Bill > HB1129

This bill modifies the rules for designating enterprise zones, which are areas intended to encourage economic development. Specifically, it clarifies that while businesses within these zones may be exempt from local sales and use taxes (taxes levied by a city or county), they will generally not be exempt from state sales and use taxes unless the Governor approves it. The bill also allows local governments to collect annual fees from businesses in these zones, which can be used to secure revenue bonds for infrastructure improvements within the zone, but these bond funds cannot be used to return the initial capital investment. Furthermore, it limits the number of enterprise zones that can be designated in urban redevelopment areas to prevent too many from being created in one place, and it sets a sunset date of July 1, 2026, for new designations, though it makes allowances for zones already in existence or in the process of being approved before that date.