In late 2006, the City of Burlington was designated as one of only five pilot cities for the new Targeted Jobs Withholding Tax Credit program.

Under this program, a withholding agreement between the city and the employer allows up to 3% of the gross wages paid by the business to be directed to the city on a quarterly basis. The city must then match these funds dollar for dollar and use the funds in an urban renewal project related to the employer.

A 'targeted job' is defined as a job with a business that is or will be located in an urban renewal area and that pays a minimum wage equal to the county-wide average wage. In addition, the withholding agreement must be with:

1. A business that is locating to its community from another state and is creating targeted jobs within an urban renewal area; or

2. An existing Iowa business that is creating ten new targeted jobs or makes a qualifying investment of $500,000 within an urban renewal area.

The maximum term of a withholding agreement is ten years.

View the City of Burlington's Urban Renewal Area map.