Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Enterprise Zone topic
No spam. Unsubscribe anytime.
Region 9 asks Montezuma County to renew participation in state Enterprise Zone; county likely eligible under preliminary data
Summary
Region 9 staff asked Montezuma County to continue participating in the state Enterprise Zone program and to permit Region 9 to remain the zone administrator. Staff reviewed eligibility criteria, the role of census tracts if a county does not meet countywide thresholds, and outreach challenges to small businesses.
Region 9 staff asked Montezuma County to confirm that the county wants to continue participating in the state Enterprise Zone program and to have Region 9 continue serving as administrator for the five-county zone.
Region 9 staff explained how eligibility is determined under state statute, saying the test considers per-capita income, unemployment and population growth. "It's basically that per capita income is less than 75% of the state average. Unemployment rate is 25% or greater than the state average over a 12 month period. And then, the population growth rate is less than 25% of the state average," Region 9 staff said. Staff noted that if a county meets the thresholds as a whole it is included; if not, the state examines eligibility at the census-tract level.
The presenter told the commissioners the current designation (based on 2016 data) included Montezuma, Dolores and San Juan counties and that Montezuma County was unlikely to have a problem under preliminary data. The letter being circulated asks counties to state whether they wish to be included and whether they have any objection to Region 9 continuing as administrator.
Region 9 staff described the administrator role: certifying tax credits, providing information to CPAs, working with nonprofit projects to secure designation so donations can receive state tax credits, and completing annual reporting to the state. "We basically provide the information to the CPAs, we certify the credits, we work with nonprofit projects that become designated so that their donations can receive tax credits and basically work with the state on the annual reporting," Region 9 staff said.
County commissioners and staff discussed outreach to businesses and tax preparers. Staff said many taxpayers who use local CPAs are automatically informed and have credits claimed on their returns, while small businesses that do their own taxes are often missed. Staff noted that some firms and online tax-preparation products include an enterprise-zone item; staff said they also present to chambers of commerce and local business groups and that outreach would intensify this year because census-driven boundary changes will affect which addresses are eligible.
Staff also said the county was asked whether tribal lands should be excluded; a notice had been sent to the Ute Mountain Ute Scribe, and the tribe may exclude tribal lands if it chooses.
No formal action was recorded in the transcript; staff indicated the letter regarding participation would be on the agenda for action at the next meeting.
Why this matters: Enterprise Zone designation affects eligibility for state tax credits available to businesses and to certain nonprofit donations, which can influence local economic development, hiring and nonprofit fundraising.
