Moses Lake tax contributions total more than $99,000

Association continues program in 2007

MOSES LAKE — There's still some time remaining for area businesses to make contributions to revitalization downtown, and the opportunity is back again next year.

The Moses Lake Business Association was designated as eligible in December 2005 to participate in the state's new Main Street Tax Credit Incentive Program.

With prior approval of the Washington Department of Revenue via E-File, a company may donate money for revitalization of downtown Moses Lake and receive a 75 percent tax credit on 2007 business and occupation taxes.

Association Executive Director Sally Goodwin said contributions total $99,237.

Originally, the state Legislature set aside $1.5 million each year for the program, Goodwin said, with the amount of money a community may receive dependent upon the number of communities participating in the program. Fourteen to 15 participated in the program in 2006, which means Moses Lake could collect about $133,000. Moses Lake is third in receiving contributions.

"We're close," Goodwin said. "We have 18 sources, the largest being two donors with $20,000, several with $10,000 and some smaller corporations and independent businesses who have contributed $500, $300, $1,000, $1,400 — whatever their business can absorb, and yet they're still helping their community."

The association can accept contributions through the end of the year, and plans to participate again.

Next year, the association does not have to apply for program eligibility again, but does have to raise the contributions again. Contributors in 2006 can contribute again in 2007, but must sign up through the Department of Revenue again, Goodwin explained.

If Moses Lake does not receive the remainder of the $133,000, Goodwin believes the funds stay in state coffers.

The association intends to get active in a facade improvement program linked to downtown revitalization, Goodwin said. The association would work in the planning process and find the tax incentives for a property or business owner. For example, Goodwin referred to the recent meeting where consultants discussed incorporating a water theme throughout the downtown core.

"That's the kind of thing we can use this for," she said. "This is economic development because the more we make our downtown attractive for our local citizens and tourists, the more it helps with sales of products from our downtown merchants, restaurants, grocery stores, hotels, that type of thing."

Which in turn provides sales tax for the city of Moses Lake.

"It's a chicken and egg situation," Goodwin said. "One feeds the other."

Some of the 2006 contributions are spent, while the rest is on hold to help with projects still in the planning process. The association is working on a recruitment program, which includes such costs as paperwork and investigation, she explained.

"We're setting up these programs to get this done," she said. "It's given (the association) enough of a backing we can do some of these things we've wanted to but have not been able to afford to do."