State Rep. Terry Boose (R-Norwalk Twp.) has introduced House Bill 478, a bill to streamline and improve the Ohio New Markets Tax Credit (NMTC) Program and better align it with the federal program.
Ohio's NMTC Program is an important tool for financing economic development in low-income rural and urban communities.
In a statement in support of the legislation, Finance Fund President and CEO James R. Klein said, "We appreciate Representative Boose's leadership on such an important initiative to strengthen the Ohio New Markets Tax Credit program. With the changes proposed in Representative Boose's bill, the program will be a more effective, efficient and successful in helping finance business investment in low-income communities and increasing employment access to local residents."
Established by the state legislature in 2009, Ohio's New Markets Tax Credit program has successfully driven investment and job growth in Ohio's low-income communities. To date, the Ohio Development Services Agency has made 19 Ohio NMTC awards to nine different community development entities totaling $40 million in tax credit allocation, which equates to $102.4 million in investments. Ohio NMTC financed projects have created 557 new jobs and 1,665 construction jobs, and retained 1,670 jobs.
Finance Fund is a statewide nonprofit financial intermediary that connects community redevelopment projects in underserved markets with public and private sources of capital. Since 1987, Finance Fund and its affiliates have invested more than $296.4 million in small businesses, community facilities, health care centers, housing and commercial development projects throughout Ohio, leveraging more than $1.2 billion.
This investment was accomplished through 2,950 awards to community-based organizations throughout the state. Finance Fund provides debt and equity to our clients through the management of 22 entities totaling $263 million.
Partnerships have enabled low-income people access to 20,819 direct jobs and 15,750 units of affordable housing. In addition, partnerships have created, 3,036 early care and education classrooms for 69,497 children.