Objectives

1. Secure high-paying, high quality jobs for Rock Hill residents. Incentive applications in which wages substantially exceed the average York County wage will be more successful.
2. Increase the commercial and industrial tax base in Rock Hill which further offsets the property tax burden to Rock Hill residents and businesses. Businesses seeking incentives should make substantive investments in real estate, machinery, and/or equipment.
3. Spur redevelopment in historically underserved or otherwise strategic areas of the city, including but at City Council’s discretion, not limited to downtown, Southside Rock Hill, Opportunity Zones or other areas of the city that have corridor plans. Of particular interest is the removal or renovation of blighted structures – or the redevelopment of underutilized or vacant real estate.
4. Support the growth of key target industries that will serve as long-term such as advanced manufacturing and life sciences.

Potential Incentives

Development Fee Incentive

To support development of strategic projects, incentives may be provided to reimburse impact fees, water meter set fees and building permit fees. Applicants may receive an incentive not to exceed $100,000.

Affordable Housing Fee Incentive

To support development of affordable housing needs in the community, incentives may be provided to reimburse impact fees, water meter set fees, and building permit fees in support of the City’s affordable housing policy. Applicants may receive an incentive not to exceed $100,000. Additional specifications related to the affordable housing policy must be met to be eligible.

Rock Hill Affordable Housing Policy Document (PDF)

City Council Closing Fund

When additional funds are necessary to assist with high impact economic development projects, the City Council, in its sole discretion, may allocate additional funds to development projects that meet the strategic objectives of this policy. These funds are awarded on a case-by-case basis and shall have certain restrictions and claw backs that are legally agreed to with an Incentive Agreement between the City and company.

Façade Improvement Incentive

To improve the appearance of obsolete or unsightly buildings with a reimbursable grant to rehabilitate or restore the facades of qualifying commercial structures. These grants are available for the exterior portions of the building that are visible to the public and do not apply to interior renovations or roof repairs. A property may only receive a façade incentive once. A 10-year City easement will be required on the façade.

• Applicants may receive up to 25% of the cost of visible façade renovations for eligible expenses not to exceed $20,000 maximum for the front facade.
• Corner buildings or buildings with rear facades may receive up to 25% of the cost of the additional, eligible façade renovations not to exceed $15,000
• Funds are made on a first come first serve basis annually subject to availability.

Alternative incentive programs may be authorized by City Council to help support community endeavors that result in a positive return on investment.

Review Committee

• Incentive requests shall be evaluated by a Review Committee comprised of city staff from the:
  • Economic & Urban Development Department
  • Finance Department
  • Planning & Development Department

  City staff shall evaluate the degree to which incentive policy objectives are met along with the financial return on investment for such an incentive in terms of all financial benefits to the City including taxes, fees, etc.

• Final approval of all incentives shall rest with City Council before a building permit is issued or at such other time as City Council determines is appropriate.

Apply for Economic Development Incentive Program

View 2030 Growth Plan

Tax Increment Financing (TIF) is a tool municipalities can use to finance municipally-owned public improvements such as streets, sidewalks, utilities, landscaping, parks, public buildings, and transit facilities within designated redevelopment areas. Within designated TIF districts, incremental or new tax revenues are dedicated to funding public improvements over a set period of time after paying off previously-issued TIF debt or bonds.

The City of Rock Hill has three active Tax Increment Finance (TIF) Districts: Textile Corridor, Downtown, and Red River/Riverwalk. Tax revenues generated in each district help fund capital projects within that district. In FY15, over $2 million in revenues were generated in the City’s TIF districts. Anticipated revenues from TIF Districts were provided by the City’s Economic and Urban Development Department (it should be noted that revenues are highly variable).

The University Center development in Knowledge Park is being financed in part by TIF.  LEARN MORE

SC Textile Redevelopment Tax Credits can provide 25% of the cost of development provided as a state income or property tax credit.  A new or revitalized building within a 1,000-foot radius of a former textile mill may qualify, even if it is completely unrelated to textile manufacturing.

