Historic Tax Credit Committee Meets
July 9, 2019
The Historic Tax Credit Evaluating Committee met on June 26 to review three urban properties applying for the tax credit. Attended by the Alabama REALTORS® Public Policy team, the meeting was chaired by Senator Clyde Chambliss. Other members present were Representative Victor Gaston and Kelly Butler, the Director of the Alabama Department of Finance. According to Historical Commission staff, several other members voted by proxy.
The brief meeting began with a presentation from the Historical Commission on each of the properties. The Committee approved and graded the three properties based on set criteria including overall benefit to the community. Unless the properties fail to meet deadlines, the urban properties are allocated a tax credit in 2022.
The three urban properties, the amounts requested and the intended purpose, if known, for those properties are as follows:
|Building (Location)||Amount Request||Intended Purpose|
|Broyles Furniture (Birmingham)||$851,250||Commercial- Offices|
|John H. Murphy House/Elks Club (Montgomery)||$2,600,000||Commercial- Offices|
|Overbey-Gustafson House (Mobile)||$62,500||Mixed- Restaurant/Apartment|
Historical Commission staff also noted that two formerly approved properties failed to meet deadlines. Due to the failure, the allocations to these two properties was revoked. One property was urban and one was rural. The urban property is the Tower on Ryan Park located in Mobile, while the rural property is the William M. Cannon Building in Fayette.
The Historic Tax Credit Bill approved $100 million in tax credits over five years, to be split $60 million urban and $40 million rural. The annualized amounts are $12 million for urban properties and $8 million for rural properties. After this last round of properties, only $4,372,173.50 of the total tax credit of $60 million remains for urban properties. Due to lack of requests, the remaining 2019 rural allocation of $2,552,537.50 was made available to urban properties. All of the $8 million rural allocations for 2020, 2021 and 2022 remain.