Politics & Government
EDA Discusses Tax Incentives for Businesses in City Center
Proposal offers tax breaks to new businesses that meet specific goals around City Center.
The four members of Manassas Park's Economic Development Authority discussed a tax incentive proposal designed to attract businesses to City Center on Thursday, during an emergency meeting of the body.
They were joined by Councilman Brian Leeper, who has been involved in the proposal since its conception.
EDA members all agreed the proposal should be recommended to city council. EDA Chairman Jeffrey McKay said he was especially impressed with the plan.
Find out what's happening in Manassas Parkwith free, real-time updates from Patch.
The plan offers businesses that achieve predetermined goals such as hiring 10 new employees or, completing 10,000 square feet of new construction, points to lower their tax liability until 2023.
The plan focuses on property around City Center—a place where the EDA hopes to leverage Manassas Park’s many assets such the Virginia Railway Express station and the city's lower housing costs to help attract new residents and businesses.
Find out what's happening in Manassas Parkwith free, real-time updates from Patch.
Members discussed other details of the plan, including expanding the proposal to include five parcels of land on Manassas Drive next to the proposal's original parcels around City Center. The body voted 3-1 in favor of adding the lots.
Mark Scheufler voted against adding the lots because he believes focusing the proposal on property closest to City Center would be a better strategy. Other than that, he supports the plan overall, Scheufler added.
Councilman Brian Leeper came up with the idea for the proposal after a conversation with an assessor from Michigan who told him of a possible tax incentive to attract business.
After doing some research, Leeper said he found that the option was available in Virginia. City attorney Dean Crowhurst, financial director Gary Fields and Vanessa Watson, director of Planning and Zoning put together the proposal.
“Having the incentive in place in advance will not only help attract new business, but expedite negotiations with investors who approach us with interest in Manassas Park," Leeper said.
Setting up an incentive after city officials are approached could take several months to negotiate and finalize, leaving an investor time to investigate and pursue other options outside of Manassas Park, Leeper said. The EDA will finalize its recommendation and present the plan to the governing body later.