The NMTC is a proven incentive that spurs private sector investment in low-income communities—growing local economies and creating jobs in places that need it the most.
- Over the last 30 years, federal spending on community development, as measure as a share of GDP has fallen by 75%–meaning this effective financial tool is more important than ever.
- 100% of NMTC investments go to distressed communities and more than 70% go to communities in extreme distress.
- The Credit delivered over $60 billion in capital to economically distressed rural and urban communities between 2003 and 2012, directly creating over 550,000 jobs, at a cost per job of less than $20,000.
- 88 percent of NMTC investors would not have made their investments if not for the incentive of the Credit (According to a 2007 U.S. Government Accountability Office (GAO) report).
The NMTC is a unique and flexible incentive.
- Instead of Washington picking the winners and losers, the decision-making and project underwriting are the responsibility of community development organizations with deep ties to the communities in which they work.
- The NMTC is the only incentive that provides both the flexibility to finance a variety of businesses and projects in these communities as well as an effective, established system to deliver that financing.
- The Credit does not target a specific type of business or sector. Instead of Washington picking winners and losers, the NMTC places the project underwriting responsibility with community development organizations with deep ties to the communities in which they work.
The NMTC is a cost effective tool that pays for itself.
- NMTC investments in businesses in low-income communities and the jobs created by those businesses, generated over $5.4 billion in federal tax revenue between 2003 and 2010, covering the $5.3 billion cost of the program over the same period.
MOST IMPORTANTLY share how one of your local projects has helped a business in your area, and created jobs. Don’t forget to explain how the project benefitted the community at large.