SAN DIEGO – November 9, 2022 – Following through on its commitment to bring innovative investment resources into San Diego County’s underserved communities, Civic Communities (Civic) was awarded a $55 million New Markets Tax Credit (NMTC) allocation from the Community Development Financial Institutions Fund (CDFI Fund), the division of the U.S. Department of the Treasury tasked with administering the NMTC program.
This critical federal funding stimulates significant investments in operating businesses and developing real estate projects in low-income communities. It allows Civic to partner with San Diego organizations working to stimulate positive economic development through the creation of new mixed-use development and business creation in some of the region’s most challenged neighborhoods. Recipients of this round of NMTC allocations from across the country were announced on October 28, 2022. Civic Communities was one of 107 community development entities out of 199 total applicants to be awarded funding for this round of allocations.
“These tax credits allow us to continue investing in transformative projects with partners like Family Health Centers of San Diego, Access Youth Academy, San Ysidro Health, and most recently San Diego Rescue Mission,” stated Andrew Phillips, Civic Communities President. “It’s essential to have these resources to catalyze investment and ensure these projects have a strong chance at success.”
The NMTC program, established by Congress in December 2000, permits individual and corporate taxpayers to receive a credit against federal income taxes for making equity investments in vehicles known as Community Development Entities (CDEs). The CDEs in turn use the capital raised to make investments in low-income communities. Prior to this new award, Civic had received six allocations of NMTCs totaling $213 million, all of which has been fully deployed into 16 projects.
Civic Communities (Civic) is the outgrowth of our New Markets Tax Credit (NMTC) entity created in 2012. Civic Community Partners, a Community Development Entity (CDE) and its subsidiary entity Civic Community Ventures, are collectively referred to as Civic Communities. Civic is also a federally certified Community Development Financial Institution (CDFI) that allows us to provide loans or investments to individuals in underserved neighborhoods.
The receipt of these important funds is a true testament to the great work being done to revitalize and invest in our underserved communities, said Maddy Kilkenny, Board Chair. “It reflects upon our success to date, demonstrates a trust in our abilities to stimulate new economic development, and enables us to move forward with new impactful projects.”
Civic is actively working to identify qualified projects to receive this type of investment. For more information on NMTC funding and the qualification requirements please contact Joanna Whitley Broussard at email@example.com