Category: Local Incentives, Tax Incentives
The fundamental purpose of providing Tax Abatement in Cambridge is to encourage desirable development or redevelopment that is in the public's best interest.
It is the intent of the City to provide the minimum amount of Tax Abatement, as well as other incentives, at the shortest term required for the project to proceed. Preference is given to projects in which the total amount of Tax Abatement request includes participation from Isanti County.
Objectives of Tax Abatement
As a matter of adopted policy, the City will consider using Tax Abatement to assist private development projects to achieve one or more of the following objectives which are found to be in the public's best interest:
To retain local jobs and/or increase the number and diversity of jobs that offer stable employment and/or attractive wages and benefits as defined in the City's Business Subsidy Policy.
- To enhance and diversify the City of Cambridge’s economic base.
- To encourage additional unsubsidized private development in the area, either directly or indirectly through "spin off" development.
- To facilitate the development process and to achieve development on sites that would not be developed without Tax Abatement assistance.
- To remove blight and/or encourage redevelopment of commercial and industrial areas in the city that result in high quality redevelopment and private redevelopment and private reinvestment.
- To offset increased costs of redevelopment (i.e. contaminated site cleanup) over and above the costs normally incurred in development.
- To create opportunities for affordable housing.
- To contribute to the implementation of other public policies, as adopted by the city from time to time, such as the promotion of quality urban or architectural design, energy conservation, and decreasing capital and/ or operating costs of local government.
- To invest in public infrastructure.
- To significantly increase the City of Cambridge’s tax base.