$600,000 in Tax Credits Approved for ECC Project
East Central College has been approved to receive up to $600,000 in tax credits from the Missouri Development Finance Board to assist with fundraising efforts to create the Regional Center for Advanced Manufacturing and Workforce Training adjacent to ECC’s main campus in Union.
The tax credits will be available to individuals, corporations and funders that contribute to the ECC Foundation campaign to raise $1.2 million to renovate the former Gala Center into a facility for technical education and workforce training.
“We thank the Missouri Development Finance Board for their support of this project,” noted Dr. Jon Bauer, ECC president. “This speaks volumes about the enormous benefits this project will have for our area.”
Bauer noted that any taxpayer – including any charitable organization that is exempt from federal income tax and whose Missouri unrelated business taxable income, if any, would be subject to the state income tax – would be entitled to the tax credit.
Contributors will receive a 50 percent Infrastructure Development Fund Tax Credit based upon their contribution. A $20,000 contribution would result in a $10,000 tax credit which could be used by the contributor to pay certain taxes due to the State of Missouri.
The credits may be used to offset income tax, franchise tax or financial institution tax. They can also be transferred to another taxpayer.
The tax credits issued by the Board cannot be refunded or carried-back. They can be carried forward to offset future tax liabilities for up to five years and could be applicable when filing a 2015 tax return. The tax credit certificate need not be completely used on one return. Portions of the credit can be used in each of the succeeding five years to pay tax liabilities owed to the State of Missouri.
Shannon Grus, executive director of the ECC Foundation, stated that the tax credits will allow the Foundation to engage the civic and business community to help support the continued growth of East Central College. “People can begin making donations immediately, with the minimum donation set at $1,000,” noted Grus. “Donations can be in the form of a check, wire transfer, or marketable securities, but must be made by December 31, 2017.”
Complete details are available at the ECC Foundation website.
ECC purchased the former Gala Center in April for $1.2 million. The renovation of the property will allow the college to expand its technical education programs in Industrial Engineering Technology and Precision Machining which are currently housed at Four Rivers Career Center in Washington. ECC’s Heating/Ventilation/Air Conditioning program will be relocated from the main campus to the renovated facility. The Center for Workforce Development, as well as labs and classrooms dedicated to workforce training, are also planned for the renovated space.
In September the college was awarded a $1.2 million grant from the U.S. Commerce Department’s Economic Development Administration. “Combining the EDA grant funds, tax credits, institutional resources, and other donations through the ECC Foundation will make it possible for us to renovate the space into almost 22,000 square feet of up-to-date facilities that will benefit ECC students and the regional economy for years to come,” noted Bauer.
This fall ECC trustees authorized college administrators to apply for the MDFB’s “Tax Credit for Contribution” program which encourages private contributions toward public projects across the state.
Bauer stated that renovations should begin early next year, with the relocation of the programs expected before the start of 2016 fall semester classes.
Wednesday, November 18
