Forging a New Resource for CDC Success: The Impact of the CITC program in its first three years
MACDC released a report today called “Investing in Impact: How the Massachusetts Community Investment Tax Credit is Improving Communities and Changing Lives” that highlights how the program raised nearly $24 million in its first three years and has been a game changer for those organizations involved in the program. The CITC program is helping CDCs leverage new private and federal dollars while increasing their strategic and collaborative initiatives. With the majority of dollars coming from new donations, the CITC program is fueling expanded programming in a broad range of community development arenas from affordable housing, to community organizing, to economic development to arts & cultural programming.
The report includes two interactive portals that enable stakeholders to see the results for individual CDCs and to conduct their own analysis of the data.
- The CITC Investment Dashboard provides detailed analytics about the 4,500 donations received through the program from 2014-2016;
- The Growing Opportunities, Assets and Leaders (GOALs) database provides detailed performance data on MACDC's Members.
The report concludes that the CITC program is doing precisely what the legislature intended when it was first enacted in 2012. Key findings include:
- In 2015 and 2016, CDCs participating in the CITC program:
- created or preserved 2,916 homes;
- created or preserved 8,742 job opportunities;
- started, grew, or stabilized 1,420 businesses; and
- served 132,038 families.
- The program has generated $24 million in private philanthropy for community development over the first three years of the program, with the funding growing dramatically each year from $4.7 million in 2014 to $8.2 million in 2015 to $11 million in 2016.
- Donations are coming from new supporters, in particular those from individuals who comprise 64% of the total donations and 40% of the total dollars secured. CITC is also attracting new and larger investments from small businesses, large companies and nonprofit institutions.
- New and flexible funding is fueling new and expanded programming in a broad range of community development arenas from affordable housing, to community organizing, to arts & cultural programming, thereby demonstrating that CITC is fostering more comprehensive approaches to community improvement.
- CITC is helping CDCs act more strategically and collaboratively to implement initiatives that are tailored to the local context and market.
- CITC is helping CDCs leverage new private and federal dollars. Over the past two years, $9.6 million in tax credits have supported a total investment of over $1.2 billion in local communities.
Beyond the numbers, the CDCs consistently report that CITC has transformed their organizations, enabling them to deepen resident engagement, act more strategically and collaboratively, and make meaningful progress toward improving the communities they serve and enhancing opportunities for the people living in those communities.
The new report underscores the importance of enacting legislation to extend and expand the CITC program. MACDC is currently working with Senators Sal DiDomenico and Linda Dorcena Forry and Rep. Stephen Kulik to win passage of legislation that would extend the program from 2019 to 2025 and slowly increase the cap on tax credits from $6 million to $12 million annually.