Incentives

Local Incentives

The Muskogee City-County Port Authority’s Business and Economic Development Office serves as a single point of contact for foreign and domestic industrial investment opportunities, considering a location in the Muskogee area. Our staff partners with clients, to ensure that they identify the right location and receive the maximum benefit from local, state and federal incentive programs.

The following state and federal incentives have been identified as applicable to companies seeking to locate or expand in Muskogee, OK Download the rtsp file. As more information about the specific project is provided, a more complete package can be developed, maximizing the benefit to you or your client.

Strategic Investment Program (SIP) Incentive

Jobs Program

  • Must add a minimum of 15 net new jobs within 36 months
  • Combined wage of new jobs must be 110% of current Muskogee County average wage – (currently $47,317)
  • Must offer basic health insurance
  • Company will receive $3,000-$4,500/job; based upon wages
  • Limited to $500,000

AND / OR

Investment Program

  • Must invest a minimum of $250,000 in new or expanding facilities within 36 months
  • Limited to the lesser of $500,000 or 1% of new qualified investment

Accountability

  • Companies may utilize SIP in conjunction with state and federal programs
  • Economic impact analysis will be used to calculate ROI
  • Project must provide a net positive benefit to the City of Muskogee
  • Awards will be made on a pay-as-you-perform basis
  • Must execute written Performance Agreement with the Muskogee Port Authority
  • Awards are at the discretion of the City of Muskogee Foundation and Muskogee Port Authority Board of Directors

Based upon the creation of 182 new jobs within 36 months (paying a cumulative average of $47,317/year) + $34 million investment within 36 months, the estimated award is $840,000.

State Incentives

The State of Oklahoma offers the following incentives for new and expanding businesses located within the state. The Oklahoma Department of Commerce publishes a complete list of business incentives on line at https://www.okcommerce.gov/wp-content/uploads/Oklahoma-Business-Incentives-and-Tax-Guide.pdf

Quality Jobs 10 Year Cash Incentive

This program provides quarterly cash payments up to 5% of new payrolls for up to 10 years. Companies must achieve an average wage threshold and $2.5 million in new annual payrolls within three years to qualify. Companies must offer basic health insurance to employees Tekken 4. In some cases, qualifying companies must also attain 75% out-of-state sales.

Small Employer Quality Jobs 7-Year Cash Incentive

This program provides quarterly incentive payments to a qualifying small employer (500 employees or less). Quarterly payments may be as much as 5% of new taxable payroll for up to 7 years. Qualifying payrolls must be attributable to annual salaries that are at least 110% of the average wage of the county in which the jobs are located. Companies must attain 35% out-of-state sales during the first two years of participation and 60% thereafter.

These tax credits target manufacturing industries that have a large capital investment of at least $40 million in addition to creating new jobs that pay higher than the state average wages 510 times in infinite challenge. The credits also allow a five-year tax credit on the greater of 2 percent per year of investment in qualified new depreciable property or credit of $1,000 per year per new job.

21st Century Quality Jobs Program

This program is designed to attract growth industries and sectors to Oklahoma in the 21st century through a policy of rewarding businesses with a highly skilled, knowledge-based workforce. This incentive reduces out-of-state sales requirements from 75% to 50% for industries that are required to have out-of-state sales, and requires only 10 full-time jobs at an annual wage typically 300% of the county average wage 성경 낭독. It also maximizes the eligible incentive by allowing a net benefit rate of up to 10% of payroll.

Additional State Incentives Available through the Port of Muskogee and City of Muskogee      

Economic Development Pooled Finance

Available to local governments in conjunction with a for-profit entity for economic development projects. Infrastructure assets must be owned by the local government.

CDBG/EDIF

Grants of up to $500,000 for business expansion or up to $1 million for new companies for publicly owned and maintained infrastructure based upon new jobs and leverage is available to companies meeting the following requirements: (1) 110% of average county wage for all new jobs; and (2) At least 51% of the new jobs must be made available to low and moderate income persons. These grant applications may be made through the City of Muskogee or The Port of Muskogee, who each have successfully applied for and administered these funds for construction of water and sewer, railroad and roads for numerous industrial relocations Sully Real.

