Memo of Support: Refundability Provision for the Historic Barn Tax Credit

Memorandum of Support
A.4030 (Barrett), S.3582 (Hinchey)
Click here for a PDF of this letter.

The Preservation League of New York State is New York’s statewide historic preservation nonprofit organization. We lead advocacy, economic development and education programs across the state and partner with local preservation organizations throughout New York. Together with our local and regional partners listed below, we strongly support of Bill A.4030 (Barrett) / S.3582 (Hinchey), which propose adding a refundability provision to the state’s Historic Barn Rehabilitation Tax Credit program, providing New Yorkers with an income below $60,000 with a refund for excess tax credits from the rehabilitation of historic barns.

The 25% Historic Barn Rehabilitation Tax Credit, launched in 2022, promotes barn rehabilitation, vital in retaining remaining historic barns in every corner of the state. Not only does the existence of this program pay homage to New York’s agricultural history and architecture, it also supports thoughtful reuse, community enjoyment, and the elimination of landscape decay, while avoiding the negative environmental impacts of demolition.

From the launch of the program in the spring of 2022 through the end of the calendar year, the NYS Office of Parks, Recreation and Historic Preservation received over 60 applications from owners wishing to take advantage of the credits to either retain their barns in agricultural use, or adaptively reuse them for other commercial (non-housing) purposes.

While the program is seeing robust use by those with sufficient income to take advantage of the 25% credit, some barn owners do not have sufficient income to allow them to take advantage of the credit. Bill A.4030/S. 3582, modeled after a similar provision in the state’s Homeowner Rehabilitation Tax Credit program, offers a rebate to those whose incomes are below $60,000. We strongly support these bills that make the credit more equitable by making it available to small farmers and other barn owners who are investing in the repair and rehabilitation of their barns but cannot now use the credit.

We thank Assemblymember Barrett and Senator Hinchey for their leadership in sponsoring the bills that created the current Historic Barn Rehabilitation Tax Credit, and for sponsoring the current bills to make this important adjustment to the program.