The goal of the Baytown Revitalization Incentive Zone (RIZ) program is to promote economic development, encourage the rehabilitation of affordable housing and stimulate an increase in property values. There are two programs providing various incentives to eligible participants: Program 1, the Basic Incentives Program will grant a waiver of certain permit fees and impact fees; and Program 2, the Tax Incentive Program will grant a refund of the incremental increase of municipal ad valorem taxes for up to 5 years.
Qualifying structures include all commercial and residential improvements within the Revitalization Incentive Zone. New residential construction must have a minimum investment of $65,000 and new commercial construction must have an initial investment of $100,000. In order to qualify for the Basic Incentives on an existing structure, improvements must equal or exceed 20% of the appraised value of the existing improvements based upon the most recently certified value by the chief appraiser of HCAD. In order to qualify for the Tax Incentives, the previously stated minimum investment applies and the eligible improvement must increase the appraised value of the existing improvements by at least $20,000 for residential and $75,000 for commercial. For the purpose of this program, improvement does not include: personal property (property that is not permanently fixed to one location), pipelines, deferred maintenance, property with an economic life less than 15 years and deferred maintenance.
All applicants must provide the appropriate documents to verify the following:
- Proof of property ownership;
- Proof of current appraised value of the property for which incentives are sought;
- Proof of construction costs (bid documents, construction estimates, contract, etc.)
- Property has not received assistance through the City's Owner-Occupied Housing Rehabilitation Program within five years of the commencement of the improvement for which an RIZ incentive is sought;
- Owner does not owe a debt to the City (taxes, liens, etc.)
- Property has not received assistance through the City's Facade Program within five years of the commencement of the improvement for which an RIZ incentive is sought (unless the value of improvement qualifies for the Program 2 incentive with the amount paid by the City under such added to the base value).
- Proposed improvement is not subject to a Tax Abatement Agreement with the City; and
- Proposed improvement is not subject to a Chapter 380 Economic Development Agreement with the City.
HOW TO APPLY
Contact the City of Baytown Community Development Office at 281-420-5390 or visit our website at www.baytown.org for general information, program guidelines and an application form. Verification documents must accompany completed application.