From the Coalition for Historic Preservation and Economic Development:
Governor Nixon’s tax credit commission criticized as lacking enough representation of people who know economic benefits of Historic Tax Credits
For Immediate Release
Contact: Deb Sheals, 573-874-3379
Coalition for Historic Preservation and Economic Development
Columbia, MO – July 22, 2010 – Governor Jay Nixon released his plans for creating a commission to perform a review of the state tax credit programs yesterday. The Missouri Coalition for Historic Preservation and Economic Development (MCHPED) spokesperson Deb Sheals, stated, “We are concerned that the Governor’s commission does not appear to have enough representation from people and organizations that are familiar with the dramatic impact the Historic Tax Credit has had in the production of jobs and economic development across Missouri. There are, for example, no representatives from small main street organizations, community development organizations, or historic preservation organizations, all of whom have firsthand experience in how well the program works for the average citizen. Missouri leads the nation in economic development from the historic tax credit, and any commission that is looking at this issue should include more members that are familiar with how it works.”
It also appears that the members chosen for the commission mirror a previous effort taken midway through the 2010 legislative session to pit education vs. development and redevelopment in communities throughout the state. This is not an either-or situation; economic development through historic preservation creates a stronger tax base and is therefore a benefit to education.
The State Historic Tax Program is a proven economic engine. Historic Tax Credits create jobs, encourage environmentally sensitive redevelopment, and long term revenue sustainability for the state of Missouri. Since 2000, historic tax credits have generated more than $669 million dollars in revenue for the state and local governments while creating 43,150 new and retained jobs with an average salary of $42,732. (See the attached executive summary of a recent study of the impact of this program.) The Governor’s attacks are creating industry-wide uncertainty and have crippled the effectiveness of the program as an economic stimulus.
MCHPED looks forward to once again demonstrating the tremendous state and community benefits generated by the Historic Tax Credit Program.
One reply on “Governor Nixon’s Tax Credit Commission Criticized”
WOW, somebody knows and recognizes truth, “The State Historic Tax Program is a proven economic engine!” Most tax credit programs are. Far too many citizens fail to realize. Not all tax credits are “FREE MONEY”, they have to be paid back, some have tax benefits to business that participate. Most projects would never see the light of day without them. Expecially in our cities. They can serve to stabilize areas and draw others who otherwise would not invest under normal circumstances. If there’s no one to invest in project A, projects B, C, or D wouldn’t happen.
They can bring stability and have a “POSITVE” domino effect! Let’s not throw the baby out with the bath water!