Chapter 291

2019 -- S 0980 SUBSTITUTE A Enacted 07/19/2019

A N   A C T

RELATING TO TAXATION -- HISTORIC PRESERVATION TAX CREDITS

Introduced By: Senators Euer, and DiPalma

Date Introduced: June 13, 2019

It is enacted by the General Assembly as follows:

SECTION 1. Sections 44-33.6-7 and 44-3.6-11 of the General Laws in Chapter 44-33.6

entitled "Historic Preservation Tax Credits 2013" are hereby amended to read as follows:

44-33.6-7. Timing and reapplication.

(a) Taxpayers shall have twelve (12) months from the approval of Part 2 application to

commence substantial construction activities related to the subject substantial rehabilitation.

Upon commencing substantial construction activities, the taxpayer shall submit an affidavit of

commencement of substantial construction to the commission, together with evidence of such the

requirements having been satisfied. Furthermore, after commencement of substantial construction

activities, no project shall remain idle prior to completion for a period of time exceeding six (6)

months. In the event that a taxpayer does not commence substantial construction activities within

twelve (12) months from the approval of Part 2 application, or in the event that a project remains

idle prior to completion for a period of time exceeding six (6) months, the subject taxpayer shall

forfeit all fees paid prior to such date and its then-current contract for tax credits shall be deemed

null and void, and shall terminate without need for further action or documentation. Upon any

such forfeiture and termination, a taxpayer may re-apply for tax credits pursuant to this chapter,;

however, notwithstanding anything contained herein to the contrary, one hundred percent (100%)

of the fees required shall be paid upon reapplication and such the fees shall be non-refundable.

Additionally, any taxpayer reapplying for tax credits pursuant to this § section 44-33.6-7 shall be

required to submit evidence with its application establishing the reason for delay in

commencement or the project sitting idle, as the case may be, and provide evidence, reasonably

satisfactory to the commission, that such the condition or event causing same has been resolved.

All taxpayers shall submit a reasonably detailed project timeline to the commission together with

the Part 2 application. The provisions of this section shall be further detailed and incorporated

into the form of contract for tax credits used in connection with this chapter.

(b) Projects that have been approved for historic preservation tax credits and have been

funded through the cultural arts and the economy grant program, as enacted in chapter 145 of the

2014 Pub. L. P.L. 2014, ch. 145, and whose contract for tax credits would expire on December

31, 2019, are not subject to the provisions of § 44-33.6-7 this section and shall remain in full

force and effect until December 31, 2022.

44-33.6-11. Sunset.

No credits shall be authorized to be reserved pursuant to this chapter on or after June 30,

2019 2020, or upon the exhaustion of the maximum aggregate credits, whichever comes first.

SECTION 2. This act shall take effect upon passage.

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LC002727/SUB A/2

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