Tax Increment Financing (TIF) Districts allows the increased property taxes that occur within an established TIF District to be used for further development within the district. The City of Rock Island has five TIF districts: downtown, north 11th Street, south 11th Street, Parkway & I-280, and Columbia Park.
TIF funds can be used for:
- Construction of public improvements to support a private development
- Property assembly costs
- Demolition of buildings
- Rehabilitation of existing buildings
- Interest costs incurred by the developer in a redevelopment project
- Costs of job training
For more information on the TIF Districts click here. For more information or to receive an application please call the City of Rock Island Economic Development Division at 309.732.2920 or email [email protected].
The City offers a variety of programs to assist both existing businesses and new businesses wishing to undertake sustainable improvement projects and to support sustainable businesses who may wish to locate to the community.
Façade Improvement Program – Rebate of 75% of the costs of Energy Star rated products, green roofs, and other energy efficient or environmentally sound materials for exterior improvements to an existing commercial property.
Commercial / Industrial Revolving Loan Fund – Low interest loan fund will lend $15,000 per green job created for businesses whose primary product or service contributes to environmental or sustainable objectives.
Permit Fee Rebate – Rebate of a portion of the Building Permit Fee associated with the construction of a LEED certified building. Rebate is:
- LEED Platinum =80%
- LEED Gold = 60%
- LEED Silver = 40%
- LEED Certified = 20%
Sustainable Improvements Loan Fund – 0%, five year loan to cover one-half of the costs of sustainable improvements to a new or existing property. Minimum loan amount is $5,000 and the maximum is $25,000.
Sustainable Design Advisory Team – Free design review of building plans and counsel by engineers, architects, and construction professionals to provide advice on sustainable products and design.
To learn more about these sustainable business incentives click here, or to receive an application call the City of Rock Island Economic Development Division at 309.732.2920, or email [email protected]
Businesses that make investments within the Rock Island Enterprise Zone are eligible for state and local tax incentives. For a map of the Enterprise Zones click here.
Investment Tax Credit
Individuals and corporations are allowed a 0.5% tax credit against Illinois income tax for investments in qualified property placed in service in the Rock Island Enterprise Zone. This credit is in addition to the state’s regular investment tax credit.
Sales Tax Deduction on Building Materials
Enterprise Zone businesses or contractors may purchase building materials sales tax exempt from eligible retailers. An approved certificate of sales tax exemption is required. Eligible materials include: lumber, sheet rock, concrete block, nails, screws, windows, doors, furnaces, ductwork plumbing, electrical systems, central air conditioners, carpet, paint, landscaping, and all other materials which are “permanently affixed to the property.”
Jobs Tax Credit
Employers in Enterprise Zones receive an income tax credit for hiring “eligible” employees within an Enterprise Zone. The credit is equal to $500 per eligible employee.
Banks are allowed a subtraction from Illinois base income for interest received from loans that are secured with property located within an Enterprise Zone. Institutions who are eligible for the subtraction may be willing to offer a slightly lower interest rate to the Enterprise Zone customer.
Enterprise Zone Loan Program
The Illinois Department of Commerce and Economic Opportunity (DCEO), in cooperation with financial institutions, offers below market rate loans for businesses located in Illinois Enterprise Zones.
For details on Enterprise Zone programs or to confirm that your business or development property is in the zone, please call the City of Rock Island Community and Economic Development Department at 309.732.2920 or email [email protected] .
The City of Rock Island Facade Program provides a financial incentive to property owners who are renovating the exterior of their businesses. The program operates on a reimbursement, or rebate, basis with funds being disbursed by the City after all authorized work is completed.
For a building with one visible facade, rebates are limited to 25% of the total cost of the facade improvements or 50% if the building is used primarily for retail sales, not to exceed $10,000 on any one project.
For buildings with two or more visible facades, the amount rebated may not exceed 25% of the total project costs up to $15,000.
Facade Program criteria are:
- Funds may be used only for exterior repairs or improvements.
- Allowable costs may include, but are not limited to: window/door repair or replacement, storefront rehabilitation, cleaning or painting of exterior surfaces, repair or restoration of architectural detailing, awnings, signs, landscaping, building permits, architectural fees and other labor and materials used to rehabilitate the facade.
- Parking lots and roofs are not eligible projects.
- All work must be performed in compliance with all applicable City codes and ordinances.
For more information on the facade improvement program please click here. For more information or to receive an application please call the City of Rock Island Economic Development Division at 309.732.2920 or email [email protected]
The City of Rock Island Commercial / Industrial Loan Fund (CIRLF) program assists new businesses and helps expand current businesses. CIRLF provides low interest loans for the purchase of land, buildings, equipment, and working capital.
The program is designed to:
- attract and retain businesses that provide permanent jobs
- maximize investment within the City
- redevelop vacant and/or blighted land
- promote sales and tax generating projects
- provide financial assistance to eligible businesses
The City of Rock Island Sales Tax Rebate Program provides qualifying retail businesses with a rebate of one-half of the total amount of local retail sales taxes paid to the City during a 12-month period. A new or existing business can qualify for this program if their taxable retail sales increases by at least $500,000 during a 12-month period. The rebate for this program will not exceed $30,000.
For more information on the Sales Tax Rebate Program please click here. For more information or to receive an application please call the City of Rock Island Economic Development Division at 309.732.2920 or email [email protected]
Bridge Investment is a Community Development Corporation (CDC) that was established to assist the emerging economic needs of distressed communities and underserved areas. As a 501(c)3 national not-for-profit organization, Bridge Investment CDC helps economically disadvantaged communities become more vibrant places to live through its financial programs and services. For more information on the Bridge Investment CDC please visit the Bridge Investment Website.