Military Reuse Zone

OVERVIEW

The Military Reuse Zone (MRZ) was established by the state legislature in 1992 to lessen the impact of military base closures. Currently there are two Military Reuse Zones in Arizona. In 2001, the MRZ designation was renewed for the former Williams Air Force Base, now known as Phoenix-Mesa Gateway Airport. In December 2002, the former U.S. Naval Air Facility in Goodyear, now known as Phoenix/Goodyear Airport, was designated as an MRZ.

An applicant for the MRZ program must own taxable property or operate an eligible business located within an MRZ to qualify for two types of benefits:

• Transaction Privilege Tax Exemption – Exemption from transaction privilege tax on contracts for certain types of construction at an MRZ.
• Property Reclassification – Both real and personal property can be reclassified from class one (18% assessment ratio) to class six (5% assessment ratio), which may result in property tax savings of up to 72.2% for a period of five years

GENERAL INFORMATION

• Summary
• Guidelines
• Pursuant to A.R.S. §41-1504(C)(1), the ACA is authorized to begin assessing and collecting fees for processing applications and administering tax incentive programs via the fee schedule.
• Additional information may be found through the following links:
  • Designating Military Zone A.R.S. §41-1531
  • Tax Incentives A.R.S. §41-1532
  • Prime Contracting A.R.S. §42-5075
  • Class 6 Property Reclassification A.R.S. §42-12006
  • Class 6 Property Assessment Value  A.R.S. §42-15006

ELIGIBLE APPLICANTS INCLUDE

1. Airport Authorities;
2. Aviation or Aerospace companies – a company that manufactures, assembles, or fabricates aviation or aerospace products or is a provider of aviation or aerospace services.

Click here to request access to the EASY Portal to begin an application.

Questions regarding the Program can be directed to the ACA Program Manager.

MRZ CONTACTS

• Phoenix-Mesa Gateway Airport Authority: 

  Jeremy Johnson
  Senior Accounting Analyst
  Phoenix-Mesa Gateway Airport Authority
  5835 S Sossaman Rd
  Mesa, AZ 85212-6014
  Office:  (480) 988-7625
  Email: [email protected]
  www.gatewayairport.com
  
  

• Phoenix-Goodyear Airport Authority:

  Barbara Moreno
  Design & Construction Services
  Office: (602) 273-3339
  
  

• Arizona Department of Revenue:

  Bernadette Andrea
  Auditor III – Specialty Tax Programs 
  Office: (602) 716-6557
  Email: [email protected]

  Herlinda Zaragoza
  Auditor III – Specialty Tax Programs
  Office: (602) 716-6646
  Email: [email protected]
  
  

• Maricopa County Assessor:

  David Hansen
  Appraisal Manager
  Office: (602) 372-3752
  Email: [email protected]