With the recent passage and signing of Ohio’s economic development package, the somewhat confusing Ohio Historic Preservation Tax Credit situation has now been given some needed clarity.  According to the latest and most reliable information available, this is the way that what might be called the "new, new historic preservation tax credit" will function over the next three years:

1.  The total amount of money authorized under the package was $120 million, which will be given in two cycles.

2.  The 2008-2009 cycle is officially eliminated, and there will be two new funding cycles beginning on July 1, 2009 and July 1, 2010.

3.  Of the $60 million available in each of these two funding cycles, $45 million will be reserved for projects that were applied for in the 2007 cycle, but for which credits were not received before the cut-off.  The unused portion of this $45 million, if any, will be available for new projects.

4.  The “first-come, first-served” language has been removed, and the Ohio Historic Preservation Office will now serve only to review eligibility requirements.  The cost-benefit analysis previously required has also been removed, and the Department of Development is now required to “…consider the potential economic impact and the regional distributive balance of the credits throughout the state.”  No other guidelines are provided to govern the Department in granting or denying applications.

5.  Credits can be rescinded if an applicant fails to meet project benchmarks and timelines, but can be re-applied for in that eventuality.
 
6.  There is a new limit of $5 million per project (this may also be per owner).

7.  The credit will now be non-refundable, except as it applies to the corporate franchise tax.

Preservation Ohio will be updating its Ohio Historic Preservation Tax Credit Resource Center in light of this new information.  For more information on the credit, please drop us an e-mail at: info@preservationohio.org.

Photo: Ohio Senate Chamber -- OZinOH/Creative Commons License