Erlanger is expanding its business incentives to try to attract and retain commercial investment.
Erlanger’s Development Growth and Employment, or EDGE, incentive reduces the cost by up to 50% of a company’s employee occupational license tax for 10 years. Erlanger is now expanding its EDGE program to allow established companies in the area to apply for the incentive if they are expanding their space or adding at least 10 jobs.
The occupational license tax permits a business to operate within city limits, and that tax generates revenue to the city that charges it.
The break in expenses for companies aims to make the area more appealing for long-term investment, according to Emi Randall, assistant city administrator and director of economic development.
The 10-year lifetime of the incentive is the same whether or not a company is enrolling as a newcomer or an established business. The incentive only applies to companies with more than $750,000 in payroll. The recent adjustment also qualifies large companies with more than $20 million in payroll. Randall said there are a total of nine companies receiving the incentive now, and there is no limit to how many can receive the EDGE incentive.
“Recent changes to the city’s EDGE … allow us to be more competitive by offering a larger incentive for larger payroll companies,” Randall said. “In addition, we can now offer incentives to retain existing employers that may be looking to move out of the city. If a company is willing to make additional capital investments or adds jobs in Erlanger, we can offer them an incentive to stay.”
The change comes after the city recently announced an incentive to allow residential properties along Commonwealth Avenue to be transformed into small business sites. That incentive is designed to create a stronger business district on Commonwealth Avenue.
Mayor Jessica Fette said the combination of programs bolsters Erlanger’s ability to draw in small and large commercial investments.
“We are continuously looking for new ways to support our existing businesses and also attract new companies to Erlanger,” Fette said. “Each incentive program serves a unique purpose toward that goal and compliments the others.”