No expenditures or commitments for expenditures on the project should be made prior to project approval for the PILOT incentive.
The PILOT program can enable a company to substantially reduce its tax burden during the different phases of the company and development. No expenditure or commitment for expenditures on the project should be made prior to the project approval for the PILOT incentive.
In order to benefit from the PILOT program, the subject property must be titled to the Industrial Development Board of the City of Minden. In that the Industrial Development Board is a tax exempt entity, there would be no ad valorem taxes due on the subject property. This frees up the Industrial Development Board to negotiate a payment-in-lieu-of taxes with the effected company.
AD VALOREM TAX
Instead of paying the full amount of assessed ad valorem property taxes, Payment-In-Lieu-of-Taxes (“PILOT”) for ad valorem property taxes, become contractual payments made to the Industrial Development Board of the City of Minden (“IDBM”).
SALES AND USE TAX ABATEMENT INCENTIVE
Sales & Use Tax PILOTs allow for-profit companies to receive sales and use tax abatement in return for certain economic and community development performance requirements, such as making a donation to one of the Minden-based 501 ( C ) 3 private nonprofit and public entities engaged in education, self-sufficiency training, skill-based training, childcare, tourism or cultural and art enrichment in addition to job creation for Minden residents.
A non-refundable $1,000 application fee must accompany all Sales & Use Tax PILOT applications submitted to the IDBM.
If a PILOT Incentive Agreement is not implemented within 6 months from the IDBM’s approval, the applicant can request a 90 day extension fee, subject to a $750 extension fee. Project construction should be completed within three years (3) from the time of approval by the IDBM.
The PILOT beneficiary must pay the fees of all professionals, including special counsel to the IDBM and the City in connection with the negotiation and implementation of the PILOT, including the cost of any necessary feasibility reports, “But For” analyses and other required expenses. These costs will be estimated by the IDBM at the beginning of the PILOT approval process. The cost of these items can be recouped by including them in the project’s cost.
Eligible applications of ad valorem tax abatement and or sales and use taxes are slated for new property improvements (land and building).
Storm Water Systems, Collection and Detention, Pumps, Sanitary Sewers and Lines
Water, Electricity, Gas/Sewer Lines
The concentrated application of economic development incentives in specific geographic areas of Minden allows the community to direct scare resources in a highly focused and impactful manner. Nevertheless, the application of the PILOT incentive is not limited to Economic Development Districts.
This district is comprised mainly of downtown properties. The district’s development focus is the following;
This district is an area that is motor vehicle friendly. Product distribution primarily via commercial trucking exists within the area. The district’s development focus is the following;
This district is an area that is primarily characterized as the community’s Interstate Road Frontage Property. This district is prime real estate positioned to attract new spending dollars to the community from commercial and noncommercial motor vehicle travelers. The district’s development focus is the following;
This district is the major Southeastern by-pass that separates the downtown commercial corridor from the northwest from the primarily residential area to the Southwestern part of the community. Once a site primarily known for mechanical/vehicle repair and warehousing, this district is now being targeted for new industries with the following: