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
PILOTS granted are not entitlements, but are reserved for projects that “but for” the incentive, the project would not be realized. No expenditures or commitments for expenditures on the project should be made prior to project approval for the PILOT incentive.
In order to benefit from the PILOT program, the subject property must be titled to a political subdivision such as the Industrial Development Board of the City of Minden. In that the Minden Industrial Development Bond Board is a tax exempt entity, there would be no ad valorem taxes due on the subject property. This frees up the Industrial Development Bond Board to negotiate a payment-in-lieu-of taxes with the effected company.
The PILOT can enable a company to substantially reduce its tax burden during the critical early phases of operation. Companies are eligible to take advantage of the PILOT by entering into a lease-back arrangement with The Industrial Development Board of the City of Minden.
Payment-In-Lieu-of-Taxes (“PILOT”) for ad valorem property taxes are contractual payments made to the sponsoring entity such as the Industrial Development Board of the City of Minden (“IDBM”) instead of paying the full amount of assessed ad valorem property taxes. The PILOT can be distributed by the Sheriff to local taxing bodies ratably according to millage rates then in effect, and the contractual payments may be retained by the IDBM and/or the City of Minden to support economic development efforts or support infrastructure improvements, or any combination of the foregoing.
Sales & Use Tax PILOTs allow for-profit companies to receive sales and use tax abatements in return for certain economic and community development performance requirements, such as donations to 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 $3,000 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 $1,500 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.
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: