New Regulations Approved for Citys CDC Tax Credit Program

On April 22, 2010, new regulations governing the City’s CDC Tax Credit Program went into affect. PACDC worked with Regional Housing Legal Services to draft amendments to the regulations and then worked with the City to finalize and adopt them.

The amendments incorporate legislative changes from the past few years, including the ability of a CDC to participate in the program by partnering with two businesses that would jointly contribute $100,000 and share the tax credit on a proportionate basis, as well as a number of other modifications.

While the new regs don’t include the latest change approved by City Council in March clarifying that a business currently participating in the program at the $100,000 level could remain involved in the program at a reduced funding commitment by partnering with a second business that would jointly contribute $100,000 and share the tax credit on a proportionate basis, the Revenue Department has indicated that it will implement this change as outlined in the legislation.

The full new regulations will be posted on the Revenue Department’s web site in the near future at: www.phila.gov/revenue/