| Description: |
1. INDUSTRIAL DEVELOPMENT GRANT FUND: Grants provided to local governments for off-site infrastructure projects associated with an expansion of an existing company or the location of a new facility. Programs in which eligible entities may qualify include: Construction of airports, airport facilities, and tourist attractions;
Construction, extension, or completion of: Sanitary sewer lines, storm sewers, and other related drainage facilities;
Waterlines; Roads and storms; Sidewalks; Rail spurs and sidings; and Information and high technology infrastructure
Leasing, purchase, construction, repair, and rehabilitation of property, both real and personal; and
Preparation of surveys, plans, and specifications for the construction of publicly owned and operated facilities, utilities, and services. Applicants will be reviewed on the number and quality of jobs being created, the community’s economic need, a local match of funding and capital investment being made by the company. Typically this grant does not exceed 50% of the total project costs.
2. THE CERTIFIED TECHNOLOGY PARKS PROGRAM: was created as a tool to support the attraction and growth of high-technology business in Indiana. Designation as a Certified Tech Park allows for the local recapture of certain state and local tax revenue which can be invested in the development of the park. Certified technology parks are allowed to capture a maximum of five million dollars ($5,000,000) over the life of the park in incremental sales and income taxes.
During the life of the certified technology park, funding may be awarded funds for the following:
Leasing, construction or the purchase of capital assets located within the Certified Technology Park and operating expenses
Grant awards for leasing a capital asset may be applied only to lease payments made during the fiscal year in which the award is made, or may be applied during each of the three fiscal years following the fiscal year in which the grant award was made.
Grant awards for operational expenses may not exceed 80% of the total operating expenditures in the year in which the grant is provided, and may not exceed 60%, 40% and 20%, respectively, of the total operating expenses in the three successive fiscal years following the fiscal year in which the grant is awarded.
3. THE INDUSTRIAL RECOVERY TAX CREDIT: provides an incentive for companies to invest in facilities requiring significant rehabilitation or remodeling expense. After a building has been designated as an industrial recovery site, companies may be eligible for a tax credit calculated as a percentage of qualified rehabilitation expense. A credit in the amount of the qualified investment multiplied by the following applicable percentage:
o If a plant was in service between twenty (20) and twenty nine (29) years ago the applicable percentage is fifteen percent (15%)
o If a plant was in service between thirty (30) and thirty nine (39) years ago the applicable percentage is twenty percent (20%)
o If a plant was in service at least forty (40) years ago, the applicable percentage is twenty-five percent (25%)
· The tax credit may be carried over to the immediately following taxable years if the credit exceeds the taxpayer’s state tax liability.
· The credit must be applied against the following in the order listed:
o Adjusted gross income tax liability
o Insurance premiums tax liability
o Financial institutions tax
4. COMMUNITY DEVELOPMENT BLOCK GRANTS (CDBG): Federally funded proram to assist states and municipalities with the public infrastructure improvements that support business expansion and job creation.
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| Eligibility Requirements: |
1. State funding must be matched by a combination of local government and company financial support. Eligible applicants include: city, town, county, special taxing district, nonprofit corp, water corporations, regional water, sewage or solid waste distrct, and conservancy district.
2. The Indiana Economic Development Corporation (IEDC) has established the following requirements for approval of current and future applications for Certified Tech Park (CTP) status and grants from the Technology Development Grant Fund:
1. Submission of a viable business plan that establishes a clear strategy for long-term growth.
2. Demonstration that the designation of the CTP creates an opportunity to attract a specific high-tech business.
3. Agreement on behalf of the applicant that funds from the CTP’s tax increment account and grants awarded from the Technology Development Grant Fund will be expended according to CTP guidelines and agreements.
4. Agreement on behalf of the applicant that IEDC may revoke the tax increment and recapture rights of the technology park in the event of noncompliance with any part of the agreements of the community, redevelopment commission, or any tenant of the park.
5. Evidence of local government financial participation in the establishment of the CTP.
6. An agreement with an Indiana institution of higher education requiring whereby the institution makes a meaningful monetary or in kind contribution to the park.
7. Agreement between IEDC and the applicant regarding:
a. The types of businesses eligible to locate in the park; and
b. The types of businesses located within the park from which revenue may be recaptured for use within the park.
3. This credit is open to occupants or investors of industrial recovery sites which contain at least twenty five thousand (25,000) interior square feet, a building or complex of buildings in service at least twenty (20) years ago, and at least seventy five percent (75%) of the interior floor space has been vacant for at least two (2) years.
4. Grants are awarded to states and municipalities. Eligible projects include manufacturing, point of destination tourism, headquarter operations and major multi-state distriution facilities. Project must benefit low to moderate income people. |
