Demographics and Statistics

Business Climate

Loveland is undergoing tremendous growth. Some of the significant commercial projects include:

Medical Center of the Rockies, a trauma level II hospital, to be complete in 2007. Poudre Valley Health Systems will open its second Larimer County Hospital located in the northeastern part of Loveland at Centerra in February 2007. With the rapid population increase, PVHS's new hospital, Medical Center of the Rockies, will be a Regional Trauma Center with a Level II designation as a regional provider and resource for trauma-related injuries, as well as a full service medical center. When Medical Center of the Rockies opens its doors, healing will be more than a daily focus for every member of the expert medical and clinical staff. It will also be built into every brick, carpet and courtyard - literally. The new regional hospital under construction at Interstate 25 and U.S. Highway 34 is working to earn certification through the U.S. Green Building Council's Leadership in Energy and Environmental Design, or LEED, program. No institutions in Northern Colorado and only one hospital in the country have received certification to date.

Group Publishing recently moved into their new building. The expansion of the publishing company's current campus was the result of substantial growth within the company. The $6 million project was designed and constructed by locally owned, the Neenan Company. The expansion includes a three-story, 47,000 square foot building. The addition is attached to the west side of the Group's existing office building, giving the Group a total of 120,000 square feet of building space. The building reflects the architecture and interior of a mountain lodge feel native to the northern Colorado area. The expansion will accommodates more then 100 additional professional employees. The Group currently has 400 staff members.

McKee Medical Center celebrating its 30th year in Loveland, has undergone extensive growth in the last few years. The addition of a new $40 million wing embodies a change in health care philosophy. The three floors add 120,000 square feet on the hospital's east side. The first floor added 60 beds to the hospital's existing 100 beds. The new surgical services on the first floor have 15 pre/post operative rooms. The seven operating rooms will underwent renovations and equipment upgrades. The new intensive care unit and telemetry on the second floor doubled the unit's beds from six to 12 with the ability to handle 34 beds. The third floor of the new wing, women's services boasts of 13 spacious - more than 350 square feet - birthing suites with Jacuzzi tubs. It doubles the hospital's former number of birthing suites and adds operating and recovery rooms for Caesarean sections, four triage rooms to monitor labor and a nursery with a lactation room.

The Promenade Shops at Centerra: A new outdoor life style mall opened October 2005. Some of the stores in the new mall include:

• Foley's Department Store
• Dick's Sporting Goods
• Helzberg Diamonds
• Select Comfort
• Bent Fork The Grill
• PacSun
• Chapungu Gallery
• American Eagle Outfitters
• Metrolux 14 Theatres
• Barnes & Noble
• Best Buy
• P.F. Chang's China Bistro
• Biaggi's Ristorante Italiano
• Coldwater Creek
• Victoria's Secret
• Express
• Bath & Body Works
• Red Robin Gourmet Burgers
• On The Border
• J. Jill, and Eddie Bauer

In the Historic Downtown area, developers have announced the new Lincoln Place, a multi-level office/business space with residential apartments on the upper levels.

Kroll Factual Data has added their third office building, a 32,000 square foot structure.

Heska Corporation is in their new 60,000 square foot office/research facility that houses 145 employees.

The Marketplace at Centerra is completing construction with the addition of JoAnn's, Old Navy, Marshall's, Ross, Panera Bread, Chick-Fil-A, Chipotle, Mimis Cafe, Pier I, PETsSMART, and much more.

The High Plains Environmental Center with plans for trails around both Equalizer Lake and Houts Reservoir.

Lowe's has opened a new location in Loveland.

A new medical building, Skyline Medical Center, was recently completed.

The new Larimer County Fairgrounds, The Ranch, and event center, Budweiser Events Center, was recently completed. Many residents enjoy hockey, conventions, concerts and numerous other large meeting space venues.

Clear Channel has announce the plans for a 12,400 square foot building to house their numerous regional radio stations, i.e., KSME 96.1 FM "Kiss", KQFL 97.9 "Sunny"; KPAW 107.9 FM, "The Bear"; KCOL 600 AM, news talk radio; and KIIX, 1410 AM, nostalgia music.

