In 2011, in response to a Strategic Plan goal to grow and diversify the City's economy and employment base, the City's Economic Development Committee created, "Build Snohomish", an economic incentive program to attract long-term capital investment. The plan consists of four recommended financial incentives for long-term private capital investment. Those incentives, none of which have been implemented yet, are:
- Multi-Unit Housing Development Tax Credit
- Implementing the state-authorized 8-12 year property tax exemption for creation of new or rehabilitated multi-unit housing within designated urban centers, such as the Pilchuck District.
- Hotel / Motel Tax Waiver
- Following creation of a new hotel within the city limits, reduction or elimination of the current hotel / motel tax for a specified period.
- Qualified Small Issue Bond Sponsorship
- Assisting manufacturing businesses (such as wineries, craft distilleries, and micro breweries) in obtaining financing via the Washington Economic Development Finance Authority’s private bond funding program.
- Single-Source Limited Tax General Obligation Bonds For Infrastructure Improvements
- Financing improvements needed for private development using sales tax revenue generated solely from those developments.
With the passage of Resolution 1272, the City Council authorized the City to negotiate with private entities for development investments within the city using the "Build Snohomish" incentives. However, to date none of the incentives have been adopted by the City, although a City Council discussion of adopting the Multi-Family Property Tax Exemption is scheduled for September, 2018, with possible adoption by the end of the year.
View Resolution 1272 for further details on these incentives and for a copy of the "Build Snohomish" program report.