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The Advancement Foundation is seeking to be exempt from having to pay real estate and personal property taxes for the Virginia Innovation Accelerator that it operates out of the former Mundet Hermetite building in Buena Vista.
A proposed ordinance that would grant TAF exemption from paying taxes in Buena Vista states that the VIA “has demonstrated its potential to catalyze entrepreneurial growth and economic development in Buena Vista” and that the initiative “is anticipated to further invigorate the local economy, cultivate a culture of innovation and enhance the overall prosperity and resilience of Buena Vista, thereby contributing to the long-term vitality of the community; …” In supporting TAF’s request for tax-exempt status for the VIA, Kristina Ramsey, Buena Vista’s director of economic development, said the accelerator is “envisioned as a dynamic ecosystem that will provide a range of facilities and resources to support the growth and success of business in Buena Vista.”
This is to be accomplished through a variety of ways, she said, including: business acceleration services and office space for “start-ups and high-growth businesses,” value-added prod- uct development, small-scale manufacturing space, an outdoor recreation and tourism incubator, networking events and community gatherings, retail, food and beverage businesses and a housing component.
The immediate impact to the community, states Ramsey, is job creation, business growth and community engagement. Potential impacts she sees in the future include economic diversification, talent retention, enhanced quality of life, fostering innovation, supporting small business growth and attracting investment.
Estimated taxes the property would generate for the city would be approximately $11,000. Ashton Dorton, Buena Vista commissioner of revenue, recommended a partial tax exemption, with TAF being responsible for paying taxes based on the square footage of the building being leased to businesses. Ramsey asked that City Council “offer a full tax exemption and wholehearted support of TAF as they continue to contribute to the long-term vitality of the community.”
Council held a first reading last Thursday, April 4, on an ordinance for the full tax exemption. Council is scheduled to hold a second reading and take action on the request at its next regular meeting on April 18.
