Hernando County Industrial Promotion Ordinance

 Overview and Purpose:

Hernando County desires to retain and attract businesses which will contribute to the enhancement of our local economy. Job creation and a broadening of the tax base are two principle examples of how these efforts benefit all citizens of Hernando County. Economic development is an inherently competitive area and relies upon a community having numerous competencies to achieve the desired results. Key items for consideration in the site selection process by industry include a suitable workforce, building and land options, financial incentives, infrastructure and proximity to the marketplace.

The ordinance #2003-12, enhances the incentives offered to qualified industries through four distinct programs. These programs are "tiered" which will provide for a differentiation in the area of program eligibility. The maximum benefit, or financial inducement, will be provided to companies who pay wages that are equal to, or exceed 115% of Hernando County's average wage.

The purpose of this incentive ordinance is two-fold: to provide a financial inducement to a company to locate in our community and to provide a marketable statement of how Hernando County desires to attract high-wage businesses.

A: Building Permit Fees

Scope: Provides for the deferral of permit fees for "targeted industry" through a developer's agreement. After the company, which will create a minimum of ten jobs, has met the eligibility requirements of the program for a period of seven (7) years the building permit fee obligation shall be forgiven by Hernando County.

Funding source: The Office of Budget Management will designate the incremental ad valorum and tangible taxes generated by the business for the seven year period as the payment for the building permit fee obligation.

Eligibility: The list of eligible businesses is outlined in the State of Florida qualified targeted industry list. The business must pay at or above 100% of the Hernando County average wage for the most recent period to be eligible for this program.

B: Impact Fees

Scope: Provides for the deferral of impact fees for "targeted industry" through a developer's agreement. After the company, which will create a minimum of ten jobs, has met the eligibility requirements of the program for a period of seven (7) years the impact fee obligation shall be forgiven by Hernando County.

Funding source: The Office of Budget Management will designate the incremental ad valorem and tangible taxes generated by the business for the seven year period as the payment for the impact fee obligation.

Eligibility: Those companies identified upon the Qualified Targeted Industries list which create a minimum of ten new jobs which pay an average wage of 115% of the Hernando County average as defined by the most recent labor reporting period.

C: Airport Land Leases

Scope: Provides for land lease rate incentives in the first five (5) years of a new lease. This would be accomplished by offering sliding scale increases during the initial term of leases that have a duration of thirty years or more. The sliding scale amounts and the review of these leases will be subject to the review and approval by the Aviation Authority and the FAA.

Funding source: The Hernando County Airport will be funding this program by forgoing the sliding scale incentives provided below the fair market lease rate.

Eligibility: All industries which agree to a long-term (30 years or longer) airport property lease shall be qualified. Specific leases and conditions are subject to approval by the FAA.

D: State QTI Program

Scope: The State of Florida has the Qualified Targeted Industry Program (QTI) which defines incentives that are provided to businesses who create high quality jobs in designated industries. This program provides a qualified company with a $3,000 per job incentive to encourage economic development. This is provided as a State grant and requires a local match of 20%.

Eligibility: As defined by the State of Florida QTI program.

FOR SPECIFIC QUESTIONS AND TO DETERMINE ELIGIBILITY
PLEASE CONTACT THE OFFICE OF BUSINESS DEVELOPMENT
AT (352) 540-6400.