Southeast Kansas Business Restoration Assistance Program
A Southeast Kansas (SEK) business restoration assistance program has been established for the purpose of assisting businesses with less than 50 employees that were in operation in one of the affected counties and damaged by the flooding and other severe weather in Kansas that began on June 26, 2007. The counties included in this SEK business restoration assistance program are: Allen, Anderson, Bourbon, Butler, Chautauqua, Cherokee, Coffey, Cowley, Crawford, Edwards, Elk, Franklin, Greenwood, Harper, Labette, Linn, Miami, Montgomery, Neosho, Osage, Pawnee, Wilson, and Woodson
The business restoration assistance program includes:
- Investment Assistance
A grant of up to 10% of qualifying investment made to rebuild or replace a business facility within the same community in one of the affected counties and the business machinery and equipment of a business that has been damaged or destroyed by the flood or other severe weather that began on June 26, 2007. - Job restoration Assistance
A grant of up to $3,500 per qualifying job to a business damaged by the flood and other severe weather that began on June 26, 2007 that restores an employment position within the same community in one of the affected counties. - Rental Assistance
An assistance grant for the rent paid by a qualified business to lease a temporary business facility within the same community while the permanent facility is being rebuilt. Rental assistance will be granted for a period of up to six months and may not exceed a total of $1,500.
The State Finance Council has set aside $5,000,000 for the investment assistance, job restoration assistance, and rental assistance program. To apply for these assistance programs, a business must complete and submit a Business Restoration Assistance application, Form PR-SEK. Applications will be accepted through June 30, 2008. Policies and procedures for this program are available here.
Sales Tax Exemption
The 2008 Kansas Legislature passed legislation enacting a sales tax exemption for those businesses located in the affected counties that were damaged as a result of the flooding and other severe weather that began on June 26, 2007. This sales tax exemption will exempt all construction, reconstruction, materials and machinery and equipment to be incorporated into the business facility. Replacement of damaged or destroyed fencing, the purpose for which is to enclose land devoted to agricultural use shall also be exempt from sales tax. To receive this sales tax exemption, the business must submit a request for project exemption certificate (Form PR-70BRP/SEK) to the Kansas Department of Revenue. Applications will be accepted through June 30, 2009.
If the business has incurred costs in the reconstruction of the business facility and has paid sales tax on those purchases made prior to June 5, 2008, a refund of sales tax paid may be requested. To receive a refund of sales tax paid, the business must submit a request for refund (Form ST-21SEK) to the Kansas Department of Revenue.
Questions may be directed to the Kansas Department of Revenue at (785) 296-3081 or to kathleen_smith@kdor.state.ks.us (kathleen_smith@kdor.state.ks.us).