Pennsylvania Code › Title 12 - COMMERCE, TRADE AND LOCAL GOVERNMENT › Part V - Community Affairs and Development › Subpart B - Community Empowerment › Chapter 135 - NEIGHBORHOOD ASSISTANCE PROGRAM › TAX CREDITS › Section 135.41a - Tax credits for capital construction campaigns

Current through Register Vol. 54, No. 28, July 13, 2024
(a) A capital construction campaign is the
					 raising of funds for the construction or permanent improvement to property or
					 the purchase of furniture or equipment to be used in the neighborhood
					 organization's facility.
(b)
					 Capital construction campaign programs may be approved generally for up to a
					 3-year period. In addition, each year of the 3-year period shall be approved
					 individually.
(c) Capital campaigns
					 for the construction of buildings which are intended to provide in-patient
					 overnight medical care may not be eligible under this program.
(d) A building not owned by a neighborhood
					 organization to be renovated shall have a lease which would cover the useful
					 life of the renovations.
(e)
					 Capital campaign programs will only be approved up to $150,000 tax credits per
					 year or up to $450,000 tax credits over an approved 3-year period, except by
					 special approval by the Secretary.
(f) Capital campaigns may only be submitted
					 for work to be accomplished.
(g)
					 Campaign expenses such as fund raisers, materials, ads, rentals and the like
					 may not be included as program costs.
(h) Costs incurred under the program shall be
					 for construction-related costs only. Payment of interest on loans will not be
					 considered.
(i) Capital
					 construction projects shall provide appropriate plans and costs.
(j) In order for an organization which
					 provides community-wide services to be eligible for tax-credited contributions
					 for capital construction campaigns, the organization must provide specific
					 programs for low income individuals. The programs shall be the type eligible
					 under the act. The proposal of the organization shall include the following
					 information in addition to other application requirements: a description of the
					 program aimed towards low-income individuals; a statement of the number of
					 individuals who are being served or who will be served by the program for
					 low-income individuals; a statement as to how the capital construction will
					 relate to the program for low-income individuals, that is how the new facility
					 will be used in the program; and a statement of the total number of individuals
					 who are being served or who will be served by the organization. The number of
					 individuals served by the specific program for low-income individuals will be
					 compared to the total number of individuals served by the organization to
					 determine the percentage of low-income individuals aided by the organization.
					 The tax credit for the capital construction campaign will then be determined by
					 prorating the entire cost of the capital construction, excluding ineligible
					 costs under this chapter, to the percentage of low-income individuals served by
					 the organization. The amount of tax credits under this subsection will be
					 subject to the limitations set forth in this chapter.