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| Cass County Economic Development Corporation |
STATE PROGAMS
- Minnesota Investment Fund
- MN Dept of Human Services
- JOBZ
- Tax Increment Financing
- Tax Abatement
- New Market Tax Credit
JOBZ
Eligible businesses in a Minnesota’s
Job Opportunity Building Zones (JOBZ) designated zone operate in an
environment nearly free of state and local taxes. JOBZ tax exemptions
include:
• Corporate Taxes (income tax, alternative minimum tax, minimum
fee)
• Individual Taxes (income tax on investment income, alternative
minimum tax)
• Sales and Use Taxes
• Most Property Taxes (except for land, general obligation bonds,
and school operating levies in place prior to zone designation), and/or
• Wind Energy Production Tax
JOBZ Tax Credit is also available via a job creation credit. For more
information contact Mark Pedersen, Minnesota Department of Revenue at
651-556-4078.
For information on JOBZ designated zones throughout Cass County, please visit the MNPRO website.
Minnesota Investment Fund
The Minnesota
Investment Fund is a program coordinated through the Minnesota Department
of Employment and Economic Development (DEED) to award grants that help
add new workers and retain high-quality jobs on a statewide basis. The
focus is on industrial, manufacturing, and technology-related industries
to increase the local and state tax base and improve the economic vitality
for all Minnesota citizens.
Grants are awarded to local units of government who provide loans to assist expanding businesses. Cities, counties, townships and recognized Indian tribal governments are eligible for this fund. All projects must meet minimum criteria for private investment, number of jobs created or retained, and wages paid. There is a maximum of $500,000 per grant. Only one grant per state fiscal year can be awarded to a government unit. At least 50 percent of total project costs must be privately financed through owner equity and other lending sources (most applications selected for funding have at least 70 percent private financing). Grant terms are for a maximum of 20 years for real estate and 10 years for machinery and equipment. Interest rates are negotiated.
MN Dept of Human Services
The Minnesota Department of Human Services (DHS) supports quality care
and services for older Minnesotans so they can live as independently as
possible. The Minnesota Legislature has appropriated dollars to DHS to
assist communities in rebalancing their long-term care service delivery
system. A variety of Community Service/Community Services Development
grant
opportunities are available.
Tax Increment Financing
Tax Increment Financing is an economic development and redevelopment tool
which allows for the capture and use of property tax revenues from new
development in an community to pay for the public costs associated with
the development.
Tax Abatement
Tax abatement programs are an economic development tool that allow for
tax rebates to qualifying companies. For the typical abatement, the owner
of the property pays property taxes in the same manner and amount as if
there were no abatement. However, all or part of the property taxes collected
on the property may be paid back to the owner or diverted for another
use, as determined by the abatement agreement.
New Market Tax Credit
The New
Market Tax Credit Business Loan — Real Estate offers qualified
borrowers loans with lower interest rates and terms of up to 25 years,
creating a lower monthly payment and allowing borrowers to keep more cash
in their business. This Loan offers the opportunity to expand and renovate
existing property, buy property outright, or purchase additional property
for a business expansion.
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