HomeMy WebLinkAboutPacket 01-29-13.pdfC"ity of Cape Canaveral
Community & Economic Development Department
41) ECONOMIC DEVELOPMENT BOARD MEETING
CANAVERAL LIBRARY MEETING ROOM
i Polk Avenue, Cape Canaveral, Florida
Tuesday
January 29, 2013
3:00 PM
Ill 4,011
1021,11:110MIZ-11141
2. Election of Vice Chairperson
3. Florida In The Sunshine Overview — Asst. City Attorney Kate Latorre
4. Filing of Form 1, Statement of Financial Interests — Asst. City Attorney Kate
Latorre
5. City Code Sec. 2-171. - Uniform procedures and requirements — Asst. City
Attorney Kate Latorre
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9. Projects/tasks:
0 Enterprise Zone
7510N Atlantic Avenue –P.O. Box 326 –Cape Canaveral, FL 32920-0326
Telephone (321) 868-1222 – Fax (321) 868-1247
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/0fCape Canaveral, Florida
3iO8sSand Economic Development Board Meeting
wary 29,2013
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Pursuant to Section 286.0105. Florida Statutes, the City hereby advises the public that: If person decides
to appeal any decision made by the Business and Economic Development Board with respect tnany matter
considered at this meeding, that person will need a record of the proceedings, and for such purpose that
person may need toensure that overbatim record ofthe proceedings is made, which record includes the
testimony and evidence upon which the appeal is to be based. This notice does not constitute consent by
the City for the introduction or admission into evidence of otherwise inadmissible or irrelevant evidence, nor
does itauthorize challenges orappeals not otherwise allowed bylaw.
In accordance with the Americans with Disabilities Act: all inbanaohad parties may attend this Public Meeting.
The facility is accessible to the physically handicapped. Persons with disabilities needing assistance to
participate in the proceedings should contact the City Clerk's office (868-1220 x220 orx221)48 hours in
advance ofthe meeting.
Subject: Open Discussion Items
Department: Community and Economic Development
Summary:
Florida In The Sunshine Overview — Asst. City Attorney Kate Latorre will present
information, answer questions and instruct Board Members as to the laws governing
Government In the Sunshine and provide examples.
Filing of Form 1, Statement of Financial Interests — Asst. City Attorney Kate Latorre
will present information, answer questions and instruct Board Members as to the State
of Florida Commission on Ethics annual reporting requirements.
City Code Sec. 2-171. - Uniform procedures and requirements — Asst. City Attorney
Kate Latorre will present information, answer questions and instruct Board Members as
to the City Code Section which establishes uniform and consistent procedures and
requirements for boards and committees.
Meeting Selection Time and Date. Staff anticipates a quarterly meeting schedule,
plus meetings as necessary. For the quarterly meetings, the Board may either:
a) Select a preferred -• date and time. Staff will need to subsequently verify
venue availability, or
b) Task Staff to set dates and times, on a per -meeting basis, based on a polling of
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Role • the B.E.D. Board — a roundtable discussion of anticipated work items, goals
and various methods • achievement.
Projects/tasks — a roundtable discussion of specific, potentially viable and significant
economic development pursuits:
Community Branding — the process of image communication to a target market
is related to the notion that places compete for people, resources and business.
The competitive environment makes it important for places, no matter their size or
composition, to clearly differentiate themselves and to convey why they are
relevant and valued options.
City branding refers to all activities that are undertaken with the purpose of turning
a City from a location into a destination. Successful branding can tum a city into a
place where people want to live, work and visit. It creates a single brand for the
city and extends it to all its offerings and interactions. From a customer point of
view, this creates a unique picture of the city at every level of interaction. This
helps in removing the need to present a case by case picture of the city for each
of its offerings to customers. A city brand is its promise of value, a promise that
needs to be kept. Good branding can assist in making cities desirable, just as bad
branding can assist in making them undesirable. Some examples of well branded
cities are New York, San Francisco and Paris. Successful city brands market
their history, quality of place, lifestyle, culture/diversity and proactively form
cooperative partnerships between municipalities and the larger governmental
community in order to enhance their infrastructure.
In general, a place brand is derived from existing assets of the place such as its
value offering or public perception. Otherwise, the place brand is derived from
created assets, such as events, policies, abstract concepts of tolerance, and so
on.
The derived image of the place brand is then communicated through
communication channels. These channels vary and range from television
advertisements to Internet marketing efforts. These communications are aimed at
a specific target market.
Foreign Trade Zone - A Foreign Trade Zone (FTZ) is a geographical area, in (or
adjacent to) a United States Port of Entry where commercial merchandise, both
domestic and foreign, receives the same Customs treatment it would if it were
outside the commerce of the United States. Merchandise of every description may
be landed, handled, manufactured or reconfigured, and re-exported without the
intervention of the Customs authorities and without being subject to Customs
duties and other ad valorem taxes. Only when the goods are moved to consumers
within the country in which the zone is located, do they become subject to the
prevailing Customs duties. This tariff and tax relief is designed to increase the
global competitiveness of U.S. based companies, lower the costs of U.S. based
operations engaged in international trade and, thereby, create and retain the
employment and capital investment opportunities that result from those
operations. These special geographic areas are under the supervision of the U.S.
Customs and Border Protection under the United States Homeland Security
Council. Since 1986, U.S. Customs' oversight of FTZ operations has been
conducted on an audit -inspection basis known as Compliance Reviews. Today,
there are over 230 Foreign -Trade Zone projects and nearly 400 Subzones in the
United States.
