07.15.16

Gardner Introduces Rural Economic Development Bill

Legislation Extends Tax Credits to Rural Communities, Addresses Overregulation

Washington, DC – Senator Cory Gardner (R-CO) introduced the Rebuilding and Renewing Rural America Act, a broad legislative package that extends tax credits to rural communities and addresses excessive government regulation that affects rural America. The legislation is the product of more than 12 roundtables, which were attended by local officials and business owners, that Gardner organized in rural communities throughout Colorado to gather feedback on how to best address their challenges.

“The cranes in Denver present a stark contrast to the store fronts on Main Street in rural towns throughout Colorado. Growing up on the Eastern Plains in Yuma, I know firsthand the challenges small communities face when it comes to not only attracting new businesses and investment, but also retaining residents,” said Gardner.

The Rebuilding and Renewing Rural America Act is a two-pronged approach to strengthening rural communities: it contains several provisions to make it easier for local businesses to start and succeed, while also aiming to scale back excessive government regulations. The bill includes language from the Philanthropic Facilitation Act, bipartisan legislation Gardner introduced to reform the approval process for charitable investments so philanthropic organizations can more easily invest in community improvement and job creation, boosting economic growth in both rural and urban areas. The legislation also creates a Renewing Rural America credit designed specifically for rural communities, which will help increase capital flows to some of our most underdeveloped economies. Also established is the Rebuilding Rural Main Street tax credit that can be used to help eliminate environmental hazards like lead and asbestos from aging small town buildings.

In addition to incentives for rural revitalization, the Rebuilding and Renewing Rural America Act contains tax credits for rural job creators in the form of reduced payroll taxes and full and immediate expensing of Section 179 property. This legislation also creates a tax-preferred start-up savings account which is designed to allow entrepreneurs to save money to start small businesses in rural communities.

Lastly, the Rebuilding and Renewing Rural America Act includes language from the Reducing Excessive Government Act, a bill Gardner previously introduced to require any increase in the debt limit be accompanied by a proportional reduction in regulatory burden. This adapted provision requires the identification and reduction of at least 10 percent of the regulatory cost being faced by rural America.

Gardner added, “Throughout my time in Congress, I have hosted numerous roundtables in rural Colorado to meet with local officials and business owners to gather feedback on how to best revitalize rural America. The Rebuilding and Renewing Rural America Act is the product of many conversations with Coloradans from across the state, and makes it easier for small businesses to succeed by boosting investment and extending tax credits. The legislation also addresses Washington’s heavy hand and the cost of its excessive regulations by reducing the regulatory burden on rural America. The Rebuilding and Renewing Rural America Act is a positive step toward jumpstarting rural economic development, and I look forward to continuing to work with local communities to incite growth and encourage our job creators to invest in small communities in Colorado and throughout the country.”

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Cory Gardner is a member of the U.S. Senate serving Colorado. He sits on the Energy & Natural Resources Committee, the Foreign Relations Committee, the Commerce, Science, & Transportation Committee, and the Small Business & Entrepreneurship Committee, and is the Chairman of the Subcommittee on East Asia, the Pacific, and International Cybersecurity Policy.

354 Russell Senate Office Building, Washington, DC 20515

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