HomeMy WebLinkAboutRESOLUTION NO. 2017-100 RESOLUTION NO. 2017-100
RESOLUTION IN SUPPORT OF THE FEDERAL
HISTORIC TAX CREDIT PROGRAM
WHEREAS, the Federal Historic Tax Credit program (FHTC) in its current form was enacted by
Congress and the Reagan Administration to attract capital to historic rehabilitation projects that help
stimulate local economies; and
WHEREAS, since the inception of the FHTC, it has had tremendous impact nationwide crating
over 2.4 million jobs, rehabilitating more than 42,000 buildings, and leveraging $131.8 billion in private
investment; and
WHEREAS, because of the FHTC, the State of Iowa has experienced exceptional economic
growth. From 2002 to 2016, the FHTC invested $195 million in 257 projects across Iowa. That amount
leveraged an additional $979 million of private investment, for a total investment of almost$1.2 billion.
These projects created 10,817 permanent jobs and an additional 8,997 construction jobs with a total income,
net of taxes, of almost $1.1 billion. Most importantly, the income generated by these jobs and businesses
added $229 million to local, state, and federal tax coffers, with the federal government realizing a revenue
gain of$174 million; and
WHEREAS, the FHTC leverages four private dollars for every dollar of federal support. FHTC
projects are catalytic, generating additional real estate investment in nearby properties that spur an area-
wide revitalization cycle. To date, the $25 billion in federal historic tax credits issued over the life of the
FHTC program has generated more than$30 billion in federal tax revenue, a net gain to the federal treasury
of$5 billion; and
WHEREAS, the FHTC program, combined with the Iowa Historic Tax credit, is a powerful tool
that has led to the redevelopment of several vacant, blighted and/or underutilized buildings in Iowa.
Because of the FHTC, these buildings were returned to both full utilization and to the local tax rolls.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Fairfax that the
Fairfax City Council supports the Federal Historic Tax Credit program and urges President Trump and the
Congress to continue the Federal Historic Tax Credit Program.
BE IT FURTHER RESOLVED, by the City Council of the City of Fairfax, that the Fairfax City
Council urges Senator Chuck Grassley, Senator Joni Ernst, Congressman Rod Blum, Congressman David
Loebsack, Congressman David Young, and Congressman Steve King to fully support Federal Historic Tax
Credit Program and to refrain from supporting any tax reform proposal that does not include the Federal
Historic Tax Credit Program..
Passed and approved this 14th day of November, 2017.
AYES: Beer, Daly, Volk, and Wainwright
NAYS: None '' ' .:
ABSENT: Kell
Burnell G. Frieden, Mayor ;a:
AT EST: �', w,,k:,. . ` tit
(�y ia Stimson, City Clerk/Treasurer
t