Authority wants Canon-Mac to extend tax breaks

The Washington County Authority director of operations wants the Canon-McMillan School Board to renew business tax breaks at Southpointe II for five years.
The current five-year Local Economic Revitalization Tax Assistance, or LERTA, at Southpointe II ends in June. Board President Manuel Pihakis said the board would consider the request.
Under the existing LERTA, businesses get a 100 percent tax break on buildings in the first year, 80 percent the second year, 60 percent the third year, 40 percent the fourth year and 20 percent the fifth year.
Cecil Township renewed the LERTA for five years in April. The county’s LERTA for Southpointe II runs until 2013.
“We ask this because it’s been a great marketing tool for us,” William Sember, director of operations for the authority, told the school board Monday night.
When businesses consider locating at Southpointe II, one of the first questions they ask is about tax breaks, he said. Currently there are roughly 100 businesses and 8,000 workers at the Southpointe properties, he said. There is $30 million in assessed value and in the last few years $100 million has been invested in Southpointe II, he said.
Sember anticipates this will be the last time the authority asks for the LERTA extension because he expects Southpointe II to be full within five years.
He said there were some concerns for Southpointe I that business owners would appeal assessment values after the LERTA was over. Of the 45 properties, 11 appealed and the value of nine did not change, Sember said.

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