(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—SUPPORT FOR ARTISTS AND ENTREPRENEURS 
Sec. 101. Charitable contributions of certain items created by the taxpayer. 
Sec. 102. Microloan program expansion. 
Sec. 103. SBA business loans for the creative economy. 
Sec. 104. SBA technical assistance programs. 
Sec. 105. Arts-focused economic development. 
Sec. 106. Arts-focused rural development. 
Sec. 107. International participation in the arts. 
Sec. 108. Disaster support for artists through FEMA. 
TITLE II—SUPPORT FOR THE CREATIVE ECONOMY 
Sec. 201. Modification of rules for charitable contributions of fractional gifts. 
Sec. 202. Capital gains tax rate relating to art. 
TITLE III—CREATIVE COMMUNITY DEVELOPMENT 
Sec. 301. Artist corps. 
Sec. 302. Community development entities focused on the arts for purposes of 
the new markets tax credit. 
Sec. 303. Demonstration program on support of local programs that promote 
creative and performance arts in local economic planning. 
TITLE I—SUPPORT FOR ARTISTS 
AND ENTREPRENEURS 
SEC. 
101. 
CHARITABLE 
CONTRIBUTIONS 
OF 
CERTAIN 
ITEMS CREATED BY THE TAXPAYER. 
(a) IN GENERAL.—Subsection (e) of section 170 of 
the Internal Revenue Code of 1986 is amended by adding 
at the end the following new paragraph: 
‘‘(8) SPECIAL RULE FOR CERTAIN CONTRIBU-
TIONS OF LITERARY, MUSICAL, OR ARTISTIC COM-
POSITIONS.— 
‘‘(A) IN GENERAL.—In the case of a quali-
fied artistic charitable contribution— 
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‘‘(i) the amount of such contribution 
shall be the fair market value of the prop-
erty contributed (determined at the time of 
such contribution), and 
‘‘(ii) no reduction in the amount of 
such contribution shall be made under 
paragraph (1). 
‘‘(B) QUALIFIED
ARTISTIC
CHARITABLE 
CONTRIBUTION.—For purposes of this para-
graph, the term ‘qualified artistic charitable 
contribution’ means a charitable contribution of 
any literary, musical, artistic, or scholarly com-
position, or similar property, or the copyright 
thereon (or both), but only if— 
‘‘(i) such property was created by the 
personal efforts of the taxpayer making 
such contribution no less than 18 months 
prior to such contribution, 
‘‘(ii) the taxpayer— 
‘‘(I) has received a qualified ap-
praisal of the fair market value of 
such property in accordance with the 
regulations under this section, and 
‘‘(II) attaches to the taxpayer’s 
income tax return for the taxable year 
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in which such contribution was made 
a copy of such appraisal, 
‘‘(iii) the donee is an organization de-
scribed in subsection (b)(1)(A), 
‘‘(iv) the use of such property by the 
donee is related to the purpose or function 
constituting the basis for the donee’s ex-
emption under section 501 (or, in the case 
of a governmental unit, to any purpose or 
function described under subsection (c)), 
‘‘(v) the taxpayer receives from the 
donee a written statement representing 
that the donee’s use of the property will be 
in accordance with the provisions of clause 
(iv), and 
‘‘(vi) the written appraisal referred to 
in clause (ii) includes evidence of the ex-
tent (if any) to which property created by 
the personal efforts of the taxpayer and of 
the same type as the donated property is 
or has been— 
‘‘(I) owned, maintained, and dis-
played by organizations described in 
subsection (b)(1)(A), and 
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‘‘(II) sold to or exchanged by 
persons other than the taxpayer, 
donee, or any related person (as de-
fined in section 465(b)(3)(C)). 
‘‘(C) MAXIMUM DOLLAR LIMITATION; NO 
CARRYOVER OF INCREASED DEDUCTION.—The 
increase in the deduction under this section by 
reason of this paragraph for any taxable year— 
‘‘(i) shall not exceed the artistic ad-
justed gross income of the taxpayer for 
such taxable year, and 
‘‘(ii) shall not be taken into account in 
determining the amount which may be car-
ried from such taxable year under sub-
section (d). 
‘‘(D) ARTISTIC
ADJUSTED
GROSS
IN-
COME.—For purposes of this paragraph, the 
term ‘artistic adjusted gross income’ means 
that portion of the adjusted gross income of the 
taxpayer for the taxable year attributable to— 
‘‘(i) income from the sale or use of 
property created by the personal efforts of 
the taxpayer which is of the same type as 
the donated property, and 
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‘‘(ii) income from teaching, lecturing, 
performing, or similar activity with respect 
to property described in clause (i). 
