Business Incentive & Financing
Financing â€“United Pulaski and the Hawkinsville/Pulaski County Development Authority offers an attractive alternative to conventional financing through the issuance of Industrial Revenue Bonds (lRBâ€™s).
This financing mechanism can offer considerable savings for projects and United Pulaski stands ready to guide qualified companies through this process. In addition to the bond financing, United Pulaski canÂ assist companies in exploring alternate financing programs such as those offered through the US SmallÂ Business Administration, USDA, One Georgia and the Georgia Small Business Lender, Incorporated.
Property Tax â€“Â The City of Hawkinsville and Pulaski County offers property tax abatement. This incentive would be based on the number of jobs created and the amount of capital investment. United Pulaski willÂ assist you in applying for this benefit.
Freeport Inventory Tax Exemptions â€“Â Raw materials and goods in process of manufacture, finished goods produced in Georgia within the last 12 months and held by the original manufacturer and finishedÂ goods destined for shipment out-of-state are all eligible for a 100% property tax exemption.
Alternative Solutions â€“Â The United Pulaski Board of Directors will assess the overall economic impact each project to determine potential areas where additional incentive measures could be appropriate. SuchÂ incentives may range from requests for state grant assistance to discounted site costs for publicly ownedÂ industrial sites to other areas of consideration as identified by prospects during the site selection process.
Incentives for qualified businesses relocating to Georgia include:
Job Tax Credit
Provides for a statewide job tax credit for any business or headquarters of any such business engaged in manufacturing, warehousing and distribution, processing, telecommunications, tourism, or research and development industries, but does not include retail businesses. For the purposes of establishing threshold criteria, the state is divided into four â€śtiersâ€ť of eligibility, beginning with those most economically disadvantaged (Tier 1) to those least disadvantaged (Tier 4). The job creation requirement and the tax credit increase with the tier designation.
Under this program, Pulaski County is designated as a Tier 3 community as a whole for job tax credit purposes; however the Hawkinsville Industrial Park is located in an Opportunity Zone which has the distinction of beingÂ designated as Tier 1. Qualified companies locating or expanding in the Hawkinsville Industrial Park must create a minimum of 5 new full time jobs in order to take advantage of the credit. Further, Pulaski County is a member of the Middle Georgia Regional Development Authority which allows for an additional $500 per job credit under BEST. This brings the total tax credit to a total of $4,000 per full time job created. These credits may be used to offset up to 50% of the companyâ€™s state tax liability and there is a ten (10) year carry forward.
Investment Tax Credit
Based on the same tiers as the Job Tax Credit program. Allows a taxpayer that has operated an existing manufacturing or telecommunications facility or manufacturing or telecommunications support facility in the state for the previous three years (36 months) to obtain a credit against income tax liability. Generally, a taxpayer may not take both the job tax credit and the investment tax credit for the same project.
Retraining Tax Credit
The retraining tax credit allows some employers to claim certain costs of retraining employees to use new equipment, new technology, or new operating systems. The credit can be worth 50% of the direct costs of retraining full-time employees up to $500 per employee per approved retraining program per year. The credit cannot be more than 50% of the taxpayerâ€™s total state income tax liability for a tax year. Credits claimed but not used may be carried forward for 10 years.
Childcare Tax Credits
Employers who provide or sponsor child care for employees are eligible for a tax credit of up to 75% of the employersâ€™ direct costs. The credit cannot be more than 50% of the taxpayerâ€™s total state income tax liability for that taxable year. Any credit claimed but not used in any taxable year may be carried forward for five years from the close of the taxable year in which the cost of the operation was incurred. In addition, employers who purchase qualified child care property will receive a credit totaling 100% of the cost of such property. The credit is claimed at the rate of 10% a year for 10 years. The qualified property credit may be carried forward for three years from the close of the taxable year in which the qualified property is placed in service, and the limitation on the use of the credit in anyone year is 50%. Recapture provisions apply ifÂ the property is transferred or committed to a use other than child care within 14 years after the property is placed in service; these two child care credits can be combined.
Research and Development Tax Credits
A tax credit is allowed for research expenses for research conducted within Georgia for any business or headquarters of any such business engaged in manufacturing, warehousing and distribution, processing, telecommunications, tourism, or research and development industries. The credit shall be 10% of the additional research expense over the â€śbase amount,â€ť provided that the business enterprise for the same taxable year claims and is allowed a research credit under Section 41 of the Internal Revenue Code of 1986. The credit may be carried forward lO years but may not exceed 50% of the businessâ€™s remaining Georgia net income tax liability after all other credits have been applied for the current year. (Note that the base amount must contain positive Georgia taxable net income for all years.)
