Strategic Fund Job Growth Incentive

The Strategic Fund Job Growth Incentive is a cash incentive program administered by the Colorado Office of Economic Development and International Trade (OEDIT), specifically through its Global Business Development (GBD) division. This program is designed to support businesses that are considering relocating to or expanding operations within Colorado, provided the state is competing against at least one other state for the project. A critical requirement is that companies must secure a matching financial commitment from a local government or its designee to mirror any requested state incentive. This incentive aims to foster job creation by offering cash payments over a five-year period for each net new, permanent full-time job created and maintained in Colorado. The incentive value is tiered based on the location and wages of the newly created jobs. In economically disadvantaged areas such as Enterprise Zones, Opportunity Zones, Rural Jump-Start counties, and select Just Transition counties, the maximum incentive of $6,500 per eligible job is available, especially if wage thresholds are met or exceeded. In standard counties, the incentive ranges from $3,000 to $6,500 per job, depending on whether the average annual wage reaches 100%, 120%, or 140% of the county’s average. Projects in Just Transition counties also benefit from a temporarily waived local match requirement for up to $1 million, provided they initiate within six months of approval or by December 31, 2021, whichever is later. Eligible applicants must not initiate the project prior to receiving final approval from the Colorado Economic Development Commission. Activities such as leasing space, hiring employees, or committing funds may not occur before formal approval. The business must create and maintain full-time, permanent jobs in Colorado for at least one year. Additional criteria include having inter-state competitive conditions, generating significant capital investment, and demonstrating potential for economic spillover, such as attracting other companies or enhancing tourism. A key component of the program is the local match requirement, which mandates a 1:1 commitment from a local authority or approved organization. This match may be fulfilled through various mechanisms, including tax abatements, reduced permit fees, infrastructure support, or even discounted land or services. All proposed matches must be vetted and finalized in a contract, with flexibility granted for projects in Just Transition counties. The goal is to ensure shared commitment between the state and local entities toward economic growth. The application process begins with a mandatory consultation with GBD staff to assess eligibility. If approved for progression, businesses must submit several documents, including a Colorado employment plan, a cost differential analysis, and three years of financials at least 41 days before appearing before the Colorado Economic Development Commission. Final applications are submitted via the OEDIT application portal roughly 20 days prior to the commission’s meeting. If approved, companies have 18 months to launch the job creation effort. Applications are accepted on a rolling basis. For program-related inquiries, the designated point of contact is Dana Bakshani, Business Development Manager. She can be reached at 303-824-9803 or via email. The program supports job growth and economic resilience across Colorado and is complemented by related programs, including the Job Growth Incentive Tax Credit and Rural Jump-Start Program. Applications remain open year-round, but businesses must avoid starting eligible projects prior to receiving full approval to retain eligibility.

Do not begin project activities before receiving Commission approval; ensure local match terms are contractually valid and not routine.