Authors
Abstract
The New Markets Tax Credit (NMTC) Program was established by the U.S. Congress to attract private investment to low-income communities. In Indian Country, NMTCs are a vital tool for addressing barriers tribal nations face to generating revenue and capital for economic development. Previous research from the Center for Indian Country Development (CICD) has found that tribal entities’ involvement in the NMTC Program remains low, despite increasing participation in recent years. To shed light on the barriers to accessing NMTCs in Indian Country and potential solutions, CICD interviewed a sample of practitioners involved with NMTC projects in Indian Country. Practitioners described barriers to participation related to program rules, costs, and the competitive nature of the application and evaluation process. They also offered potential policy solutions, including a set-aside for tribal entities’ participation and other program changes such as offering priority points to minority or Native Community Development Entities that apply for NMTC allocations. In some cases, interviewees expressed a variety of perspectives on both the potential merits and downsides of a given solution, and their range of viewpoints offers important considerations. This paper shares key themes from these interviews which can inform initiatives to encourage Native participation in the program.