A few times a year, we get a version of this question on our “contact us” form: “Can I use the New Markets Tax Credit (NMTC) with the (fill in the blank) loan guarantee program?”
In early June, those who have been working to use the NMTC alongside the United States Department of Agriculture’s (USDA) Business & Industry (B&I) Loan Program got some good news.
You should read the new federal guidance for yourself if you are interested in accessing capital through these combined programs.
But it seems clear, at least, that USDA wants to make it easier to combine the power of NMTC investor equity with the attractiveness of the B&I Guarantee.
Over the years, we have been telling a lot of our clients that the USDA funding and guarantee programs don’t fit well into the NMTC structure. Now that this change is out there, we want to make sure everyone gets access to the latest information.
If you want to use these programs together, call us, and we can all get in touch with your state’s USDA rural development coordinator.
Travois has not combined these programs on a project yet. But, as always, we are eager to bring new tools and new sources of capital to Indian Country. If you plan to explore this further, feel free to reach out to us for help.