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Supporters urge reauthorizing community-development tax credit; subcommittee inserts 'certified' requirement and adjourns debate
Summary
Proponents of H 4164 told a subcommittee that reauthorizing community-development tax credits would unlock private capital for workforce training and housing. Members inserted an amendment requiring only certified organizations be eligible; debate on the bill was later adjourned 3–2 without a final vote on passage.
Chairman Newton introduced H 4164, a bill to reauthorize the Community Development tax credit, and said floor time was limited but proponents would be allowed to present. Bernie Fizik of the South Carolina Association for Community Economic Development (SCAECD) called the measure a reauthorization and said the credit previously authorized $3,000,000 and successfully attracted private investment.
Fizik told the subcommittee that when the credit lapsed after the prior authorization, many donors reduced or withheld contributions because the tax-incentive was no longer available. "The last reauthorization had $3,000,000 authorized in tax credits," Fizik said, and he added that organizations were able to attract "$7,500,000 in private capital" to support job creation, workforce development, housing affordability and other projects.
Christy King Brock, CEO of AIM (Anderson), testified that federal funding cuts and greater competition for grants have increased the importance of state tools that attract private investment. "Now, in particular, the need for this is even greater," she said, urging lawmakers to push the measure forward to help nonprofits deliver workforce training and related services.
Members pressed for details on reach and administration. Fizik said 21 organizations had been certified by the Department of Commerce and that some certified organizations operate statewide, serving all 46 counties. Jonathan Nazir, who joined Fizik to describe administration, summarized SCAECD's vetting: the association reviews financials and program administration under a multi-point scoring system, recommends organizations to the Department of Commerce, and requires recertification every two years with progress reporting.
Fizik said demand outstripped supply the last time credits were released, noting the available cap was claimed very quickly. "The cap was reached within 30 minutes," he said, characterizing the donor appetite for the credits as immediate.
Representative Lowe, serving as chair for part of the discussion, explained an amendment that inserts the word "certified" (e.g., "certified community development corporation" and "certified community development financial institution") and updates the bill's tax-year references. The subcommittee approved that amendment on a voice vote.
A motion to adjourn debate on H 4164 was then made and seconded; the subcommittee recorded a tally of "3 in favor, 2 opposed." The chair declared the motion carried and the bill was left in a status the transcript describes as "simply adjourned." No final passage of H 4164 was recorded in this meeting.
Supporters framed H 4164 as a tool to leverage limited state resources into larger private investments that can support workforce development and housing in under-resourced communities. The subcommittee did not schedule a final vote during the recorded session; further action would depend on calendar timing and floor scheduling.
