- The Strategic Investment Program (SIP) offers a 15-year property tax exemption on a portion of large capital investments for projects developed by “traded sector” businesses, which are, industries in which member firms sell their goods or services into markets for which national or international competition exists. A project’s cost must be at least $25 million in a rural area or $100 million otherwise. The actual exemption is on property value in excess of a taxable portion, which starts at $100 million for all urban projects, while in rural areas.
- Under the Standard Enterprise Zone Program, eligible businesses that locate or expand into an enterprise zone may receive a tax abatement from local property taxes for a three to five year period. Eligible businesses include manufacturers, processors, shippers, call centers, headquarter-type facilities, and hotels or resorts. Qualified properties include new buildings or structures, structural modifications or additions, or newly installed machinery and equipment.
- The Rural Renewable Energy Development (RRED) Zone Program offers eligible businesses a tax abatement from local property taxes for a three to five year period. Eligible investments must use unconventional forms of energy to generate electricity; or produce, distribute, or store biofuels. Qualifying projects must be related to renewable energy activities and meet the same criteria as stipulated under the Standard Enterprise Zone Program. A local government sponsor may waive the requirement to create full-time employment with a new project if the cost of the investment is $5 million or more.
- The Long-Term Rural Enterprise Zone Facilities Program offers a property tax abatement of up to 15 years. Under the program, eligible facilities are not subject to local property taxes until facility operations commence and may receive seven to 15 consecutive years of full relief from property taxes beginning the year after a facility is permitted for use and occupancy.
- The Oregon Investment Advantage is a 10-year taxable income exemption for a certified business in eligible locations. It can often be combined with property tax abatement programs. Companies setting up operations in an eligible county can be certified as many as 10 consecutive times to annually deduct or subtract taxable income related to those operations, potentially eliminating any state business income tax liability for that period.
