Investment Incentives

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INDUSTRIAL/TRADED SECTOR INVESTMENT INCENTIVES

Douglas County Land For Jobs Program: The County will provide a credit of $5,000 per permanent job created against the purchase price of County-owned industrial land. Contact The Partnership for details.

Enterprise Zone Program: Offers qualifying businesses a 100 percent abatement from local property taxes for three or five years (depending upon wages paid), and in the case of major new investments for up to 15 years (Long Term Rural Enterprise Zone), on plant and equipment newly invested in the zone. Qualifying businesses must increase their employment in the zone by at least 10%.

Property tax abatement on new investments is possible for 5 years if average total compensation, wages and benefits, is at or above 150% of the most recently established county average wage. Through November 2016, total compensation package for new employees must average at least $53,099 for company to be eligible for the extended abatement.

Electronic Commerce ZoneLocated in Roberts Creek Enterprise Zone:  “Electronic commerce” is defined as engaging predominantly in transactions via the internet or an internet-based computer platform. These transactions can include taking orders, closing sales, making purchases, providing customer service or undertaking other activities that serve the business’s overall purpose, even if retail in nature.

A significant feature of these designations is that qualifying businesses may receive a credit against the business’s annual state income or corporate excise tax liability.

The Oregon Investment Advantage: All areas of Douglas County qualify. New businesses to the state employing five or more new employees at or above local wage levels, can qualify for a state income tax holiday of eight years. (Credit can be applied to state personal income tax in the case of S Corps or LLCs.) (The wage minimum is 150%* of local per capita income, or, 100%* of local income, if employees at facility receive health insurance overage that is equivalent to or better than that of local city, port or county personnel.)  Examples of facilities income deductions can viewed at: http://www.oregon4biz.com/assets/docs/OIA.pdf

*Local income means the most recently available figure for per capita personal income in the county, where the facility will be located, at the time of the application for preliminary certification.

Oregon Business Expansion Program (OBEP):  An incentive available statewide to existing companies (that has at least 150 employees) expanding operations in Oregon, that provides a cash incentive for major expansions (50+ employees), equivalent to two years of growth in state income tax revenues due to the project. Available only to companies paying 150% of County average wage with approval from the state, as monies are available.

Business Energy Tax Credit: Business Oregon offers the Business Energy Tax Credit to companies that invest in renewable energy-related manufacturing — the “manufacturing BETC.”

Construction-in-Process: With timely filing for each of up to two years, unfinished improvements to a business facility may be exempt from local property taxes statewide. (In an enterprise zone, most authorized business firms can receive essentially the same but somewhat broader tax abatement using another form.)

Strategic Investment Program: The Strategic Investment Program exempts a portion of very large capital investments from property taxes.

 

RENEWABLE/ENERGY EFFICIENCY INCENTIVES

State Energy Loan Program (SELP): For renewable energy, including manufacturing facilities. Loans have been as short as 10 years and as long as 30 years, depending on the borrower’s need and financial situation, and have been as large as $20 million. The Oregon Department of Energy finances these low-interest loans through the issuance of state general obligation bonds.

Other Elements of the BETC program: The recent legislature overhauled the BETC program. To stay up-to-date on the latest changes to energy efficiency and conservation incentives, visit ODOE’s page.

 

OTHER INCENTIVES

Research Tax Credits: Corporate tax credit for qualified research and basic research conducted in Oregon, as a state-level extension of federal R&D tax credits.

Employer-provided Dependent Care Tax Credit: A 50% credit for the annual cost of assisting employees with childcare and similar needs.

Film & Video Incentives: Oregon offers a host of incentive programs for film and video productions taking place in the state. Incentive programs rebate: 20% of the production’s Oregon-based goods and services & An additional cash payment of up to 16.2% of wages paid to production personnel.