“Each year, the benefits of the Historic Tax Credit far exceed direct cost, boosting Missouri’s economy by more than one billion dollars per year (Rutgers 2001).”

HTCs create jobs and result in additional income for Missouri taxpayers. In fiscal year 2007, the historic preservation credit put over 4,900 Missourians to work – that’s more than double the jobs created over the past four years by the Quality Jobs Act. And, according to the foremost preservation economist in the United States, historic preservation credits have resulted in a total of 40,000 jobs since 1998. With a return to the state of over one dollar for each credit dollar issued, the HTC has result in $673 million direct and $700 million indirect additional income for Missouri taxpayers (Rypkema 2008). For every one million dollars of spending on historic rehabilitation, local income increases by $704,000 and 20.2 jobs are created. Those results significantly exceed payback from other types of state investment (e.g. one million dollars of manufacturing output adds an average of $470,000 to local household incomes and creates 13.9 jobs) (Rypkema 2008).

HTCs increase industry. The historic preservation credit program has enabled an entire industry of historic redevelopment to emerge throughout the state. Architects, engineers, consultants, lawyers, contractors, sub-contractors, accountants, and highly skilled construction laborers are employed as a direct result of historic tax credits. These jobs cannot be shipped overseas; they are done right here in Missouri. A prime example of this is Quaker Windows, which was founded in 1949 by Marge and Harold “Bud” Knoll, and now employs over 400 workers in Freeburg, Missouri. The company supplies custom windows for historic projects throughout the country – in the states of Missouri, New York, and others. Quaker Windows is just one of many Missouri small businesses that continue to exist as a direct result of the specialized historic supply industry.

HTC result in increased investment. More than $4 billion of investment has been leveraged throughout the state by the historic preservation tax credit. In FY2007 alone, amount leveraged totaled $729,637,669. The Southeast Missourian reports on the case of the Missourian in Cape Girardeau, which spent millions of dollars on improvements: “dollars, which it would not have spent otherwise, hiring local contractors and workers, buying new mechanicals, contracting for state-based expertise (much local) in design, architecture and historic preservation (semissourian).”

HTCs increase both state and local tax revenues. One million dollars of rehabilitation investment results in an $110,000 increase in state taxes and $92,000 in local taxes (Rypkema 2008).

Historic preservation results in revenue from heritage tourism. According to a recent study by the Center for Urban Policy Research at Rutgers University, historic preservation in Missouri results in $660 million annual revenue from heritage tourism. Again, annually, that’s 20,0777 jobs, $325 million in income, $574 million in gross state product, and $79 million in state and local taxes and in-state wealth creation of $506 million.

Historic buildings are natural incubators for small businesses. 90% of all businesses in the U.S. employ fewer than 20 people; 60% fewer than 5. One of the biggest costs for business of this size is rent. In downtowns and neighborhood commercial districts “a major contribution to the local economy is the relative affordability of older buildlings” (Rypkema 2008).

Historic buildings create opportunities for affordable housing. “For a long time affordability was a social service issue-how do we house the least fortunate among us. Today it has become a central economic development issue” (Rypkema 2008).

Historic communities provide proximity to daily needs for people of modest means. “People of modest means need more then just low rent. They also need proximity–to schools, shopping, work, and transportation. Where are those daily needs always nearby? In our older and historic neighborhoods” (Rypkema 2008)

According to Rypkema, historic preservation should be a central strategy of every community. Any way you look at it, historic preservation adds value.