In Brevard County, FTZ No.136 (Port Canaveral) currently covers 4,160 acres,
including 1,372 contiguous acres surrounding the Space Coast Regional Airport
and the Spaceport Commerce Park; 886.1 acres at Port Canaveral; a 23.5 acre
parcel at Tate Industrial Park in Cocoa; 1,876.2 acres in the immediate area of
Melbourne International Airport and the City of Melbourne. It includes 5 general
purpose Warehouses, one private operator and one subzone.
Enterprise Zone - An Enterprise Zone is a specific geographic area targeted for
economic revitalization. It encourages economic growth and investment in
distressed areas by offering tax advantages and incentives to businesses locating
within zone boundaries. As of March 1, 2011 Florida has 59 enterprise zones.
The Program offers businesses located in an Enterprise Zone corporate and sales
tax credits for hiring zone residents. Sales tax refunds are offered to businesses
that purchase building materials and business equipment for use in the zone.
Corporate tax credits are available to new and expanding businesses that locate
or expand their facilities in a zone. In some zones, a sales tax exemption on
electrical energy is available to new businesses locating there. In addition to the
State incentives, local governments also provide a number of incentives to attract
new businesses as well as to help existing businesses expand.
During the timeframe of October 1, 2009 through September 30, 2010 the
following activity levels were reported by Enterprise Zone Coordinators Statewide:
7,559 new businesses moved into or were created in enterprise zones;
6,784 new jobs were created by businesses located in enterprise zones; and
$67,602,483 state tax incentives were approved by the Department of Revenue.
Local governments administering the 59 enterprise zones received more than $50
million of funding from federal and state agencies during the 2009-10 time period
to supplement their revitalization efforts.
Attachments:
Map of FTZ No. 136 (Brevard County)
Map of FL Enterprise Zones
List of Enterprise Zone Incentive Programs
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Financial Impact: Costs to prepare the agenda and hold the meeting.
Reviewed by Finance Director: John McGinnis' Date:
;,,a
The Community and Economic Developmer m
,�/Dir6ctor recommends that the
Businesses and Economic Development Board take the following action(s):
Review Open Discussion items and report to next meeting with a prioritized action item
list.
Submitting Department Director: Todd Morle,r Date: 2. 2_,,_ Z 0,
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*FFICE OF TOURISM, TRADE AND ECONOMIC
THE CAPITOL, 11 *'"•,«111
PHONE:1 4« 850487-3014
ENTERPRISE ZONE INCENTIVES
The Florida Enterprise Zone Program includes financial incentives which are offered to businesses to
encourage private investment and increase employment opportunities for enterprise zone residents.
These incentives are available to businesses that are located within a designated zone. A statutory
reference is provided for each incentive.
The approved amounts of these incentives are summarized in a table on pages 11 -13 of this report.
• Enterprise Zone Jobs Tax Credit (Sales & Use Tax): Businesses located in a zone, who
collect and pay Florida sales and use tax, are allowed a monthly credit against their sales tax
due on wages paid to new employees who have been employed for at least three months and
are residents of a Florida enterprise zone or a rural county (s. 212.0%, FS).
• Enterprise Zone Jobs Tax Credit (Corporate Income Tax): Businesses located in a zone
who pay Florida Corporate Income Tax are allowed a corporate income tax credit for wages
paid to new employees who have been employed for at least three months and are residents
of a Florida enterprise zone or a rural county (s. 220.181, FS).
• Enterprise Zone Property Tax Credit (Corporate Income Tax): New or expanded
businesses located in a zone are allowed a credit on their Florida Corporate Income Tax
equal to 96 percent of ad valorem taxes paid on the new or improved property (the
assessment rate varies by county) (s. 220.182, FS).
• Sales Tax Refund for Building Materials Used in an Enterprise Zone: A refund is
available for sales taxes paid on the purchase of building materials used to rehabilitate real
property located in a zone. Effective on July 1, 2010, condominium projects are no longer
eligible for a sales tax refund. (s. 212.08(5)(g), FS).
• Sales Tax Refund for Business Machinery and Equipment Used in an Enterprise Zone:
A refund is available for sales taxes paid on the purchase of certain business property, (e.g.
tangible personal property such as office equipment, warehouse equipment, and some
industrial machinery and equipment), which is used exclusively in a zone for at least three
years. The minimum purchase price of equipment is $5,000 per unit. (s. 212.08(5) (h), FS).
• Sales Tax Exemption for Electrical Energy Used in an Enterprise Zone: A 50 percent
sales tax exemption is available to qualified businesses located in a zone on the purchase of
electrical energy. The exemption is only available if the municipality in which the business is
located has passed an ordinance to exempt qualified enterprise zone businesses from 50
percent of the municipal utility tax (s. 212.08(15), FS).
• Community Contribution Tax Credit Program: Businesses located anywhere in Florida
are allowed a 50 percent credit on Florida Corporate Income Tax or Insurance Premium Tax
as well as a sales tax refund for eligible donations made to approved community development
projects (s. 212.08 (5) (p), 220.183 & s. 624.5105, FS).
• Exemption for a Licensed Child Care Facility operating in an Enterprise Zone:
An exemption of ad valorem property tax for child care facilities operating in an enterprise
zone. The child care facility must be owned and operated by the property owner as well as
meet the requirements of s. 402,302, FS. (s. 196.095).
Florida Enterprise Zone Program: Annual Report, March 1, 2011 9