The Moving Forward Act was unveiled in the United States House of Representatives last week. The proposed act is a $1.5 trillion infrastructure bill. Among funding for infrastructure priorities, the legislation also incorporates several community development provisions aimed at stimulating our economy as the current pandemic continues to take its toll, including provisions to expand and enhance the Historic Tax Credit program. This legislation includes the following measures that help to strengthen the existing federal Historic Tax Credit:
- A temporary increase of the Historic Tax Credit from 20% to 30% for 5 years
- Establishes a permanent 30% Historic Tax Credit for projects $2.5 million and less
- Eliminates the HTC Basis Adjustment, bringing more value to HTCs
- Reduces the Historic Rehabilitation Test to 50% of a building’s basis instead of 100%
- Makes the credit easier to use by non-profits
- A provision for communities to rehabilitate existing public schools using the HTC
- Temporary extension of period for completing rehabilitation
Several of these provisions were included as part of the Historic Tax Credit Growth and Opportunity Act (S.2615/H.R. 2825), and I have joined my colleagues on the national board of the advocacy group Preservation Action to request that Congress support historic preservation as lawmakers look for ways to stimulate the economy. This request is a collaborative effort with many of our partnering organizations, including the National Trust for Historic Preservation. In addition to the provisions to strengthen the Historic Tax Credit (HTC), the bill also creates a new tax credit for the rehabilitation of dilapidated single-family homes. Think of the positive impact on our community that this act could create. It will be a huge win for many Tullahoma homeowners. The House is expected to pass the Moving Forward Act as soon as next week. While the bill’s future in the Senate is uncertain, inclusion of HTC provisions is great news for our community and sets up these priorities well for future infrastructure or relief legislation.
Congress needs to hear from you. Urge your members of Congress to support the enhancements to the Historic Tax Credit included in the Moving Forward Act. Join us in thanking your Representative for including measures to strengthen the HTC in the moving Forward Act, and urge our Senators to include these HTC provisions as part of future infrastructure or relief legislation. If you have a personal contact in your Representative or Senator’s Washington D.C or District office, contact that person directly. Visit The National Trust for Historic Preservation’s site at forum.savingplaces.org to view and download a pdf document of the Historic Tax Credit Economic Stimulus Request Talking Points to forward your member of Congress. Contact information for our lawmakers can be found in the “Let Your Voice Be Heard” section of the Tullahoma News.