During the late 70’s early 80’s downtown had a 50%              occupancy rate.

Business Leaders, Property Owners, Elected officials, Chamber of Commerce, work together to establish the Downtown Smithfield Development Corporation.

The town of Smithfield was designated a Main Street           Community in 1986 by the NC Main Street Program.

501 (c)3 Nonprofit Organization

Downtown Smithfield ‐ “Sense of Place” “Character”

Downtown Smithfield is on the National Register of Historic Places.

InitiativeThe purpose of the Smithfield Historic Area Revitalization Plan or (S.H.A.R.P) is to encourage the rehabilitation of older buildings and/or promote infill growth with new commercial development in the Downtown Smithfield MSD.

Grant Incentive The sum of money, established by Johnston County as $0.78 per $100 property valuation, the Town Council as $0.57 per $100 property valuation, as well as $.019 per $100 property valuation (Municipal Service District (MDS)) of the difference between the current or preconstruction appraised tax value of a parcel(s) of property and the post-construction appraised tax value of same said parcel(s).

(1) Proposed development/rehab plans are presented to the Town of Smithfield City Manager / Planning Department, the office of theDowntown Smithfield Development Corporation, and the Smithfield Historic Commission prior to development or renovations for design approval.

(2) If approved, documentation from the developer is signed stating the proposed project would not have been considered in the downtown district had it not been for the “S.H.A.R.P.”

(3) Appraised tax value of site or building is determined by Johnston County Tax Office before renovation/construction begins. (current)

(4) Appraised tax value of site or building is determined by the Johnston County Tax Office after renovations/construction is completed.

(5) Developer pays annually the full amount of newly appraised tax valueon the property/development.

(6) Johnston County, Town of Smithfield, and Downtown SmithfieldDevelopment Corporation “grants” property owner amount paid, minusthe original tax value payment before the renovation/construction hadbegun.

(7) 5 years is the proposed grant time period.

(8) On 6th year, developer will pay full amount of the newly appraised taxvalue of the property without grant.

Revitalization Program Requirements.The following requirements apply to and are available under the revitalization program:

(1) The project area shall be designated as set forth in attached map which is incorporated here in fully by reference as the delineated area of the Downtown Smithfield MSD.(2) Any commercial property owner within the project area is eligible to apply. (3) Each commercial property owner engaged in a project(s) in the project area is eligible for the program incentives.(4) Incentives shall be for new construction only deemed in character to be consistent with the zoning requirements of the Smithfield Zoning District.(5) Any person starting a project after passage will be eligible to make application to the Town of Smithfield to participate in theS.H.A.R.P. incentive program.(6) Applicants must be the property owner and taxpayer for property.

(7) Incentives must be used for commercial property to include mixed uses, but not necessarily be limited to the following:

Banks and other financial institutions;Current Industrial Zoning Districts uses in project area;Hotels and motels;Offices/businesses, professional and public;Restaurants;Residential uses in support of a business district;Retail stores;

(8) This program does not apply to existing or renovation projects or properties.(9) Structures must meet state and local building codes as approved by the local building inspector.(10) Applications will be administered by the town.(11) Applications shall be reviewed by Town of Smithfield staff to ensure full compliance with the S.H.A.R.P. grant.

Example:Empty 1/2 acre of land - $50,000 tax value

$0.78 = $390 Annual County Tax$0.57 = $285 Annual Town of Smithfield Tax$0.19 = $95 Annual DSDC MSD Tax$770 Total Annual Tax (Before Development)

Proposed development - Construction/Development -$750,000 tax value$0.78 = $5,850 Annual County Tax$0.57 = $4,275 Annual Town of Smithfield Tax$0.19 = $1,425 Annual DSDC MSD Tax$11,550 Total Annual Tax (After Development)

Grant ProposalUnder above example, owner Pays $11,550 annually inboth County and Town Taxes

Owner is then “granted” back annually $10,780 $11,550 New Tax - $770 Previous Tax $10,780 Annual Tax Grant

5 years. = $53,900 Total Grant

Benefits• Immediate Water/Sewer/Electrical sales• County and Towns are currently doing this for industrial• Reducing “White Elephant” buildings or blight• Supporting locally owned businesses/citizens• Supporting “Smart Growth” and controlling urban sprawl• Infrastructure is already in place• Increasing property value of neighboring buildings already in use or redeveloped• Government has always been involved in the development business - The taxpayers fund all of these projects.

USDA Loans, NC Rural Center Loans, NCDOT building roads, County/Towns running water and sewer lines, etc.

• The positive about this idea is the developer is getting back “their” tax dollars… not someone else’s.

The incentive plan is in its infant stage; nevertheless regional developers already have architectural firms designing both rehab projects, as well as new construction within Downtown Smithfield. The Staff of the Downtown Smithfield Development Corporation has already assisted in having a similar plan adopted in a neighboring Johnston County town – Selma.

"The Downtown Incentive Plan recently adopted by the Town of Selma is a win-win for the property owner, developer, and the citizens of Selma. I am confident that in future years this Incentive Plan will be recognized as the catalyst that eliminated blight and adding tax value to the East Anderson Street area, as well as stimulated economic development in other areas of Uptown Selma."

Stan Farmer – Town Manager, Selma NC

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