Renaissance Zone Legislation
The original Renaissance Zone legislation was passed by the 56th Legislative Assembly in 1999, which enabled local governments to establish Renaissance Zones and associated Renaissance Zone Funds (see RZ Plan for additional details). The legislation was signed into law on April 8, 1999 and was originally intended to be a fifteen (15) year program.
The City of Fargo signed a Memorandum of Understanding (MOU) with the North Dakota Division of Community Services on December 28, 1999 and an updated MOU was recently finalized on December 28, 2014 which effectively extended the program another five (5) years.
Renaissance Zone property tax and income tax exemption benefits are only available to eligible properties that are located within the defined boundary. Pursuant to N.D.C.C. 40-63-03 the City of Fargo is allocated a total of 38 blocks. The original '1999' legislation allocated a total of 20 blocks to the City of Fargo and the block allocation continued to change as the legislation evolved. A detailed summary and audit of the boundary changes is provided in the 2015 RZ Plan. Since the original plan was established in 1999, Fargo's boundary has been modified or changed five (5) times [1999, 2001, 2003, 2006, 2014, 2015].
RZ Plan Requirements
The original City of Fargo RZ Development Plan was approved in December of 1999 and updates were completed in 2001 and 2003. The Plan was recently updated (December 2015): 2015 Renaissance Zone Development Plan to comply with N.D.C.C. 40-63-01(2)(a-e) requirements that include the following:
- A map depicting the geographic boundary of the Renaissance Zone;
- Block-by-block analysis of structures and target areas;
- An outline of applicable goals and objectives;
- A description of the types of projects desired for each target area;
- Promotion and management strategies to maximize investment.
As established in state law (N.D.C.C. 40-63-07) a Renaissance Zone Fund (RZF) organization is an entity established by the local zone authority for the purpose of raising funds to finance zone projects. For investors, the amount of tax credit (state tax liability) is equal to 50% of the amount invested during the taxable year. A RZF may invest in any residential, commercial or infrastructure projects in the zone or in any designated Renaissance Zone city. For additional information on RZ Funds, please contact the City of Fargo Planning Department at 241-1474.