Palm Bay AVT

PALM BAYREFERENDUM #1 : 

PALM BAYREFERENDUM #1 Attracting Business, Creating Jobs Paid for by the City of Palm Bay Ad Valorem Tax Exemption

What’s the Question? : 

What’s the Question? Should Palm Bay continue to be authorized to grant ad valorem tax exemptions to new businesses and expansions of existing businesses for the purpose of encouraging job creation? Paid for by the City of Palm Bay On the ballot August 26, 2008 Voter renewal required every 10 years Expires November 2008 without renewal

What is Ad Valorem Tax Exemption? : 

What is Ad Valorem Tax Exemption? Qualified manufacturing businesses get temporary and partial property tax relief to locate in Palm Bay Exemption is NOT automatic MUST be approved by Council in public meeting Paid for by the City of Palm Bay

Why is this Program Important? : 

Why is this Program Important? Helps Palm Bay compete for manufacturing businesses that bring high-quality jobs Leverages other state incentive programs Increases commercial tax base Increases non-residential tax revenues Significant return on investment Paid for by the City of Palm Bay

What Businesses Qualify? : 

What Businesses Qualify? Defined by State Statute Generally, new or expanded business creating 10 or more full time manufacturing jobs After public hearing, City Council determines if exemption is granted Business must maintain jobs to keep exemption – reviewed annually Paid for by the City of Palm Bay

What Taxes are Exempt? : 

What Taxes are Exempt? City taxes on assessed value of new improvements to real property City taxes on assessed value of net increase in tangible personal property Amount of exemption based on value of jobs and local economic impact Maximum exemption is 100% for 10 years Paid for by the City of Palm Bay

Who is Exempt Now? : 

Who is Exempt Now? Paid for by the City of Palm Bay

Why is this Good for Palm Bay? : 

Why is this Good for Palm Bay? 2007 - 538 jobs with an average salary of over $62,000 2007 taxes abated: $12,930 2007 taxes abated are less than 1% of total property tax revenue 2007 Return on Investment: Every $1 of tax abatement yielded $2500 in wages Paid for by the City of Palm Bay

Why is this Good for Palm Bay? : 

Why is this Good for Palm Bay? Paid for by the City of Palm Bay Total wages for 2007 contributed over $33 Million to the local economy

Slide 10: 

AUGUST 26TH PRIMARY REFERENDUM 1 Economic Development Ad Valorem Tax Exemptions Shall the City of Palm Bay continue to be authorized to grant, pursuant to section. 3, Art. VII of the State Constitution, property tax exemptions to new businesses and expansions of existing businesses for the purpose of encouraging job creation? YES– For authority to grant exemptions. NO – Against authority to grant exemptions. Paid for by the City of Palm Bay

What Can You Do? : 

What Can You Do? Help to educate voters about the program Encourage voters to VOTE Actively support the program Contact the City of Palm Bay and the Palm Bay Area Chamber of Commerce for more information Paid for by the City of Palm Bay

Slide 12: 

Paid for by the City of Palm Bay