Small Business Growth Companies Tax Credits
A tax credit is granted for any business or the headquarters of any such business engaged in manufacturing,Â warehousing and distribution, processing, telecommunications, tourism, or research and developmentÂ industries having a Georgia net taxable income in the current year which is 20% or more above that ofÂ the preceding year of its net taxable income in each of the two preceding years was also 20% or more. TheÂ credit shall be the excess over 20% of the percentage growth and shall not exceed 50% of the businessâ€™s remaining Georgia net income tax liability after all other credits have been applied for the current year. TheÂ credit is available to companies whose total tax liability does not exceed $l.5 million.
Headquarters Tax Credits
Companies establishing their headquarters or relocating their headquarters to Georgia may be entitled to aÂ tax credit if the following criteria are met: 1) headquarters is defined as the principal central administrativeÂ offices of a company; 2) new jobs created at a new headquarters must be full-time (as defined by law andÂ regulation) and must pay above the average wage for Tier 1 counties, at least 105% of the average wage forÂ Tier 2 counties, at least 110% of the average wage for Tier 3 counties, and at least 115% of the averageÂ wage for Tier 4 counties; 3) within one year, a company must invest $1 million and create 50 jobs at a newÂ headquarters facility; and 4) the company must elect not to take the job or investment tax credits. The creditÂ is equal to $2,500 annually per new full-time job or $5,000 if the average wage of the new full-time jobs isÂ 200% or more of the average wage of the county in which the new jobs are located. The credits apply forÂ five years beginning with the year in which jobs are placed in service. The credit may be taken againstÂ Georgia income tax liability with any excess credit applied against a companyâ€™s withholding taxes. CreditsÂ may be carried forward for 10 years. Other requirements include: 1) no new full-time jobs created afterÂ seven years from the close of the taxable year in which the taxpayer first becomes eligible for the creditÂ may receive credits; and 2) the number of new full-time jobs shall be determined by comparing the monthlyÂ average of full-time jobs subject to Georgia income tax withholding for the taxable year with theÂ corresponding average for the prior taxable year.
Sales Tax Exemptions
Provides for an exemption from the sales and use tax for:
- Machinery used directly in the manufacture of tangible personal property when the machinery is bought to replace or upgrade machinery in a manufacturing plant presently existing in the state and machinery components which are purchased to upgrade machinery used directly in the manufacture of tangible personal property in a manufacturing plant;
- Machinery used directly in the manufacture of tangible personal property when the machinery is incorporated as additional machinery for the first time into a manufacturing plant presently existing in this state;
- Machinery which is used directly in the manufacture of tangible personal property when the machinery is incorporated for the first time into a new manufacturing plant located in this state;
- Machinery used directly in the re-manufacture of aircraft engines, parts, and components on a factory basis;
- The sale or use of repair or replacement parts, machinery clothing or replacement machinery clothing, molds or replacement molds, dies or replacement dies, and tooling or replacement tooling for machinery used directly in the manufacture of tangible personal property in a manufacturing plant presently existing in this state. This exemption has been phased in over a 5-year period beginning on January 1,2001 at 20% of the purchase price per year with a limitation of $150,000 per part;
- Overhead materials consumed in the performance of certain contracts between the Department of Defense or NASA and a contractor engaged in manufacturing (this exemption has been phased in at a 25% increment rate each year from January 1, 1997 to January 1, 2004); and
- The sale of machinery, equipment, and materials incorporated into and used in the construction or operation of a clean room of Class 100 or less in Georgia, provided that such clean room is used directly in the manufacture of tangible personal property.
Primary Materials Handling
Purchases of primary material handling equipment and racking systems that are used directly for the storage, handling, and moving of tangible personal property in a new or expanding warehouse or distribution facility when such new facility or expansion is valued at $5 million or more and does not have greater than 15% retail sales are exempt from sales and use taxes.
Ports Activity Job Tax and Investment Tax Credits
Businesses or the headquarters of any such businesses engaged in manufacturing, warehousing and distribution, processing, telecommunications, tourism, or research and development that have increased their port traffic tonnage through Georgia ports during the previous 12-month period by more than 10% over their 1997 base year port traffic, or by more than 10% over 75 net tons, five containers or 10 20- foot equivalent units (TEUâ€™s) during the previous 12-month period are qualified for increased job tax credits or investment tax credits. NOTE: Base year port traffic must be at least 75 net tons, five containers, or 10 TEUâ€™s. If not, the percentage increase in port traffic will be calculated using 75 net tons, five containers, or 10 TEUâ€™s as the base. Companies must meet Business Expansion and Support Act (BEST) criteria for the county in which they are located.
GeorgiaÂ Quick-startÂ Job Training
One of the most exciting and valuable resources within the technical education system is the Georgia Quick Start program. Quick Start epitomizes Georgiaâ€™s economic growth and workforce development by functioning as an incentive to new business and industry as well as promoting the expansion of existing businesses. Quick Start helps industries start up and expand their operations in Georgia by creating customized training programs.
