Local Tax Abatement Program Goes to Ballot Referendum

BRADENTON – In the upcoming November election, Manatee County residents will be asked to vote to approve an extension of the county’s economic development ad valorem tax exemptions program (EDAVTE). The item was approved by the BOCC unanimously as a consent agenda item to appear as a referendum on the November ballot.

The economic development ad valorem tax exemptions program is for new businesses and the expansion of existing businesses within Manatee County. Such a program can incentivize growing businesses to expand in the county, and out-of-state businesses to move to or establish in the county.

In 2013, Manatee County voters approved a referendum authorizing the Board of County Commissioners to grant EDAVTE exemptions for qualifying businesses, but the board resolution for the program expires after a term of 10 years. The referendum appearing on this November's ballot is requesting the extension of the program for another 10 years.

Qualifying business applicants must submit an application to be considered for the tax incentives, and the minimum eligibility includes:

• A business establishing 10 or more new jobs to employ 10 or more full-time employees in this state, paying an average wage for such new jobs that is above the average wage in the area, which principally engages in any one or more of the following operations:
• Manufactures, processes, compounds, fabricates, or produces for sale items of tangible personal property at a fixed location and which comprises an industrial or manufacturing plant: or
• Is a target industry as defined by FS 288.106(2)(q)
• An expanding business establishing twenty-five (25) full-time jobs and sells more than 50% of products outside of Manatee County.
• An office space in the County leased or owned and used by a corporation newly domiciled in Manatee County; provided such office space houses fifty (50) or more full-time employees of such corporation; provided that such business or office first begins operation on a site clearly separate from any other commercial or industrial operations owned by the same business.
• The business must have legal title to real or personal property in order to apply. The EDAVTE approval process includes application, review by the Property Appraiser’s Office, and public hearing with the BCC. Please contact the Economic Development Official for more information and eligibility requirements.

Registered voters in Manatee County who have already received mail-in ballots have expressed some confusion about the referendum, that the ballot was the first they were aware the measure was being put before voters.

While the item did appear on a March 22 BOCC meeting agenda, County Administrator Scott Hopes placed it under the administrator's consent agenda. Because the item was not pulled from consent, there was no presentation provided to commissioners or the public. Likewise, there was no public discussion on the matter.

At least one commissioner was unclear as to when the board had even voted to approve the referendum's language. In an October 5 email, Commissioner Misty Servia wrote to Administrator Hopes asking "I don’t remember the BOCC authorizing this to go forward. Did I miss something?"

Language included on the agenda item's background appeared to show that in 2012, the BOCC delayed placing the item on the 2012 ballot until "sufficient public outreach" was completed.

Earlier in March, TBT reported on County Administrator Scott Hope's reorganization efforts aimed at rearranging the organization’s departments, divisions, and some employee appointments. In a meeting presentation before the BOCC, Hopes told commissioners that he had disbanded the division of Redevelopment and Economic Opportunity (REO).

Under previous administrations, the division of REO included staff who would be in charge of reviewing EDAVTE applications and making recommendations to commissioners. In August, TBT was informed by the county administration that all remaining employees of Economic Development report directly to the county administrator.

On May 6 of this year, Ruth Buchanan, the former manager of Redevelopment and Economic Opportunity, submitted her resignation after having served in the role for two years. Buchanan’s role and responsibilities were reportedly changed when the county administrator officially disbanded the Division of REO.

"The past few months have shown me that the county’s operational direction has changed, and so has my job description together with my benefits package," Buchanan included in her resignation letter. "For this reason, I have decided that it is in my best interest, and my family’s best interest, to use my talent, skills, and expertise elsewhere."

Buchanan wrote that her last day would be effective the date of the letter. Click here to read Ruth Buchanan's resignation letter in full.

The agenda attachments included on the March 22 administrator consent item to approve a referendum on the ballot for the extension of the county's EDAVTE program included a duplicate of the previously utilized Economic Development Policy Guidelines. The guidelines and application procedures were created and approved by the board of county commissioners in 2013.

To read the background memo for the consent item approved to place the EDAVTE extension as a referendum on this November’s ballot, click here. To view the March 22 BOCC regular meeting agenda, click here.