Representative Michael Stinziano will soon reintroduce legislation promoting job creation in Ohio for businesses locating in proposed Start-Up Zones, exempting new companies and their employees from paying state taxes for 10 years if the company is located in a university community and creates new jobs.
Businesses locating in these zones affiliated with public and private universities, colleges, and community colleges, can operate tax free for 10 years, paying no income tax, no business or corporate taxes, no sales tax, no property tax, and no franchise fees.
The legislation, specifically aimed at creating and attracting technologically sophisticated companies to Ohio also aims at keeping Ohio college graduates in the state, and is modeled after New York Gov. Andrew Cuomo’s successful “Start-Up New York” initiative.
“Start-Up New York” has transformed SUNY campuses and other university communities across the state into tax-free zones for new and expanding businesses. As of this month, 93 businesses have established operations near New York campuses because of “Start-Up New York,” bringing with them over 2,000 new jobs and some $91 million in investments.
“With 135 colleges and universities throughout Ohio, I am confident that we have the ideal environment for this program,” Rep. Stinziano said. “In my district alone, there are seven college campuses. This is an excellent opportunity to encourage growth and investment for companies that may not be eligible for other incentives the State of Ohio offers to businesses. I anticipate that campuses and companies will be able to foster a positive, mutual relationship in these new communities based on training on degree planning opportunities for students and a skilled, work-ready pool of job candidates for the companies. Ohio will reap the benefits of this program.”
Following reintroduction, the bill will be assigned to a House committee for further review.