May 24, 2019
WASHINGTON – U.S. Senator Roy Blunt (Mo.) today touted the U.S. Treasury Department’s announcement that five Missouri-based organizations have been selected to receive a total of $275 million in New Markets Tax Credit allocations. The NMTC program provides a 39 percent federal tax credit for businesses or economic development projects in areas with poverty rates of at least 20 percent, or median incomes at or below 80 percent of the area median.
“The New Markets Tax Credit Program has a proven track record of bringing new investment to areas that need it most, whether they’re in urban or rural parts of our state,” Blunt said. “I was recently in North St. Louis at the opening of the first new grocery store in that area in 50 years. Thanks in part to the New Markets Tax Credit program, there isn’t just a new store where families can get affordable, healthy food, there are all the new jobs that come with it. The allocations announced today will continue building on the success of the program and go a long way toward improving the quality of life for families in Missouri and across the nation.”
In March, Blunt and U.S. Senator Ben Cardin (Md.) introduced the bipartisan New Markets Tax Credit Extension Act to permanently authorize the NMTC. Blunt led efforts to secure a five-year extension of the NMTC in the PATH Act, which was signed into law in 2015. The NMTC was originally authorized in 2000 as part of the Community Renewal Tax Relief Act.
The NMTC program can be traced either directly or indirectly to the creation of more than 42,000 Missouri jobs between 2003 and 2015. The NMTC has benefited 274 Missouri businesses and economic revitalization projects, resulting in a total of $3.9 billion in new investments.
Following are the Missouri NMTC allocations announced yesterday:
• USBCDE LLC, St. Louis: $70 million
• St. Louis Development Corporation: $35 million
• MBS Urban Initiatives CDE, St. Louis: $60 million
• Midwest Industrial Redevelopment Fund, St. Louis: $60 million
• CBKC CDC, an affiliate of Central Bank of Kansas City, $50 million
Click here for more information on the NMTC program and the allocations announced by the Treasury Department.