Finance Fund Receives $40 Million in New Markets Tax Credit Funding to Revitalize Distressed Communities

Finance Fund Receives $40 Million in New Markets Tax Credit Funding to Revitalize Distressed Communities

COLUMBUS, OH - Finance Fund, a statewide nonprofit financial intermediary, has received a $40 million New Markets Tax Credit (NMTC) allocation from the U.S. Department of Treasury for projects to revitalize economically distressed communities and create jobs in Ohio. Four other Ohio-based community development entities (CDEs) also received NMTC allocations in this round of funding for a total of $105 million.

Finance Fund plans to invest in NMTC projects that provide access to health care, healthy foods, or quality education in the communities they support.

The NMTC program provides the incentive of a federal income tax credit to individuals or corporations that invest in CDEs, such as Finance Fund. The NMTC investor indirectly finances a project through the CDE.

This is the eighth round of NMTC funding that Finance Fund has received, totaling $240 million since 2004. "Businesses, communities and investors value this effective, targeted and cost-efficient financing tool because it provides Ohioans the capital they need to start or grow businesses, create jobs and sustain healthy local economies in low-income urban neighborhoods and rural communities," said Finance Fund CEO James Klein . "The program brings opportunity to areas in greatest need that might not otherwise have access to capital."

Through the NMTC program, Finance Fund has leveraged $403.4 million on an investment of $185.3 million for 42 projects – creating 3,323 full-time jobs, 389 housing units and serving 536 children in Ohio.

Source: Finance Fund / #NMTC #Finance

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