Mascoma Community Development Wins Third New Markets Tax Credit Allocation of $65 Million
This award comes from the U.S. Treasury’s CDFI Fund. The New Markets Tax Credit (NMTC) program allows Mascoma Community Development to direct capital to underserved, primarily rural communities through financing high-impact, mission-focused projects nationwide, with a primary focus on New Hampshire, Vermont, Maine, New York, Michigan, and Pennsylvania.
With its NMTC allocation received to date, Mascoma Community Development has helped create and retain more than 1,440 jobs throughout New England and beyond.
This NMTC award represents Mascoma Community Development’s third allocation, providing a total of $170 million since its first award in 2014. Mascoma Community Development is a community development entity established by Mascoma Bank to facilitate industrial and manufacturing expansion, along with retail and main street redevelopments in rural and minor-urban communities that are suffering from population decline and out-migration.
“We will use this award to provide much needed flexible financing for manufacturers needing to update deteriorating facilities and aging equipment,” said Dick Jennings, Managing Director, Mascoma Community Development. “It will also provide main street retailers and commercial businesses access to private investments to boost rural economies and help revitalize severely distressed communities. NMTCs have proven to be one of the most effective tools to make projects successful, to help achieve our mission, and to improve communities across our region. We are so pleased that the CDFI Fund has continued to be supportive of these efforts.”
The NMTC was enacted in 2000 in an effort to stimulate private investment and economic growth in low-income urban neighborhoods and rural communities that lack access to the patient capital needed to support and grow businesses, create jobs, and sustain healthy local economies. The NMTC is a 39 percent federal tax credit, taken over seven years, on investments made in economically distressed communities.