Braley: Communities need historic tax credits

U.S. Rep. Bruce Braley is pushing to extend historic tax credits that are driving the restoration and renovation of Cedar Rapids' Paramount Theatre and former federal courthouse as well as flood recovery projects in Davenport, Dubuque and other Iowa communities.

Braley, a Waterloo Democrat, said Tuesday that he was moved to introduce the Rebuilding Communities Act after touring parts of Dubuque County that were flooded this summer.

Historic tax credits were being used to rehabilitate a flooded millwork district, he said. If the credits are allowed to expire Dec. 31, the cost of the rehabilitation will increase, possibly jeopardizing the project. His bill would extend them for three years.

“The simple truth is that historic rehabilitation increases property values and increases sales tax revenue and supports tourism and new business develop in Iowa's historic communities,” Braley said.

Recovering from damage sustained during natural disasters can take years, he said. A good portion of the time often is spent laying the groundwork for projects. In some cases, bureaucratic red tape causes further delays.

“It would be a real setback to let this tax break expire before it has time to realize its full impact,” he said.

In Cedar Rapids, state and federal historic tax credits are providing about $9 million toward the $35 million renovation of the Paramount, and about $3.5 million for the nearly $10 million conversion of the former federal courthouse into the new City Hall.