New Markets Tax Credit News Briefs – August 2026
Friday, August 7, 20264 MIN READ
The Community Development Financial Institutions (CDFI) Fund published a notice June 17 in the Federal Register soliciting public comment on the new markets tax credit (NMTC) program Allocation and Qualified Equity Investment Tracking System. Comments are invited on whether the collection of information is necessary for the proper performance of the functions of the agency; the agency’s estimate of the burden of the collection of information; ways to enhance the quality, utility and clarity of the information collected; ways to minimize the burden of the collection of information on respondents; and estimates of capital or startup costs and costs of operation, maintenance and purchase of services required to provide information. Current reporting requirements are on the CDFI Fund website. Comments must be submitted on or before Aug. 17.
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The CDFI Fund June 30 opened the fiscal year 2026 application rounds for the CDFI Bond Guarantee Program (BG Program), the Bank Enterprise Award Program (BEA Program) and the Small Dollar Loan Program (SDL Program). The BG Program supports CDFI lending and provides CDFIs with a source of long-term capital; the BEA Program provides awards to banks for increasing their investments in CDFIs or expanding their lending, investing and financial services in severely economically distressed communities; and the SDL Program provides grants to help certified financial institutions offer alternatives to high-cost, small-dollar loans. The CDFI Fund published Notices of Funding for the BEA Program and the SDL Program, as well as a Notice of Guarantee Availability for the BG Program, in the Federal Register June 30. Deadlines for the 2026 funding rounds began July 24.
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Rural Development Partners LLC awarded $20 million in NMTC allocation to Great Plains Food Bank in June to support the construction of a 70,500-square-foot distribution center in Fargo, North Dakota. Chase New Markets Corp. also allocated $3.4 million in NMTCs. Great Plains Food Bank is underway on the development, which will feature expanded freezer and cooler capacity, new loading docks and space to accommodate up to 100 volunteers at a time. Great Plains Food Bank expects to begin operating from the facility in fall of 2027.
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Heartland Regional Investment Fund and Justine Petersen provided NMTC financing to The Steel Works (TSW), a steel processing company in Granite City, Illinois. The company will use the funds to add new equipment, working capital and additional employees. New equipment will include a press, press dies, air compressors, slitter knives, overhead crane improvements and more. The working capital investments will primarily be inventory purchases to support and process customer orders. TSW began these investments in the first quarter of 2026. The company will retain 19 full-time jobs and expects to create another 32 full-time jobs within a few years.
Courtesy of NOVOGRADAC