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House takes up reauthorization of New Markets tax credit program
Summary
Senate Bill 186 would reauthorize the New Market Jobs Act premium tax credit and authorize up to $150 million in private capital investment for small businesses in rural and low-income Louisiana communities; the measure includes reporting requirements to Louisiana Economic Development.
Senate Bill 186, introduced in the House on June 8, would reauthorize Louisiana’s New Markets tax credit program and set program terms for private capital investment in underserved communities.
Representative Fornham presented the bill on the House floor on behalf of Senator Reese, describing the measure as a reauthorization of new markets tax credits and saying it would allow $150,000,000 in private capital to be invested in small businesses in rural and low-income communities. The presenter said a federal allocation this fall is expected to total $10,000,000,000 — double the usual allocation — and that passage of the bill would help Louisiana remain competitive with neighboring states that are reauthorizing similar programs. He said the credits are capped, nontransferable and nonrefundable and noted a sunset provision in program language.
The Senate Finance Committee added a reporting requirement to the Louisiana Economic Development department (LED), the presenter said. The sponsor took questions on the floor and then asked for final passage; the transcript records the motion to pass and a vote was opened but does not include the final tally in the portion of the transcript provided.
If enacted, the measure is intended to expand available private capital to small businesses in targeted communities; the bill text, as presented on the floor, includes reporting obligations for LED.
