SULLIVAN COUNTY –– The process started by the County of Sullivan Industrial Development Agency (IDA), in collaboration with the Sullivan County Legislature, of reviewing all 13 of the …
SULLIVAN COUNTY –– The process started by the County of Sullivan Industrial Development Agency (IDA), in collaboration with the Sullivan County Legislature, of reviewing all 13 of the IDA’s Uniform Tax Exemption Policies (UTEP), which began this past fall, is nearing the finish line.
The UTEP Review Committee submitted their report detailing recommended changes to the IDA Board, prior to Monday’s meeting. At that time, the IDA board made the decision to lift the pause on new applications that they put in place in September. The IDA received no new applications during that time.
The entire report, as submitted by the UTEP Review Committee, can be found in the agenda packet for Monday’s meeting on the IDA’s website.
In the report the committee recommended the IDA Board consider doing as follows in regard to their UTEPs:
“1) Reaffirm its Agricultural Industry Program; Disaster Impacted Businesses Program; Encouraging the Return of Tax Exempt Property to Taxable Status Program; and Arts Industry Program;
“2) Amend its General Abatement Program, to (i) use the assessed value established by the assessing jurisdiction as the TVSP when computing PILOT payments for years 11-20 of the Program; and (ii) balance job creation with the need for housing by allowing benefits for distribution center projects under this Program only if those projects construct or renovate market rate workforce housing at a minimum rate of one unit per 12,500 square feet of distribution center space and a maximum rate of one unit per 5,000 square feet of distribution center space, with such market rate workforce housing located within Sullivan County and within 25 miles of the distribution center project;
“3) Amend its Tourism Industry Program, to offer an enhanced level of real estate tax abatements, specifically 100 percent abatement of new real estate taxes resulting from improvements for years 1-8, decreasing 12.5 percent per year for years 9-16, for projects that (a) create and maintain one FTE for every two rooms constructed [the number of rooms will be confirmed by the review committee in the near future], and (b) construct or renovate market rate workforce housing at a minimum rate of one unit for every four rooms and a maximum rate of one unit for every one room renovated or constructed as part of the Tourism Industry project, with such market rate workforce housing units located within Sullivan County and within 25 miles of the Tourism Industry project;
“4) Amend its Targeted Manufacturing Program as needed to include all SIC codes that apply to businesses manufacturing green technologies;
“5) Amend its Retail Sales Program to reflect the requirements of Section 862 of the GML;
“6) Remove its Green Technology Manufacturing Program as a standalone program limited to the SUNY Sullivan campus, and incentivize green technology manufacturing projects anywhere in the County under the Targeted Manufacturing Program;
“7) Remove its Destination Resort Program as a standalone program and incentivize large-scale tourism projects through an enhanced benefits schedule under the Tourism Industry Program as described above;
“8) Eliminate its Tax Credit Participation Program;
“9) Amend its Community Distributed Generation Program to eliminate the limitation on Agency involvement in areas where a taxing jurisdiction has opted out under RPTL §487; and
“10) Create the Sullivan County International Airport Program through which an applicant seeking to develop an aircraft hangar or other aviation-related facility on land owned by the County of Sullivan at the Sullivan County International Airport receives sales tax abatements on taxable purchases made in connection with the project; mortgage tax abatement on all loans financing the project; and a real estate tax abatement on the total assessed value over a 30-year period, at 75 percent of the assessed value established by the assessing jurisdiction for years 1-30.”
The committee also identified some areas of exploration that couldn’t be accommodated in the current UTEP review timeframe. These areas included more discussion on workforce housing, childcare and redevelopment of the County’s main streets.
The report does say, however, that if the County Legislature is in support of continued work by the committee, the committee is willing to continue to explore those areas of concern and if solutions or recommendations are developed, issue a supplemental report to the IDA.
The IDA Board will now discuss the UTEP Review Committee’s recommendations and decide which recommendations they wish to accept, reject, or modify, and whether they wish to make any other changes to the Uniform Tax Exemption Policy.
“I anticipate the IDA Board will finalize its list of proposed changes at the February 14 meeting,” said IDA Executive Director Jennifer Flad. “After that, IDA staff will notify the taxing jurisdictions of the proposed changes, and invite their input. After the public comment period, the IDA will adopt a resolution amending the UTEP.”
No comments on this item Please log in to comment by clicking here