The Industrial Facilities Tax Exemption Certificate, Public Act 198 of 1974 as amended, provides an incentive to encourage new investment in industrial buildings and research and development laboratories, including land improvements, machinery, equipment, furniture and fixtures.  Generally speaking, if a certificate is issued by the City and approved by the State Tax Commission, the property taxes for real or personal property will be approximately 50% of the taxes that would otherwise be payable.   The duration of the certificate is for 1-12 years, with the duration determined by the Mayor and Council.  For additional information regarding the program, please click on the following link to the State of Michigan’s website:  
http://www.michigan.gov/documents/1012_packet_94624_7.pdf 

Please see the attached “Estimated Tax Analysis” for an example of tax saving on a $500,000 investment in Personal Property.

The City of Wyandotte utilizes the program more aggressively than any other community in the Downriver area of Southeastern Michigan, and since 1988, has granted every exemption certificate requested for the maximum 12-year period permitted under State law.  Unlike most cities, there is no minimum requirement for dollar amount invested or number of jobs retained or created to qualify for a certificate.

Since May of 2001, 3 new districts have been established and 12 certificates have been granted, representing more than $39.5 million invested in improvements to buildings, land, machinery, equipment, furniture and fixtures.  Said investment has retained 67 existing jobs and created 10-14 new jobs.  Approximately 75% of the investment was made by BASF, 1609 Biddle, with numerous other investments by manufacturers throughout the City.  As of April 2005, the City had 21 Industrial Development Districts and 6 Plant Rehabilitation Districts, covering most industrial areas in the City.