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Various incentives are available to assist businesses that want to locate, or grow, in Wayne County Indiana. Two grants are offered by the Economic Development Corporation (EDC) of Wayne County, Indiana and others by units of local government.
The EDC also helps companies make contact with the Indiana Economic Development Corporation, which also makes investments to encourage job creation and company growth. For more information about what the State of Indiana can do for your business, see the section “Indiana Incentives and Tools”. To determine eligibility, a company representative must complete an Indiana Project Profile; please contact the EDC of Wayne County Indiana for the required form.
The EDC will make a community investment in a company’s growth, based upon job creation and the company’s investment in a Wayne County location. This is true for new businesses locating to the county and for expanding existing businesses. These funds can be used for any purpose related to the company’s investment, including the purchase or lease of land or building(s), construction, purchase, installation and moving of equipment, utility connections, employee relocation, etc. Funds will not be granted for payroll, other operating costs or payment on pre-existing debt. The company must complete an Indiana Project Profile to be considered for a general purpose grant. Performance objectives will be formalized in a Development Agreement before funds are granted. This grant requires approval from the EDC Board of Directors and may require approval from the Wayne County Commissioners.
If a company qualifies for a Skills Enhancement Fund or other employee training grant from the State of Indiana, the EDC will consider paying for up to one-half of the matching cost for training covered under those grants, for Wayne County residents, to a maximum of $25,000.
The EDC actively encourages companies looking for sites to work with private land owners and developers or their agents. The EDC represents the City and the County in land transactions involving the Midwest Industrial Park in Richmond, and Indiana Gateway Industrial Park in Cambridge City. General Purpose Grants awarded to a company can be used to reduce the cost of land within the county.
Working through the City of Richmond, Wayne County and local towns within the county, property taxes may be abated on the company’s investment in new machinery or new real estate improvements when job growth is involved. Abatement generally reduces a company’s property tax burden by about 50 percent for a period of one to ten years.
Tax Increment Financing an economic development financing tool used to capture property tax revenue attributable to increases in assessed value (AV). Increases in the AV occur when private development takes place in a defined geographical area designated by local government. When a TIF area is created, the AV is frozen. As development occurs, the property taxes paid on the increase in the AV are captured and can be used to pay for infrastructure improvements, debt payments on bonds issued to facilitate the development, and a variety of other costs incurred to generate additional development in the designated area.
The Certified Technology Parks program was created as a tool to support the attraction and growth of high-technology businesses in Indiana and promote technology transfer opportunities. This designation allows for local recapture of certain state and local tax revenue which can be invested back into the park.
The Richmond Urban Enterprise Zone Association contributes to economic development efforts in Richmond’s center city. A variety of incentives are offered to both businesses and individuals located within the zone, such as tax credits for employees who live within the zone, property tax deductions based on the increased assessed value following building, infrastructure, or machinery improvements, and a variety of incentives for zone residents and those who purchase or hold interests in zone businesses. Using these tools, the zone works to fulfill its mission: “To promote the general business and economic interest of the Enterprise Zone by creating self-sustaining programs and activities designed to strengthen and expand the income potential of all Enterprise Zone businesses and residents.
The Richmond Revolving Loan Fund will provide “GAP” financing limited to one third of total project costs up to a maximum of 25% of the current loan fund assets. These funds may be used for equipment purchases, building rehab/expansion, real estate acquisition and working capital. Overall funding is based on the calculation of $1,000 per one dollar an hour for each job created or retained limited to a total of $15,000 per job. Loans operate at half of the prime rate (limited to 4% minimum) for a maximum duration of 10 years.
The Wayne County Revolving Loan Fund can provide a financial assistance tool with business expansion and improvement projects located in Wayne County. Eligible activities include real estate acquisition, construction or purchase of new plants, facilities, and equipment, modernization and rehabilitation of plants and equipment, and working capital. Locally owned existing small businesses, new companies, Wayne County businesses with non-local ownership, corporations, and not-for-profit organizations are eligible to apply.
IDRB’s provide a tax-exempt financing vehicle for qualifying manufacturing projects. Eligible projects include facilities and equipment used in the manufacturing or production of tangible personal property, including facilities that are ancillary to the manufacturing process. IDRB’s are issued by a public entity on behalf of the borrower to finance new facilities, rehabilitate existing facilities and/or to purchase new equipment. Interest paid on the Bonds is tax free to investors, thus inducing them to lend at substantially lower rates to the borrower, often as much as 2-3% below conventional financings.