Preservation New Jersey
Take Action > Historic Property Reinvestment Act
The Historic Property Reinvestment Act, to make New Jersey the 32nd state to offer a powerful historic rehabilitation tax credit to spur job creation and desperately needed economic growth, has been re-introduced in the 2010 New Jersey Legislature. Read the Star-Ledger's editorial in support here>>
CALL TO ACTION:
1. please contact your Assembly members and Senator and ask them to co-sponsor the HPRA.
click here for sample letter [doc]>>
2. Please contact your Mayor or local Governing Body and ask them to adopt a resolution of support for HPRA.
click here for sample resolution [doc]>>
3. For up-to-date information on the HPRA bill status
visit the NJ Heritage Development Coalition blog>>
Assembly Bill: A1851
Primary Sponsors: Gusciora, Reed; Jasey, Mila; Greenstein, Linda; Spencer, L. Grace; Co-sponsors: Giblin, Thomas P.; Prieto, Vincent; Johnson, Gordon M.; McKeon, John F.; Diegnan, Patrick J. Jr.; Munoz, Nancy F.; Quigley, Joan M.; Vandervalk, Charlotte; Burchizelli, John J.; Voss, Joan M.; Egan, Joseph V.; Connors, Jack; Vainieri Huttle, Valerie; Wagner, Connie; Tucker, Cleopatra G. ; Ramos, Ruben J., Jr. ; Rodriguez, Caridad ; Chivukula, Upendra J. ; Angelini, Mary Pat ; Moriarty, Paul D. ; Caputo, Ralph R. ; Coutinho, Albert ; Fuentes, Angel ; Stender, Linda; Wilson, Gilbert L.; Watson Coleman, Bonnie; Coughlin, Craig J.; Bucco, Anthony M.; Quijano, Annette; Rible, David P.; Lampitt, Pamela R.; Greenwald, Louis D. ; Evans, Elease
Senate Bill: S659
Primary Sponsor:Buono, Barbara;
Co-Sponsors: Turner, Shirley K.; Weinberg, Loretta; Allen, Diane B.; Bucco, Anthony R.; Sarlo, Paul A.; Sweeney, Stephen M.; Vitale, Joseph F.; Kean, Thomas H., Jr.; Scutari, Nicholas P.; Bateman, Christopher; Gordon, Robert; Pennachio, Joseph
The Act will provide homeowners and corporations with an economic incentive to help revitalize older neighborhoods and historic downtowns, create thousands of skilled jobs and reuse historic structures by providing a State tax credit for their rehabilitation. Similar tax credit programs in 29 states, such as Maryland and Rhode Island, have generated net tax revenue to the state (see Rhode Island’s analysis at www.growsmartri.com/tax.html). The historic rehab tax credit is an especially effective Smart Growth economic development tool to help restart investment in the housing market! The program would be administered by the New Jersey State Historic Preservation Office, which already certifies projects for a similar federal historic tax credit for income-producing properties. The New Jersey Heritage Development Coalition, including Preservation New Jersey, is advocating for this proven economic stimulus tool. See up to date news at www.njheritagedevelopment.wordpress.com.
1. HPRA Description [pdf]>>
2. Three case studies applying the tax credit to theoretical preservation projects [pdf]>>
What Will It Do?
Promote Smart Growth: The recently re-adopted New Jersey State Development and Re-Development Plan embraces the idea that in order to provide sustainable communities in New Jersey, development and re-development must occur around designated centers, where the vast majority of our historic structures are found. Taking advantage of existing building stock reduces urban sprawl, preserves green space and reduces landfill waste.
Foster Community Revitalization and Heritage Tourism: Many historic buildings, both residential and commercial in nature, are located in older urban areas in need of economic revitalization. Rehabilitated properties will foster more rehabilitation, revitalizing neighborhoods, increasing property values, stimulating the local economy and tourism through creation of jobs, and result in more employment opportunities associated with income-production activity. Studies have shown that more revenue is returned to the New Jersey Treasury than is given in tax credits as a result.
What Is The Credit?
A taxpayer would be allowed a credit against his/her personal income tax OR a business would be allowed a credit against its corporate business tax of 25 per cent of the costs of a completed rehabilitation. Taxpayers not able to use the credit would be able to transfer it.
What Buildings Qualify?
A qualified historic building is one that is listed individually or within a district on the State or National Registers of Historic Places or within a locally designated historic district and contributing to the district’s significance, and must be certified by the State Historic Preservation Office.
How Does a Project Qualify?
A qualified individual or entity must own or have a qualifying long-term lease on the structure,
and
The structure and rehabilitation work must be certified by the State Historic Preservation Office and the work must be done in conformance with the Secretary of Interior’s Standards for Rehabilitation,
and
The project must be considered a substantial rehabilitation.
CONTACT YOUR LEGISLATOR AND ENCOURAGE THEM TO SUPPORT THIS LEGISLATION
For more information contact:
Preservation New Jersey, Inc.
30 S. Warren Street
Trenton, NJ 08608
609-392-6409
609-392-6418 (fax)
www.preservationnj.org
State Tax Incentives for Historic Preservation
A State-By-State Summary
National Trust for Historic Preservation
tax incentives [pdf]>>>
Other States' Economic Impacts
Michigan Tax Credit Report Card
Maryland tax credit report
Virginia tax credit report