February 2006

Fresno Chamber Reviews Economic Impact of Mayor's Proposed Municipal Restoration Zone Plan

Fresno Mayor Autry has announced the creation of a “Municipal Restoration Zone” (MRZ). The MRZ will overlay the already highly successful Federal Empowerment Zone and the State administered Enterprise Zone with additional financial and job creation opportunities for new and existing businesses within the Urban Core.

The MRZ will be designed to encourage businesses to invest in expansion, new equipment, remodeling, beautification projects and most importantly- new jobs.

Mayor Autry will ask the Mayor/Council Economic Development Task Force to formalize the details of the initiative and prepare the appropriate documents for presentation to the City Council.

Proposed incentives

- Newly established or expanding businesses within the MRZ will be eligible for a business license fee waiver for a period of three years.

- Newly established or expanding business within the MRZ will be eligible for a reduction of up to 50% of building permit fees and development entitlement fees up to a maximum of $50,000.

- Newly established business within the MRZ will be eligible for a Rebate of up to 50% of their City sales and/or property taxes for the first five years of operation up to a maximum of $10,000 per year. (Newly established business as defined in Section 5 208 of Code.)

- Up to 50% of the City’s Parks Capital Improvement Projects (CIP) will be awarded to the EOC (or other similar agency) with the proviso that at least 50% of people working on the project reside within the MRZ.

- Any new or existing business within the MRZ that adds employees, as qualified under the Empowerment Zone criteria, will be eligible for up to $3,000 in employee credit against their annual business license fee and/or sales tax with a maximum of $15,000.

- The Proposed FY 07 Budget include will include $1 million from all funding sources to implement these initiatives.
 

Contact Amy Huerta, the Chamber's Government Affairs Manager for more information at (559) 495-4818 or ahuerta@fresnochamber.com