Port of Muskogee development is the target of a plan to create a tax incentive district to help attract new industries to the area, spur job creation and economic growth.

City officials took a step Tuesday toward those goals when Finance Committee members agreed to do what is necessary to appoint a review committee to study the plan.

If the measure wins City Council approval, representatives from tax jurisdictions affected by the creation of a tax incentive district would be appointed to serve on the committee.

The committee would be charged with determining eligibility and researching the impact the proposed district would have on ad valorem tax collections.

City Manager Greg Buckley said the tax incentive district can be used as a tool to help attract the interest of companies looking to relocate to Muskogee or expand local operations.

“This continues our economic development focus and works to position us to be more proactive in our recruitment,” Buckley said of the tax incentive district proposal. “I think this is a positive tool to attract new industries.”

Buckley said the district would include the entire port, excluding property owned by the city. It would not include, Buckley said, parcels the city hopes to buy for the purpose of developing an industrial park.

The creation of a tax incentive district provides for reduced ad valorem tax assessments and collections or exemptions for a period of years. Tax incentive districts are intended to spur economic development in areas where growth is possible with the incentives authorized by the provisions of the state’s Local Development Act.

Ward I Councilor David Jones said the city has benefited from the tax incentive district developed for Dal-Tile.

“This is the same thing we did for Dal-Tile, and I think it was instrumental in getting them to locate here,” Jones said. “This has proven to be very beneficial in the past, and I fully support this proposal.”

Buckley declined to say whether the tax incentive district proposed for the Port of Muskogee is being used to lure any particular company. He did say, however, the city fields requests for proposals from companies interested in Muskogee on an ongoing basis.

The idea for the development of a new tax incentive district, Buckley said, was brought to him by Scott Robinson, director of the Port of Muskogee. Robinson was unavailable Tuesday to comment about his proposal.

By law, the creation of a tax incentive district requires the appointment of review committee, the members of which are dictated by statute. The committee must consider, among other things, whether the project will have a financial impact on any taxing jurisdiction within the proposed district.

If the review committee finds the proposed district meets all eligibility requirements and deemed appropriate under the law, the members’ findings will be made available at public hearings.