1. Katelyn Hansen
Writing Sample
Blog post for The Madison Trust for Historic Preservation: Senate Bill Would Increase
Tax Credits for Historic Buildings
A Wisconsin Senate bill that would increase the state’s reinvestment in Wisconsin’s
historic commercial and income-generating buildings is working its way through the state
legislature. The bill would be a benefit to local businesses and local historic character in
Wisconsin downtowns and Main Streets by increasing the value of an existing program aimed at
historic commercial buildings.
Senate Bill132 would amend the Wisconsin income tax credit program for projects that
rehabilitate income- generating properties. Currently, the state program offers a credit to the
owner’s state income tax obligation equal to 5% of expenditures on qualified rehabilitation
projects, and is dependent on the owner’s eligibility for a similar federal program that offers a
20% income tax credit. The bill would amend the state program by increasing the state credit
from 5% to 20%, and allowing owners of historic buildings to apply for the state credit
separately from the federal program. Under the proposed bill, the state application would require
a $50,000 minimum investment in the historic building, and approval of project by the
Wisconsin Historical Society. Removing the required qualification for the Federal program
means smaller-scale rehabilitation projects can still qualify for the 20% state income tax credit.
The increased financial incentive for property owners to carry out projects that before wouldn’t
have qualified for any income tax credit will likely lead to a statewide increase in investment in
historic properties. Wisconsin’s 5% income tax credit program has produced $49.2 million of
leveraged investment, where Minnesota’s 20% state income tax credit program has produced a
staggering $278.1 million leveraged investment in historic preservation projects.
The bill would also add a 5% state match to the federal 10% income tax credit program
for rehabilitation projects on buildings with no historic designation but that were built prior to
1936. The bill would require an Economic Impact Study five years into the revised program, to
assess the success of the higher state credit program. This would be the first statewide study
conducted on the economic impact of historic preservation in Wisconsin since the early 1990s.
http://www.madisonpreservation.org/2013/04/senate_bill/