Financial Incentives

Explore various incentives and resources available to help your company grow in the City of Romulus and in the State of Michigan. Also learn about the Detroit Regional Aerotropolis Corporation and the resources that may be available.

Industrial Facility Tax (IFT) Abatement

To encourage greater industrial development and spur manufacturing opportunities for developers, business owners, and laborers, the City of Romulus offers tax incentives for development involving industrial-based businesses. These incentives can be applied in the expansion of pre-existing facilities, renovation of aging facilities, and constructing of new facilities, per PA 198 of 1974. The Industrial Facilities Exemption certificate can provide property tax abatement for a maximum of 12 years, based on the criteria determined by the

City. For more information on the Industrial Development District, please contact Assessor Julie Albert at jalbert@romulusgov.com or view the application at https://www.romulusgov.com/DocumentCenter/View/147/IFTEC-Application-Agreement-Guidelines-PDF

Brownfield Tax Increment Financing

Brownfield Tax Increment Financing, through P.A. 381 of 1996, allows developers to receive reimbursement on environmental and non-environmental redevelopment activities. Brownfields are properties and or sites that are contaminated, blighted, and functionally obsolete or hold historic value. Reimbursement for costs associated with redeveloping brownfields occurs through the collection of incremental state and local taxes as the taxable value of the property increases through the revitalization process. To benefit from brownfield TIFs, developers will need to work with the City of Romulus, as well and the Wayne County Brownfield Redevelopment Authority https://www.waynecounty.com/county/brownfields.aspx to produce a work plan for state review (Michigan Strategic Fund for non-environmental activities, Michigan Department of Environmental Quality for environmental activities).

To learn more about the Brownfield Program, initial evaluations, and work plan development, please contact the Assessor, Julie Albert at (734) 942-7520 or at jalbert@romulusgov.com

Redevelopment Liquor Licenses

Redevelopment liquor licenses can be obtained by dining, entertainment or recreation businesses operating within a redevelopment district. The business must have spent or have a commitment to spend at least $75,000 in restoring the building in which the business is operating. Further, redevelopment liquor licenses can only be obtained when standard liquor licenses are no longer available. In addition to applying to the State Liquor Control Commission, a resolution from City Council must be passed pursuant to PA 501 of 2006. Click here to learn more about redevelopment liquor licenses.

Downtown Façade Enhancement Program

The Romulus Downtown Development Authority (DDA) created the Downtown Façade Program to encourage private investment in the City’s downtown. The Program is designed to encourage redevelopment, revitalization and rehabilitation of buildings in Downtown Romulus.

The Program is intended to enhance the aesthetics and historical character in the DDA District and assist property owners in rehabilitating and upgrading the facades and exterior features of their buildings. For more information contact DDA Director, Merrie Druyor at mdruyor@romulusgov.com or Façade Program website page https://www.romulusgov.com/360/Facade-Enhancement-Program

Detroit Region Aerotropolis

The Aerotropolis is the premiere location for Greenfield expansion in Southeast Michigan, offering 6,000 acres of development-ready land centered in a world-class network of transportation infrastructure. As a designated Next Michigan Development Corporation, the Detroit Region Aerotropolis is empowered to approve a suite of economic development incentives to enable corporate investment.

https://www.detroitaero.org/who-we-are/the-aerotropolis-advantage/

Other Incentive Opportunities

In addition to the options listed above, the City is always looking at new and existing tools to support economic development. Other opportunities may include public infrastructure assistance, partnership opportunities, and other creative options. With that in mind, please reach out to Merrie Druyor, Economic Development Coordinator at (734) 942-7545, or via e-mail at mdruyor@romulusgov.com to discuss your project, what assistance you need, and to discuss how the City can be a partner in making your project happen.

State Incentives

The State of Michigan offers a number of incentives, including the Michigan Business Development Program, community revitalization programs, and business-to-business procurement services to name a few, to help attract companies to relocate and grow within our state.

Tax Abatement Programs

PA 146, the Obsolete Property Rehabilitation Act Exemption (OPRA) provides property tax exemptions for rehabilitated commercial housing properties. Properties must meet eligibility requirements and be located in an OPRA District as defined by the City of Ferndale. The State Tax Commission (STC) is responsible for final approval and issuance of OPRA certificates.
PA 198 property tax abatements were created by the State of Michigan to provide a stimulus in the form of significant tax incentives to industries that renovate and expand aging plants, build new plants, and promote establishment of research and development laboratories.
Property tax abatement is an incentive provided primarily to build new plants in Michigan or renovate and expand aging assembly, manufacturing, and research plants. The incentive comes in the form of abated property taxes. The value of the project added will produce 50% of the taxes for a set period of time and then resume to the full tax value at the end of the abatement period.
Public Act 328 allows eligible businesses to abate personal property taxes on new investments in the City of Ferndale. Eligible projects include manufacturing, mining, research and development, wholesale trade, and office operations.
In 2014, the legislature finalized revisions to the Michigan Personal Property Tax (PPT) reform. Under this revised package, the small “essential services assessment” (ESA) that manufacturers pay to cover their costs associated with local government police, fire, ambulance, and jail services will now be a flat, statewide rate that is fixed and requires only one form and payment to be submitted to the state.
The Michigan Business Development Program is a new incentive program available to eligible businesses that create qualified new jobs and/or make qualified new investment in Michigan. This is a new incentive program available from the Michigan Strategic Fund (MSF) in cooperation with the Michigan Economic Development Corporation (MEDC). The program is designed to provide grants, loans, and other economic assistance to businesses for highly competitive projects in Michigan that create jobs and/or provide investment.

Energy Programs

The Michigan Saves Business Energy Financing Program has negotiated hassle-free, fast financing for energy improvement enhancements up to $150,000 for as low as 5.9% for up to 5 years. As a special incentive for businesses in the food industry, Michigan Saves offers a 1.99% rate for a limited time, and if you cut your building's energy consumption by 20%, you’ll receive a $2,000 rebate.