General Outline of Incentives

Tax Incentives

The Economic Development Incentive Program (EDIP) is a tax incentive program designed to foster fulltime job creation and stimulate business growth throughout the Commonwealth.  Participating companies may receive state and local tax incentives in exchange for full-time job creation, manufacturing job retention and private investment commitments.

As of January 1, 2010, the Economic Assistance Coordinating Council (EACC) may certify three categories of project for companies that generate substantial sales outside of the Commonwealth and are seeking the EDIP Investment Tax Credit (ITC): full-time job creation and investment projects within Economic Target Areas (ETA), projects with exceptional employment growth across the Commonwealth and finally, projects within gateway communities that sustain and grow manufacturing jobs.

The EACC will also consider applications seeking the Abandoned Building Renovation Deduction and municipally supported local real estate tax incentive applications for projects that are not seeking an EDIPITC.

• Massachusetts updated its Economic Development Incentive Program in 2010.  Here are the links to descriptions of the programs: 

                   2011 EDIP - Program Summary

                   2011 EDIP - Analysis Criteria

Workforce

The Regional Employment Board (REB) will assist in workforce development through grants and with their nationally recognized One Stop Career Centers.

• The REB will work with your human resource staff to prepare an application to the Commonwealth of Massachusetts' Workforce Training Fund. This fund provides grants of up to $1,000,000 for upgrading the skills of employees. These grants have no income guidelines and are especially applicable for ongoing training needs.
• The REB will make provisions for training resources for employees who meet low-income guidelines. On-the-job training funds are available in the amount of 50% of the wages of qualified new hires while in training.
• Available support from the career centers includes the recruitment of prospective employees, along with intake and assessment of job applicants. A database of 2000 registered job seekers and pool of currently dislocated workers enrolled in sponsored training programs will be made available. The Career Center staff can also conduct a job fair, at a convenient location or the company's facility.
• The Career Center will screen all job candidates for applicable Targeted Jobs Tax Credits and other incentives available for specially qualified employees.

Financing

MassDevelopment partners with cities and towns across the Commonwealth to offer numerous services to companies interested in relocating or expanding their operations to the region these include:

• Real Estate Loans - Up to $3 million to buy, renovate, build or finance facilities.
• Guarantees - Allow the primary lender to extend credit with a loan to value of up to 90% for real estate.
• Equipment Loans - $50,000 to $500,000 for new equipment.
• Emerging Technology Fund - Loans and guarantees to help technology-based companies start or expand manufacturing operations in Massachusetts.
• TechDollars - 100% financing at low rates for technology equipment purchases and installation, available to nonprofit organizations with annual revenues up to $5 million
• Export Financing - 100% direct loans and up to 90% loan guarantees as well as exports accounts receivable insurance.
• New Markets Loan Fund - Low rate loans for real estate and equipment financing for businesses and nonprofits in low income census tracts.
• Brownfields Redevelopment - Financing for testing and cleanup to redevelop Brownfields in economically distressed areas.

• The Manufacturing Innovation Initiative - will offer loans of up to $50,000 for planning and $500,000 for growth initiatives.