Department of Economic Development
Reference: City of Brighton Economic Development Business Incentive Policy
To: Mayor Gregory Mills and Members of City Council
Through: Michael P. Martinez, City Manager
Prepared By: Michael Masciola, Economic Development Manager and
Robin Martinez, Economic Development Director
Date Prepared: January 24, 2025
PURPOSE
The purpose of this agenda item is to update our incentive policy is to create specific guidelines and structure for the City’s economic business incentive offers with the intent to:
• Create a structured process with identified guidelines for eligibility, parameters, incentive types, and processes
• Create an expedited process to meet the demands of the current market
• Align Brighton’s incentives with the City’s strategic plan and objectives
• Remain competitive among other communities
BACKGROUND
In 2014, City Council approved an incentive policy created by the Brighton EDC. The initial incentive policy was designed as a best practice and information tool to guide incentive offers the City may consider in future negations. This policy was more of a general recommendation on how to structure and implement incentives but did not include standard criteria or processes to which staff and businesses could refer.
The needs and interests of prospective businesses and developers has changed over the last 10 years. EDC staff has spent several months exploring the competition, current market, needs, and challenges. Staff interviewed local, regional, and national site selectors, developers, Brighton EDC Investors, and other companies to understand what the best practices and competition looks like both locally and nationally. We spoke with local developers and brokers who have worked in partnership with the City for several years to better understand what is working and what is not working as it relates to the City’s current processes. The number one incentive companies are looking for is an expedited timeline process, followed by cost savings to help reduce the impact of rising costs and fees related to real estate, construction, and utilities.
When creating the current incentive policy and Expedited Development Review Process, the EDC reviewed incentive agreements approved by Brighton City Council over the last 10 years, as well as current incentive policies being offered in other local communities. We then created the initial draft and recommendations for review and comments by City Manager Martinez, Deputy City Manager Falconburg, City Attorney Calderon, Finance Director Asher, Brighton Fire, and the Brighton Development Review Committee (directors from Community Development, Public Works, Utilities, and Parks and Rec). This document was created with great collaboration and partnership among all parties to come to an agreement that works for both the public and private entities of our community.
CRITERIA BY WHICH COUNCIL MUST CONSIDER THE ITEM
Because of inherent competition locally, nationally, and internationally for new business and jobs, incentives are sometimes necessary to allow a community to reach its full economic potential and to remain competitive. Not every project that comes into the City of Brighton will qualify for consideration of an incentive agreement or expedited review process. Projects that do meet the identified criteria will be considered for review and approval administratively by the City Manager or a vote by City Council. City Council will be informed by the Economic Development Office and/or City Manager of all incentive agreements being considered.
FINANCIAL IMPACT
Business rebates on City Personal Property Tax, Use Tax, Sales Tax and other potential funding sources.
ATTACHMENTS
City of Brighton Economic Development Business Incentive Policy and Expedited Development Review Process.