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HomeMy WebLinkAbout2001-071 Community Empowerment Zone Designee ORDINANCE NO. 2001- 71 AN ORDINANCE relating to the Community Empowerment Zone of the City of Yakima; and designating the Director of the Department of Community and Economic Development, or the Director's designee, as the Community Empowerment Zone administrator for said Community Empowerment Zone. WHEREAS, a Community Empowerment Zone was designated by the State of Washington within the City of Yakima in 1994; and WHEREAS, a Community Empowerment Zone designation enables economically disadvantaged urban areas to qualify for special tax incentives, including sales tax deferrals for qualified businesses, intended to support reinvestment in the zone; and WHEREAS, the Washington State Legislature passed enacted legislation (RCW 43.31C.070) during the 2000 legislative session that requires each local government to pass an ordinance designating a Community Empowerment Zone administrator for the area designated as a Community Empowerment Zone that is within its jurisdiction; and WHEREAS, the new law requires that said administrator must be an officer or employee of the local government; and WHEREAS, the Yakima City Council finds that it is in the interest of the City of Yakima to designate an Community Empowerment Zone administrator in order to maintain the Community Empowerment Zone designation in good standing as a means to maintain existing and future incentives from the State of Washington for economic development of said area, now, therefore, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. The City of Yakima hereby designates the Director of the Department of Community and Economic Development, or the Director's Ik /ced community empower zone dec 01 .pm designee, as the Community Empowerment Zone administrator for the area designated as a Community Empowerment Zone within the jurisdiction of the City of Yakima. This designation is in fulfillment of the requirements of RCW 43.31C.070. Section 2. This ordinance shall be in full force and effect 30 days after its passage, approval, and publication as provided by law and the City Charter. PASSED BY THE CITY COUNCIL, signed and approved this 18th day of December, 2001. ,ede, _ ATTEST: ary Place, Mayor City Clerk Publication Date: 12 -21 -2001 Effective Date: 1 -20 -2002 Ik /ced community empower zone dec O1.pm BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 4 a a For Meeting Of: December 18, 2001 ITEM TITLE: Consideration of an ordinance designating the Director of Community and Economic Development, or his /her designee, as the coordinator of the sta Community Empowerment Zone. SUBMITTED BY: l ook, Director of Community and Economic Development CONTACT: Bill Cook, 575 -6113 SUMMARY EXPLANATION: In November 1994, the city applied to the state of Washington and received designation as a Community Empowerment Zone (CEZ) for certain census tracts within the city. There are only 6 such designated cities in the state. The designation allows certain qualified businesses to claim B&O tax credits, as well as credits on training, hiring and equipment. In 1998, these tax credits were also extended to distressed counties, including Yakima. The legislature has since refined the CEZ initiative and required city's to appoint (by ordinance) a CEZ coordinator in order to maintain the designation. CEZ's will also be required to submit annual reports on progress in meeting goals for the CEZ, based on updates of the original strategic plan. There are no planning or reporting requirements for distressed rural counties. While businesses located anywhere in Yakima County can apply for these same benefits, the additional benefit of the designation to the city may come in the form of economic development legislation or discretionary funding that could be targeted to selected communities as part of a pilot project. Resolution Ordinance X Contract Funding Source: Approval for Submittal: City Manager • STAFF RECOMMENDATION: Staff recommends approval of the ordinance. BOARD RECOMMENDATION: COUNCIL ACTION: Ordinance passed. ORDINANCE NO. 2001 -71 •