‘‘(E) PARAGRAPH NOT TO APPLY TO CER-
TAIN CONTRIBUTIONS.—Subparagraph (A) shall 
not apply to any charitable contribution of any 
letter, memorandum, or similar property which 
was written, prepared, or produced by or for an 
individual while the individual is an officer or 
employee of any person (including any govern-
ment agency or instrumentality) unless such 
letter, memorandum, or similar property is en-
tirely personal. 
‘‘(F) COPYRIGHT TREATED AS SEPARATE 
PROPERTY FOR PARTIAL INTEREST RULE.—In 
the case of a qualified artistic charitable con-
tribution, the tangible literary, musical, artistic, 
or scholarly composition, or similar property 
and the copyright on such work shall be treated 
as separate properties for purposes of this para-
graph and subsection (f)(3).’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to contributions made after the 
date of the enactment of this Act in taxable years ending 
after such date. 
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SEC. 102. MICROLOAN PROGRAM EXPANSION. 
Section 7(m)(6) of the Small Business Act (15 
U.S.C. 636(m)(6)) is amended by adding at the end the 
following: 
‘‘(F) LOAN
CRITERIA
FOR
ARTISTS
AND 
ARTS
ENTREPRENEURS.—The Administration, 
in consultation with eligible intermediaries, 
shall develop loan criteria to ensure that small 
business concerns owned and controlled by art-
ists and small business concerns that support 
the creative economy receive loan proceeds 
under this subsection.’’. 
SEC. 103. SBA BUSINESS LOANS FOR THE CREATIVE ECON-
OMY. 
Section 7(a) of the Small Business Act (15 U.S.C. 
636(a)) is amended by adding at the end the following: 
‘‘(35) CREATIVE ECONOMY.—In providing as-
sistance under this subsection, the Administration 
shall develop procedures to evaluate the business 
proposals and business plans of small business con-
cerns that focus on economic development, job cre-
ation, and community growth with respect to the 
creative economy.’’. 
SEC. 104. SBA TECHNICAL ASSISTANCE PROGRAMS. 
Section 21 of the Small Business Act (15 U.S.C. 648) 
is amended by adding at the end the following: 
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‘‘(o) TECHNICAL ASSISTANCE PROGRAMS FOR ART-
ISTS AND ARTS ENTREPRENEURS.—The Administration, 
in consultation with relevant stakeholders, shall develop 
technical assistance programs to be carried out by small 
business development centers under this subsection that 
target the specific needs of artists and arts entre-
preneurs.’’. 
SEC. 105. ARTS-FOCUSED ECONOMIC DEVELOPMENT. 
Title II of the Public Works and Economic Develop-
ment Act of 1965 (42 U.S.C. 3141 et seq.) is amended 
by adding at the end the following: 
‘‘SEC. 219. ARTS-FOCUSED ECONOMIC DEVELOPMENT. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BUSINESS
INCUBATION
PROGRAM.—The 
term ‘business incubation program’ means a pro-
gram that— 
‘‘(A) accelerates the successful develop-
ment of entrepreneurial businesses through 
business support resources and services, devel-
oped or orchestrated by incubator management; 
‘‘(B) is designed to produce successful 
businesses; and 
‘‘(C) provides management guidance, tech-
nical assistance, and consulting designed for 
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young, growing businesses, including by pro-
viding— 
‘‘(i) rental space and flexible leases; 
‘‘(ii) shared basic business services 
and equipment; 
‘‘(iii) technology support services; and 
‘‘(iv) assistance in obtaining financing 
necessary for growth of the business. 
‘‘(2) INCUBATOR.—The term ‘incubator’ means 
a multitenant facility with on-site management that 
directs a business incubation program. 
‘‘(b) ARTS-FOCUSED ECONOMIC DEVELOPMENT.—In 
providing grants and assistance under this Act (including 
through the local technical assistance, partnership plan-
ning, and comprehensive economic development strategies 
programs of the Economic Development Administration), 
the Secretary shall provide to artists and the creative 
economy support through traditional economic develop-
ment tools, including— 
‘‘(1) incubators; and 
‘‘(2) economic development planning and tech-
nical assistance.’’. 
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SEC. 106. ARTS-FOCUSED RURAL DEVELOPMENT. 
