Richland 1st in State to Utilize New Business Property Tax Exemption

The tax exemption was approved by the WA state legislature, now the City of Richland is the first in the state to utilize it.

The Target Urban Area Tax exemption allows for new businesses

The plan was passed by the Washington legislature in 2022, and this week the Richland City Council approved the first application for a business to take advantage of this new program.

The Targeted Urban Area (TUA) tax exemption is designed to encourage businesses to build or expand in urban areas throughout Washington state. In this case, the area near Richland is the Horn Rapids Industrial Park and the Richland Airport area.

According to the city:

"To qualify, the project must have a valuation of $800,000 or more and create 25 or more jobs that pay above the state-designated living wage. "

The business that will be setting up shop in the zone is ATI Inc. who already has a footprint there. According to the city:

"ATI, a Dallas, Texas-based specialty materials company that supports the aerospace and defense industries already has a facility in the Horn Rapids Area at 3101 Kingsgate Way. "

The city says they had been looking at other regions for expansion but chose to utilize this new program because it was the best option.

 According to the Association of Washington Cities, the TUA Program is a 10-year property tax exemption that remains as long as the company fulfills the terms and conditions of the program.