MADISON – Governor Jim Doyle announced today that eight Wisconsin-based companies are the recipients of $420 million in federal New Markets Tax Credits from the U.S. Department of Treasury. The $420 million is part of $5 billion in the federal tax credits which were announced this morning by US Treasury Secretary Tim Geithner. New Markets Tax Credits help promote investment in distressed areas, including historic preservation, affordable housing, Brownfields and commercial development.
"This $420 million investment is great news for the people of Wisconsin," Governor Doyle said. "Wisconsin is home to the best businesses and the best workers and this federal investment will bring new energy to communities, strengthen local economies and create more jobs for our citizens. Federal tax credits have already had a significant impact on rural and urban communities, and today’s announcement will build on our efforts to retain and grow jobs.”
The eight Wisconsin organizations sharing $420 million in New Market Tax Credits Allocations are: First Ring Industrial Redevelopment Enterprise ($70 million), Johnson Community Development Company ($50 million), M&I New Markets Fund ($40 million), Milwaukee Economic Development Corporation ($25 million), Urban Revitalization and Brownfield Redevelopment Fund ($15 million), Waveland Community Development, LLC ($100 million), Wisconsin Business Growth Fund, Inc ($35 million), and the Wisconsin Community Development Legacy Fund ($85 million).
The Wisconsin Community Development Legacy Fund (WCDLF), a nonprofit organization comprised of the Wisconsin Housing and Economic Development Authority (WHEDA), Legacy Bancorp and Impact Seven, received an $85 million allocation, its fourth since 2004. It is anticipated that deals from the 2009 allocation will be divided among both rural and urban communities.
Earlier this year, WCDLF approved deals to retain over 500 permanent jobs in the state’s manufacturing industry. WCDLF is a Community Development Entity responsible for overseeing statewide distribution of federal New Markets Tax Credits. To date, WCDLF has allocated $175 million in credits to 21 companies across Wisconsin, creating and retaining 5,299 jobs. WHEDA and Legacy Bancorp formed WCDLF in 2004 to successfully obtain the federal tax credits.
The New Markets Tax Credit Program was originated by Congress in 2000 as a way to promote economic development in low-income urban and rural communities. The program provides tax incentives to investors who make equity investments in rural and urban low-income communities.
To view all New Market Tax Credit Allocations from the CDFI Fund visit:
http://www.cdfifund.gov/docs/2009/nmtc/2009%20NMTC%20Program%20Allocatee%20List.pdf
