Utah Canyon Country Business
Incentives
Incentives

Enterprise Zone

An Enterprise Zone is a specifically designated area where economic incentives are offered by government to encourage expansion of existing industry or the location of new firms. San Juan County was designated an Enterprise Zone effective October 12, 1993.

Effects of the Enterprise Zone on Business

The Utah State Enterprise Zone Act sets forth two specific economic incentives to new or expanding industry in the Zone as follows:

  1. An income tax of $750 for each new full-time position filled in a non-retail capacity for not less than six months during a given tax year, and an additional $1,250 for jobs paying at least 125% of the average wage for the industry. Three special categories are included in the San Juan County Incentive Plan:
    • Single heads of household
    • Chronic unemployment
    • Dislocated workers, JTPA defined
  2. An investment tax credit of 10% of the first $100,000 in investment, 5% of the next $250,000 investment of plant, equipment, or other depreciable property.

How to Benefit

Enterprise Zone benefits are available for companies that move into, start-up, or expand within an Enterprise Zone. However, benefits are not awarded for jobs which are moved into the Enterprise Zone from elsewhere in Utah. The following classifications are defined as eligible industries:

  • Information technologies
  • Food and kindred products
  • Tobacco manufacturers
  • Apparel and other fabric products
  • Lumber and wood products other than furniture
  • Furniture and accessories
  • Paper and allied products
  • Printing and publishing
  • Chemical products
  • Petroleum refining/related industry
  • Recycling firms
  • Rubber and misc. plastic products
  • Stone, clay, glass, concrete products
  • Leather and leather products
  • Primary metals industries
  • Machiners except electrical
  • Electrical and electrical machinery
  • Equipment and sales
  • Transportation equipment
  • Measuring equipment, photographic, medical/optical goods, watches/clocks
  • Warehousing
  • Miscellaneous manufacturing

Limitations

51% of the employees must live in the Enterprise Zone at the time they are hired. Construction jobs are not eligible.

San Juan County Qualifications

For a county to be eligible for designation as an Enterprise Zone, it must meet two of three criteria:

  • Unemployment rate is 150% of the state average for the past year
  • Per capita income is 80% of the state average
  • No out-migration over the past three years

Other Incentives

  • Fast Track Conditional Use permitting
  • Assistance with utility connections
  • Specialized training cost participation
  • Inventory of available industrial sites and buildings
  • Technical assistance with various state and federal programs including FmHA, SBA, EDA, etc.
  • Business technical assistance (CEU-Small Business Development Center)
  • Capital access: Micro-enterprise and Seed Capital Revolving Loan Fund
  • State CDBG Short Term Interim Float Loan Fund