Commerce Committee hears bill to restore 2024 historic tax credit language; supporters cite risk to hundreds of millions in redevelopment

The Missouri House Commerce Committee on Feb. 27 heard testimony on House Bill 3080, a bill sponsored by Representative Riggs intended to reinstate provisions of 2024’s House Bill 2062 after a court ruling voided the earlier statute. Supporters told the committee that the ruling has created immediate financing uncertainty for historic-rehabilitation projects statewide and said HB 3080 — with an emergency clause and a proposed 35% credit for vacant historic schools — is needed to prevent project cancellations.

Steven Stoeggel, a real-estate developer who works on historic renovations, told the committee that "some more than $300,000,000 in projects that are going to be impaired by this ruling" and urged fast legislative action so projects can close construction financing. He said one affected project, Delmar Divine Phase II in St. Louis, cannot safely borrow to complete construction until the statute is reinstated and added, "we need legislation, which is this emergency legislation so we can close in April." (Testimony from proponents identified these time-sensitive financing arrangements as a principal rationale for an emergency clause.)

Other witnesses described similar harms across the state. Jen Marath, who purchased a vacant school in Hermann, said the bill’s proposed school credit matters for rural redevelopment: "without those 35% tax credits, like really are dead in the water and this building will sit vacant and remain dormant." Brent Shonemire, leading a nonprofit effort to reopen the Inglewood Theater in Independence, said throwing out HB 2062 "makes this project almost dead in the water," adding that the earlier law had opened conversations with lenders and investors. Mark Stroker of RISE Community Development described nonprofit and supportive-housing projects that rely on the credits, including Cooper House and the proposed reuse of Elliott School for recovery and transitional housing.

Elizabeth Rosen of Heritage Consulting told the committee the invalidation "put a lot of developments at risk" and emphasized that the 2024 law had introduced administrative efficiencies that many projects relied on. Jim Farrell of Historic Revitalization Missouri estimated the program supports hundreds of millions in projects statewide and said approximately $300 million of work is currently at risk because of the court decision.

Committee members asked clarifying questions. Vice Chair Wilson confirmed with witnesses that HB 3080 is primarily a statutory fix that does not expand the overall pool of tax credits; witnesses and supporters said the only substantive addition in the bill text discussed at the hearing is a 35% credit targeted at vacant historic schools. Representative Manser and other members expressed support after hearing municipal and industry testimony.

Not all testimony was supportive. Arnie C, identifying himself as a state public advocate, opposed the bill and called it "yet another tax credit, another corporate giveaway," arguing the state faces long-term fiscal pressures and questioning whether government subsidies are appropriate when projects can be profitable.

Chairman Castillo closed the hearing after testimony and questions. He told the sponsor he and other committee members would work with the bill’s backers; no committee vote on HB 3080 occurred during this proceeding.