For Immediate Release:
Monday, May 09, 2005

U.S. Rep. Dan Boren Announces Allocation of $56 Million Tax Credit To Rural Enterprises of Oklahoma Inc.

Federal incentives expected to help rural small businesses

WASHINGTON D.C - U.S. Representative Dan Boren today announced an allocation of $56 million in tax credits will be awarded to Rural Enterprises of Oklahoma Inc. (REI) to assist rural Oklahoma small businesses.  The allocation comes through the New Markets Tax Credit Program, a program administered by the Department of the Treasury. 

“These tax credits are designed to enhance economic development in underserved areas,” said Boren. 

 

The New Markets Tax Credit Program helps low-income communities by offering investors an attractive incentive through a federal income tax credit for investments.  Investors will receive a 39% federal income tax credit for equity investments into REI New Markets, LLC which in turn, invests in low-income communities.

 

REI President Tom Seth Smith says the tax credits are, “a powerful tool to meet the challenge of economic development in low-income communities.”

 

“We’re proud to be chosen for this allocation.  We want to thank Congressman Boren for seeing that rural Oklahoma has access to these federal tax credits to spur local economic development,” said Smith.     

 

Boren says the allocation will ultimately lead to job creation and retention, and encourage economic investment.  “More jobs are created each year in Oklahoma through new start-up businesses and existing business,” said Boren.  “Small businesses breathe life into local economies and keep our rural communities viable,” Boren remarked.

 

REI was established in 1982 as a non-profit economic development organization that focuses on creating economic enhancement in rural Oklahoma communities.  REI has administered the U.S. Treasury’s New Markets Tax Credit Program since 2003, placing over 48 million in new markets tax credit investments in rural Oklahoma.      

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