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March 30, 2011 For more information, contact: Bonnie Prigge (573) 265-2993 Schwartze Re-Elected to Chair Maries County EEZ Ray Schwartze, Maries County presiding commissioner, was selected to serve another term as chairman of the Maries County Enhanced Enterprise Zone during its first annual meeting March 17. The Maries EEZ was designated May 10, 2010, and includes the cities of Vienna, Belle, the airport at Vichy and most of the county, with the exception of most of Boone Township—more specifically Census Tract 9802.98-1 in Boone Township—in northwest Maries County. By statute, the EEZ board must meet annually to select a chairman, review membership and incentives. The annual meetings of the EEZs in Gasconade, Maries and Osage counties were conducted as a part of the Gasconade Valley Enterprise Zone’s regular March meeting in Belle. Luke Holtschneider of the Missouri Department of Economic Development was the guest speaker for the evening and told the group that the EEZ program is the most popular of all state incentive programs. Part of the program’s attractiveness is that EEZ tax credits are refundable, he said. “They are very liquid if a company doesn’t have the liability for them,” Holtschneider said. To get all the benefits available, a company must fill out the appropriate forms and get DED’s approval before they start the project, Holtschneider emphasized at the meeting. If an expanding company starts the project or hires people for the pending expansion without DED approval on tax credit request, they will lose the state tax credits, he explained. Holtschneider stressed the program is entirely performance-based. “They don’t get anything until they meet the requirements,” he added. In addition to Schwartze, the Maries County EEZ board includes Richard Huse, R. K. Slinkman and Dr. Zach Templeton of Belle, and Angie Thompson and Terry Helton of Vienna. Lloyd Honse attended the meeting to learn more at the EEZ, and, on March 21, the Maries County Commission appointed Honse to the EEZ board to fill the unexpired term of Lesley Clark, who passed away recently. The EEZ designation offers two incentives—property tax abatement and discretionary tax credits—to qualifying companies. To qualify, a new or existing company must be located in the zone, must invest at minimum of $100,000, create two new jobs and pay at least 50 percent of its employees’ health insurance costs. Qualifying businesses in the Maries County EEZ are the same as those allowed by the EEZ legislation. With the exception of retail, gambling, education, religious and eat and drinking establishments, most other businesses are eligible. The determination is based on the NAISC code—the industry code— that the business files its taxes under. During the meeting, the Maries County EEZ board reviewed and made no changes to the local incentive, which is a minimum of a 50 percent abatement on real property tax improvements for 10 years up to an 80 percent abatement for 20 years, based on new jobs created, average payroll and private investment. Any property currently on the tax rolls will continue to be taxed, and the incentive applies only to real property improvements—new construction or major renovations that would increase the value of the property. Qualifying businesses also have the opportunity for state tax credits that are issued at the discretion of the Missouri Department of Economic Development (DED) and are available on a first come, first serve basis. Tax credits, when offered, are based on 2 percent of the new payroll and ½ percent of the new investment for five years. Maries County companies considering an expansion or persons needing more information on the Maries County EEZ can contact EEZ Chairman Ray Schwartze at 573-422-3388 or Bonnie Prigge at MRPC at 573-265-2993 or by email at bprigge@meramecregion.org. |