Industrial Access Road Assistance

The Industrial Access Road Program assists local development efforts by funding, within limits, facilities connecting a specific industry or industrial area directly to state or local road systems. Application is through the Port of Muskogee or the City of Muskogee and administered through the Oklahoma Department of Transportation.

Oklahoma Industrial Finance Authority

The Oklahoma Industrial Finance Authority can loan up to 66% of the cost of land, buildings and fixed equipment – up to a maximum of $2 million for manufacturers. Loans may be made to Muskogee County Industrial Authority or Muskogee City-County Port Authority, who can re-loan the funds to the company.

Enterprise Zone

Eligible manufacturing projects may take advantage of the Oklahoma Local Development and Enterprise Zone Incentive Leverage Act, which provides funding for local units of government to supplant local tax revenue dedicated to support a project located within an enterprise zone. Muskogee offers several available properties classified within an enterprise zone.

Oklahoma Opportunity Fund

Eligible applicants are for-profit entities; non-profit entities; and state and local government entities. Funds will be expended for projects which provide a substantial economic benefit to the state through any of the following: (1) Creation of new jobs that offer a basic health benefit plan, as defined in the Oklahoma Quality Jobs Program Act; (2) maintenance of existing jobs that are at risk for termination; (3) Investment in new real property, plant or equipment or in the improvement or retooling of existing plant or equipment; OR (4) additional revenues in either ad valorem, income or sales and use taxes. No new appropriations were given to the fund in the 2009 legislative session. However the program still exists for the possibility of future appropriations.

Oklahoma Quick Action Closing Fund

The Oklahoma Quick Action Closing Fund can be expended by the Governor for economic development and related infrastructure development to locate a high-impact business project or facility in Oklahoma or to retain such a facility in the State. The application will be made available once funds are appropriated by the Oklahoma Legislature.

Federal Incentives

American Indian Land Tax Credit

Because of the state’s unique Native American heritage, two-thirds of Oklahoma locations (including Muskogee County) qualify for special federal tax treatment.  Businesses locating or expanding in these areas can claim accelerated federal depreciation on their buildings, resulting in tax savings of up to 40%. Additionally, businesses in qualifying areas that hire Native Americans or their spouses living in the area can claim federal tax credits of up to $4,000 per qualifying employee.

HUB Zone

All of Muskogee County, Oklahoma, falls within the classification of the   “Historically Underutilized Business Zone”.  HubZone certified small businesses receive federal contracting assistance through the U.S. Small Business Administration HUBZone Program.  Benefits for companies include competitive and sole source contracting, a 10 (ten) percent price evaluation preference in full and open contract competitions, as well as subcontract opportunities.  For more information, please refer to: ww.sba.gov/hubzone.

Foreign Trade Zones

The Port of Muskogee is the Grantee for Foreign Trade Zone No. 164.  A Foreign Trade Zone (FTZ) is an area that is physically located within the U.S. but considered to be outside of U.S. Customs territory.  Included among the many benefits derived from using FTZ(s) are:  1) Reduction or elimination of import duties, taxes and other charges, 2) Improved logistics for receiving imports or for obtaining export status, and 3) Security protection afforded/required for FTZ merchandise.

EB-5 US Investor Visa Program

The United States EB-5 visa, employment-based fifth preference category or EB-5 Immigrant Investor Visa Program, created in 1990 by the Immigration Act of 1990, provides a method for eligible Immigrant Investors to become lawful permanent residents — informally known as “green card” holders — by investing at least $1,000,000 to finance a business in the United States that will employ at least 10 American workers.” Most immigrant investors who use the EB-5 program invest in a targeted employment area — a rural area or area with high unemployment — which lowers the investment threshold to $500,000. The EB-5 program is intended to encourage both “foreign investments and economic growth”. The EB-5 Immigrant Investor Visa Program is one of five employment-based preference programs in the United States.

Disclaimer
The materials contained on this website have been prepared by the Muskogee Industrial Development Office for informational purposes only and do not constitute legal or tax advice. This information is subject to change based on judicial interpretation and legislative action. The application of the information is subject to your unique facts and circumstances. YOU SHOULD NOT ACT UPON ANY INFORMATION CONTAINED IN THESE MATERIALS WITHOUT SEEKING YOUR OWN PROFESSIONAL LEGAL AND TAX ADVICE.