Update on Historic Tax Credits

Arctic Mill, West Warwick

For years, Preserve RI has partnered with Grow Smart RI to advocate for the state’s Historic Tax Credit (HTC) program. This program has a proven track record – it has generated over $2.18 billion in total investment into the state and has generated approximately 20% of all new housing from 2013 through 2023. After unsuccessful efforts to include funding for the program in the Governor’s budget, we worked with key allies in both the House and Senate to introduce two pieces of legislation (H8408 and S3151) in both houses that would address issues with the program, including an extension of the sunset (“sunset” refers to the expiration of a particular law/program). Despite the Senate passing S3151 with a minor Sub A revision, the House did not take action prior to the close of the legislative session. This is likely due to the last-minute change in House Leadership. Without any action by the House, the HTC program will be sunsetting at the end of June.

Preserve RI and Grow Smart RI are currently working with the Division of Taxation to better understand the implications of the program sunsetting. We will provide updates on this critical matter as they arise.

“While we are incredibly disappointed that the RI’s Historic Tax Credit Program will sunset at the end June, we are that much more motivated to continue our advocacy work with Grow Smart RI in the upcoming legislative session. Historic Tax Credits stimulate the economy, encourage more sustainable building practices, and revitalize brownfield sites across the state. It is imperative that the program be restarted in 2027.” – Sheryl Hack, Executive Director

A special thank you to Senators DiPalama and Bissaillon, and Representative Speakman (and all other bill sponsors) for spearheading our legislative efforts. Also, thank you to Senate President Lawson and Majority Leader Ciccone for prioritizing passage in the Senate.