Rome and Floyd County took a step up in the Georgia Department of Community Affairs’ assessment of the economic vitality of the state’s counties.
The community was raised from a level 2 county to a level 3 county for the purpose of providing tax credits for job creation.
The move means Floyd County businesses that create at least 15 new jobs of at least 35 hours per week are eligible for a tax credit of $ 1,250 per job.
And, because Floyd County is associated with Gordon County in a Joint Development Authority, businesses can get an additional $ 500 added to the employment tax credit.
The state uses a formula each year that includes data on unemployment, per capita income, and the percentage of residents with incomes below the federal poverty line.
The 71 least developed counties belong to level 1. Counties ranked 72 to 106 are designated as level 2; counties 107 to 141 are at level 3; and the most developed counties are at level 4.
Rome-Floyd County Development Authority chairwoman Missy Kendrick said the change in classification was problematic.
She said she didn’t believe local economic conditions had changed as much as, perhaps, conditions in counties that were slightly above or below Floyd County in the rankings.
âUnfortunately, when we go from a level 2 to a level 3, we are not able to offer as many incentives to a business,â said Kendrick. âA year ago we lost a less developed enumeration tract, but this year we are getting it back.
Less developed census tracts are eligible for additional tax incentives for the creation of new jobs.
Businesses located in less developed census tracts that add at least five new full-time jobs can receive an employment tax credit of $ 3,500.
Kendrick is sending a notice to all local industries considering an expansion that would add new jobs – telling them to file a notice of intent by March 31. That way, they can take advantage of the old Tier 2 ranking, which offers tax credits of $ 2,500 per job as well as $ 500 for being part of a Joint Development Authority.
If companies file a notice of intention to add jobs in good time, they will be able to claim level 2 benefits for 2021, 2022 and 2023.
Chattooga and Murray counties are the only jurisdictions in the Northwestern Georgia region to qualify for the Level 1 tax credit incentives of $ 3,500 per job. Polk, Walker, Gilmer and Whitfield counties qualify for Level 2 status.
Floyd, Bartow, Gordon, Dade, Catoosa, Fannin and Haralson counties are eligible for Level 3 tax credit incentives, while Paulding and Pickens counties are eligible for Level 4 incentives of $ 750 per job.