Economic Development
Flora's unique location at the crossing of two major U.S Highways has allowed for strong industrial and commercial growth throughout the years. Continued economic growth is a major focus for the City of Flora and consists of developing a healthy economic environment through the recruitment of new businesses into the City and encouraging existing businesses to grow and expand.
In order to achieve these economic goals, Flora utilizes several economic development tools:
- Tax Increment Financing (TIF) - TIF funds or tax increment is created from the difference between the amount of property tax revenue generated before TIF District creation and the amount of property tax revenue generated after TIF District creation. This tax increment money is then allocated to the City for its use in making street, water, sewer and other improvements in the TIF District. At the end of the TIF term, all of the taxes will again be paid to the regular taxing bodies, but at a much higher assessed valuation than would have been possible without the TIF.
- Façade Improvement Program - Utilizing TIF funds, the City of Flora is offering to participate in the reimbursement of 50% of the cost, up to $5,000 for improving the exterior of downtown commercial buildings located within the West Side/Central TIF. Please find the Façade Improvement Program Application below for more information on this program.
- Flora/Clay County Enterprise Zone - An Enterprise Zone (EZ) offers various real property tax abatements on permanent remodeling, rehabilitation or new construction of residential, commercial and industrial buildings for areas within the EZ and not located in a TIF District. Also, each retailer in Illinois who makes a sale of building materials to be permanently affixed and incorporated into real estate located within the boundary of the Flora/Clay County EZ may deduct tax receipts from retail sales. A “Certificate of Eligibility” may be obtained from the State Website. This current EZ was renewed January 1st, 2017, and is set to expire on December 29th, 2031.
- City of Flora Opportunity Zone - The Tax Cuts and Jobs Act of 2017 allowed the Governor to designate particular census tracts as Opportunity Zones. This program attempts to spur economic development through tax benefits to investors and encourages long-term private sector investments in low-income areas of the State. Below is the Flora Opportunity Zone map, and for more information on these zones please utilize the links on the sidebar.
- USDA Intermediary Relending Program (IRP) - Provides financial assistance to new or expanding businesses and community development projects in the City of Flora. The City's use of this program intends to secure public benefit for the residents of Flora by developing a stronger economic base and expanding job opportunities. For more information, please review the IRP loan summary below.