Tax Abatement Incentives

The City of Fellsmere approved a ballot initiative November 2, 2010 titled,

“ ECONOMIC DEVELOPMENT AD VALOREM TAX EXEMPTION.”

With a resounding “YES” vote, the City is now allowed to offer ad valorem tax exemptions for new businesses and expansions to existing businesses for up to one hundred (100%) percent of the assessed value of all improvements and of all new tangible personal property that results in the creation of new jobs. The term of the Exemption may be up to ten (10) years.

In granting an Exemption, the City Council will take into consideration the following factors for each New or Expanding Business requesting a tax abatement:

  1. The number of new jobs to be created in the City;
  2. The average wage of the new jobs;
  3. The capital investment to be made by the Business in the City;
  4. The type of business and whether the Business qualifies as a targeted industry as identified from time to time by the City Council;
  5. Any other activity or factor that relates to economic development within the City as determined by the City Council.

Businesses that are granted an Exemption will be required, no later than March 1 of each year during the term of the Exemption, to provide an annual report to the City certifying that the Business continues to meet all Exemption requirements.

The Exemption shall apply only to taxes levied by the City, except that the Exemption shall not apply to taxes levied for the payment of bonds, or to taxes authorized by a vote of the electors pursuant to section 9(b) or section 12 of Article VII of the Constitution of the State of Florida. No exemption shall be granted for the land upon which a New Business or Expansion to an Existing Business is to be located.

The decision of the Council to grant or deny an Exemption shall be at the sole discretion of the Council. No precedent shall exist by reason of any decision to grant or deny an Exemption.