Members of Congress, both in Washington and from afar, are currently considering support for a future infrastructure stimulus bill to assist with long-term economic recovery. Most legislators agree there will be a significant economic recovery bill initiated by both chambers.
Preservationists and the historic rehabilitation industry have united around the following requests to Congress. Please ask your members of Congress to include the following enhancements to the Historic Tax Credit to aid in the economic recovery:
- Enact the Historic Tax Credit Growth and Opportunity Act (HTC-GO), H.R. 2825/S. 2615
HTC-GO provisions would make the credit easier to use for small projects and non-profits, allow more historic properties to utilize the incentive, and would enhance the overall value of the HTC, bringing more investment capital into projects that will use it directly for job creation and sustained economic activity.
- Boost Economic Activity by Temporarily Increasing the HTC Percentage (through 2024) for all Rehabilitation Projects from 20 to 30 percent of Qualified Rehabilitation Expenses (QREs)
- Allow Tax Credit Utilization for Previous Tax Years and Allow More Utilization Per Year
- Modify HTC Regulatory Requirements – Extend the substantial rehabilitation test period for one year to enable credit delivery despite construction delays
To contact your Members of Congress, connect with the HTC advocacy coordinators below who can help you contact the appropriate tax staffer:
You can also contact your House Representative or Senators by visiting:
https://www.senate.gov/senators/contact
https://www.house.gov/representatives
Click the contact section or “contact me” link. Go to the message portal and if possible, select “Tax or Taxation” as the issue area category.
Additionally, you may also contact the Capitol Switchboard at 202-225-3121. Please keep in mind that most congressional staff are working remotely at this time.
Resources
Read the full details on the HTC Recommendations for Federal Economic Recovery Legislation.
Share Links to Updated HTC Project Maps 2002-2019
Letter Template to Use in Writing your Members of Congress
Background
The historic rehabilitation community, like so many others, has experienced drastic, and in some cases, devastating impacts due to the necessary COVID-19 countermeasures. Historic rehabilitation projects face bans on construction, limited work site attendance, a lack of materials, limited access to government and regulatory partners, and other challenges associated with the near shuttering of the domestic economy. At the same time, new and potential projects face profound financial viability concerns. Limited access to capital, higher investment risk, and an uncertain tenant market is causing significant harm to the future pipeline of HTC projects.
However, as normalcy is returned, many advocates and legislators believe that the Historic Tax Credit (HTC) can and should be considered an integral tool for economic recovery and community revitalization during the stimulus package discussions. Including HTC provisions in an economic recovery bill can not only aid projects facing present obstacles but also act as a catalyst for new exponential growth in historic rehab projects across the nation. With projects in every state and most congressional districts, the HTC is a powerful tool to aid in the economic recovery.
The federal HTC helps revitalize communities by leveraging private reinvestment toward the rehabilitation of significant historic buildings. For every federal dollar invested, the HTC stimulates five times the amount in private capital for the restoration of historic buildings that would otherwise remain vacant or underutilized.
The HTC has also been a tried and tested tool for economic recovery during times of hardship. It was used in conjunction with other recovery legislations, such as the GO-ZONE Hurricane Katrina bill in 2005, as well as the economic recovery package for the 2008 Midwest floods.
For more than 40 years, the HTC has supported the rehabilitation of over 44,000 historic buildings across the country, in big cities and Main Street communities alike. These public-private capital improvement projects created over 2.7 million local employment opportunities, from design and construction jobs to the businesses housed within these restored community assets.