The Consolidated Farm and Rural Development Act 
(7 U.S.C. 1921 et seq.) is amended by adding at the end 
the following: 
‘‘Subtitle J—Arts-Focused 
Economic Development 
‘‘SEC. 386A. ARTS-FOCUSED ECONOMIC DEVELOPMENT. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BUSINESS
INCUBATION
PROGRAM.—The 
term ‘business incubation program’ means a pro-
gram that— 
‘‘(A) accelerates the successful develop-
ment of entrepreneurial businesses through 
business support resources and services, devel-
oped or orchestrated by incubator management; 
‘‘(B) is designed to produce successful 
businesses; and 
‘‘(C) provides management guidance, tech-
nical assistance, and consulting designed for 
young, growing businesses, including by pro-
viding— 
‘‘(i) rental space and flexible leases; 
‘‘(ii) shared basic business services 
and equipment; 
‘‘(iii) technology support services; and 
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‘‘(iv) assistance in obtaining financing 
necessary for growth of the business. 
‘‘(2) INCUBATOR.—The term ‘incubator’ means 
a multitenant facility with on-site management that 
directs a business incubation program. 
‘‘(b) ARTS-FOCUSED ECONOMIC DEVELOPMENT.—In 
providing grants and assistance under this Act (including 
through the local technical assistance, partnership plan-
ning, and comprehensive economic development strategies 
programs of the Office of Rural Development), the Sec-
retary, acting through the Under Secretary for Rural De-
velopment, shall provide to artists and the creative econ-
omy support through traditional economic development 
tools, including— 
‘‘(1) incubators; and 
‘‘(2) economic development planning and tech-
nical assistance.’’. 
SEC. 107. INTERNATIONAL PARTICIPATION IN THE ARTS. 
Section 214(c)(6)(D) of the Immigration and Nation-
ality Act (8 U.S.C. 1184(c)(6)(D)) is amended— 
(1) in the first sentence, by inserting ‘‘(i)’’ be-
fore ‘‘Any person’’; 
(2) in the second sentence— 
(A) by striking ‘‘Once’’ and inserting ‘‘Ex-
cept as provided in clause (ii), once’’; and 
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(B) by striking ‘‘Attorney General shall’’ 
and inserting ‘‘Secretary of Homeland Security 
shall’’; 
(3) in the third sentence, by striking ‘‘The At-
torney General’’ and inserting ‘‘The Secretary’’; and 
(4) by adding at the end the following: 
‘‘(ii) The Secretary of Homeland Security shall adju-
dicate each petition for an alien with extraordinary ability 
in the arts (as described in section 101(a)(15)(O)(i)), an 
alien accompanying such an alien (as described in section 
101(a)(15)(O)(ii)), or an alien described in section 
101(a)(15)(P) (other than an alien described in section 
214(c)(4)(A) (relating to athletes)) not later than 14 days 
after— 
‘‘(I) the date on which the petitioner submits 
the petition with a written advisory opinion, letter of 
no objection, or request for a waiver; or 
‘‘(II) the date on which the 15-day period de-
scribed in clause (i) has expired, if the petitioner has 
had an opportunity to supply rebuttal evidence. 
‘‘(iii) If a petition described in clause (ii) is not adju-
dicated by the end of the 14-day period described in clause 
(ii) and the petitioner is an arts organization described 
in paragraph (3), (5), or (6) of section 501(c) of the Inter-
nal Revenue Code of 1986 and exempt from tax under 
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section 501(a) of such Code for the taxable year preceding 
the calendar year in which the petition is submitted, or 
an individual or entity petitioning primarily on behalf of 
such an organization, the Secretary of Homeland Security 
shall provide the petitioner with the premium-processing 
services referred to in section 286(u), without a fee.’’. 
SEC. 108. DISASTER SUPPORT FOR ARTISTS THROUGH 
FEMA. 
(a) IN GENERAL.—The President, acting through the 
Administrator of the Federal Emergency Management 
Agency, shall promulgate rules to ensure that expenses in-
curred, as a result of a major disaster or emergency, by 
a self-employed or freelance worker, including a craft art-
ist, fine artist, designer, literary artist, performing artist, 
or musician, to repair or replace tools needed by the self- 
employed or freelance worker are considered eligible ex-
penses for assistance under section 408 of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act 
(42 U.S.C. 5174). 
