Technology Zone grants and incentive programA technology zone can be a valuable tool for the encouragement of new and expanding technology businesses in a locality. Virginia’s cities, counties, and towns have the ability to establish, by ordinance, one or more technology zones to attract growth in targeted industries. Establishment of a technology zone allows localities to create special incentives for qualified businesses locating or expanding operations in a zone. These incentives may include; a reduction of user and permit fees, local tax incentives, special zoning treatment, exemption from local ordinances or other incentives adopted by ordinance. Once a local technology zone has been established, incentives may be provided for up to ten years. Each locality designs and administers its own program.
The Newport News Economic Development Authority, through a funding agreement with the City of Newport News, will provide grants for qualifying projects meeting the following criteria:
- Provide engineering, professional or business services to the non-carbon-based energy development industry or to the shipbuilding industry;
- Design or development or technology-based products, processes or services for lease, sale or license;
- Other technological research and development.
- Perform a qualifying activity, which it has not previously performed in the city;
- Create at least 25 new positions engaged in the qualifying activity, paying an average annual salary of at least 150% of the prevailing wage for the city;
- Not transfer positions from an existing location in Hampton Roads to the Newport News location performing the qualifying activity.
- Business license tax abatement of 50% for a period of 10 years.