Duncan Aviation may earn up to 30 percent of the new state taxes they will pay over the 15-year life of the agreement in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) tax credit rebate. As part of the contract with Duncan Aviation, the GOED Board of Directors has approved a post-performance tax credit rebate not to exceed $5,557,121. The board has also approved an Industrial Assistance Fund (IAF) grant of no more than $400,000 to help offset the cost of procuring pollution control device technology, as authorized under S.B. 186. Each year as Duncan Aviation meets the criteria in its contract with the state, it will earn a portion of the total tax credit rebate.
Duncan Aviation was previously approved for a similar incentive agreement in 2008, prior to the recession. This is a renewal of the project. Duncan Aviation’s expansion plan is pending official vote and approval from Provo City Council July 19.
Duncan Aviation Expansion Moves One Step Closer, Utah Governor's Office
With Duncan Aviation's announcement last week that it will add 700 jobs and make a $50 million capital investment in its current Provo operations, EDCUtah capped one of the longest running projects in its history. "The project, which began more than a decade ago, is a case study in collaboration between government leaders on many levels and economic developers, overcoming obstacles and building relationships for the long term," says EDCUtah President and CEO Jeff Edwards. See full story.