Developing in Eau Claire means working with a city that values partnership. Whether you’re planning new housing, reimagining a downtown property, bringing new life to a vacant site, or adding to a growing corridor, our team can help you explore available resources and opportunities that support responsible development. Eau Claire offers access to a variety of local, state, and federal programs that may help offset certain costs, prepare sites for reuse, or encourage long-term investment that benefits the community. Think of this page as your starting point for learning what tools might fit your project.
Eau Claire’s local incentive programs are intended to help make strong projects feasible by addressing infrastructure challenges, encouraging redevelopment in priority areas, and supporting investment on sites that might not otherwise move forward. Developers who partner with City staff early may be able to align project goals with community priorities to unlock support that makes investment go further.
A financial tool that reinvests the new tax value created by a project back into project-related costs
Who May Qualify: Developers of commercial, residential, or mixed-use projects in designated districts
Potential Uses: Site preparation, public infrastructure improvements, utility extensions, environmental remediation, gap financing
Partnership opportunities with the City of Eau Claire Redevelopment Authority (RDA) on select sites
Who May Qualify: Developers working on projects that align with district redevelopment plans
Potential Tools: Land conveyance, site assembly, TIF participation, environmental cleanup support, assistance through state and federal grant programs
Support for projects that require environmental cleanup, demolition, grading, or infrastructure work
Who May Qualify: Developers or businesses investing in redevelopment of underutilized or City-owned sites
Potential Uses: Demolition of obsolete structures, grading or soil stabilization, environmental testing or remediation, utility extensions
Funding and technical assistance for assessment and cleanup of contaminated or underutilized sites
Who May Qualify: Developers planning to revitalize former industrial or commercial properties
Potential Sources: Wisconsin Department of Natural Resources (DNR), WEDC Brownfield Grants, EPA programs accessed through the City of Eau Claire
Locally administered financing designed to bridge the gap between private funding and total project costs
Who May Qualify: Developers or businesses investing in new construction or rehabilitation within city limits
Potential Uses: Building improvements, property acquisition, construction, working capital, other eligible project expenses
Zero-interest financing designed to help property owners upgrade the exteriors of commercial buildings
Who May Qualify: Property owners or tenants in designated commercial corridors within city limits
Potential Uses: Storefront restorations, masonry repair, signage, lighting, other exterior or code-related improvements
State incentives can complement local resources by helping strengthen a project’s financing, encourage adaptive reuse or expansion, and support developments that contribute long-term value to Wisconsin communities. Developers who work with City staff to connect with state agencies may be able to identify opportunities that align with project goals or timelines.
| Tax Rate | Wisconsin | Minnesota | Illinois |
|---|---|---|---|
|
Corporate |
7.9% |
9.8% |
9.5% |
|
Personal Income |
3.50%-7.65% |
5.35%-9.85% |
4.95% |
|
Sales & Use |
5% |
6.875% |
6.25% |
|
Unemployment |
Base: $14K |
Base: $40K |
Base: $13K |
|
Compensation |
0.27%-9.8% |
0.67%-10.816% |
0.85%-8.65% |
Wisconsin’s Manufacturing & Agriculture Credit gives entities in these industries an effective corporate tax rate of 0.4%.
