The city of Fort Wayne issued this news release today:
Fort Wayne, Ind. – Mayor Tom Henry today announced the City of Fort Wayne will receive $33 million in federal funding for future development projects.
The funding comes from New Markets Tax Credits, which are designed to spur economic development in low-income areas. 310 organizations nationwide applied for the tax credits but only 87 were awarded a total of $3.5 billion from the U.S. Department of the Treasury. Fort Wayne is the only Indiana entity to receive the funding.
“This is a major win as we continue to see unprecedented momentum in our City. I want to commend our City employees for their tremendous efforts in assisting us in receiving these financial resources,” said Mayor Henry. “The new funding positions our community for additional economic development opportunities and new jobs to make Fort Wayne a business investment and quality of life leader in northeast Indiana and the Midwest.”
The City’s New Markets Revitalization Fund will sell the tax credits to investors who can then get a credit against their federal income taxes. The City will then use the proceeds to help finance eligible commercial projects. The projects must demonstrate significant positive impact to the community as a whole, such as job growth or benefits for low-income residents.
“This highly sought-after funding gives us a significant competitive advantage when working to attract investment and jobs to our community,” said Sharon Feasel, director of the Fort Wayne New Markets Revitalization Fund, LLC.
City officials will work to allocate the funding for multiple projects over the next two to three years. This is the second time the City has been awarded New Markets Tax Credits. In 2008, a $15 million allocation was used to close the financing gap for The Harrison mixed-used development in downtown Fort Wayne.
More information about New Markets Tax Credits can be found here: www.cdfifund.gov/nmtc