Quincy/Adams County Enterprise Zone
Term of the Quincy/Adams/Brown County Enterprise Zone
The new Quincy/Adams County/Brown County Enterprise Zone is in effect beginning January 1, 2016.
The term of the Zone is 15 years. It will end at midnight December 31, 2031 or at such time as the Zone has expired or been decertified by the State or repealed by the General Assembly. After the 13th year, the Zone is subject to review by the State Enterprise Zone Board for an additional 10-year designation beginning on the Zone’s expiration date. Upon expiration, all incentives and benefits will cease.
Incentives Available for the New Quincy/Adams/Brown County Enterprise Zone
Property Tax Abatement:
Offered for projects meeting certain eligibility requirements as defined in the Designating Ordinance 14-29. Properties located within the zone boundaries will receive 100% abatement of real estate taxes on the increased assessment amount only. The abatement will be effective after the project has been completed and will begin following the first full year. Industrial and Commercial project abatements will be available for ten years. Qualified residential projects located in the zone’s Core Area will receive a five-year abatement. The Core Area is bounded by the Mississippi River, 12th St., Harrison St., and Locust St.
NOTE: A “partial assessment” may be applied if the project is partially completed based on the applicable rates for that portion of the structure existing at the time of assessment. Contact the local assessor’s office for more information.
Targeted Supplier/Customer Recruitment:
Additional tax abatement incentives for Industrial taxpayers are available provided that the taxpayer constructs improvements in addition to those for which abatements were granted, or causes the taxpayer’s suppliers or customers to construct new improvements and make capital expenditures of at least $1 million in the Zone. Such investment must occur within five years from the commencement of the initial abatement. The Industrial taxpayer seeking extended abatement must provide documentation of recruitment with the supplier or customer to the Zone Administrator.
Building Materials Sales Tax Exemption:
Exemption from city, county and states sales tax is available on building materials which will be permanently incorporated into real estate. Applications are submitted to the Administrator and certificates are issued by the Department of Revenue directly to the owner. The exemption remains in effect for one year after a building permit is issued. Certificate holders must notify the Administrator upon project completion in order to close out certificates.
Reduced Permit Fees:
Reduction by 50% of all building related permit fees normally charged in conjunction with Commercial, Industrial or Residential projects involving rehabilitation, expansion or new construction for properties located within the newly-defined Enterprise Zone boundaries. See Map at the Department of Planning and Development or at the following link: Enterprise Zone Map.
Eligibility, Application Process, and Program Requirments
Applications must be submitted to the Zone Administrator, Quincy Department of Planning and Development, City Hall Annex, 706 Maine Street, Third Floor, Quincy, Illinois. Phone: (217) 228-4515. Enterprise Zone applications MUST be submitted at the time building permits are issued. RETROACTIVE PERMITS WILL NOT BE ISSUED as of January 1, 2016.
An Application (form available from Department of Planning and Development) must submit to the Zone Administrator outlining the project and information supporting eligibility as described in the Designating Ordinance. The Administrator and the Enterprise Zone Advisory Board will review the information to ensure compliance with the Ordinance. Qualifying Entities must enter into a “Memorandum of Understanding” (MoA) documenting project commitments such as investment, job creation, etc. Projects will be monitored annually for compliance:
- Eligible taxpayers must agree to maintain a minimum 90% employment at the project location. Failure to maintain employment may result in immediate termination of the remaining abatement and/or the pro-rata repayment of the previously abated property tax.
- The Zone Administrator will annually monitor performance to ensure that job and investment projections, and changes in equalized assessed valuation outlined in the MoA, are being met.
Who is Eligible to Apply for Incentives?
Owner(s) making investments in property located within the new zone boundary and who have registered with the Illinois Department of Revenue. (See the Zone Administrator for directions on how to register.)
What is a Qualifying Project?
Projects involving investment for rehabilitation, expansion or new construction on properties located within the new zone boundary (See ZONE MAP in P&D for greater certainty). Improvements must be the size and magnitude requiring a building permit. (Residential projects are restricted to the Core Area.)
An administration fee will be collected for the issuance of sales tax exemption certificates for construction materials. Fee shall be equal to .5 percent (1/2%) of the documented cost of building materials for each project up to a maximum of $50,000 paid by owner.
All entities receiving a sales tax exemption certificate are required to file a report on to the Illinois Department of Revenue(IDOR) by using the IDOR online reporting system available through the IDOR website, tax.illinois.gov. Penalties may be assessed by the IDOR for failure to report, including loss of incentives. Entities should keep record of all purchases made with the sales tax exemption certificate for reporting and compliance purposes. Certificate Holders must also notify the Administrator when the project is completed and submit a Close Out Report. The Administrator will review and close the certificate from further use.
Notice to Contractors/Retailers
If you are a Contractor or Retailer PLEASE SEE Information for sales tax: IL Dept. Revenue, “Title 86, Part 13 0 (“Retailers Occupation Tax”) or call the IDOR Legal Services Bureau in Springfield, (217) 782-7054.
For additional information, please contact:
Planning and Development Department
City of Quincy-City Hall Annex
706 Maine St., 3rd Floor
Quincy, IL 62301