New Market Tax Credit News Briefs - March 2022
Lendistry announced Jan. 11 it would allot a portion of its new markets tax credit (NMTC) allocation to the Destination Crenshaw project, which seeks to revitalize a historic Black business corridor in Los Angeles. The endeavor will include infrastructure, job training, public art, small businesses, environmental equity and a Black public art project along a 1.3-mile corridor along Crenshaw Boulevard. The project has allocations from four CDEs, including Lendistry, New Markets Support Company, Building America and U.S. Bank, along equity from U.S. Bank.
Legislation in California that would create a state-level NMTC incentive, A.B. 1572, was referred in January to the state’s assembly appropriations committee. The bill, introduced in March 2021, would create a state credit with an annual $100 million cap, for taxable years beginning on or after Jan. 1, 2023, and before Jan. 1, 2028. The credit would be worth 9% of the investment for the first year and 5% for the following six years.
The Office of the Comptroller of the Currency released a list of 23 Community Reinvestment Act performance evaluations that became public in December 2021. Sixteen evaluations were satisfactory, seven were outstanding. The list contains national banks, federal savings associations and insured federal branches of foreign banks.