Now, perhaps more than at any time in history, the job of creating a vibrant local economy is not for the faint of heart.
Retaining and attracting companies and the jobs they provide is increasingly difficult in the face of global competition. Even within Massachusetts, cities and towns compete more vigorously than ever to expand their tax base and employment opportunities for their residents.
The state’s Economic Development Incentive Program creates a partnership between the state, municipalities and businesses. The Economic Assistance Coordinating Council, which administers the EDIP, can offer a company State Investment Tax Credits. A municipality can offer local tax exemptions, the most common being Tax Increment Financing agreements.
Both of those provide “the financial tools and incentives necessary to stimulate development in tandem with other local support programs,” Chief Development Officer Michael E. Traynor wrote in a report on TIFs provided to City Council.