South Carolina city officials immediately got engaged with contacting the state's Congressional delegation back in early November when the initial House bill was introduced. More than 40 Mayors quickly signed a letter to the delegation members pointing out the negative impact of several provisions of the bill.
According to information compiled by the National League Cities, the final bill is still a step back for cities and local decision-making, but did preserve several key revenue resources in the final conference report.
Highlights are below. Get more detail from NLC's fact sheet.
- Publicly-Issued Municipal Bonds - preserved
- Private Activity Bonds - preserved
- State and Local Tax Deduction - $10k cap on a combination of property taxes and either income OR sales taxes
- Historic Tax Credit - preserves the credit for rehabilitation costs on certified historic structures, but repeals the 10 percent credit for non-certified buildings built before 1936.
South Carolina Senators Scott and Graham were both leading advocates for preserving the Historic Tax Credit.
- New Markets Tax Credit - preserved until authorization expires in two years
- Advance Refunding Bonds - eliminates the tax exemption for interest earned on one-time refunding bonds.