Springfield expands enterprise zone

The Missouri Department of Economic Development approved the Enhanced Enterprise Zone with the intent to attract new businesses and expansion. The new zone, at 68 square miles, is more than double the size of the previous zone and provides incentives to a longer list of industries.

Designated industry clusters in the zone determine if a business is eligible for a 50 percent tax abatement on improvements for 10 years. Eligible industries are manufacturing, warehousing, mining, warehousing and distribution, wholesale trade and processing wholesale materials for recovery.

The abatements also are available to any business that employs 50 or more people who work an average of 35 hours per week, Springfield Economic Development Director Mary Lilly Smith said.

“(The zone) improves the business climate for people to make an investment, and it’s our attempt to attract new businesses and encourage them to expand,” she said.

Industries excluded from the incentive are gaming, retail trade and eating and drinking establishments.

The boundaries of the zone were drawn based on unemployment rates and salary averages of the area. Only areas with at least 5.39 percent unemployment and more than 81 percent of households living at or below the median income were eligible, Smith said.