Senators Stabenow and Levin Announce Tens of Millions in Tax Credits to Support Economic Development in MichiganThursday, June 05, 2014
U.S. Senators Debbie Stabenow and Carl Levin today announced tens of millions of dollars in tax credits for community development projects to grow the economy and create jobs in Michigan. The support comes through the Treasury Department's New Markets Tax Credit Program, which helps spur critical investments in low-income communities.
Invest Detroit will receive $28 million to invest in the M-1 Rail project and related economic development in downtown and mid-town, and also plan to focus on commercial and small business development in Detroit neighborhoods. The Great Lakes Capital Fund will receive $35 million for projects to revitalize neighborhoods. Virginia-based Capital Impact Partners is also receiving $43 million to help support its national healthy food initiatives, including the Good Food Fund which increases access to healthy food for Michigan residents.
Senator Stabenow said: "This is fantastic news for Michigan families, who want to live and work in vibrant communities, and our businesses, which thrive when their neighborhood is energized and growing. I've been working with communities across the state on economic development, and these funds will provide the tools that will allow these important projects to move forward. Today's announcement shows why it is so important we continue working hard to extend and expand this vital tax credit so additional opportunities for Michigan remain available in the future."
Senator Levin said: "Today's announcement is good news for economic development across Michigan. By attracting private investment capital to the areas and projects in greatest need, these awards will help create jobs and opportunity and bolster important public investments, including projects such as the M-1 rail line."
David Blaszkiewicz, President of Invest Detroit, said: "We are extremely pleased to have received this award at such a critical time for Detroit's revitalization. NMTC is an essential component for financing transformative renewal and supports our organization's mission to engage in transactions which provide jobs, and an improved quality of life for the communities it serves."
Mark McDaniel, CEO of Great Lakes Capital Fund, said: "Thanks to this year's New Markets Tax Credit allocation, we will be able to invest in high-impact projects that create jobs and leverage further community development. From Detroit to Marquette, GLCF will invest these dollars to benefit Michigan workers and families."
The New Markets Tax Credit Program allows community development organizations and non-profits to use these tax credits to attract investors, who help to finance community development projects.
Senator Stabenow is a senior member of the Senate Finance Committee, which has jurisdiction over New Market Tax Credits, and has long championed the program.