(b) REQUIREMENT.—The rules promulgated under 
subsection (a) may not require, as a condition of receiving 
such assistance under section 408 of the Robert T. Staf-
ford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5174), an applicant— 
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(1) to apply or be declined for assistance from 
the Small Business Administration; or 
(2) to demonstrate that assistance received 
from the Small Business Administration does not 
satisfy the total necessary expenses or serious needs 
arising out of a major disaster or emergency. 
TITLE II—SUPPORT FOR THE 
CREATIVE ECONOMY 
SEC. 201. MODIFICATION OF RULES FOR CHARITABLE CON-
TRIBUTIONS OF FRACTIONAL GIFTS. 
(a) INCOME TAX.— 
(1) ADDITIONAL REQUIREMENTS FOR DEDUC-
TION.—Paragraph (1) of section 170(o) of the Inter-
nal Revenue Code of 1986 is amended to read as fol-
lows: 
‘‘(1) DENIAL
OF
DEDUCTION
IN
CERTAIN 
CASES.— 
‘‘(A) IN GENERAL.—No deduction shall be 
allowed for a contribution of an undivided por-
tion of a taxpayer’s entire interest in tangible 
personal property unless— 
‘‘(i) all interests in the property are 
held immediately before such contribution 
by— 
‘‘(I) the taxpayer, or 
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‘‘(II) the taxpayer and the donee, 
‘‘(ii) in the case of an initial fractional 
contribution, such contribution is an undi-
vided portion of not less than 10 percent 
of all interests in the property, 
‘‘(iii) in the case of an initial frac-
tional contribution, the contribution is 
made pursuant to a written binding con-
tract which requires the donor— 
‘‘(I) to contribute not less than 
20 percent of all interests in the prop-
erty on or before the date that is 11 
years after the date of the initial frac-
tional contribution, and 
‘‘(II) to contribute all of the in-
terests in such property to the donee 
(or if such donee is no longer in exist-
ence, to any person described in sub-
section (c)) on or before the earlier of 
the date of the death of the donor or 
the date which is 20 years after the 
date of the initial fractional contribu-
tion, and 
‘‘(iv) if the value of the tangible per-
sonal property with respect to which the 
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undivided portion of the taxpayer’s entire 
interest relates is greater than $1,000,000 
(or such greater amount as determined by 
the Secretary), the taxpayer attaches to 
the return for the taxable year in which 
such contribution is made a statement of 
value obtained from the Internal Revenue 
Service. 
In the case of a donor who dies before the date 
which is 20 years after the date of the initial 
fractional contribution, clause (iii)(II) is satis-
fied with respect to such initial fractional con-
tribution if the donor’s will specifies that all of 
the interests in such property will be contrib-
uted to the donee before such date. 
‘‘(B) EXCEPTIONS.—The Secretary may, 
by regulation, provide for exceptions to sub-
paragraph (A)(i) in cases where all persons who 
hold an interest in the property make propor-
tional contributions of an undivided portion of 
the entire interest held by such persons. Such 
regulations may modify the requirements of 
clauses (ii) and (iii) of subparagraph (A) to the 
extent necessary to carry out the purposes of 
this subparagraph.’’. 
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(2) VALUATION OF SUBSEQUENT GIFTS.—Para-
graph (2) of section 170(o) of such Code is amended 
to read as follows: 
‘‘(2) VALUATION OF SUBSEQUENT GIFTS.—In 
the case of any additional contribution, the fair mar-
ket value of such contribution shall be determined by 
using a certified appraisal from the Art Advisory 
Panel of the Commissioner of Internal Revenue.’’. 
(3) RECAPTURE
OF
DEDUCTION.—Paragraph 
(3) of section 170(o) of such Code is amended— 
(A) by redesignating subparagraph (B) as 
subparagraph (C), and 
(B) by striking subparagraph (A) and in-
serting the following: 
‘‘(A) RECAPTURE.—The Secretary shall 
provide for the recapture of the amount of any 
deduction allowed under this section (plus inter-
est) with respect to any contribution of an undi-
vided portion of a taxpayer’s entire interest in 
tangible personal property— 
‘‘(i) in any case in which the donor 
fails to meet the requirements described in 
paragraph (1)(A)(iii), and 
‘‘(ii) in any case where such property 
is not in the physical possession of the 
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donee (other than in the case of art which 
is fragile or unwieldy) and used in a use 
which is related to a purpose or function 
constituting the basis for the donee organi-
zation’s exemption under section 501 dur-
ing any applicable period for a period of 
time which bears substantially the same 
ratio to 5 years as— 
‘‘(I) the percentage of the undi-
vided interest of the donee in the 
property (determined on the day after 
such contribution was made), bears to 
‘‘(II) 100 percent. 
