San Juan evaluates 20 applications for economic transformation incentives
The municipal program, which took effect on Oct. 1, offers grants of up to $150,000 and tax exemptions of up to 100 percent to eligible businesses in strategic sectors.
PhotoThe short version
- NotiCel reported that Mayor Miguel Romero Lugo announced the economic transformation plan is in its implementation phase after its administrative guidelines took effect on Oct. 1
- El Vocero reports the program has already received 20 business applications that are under evaluation for economic and tax incentives
- Both outlets state eligible businesses may request up to $150,000 in incentives and municipal exemptions of up to 100 percent depending on project category and evaluation
- NotiCel and El Vocero indicate the plan targets six strategic sectors including creative industries, gastronomic routes, specialized health services, knowledge-intensive professional services, information technologies and specialized experiential tourism
Program launches with first applications
San Juan is evaluating 20 applications from businesses seeking incentives under its Economic Transformation Plan. NotiCel reported that Mayor Miguel Romero Lugo said the program officially entered its implementation stage after its administrative guidelines took effect on Oct. 1. The mayor told reporters the city now has rules, evaluation mechanisms and the first applications from entrepreneurs interested in the incentives.
According to El Vocero, the initiative aims to promote the establishment, modernization and expansion of businesses while encouraging private investment and job creation or retention in the municipality. Pablo Rovira Bonnin, director of the municipal Department of Economic Development and Tourism, told the outlet that each application will be analyzed on its merits, taking into account project viability, proposed investment, jobs that could be created or retained and economic impact.
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What the sources posted
Posts and statements below are the sources' own words, quoted as published. They are not independently verified.
Hoy esa visión está en ejecución. Ya contamos con las reglas, los mecanismos de evaluación y las primeras solicitudes de empresarios interesados en aprovechar estos incentivos.
Our translation: Today that vision is in execution. We already have the rules, the evaluation mechanisms and the first applications from entrepreneurs interested in taking advantage of these incentives.
The source's own statement, as quoted by NotiCel. Not verified by PuertoRico.com.
Incentives and eligible sectors
NotiCel reported that eligible businesses can apply for economic incentives of up to $150,000 per business and fiscal year, as well as municipal tax exemptions of up to 100 percent, depending on the nature of the project, its category and the corresponding evaluation. For small and medium-sized enterprises in strategic sectors, ordinary amounts can reach up to $75,000. El Vocero reported the same incentive ceilings.
Both outlets state the plan identifies six strategic economic sectors: creative industries, gastronomic routes, specialized health services, knowledge-intensive professional services, information technologies and specialized experiential tourism. Projects in other economic activities that demonstrate economic impact and meet established requirements may also be considered. The incentives may be used for business development, acquisition of equipment and machinery, inventory, licenses, permits, insurance, payroll and certain essential services, as well as contributory benefits related to municipal patents, movable and immovable property and construction fees.
Where the sources differ
NotiCel and El Vocero agree on the Oct. 1 effective date of the administrative guidelines, the receipt of 20 applications under evaluation, the maximum incentive amounts of $150,000 and 100 percent exemptions, the definition of small and medium enterprises as those with average annual gross sales of $3 million or less and 25 or fewer full-time employees, and the six named strategic sectors. El Vocero adds details on possible revitalization of commercial and urban spaces including projects in Río Piedras, rehabilitation of vacant or abandoned properties declared public nuisances, and additional tax benefits for such properties, as well as the municipality's planned monitoring through indicators such as jobs created, private investment generated and properties rehabilitated. NotiCel includes contact information for the Concierge Empresarial at Plaza Las Américas.
What the reports do not say
The reports do not state how many of the 20 applications belong to each strategic sector, the total amount of funds available for the program, the deadline for submitting applications, when the first approvals or rejections are expected, or whether any applications have been approved to date. They also do not specify the exact amount of private investment or number of jobs associated with the pending requests.
Sources
Every link below was opened and checked when this story was published. Official means a government body, agency or the organization itself; Reporting means a news outlet.
- Official San Juan evalúa 20 solicitudes de incentivos en su plan de transformación económica
- Reporting San Juan evalúa 20 solicitudes de incentivos en su plan de transformación económica
- Reporting San Juan evalúa 20 solicitudes para incentivos económicos a negocios
How we checked this
NotiCel and El Vocero both reported the mayor's announcement and the basic parameters of the incentive program on Oct. 20. Details on evaluation criteria, eligible uses of funds and the requirement for a formal Economic Transformation Decree appear in both accounts. Information on urban revitalization projects and performance indicators rests solely on El Vocero.
Compiled by the PuertoRico.com News Desk from the reports and statements listed above, and checked against them before publishing. It does not include original interviews. Spot an error? Email support@puertorico.com with a link to this story.