Portland Enterprise Zone Program

I'm already in the E-Zone program (choose one):

Portland Program (2008 - present)
N/NE E-Zone Program (1996 - 2007)

Sierra Gardiner
Portland E-Zone Project Coordinator
(503) 823-2868 or gardiners@pdc.us

The Oregon Enterprise Zone program is a State of Oregon economic development program that allows for property tax exemptions for up to five years.  In exchange for receiving property tax exemption, participating firms are required to meet the program requirements (PDF) set by the state statute and the local sponsor.  The Portland Development Commission is the local sponsor for the Portland Enterprise Zone program (“Portland E-Zone”).

The purpose of the Portland E-Zone program is to:

• facilitate new investment by predominantly industrial-based businesses in north and northeast Portland
• create and retain quality jobs
• expand awareness of local procurement opportunities within the Portland E-Zone boundary

Additional benefits of the Portland E-Zone include:

• assistance with training opportunities for the participating companies and their new employees
• assistance to small businesses through community grant funding

The Portland E-Zone is a five-year property tax abatement program that works best for industrial-based firms planning to invest a substantial amount in property assets (construction and equipment) and create new or additional employment opportunities.  Once a qualified firm enters into the program it will receive full tax abatement on all qualified property for five years, consecutively, as long as annual compliance with program requirements is met.  See the Portland Enterprise Zone Policy (PDF) for more details.

1. Go to www.portlandmaps.com. Enter in the company address. 
2. Click the “Development” link at the top of the screen.  
3. Enterprise Zone eligibility will be indicated at the bottom of the new page.

Contact Sierra Gardiner, Portland E-Zone Project Coordinator, at (503) 823-2868 or gardiners@pdc.us, to begin the application process, get estimates and annual compliance information.   Do not submit an application without initiating the intake process with the E-Zone Coordinator.  See the Written Agreement for more information on becoming authorized into the program.

» View the Portland E-Zone Intake Checklist for more information about the application process

The Portland E-Zone is a five-year property tax abatement program.  In order to qualify a firm must be making new investment in construction or equipment to leased or owned property within the E-Zone boundary and must be creating new or additional employment.  Once an authorized company enters into the program it will receive full tax abatement on all qualified property for five years, consecutively, as long as Annual Compliance with program requirements is met.

The Enterprise Zone Exemption Claim form must be completed and postmarked to the Multnomah County Tax Assessor’s office between January 1 and April 4 each year for five years.  Late filing will be subject to late fees. 

If the qualified facility is still under construction, a Construction-In-Progress form (“CIP”) may be filed with Multnomah County for up to two years.  Filing for CIP must be done in the first two years, consecutively.  Note: Cancellation of Assessment does not apply to E-Zone-participating companies.

Each Portland E-Zone company must enter into a Written Agreement with PDC.  The Written Agreement will be signed after the application is submitted and reviewed by PDC. 

Each Portland E-Zone company must enter into a First Source Hiring Agreement (“FSA”) with the Oregon Employment Department at Worksource Oregon Metro.  

The Portland Enterprise Zone Policy was authorized by Portland City Council, Port of Portland, Portland Development Commission and all locally affected taxing entities in the spring of 2008.  The policy stipulates the operating procedures of the E-Zone Manager and the obligations of the company.  There are 16 total requirements that a company can trigger; the level of requirement is based on the estimated investment and abatement.

» Portland E-Zone Policy

Each Portland E-Zone company must enter into a Written Agreement with PDC.  The Written Agreement will be signed after the application is submitted and reviewed by PDC. 

» Portland E-Zone Written Agreement

The Portland E-Zone Advisory Committee is composed of a seven-member board, which consists of community, business and inter-agency stakeholders.  The board meets quarterly and is responsible for reviewing the annual compliance report and Workforce Training Fund RFPs; the board may make programmatic recommendations that coincide with Portland E-Zone Policy.  Each board member serves a two-year term and is appointed by PDC.

The Portland E-Zone TAC comprises representatives from the public sector who meet to discuss the technical aspects of the program to ensure program compliance with the state statute and the Portland E-Zone Policy. 

E-Zone-participating companies can apply to the Workforce Training Fund for training dollars; the fund is administered by WorkSystems, Inc. (WSI).  To learn more about this fund contact Heather Ficht at WSI, hficht@worksystems.org, (503) 478-7359.

PDC administers the Business Development Fund (BDF) to create employment opportunities through the development and growth of local firms and community-based businesses. BDF funds will be dispersed by the E-Zone Manager based on established criteria consistent with the E-Zone Policy and the strategies and goals of PDC. Firms or organizations receiving BDF funds will be required to show the creation of employment opportunities as a result of receiving these funds. All contracts will be performance based with the understanding that some financial support may be needed up front.

Examples of proposed services and or possible uses of BDF funds include, but are not limited to:

• Vendor fairs co-sponsored by E-Zone companies and/or community-based organizations
• Web based clearinghouse database identifying business that have or could acquire the ability to supply E-Zone companies
• Funding to create or augment revolving loan fund for receivables, equipment acquisitions, etc.
• Funding for or to augment direct technical assistance, including manufacturing improvements, marketing, accounting systems, etc.
• Funding to assist with specialized infrastructure needs, such as additional water capacity, power, gas, etc.
• Financial assistance to meet regulatory requirements

Oregon Enterprise Zone law and required administrative operating procedures can be found at the links below.

• Oregon Administrative Rules (OARs)
• Statute

Aerial view of the Portland E-Zone (click for larger map)

The following maps are provided for reference:

• Portland E-Zone Infrastructure
• Portland E-Zone Tax Lots
• Portland E-Zone overlapping Urban Renewal Areas (URA)
• Portland E-Zone Aerial View
• Portland E-Zone Zoning
• Portland E-Zone Levy codes

Whereas the E-Zone provides a property tax exemption, the Electronic Commerce (E-Commerce) enhancement provides additional excise or corporate income tax credits for companies making a qualified E-Commerce investment. 

A company must be entered into and compliant with the regular E-Zone program in order to receive the enhanced E-Commerce designation. 

Qualifying companies can receive both E-Zone property tax abatements and E-Commerce tax credits simultaneously. 

A company must apply for E-Commerce status separately.  Once E-Commerce status has been approved, a company receives a State excise or corporate income tax credit for 25% of their qualified investment up to $2M per year.  The credit can be carried over five years.

A qualified E-Commerce investment includes material resources related to E-Commerce, such as facilities, computers, equipment, networks, servers or software pertaining to the E-Commerce related business-to-business transactions of the firm.  A list of such investments will be requested in advance.