HOUSE JOINT MEMORIAL 47

47th legislature - STATE OF NEW MEXICO - first session, 2005

INTRODUCED BY

Rick Miera

A JOINT MEMORIAL

REQUESTING THAT THE TAXATION AND REVENUE DEPARTMENT AND THE HISTORIC PRESERVATION DIVISION OF THE CULTURAL AFFAIRS DEPARTMENT STUDY THE POSSIBILITY OF EXPANDING ELIGIBILITY FOR THE STATE INCOME AND CORPORATE INCOME TAX CREDIT FOR HISTORIC PROPERTIES TO PERSONS MAKING DONATIONS TO NOT-FOR-PROFIT ORGANIZATIONS OR TO LOCAL AND STATE GOVERNMENTS IN POSSESSION OF ELIGIBLE BUILDINGS.

     WHEREAS, Sections 7-2-18.2 and 7-2A-8.6 NMSA 1978 authorize state income and corporate income tax credits for a taxpayer who files a New Mexico income or corporate income tax return and is the owner of a residential or commercial property listed in the state register of cultural properties in an amount equal to one-half of the cost of restoration, rehabilitation or preservation of a listed cultural property, up to a maximum of twenty-five thousand dollars ($25,000); and

     WHEREAS, since 1984, when the legislature created the historic preservation income tax credit, the historic preservation division of the cultural affairs department has assisted more than four hundred thirty-three property owners to successfully rehabilitate historic properties, generating more than twenty-one million dollars ($21,000,000) for construction fees and services in communities statewide; and

     WHEREAS, the preservation of historic properties contributes to the economic development, quality of life and rich cultural heritage of the state of New Mexico and its communities through increased economic activity, community pride, tourism and higher neighborhood property values;

     NOW, THEREFORE, BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO that the taxation and revenue department and the historic preservation division of the cultural affairs department be requested to study the feasibility, legal status, practical application and fiscal impact of expanding eligibility for the state income and corporate income tax credit for historic properties to persons making donations to rehabilitate historic properties to not-for-profit organizations or to state and local governments that own eligible properties; and

     BE IT FURTHER RESOLVED that, no later than November 2005, the taxation and revenue department and the cultural affairs department report to the appropriate interim committees of the legislature their findings and recommendations, including any recommendations that require legislative approval or funding to implement; and

     BE IT FURTHER RESOLVED that copies of this memorial be transmitted to the secretaries of taxation and revenue and cultural affairs.

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