March 19, 2024

Representative Steven Howitt supports raising cap on state’s Conservation Land Tax Credit

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Boston – State Representative Steven Howitt, R-Seekonk, joined with his House colleagues this week to support a Republican-sponsored proposal to raise the annual cap on the Conservation Land Tax Credit from $2 million to $5 million.

The proposal, offered as an amendment to the Fiscal Year 2018 state budget, would phase in the cap increase over a three-year period, beginning on January 1, 2018. The amendment was approved by the House on a voice vote on April 24.

“I’m proud to support the expansion of this important program, which has successfully leveraged tax credits to promote conservation efforts throughout the Commonwealth,” said Representative Howitt. “By raising the cap, we can do even more to safeguard the Commonwealth’s natural resources for future generations.”

Administered through the Executive Office of Energy & Environmental Affairs (EOEEA), the tax credit is offered to property owners who agree to donate certified land to public or private conservation agencies. The tax credit is equal to 50 percent of the fair market value of the donated property, with a maximum credit of $75,000 for each qualified donation.

Examples of land that meets the program’s certification requirements include wildlife habitats, farmland, and land with scenic and cultural values. Between 2011 and 2016, the program awarded $10.7 million in tax credits to permanently protect 10,435 acres of donated conservation land valued at $46.3 million.

The tax credit is currently capped at $2 million annually, but under the amendment the cap would rise to $3 million on January 1, 2018 before increasing to $4 million on January 1, 2019 and then to $5 million on January 1, 2020. These increases would sunset on December 31, 2025 so the legislature can re-evaluate the program and make any necessary adjustments.

The Senate is expected to release and debate its own version of the budget in May. A six-member conference committee will then work to resolve the differences between the two branches’ spending proposals and produce a final budget to be sent to Governor Charlie Baker for his signature.

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