City Council took steps Thursday to try to make the city more friendly toward its existing and new businesses.
Council voted 7-0 to allow Community Development Director John Grado apply to the state Department of Community and Economic Development for Impact Enterprise Zone designation.
What that would do is permit businesses within the zone - covering commercial, industrial and institutional areas - to apply for tax credits for the value of improvements to their businesses, according to Grado.
The concept initially was proposed by the Pajama Factory, an artistic and music incubator on Rose Street, but the DCED officials discussed with the city the possibility of getting an Impact Enterprise Zone designation citywide.
"This is no cost to the city," Grado said. The city loses no taxes, he added.
Council Vice President Bill Hall, chairman of the Finance Committee, which gave the proposal its positive recommendation, said the zone designation - should it happen - has no impact on the city, school or county taxes collected from businesses.
"The city spends no money administering it," Hall said.
Councilwoman Gerry Fausnaught noted it is the responsibility of the businesses to explore whether they want to seek any tax credits or, as she called them, "perks."
The process begins with an on-line application the business owners fill out to apply to the state.
Councilman Jonathan Williamson also supported the concept. He said it was not possible the Impact Enterprise Zone would increase some people's taxes and it offers a clear advantage over several other programs.
"Pennsylvania has a reputation for having high business taxes," he said, and this may give city businesses in the zone a competitive advantage - not only in the state - but around the nation and world.
Jason Fink, the executive vice president of the Williamsport/Lycoming Chamber of Commerce, said earlier before the meeting the designation works because it doesn't impact collection of real estate, mercantile and other business taxes.
"I think it can help all city businesses because it if it can put a few more dollars in their pockets they might be able to expand or hire more employees," Mayor Gabriel J. Campana said.
