June 14, 2010

The Honorable Charles A. Murphy

The Honorable Steven C.
Panagiotakos
Budget Conference Committee
Massachusetts State House
Rooms 243 and 212
Boston, MA 02133

Re: HB 4601 FY 11 State Budget Massachusetts Historic

Rehabilitation Tax Credit

Dear Representative Murphy and Senator Panagiotakos:

On behalf of Preservation Massachusetts, the statewide advocacy

organization for historic preservation, I write to express my strong support
for the extension of the Massachusetts Historic Rehabilitation Tax Credit.
(MHRTC) We urge that the language extending the sunset date from 2011 to
2017, which was included as outside section 25 of the Senate enacted
budget, be included in the final conference committee report. The language
states:

SECTION 25. Section 6J of chapter 62 of the General Laws, as so appearing,

is hereby amended by striking out, in lines 36 and 37, the words 6 year
period beginning January 1, 2006, and ending December 31, 2011 and
inserting in place thereof the following words: 12year period beginning
January 1, 2006, and ending December 31, 2017.

In 2002, Preservation Massachusetts led a coalition of organizations in the

drafting and lobbying of the original MHRTC legislation, which was signed
into law by Governor Romney in November of 2003. Since then, Preservation
Massachusetts has been the lead advocate for the credits use and
expansion. This tremendously popular credit program has not only helped to
rehabilitate and reuse many of our states historic buildings, it is also
creating economic development, community revitalization and spurring job
creation. Our organization works in partnership with other non-profits,
businesses and professionals in our efforts to ensure this important credit
remains in place and effective, especially in challenging times.

To date almost 200 projects have applied since the first round of credits was
made available in 2004 and approximately $270,000,000 in credits have
been allocated. According to our own economic review of the tax credits
impact on the Commonwealth, it was found that $74,000,000 in tax credits
have leveraged close to $1 billion in total investment, created 12,349 jobs
and rehabilitated 2,655,688 square feet of historic buildings across the
Commonwealth. The economic review also indicated that there is a pent up
demand for the tax credits totaling approximately $293,800,000. The review
further determined that if this pent up demand were to be acted upon, it
would leverage between $1.5 and 2 billion in investments, create over
25,000 jobs and rehab nearly 8 million square feet.

Preservation Massachusetts is an organization that not only advocates for

the preservation of our Commonwealths historic buildings and landscapes,
but for the preservation of our neighborhoods, revitalization of our
communities and the places we call home. The MHRTC has greatly benefited
and impacted projects from mills in Lawrence to theatres in Pittsfield. The
future potential of the MHRTC is as tremendous as its value back to the
Commonwealth.

Again, we urge that the language extending the sunset date from 2011 to
2017 which was included as outside section 25 of the Senate enacted budget
be included in the final conference committee report.
Please feel free to contact me directly with any questions about the MHRTC
program or our efforts on the programs behalf.

Sincere Regards,

James W. Igoe
President, Preservation Massachusetts

cc: Representative Barbara A L'Italien

Representative Robert S. Hargraves
Senator Stephen M. Brewer
Senator Michael R. Knapik