DAYTON — Sen. Sherrod Brown (D-OH) announced Thursday $40 million for the Dayton Region New Market Fund to help attract private investment in economic development projects.
The funding was awarded through the New Market Tax Credit (NMTC) program, which Brown has championed during his time in the Senate.
“Community development entities across Ohio are working to spur growth in our communities and the New Market Tax Credit gives them the boost they need to attract private investment,” said Brown. “This credit will give the Dayton Region New Market Fund the ability to create jobs and lift up the local economy.”
The NMTC Program – operated by the U.S. Treasury Department’s Community Financial Development Institution – was established in 2000 with the goal of spurring revitalization efforts in American communities. NMTC provides tax credit incentives to Community Development Entities (CDE) so they can invest in low-income communities. Under the program, CDEs apply to the U.S. Treasury Department for the authority to raise a certain amount of capital from investors. Awardees are then given a tax credit that equals a percentage of their investment output over the span of seven years.
Brown has been a strong supporter of NMTC, which incentivizes investments in low-income communities. In December 2015, Brown helped secure a five-year extension of NMTC in the year-end tax bill.