EVENT RECAP: UNDERSTANDING CURRENT FEDERAL TAX CREDIT OPPORTUNITIES AND THE BUDGETMAKING PROCESS
June 4, 2025
| Presentation Recording | Slides |
On May 28, 2025, A Better City hosted a virtual meeting with Mark Bacon, Practice Lead of Commercial Real Estate at Leyton, and Tom Ryan, Senior Advisor on Policy, Government and Community Affairs at A Better City, to understand the current federal tax credit opportunities and the federal budget making process.
Tom Ryan kicked off the meeting discussing the recent Federal “Reconciliation Bill” or the “One, Big, Beautiful Bill Act” that passed the US House of Representatives on May 22nd. The House bill would significantly restrict or eliminate many of the clean energy incentives created by the 2022 Inflation Reduction Act related to clean power generation, solar, and electric vehicles. The bill now heads to the US Senate, and once they produce their own version of this reconciliation bill, the House and Senate will need to negotiate a final compromise version. The President has asked for the final bill by July 4th, but this timeline seems ambitious
Mark Bacon’s presentation focused on Commercial Real Estate incentives and those most likely to apply to A Better City members including: §45L Energy Efficient Homes Credit; §179D Energy Efficient Commercial Buildings Deduction; §48 / §48E Investment Tax Credit; §30C Alternative Fuel Vehicle Credit; §45 Production Tax Credit; and cost segregation. He then discussed potential changes that are expected because of the Reconciliation Bill in more details and what those changes might be.
There was a robust Q+A session with a focus on understanding when changes are likely to happen for each tax credit, at what stage a project must be to qualify for the credit, whether transferability is going away under the bill, safe harbor changes, foreign ownership or influence, geothermal phasing, and the status of adders.
As this bill continues to move through Congress, A Better City intends to update members on changes and new timelines. In the meantime, please reach out to Yve Torrie if you have any questions.
