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Vaca council to tackle economic development programs

By
From page A4 | January 13, 2014 |

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 mcorpos@dailyrepublic.net. Follow him on Twitter at www.twitter.com/mcorposdr.

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Discussion | 3 comments

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  • The MisterJanuary 12, 2014 - 9:26 am

    Seems pretty corrupt. The City Council will give fee reductions for some employers and not for others. I guess if you are a big corporation that can give campaign contributions and grants to the City, you deserve to have lower taxes. And I'm sure all those business who can't afford to play political games will just have to pick up the slack and pay the taxes that the big corporations get out of. Don't you just love it when government, even your local happy-faced city council, gets to pick winners and, of course, losers?

    Reply | Report abusive comment
  • Tax PayerJanuary 13, 2014 - 6:44 am

    Yep, I agree with the Mister. Even at the local level they are influenced to give breaks to the big companies. They are doing this to allow the companies to build 5,000 homes in South Vacaville even though we do not possess the streets to accommodate the traffic created. They (Council and Mayor) will not be around to fully appreciate the disaster they created. Stop this madness for the sake of our great city!

    Reply | Report abusive comment
  • SolanoBusinessIncubator.ComJanuary 13, 2014 - 7:07 am

    A better Solano County economy is what we need. Glad the economy keeps getting better. Solano Business Incubator is ready to help Vacaville. Thanks.

    Reply | Report abusive comment
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