Textile Rehabilitation Tax Credits Booklet (PDF)

The Talent Pipeline Program was conceived as part of a second year South Carolina Innovation Challenge Grant which was awarded to the Knowledge Park collaborating partners, including the Rock Hill Economic Development Corporation, the City of Rock Hill, Winthrop University, York Technical College and Rock Hill Schools.  The program was initially designed to utilize grant funds to pay one half the cost of a college student intern, employed by local technology companies.

The program has now expanded to include an array of companies where local college students, primarily from Winthrop University and York Technical College, are encouraged to submit resumes to match with the internship job descriptions.  When an intern and a company are matched up, the intern is paid $10 per hour for up to 20 hours of work per week.  The Talent Pipeline then reimburses the company $5 for each hour an intern works.  If a company has found a good fit with a particular college intern, they are free to hire that person at the end of the internship period.  The original grant funds for the program were exhausted as of June 30, 2016, but have continued through a grant from Wells Fargo. 

• The investment must be greater than $50,000 in new capital expenditure in one year.

• Companies must be involved in manufacturing, R&D, corporate headquarters or distribution/warehouse operations.  If other than manufacturing and R&D, there must be at least 75 new jobs created.

• The Company files return PT-300 to SC Department of Revenue; deduction is automatic.

• The company’s project must be competitive with other locations and the firm must be a manufacturer, warehouse/distribution, or an office/headquarter operation.

• Qualified company must commit to a minimum of $2.5 million investment over a five year period to be eligible.

• Manufacturers can benefit from a lowering of a 10.5 percent assessment ratio to as low as 6 percent on real and personal property. Warehouse/distribution and office operations can benefit from a reduction of an assessment of 10.5 percent to as low as 6 percent on personal property.

• A bond/incentive attorney must prepare legal documents for review and final submission to York County Council for final approval.  The process for full approval by York County Council is approximately eight weeks once negotiated terms have been reached.

• A low cost means to finance a new or expanding operation which can be used to acquire land, construct buildings, improve real property and acquire new machinery.

• Maximum bond issuance is $10 million. Investment cannot exceed $20 million in expenditures over 3+/- years.

• A benefit to companies for job creation that helps reduce state corporate income tax liability, up to 50 percent in a given year.  Program allows for 15 year carry forward of unused credits.

• An annual average monthly employment increase of 10 or more new full-time jobs must be created in order to be eligible and the company must be involved in manufacturing, processing, warehousing, distribution, tourism, be considered a corporate office facility, bank or qualified technology intensive facility.

• Credit of $1,500 annually for five years for each new job. Credit increases to $2,500 per job with Multi-County Business Park status.

• Qualified small businesses (a firm employing 99 or fewer employees) can receive a credit benefit from this program but value of credit may vary depending upon certain performance criteria.

• A credit against state corporate income tax, or corporate license tax based on adding or growing an existing corporate headquarters.

• Credit is equal to 20 percent of the qualifying costs for establishing or expanding a corporate headquarters.  Unused credits can have a 10 year carry forward.

• To qualify a corporate headquarter operation must meet certain investment and/or job thresholds.

• A credit against state corporate income tax, or corporate license tax based on a firm making qualified research and development expenditures.

• Credit equal to 5 percent of expenditures is available; credit is limited to offset 50% of income tax liability after all other tax credits have been applied. 

• A discretionary performance based incentive from the state that rebates a portion of a new employees’ state withholding tax back to the company.  Requires approval by the South Carolina Coordinating Council for Economic Development and applicants are considered on a case-by-case basis.

• Eligible companies must meet specific requirements per the program guidelines and a non-refundable application fee of $4,000 must be paid.

• Approved companies can receive a percentage of each eligible individual employee’s personal income tax returned to them as a cash rebate in either quarterly or annual payments. Depending on salary values, this could be as much as 4 percent of annual payroll. 

Manufacturers

• Machinery and equipment for both research and development and production

• Repair parts

• Materials which will become an integral part of the finished product

• Manufacturing of electricity

• Pollution control

All Industries

• Packaging Materials

• Long Distance Telecommunications, including 800 service

Documents provided by York County Economic Development