Edgewater Brewery gets a tax incentive
Edgewater Brewery has become the second Mesa County company to gain approval for reimbursement of business personal property taxes on new equipment purchases.
Mesa County commissioners on Monday approved the brewery for full reimbursement of the county’s share of business personal property taxes on $1.1 million worth of new equipment purchased to open Edgewater last May. The facility at 905 Struthers Ave. has a restaurant component and a production side for brewing and bottling Kannah Creek beer and added 27 employees last year.
The reimbursement will last for 10 years, beginning in 2015 and expiring in 2024. The first reimbursement is expected to be $3,552.
The move stems from a law approved in the Colorado Legislature that allows counties to reimburse businesses up to 100 percent of the county’s share of business personal property tax for up to 10 years on equipment purchases of more than $1 million. Mesa County first offered the reimbursement in 2012, but no business requested it until this year.
Reynolds Polymer became the first recipient in April. The aquarium manufacturing company will be reimbursed all of the business personal property tax charged by the county on nearly $1.8 million of new equipment it bought or will buy last year and this year. The reimbursement will last for 10 years, starting with a $6,249 reimbursement in 2016.
The new law is designed to encouraging businesses to invest in growing local economies and boost job development in hopes that companies will reinvest the savings to do more.
Jim Jeffryes, co-owner of the parent company for Kannah Creek and Edgewater, said at Monday’s commissioner meeting that he plans to do just that. Jeffryes said he will reinvest savings from the incentive back into his business.
“Hopefully it will benefit the whole county,” he said.
The Grand Junction Area Chamber of Commerce has been trying to recruit businesses to participate in the incentive in recent months, according to Chamber President and Chief Executive Officer Diane Schwenke, and she hopes to see more businesses request the reimbursement.
“When it comes to economic development, this is a place where you do have a role to play and we appreciate that you have stepped into that role,” Schwenke told commissioners Monday.