NEWARK, NJ – Newark nonprofits, the Essex County Urban League, and the Lincoln Park Coast Cultural District, Inc. are funded to support local revitalization efforts through an initiative by the New Jersey Department of Community Affairs.
The Neighborhood Revitalization Tax Credit (NRTC) program distributes awards totaling US $ 11.4 million among 18 nonprofits across the state. Essex County’s Urban League will receive $ 391,250 and the Lincoln Park Coast Cultural District, Inc. will receive $ 607,917.
The non-profit organizations will use the funds to promote housing and economic development, as well as complementary activities such as social services, recreational activities and open space improvements.
“Public-private partnerships are a key mechanism for creating affordable housing and fueling economic growth,” said Lt. Governor Sheila Oliver who acts as the DCA commissioner of the state because everyone wins. Companies that participate receive tax credits and contribute to neighborhood redevelopment programs of their choice, nonprofit groups with a proven track record of helping their communities raise much-needed dollars, and residents get better neighborhoods. “
Managed by the DCA’s Housing and Community Resources division, the NRTC program is designed to advance the regeneration of distressed neighborhoods through strategies developed by local residents and the nonprofits that support them.
These local organizations prepare, submit, and receive DCA approval for multi-year revitalization plans for their respective neighborhoods. Approved projects are listed in a qualified pool, from which companies choose which they would like to support financially. The NRTC funds must then be used by the nonprofit groups for projects and activities set out in the approved neighborhood plans.
Funds are from companies that receive a 100% tax credit on various New Jersey state taxes for the amount of funds contributed to the NRTC program.
Horizon Healthcare, Investors Bank, PSEG, and Valley National Bank have contributed funds to the Essex County’s Urban League. Horizon Healthcare, Provident Bank, RCC Builders & Developers, TD Bank, and Valley National Bank donated funds to the Lincoln Park Coast Cultural District, Inc.
“We are incredibly proud of our continued investment in this innovative program that has made such a positive impact on neighborhoods across New Jersey,” said Janel Winter, director of DCA’s Housing and Community Resources division. “We are also excited to act as a bridge between businesses and local nonprofits to promote functioning revitalization activities.”
Possible uses of NRTC funds by non-profit organizations include:
- Construction and renovation of affordable housing units
- Creation of commercial facilities
- Small business and micro business support
- Vocational training
- Open space improvements
- Social and community services
- free time activities
- Crime prevention activities
- Community outreach activities
In November 2020, DCA granted $ 3.1 million in COVID-19 tax credits to neighborhood revitalization to 12 nonprofits with approved NRTC neighborhood plans for coronavirus response activities and costs.
The organizations distributed at least 60% of the grants received to small businesses with a physical location within their NRTC neighborhood boundaries.
The remainder of the funds, which came from a federal law on Coronavirus Aid, Aid and Economic Security (CARES), was used for COVID-19 educational materials, non-business related activities and events, as well as for the Community access to the Internet. Grocery shopping services.