El Paso Infill

If you look at the city council agenda for November 5, 2013 you can see the benefit of having a capable mayor.

The agenda is short.  City council is not up to much mischief.

Four of the items have to do with an out of town company seeking tax incentives to build two dialysis clinics in El Paso.  They seek property tax rebates as well as sales tax rebates (for the cost of construction) for the facilities.

Everything looks on the up and up here in that it appears that the company and city are following existing ordinances.  The company is simply seeking to take advantage of something that the city offers  — the Infill Development Incentive Policy.

Competition

I don’t know how well served El Paso is with dialysis clinics.  I don’t even know if the infill policy considers the nature of the business.

What I can see is that the infill zones defined by the city cover most of the city.  It looks like remodeling a building or building a new building within the defined areas qualifies for tax relief.

infill

In this case the owners will get 100% of their city property tax back in years one and two, 75% in year three, 50% in year four, and 25% in year five.  If passed they will also get the city portion of the sales tax they pay for remodeling back.

Maybe this makes sense.  The buildings are on Murchison and Trans Mountain, hardly areas that I would consider to be blighted.  Then again it does not appear that the infill policy takes that into account.

Does this make sense?  On the one hand we are providing economic incentives to new businesses to compete with existing tax paying businesses.  On the other we seem to be being new business friendly.

Alternative proposal

One of you may be able to explain this to me so that it makes sense.  My proposal is that we work to lower property taxes so that El Paso is more affordable for all citizens to live in and operate a business in.

We deserve better

Brutus

7 Responses to El Paso Infill

  1. Haiduc's avatar Haiduc says:

    The only time Taxes ever go down is when there is Fiscal Conservative Government….This is not where we live.

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  2. Unknown's avatar A Large Taxpayer says:

    The Cad is doing everything in the power to raise values. If you make fools out of them when you fight on one thing they come after you on another. If I were a new company coming into town I would surely look at Santa Theresa first. If I ever sell my buildings I will either close my Business or move to New Mexico.

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  3. Unknown's avatar Wondering says:

    How are tax rebates for select entities any different than income redistribution? Some pay more, so others can pay less.

    Why don’t individual property owners ever get rebates … why only commercial entities?

    Can I get a refund for the sales taxes I paid as part of remodeling my home?

    Since when do for-profit medical business owners need a break? I’m yet to see one who doesn’t live quite well.

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  4. The Raging Chihuahua's avatar The Raging Chihuahua says:

    Brut, you’ll forgive me if I don’t get all that jazzed about 2 dialysis clinics. But perhaps l’m looking at this with a glass-half-empty attitude. l mean today, a dialysis clinic, tomorrow…..a heart valve manufacturing plant ! And “they” say there’s nothing to do in this town. Pshaw! Ok, now that l’ve met my smart ass-ness daily quota, here’s what l’m wondering: you start off praising Leeser in the 1st sentence but then in the last paragraph you’re a bit uncertain if not down right skeptical. But don’t sweat it. You guy(s) still have the most rational thinking blog in the 915. And since today is the day that l’m a year older and a half a year wiser, l’m going to throw in a BONUS smart ass comment – If someone works at one of the clinics, and they happen to need dialysis, do they get an employee discount?

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