VACAVILLE — As the Vacaville City Council gets going in the new year, it’s set to consider a pair of resolutions aimed at boosting economic development in the city.
With the loss of redevelopment agencies, cities have been forced to get creative when it comes to economic development policies.
At its Aug. 27, 2013 meeting, the council directed staff to prepare a more comprehensive policy for fee reduction programs for projects that generate high-wage jobs.
In the meantime, the city’s economic development committee unanimously recommended adopting a program of economic development incentives.
According to staff reports, the incentive programs will vary depending on the type of business, retail, manufacturing/office or residential housing.
Proposed incentives include sales-tax rebates to retail businesses based on what the staff report calls, “clear thresholds for eligibility.”
For new manufacturing and offices, incentives proposed include reduced development impact fees, with the discount applied at the beginning of a potential project.
Incentives for new residential housing becomes more complex because of reduced property values stemming from the Great Recession.
The staff report cites a 10 percent reduction in development impact fees for up to 100 permits for housing developers. No more than 25 permits would be available to any one developer under the proposed program. Once the 100 permits with the discount are exhausted, it would be up to the city to renew the program.
Additionally, the council will consider a resolution that would suspend the planned 5.1 percent increase in development impact fees for 2014.
Reach Mike Corpos at 427-6979 or email@example.com. Follow him on Twitter at www.twitter.com/mcorposdr.