U.S. Reps. Mike Turner (R-OH) and Mikie Sherrill introduced legislation that would reinstate the expired brownfields tax incentive.
The Brownfields Redevelopment Tax Incentive Reauthorization Act (H.R. 815) would enable developers to fully deduct the costs of brownfield environmental remediation in the year they are incurred.
“Brownfield redevelopment is a proven tool for revitalizing communities and driving economic growth,” Turner said. “As Mayor of Dayton, I helped turn a brownfield into Day Air Ballpark, home to the Dayton Dragons, who have inspired and entertained families every summer since 2000, while also fueling new development in the core of our city. This bipartisan effort showcases how communities can attract investment, and I thank Congresswoman Sherrill for her partnership.”
Brownfields are defined as underutilized, often vacant, industrial and commercial areas like former gas stations and drycleaning facilities. They may also be abandoned factories that remain undeveloped because of environmental contamination concerns. There are an estimated 450,000 or more brownfields across the country.
“Remediating brownfields just makes sense: we can clean up toxic chemicals and waste from our groundwater, help mitigate flooding and transform these currently unused spaces into economic opportunities for businesses to invest in our communities. That’s why I am reintroducing this bipartisan legislation to bring our hard-earned federal dollars back to New Jersey to help remediate and build on New Jersey’s brownfields,” Sherrill said. “A few years ago, I fought to secure federal funds to help Bloomfield successfully transform a brownfield site into a community park and flood mitigation area — this tax credit will help continue our work to drive federal dollars back into New Jersey to lower costs and expand economic opportunities in our state.”
The Brownfields Tax Incentive first passed as part of the Taxpayer Relief Act of 1997. It allowed taxpayers to deduct remediation expenditures for the cleanup of a property if the property was used for trade, business, or producing income. However, the incentive expired on Jan. 1, 2012, and Congress has since failed to reauthorize this tax incentive.