Kimmitt Announces Tax Credits for Low-Income Community Investment

by Mike Godfrey, Tax-News.com, Washington

04 October 2007

US Treasury Deputy Secretary Robert M. Kimmitt and Treasury's Community Development Financial Institutions (CDFI) Fund Director Kimberly A. Reed will on Friday travel to New Orleans, La. to award $3.9 billion in tax credits to organizations investing in rural and urban low-income communities across the United States.

The awards - taking place in the National World War II Museum - are being made under the 2007 round of the New Markets Tax Credit (NMTC) Program, and will include $400 million allocated specifically for the redevelopment and reconstruction of the Hurricane Katrina Gulf Opportunity Zone (GO Zone).

Deputy Treasury Secretary Kimmitt and CDFI Fund Director Reed also will focus on the area's recovery after Hurricane Katrina, and see how the CDFI Fund's NMTC Program is making an impact, including by helping to expand the National World War II Museum. Tourism and tourism-related activities are a major source of employment and tax revenue for the city and state.

Afterwards, the Deputy Secretary Kimmitt and Director Reed will join Chairman Don Powell, the President's Federal Coordinator for the Gulf Coast Rebuilding, to see how the NMTC Program is helping to repair areas of Ochsner Baptist Medical Center that were damaged by Hurricane Katrina. After the tour, they will make the national announcement of the organizations selected to receive allocations under the 2007 NMTC Program.

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