Frequently Asked Questions – E-Zone

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Frequently Asked Questions – E-Zone 2017-05-08T09:09:31+00:00

Frequently Asked Questions

Where can I find a State of Oregon E-Zone Authorization Application form? 2017-03-09T15:11:07+00:00

Download the E-Zone Authorization Application. Additionally, read past the application to the attached instructions, which are very helpful to understand the E-Zone statutory rules.

Where can I find the Written Agreement? 2017-04-24T11:43:08+00:00
Where can I find the First Source Agreement? 2017-04-24T11:44:32+00:00
Where can I find the state statute that governs Enterprise Zones? 2017-04-25T10:45:45+00:00
How long does the typical E-Zone application process take? 2017-04-24T11:54:17+00:00

Generally, the process takes between 8-12 weeks. However, the application process may occur at the same time project construction and hiring begins, as long as program requirements are met during these stages and an application is already submitted to Prosper Portland.

My company is eligible for the E-Zone, but I’ve already started construction. Can I still receive the tax exemptions? 2016-07-11T22:43:34+00:00

Typically not. Companies wishing to access the program need to complete a simple, two page pre-certification application prior to breaking ground on new or expanded facilities. It is strongly recommended that pre-certification occur prior to obtaining building permits.

We’re purchasing an existing building within the E-Zone. We’ll be making minimal investments to the building and would like to receive the 5-year property tax abatement on the value of the real estate. Would the Enterprise Zone Program work? 2017-04-24T11:55:47+00:00

No, the five-year property tax abatement would only apply to the new investment in the E-Zone – this can include tenant improvements that add value to the structure and fixed equipment and/or racking systems. Existing buildings and land would not qualify for the five-year property tax abatement; only the new investment that will be added to the tax rolls.

May my company use the E-Zone multiple times for future expansions? 2016-07-11T22:44:15+00:00

Yes. Expansion projects for qualifying employers are eligible as long as the employer adds at least 10% to its existing workforce each time the program is used.

When the exemption period expires, does my property (building and equipment) come back on the tax roll? 2017-05-07T03:06:34+00:00

Yes. Buildings and equipment are assessed throughout the exemption period, but come back on the tax rolls at a depreciated or appreciated value. During the period that a company participates in the E-Zone, property taxes on real and some personal property are exempted, not deferred.

Does the E-Zone take away from the existing tax base? 2016-07-11T22:45:24+00:00

No, the Legislature, in coordination with cities and counties across Oregon, has structured the E-Zone to ensure that no property (land, buildings, equipment) previously on the tax rolls can be removed through an exemption process. Only new investment qualified by an application process with the local E-Zone Manager, and coordinated with local tax assessor (Multnomah County), can be exempted.

Our company will be investing approximately $500,000 in building improvements and fixed equipment and we will not meet the E-Commerce requirement. Would it be worthwhile for our company to participate in the Enterprise Zone program? 2017-04-24T11:47:54+00:00

Ultimately, it is your company’s decision as to whether or not you would like to participate in the program. However, in exchange for the tax abatement your company receives, you are required to meet program state and program requirements.

No matter how large or small your potential investment, Prosper Portland staff can run an estimate of the benefits so that you can determine if you would like to participate in the program.

Our company meets the E-Commerce requirement and we will be investing at least $200,000 in building improvements and E-Commerce equipment. Would it be worthwhile for our company to participate in the Enterprise Zone program? 2017-04-24T11:57:33+00:00

If you qualify as an E-Commerce company, it would most likely be worthwhile for you to participate in the program if you will have a tax liability and can utilize the E-Commerce Tax Credits. Prosper Portland staff can run an estimate of the benefits so that you can determine if you would like to participate in the program.