Create West Virginia

 

The bill proposes a solution to the widespread challenge of empty buildings in communities throughout the state, and would create incubating environments for professional creators of intellectual property, services, and products—the foundation of an economy based on talent and innovation.   

 

If the legislation becomes law, communities could be designated Arts, Entertainment and Enterprise Districts, and creative professionals would be incentivized to live and work in them through programs of income tax reduction, property tax credits, and exemptions from admissions or amusement taxes for performances or productions.

 

“The reason for the bill is simple,” Del. Guthrie said.  “If we can’t get people to live and set up shops in our downtowns, we’ll never enjoy the vibrancy we all long to return to our communities.  A simple walk in most of our downtowns reveals a lot of abandoned and unused space in buildings with ‘great bones.’  Each year we wait is another year those buildings deteriorate.

 

“If we can designate a few pilot cities and towns as Arts, Entertainment and Enterprise Districts we can begin the process of rebuilding our downtowns for a new, creative economy. Creating the designation is a first step.”

 

Guthrie says the bill is designed to strongly encourage property owners to work with planning organizations and "green" architect and engineering firms to develop profit-making plans for their buildings. She says she is working with other delegates on possible funding mechanisms that might be made available to property owners and urban pioneers who buy or rent property for living and work space using sustainable rehabilitation materials and designs.

 

Property that falls within a designated area will be granted a specific time period to work with planning organizations on development of viable conversion plans that will convert their building to mixed retail, business, condominium or rental use or face the maximum allowable increase in their property tax for non-compliance.

 

If HB 3113 passes, West Virginia would be among national leaders in this type of economic development through cultural and community revitalization. We can look next door to Maryland for reassurance that such a program works. Maryland’s 2001 law, the first of its kind in the nation, resulted in revitalization of a number of Maryland communities, including Cumberland. A law similar to HB 3113 made living and development expenses low and opportunity high for cultural creatives in the western Maryland town, resulting in an influx of professional artists and entrepreneurs who have created a thriving, attractive economy that is faring relatively well even in this economy. 

 

 

 

A)    Both CAC and CHPC program designations are “honorific.” The CAC designation is for communities where arts and humanities groups, business leaders and jurisdictional agencies cooperate and collaborate. The Certified Historic Preservation Community (CHPC) designation recognizes communities that have taken steps to ensure the preservation and promotion of historic resources.

 

An Arts, Entertainment, and Enterprise District will offer tax incentives and reductions to professional artists and creators of intellectual property who live in the county where the AE&E district is located. Owners of empty buildings will be incentivized to rehabilitate them for economic development.

 

 

A)    Not in its initial phase. It is first necessary to designate pilot districts. This would be achieved through determining rules for eligibility, a process that would be achieved through the Division of Commerce. Once a district or districts are created, funds for building rehabilitation grants and loans would be necessary. Legislation for that purpose is being written for consideration this session.

 

 

A)   The bill is designed to attract and nurture new economy entrepreneurs including artists and crafters. If communities grow as a result of

       of this legislation, decreases in some tax sectors will be offset by increases in others.