WASHINGTON, D.C. – April 2, 2014 – (RealEstateRama) — The American Institute of Architects (AIA) endorsed the Energy Efficiency Tax Incentives Act (S. 2189) introduced today by Senator Ben Cardin (D-MD) that restores energy efficiency tax incentives – specifically the 179D tax deduction for commercial buildings – that expired in 2013.
The 179D provision currently allows building owners to claim a tax deduction of $1.80 per sq. ft. of building area to install systems that reduce the total energy and power costs by 50 percent or more when compared with a reference building. The deduction applies to nearly all commercial, high-rise multifamily residential, health care, institutional, public, and educational facilities. It also allows public building owners to allocate the deduction to the designer of energy efficient property. In turn this permits the designer to take advantage of all the resources necessary to design the most energy efficient property possible, while giving the building owner a tool for financing.
Senator Cardin’s bill raises the tax deduction to $3 per square foot and makes other key improvements.
Please attribute the following statement to AIA CEO Robert Ivy, FAIA:
“The 179D tax deduction has been a major factor in encouraging energy conservation through-out the built environment since it became law almost a decade ago. Architects campaigned for its enactment then, and have campaigned tirelessly to improve and restore it since December 31.
“We commend Sen. Cardin for introducing this legislation, and we urge the full Senate Finance Committee to restore this important incentive.”
About The American Institute of Architects
Founded in 1857, members of the American Institute of Architects consistently work to create more valuable, healthy, secure, and sustainable buildings, neighborhoods, and communities. Through nearly 300 state and local chapters, the AIA advocates for public policies that promote economic vitality and public wellbeing. Members adhere to a code of ethics and conduct to ensure the highest professional standards. The AIA provides members with tools and resources to assist them in their careers and business as well as engaging civic and government leaders, and the public to find solutions to pressing issues facing our communities, institutions, nation and world. Visit www.aia.org.
Contact: John Schneidawind