New York State Assembly member Sam Hoyt and Senator David Valesky (Dem.) announced on July 17, 2009 that the New York State Legislature passed legislation (A.9023/S.6056) to create an expanded historic preservation tax credit program that will offer opportunities for economic development and job creation while utilizing existing infrastructure. The Legislature also passed their legislation (A.0695/S.1980-A) to protect historic districts and landmarks from demolition by neglect by allowing regulations prohibiting lack of maintenance or improper care.
The Historic Rehabilitation Tax Credit has two major components to provide investment incentives for both commercial and residential properties. The commercial program provides a tax credit of 20% of rehabilitation costs up to a maximum of $5 million for substantial rehabilitation of properties listed on the National Register of Historic Places. The residential program, designed for owner-occupied houses listed on the State and National Registers of Historic Places, will provide up to a $50,000 tax credit to cover 20% of qualified rehabilitation costs. Projects for both programs must be in distressed areas, defined as census tracts where the median income is at or below 100% of the New York State Median Family Income.