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More Jobs for Montanans as Montana CDC Receives $55 Million to Fund Business Start Ups and Expansions

Missoula, MT- The U.S. Treasury Department announced last week an award of $55 million in New Markets Tax Credits to Montana Community Development Corporation.

This is the fifth award received by Montana CDC which now has received $276 million cumulatively. These tax credits are powerful for creating jobs. Montana CDC works with investors to turn the credits into cash and then uses that cash to fund business start ups and expansions in Montana and Idaho.

Mission Valley Aquatics in Polson, Montana, was an unfinished building with an empty swimming pool in need of a last infusion of financing to open its doors. The small lake community on the Flathead Reservation had long needed a place to teach kids to swim, and Tana Seeley, the project?s fundraiser, had built the aquatics center in stages as funding became available. In 2013, Montana CDC?s New Markets Tax Credits provided the financing that finished the building and filled the pool. Since the aquatics center opened, plans for other, private development nearby have begun. And swimming lessons and innovative therapy programs for adults and kids are now offered year-round.
?We are thrilled to bring this additional capital to Montana,? said Dave Glaser, President of Montana CDC. ?Projects that we have funded through this program have not only created jobs, they?ve also addressed specific community needs. Now we have the opportunity to do more.?

Since 2012 Montana CDC has used the tax credits to fund, among other projects, a professional office building in Billings, a healthcare clinic in Havre, a hotel in Bozeman, a homeless shelter in Missoula, and a community facility in Polson. Since Montana CDC received its first allocation in 2008, New Markets Tax Credits projects in Montana have created 1,230 jobs and an estimated $210 million in economic impacts over the long term.

In the coming year, Montana CDC expects to use the tax credits to fund projects that will change the economic landscape of more Montana communities.

Montana?s congressional delegate is supportive of the New Markets Tax Credit program and the economic opportunity it brings to the region.

?New Market Tax Credits help create jobs, incentivize business and revitalize our communities,? Senator Jon Tester said. ?I?m pleased to see growing interest from Montana businesses and collaboration from all sectors of the state?s economy to put these credits to good use.?

?This is exciting news for Montana. Through this award, Montana CDC will be able to provide essential support to a number of projects that will benefit Montana communities and create new, good-paying jobs. I?m proud to see Montanans working together to better our state and support our local communities,? said Congressman Steve Daines.

Senator John Walsh agreed. ?New Markets Tax Credits have improved infrastructure, spurred growth, and provided a boost to local economies across Montana. I am thrilled Montana CDC received resources to create jobs throughout Montana, and I look forward to the investment in future projects across our state.?

About Montana CDC

Montana Community Development Corporation (Montana CDC) is a 501(c)3 that provides business financing that can transform the lives of individuals and strengthen community prosperity. Since 1986, MCDC has lent $250 million to over 500 businesses through its business loan program including New Markets Tax Credit enhanced loans. Additionally thousands of Montanans have gone through Montana CDC?s business consulting and training programs. With its financing and consulting tools, Montana CDC helps entrepreneurs start new businesses, helps business owners expand their businesses, and works to create vibrant economic communities with strong jobs for Montanans.

About New Markets Tax Credits
The US Treasury?s New Markets Tax Credit program was signed into law in 2000 and at the time was the largest Federal economic development initiative to be authorized in 15 years. The credit spurs economic development activity in poor areas in communities throughout the country.

The idea behind the credit is that there are good viable business and economic development opportunities in poor areas in communities that lack access to capital. The NMTC is designed to address this capital gap by providing the incentive of a Federal tax credit to individuals or corporations that invest in Community Development Entities, CDEs, working in these communities.
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