State NMTC Programs
Maine New Markets Tax Credit
In 2011, the Maine Legislature created the Maine New Markets Capital Investment Program in an effort to promote private capital investment in low-income communities across the state.
The Maine New Markets program provides tax credits to investors who back businesses in the state’s underserved areas. Tax credits are worth 39% of the total investment and can be used to reduce the amount of Maine income tax investors owe.
According to an analysis conducted by the Office of Program Evaluation & Government Accountability of the Maine State Legislature (OPEGA), 10 businesses in the state have received investment as of August 2016. The review also reported that the Maine New Markets program will provide the state with an overall positive fiscal impact of $15.8 million in the period of 2013-2021.
In addition, more than 760 jobs have been created or retained by the Maine New Markets program. The OPEGA report found that these jobs “would likely not have occurred without the Maine NMTC investment.”
The Maine New Markets program successfully spurred additional investment to the state that otherwise would not have been brought in, with four out of the 10 NMTC-funded businesses attracting approximately $130 million in additional funding.
- Here’s what’s driving CEI’s strategic plan: ‘Our economy has to work for everyone’ – an article published in the Maine Business News that focuses on how CEI Capital Management, a nonprofit community development organization in Maine, will continue to help create jobs and spur economic growth and opportunity by providing capital for companies to grow. It specifically mentions NMTC and the success of the St. Croix Tissue plant.
- Maine’s New Markets program is critical to spurring much-needed investment – an op-ed published in the Bangor Daily News by Tom Saviello, a current Maine State Senator and member of the Government Oversight Committee. Senator Saviello praises the NMTC program for being a strong bipartisan effort that has helped spur job-creation and attract a significant amount of new investment to Maine. One very powerful statistic the article mentions is that, for every dollar Maine put into the New Markets program, it generated $21.67 of gross state product – providing a solid economic return on investment.
- CEI presents ‘Opportunity Award’ to St. Croix Tissue – an article published in the Maine Business News that highlights the success of the NMTC investment in St. Croix Tissue, which was able to create more than 80 jobs. Among other projects, the article also mentions how 22 different NMTC projects have helped to preserve more than 1,700 jobs in distressed communities throughout Maine.
- Commentary: New Markets Program’s return for Maine a positive by any standard – an op-ed published in the Portland Press Herald by Ben Gilman, a senior government relations specialist for the Maine State Chamber of Commerce. The article comments on the recent comprehensive report on the NMTC program released by Maine’s Office of Program Evaluation and Government Accountability (OPEGA). Based on its goal to bring job-creating development into economically-depressed areas, the article highlights how the NMTC program has provided an overall positive fiscal impact of $15.8 million for Maine’s budget. The article further mentions the fact that, for every dollar Maine taxpayers invested in the New Markets Capital Investment Program, the state received $1.19 back in new, in-state economic activity.
- Rural development boosted with $80M in New Markets Tax Credit to CEI – an article published in the Maine Business News that focuses on how a new $80 million allocation of tax credits will help CEI Capital Management continue to grow economic development projects that create opportunities in rural, low-income communities across Maine and the New England area. The article also briefly mentions the successes of St. Croix Tissue plant.
- Making the New Markets Tax Credit Work in Maine – an article published in Industry Week that highlights the successful revitalization of the Woodland Pulp mill, which had been in operation since 1905. Thanks to NMTC funds, the mill was able to upgrade, expand and preserve approximately 320 existing jobs at Woodland Pulp, including the creation of an additional 80 new positions at the new St. Croix Tissue plant.
- CEI uses tax credit program to funnel capital into distressed local economies – an article published in the Maine Business News that provides a great overview of the positive effects from NMTC investments since the program was founded.
- Portland’s Press Hotel will preserve a storied past – an article published in the Portland Press Herald that recounts how NMTC funding was able to revive and help renovate an historic hotel built in 1923. Having sat vacant since 2010, the investment enabled the conversion of an empty building into a modern hotel featuring 110 guest rooms, a gallery space, health and fitness center, conference rooms, two bars and a 100-seat restaurant.