Grow & Support
Economic Development Tax Increment Financing (EDTIF) Purpose U.C.A. 63N-2-1
The EDTIF program was created in statute to foster and develop key industry sectors in the state, to provide additional employment opportunity for Utah’s citizens and to improve the state’s economy. The goals set forth in statute are to provide tax credits to attract new commercial business and new jobs to companies who are looking to expand existing business within the state or to relocate their business from another state; to provide a relationship between state and local economic development efforts; and to create a competitive advantage for the state.
Key Initiative Calendar year 2015 is the most recent with fully vetted results to report. In that year, there were 84 active EDTIF agreements. Contracts span from the program’s launch in 2004 up to the assessment year of 2015. Of those 84 active projects, 58 companies applied and received an assessment for tax credits for that calendar year.
Outcomes Jobs: Over the entire history of the program, GOED’s Compliance Team has verified the creation of 19,370 new full-time equivalent (FTE) jobs. The number of new jobs is a calculation of each company that had requested and completed an EDTIF assessment for the specific audit year. The calculation includes a count of employees for the audit period and then subtracts the baseline (the employee count from the time of board approval) for the first year. In subsequent years, the calculation includes the count of employees relative to the last reporting period, thus resulting in an increase or decrease from the time the company last reported. For companies that did not have an assessment for an audit year, it is assumed for reporting purposes, there was
Most of the 84 projects can be categorized into GOED’s six strategic industry clusters and general manufacturing. Information technology companies represented 33 percent and is the largest segment of the companies that received an assessment.
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Governor’s Office of Economic Development • 2017 Annual Report • www.business.utah.gov
