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Developers are applauding a bill signed into law this week that overhauls the way state subsidies are handed out for the renovation of historic buildings.House File 2453 eliminates a lottery system for allocating historic tax credits, replacing it with a point system that favors projects that are ready to break ground. The tax credits have been a critical piece in the redevelopment of old buildings into apartments and offices in downtown Des Moines and other Iowa Under Armour Curry 3 Low Release Date

nearly $100,000 in interest payments.Modus' headquarters, called Market One, at 130 E. Third St. is scheduled to open in November.The bill maintained the annual $45 million cap for historic tax credits. Often there are applications for more than that amount. The new point system Under Armour Micro G Grey will determine which projects are funded based on readiness, the timeline for construction and financial backing, according to the Iowa Department of Cultural Affairs.Doyle said the lottery system encouraged developers to apply for tax credits long before their project was ready just so they could get in line. "Developers would submit for historic tax credits and then park on it," he said.The bill, which passed nearly unanimously, puts Iowa's historic tax program more in line with other states', said Jeff Morgan, a spokesman with the Iowa Department of Cultural Affairs. It also includes a provision allowing the state to recover money if fraud is discovered.Another provision in the bill allows historic tax credits that had been reserved for projects costing less than $750,000 and had not been allocated in recent years to be doled out to projects of any size.Some developers, though, Under Armour Cross Training Shoes

have reservations about the changes.Mike Nelson, owner of Nelson Construction, said he is concerned about a provision in the law that limits the amount of additional tax credits a developer can receive if they have cost overruns. Nelson, whose company has used historic tax credits to renovate several downtown high rises, including the Liberty, Fleming and Des Moines buildings, said that cap will result in developers inflating their cost estimates to protect against overruns."These historic projects are full of unknowns and trap doors, and the only way to protect yourself going forward is to build significant contingencies into your application," he said.

cities."It was great news that it finally changed," said Justin Doyle, a co owner of Modus Engineering, which lobbied for the bill.The Des Moines based engineering firm applied in 2012 for about $1.5 million in historic tax credits to convert a century old warehouse in the southern end of the East Village into its new high tech, solar powered headquarters. Modus lost the lottery twice, meaning it had to wait two years to receive its tax credits, which Doyle estimated cost the company Under Armour Micro G Anatomix Spawn

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Renovation tax credit change applauded

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