Wisconsin businesses can claim tax credits against the corporate income and franchise tax. These credits generally fall into six categories:
Property
Manufacturing Machinery & Equipment
Merchant & Manufacturing Inventory
Waste Treatment Facilities
Computer Equipment
Alternative Energy
Manufacturing Fuel,
Materials, & Electricity
Manufacturing Machinery & Equipment
Manufacturing & Biotech Research
Pollution Abatement, Waste Treatment, & Research Equipment
A refundable Wisconsin state tax credit designed to support businesses undertaking major expansions or relocations into certified enterprise zones within the state
Who May Qualify: Businesses expanding or relocating operations in designated Wisconsin enterprise zones (subject to meeting certification requirements set by the Wisconsin Economic Development Corporation)
🔗 wedc.org
A performance-based, refundable state tax credit designed to help businesses expand, relocate, or invest in Wisconsin by linking tax benefits to job growth, capital investment, training, or headquarters retention/relocation
Who May Qualify: Businesses expanding operations in Wisconsin, relocating to Wisconsin, or making significant capital investment (subject to meeting certification requirements set by the Wisconsin Economic Development Corporation)
🔗 wedc.org
A state income tax credit equal to 20% of eligible rehabilitation costs for certified historic, income-producing properties that can be paired with the federal Historic Tax Credit for a combined 40% benefit
Who May Qualify: Developers or property owners rehabilitating income-producing properties that are listed on the National or State Register of Historic Places or that contribute to a registered historic district
🔗 wedc.org
A state-administered tax credit program that complements the federal Low-Income Housing Tax Credit (LIHTC) by incentivizing private developers to build or rehabilitate affordable rental housing
Who May Qualify: Private developers and housing organizations undertaking affordable or mixed-income rental projects in Wisconsin
A state tax credit that rewards manufacturing and agricultural production in Wisconsin by reducing income tax liability for qualifying businesses
Who May Qualify: Businesses (corporations or pass-through entities) that own or rent and use real or personal property in Wisconsin that is assessed for manufacturing or agricultural use, and that derive eligible “qualified production activities income” from that property
A state tax credit designed to reward companies that perform qualifying research and development activities within Wisconsin
Who May Qualify: Businesses (corporations, S-corporations, partnerships, LLCs, or individuals/shareholders) that incur Wisconsin-qualified research expenses (QREs) in the taxable year and meet the statutory calculation requirements
A state tax credit designed to encourage investment in early-stage Wisconsin businesses that show strong potential for innovation and job growth
Who May Qualify: Angel investors, angel investment networks, and certified venture funds that make full-equity (cash) investments in businesses headquartered in Wisconsin and certified by the Wisconsin Economic Development Corporation (WEDC)
🔗 wedc.org
State tax credits designed to encourage private equity investment in early-stage Wisconsin businesses certified by Wisconsin Economic Development Corporation (WEDC)
Who May Qualify: Accredited individual investors or angel investment networks (Angel Tax Credit) and certified fund managers (Early Stage Seed Credit) making cash equity investments in a Wisconsin-based “Qualified New Business Venture” (QNBV)
Note: Most grant funds are awarded to the City of Eau Claire or partner organizations and then aligned with eligible private development projects. Our team can help determine which tools may best fit your project.
Funding for Phase I/II assessments and limited demo/cleanup where contamination fears block redevelopment
Who May Qualify: Developers who partner with local governments, tribal entities, or select private parties
An EPA-funded grant program through the Wisconsin Department of Natural Resources (DNR) providing zero/low-interest loans and grants for brownfield cleanup
Who May Qualify: Developers who partner with local government units, nonprofits, or tribal entities
Grants to remediate environmental contamination on commercial/industrial brownfield sites to position them for redevelopment
Who May Qualify: Counties, cities, villages, towns, tribal governments, businesses, or individuals
🔗 wedc.org
Grants to help redevelop large, idle, or underutilized industrial/commercial sites (2+ years inactive), covering demo, remediation, infrastructure, site prep, etc.
Who May Qualify: Developers who partner with counties, cities, villages, towns, tribal governments, or other public entities
🔗 wedc.org
Competitive grants for catalytic downtown and commercial corridor projects that redevelop, infill, or reuse key properties
Who May Qualify: Counties, cities, villages, towns, tribal authorities, or private developers designated by a municipality
🔗 wedc.org
Grants (typically up to 50% of eligible cost) for road, rail, or transportation improvements needed to secure job-creating projects
Who May Qualify: Developers who partner with counties, cities, villages, or towns
CBDG – Economic Development
Grants to help local governments assist with business expansions that create/retain jobs for low- to moderate-income (LMI) residents
CDBG – Public Facility Economic Development
Grants for public infrastructure that directly supports business expansion/retention (water, sewer, streets, etc.)
