Enhanced Enterprise Zone (EEZ)

The purpose to the Enhanced Enterprise Zone is to provide tax credits to new or expanding businesses in a Missouri Enhance Enterprise Zone.

An eligible project must be located in a Missouri Enhanced Enterprise Zone. Enhanced Enterprise Zones are specified geographic areas designated by local governments and certified by the Department of Economic Development (DED). Zone designation is based on certain demographic criteria, the potential to create sustainable jobs in a targeted industry and a demonstrated impact on local industry cluster development.

Individual business eligibility will be determined by the zone based on creation of sustainable jobs in a targeted industry or demonstrated impact on local industry cluster development. Gambling establishments, retail trade, and food and drinking places are prohibited from receiving the state tax credits. Service industries can be eligible if a majority of their annual revenues will be derived from services provided out of the state. DED will consult with the local government in determining eligibility. The following minimum new job and investment requirements must be met as compared to the base year:

· New or expanded business facility – 2 new business facility employees and $100,000 new investment
· Replacement business facility – 2 new business facility employees and $1,000,000 new investment.

The Enhanced Enterprise Zone Program is a discretionary program
offering state tax credits to Enhanced Business Enterprises. Tax credits may be provided each year for up to five tax years, based on tax credits reserved for the project.

A company may request a proposal for one additional five year period for a subsequent expansion if all program and minimum new job/investment requirements are met. A facility may not earn tax credits for more than one ten year period.

New jobs and new investments must be added after the date the zone is certified by the state to be eligible for benefits. Eligible investment expenditures include the original cost of machinery, equipment, furniture, fixtures, land and building, and/or eight times the annual rental rate paid for the same. Inventory is not eligible.

If you have any questions concerning this program please contact David B. Brewer, City Manager at 573-683-3325.