State lawmakers on Wednesday will discuss new legislation that would significantly increase the amount of historic tax credits state economic development officials could doll out in a fiscal year.
House Bill No. 5468 seeks to increase the total amount of tax credits the state Department of Economic and Community Development (DECD) can provide for rehabilitation projects from $31.7 million to $41.7 million. That would represent a nearly 32% increase if enacted July 1.
While the bill would increase DECD’s capacity to leverage the tax credit program, the maximum recipients receive in tax benefits will continue to be capped at $4.5 million.
The General Assembly’s Finance, Revenue and Bonding Committee is scheduled to hold a public hearing on the proposal Wednesday at 2 p.m. in the Legislative Office Building.
On Monday, the Connecticut Main Street Center, a nonprofit aimed at boosting social and economic opportunities in downtown centers, urged its members to submit testimony in favor of expanding the tax credit program they say has made a “real and lasting impact on Connecticut’s economy and quality of life.”
The organization, in a letter to constituents, also touted the tax credit program for leveraging millions of dollars in construction financing, creating jobs and redeveloping distressed neighborhoods.
It pointed to the $27-million conversion of the Capewell Horse Nail Co. factory into 72 apartment units as one of the many redevelopment projects in Hartford that have benefited from millions of dollars worth of state historic tax credits.
