2007-095-RES-Accepting and approving the Paris Economic Development Corporation Budget for the Fiscal year October 1, 2007; to September 30, 2008

Home Browse Search

Lamar County — Paris Economic Development Plan Funding: Economic development organizations are funded in many ways throughout the United States. Some groups receive 100% of their funding from local government, others 100% from the private sector, and still others have a mix of both. The key to most successful programs, however, is having a dedicated or long term source of funding for the programs. Because having to raise money constantly drains staff resources, programs which are not adequately funded typically fail. Recommendation: The Paris community needs to make a long term commitment to economic develop by providing the necessary funding for the general operations of the program. The Task: Within six months, propose to the PEDC Board and City government an expanded economic development program for the next three years. Business Incentives: More and more communities have come to the realization that primary employers are the wealth generators for their communities. As a result, more and more are aggressively recruiting these businesses to their areas. An integral part of the process is offering financial incentives to these companies to defray the costs related to expanding in or locating to an area. A tax abatement program is in place for Paris, but this incentive is not always the most desired by a company. A separate descriptive narrative regarding incentives has been created for the Paris Economic Development Corporation recommending it create a Business Incentives Qualifying Program which is located at the end of this Plan. The Business Incentives Qualifying Program is a mathematical matrix that assists the community in determining what incentive should be offered to a company and under what conditions. Recommendations: To overcome the geographic — economic deficiencies of the county, the area must be aggressive regarding community investments or incentives. The incentives should be offered to new and existing companies. In addition to tax abatement, the community needs to have available: • Local money to pay for training. • A cash fund to pay for cash grants. • Control of the industrial property with the ability to discount the cost of the land. • A low interest loan pool for smaller companies. The Task: Within six months, the PEDC shall establish criteria that determine the conditions under which a primary employer will receive an incentive to expand in or locate to Paris. Paris Economic Development Corporation Page 15