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Legislation introduced in the Mississippi Senate would create a state new markets tax credit (NMTC) incentive to replace the existing state NMTC that expires in July. S.B. 3070 would create an NMTC worth 48% of qualified equity investments (QEIs), taken 16% per year for the first three credit years, for investments in businesses with principal operations in Mississippi.

President Joe Biden’s fiscal year 2025 budget proposal request, which was posted today, includes provisions to enhance the low-income housing tax credit (LIHTC) and tax-exempt private activity bonds (PABs), establish the neighborhood homes tax credit (NHTC) and make permanent the new markets tax credit (NMTC). The U.S. Department of the Treasury released the annual “Greenbook,” which explains the revenue proposals.

Pravina Raghavan was announced today as director of the Community Development Financial Institutions (CDFI) Fund, beginning immediately. The CDFI Fund oversees the new markets tax credit (NMTC) incentive, as well as the Capital Magnet Fund (CMF) and other community development funding activities.

A representative of the U.S. Department of the Treasury sent a response this week to a letter dated Sept. 23, 2023, from the lead Congressional sponsors of the New Markets Tax Credit (NMTC) Extension Act of 2023. The Congressional letter requested Treasury ensure all authorized NMTC allocations are disbursed by the end of 2025 as intended by Congress. The response in the Treasury letter said Treasury and the Community Development Financial Institutions (CDFI) Fund are “working diligently to award the NMTC allocations in a timely manner.”

The Community Development Financial Institutions (CDFI) Fund will publish a notice of guarantee availability (NOGA) in Monday’s Federal Register, inviting applications for up to $500 million in guarantee authority for the fiscal year 2024 CDFI Bond Guarantee program. The CDFI Bond Guarantee program provides CDFIs with substantial long-term, fixed-rate capital for use in distressed communities.

The Community Development Financial Institutions (CDFI) Fund today published an updated new markets tax credit (NMTC) application template for the calendar year 2024 allocation round, as well as a Federal Register notice requesting comment. The updated application includes several changes, including to the business strategy, community outcomes, management capacity and capitalization sections.

The Community Development Financial Institutions (CDFI) Fund recently released updated eligibility files for the new markets tax credit (NMTC) incentive for island areas. The CDFI Fund also provided an updated frequently asked questions (FAQ) document on 2016-2020 American Community Survey data for the NMTC incentive. The Island Areas eligibility files are based on the 2020 Island Areas Decennial Census data and provide NMTC eligibility information for American Samoa, the Northern Mariana Islands, Guam and the U.S. Virgin Islands to match files released Sept. 1, 2023, for all other areas.

The Community Development Financial Institutions (CDFI) Fund today announced the opening of the fiscal year 2024 funding round for the Capital Magnet Fund (CMF). Through the CMF, the CDFI Fund provides funding to CDFIs and qualified nonprofit housing organizations to finance affordable housing and related economic development and community service facilities. The CDFI Fund plans to make approximately $246.5 million in awards through this round. The deadline to submit the CMF application materials is April 16 and the CDFI Fund will stop taking questions about the application at 5 p.m. ET April 12.

entities (CDEs) for the calendar year (CY) 2023 round of new markets tax credit (NMTC) allocation. The announcement states that applicants are headquartered in 44 states as well as the District of Columbia and Puerto Rico

The Community Development Financial Institutions (CDFI) Fund this week began accepting applications of its revised CDFI certification application. Earlier this month, the CDFI Fund announced a phased approach for organizations seeking to become certified or renew their CDFI certification.

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