St. Louis receives $30 million in New Markets Tax Credits
Funds will help create jobs, provide small business capital and strengthen neighborhoods.
This article is 11 years old. It was published on April 30, 2013.
The St. Louis Development Corporation (SLDC) has received $30 million through the New Markets Tax Credits program. SLDC administers the program for the City of
Including this year's allocation, SLDC has received a total of $263 million of New Markets Tax Credits Authority.
"The City's past allocations have gone into some exciting projects across the City, like the Moonrise Hotel, Confluence Academy, Park Pacific, City Garden Montessori School and projects within CORTEX, to name a few," said Mayor Francis Slay. "This new $30 million allocation will allow us to make major contributions to projects that could not move forward without this financing assistance."
SLDC has funded a total of 23 projects representing $190 million in New Markets Tax Credits, leveraging $692 million in total project costs.
"These projects will create jobs for St. Louisians and provide essential goods and services to City residents," said Rodney Crim, executive director of SLDC. "We look forward to applying this new allocation to some key projects as well."
Future projects will be selected through a proposal process to attract quality work.
"An advisory group reviews and makes recommendations on which projects should receive the tax credits," said Bill Seddon, SLDC's director of the New Markets Tax Credits program. "The SLDC Board of Directors has the final approval."
"The New Market Tax Credits are a powerful tool to help older urban communities like ours," said Congressman Wm. Lacy Clay, who is a senior Member of the U.S. House Financial Services Committee. "These federal tax credits will help developers and financial entities who are working to build up economically distressed neighborhoods by encouraging private sector investment that creates jobs."About the New Markets Tax Credits program: Administered by the U.S. Department of the Treasury's Community Development Financial Institutions fund, the New Markets Tax Credits program was established by Congress in 2000. The program permits investors to receive a credit against their federal income taxes for making qualified equity investments in designated Community Development Entities. In turn, those entities must re-invest the equity investments in low-income communities.
St. Louis Development Corporation
Taxation and Revenue