JEFFERSON CITY - Members of the Tax Credit Review Commission voted Wednesday to recommend lowering the cap on the Historic Tax Credit. The suggested proposal will be presented to Governor Jay Nixon, and would slice the credit cap from $140 million to $75 million.
Sen. Matt Bartle (R-Jackson County), proposed the drop. According to Bartle, Missouri's Historic Tax Credit program is by far the most generous nationwide, with the next closest state, Virginia, capping at $70 million. Bartle said he would like to see the tax credit "eliminated all together."
"We're in a mode right now in the state of Missouri where we're gonna have to fire teachers, increase class sizes, close schools due to our budget crisis," Bartle said. "This is no time to be giving tax credits to refurb old buildings."
The recommendation passed with a narrow, 11-9, margin.The committee shot down an attempt to amend Those opposing the decreased cap, including commissioner Zack Boyers, CEO of US Bancorp Community Development Corp, point to the economic development behind a and a big picture perspective.
Boyers said he feels lowering the cap to $70 million would be "significantly diminishing" to Missouri's image as a national leader in economic development.
He said, "It's bad for the state."