‘‘(B) APPLICABLE PERIOD.—For purposes 
of subparagraph (A), the applicable period 
means— 
‘‘(i) the 5-year period beginning on 
the date of the later of the initial fractional 
contribution, and 
‘‘(ii) each subsequent 5-year period 
occurring during the 20-year period de-
scribed in paragraph (1)(A)(iii)(II).’’. 
(b) GIFT TAX.— 
(1) ADDITIONAL REQUIREMENTS FOR DEDUC-
TION.—Paragraph (1) of section 2522(e) of the In-
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ternal Revenue Code of 1986 is amended to read as 
follows: 
‘‘(1) DENIAL
OF
DEDUCTION
IN
CERTAIN 
CASES.— 
‘‘(A) IN GENERAL.—No deduction shall be 
allowed for a contribution of an undivided por-
tion of a taxpayer’s entire interest in tangible 
personal property unless— 
‘‘(i) all interests in the property are 
held immediately before such contribution 
by— 
‘‘(I) the taxpayer, or 
‘‘(II) the taxpayer and the donee, 
‘‘(ii) in the case of an initial fractional 
contribution, such contribution is an undi-
vided portion of not less than 10 percent 
of all interests in the property, 
‘‘(iii) in the case of an initial frac-
tional contribution, the contribution is 
made pursuant to a written binding con-
tract which requires the donor— 
‘‘(I) to contribute not less than 
20 percent of all interests in the prop-
erty on or before the date that is 11 
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lotter on DSK5VPTVN1PROD with BILLS
tribution if the donor’s will specifies that all of 
the interests in such property will be contrib-
uted to the donee before such date. 
‘‘(B) EXCEPTIONS.—The Secretary may, 
by regulation, provide for exceptions to sub-
paragraph (A)(i) in cases where all persons who 
hold an interest in the property make propor-
tional contributions of an undivided portion of 
the entire interest held by such persons. Such 
regulations may modify the requirements of 
clauses (ii) and (iii) of subparagraph (A) to the 
extent necessary to carry out the purposes of 
this subparagraph.’’. 
(2) RECAPTURE
OF
DEDUCTION.—Paragraph 
(2) of section 2522(e) of such Code is amended— 
(A) by redesignating subparagraphs (B) 
and (C) as subparagraphs (C) and (D), respec-
tively, and 
(B) by striking subparagraph (A) and in-
serting the following: 
‘‘(A) RECAPTURE.—The Secretary shall 
provide for the recapture of the amount of any 
deduction allowed under this section (plus inter-
est) with respect to any contribution of an undi-
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lotter on DSK5VPTVN1PROD with BILLS
vided portion of a taxpayer’s entire interest in 
tangible personal property— 
‘‘(i) in any case in which the donor 
fails to meet the requirements described in 
paragraph (1)(A)(iii), and 
‘‘(ii) in any case where such property 
is not in the physical possession of the 
donee (other than in the case of art which 
is fragile or unwieldy) and used in a use 
which is related to a purpose or function 
constituting the basis for the donee organi-
zation’s exemption under section 501 dur-
ing any applicable period for a period of 
time which bears substantially the same 
ratio to 5 years as— 
‘‘(I) the percentage of the undi-
vided interest of the donee in the 
property (determined on the day after 
such contribution was made), bears to 
‘‘(II) 100 percent. 
‘‘(B) APPLICABLE PERIOD.—For purposes 
of subparagraph (A), the applicable period 
means— 
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‘‘(i) the 5-year period beginning on 
the date of the later of the initial fractional 
contribution, and 
‘‘(ii) each subsequent 5-year period 
occurring during the 20-year period de-
scribed in paragraph (1)(A)(iii)(II).’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to contributions and gifts made 
after the date of the enactment of this Act. 
(d) TRANSITION RULE.—In the case of any addi-
tional contribution (as defined in section 170(o)(4) of the 
Internal Revenue Code of 1986) with respect to an initial 
fractional contribution (as defined in such section) made 
after August 17, 2006, and before the date of the enact-
ment of this Act— 
(1) except for purposes of determining the fair 
market value of such contribution under section 
170(o)(2) of the Internal Revenue Code of 1986 (as 
amended by this Act), such contribution shall be 
treated as an initial fractional contribution (as so 
defined) subject to the amendments made by this 
section, and 
(2) 
sections 
170(o)(3)(A)(i) 
and 
2522(e)(3)(A)(i) of such Code (as in effect before 
the date of the enactment of this Act) shall not 
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lotter on DSK5VPTVN1PROD with BILLS
apply with respect to any prior contribution of an 
undivided portion of the taxpayer’s interest in the 
property. 
