Resource Guide for Chittenden County Businesses - Regional Economic  Development

Information and Referrals
• Connects entrepreneurs with local training, financing
and networking opportunities.
• Provides information about regulatory requirements,
energy savings opportunities, and vacant industrial land
in Burlington.
• Assists with redevelopment of brownfield properties.
• Connects employers with local service providers to
support the hiring, retention and promotion of refugee
workers.

Business Loan Program
• Provides capital for loan packaging and gap financing to
assist businesses operating in Burlington.

Guide to Doing Business in Burlington
• This street-smart booklet provides step-by-step guidance
for those interested in starting, expanding, or relocating
a business. Available in print and through the web site.

Commercial Space Database
• For the first time ever, you can now quickly access
information on nearly all available commercial rental
properties in Burlington with one call or e-mail.

Business Location Package
• Detailed information on area demographics, retail market
opportunities, cultural events, business statistics, and
recreation. 

Burlington Renewal Community
Under a designation by the Department of Housing and
Urban Development (HUD), Burlington has created a Renewal
Community which encompasses 5,300 households, 500 businesses, and 30% of the City’s labor force. Its boundaries are
Willard St. to the east, the Intervale railroad spur to the
north, Lake Champlain to the west, and King and Main
streets to the south.

A number of special benefits and tax incentives apply to
businesses and workers in the Renewal Community:
• Wage Credit: Businesses can take a credit against Federal
taxes of up to $1,500 each year for 8 years for every existing
employee and new hire who lives and works in the
Renewal Community.
• Increased Section 179 Deduction: Qualifying businesses
can claim up to $35,000 in additional expensing for certain
depreciable property (such as qualified equipment and
machinery) purchased after 1/1/2002.
• Commercial Revitalization Deduction: Provides an
accelerated deduction period for commercial real estate
for qualified projects in the Renewal Community involving
new construction or substantial rehabilitation. You must
apply to the City in order to use this deduction.
• Zero Percent Capital Gains Rate: Owners of qualifying
Renewal Community assets do not have to pay federal tax
on any gain when they sell the assets.

CCDC acts as liaison between the public and private sector,
as a catalyst for ideas, and as a forum for discussing issues
of community concern. CCDC operates a full-service business
incubator that caters to existing small and start-up
businesses. We offer a site selection assistance program,
designed to match business prospects with available sites.
We also provide a revolving loan fund for small business
start-ups and expansion that is available to people locating in
the towns of Milton, Colchester, Essex and the city of
Winooski.

In the spirit of cooperation with the Town of Essex and the
Village of Essex Junction, the corporation is organized to
encourage and coordinate a united effort of public and private
resources to encourage and promote the expansion and
retention of existing Essex enterprises; attract and achieve
the location of new commercial, industrial, agricultural and
recreational enterprises; and attract, support, and promote
integrated (business and residential) living, within the Town
of Essex and the Village of Essex Junction.

The Board of ECEC consists of volunteers selected for their
individual skills and willingness to support the efforts and
goals of ECEC.

The VCDP is funded through the U.S. Department of Housing
and Urban Development (HUD) under the Community
Development Block Grants (CDBG) for Small Cities with an
annual allocation of approximately $8.5 million. For many
years, one of the overarching priorities for VCDP funds has
been Vermont’s downtowns. While the only eligible applicants
are Vermont municipalities, it is most often a partnership
between municipalities, community groups and local
non-profit organizations and in some cases businesses, that
coordinate projects to meet a locally identified need.

• Rehabilitation of Certified Historic Buildings Tax Credit
A state tax credit of 10% for the costs of substantially
rehabilitating a certified historic building is available as
an “add-on” credit for projects that qualify for the 20%
Federal Reinvestment Tax Credit (RITC). Projects qualifying
for the 10% credit will thus receive a net 30% credit.
The federal RITC is available to owners and lessees for
project costs that meet or exceed the adjusted basis of an
income-producing building that is on or becomes listed on
the National Register of Historic Places. The credits are
for all costs involved in rehabilitating a building, including
exterior and interior improvements, code compliance,
plumbing, and electrical upgrades.
Contact: Division for Historic Preservation, 802-828-3047

• Older or Historic Buildings Rehabilitation Tax Credit
A state tax credit of 25% for owners or lessees of buildings
built prior to 1983 that undertake projects that
cannot qualify for the 20% Federal RITC and 10% State
“add-on” credit above. Up to a maximum of $25,000, this
credit is for 25% of the costs of: bringing a building into compliance with accessibility, building, electrical, plumbing
and life safety codes; abating and making safe lead
paint conditions or other hazardous substances; developing
previously unoccupied space in conjunction with any
of these eligible activities. It may also be used for rehabilitating
a building façade or storefront that contributes to
the integrity of the designated downtown, or redeveloping
a contaminated site. An applicant may request the tax
credit allocation in the form of a mortgage credit certificate which a bank may accept in return for
adjusting the rate or term of the applicant's loan on the
building.
Contact: Division for Historic Preservation, 802-828-3047

• Reallocation of Sales Tax on Construction Materials
Your town may receive a reallocation of sales taxes paid
on construction materials used on qualified projects in the
designated downtown, to be used in support of the qualified
project. This benefit cannot be used in projects using
either of the state building rehab tax credits (see above).
Contact: Vermont Downtown Program, 802-828-3211 

• 50% Tax Credit for Elevators, Platform Lifts and Sprinkler Systems
A 50% state income tax credit is available to property owners
and lessees for installing or improving an elevator,
platform lift or sprinkler system to meet building codes.
The credits for an elevator or sprinkler system are each
capped at $25,000, and $12,000 for a lift. Many small businesses
are eligible for the 50% federal Disabled Access Tax
Credit (see details at www.usdoj.gov/crt/ada/taxpack/htm)
and so would subtract the first $10,000 in expenditures
when applying for the state tax credit for either an elevator
or a lift. Only one award may be made to any one
building, but may include credits for each eligible category.
An applicant may request the credit allocation in the
form of a mortgage credit certificate that a bank may
accept in return for adjusting the rate or term of the applicant's
loan on the building.
Contact: Division for Historic Preservation, 802-828-3047