Luciana Ratermann Importance of Building Permits Arcticle by Ex Amish Construction
294 Main Street Commercial, Industrial and Residential Real Estate in Conneaut
Conneaut, Ohio 44030 Meet Conneaut's City Manager - Mr. Schaumleffel, Jr.
Phone: (440) 593-7406 Meet Conneaut's Elected Members of Conneaut City Council
Fax: (440) 59-6908 Find Out More Information About City of Conneaut, Ohio
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Are you considering moving your business to Conneaut ? Building a new business ? Hiring Employees ? Making renovations to your residential home ? If so, YOU will want to read the incentives below.
City of Conneaut, Ohio Incentives
Downtown Revitalization Loan Fund
The City of Conneaut has an established loan fun for new and existing businesses in the Downtown District. In order to be eligible for this loan, the business must be established in the Downtown District, making improvements to the façade of the building and have a minimum of 50% participation by the owner. This loan is a 0% interest loan, and there is NO fee for applying.
Revolving Loan Fund
The City of Conneaut operates a Revolving Loan Fund (RLF). To be eligible for these monies, a business must be established in the City of Conneaut. These loaned monies mat only participate up to 40% of a project’s needs. Bank and Equity participation is required. Funds may be used for a fixed asset purchase, working capital or real estate acquisition. The County of Ashtabula also has a RLF for any entity doing business in Ashtabula County. Legal Fees are the only fees a business will pay for these services.
Community Reinvestment Areas
The City of Conneaut has established a city-wide Community Reinvestment Area (CRA). The CRA provides a tax reduction on the increase in taxable value of a property for the renovation of existing and the construction of new structures.
The City of Conneaut offers up to 100% real estate tax abatement for 15 years for new commercial or industrial facilities and up to 100% real estate tax abatement for 12 years for the renovation of an existing commercial or industrial facility. The City of Conneaut has an agreement with the Conneaut Area City Schools for revenue sharing on projects over $500,000.00.
The City of Conneaut offers up to 50% real estate tax abatement for five (5) years for new residential and/or improvements; up to 100% real estate tax abatement for fifteen (15) years for new commercial or industrial facilities and up to 100% real estate tax abatement for twelve (12) years for the renovation of an existing commercial or industrial facility.
Applications may be obtained in the City Manager’s Office – located in Conneaut City Hall, 294 Main Street, Conneaut Ohio, 44030. Applications are approved after the work is completed and the necessary paperwork is completed.
Ashtabula County Incentives
Community Reinvestment Areas
Conneaut is a community reinvestment area. See paragraph above.
Enterprise Zone Tax Incentives
In an effort to spur revitalization of Ashtabula County’s industrial base, Ashtabula County has designed an Enterprise Zone to encourage investment and job creation. Within the enterprise zone, which covers 80% of the County, special tax incentives are offered to businesses that invest the capital improvements and create and/or retain jobs. State law permits up to 60% reduction of new real and personal property taxes for a period of up to 15 years in an unincorporated area; up to 75% reduction for a period of up to 15 years in an incorporated area.
State of Ohio Incentives
Low Interest Loans
The Ohio Department of Development (ODOD) offers a numbers of low interest loans and grants to entice business into The State of Ohio. There is the Ohio Enterprise Bond Fund, 166 Direct Loan, the Pioneer Rural Loan, and the Rural Industrial Park Loan to name a few of the most commonly used.
The Ohio Enterprise Bond Fund is used when a project will induce a $1.5 million to $10 million investment in land and building acquisition, construction, renovation, and equipment purchases. The eligibility for this program is based upon job creation and repayment, as well as management capabilities. Up to 90% of the total project cost is eligible and the long-term fixed rates for up to 20 years will apply for commercial or industrial projects.
The 166 Direct Loan Program provides low interest loan for land and building acquisition, expansion for renovation, and equipment purchases. The amount they lend ranges from $350,000.00 to $1,000,000.00. You must have 10% equity and be in a “distressed” area as labeled by the state. To be eligible for this program, you must retain one job for every $15,000.00 received and use prevailing wage on the site during project construction.
The Pioneer Rural Loan also provides loans for land and building acquisition, new construction, renovation and expansion of existing buildings and acquisition of machinery and equipment for businesses locating or expanding in Ohio’s rural areas. The maximum loan amount is $750,000.00 and cannot exceed 75% of total fixed asset costs. Eligibility requires that the project creates or retains one job for every $35,000.00 of state reinvestment during the first three years of the project.
The Rural Industrial Park Loan provides direct loans and loan guarantees to applicants in “rural” or “distressed” communities who are dedicated to building a well-planned industrial park. This loan cannot exceed 75% of total eligible project costs and will not exceed the $1,000,000.00 mark.
Tax Credits
The Ohio Department of Development (ODOD) offers a number of Tax Credits to businesses willing to be located in Ohio. The Ohio Job Creation Tax Credit (JCTC), the Training Tax Credit and the Ohio Manufacturing Machinery and Equipment Investment Tax Credit are a few of the commonly used.
The Ohio Job Creation Tax Credit (JCTC) is a state program that credits back state income tax for businesses that expand or locate in Ohio. The Ohio Tax Credit Authority determines the businesses eligibility for JCTC and the local community must also provide support for the project. JCTC is only an option when 25 or more new full-time positions are created.
The Training Tax Credit provides tax credits for employers that will train existing employees who could lose their jobs because of lack of training. Businesses will receive up to $100,000 per year.
The Ohio Manufacturing Machinery and Equipment Investment Tax Credit is a program that provides a nonrefundable corporate franchise or state income tax credit to Oho manufacturers that purchase new or retooled machinery and equipment. The credit is divided equally over seven years and the machinery and equipment must be new to the Ohio tax roles.
Training Dollars
The Ohio Department of Development (ODOD) offers a program called the Ohio Investment in Training Program (OITP). This program provides up to 50% reimbursement for instructional costs, materials and training related activities with an emphasis on the manufacturing sector.
State of Ohio Tax Reform Implementation
Tangible Personal Property Tax
Tangible Personal Property Tax on existing machinery, equipment, furniture, fixtures and inventory was eliminated in 2009.
State Income Tax
The State of Ohio Income Tax will be reduced by 21%, at a rate of 4.2% per year, until 2010.
Corporate Franchise Tax
The Corporate Franchise Tax will be eliminated by 2010, at a rate of 20% per year.
Commercial Activities Tax
The Commercial Activities Tax will be phased in by 2010, until fully implemented at .26%. CAT rate applies to gross receipts in Ohio, over one million dollars. The first $150,000.00 of gross receipts is exempted and domestic and international exports are excluded.