SEC. 202. CAPITAL GAINS TAX RATE RELATING TO ART. 
(a) EXCLUSION FROM 28-PERCENT RATE GAIN.— 
Subparagraph (A) of section 1(h)(5) of the Internal Rev-
enue Code of 1986 is amended by striking ‘‘paragraph 
(3)’’ and inserting ‘‘paragraph (2)(A) or (3)’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
TITLE III—CREATIVE 
COMMUNITY DEVELOPMENT 
SEC. 301. ARTIST CORPS. 
(a) CORPS.—Section 122(a) of the National and 
Community Service Act of 1990 (42 U.S.C. 12572(a)) is 
amended by adding at the end the following: 
‘‘(6) ARTIST CORPS.— 
‘‘(A) IN
GENERAL.—The recipient may 
carry out national service programs through an 
Artist Corps that identifies and meets unmet 
needs within communities through artistic ac-
tivities such as those described in subparagraph 
(B) and improves performance on the indicators 
described in subparagraph (C). 
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‘‘(B) ACTIVITIES.—An Artist Corps de-
scribed in this paragraph may carry out activi-
ties such as— 
‘‘(i) providing skilled visual and per-
formance artists to address community 
needs through artistic activities in edu-
cation, health care, and therapeutic set-
tings, and in other settings in the commu-
nity; or 
‘‘(ii) providing other artistic activities, 
addressing unmet community needs, that 
the Corporation may designate, such as 
technical assistance for grant writing, mar-
keting, and financial planning. 
‘‘(C) ARTIST CORPS INDICATORS.—The in-
dicators for a corps program described in this 
paragraph are— 
‘‘(i) any indicator relating to meeting 
critical needs that the Corporation estab-
lishes; or 
‘‘(ii) any local indicator (applicable to 
a particular recipient or community and on 
which an improvement in performance is 
needed) relating to meeting critical needs, 
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that is approved by the Corporation or a 
State Commission.’’. 
(b) CONFORMING AMENDMENTS.—Section 122 of 
such Act is amended— 
(1) in subsection (b)(3), by striking ‘‘or (5)’’ 
and inserting ‘‘(5), or (6)’’; and 
(2) in subsection (c)(1), in the matter preceding 
subparagraph (A), by striking ‘‘through (5)’’ and in-
serting ‘‘through (6)’’. 
SEC. 302. COMMUNITY DEVELOPMENT ENTITIES FOCUSED 
ON THE ARTS FOR PURPOSES OF THE NEW 
MARKETS TAX CREDIT. 
(a) IN GENERAL.—Not later than 1 year after the 
date of the enactment of this Act, the Secretary of the 
Treasury shall develop and promulgate guidelines for the 
creation and operation of qualified community develop-
ment entities— 
(1) which will be eligible to be certified as such 
by the Secretary of the Treasury under section 
45D(c)(1)(C) of the Internal Revenue Code of 1986; 
(2) a qualified equity investment in which will, 
subject to allocation under section 45D(f) of such 
Code, be eligible for the credit under such section 
45D; and 
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(3) which will focus on investment in and the 
development and encouragement of the creative 
economy in low-income communities. 
(b) DEFINITIONS.—For purposes of this section, any 
term used in subsection (a) which is also used in section 
45D of the Internal Revenue Code of 1986 has the same 
meaning as when used in such section. 
SEC. 303. DEMONSTRATION PROGRAM ON SUPPORT OF 
LOCAL PROGRAMS THAT PROMOTE CRE-
ATIVE AND PERFORMANCE ARTS IN LOCAL 
ECONOMIC PLANNING. 
(a) DEMONSTRATION PROGRAM REQUIRED.—The 
Secretary of Commerce shall establish a demonstration 
program to assess the feasibility and advisability of pro-
viding support to covered programs to promote creative 
and performing arts in the economic planning of local gov-
ernments. 
(b) COVERED PROGRAMS.—For purposes of the dem-
onstration program required by subsection (a), a covered 
program is any program that— 
(1) was in effect on the day before the date of 
the enactment of this Act; and 
(2) the Secretary considers part of an art com-
munity. 
Æ 
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