On a case-by-case basis, Roanoke County considers incentives for qualified projects. The value of these incentives depends upon the total investment (land, building, equipment), tax revenue generation, and new job creation numbers estimated for the project.
After considering the project scope, Roanoke County will customize an incentive proposal for a new or expanding business. The County will also assist with obtaining participation from the Commonwealth of Virginia, which can often further assist the company in areas such as workforce training, site improvement, construction of industrial roads, or railroad access.
Typically, Roanoke County incentives come in the form of direct grants to the company or public infrastructure improvements, as may be necessary for a particular project or site. Most incentive offerings are based on the performance of the company, and are solidified by performance agreements memorializing the commitment of both parties. Examples, on a case-by-case basis, can include:
Center for Research and Technology - Technology Zone
The Technology Zone is located within Roanoke County's Center for Research and Technology. Designed to promote the success of technology-based businesses, Roanoke County's Technology Zone provides regulatory flexibility, while seeking to accommodate the requirements of emerging companies.
Zone Incentives
A host of incentives are available to companies locating within the Technology Zone. Companies may be eligible to receive:
Additional incentives may include:
Incentives are based upon the level of employment and investment generated by the company and are available to companies who meet the minimum eligibility criteria.
Qualified Tech Business
Eligibility Requirements
A qualified Technology Business is a company that derives its gross receipts from research, development, manufacture or rendering of advanced technological products or services, having a minimum total capital investment of $100,000 within a technology zone and having an average wage scale for employees within the technology zone equal to one and one-half times the existing median wage rate for the Roanoke region.
Industrial Access Road Funds
Sponsored by the Virginia Department of Transportation, the Economic Development Access Program assists in constructing industrial access roads to sites for industries involved in manufacturing or processing. The funds may also be used to improve existing roads in the secondary highway system and city streets to handle additional traffic generated by either an industrial expansion or new plant location.
Industrial Rail Access Funds
Rail lines may be constructed to sites not currently served by rail through the Virginia Department of Rail and Public Transportation-sponsored Industrial Access Railroad Tracks Program. Funds may be used to construct, reconstruct, or improve part or all of the necessary tracks and related facilities on public or private property.
Low-Cost Financing
The Virginia Economic Development Loan Fund, the Virginia Loan Guaranty Program, Tax-exempt Industrial Development Bonds, the Virginia Capital Access Program, etc. are a few of the in-state options available.
Property Tax Incentives
Virginia and the local government of Roanoke County do not tax intangible personal property, manufacturers' inventory, manufacturers' furniture, fixtures or corporate aircraft. There is also no unitary tax on worldwide profits, and no state tax on real estate or tangible property.
Governor's Opportunity Fund
A one-time grant for qualifying projects can be awarded to support industrial development in communities throughout Virginia. Grants are committed toward site-specific improvements, and are based on the employment and investment levels generated by each individual project.
Economic Development Investment Fund
Using established guidelines based on capital investment and job creation, local funds are available to offset direct site and building expenditures required by a proposed project that meet certain minimum criteria. Grants can include an amount up to 36 months of qualified local tax revenue. Specifically, Roanoke County targets manufacturing, information technology, and service industries with above-average wage rates. The program is administered by the Roanoke County Economic Development Department. Sites and buildings are priced at an attractive rate, significantly below the national average cost of comparable sites and buildings.
Community Development Block Grants
The State CDBG program is for cities and towns in Virginia with populations under 50,000 and counties with populations under 200,000, Community Development Block Grants are available to support local economic development. Funds may be used for off-site activities, such as utility line extensions, and for on-site activities such as site preparation, land purchase, building construction, etc.
Virginia Investment Partnership (VIP)
VIP assists and encourages existing Virginia manufacturers to continue to invest in Virginia by adding and modernizing production capacity and processes. The company must have a significant presence in Virginia for a minimum of five (5) years. Virginia manufacturers making a capital investment of at least $25 million may apply directly to the Virginia Economic Development Partnership (VEDP) for this discretionary grant. For additional information, including guidelines and application information, please contact: Virginia Economic Development Partnership, P.O. Box 798 Richmond, Virginia 23218-0798 (804) 545-5610 www.YesVirginia.org
Workforce Training Programs
This program is administered by the Virginia Department of Business Assistance. Since 1965, the Virginia Workforce Services Training Program has offered consulting and training assistance for new and expanding industries throughout Virginia. Qualifying criteria includes the creation of 25 or more jobs and a capital investment of at least $1 million within a one-year period.
Funding for Workforce Service programs is based on a customized budget, which includes local recruiting, instructor travel, pre-employment instructor costs, instructional materials, and other training costs.
Economic Development Authority (EDA)
Throughout the United States, Economic/Industrial Development Authorities assist new and expanding businesses in securing tax-exempt industrial development revenue bonds. These bonds provide as much as 100% financing at interest rates that are much lower than those available from other sources.
For the past 15 years, federal regulations have restricted the use of these bonds to financing of manufacturing facilities. Bonds are issued when financing these facilities, covering the cost of land, buildings, machinery or equipment. A mortgage or lien on the financed property is then secured and repaid from the revenue of the project.
Seven directors appointed by the Roanoke County Board of Supervisors govern the Economic Development Authority of Roanoke County, created in 1971. It is authorized to acquire, own, lease and dispose of local properties that will potentially promote industry and develop trade in Virginia.
Tax Incentives
Property Tax Incentives
Virginia and the local government of Roanoke County do not tax intangible personal property, manufacturers' inventory, manufacturers' furniture, fixtures or corporate aircraft, There is also no unitary tax on worldwide profits, and no state tax on real estate or tangible property.