimated at $20. Note:
This does not exclude the business from complying with all rezoning procedures.
3) Building Permit Fee Waiver -Waiver of building permit fees up to $300 for
business locating to or within the zone. This is irrterrded to help reduce startup costs for
new businesses. Note: Businesses must still obtain a building permit where applicable.
• 4) Utility Improvements Support -The town will cAnsider, on a case by case basis,
making business specific utility improvements within the zone. Maintenance,
improvements and additional litres may be required by new businesses or in expanding
current businesses. Case by case basis only to businesses creating a minimum of 25
permanent jobs. Town reserves the right to make all, partial or no utility improvements
in each case.
5) Rebabiiitated Real Estate Tax Abatement - A tax excm on the increase in
assessed properly value resulting from rehabilitation of commercial and industrial
buildings. This will enhance the option of reusing older buildings of which marry are
designated historic structures within our commercial historic district. Limitations on
Applicability: 1) Rehabilitation costs must be at least $10,000, 2) five year period,
and 3) must follow comme'r'cial historic district guidelines if applicable.
6) Business Occupation License Fee Rebate - A full rebate of occupational license
fees far new business locating widen the proposed zone. This is intended to help
reduce startup costs for riew businesses. Limitations on Applicability: Rebate will be
given fcx' first two years only.
7) New Building Tax Abatement -Fifty (50) percent tax credit on the assessed value
of a new building within the zone. This will allow businesses that are unable to find
satisfactory space in existing buildings to build new structures to accommodate
. specialized needs and square feet requiremerrts. Limitations on Applicability: 1)
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• Building construction costs must exceed $50,000 and 2) credit for first three years
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8) Fire Preverrtion Assistance -New or existing businesses within the zone can
request the town's Fire Deparhneart to visit their site and assess the fire prevention
program. Furthermore, specific fire prevention opportunities wsll be discussed
9) Temporary Office Space -New companies locating in the New River Valley, in
which the Town of Pulaski is located, will be given free office space at the New River
Community College's (NRCC) Cearte~ for Economic Devekopment in Edwards Hall, if
available. Limitations on Applicability: Use and availability of this space will be
de~nined by NRCC with occupancy not to exceed one year.
10) Accelerated Devebpmerrt Assistance -Businesses locating to or within the zone
will receive one-stop fast-track business development assistance including permit
processing, zoning and rezoning information and any other development services. The
town's economic development staff will be called to assist applicants who are within
the zone when they arrive.
11) Real Estate Market Assistance -The Impartment of Economic Development will
create a database of real estate properties within the propt>sed zone and develop an on-
line GIS database. All real estate inquiries to this department will receive customized
listings and information, and enterprise zone information including incentives.
• 12) Crime PYevention Assistance -New or existing businesses within the zone can
request the town's Police Department to visit their site and assess the crime prevention
program. Furthermore, specific crime prevention or public safety problems will be
discussed
13) Architecture Design Assistance -The town will reimburse businesses up to $250
of their architectural design costs when making major exterior rehabilitation's to a
historic structure. This will reduce the cost of renovating a historic commercial
structure and aid in revitalizing this area. Limitations on Applicability: 1) Architecture
Review Board approval is needed in advance, 2) rehabilitation must exceed $10,000
and 3) architectural design costs must exceed $1,000.
14) Landscape Design Assistance -The town will reimburse businesses up to $250 of
their landscape design costs with the addition of new landscaping. This will further
beautify the area increasing tourism appeal arvd local pride. Limitations on
Applicability: i) Architecture Review Board approval is needed in advance, 2)
landscaping costs must exceed $5,000 and 3)landscaping design costs must exceed
$500.
15) Labor Pool and Demographic Information -Businesses can request customized
demographic and labs pool information reports. Information will be provided in either
paper or computer disk form. This information will help companies remain
• competitive by assessing local market conditions and trends. Limitations on
Applicability: Two requests per Year.
