JLARC: Equitable Access to Credit tax credit supports loans to underserved businesses

JLARC staff presented a preliminary review of the Equitable Access to Credit program, a business-and-occupation tax credit intended to encourage lending in underserved communities. The staff said the program was established in 2022 and that, in 2024, it helped fund $1,200,000 of business loans in historically underserved areas.

Staff reported that 15 businesses contributed $11,800,000 between 2023 and 2025 and that grant recipients included community development financial institutions; JLARC concluded the preference appears to meet the legislature's objective and recommended continuation beyond its July 2027 expiration. Commissioners did not press staff for immediate additional details during the presentation.