Back to Top

During the first quarter of 2006, every major industry sector represented in Northern Colorado experienced growth. Those in the service, manufacturing, government, retail trade and construction sectors saw the greatest expansion. Studies of the regional labor market describe a diverse workforce, powered by a strong work ethic. The region has been proactive in workforce development, with leaders in employment, education, economic development and industry working together to ensure that a quality labor force exists well into the future.

Back to Top

According to local employers, the productivity, knowledge base and work ethic of the people are key assets of the area labor force. Productivity levels are impressive and can be confirmed by visiting with local firms, such as Hewlett Packard, Agilent Technologies, The Group Publishing, Waterpik Technologies, Inc., etc.

Northern Colorado has one of the highest educated workforces in the nation. Layoffs in the high-tech industries, have left professionals from some of the industries' top ranked technology companies in search for new jobs.

The Colorado Department of Labor and Employment's Larimer/Weld Regional Job Vacancy Survey, Fall 2004, states:

"The Job Vacancy Survey sectors with the highest number of vacancies are: Government; Health Care & Social Assistance; Trade, Transportation & Utilities; and Leisure & Hospitality. Government alone has more vacancies than the bottom seven industries combined. Almost half of the vacancies in government are part-time permanent positions.

Health Care & Social Assistance has the second highest number of vacancies and the highest average wage in the survey at $19.00 per hour. This is nearly four times the minimum wage, and nearly $2.00 more per hour than the average wage in Construction, which is the second highest paying Job Vacancy Survey sector."

Back to Top

City Utilities:
The City of Loveland's Water and Power Authority provides low-cost electricity, high quality water and award-winning wastewater treatment to the community. In addition, the Public Works Department serves the community with storm drainage, solid waste disposal and recycling, street maintenance, and mosquito control services. Loveland's recycling program has received numerous awards.

Electric Service:
Platte River Power Authority (PRPA), a joint action agency formed by the cities of Fort Collins, Longmont, Loveland and Estes Park, supplies the Utility's electricity and power. PRPA's power comes from federally owned hydro-electric plants; a western Colorado coal-fired plant; Rawhide Energy Station, a 250-megawatt coal-fired plant 18 miles north of Fort Collins; and two 600-watt wind turbines 100 miles north of Fort Collins near Medicine Bow, WY. Loveland's residential customers enjoy low electric rates with only three out of 51 utilities in Colorado providing lower rates. Overall, residential electric rates have decreased by about 18% since Aug 1, 1995. The electric utility is debt-free.

Natural Gas:
Xcel Energy provides natural gas to Northern Colorado. It currently serves over 45,000 customers. Gas is the primary source of space heating in Northern Colorado.

Water:
Thoughtful planning has secured plentiful future water supplies for the region.

Back to Top

Colorado provides a competitive business tax structure that rewards investment and innovation. With very low taxes at the state level, and a wide range of local tax structures, Colorado offers almost unlimited choices to meet the needs of all types of businesses.

For Information About Starting A Business in Northern Colorado
General information about getting started in business in Colorado, plus specific information about licenses and permits may be obtained from the Loveland Center for Business Development.

Small Business Development Center

Kelly Peters 5400 Stone Creek Circle, Suite #100 Loveland, CO 80538 Phone (970) 667-4106 E-Mail: KPeters001@aol.com URL: www.lovelandbusinessadvice.com

Sales and Use Tax:
The State of Colorado collects a 2.9% sales and use tax on goods purchased or used in Colorado that are not intended for resale. Colorado's state sales tax rate is the lowest among 45 states that collect sales tax. (Source: Colorado Office of Economic Development and International Trade)
Legislation passed in 2001 allows for a 50% sales and use tax refund on tangible personal property used for research and development in years when there is a revenue surplus. Major exemptions include:

• Manufacturing equipment on machine tools over $500 purchased in one calendar year
• Component parts
• Fuels and electricity
• Packaging materials
• Aircraft parts used in general maintenance
• Interstate long distance telephone charges
• Ink and newsprint
• Farm Equipment and machinery

Local governments may collect additional sales taxes. Exemptions in home ruled municipalities may be different from the state's exemption.

