New Markets Tax Credit Briefing Highlights Credit’s Success in Rural and Urban Communities

Blog, Featured
FOR IMMEDIATE RELEASE March 23, 2017 Contact: Ayrianne Parks ayrianne@rapoza.org (202) 393-5225 NMTC Practitioners Present on NMTC Projects that Leverage Private Investment in Economically Distressed Communities, Expand Businesses and Create Jobs Washington, D.C. –The NMTC Coalition hosted a briefing on Capitol Hill yesterday to share information on the impact of the New Markets Tax Credit (NMTC) in rural and urban communities. Leading the event was Robert W. Davenport, President of NMTC Coalition and Special Advisor to National Development Council.  Longtime NMTC champion and original cosponsor of the New Markets Tax Credit Extension Act of 2017 (HR 1098), Congressman Tom Reed, provided opening remarks. The event featured a video explaining the mechanics of the NMTC and four presentations by NMTC Coalition Board Members on projects from NMTC at Work in Communities Across…
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House and Senate Members Move to Make New Markets Tax Credit Permanent

House and Senate Members Move to Make New Markets Tax Credit Permanent

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Bipartisan Call to Make Federal Tax Credit Permanent that Leverages Private Investment in Economically Distressed Communities, Expands Businesses and Creates Jobs Washington, D.C. –Legislation was introduced in the House and Senate to secure the future of the New Markets Tax Credit (NMTC). Congressman Pat Tiberi (R-OH) and two colleagues on the House Ways and Means Committee, Congressmen Tom Reed (R-NY) and Richard Neal (D-MA), the Ranking Member on the committee, introduced the House bill. They were joined by 19 of their colleagues.  In the Senate, the bill was introduced by Senators Blunt (R-MO) and Cardin (D-MD). The bills, both titled The New Markets Tax Credit Extension Act of 2017, respectively H.R. 1098 and S. 384, would ensure that rural communities and urban neighborhoods left outside the economic mainstream have access…
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Some 2,000 Businesses, Banks and Nonprofits Call for New Markets Permanency

Blog, Featured, NMTC Extension Campaign, Sign-on Letters
Businesses, investors and organizations sign letter urging Congress to make the community and economic development tax credit permanent  Washington, D.C. –Today some 2,000 groups that have seen the New Markets Tax Credit at work in their communities sent a letter to Congress, calling on it to enact legislation that provides a permanent authorization and expansion of the NMTC. Signatures came from every state and included community development organizations; nonprofit service providers; banks and credit unions; state and national trade associations and chambers of commerce, including the American Bankers Association and other groups representing thousands of members; affordable housing organizations; schools, universities and education nonprofits; city governments, state and local elected officials and agencies; and many other businesses, ranging from very large businesses to small, family-owned businesses. “This broad support is…
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Super Round Analysis: Where is the Allocation Targeted?

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Last month, the CDFI Fund awarded $7 billion in NMTC allocation. Where will that allocation be deployed? We have a decent idea, thanks to new data on state targeting from the CDFI Fund. Heatmap of 2015/2016 Allocation Targeting The heatmap above shows where CDEs are targeting their 2015/2016 allocation. But it tells a misleading story, with high population states receiving more NMTC allocation. Rather than adjusting on a per capita basis, instead, I divided targeted amount of NMTC allocation by the number of NMTC eligible census tracts in a state (download the full dataset). That produces this reweighted heatmap. Adjusted Heatmap - States Targeted by 2015/2016 NMTC Allocation Round In the adjusted map, you can see that the top states are Arkansas, Hawaii, Idaho, Montana, Nevada, and Wisconsin. In fact,…
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New Report: NMTC: At Work in Communities Across America

New Report: NMTC: At Work in Communities Across America

Blog, Case Studies, Featured, Latest News, Publications, Uncategorized
Today, the NMTC Coalition is excited to release a new report showcasing NMTC success stories from every state and the District of Columbia. These profiles from each state show the flexibility of the NMTC and demonstrate its ability to drive and leverage capital in investment-starved communities, creating economic opportunities and jobs in our country’s poorest rural communities and urban neighborhoods. Every four years, the Coalition releases this report, which serves as an important tool for educating new Administrations and new Members of Congress. The 2016 edition of the NMTC at Work report features 89 NMTC projects, ranging from rural to urban, from grocery stores, health care centers and community centers to manufacturing businesses and charter schools, as well as many other important projects identified by community leaders. These profiles from…
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NMTC: Improving Healthcare Access for Vulnerable Communities

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[caption id="attachment_7430" align="alignright" width="223"] Jennifer Smith, a registered nurse at NMTC-financed Kootenai Medical Center in Coeur D'Alene, ID takes blood samples from a patient. Coeur D'Alene has a poverty rate above 35 percent.[/caption] Because of a dearth of available capital, residents of low-income communities often lack adequate access to state of the art healthcare facilities that more affluent communities take for granted. Income is strongly linked to health outcomes, so the need is greater in high-poverty neighborhoods. In high poverty urban areas, safety-net hospitals, which a significant level of care to low-income, uninsured, and vulnerable populations are stretched thin. And in small towns and rural farming communities, since 2010, 71 rural hospitals have closed and another 683 are at risk of closing — limiting access to care and further depressing…
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New Census Report on 2015 Poverty and Income Highlights the Urban/Rural Divide

New Census Report on 2015 Poverty and Income Highlights the Urban/Rural Divide

Blog, Featured, Income, Latest News, Poverty
Today, the US Census Bureau released their annual report on poverty and income. Economists predicted an increase of 1 to 2 percent in incomes in 2015, but the report showed a surprising 5.2 percent increase. A closer look at the data reveals a stark contrast between the economy in urban and rural communities. Urban Areas on the Rise [caption id="attachment_7411" align="alignright" width="516"] Over the past 8 years, rural and urban economies have generally exhibited similar economic trends. However, in 2015, there was a sharp divergence (see above).[/caption] Inside of metropolitan statistical areas (MSAs), median incomes grew by 6 percent. Much of that growth was confined to cities dwellers, whose incomes rose by 7.3 percent compared to suburban and exurban residents, whose incomes rose by a more modest 4 percent. This is the largest…
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Treasury Secretary visits New Markets Tax Credit Financed Grocer in Minneapolis

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The project created jobs and expanded access to fresh food in a Minneapolis food desert U.S. Department of the Treasury Secretary Jack Lew traveled to Minneapolis on Monday to meet with community and business leaders to highlight initiatives aimed at supporting financial inclusion. On his tour, he visited Seward Community Cooperative Friendship Store, a fresh foods project financed in part by the New Markets Tax Credit (NMTC) and by a loan from MMCDC with federal Community Economic Development funds, a program that targets job creation for low income individuals. Also in attendance yesterday afternoon was Congressman Keith Ellison (D-MN), who is a longtime supporter of the credit and a cosponsor of bipartisan legislation to make the NMTC a permanent financial tool for economically distressed rural and urban communities. “By working…
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