CDBG – Planning
Grants that can underwrite small area plans or redevelopment studies that set up future private projects
CDBG – Affordable Housing
Grants to help communities improve and expand the supply of affordable housing for low- to moderate-income families through no-interest, deferred loans
CDBG – Rural Economic & Area Development Initiative
Grants for local governments to grant funds to certified Community Development Organizations for economic, housing and job training projects that benefit low- and moderate income individuals
CDBG – Public Facility
Grants to help support infrastructure and facility projects for communities, including streets, drainage systems, water and sewer systems, sidewalks, and community centers
CDBG – Emergency Assistance Program
Grants to assist communities with recovery from a recent natural or manmade disaster
Grants to municipalities to activate underused spaces into public gathering areas and placemaking projects
Who May Qualify: Developers who partner with counties or smaller municipalities (generally under 50,000 population) that do not receive direct HUD CDBG funds
🔗 wedc.org
Federal programs can provide another layer of support for projects that deliver community and economic benefits, such as helping to reduce certain development costs, improving project feasibility, encouraging investment in areas aligned with broader redevelopment goals, and so on. Developers who work with City staff to pair them with local and state programs may be able to enhance the overall impact of a project.
A federal program that encourages private investment in economically distressed communities by offering capital-gains tax benefits for qualified investments made through Opportunity Funds
Who May Qualify: Investors or developers reinvesting capital gains into certified Qualified Opportunity Funds (QOFs) that, in turn, invest in real estate or operating businesses located within designated Opportunity Zones
🔗 irs.gov
A federal incentive that encourages the preservation and adaptive reuse of historic buildings by offering a tax credit for qualified rehabilitation expenses
Who May Qualify: Developers rehabilitating income-producing buildings that are listed on, or eligible for, the National Register of Historic Places or that contribute to a registered historic district
🔗 irs.gov
A federal program that incentivizes private investment in affordable rental housing by offering income tax credits to developers of qualifying projects
Who May Qualify: Developers building or rehabilitating rental housing that sets aside a portion of units for low- to moderate-income households, with rent restrictions in place for at least 30 years
A federal program that attracts private investment to economically distressed communities by offering investors a tax credit for equity investments in qualified projects
Who May Qualify: Developers or businesses undertaking commercial, mixed-use, or community-serving projects located in federally designated low-income census tracts
A federal tax credit that encourages businesses to invest in renewable energy systems and energy-efficient technologies by offsetting a portion of installation costs
Who May Qualify: Commercial property owners, developers, and businesses that install eligible renewable-energy systems on new or existing buildings
🔗 irs.gov
A federal tax credit that rewards employers for hiring individuals who face significant barriers to employment
Who May Qualify: Employers (for-profit or tax-exempt) who hire someone from a certified “targeted group” (such as qualified veterans, ex-felons, recipients of certain public assistance programs, or long-term unemployed individuals) and who meet the required screening and certification process
🔗 irs.gov
Note: Most grant funds are awarded to the City of Eau Claire or partner organizations and then aligned with eligible private development projects. Our team can help determine which tools may best fit your project.