Corporate Income Tax:
Effective January 1, 2002, Colorado's corporate income tax is a flat 4.63% of Colorado net income, defined as the corporation's federal taxable income with some modifications. All corporations that are located in or doing business in Colorado are subject to state corporate income tax. Corporations are required to file annual declarations of estimated tax if the tax liability anticipated exceeds $5,000.
Colorado is unique in that businesses may choose to calculate their state tax liability on the basis of a two-factor formula (revenue and property) or on the basis of the standard three-factor (revenue, property and payroll), which is less. Furthermore, the apportionment method can be changed annually.

Investment Tax Credits:
Business investments that qualify under the former federal guidelines for an investment tax credit can receive a one percent investment tax credit in Colorado, up to a maximum of $1,000 in any tax year. Excess credits may be carried forward up to three years.

Enterprise Zone Tax Credits:
Businesses in Colorado's urban and rural enterprise zones receive various investment tax credits, new employee tax credits, credits for research and experimental activities, vacant building rehabilitation, and contributions for miscellaneous building rehabilitation, and contributions for various qualifying activities with the enterprise zones. See description of Enterprise Zone benefits in the section labeled Incentives within.

*Example: Business tax credits available to corporations include the following: Investment Tax Credit of 1% of the purchase price with a maximum credit of $1,000 per year. The unused portion may be carried forward for three years. Domestic corporations receiving dividends from controlled foreign corporations can get credit for a portion of taxes paid by the foreign corporation to any state.

For more information about the Larimer County Enterprise Zones, contact:
Lew Wymisner
Larimer County Enterprise Zone Administrator
Larimer County Workforce Center
200 W Oak St, #5000
Fort Collins, CO 80522
970-498-6605; FAX 970-498-6673
email: LWymisner@larimer.org

Unitary Taxation:
Colorado has a liberal "water's edge" base for combined returns that does not apply the unitary tax concept beyond the United States. Specifically, foreign organized corporations, as well as U.S. organizations "80/20" corporation (those with 80% or more property and payroll outside the U.S.) are not included in a combined tax return with the companies doing business in Colorado. A foreign corporation or U.S. "80/20" corporation that does not do business in Colorado will not need to file, and one that does do business in Colorado will file an "entity only" apportioning return. Corporations doing business in Colorado, as well as other states, must apportion to Colorado that portion of their net income derived from sources within Colorado. These corporations may choose to utilize either Colorado Income Tax Act or the Multi-State Tax Compact as the basis to determine their Colorado income.

Individual/Personal Income Tax:
Individual income taxes are a flat rate of 4.63% of federally adjusted taxable income, with some modifications. Local governments in Colorado do not assess income taxes.

Property Taxes:
The state does not levy a property tax. Depending on the location within Larimer County, property taxes will amount to approximately 1.0% to 2.5% of the actual value of real estate. Industrial property is assessed for tax purposes at 29% of actual value.

Unemployment Taxes:
An employer's unemployment insurance tax liability is based on the taxable wage base, which is the first $10,000 of each worker's wage. If covered for the first time, the tax rate will be 1.7% (plus a .22% surcharge) of the wage base or a rate equal to the average for the industry, whichever is greater. Employers who are not yet eligible for the computed rate will be assessed a small surcharge. Beginning with the third and fourth year of coverage (rate calculations begin on January 1st and three years of data are required), the rate is changed to a computed rate based on the employer's individual experience. Most jobs pay significantly more than $10,000 per year, making the effective unemployment tax rate much lower than the 1.7% nominal rate. Colorado ranks 11th lowest in the nation for unemployment insurance premiums. (Source: Colorado Office of Economic Development and International Trade.)

Worker's Compensation:
Worker's compensation insurance is provided by over 200 private companies authorized to conduct business in the State of Colorado. Coverage for the majority of Colorado employers is provided by the State Compensation Insurance Fund, doing business as Pinnacol Assurance. The fund is a permanent, self-sustaining, nonprofit service organization operated for the benefit of its Policyholders and their employees. Employers meeting strict financial and loss control standards are permitted to self-insure under Colorado law.
Recent reforms have resulted in significant premium reductions for most employers. These reductions have saved Colorado employers well over $100 million in insurance premiums alone. Colorado ranks in the middle group of states in comparative worker's compensation costs. (Source: Colorado Office of Economic Development and International Trade)

Back to Top