Location Neutral Employment (LONE) Incentive

The Location Neutral Employment (LONE) Incentive provides companies that will be approved for a Job Growth Incentive Tax Credit (JGITC) with an additional cash incentive for each remote worker employed in an eligible rural county outside the county where the JGTIC project is based.

The additional performance-based cash incentive for remote workers is a Strategic Fund Job Growth Incentive (SFJGI). As an additional perk, SFJCIs used as part of the LONE incentive waive the $1:$1 local match usually required by the SFJGI.

The incentive term of the SFJGI cash portion of the LONE incentive is five consecutive years with one payment at the end of that term, while the JGITC portion of the incentive has an eight-year term and is paid annually.

Incentive levels per eligible net new rural job (NNRJ) vary based on the number of jobs created in rural areas. There is also an exception for NNRJs located on Southern Ute Indian or Ute Mountain Ute Reservation lands, which would receive the maximum per job incentive of $6,500 regardless of the number of NNRJs created.

Number of NNRJs    Cash Per NNRJ  
1-10 $3,000
11-15 $4,000
16+ $6,500

 

The net new remote rural workers created through a project will count in the JGITC job and average annual wage calculations.

Eligibility

Companies hoping to take advantage of LONE must receive a Job Growth Incentive Tax Credit.

All rural NNJs must be full-time permanent positions and maintained for at least one year in each evaluation period. To qualify as an eligible remote rural worker, that employee must work at least three days per week on average in a rural remote location.

Rural jobs may be distributed geographically over a number of rural areas as long as the county is currently eligible or has been eligible for the Rural Jump-Start (RJS) Program. As long as the total project JGITC average annual wage requirement is met, then the LONE average annual wage requirement is also met.

Application Process

If you are considering applying for JGITC, please follow the application process for JGITC and let the following Global Business Development contact know that you are interested in the LONE incentive during the application process.

Reid AronsteinReid Aronstein
Global Business Development Manager
Industries: aerospace, financial services, transportation & logistics, bioscience, tourism, electronics, creative industries
Email Reid

 

Max Nathanson
Global Business Development Manager
Industries: energy & natural resources, IT/software/cybersecurity, advanced manufacturing, infrastructure engineering, outdoor recreation, food & agriculture, health & wellness
Email Max

 

Community Marketing Grants

Rural communities may also apply for up to $5,000 in Location Neutral Employment Program marketing funds to help attract companies to locate remote rural workers in their community. The purpose of this grant is to attract out-of-state companies, not companies from one area of Colorado to another area of Colorado.

Regional applications need to designate a lead county in the application portal.  To apply for a marketing grant for your community, please follow the instructions below:

  1. Download and sign the LONE Code of Ethics & Principles of Engagement to be submitted with your application.
  2. Download and fill out this sample budget spreadsheet to be submitted with your application.
  3. Visit the grants portal through the Department of Local Affairs (DOLA).
  4. Login to your current account or create a new account.
  5. At the Grants Portal main page, click on Applications, and then click Apply for New Funding Opportunities.
  6. Click on REDI, click the black down arrow, scroll down to the bottom and click the blue Apply button next to the LONE Rural Economic Development Initiative.
  7. Fill out the application and submit.

We held an informational webinar on the program to help answer questions that Colorado communities and local partners may have.

Reid Aronstein Reid Aronstein Global Business Development Manager reid.aronstein@state.co.us