IDA Incentives for Business Growth

Tax Incentives

  • Payment in Lieu of Tax (PILOT) - Agreements exempt a qualified company from normal real property taxes, including school taxes. The PILOT allows the applicant to reduced real property taxes, generally scaling taxation up to full rates over a period of years.
  • Sales & Use Tax Exemption - A qualified company can purchase the equipment, materials & services needed to acquire, construct, reconstruct &/or equip a project without having to pay sales & use taxes (Currently 8% in Lewis County).
  • Mortgage Recording Tax Exemption - In New York State, a company obtaining a mortgage must pay a 1.00% mortgage recording tax – a significant expense. A qualifying company can receive this tax exemption benefit from the LCIDA.
  • Lower Interest Rates for Debt Incurred - (2 – 3% lower than the conventional cost of borrowing). Taxable or tax exempt bonds can be issued for qualified companies, subject to the limitations imposed by the Internal Revenue Code. This also gives them access to the public financial markets (i.e. GE Credit, Mutual Funds, & Investment Houses). Linked-Deposit loans are also available.
 

Sale-Lease Agreements

  • IDAs are authorized to undertake a transaction whereby the Agency takes title, possession or control of a property or a project, thereby entitling such property to be exempt from taxation, even though no financial assistance in the form of proceeds of bonds issued by the IDA is provided to the project occupant.
  • IDAs may also purchase equipment and sell it to a qualifying company over time, in an installment sale arrangement.

Industrial Revenue Bonds
(Tax Exempt)

  • Funding for land, building renovation and/or new equipment.
  • Funding up to $10 million based on financial strength of company.
  • Minimum Requirements: Determined by bond purchaser; must meet requirements of 1986 Internal Revenue Code.

Industrial Revenue Bonds
(Taxable)

  • Funding for land, building renovation, and/or new equipment.
  • Funding: No Limit.
  • Minimum Requirements: Determined by bond purchaser; must meet requirements of 1986 Internal Revenue Code.

Getting Started with IDA Incentives

Contact us to verify eligibility, then apply here:

Lewis County Economic Development Loans

Lewis County Small Business Revolving Loan Fund

The Lewis County IDA has loan funds available for gap financing for small businesses in targeted industries. Loans up to $25,000 are available for equipment purchases, real estate purchases or working capital. Applicants must contribute 10-20% equity and have first approached a traditional lender to qualify.

Partner Organization Loans

Empire State Development Financial Assistance

Program Description: Financial Assistance For - Acquisition of land & buildings or machinery & equipment, working capital, employee training, expanding company's export opportunities, & productivity enhancement.

Funding: Direct loans and/or grants; Interest rate subsidies.

Minimum Requirements: For Manufacturers, Service Providers, Warehouses & Distributors, Research & Dev. Companies, Tourism/Destination Businesses, Minority/Women-owned Businesses. Incentives are generally made to create or retain employment.

 

New York Business Development Corp (NYBDC)

Program Description: Loan fund for Manufacturing, Wholesale, Retail, Service Business

Funding: $50,000-$1,000,000; $2,500,000 with a second mortgage.

Minimum Requirements: Owner equity - 10%-20%: Bank - 40-50%; NYBDC 40%

Grant Programs

National Grid

National Grid’s Economic Development Grant Program maintains a strong focus on site development, urban revitalization, strategic marketing, and facilitating customer growth through infrastructure assistance, energy efficiency and productivity improvement. The Program reflects an increasing emphasis on sustainable development, the efficient use of existing energy infrastructure, and the strategic deployment of renewable generation technologies.

Northern Border Regional Commission

NBRC awards up to $1,000,000 to eligible infrastructure projects, up to $350,000 for all other types of eligible projects. A public body, such as the IDA, village or Town must apply, so if you have a project that needs supporting infrastructure, ask the appropriate entity to apply.

USDA

USDA offers loans, grants and loan guarantees to help create jobs and support economic development and essential services such as housing, health care, first responder services and equipment, and water, electric and communications infrastructure. They work to promote economic development by supporting loans to businesses through banks, credit unions and community-managed lending pools. USDA offers technical assistance and information to help agricultural producers and cooperatives get started and improve the effectiveness of their operations.

NYS Regional Economic Development CFA Grant Program

A centerpiece of Governor Andrew Cuomo's strategy to jumpstart the economy and create jobs, ten Regional Economic Development Councils (REDCs) were put in place in 2011 to redesign the state's approach to economic development, replacing a top-down approach to economic development that did not recognize the unique resources and strengths of each of New York's regions. The CFA process replaced multiple applications for economic development projects with a single application for state economic development resources from numerous state agencies, and institutionalized the role of the Regional Councils in identifying priorities for state resources.