OFFICE OF THE CITY CLERK

ENTERPRISE ZONE COMMISSION

October 5, 2009

The Enterprise Zone Commission of the City of Mesa met in the lower level meeting room of the Council Chambers, 57 East 1st Street, on October 5, 2009 at 5:03 p.m.

MEMBERS PRESENT	MEMBERS ABSENT	STAFF PRESENT
Chairman Dennis Kavanaugh	Scott Somers	Christopher Brady
Alex Finter		Debbie Spinner
Dina Higgins		Linda Crocker
Kyle Jones
Dave Richins
Scott Smith

(Commission Member Somers was excused from the entire meeting.)

1. Hear a presentation and discuss the renewal of the City of Mesa’s Enterprise Zone.

Chairman Kavanaugh reported that staff is seeking direction from the Commission regarding the renewal of the City of Mesa’s Enterprise Zone, which was first established in 2005 under a program administered by the State of Arizona. He stated that staff provided the Commission Members a PowerPoint presentation in their packet of materials and inquired if it was necessary for staff to make a full presentation or if the Commission Members were prepared to provide direction concerning this item.

City Attorney Debbie Spinner clarified that the resolution that the Council would take action on with regard to the renewal of the City of Mesa’s Enterprise Zone is agendized for tonight’s Council meeting.

Commission Member Richins inquired if staff could offer a brief overview of Mesa’s Enterprise Zone Program in order to provide Mesa residents an understanding of the process.

Economic Development Project Manager Patrick Murphy displayed a PowerPoint presentation (See Attachment 1) and reported that the primary goal of the Arizona Enterprise Zone Program is to improve the economies of specific areas within the State. He briefly highlighted a map illustrating Mesa’s Enterprise Zone. (See Page 3 of Attachment 1)

Mr. Murphy advised that the benefits to a business located in an Enterprise Zone include job tax credits and property tax benefits. He explained that relative to job tax credits, over a three-year period, a business may receive tax credits that total up to $3,000 per qualified employee, for a maximum of 200 employees in any given tax year. Mr. Murphy stated that the business could also benefit from an estimated 40% to 60% overall savings on its State property tax bill.

Mr. Murphy indicated that Mesa’s Enterprise Zone expires at the end of this year and noted that the items on tonight’s Council agenda include a public hearing on the renewal of the Zone, followed by the Council taking action on a resolution in this regard. (See Attachment 2)

Mr. Murphy further highlighted various State requirements that Mesa has met in order to apply for renewal of its Enterprise Zone (i.e., size, population, poverty rate). He also cited the goals of Mesa’s Enterprise Zone, which include the following: improve the economy-enhancing opportunities for private capital investment and job opportunities; support land use planning; market the Zone; and actively support the relocation/expansion of businesses in the Zone.

Mr. Murphy advised that per State Statute, the Enterprise Zone Commission must meet twice a year. He stated that this meeting would serve as the first meeting, with the second meeting scheduled in July 2010.

Chairman Kavanaugh clarified that it was unnecessary for the Commission Members to take any action at this time, unless they did not want the Council to move forward with the items previously outlined by Mr. Murphy.

Ms. Spinner concurred with Chairman Kavanaugh’s statement.

Chairman Kavanaugh thanked Mr. Murphy for the presentation.

2. Adjournment.

Without objection, the meeting of the Enterprise Zone Commission adjourned at 5:08 p.m.

I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Enterprise Zone Commission meeting of the City of Mesa, Arizona, held on the 5^th day of October, 2009. I further certify that the meeting was duly called and held and that a quorum was present.

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LINDA CROCKER, CITY CLERK

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