U.S. Economic Development Administration (EDA)
A federal grant that supports planning, infrastructure, and economic recovery projects in communities facing economic distress
Who May Qualify: Developers who partner with cities, counties, tribes, or economic development organizations
🔗 eda.gov
A federal grant that funds construction and infrastructure projects that spur job creation and economic growth
Who May Qualify: Developers who partner with local governments, tribes, or nonprofits
🔗 eda.gov
A federal grant that targets distressed labor markets with investments to close employment gaps and expand economic opportunity
Who May Qualify: Developers who partner with local or regional coalitions, governments, or tribes
🔗 eda.gov
A federal grant that builds capacity for innovation clusters through infrastructure, workforce, and commercialization initiatives
Who May Qualify: Developers who partner with regional consortia including government, industry, nonprofits, and academia
🔗 eda.gov
A federal grant that supports entrepreneurship, tech commercialization, and innovation ecosystem growth
Who May Qualify: Developers who partner with governments, nonprofits, or venture development organizations
🔗 eda.gov
U.S. Department of Housing & Urban Development (HUD)
A federal grant that assists with affordable housing production and rehabilitation
Who May Qualify: Developers who partner with states, counties, or cities
A federal grant that transforms distressed neighborhoods through housing redevelopment, economic mobility, and community amenities
Who May Qualify: Developers who partner with housing authorities, cities, or tribes
U.S. Environmental Protection Agency (EPA)
A federal grant that provides funding to assess contamination on brownfield sites
Who May Qualify: Developers who partner with states, counties, cities, nonprofits, or tribes
🔗 epa.gov
A federal grant that provides cleanup funding for contamination on qualifying properties
Who May Qualify: Developers who partner with local governments and nonprofits that own the targeted property
🔗 epa.gov
A federal grant that funds combined assessment and cleanup activities on priority redevelopment sites
Who May Qualify: Developers who partner with local governments, nonprofits, or tribes
🔗 epa.gov
U.S. Department of Transportation (DOT)
A federal grant that funds multimodal transportation projects that improve mobility and safety
Who May Qualify: Developers who partner with states, counties, cities, metropolitan planning organizations (MPOs), or tribes
A federal grant that supports large-scale freight, highway, and multimodal movement projects
Who May Qualify: Developers who partner with states, counties, cities, port authorities, or metropolitan planning organizations (MPOs)
A federal grant that funds safety action plans and safety improvement projects to reduce traffic deaths and injuries
Who May Qualify: Developers who partner with local governments, metropolitan planning organizations (MPOs), or tribes
A federal grant that supports community transportation enhancements, especially active transportation
Who May Qualify: Developers who partner with local or state agencies, school districts, or natural resource agencies
U.S. Department of Energy (DOE)
A federal grant that funds innovative energy efficiency and renewable energy deployment
Who May Qualify: Developers, governments, nonprofits, and universities
A federal grant that provides funding to state and local agencies to support weatherization and energy improvements
Who May Qualify: Developers who partner with state or local governments or community action agencies
A federal program that provides formula grants for local energy initiatives
Who May Qualify: Developers who partner with states, counties, cities, or tribes
Every development project is unique, but here’s what to expect when you partner with Eau Claire.
Schedule a Consultation
Reach out early, ideally while you’re still shaping your concept or running project pro formas. The City of Eau Claire Economic Development Division and our partners will walk through your site, timeline, and investment goals to identify potential incentives and approvals. Early discussions often save time later by ensuring your project aligns with district goals and funding requirements from the start.
Review the Project Fit
Once submitted, City staff will then review your proposal for compatibility with zoning, redevelopment plans, and community priorities. This stage helps confirm whether your project meets the criteria for incentive consideration and where adjustments might strengthen the application. You’ll get clear feedback and guidance to help refine your concept before formal submission.
Build the Incentive Package
If your project concept aligns with City plans and goals, the Economic Development Division will help structure an incentive package tailored to your needs. This may include modeling potential TIF participation, identifying supporting grants, or coordinating with partner agencies. Together, we’ll outline a realistic timeline for reviews and approvals so you can plan your financing and construction phases with confidence.
Secure Approvals
Depending on the type of incentive, formal approvals may be required from Eau Claire City Council, the Redevelopment Authority, the Loan Administration Board, or the Finance Department. We’ll help prepare the necessary materials, including development agreements, financial projections, and public benefit documentation, and guide you through the meeting schedule and process.
Implement the Agreement
After approvals are in place, agreements will be finalized so you can move into project delivery. The City tracks performance milestones like construction start, investment levels, occupancy, or job creation, ensuring accountability and mutual success. Our goal isn’t just to approve projects; it’s to see them built, occupied, and contributing to Eau Claire’s continued growth.
Connect with the City of Eau Claire Economic Development Division to explore incentive eligibility and timelines for your development project.