The City of Estevan is optimistic that a new business incentive program will help attract new businesses to the community, and provide measures to retain existing businesses.
Estevan city council gave the green light to the plan at its meeting on Monday night. Mayor Roy Ludwig said there are three key components to the policy.
The first is that any new or existing business establishing a location within city limits can receive a property tax exemption for three years. Those operating within the city’s five priority investment areas – agri-value or processing, greenhouse technology, geothermal and other renewable energy, manufacturing and warehousing – can receive a five-year property tax exemption.
“This exemption applies to permanent new buildings or facility development, and is not applicable to building renovations, expansions or taxes levied on lands,” said Ludwig.
A commercial property within city limits that has undergone storefront façade and other improvements, including parking lot paving, can receive a property tax exemption equivalent to 25 per cent of the costs of the improvement, or $15,000, whichever is less.
The exemption would be applied the calendar year after the improvement has been completed, and will be spread over three years.
Finally, the city will partner with community foundations, business enterprise centres and Community Futures Development Corporations and other entities to identify and support business retention and transition opportunities. The city will support a business incubator to provide business support and services.
Economic development co-ordinator Dwight Bramble said he believes these incentives are unprecedented for Estevan.
“I believe it will go a long ways in really instilling confidence, not only in the existing businesses, but in the prospective businesses who want to come to Estevan,” said Bramble.
This week’s edition of the Mercury will have more on this story.