Hawkinsville and Pulaski County is determined to provide assistance for your new business in our thriving community.
Industrial Revenue Bonds (IRBs)
The issuing of Industrial Revenue Bonds to fiance construction of manufacturing facilities can be done through either the Hawkinsville Development Authority or the Hawkinsville-Pulaski Joint Development Authority.
Financially qualified borrowers may obtain 100% funding (land, building, equipment) for a projectâ€™s cost, generally at interest rates more favorable than conventional financing.
A $10 million limit exists for anyone project within the same political jurisdiction.
Pulaski County, with over $122 million in assets, is home to the following institutions:
- PlantersFIRST: (478) 783-4017
- SunMark Community Bank: (478) 783-4036
Farmers Home Administration (FmHA)
- FmHAâ€™s Business and Industry Loan Program offers up to 90% loan guarantees to businesses in areas of less than 50,000 population.
- Eligible activities include purchase and development of land, buildings, and equipment; provision of working capital; and certain refinancing of existing debt.
- Interest rates are negotiable.
Business Development Corporation of Georgia (BDC)
- BDC is privately owned and managed financial institution whose membership includes banks, savings and loan associations, and utilities.
- BDC makes loans that involve greater risks than those available from conventional sources. These loans must be secured.
- BDC focuses on firms that are expanding production on sound new ventures (preferable in manufacturing or processing).
Georgia Department of Community Affairs (DCA)
DCA administers a Small Business Revitalization Program to help businesses with under 500 employees secure long-term financing for expansions.
The program uses federal loan programs (SBA, CDBG) for second mortgages to provide long-term loans at below market rates.
DCA also administers that stateâ€™s allocation system for industrial revenue bond financing.
Regional Development Centers (RDCs)
Pulaski County is served by The Middle Georgia Regional Development Center, Macon, 478-751-6160. RDCs assist communities and businesses with a variety of financial programs.
Financing programs include Community Development Block Grants, Community Development Corporations (CDCs), Local Revolving Loan Fund (RLF) Programs, and Small Business Administration Programs.
Training and Programs
Georgiaâ€™s Quick StartÂ program is nationally recognized for providing high-quality training services at no cost to new or expanding businesses in Georgia. Since 1967, Quick Start has provided customized training for hundreds of thousands of employees and for thousands of businesses and industries throughout the state. Quick Start has been singled out by Fortune, as well as Training, and Expansion Management magazines for its effectiveness in providing the most comprehensive and advanced training in the nation.
Quick Startâ€™s programs are custom-designed and their training is delivered through a network of 34 technical colleges, 18 satellite campuses and four associated university programs throughout the state. Typical services include training consultation, instructional design, implementation, training and evaluation. Appropriate training technologies will be utilized and may include broadcast quality video, training guides, job aids, trainer guides, transparencies, interactive video, animation, multimedia, and others as appropriate.
Training can be conducted for both pre-employment and post-employment programs. For businesses locating in Houston County, expert training services are provided through Middle Georgia Technical College.
Middle Georgia Technical CollegeÂ provides credit programs leading toward certificates, diplomas and associate degrees. The Continuing Education Department offers courses designed to meet specific needs identified by the community. The Economic Development Programs Department serves the community through specialized training and Quick Start training.
Specialized training for specific companies is coordinated by the Vice President of Economic Development. Programs can be customized to meet specific training needs and offered at various times and locations for the convenience of the business. Registration procedures are simplified, and fees may be billed to companies.
Middle Georgia Technical College under the auspices of the Georgia Department of Technical and Adult Education sponsors the Quick Start Program for new and expanding industries. The Vice President of Economic Development has the administrative responsibility for operating this program. Quick Start offers customized training programs, pre-employment training, and assistance in recruiting and screening through the Georgia Department of Labor.
The resources of Middle Georgia Technical College are an invaluable asset in providing customized training to new and existing industries in the service area. Economic and industrial development authorities are encouraged to investigate the advantages of this program.
Pulaski County is an Entrepreneur Friendly County. Pulaski County was designated as an entrepreneur friendly county by the state of Georgia in 2007. We are anxious to make it easy for you to start your business in our county. Please download the Pulaski County Business Resource Guide here.
Pulaski County is a designated Certified Work Ready Community. This program and funding allows Pulaski County and area schools to assess job market needs and establish programs of training to meet those needs so recruitment of trained employees will not be an issue for expanding or new companies. Please visit the Georgia WorkReady website here.
Pulaski County is a designated Camera Ready Community. The Camera Ready Community program connects film and television production companies with skilled liaisons all over the state that train and certify Georgia counties to work effectively together. Please visit theGeorgia Camera Ready website here.