2003-03-12 CC Packet - Laserfiche WebLink

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CoftStr1U:teti in J 892, the Gillmore H olel in DeotiuPood, North Daleota, WItS restored in 1992 to provide Jo.income IfotlSing units. The SHPO's recommendation for approval or denial of certified historic - structure status is given significant weight; however, the National Park Service makes the fmal. determination and notifies the owner of the decision. Old Nonhistoric Btdldings A 10 percent rehabilitation credit is ay.ailable for nonresidential, nonhistbric buildings briilt before 1936. No certification:is required for these buildin~s. The 1.0 percent rehabilitation credit is not available for certified historic structures. A building located within ~ re~istered historic district is not _ eligible for the 10 percent credit unless it is certified by the Depart- ment of the Interior as not contribut- ing to the historical significance of the district. A request for certifica- tion of non-significance also is made through Part 1 of the Historic Preser- vation Certification Application. Review of such a request follows the general procedures oudined above. II " Whot R.eltolJilitotions Qualify? To receive a rehabilitation credit, a taxpayer must substantially rehabilitate a qualifying historic or old building. Substantial Rehabilitations A substantial rehabilitation means a taxpayer's expenditures must exceed the greater of the "adjusted basis" of the building, or $5,000, during any 24- . month period (or 6O-month period in the case of "phased rehabilitations," defined below) selected by the taxpayer. The period must end with or within the taxable year in which the credit is claimed. The adjusted basis in a building is its purchase price plus the amount of any previous capital improvements. This sum is reduced by depreciation deductions already taken. The basis does not include that part of the cost of the property allocable to the land value. . Thus, for example, if a taxpayer's basis in a building is $100,000, the taxpayer generally would have to incur more than $100,000 of rehabilitation expen- ditures during a 24-month period to have a substantially rehabilitated building. ....". .,' .;~ ,. - A phased rehabilitation is a rehabilita- tion consisting of two or more distinct stages of development. These stages must be set forth in written architec- tural plans and specifications that are completed before the physical work on the rehabilitation begins. -e. Certified Historic Rehabilitations For a rehabilitation to qualify for a 20 percent credit, the DepartIil.ent of the Interior must certify that the rehabili- tation is consistent with the historic .a.... character of the building and, where applicable, with the district in which the building is located. Application for this determination is made through "Part 2" of the Historic Preservation Certification Application. Following review by the SHPO, the application is forwarded to the National J?ark Service for a decision. This application may be submitted to the SHPO and the National Park Service at any time during the course of rehabilitation. The National Park Service, however, strongly urges taxpayers to file applica- tions before commencement of work so that modifications may be made more easily, if necessary. Notice of approval of proposed work or certification of completed work is sent . to the taxpayer by the National Park 81'