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• 16) Housing Rehabilitation Loan Program -Residents who's housing is located
within the proposed zone can apply for low interest housing rehabilitation loans. This
will allow low to moderate residents an economical means of improving their living
conditions. Limitations on Applicability: 1) Loan amowrts will not exceed $10,000, 2)
rehabilitation plans must be approved in advance by the town, 3) funds limited to
available funding and 4) must qualify for and adhere to Community Development
Block Grant housing guidelines..
17) Housing Rehabilitation Taz Abatement - A tax exemption on the increase in
assessed property value resulting from rehabilitation of residential buiklmgs. This will
allow residents an expense relief period between paying for a rehabilitation and the
increased taxes associated with this endeavor. Limitations ~ Applicability: 1)
Rehabilitation costs must be at least $5,000, and 2) the abatement is for a five year
period.
18) Elderly and Disables Citroen Real Estate Taz Relief - Up to 80 percent of
ek~ly and disabled citizen's real estate tax is credited if criteria is met. Limitations on
Applicability: 1) At least 65 years of age or permanently or totally disabled and 2)
have a net financial worth under $45,000 (excluding home and up to one acre of land)
and a gross income under $15,000. A complete listing of program guidelines can be
obtain through the County of Pulaski Commissioner of Revenue.
• 19) Economic Devebpment Stimulus Program -The program returns half of the
increase in real estate and machinery and tools taxes, from the rounty, over aten-year
period for plant expansions. This promotes existing industries to expand within the
area. Limitations on Applicability: 1) Case by case basis only to businesses creatixig a
minimum of 100 new permanent jobs and 2) prior approval frown the county.
Section 5 Application
Local Any business fum seeking to receive local Enterprise Zone incentives shall make
application to the Enterprise Zone Administrator on forms provided by the Town
of Pulaski Department of Economic Development. The Enterprise Zone
Administrator may require the business firm to provide documentation establishing
that said business firm has met the requirements for the receipt of local Enterprise
Zone incentives. Failure to provide requested documentation shall result in a
denial of the business firm's application for local incentives. Upon approval of
any business firm application for local Enterprise Zone incentives, the Enterprise
Zone Administrator shall submit a written report to the Town Manager indicating
the name and address of the qualifying business firm, and the local Enterprise
Zone incentives for which it is qualified. The Enterprise Zone administrator may
require the business firm to provide additional documentation from time to time to
assure that said business firm retains the requisite qualifications for the receipt of
local Enterprise Zone incentives. In the event that any business firm shall fait to
maintain the requisite qualifications for the receipt of local Enterprise Zone
• incentives, the Enterprise Zone Administrator shall inform the business firm in
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• writing that it is no longer qualified for the receipt of local incentives, and shall
send a copy of said notice to the Town Manager.
State Application for all state incentives, except the job grants, are sent directly to the
Commonwealth of Virginia Department of Housing and Community Development.
The Town of Pulaski Enterprise Zone Administrator will assist firms with
Enterprise Zone forms and other information as needed. Job grant applications
will be submitted to the Town of Pulaski Enterprise Zone Administrator, verified,
and then sent to the Department of Housing and Community Development.
Section 6 Enterprise Zone Administrator
The Town of Pulaski Enterprise Zone Administrator shall, be the Town of Pulaski
Director of Economic Development.
This Ordinance is effective as of January 1, 1996 and was originally adopted on the 19th day of March,
1996 and readopted this 19th day of November, 1996.
John Johnston _ Aye
• Lane R Penn Aye
Bettye Steger Aye
W.H. Schrader, Jr. A_v __e
W. Edgar Hale gy~_
James M. Neblett A3TP
Pauline G. Mitchell A 3~
Charles W. Stewart A~7a
By,l~ ~
Andrew L. Graham, Mayor
ATTEST:
G • ..9~dR~L~'Q
Ru Harrell
Clerk of Council
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I, Ruth A. Harrell, Clerk of the Council of the Town of Pulaski_
Virginia, do hereby certify that the foregoing Ordinance No. 96 29
is a true and correct copy of the ordinance set out and adopted
this 19th day of November, 1996.