|
Dry Fire Hydrant Tax Credit Program
PURPOSE
Provides tax credits for the installation of a dry fire hydrant system to provide fire protection and potential economic improvement for rural development of the state.
AUTHORIZATION
Section 320.093, RSMo
ELIGIBLE AREAS
Statewide
ELIGIBLE APPLICANTS
Missouri individuals, firms, and corporations
ELIGIBLE CRITERIA
The standards to be met by the dry fire hydrant are listed in the Natural Resource Conservation Service Dry Fire Hydrant Standards. In addition, to be eligible for credits:
- Payments made by cash will not be eligible for the tax credit.
- Each body of water or water storage structure, shall allow for the provision of two hundred fifty gallons per minute (250 gpm) of water for a continuous two–hour period during a fifty-year drought or freeze at a vertical lift of eighteen feet.
- Each dry hydrant shall be located within twenty-five feet of an all weather roadway (not dirt) and accessible to fire protection equipment.
- Dry hydrants must be located a reasonable distance from other dry or pressurized hydrants.
- The site shall provide measurable economic improvement potential for the rural area.
PROGRAM BENEFITS/ELIGIBLE USES
Tax credits shall be equal to fifty percent (50%) of the costs in actual expenditures for any new water storage construction, equipment, development and installation of the dry hydrant, including pipes, valves, hydrants and labor for each such installation of a dry hydrant or new water storage facility.
In-kind contributions are allowed; however, in-kind labor is not an allowable expense. In-kind contributions shall not exceed twenty-five percent (25%) of the total amount of contribution for which the credit is claimed.
Donation of land is a non-eligible expense.
Funding Limits
- The amount of tax credits that can be claimed cannot exceed $5,000 per project.
- The total amount of credits available per fiscal year is $500,000.
APPLICATION/APPROVAL PROCEDURE
A pre-application form is to be submitted to the State Fire Marshal’s office notifying the State of the issuance of a permit for construction of the dry fire hydrant system. The State Fire Marshal’s office will then notify the Department of Economic Development (DED), who will then mail to the applicant a tax credit claim form to be completed by the applicant.
The final authorization form is to be completed by the applicant after the installation and inspection of the dry fire hydrant system and submitted to DED along with expenditure verifications. DED will issue tax credits based upon availability of the credits at the time of receipt.
REPORTING REQUIREMENTS
The "Tax Credit Accountability Act" reporting form must be submitted to DED by June 30 each year for three years following the year of the first issuance of tax credits.
Special Program Requirements
- A permit shall be issued and the State Fire Marshal (or designee) shall conduct final inspection for construction and installation of any dry fire hydrant site prior to approval of credits.
- Any dry fire hydrants installed prior to August 28, 2007 shall not be eligible to receive credits for the installation.
- Tax credits cannot be refunded.
- Tax credits can be carried forward up to seven years.
- Tax credits are transferable upon approval by the Missouri Department of Economic Development and Missouri Department of Revenue and the issuance of appropriate forms.
- No new credits will be issued under this program after August 28, 2010.
Credits are subject to 2.5% issuance fee.
CONTACT
Missouri Department of Economic Development
Division of Business and Community Services
Finance Management Team
301 West High Street, Room 770
P.O. Box 118
Jefferson City, MO 65102
Phone: 573-751-4539
Fax: 573-522-4322
E-mail: dedfin@ded.mo.gov
Business and Community Services
301 W. High Street, Rooms 720, 770 Jefferson City, Missouri 65102
Tel: 1-866-647-3633 Fax: 1-573-751-7384 Email: missouridevelopment@ded.mo.gov
| 
