NMTC advocacy evolves: From protection to proactive growth
With NMTC now permanent, advocacy can shift from protection to growth, impact, and expansion.
With the New Markets Tax Credit (NMTC) program now permanent (Opens a new window), advocacy efforts are entering a new phase: The industry can now move beyond defending the program’s existence toward expanding its potential. This transition calls for a more proactive, coordinated, and education-driven approach – one that aligns closely with federal priorities while continuing to demonstrate tangible results in communities.
Here’s our overview guide to making the shift: What matters in advocacy today and what strategies to add, adjust, or keep moving forward.
Based in part on insights shared at our 25th annual NMTC Summit.
NMTC’s next chapter
This article is part of a collection exploring what permanence means for the NMTC ecosystem: How this new reality will shape operations, financing, participation, and much more. Subscribe to stay connected.
A shift in advocacy: From reactive to proactive
NMTC advocacy has historically centered on preserving the program and securing extensions. Now, permanence has created momentum, but also higher expectations for impact and scale. The path forward requires a more organized and forward-looking approach, supported by a clearly defined agenda that anticipates policy direction rather than responding to it after the fact.
At the same time, the legislative environment has become less predictable. Fewer large legislative vehicles are available to carry policy priorities, and major decisions – particularly through reconciliation – can move quickly and unexpectedly. This means advocacy must begin earlier in the policy cycle, with greater emphasis on shaping outcomes from the outset.
Today’s focus: Building on permanence
With this new eye toward long-term impact, key priorities for NMTC advocacy include:
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- Scaling the program’s reach: Expanding allocation levels and increasing the flow of capital into underserved communities
- Expanding participation: Drawing in new organizations and stakeholders (Opens a new window) now that the program offers greater long-term certainty
- Supporting predictability: Pushing for greater consistency in application and award timing, a more regular allocation cadence
- Improving usability: Exploring ways to make the credit more accessible and efficient for businesses and developers
Aligning with federal priorities
Casting a wider lens, today’s advocacy messaging must clearly connect NMTC outcomes to national economic and community development objectives. Positioning NMTC as a solution that directly supports these priorities can help strengthen its relevance in policy discussions and funding decisions.
Areas of focus include:
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- Manufacturing and job creation
- Rural development
- Healthcare and community facilities
- For-sale housing
How to maximize advocacy impact
What must continue: The fundamentals still work
Even as the advocacy environment evolves and new strategies are layered in, proven tactics should remain central. These core strategies remain highly effective:
Demonstrating real impact, in real communities
Bringing policymakers to project sites – whether for groundbreaking, ribbon-cutting, or any stage in between – continues to be one of the most effective ways to build understanding and support. Lean into storytelling: Develop and share detailed case studies of successful work and but-for impact. On the quantitative side, maintain data to show measurable impact – community members served, jobs created, health outcomes, graduation rates – both in the immediate term and over time.
Centering constituent impact
Policymakers prioritize outcomes in their districts. Advocacy should continue to highlight how NMTC investments drive jobs, services, and economic growth at the local level.
Maintaining bipartisan engagement
Successful advocacy remains rooted in bipartisan collaboration. Building and sustaining relationships across parties continues to be essential.
Staying engaged throughout the policy process
Continuous engagement is critical, particularly during budget and reconciliation discussions where funding decisions and trade-offs are made.
New priorities: Expanding the advocacy playbook
As the landscape shifts, advocacy must become more strategic, continuous, and growth-oriented. Prioritize these key ways to evolve:
Build sustained relationships with congressional staff
Staff play a critical role in shaping policy and often serve as the primary point of contact. Establishing ongoing relationships – and serving as a reliable resource – can strengthen long-term influence.
Expand education efforts
With frequent turnover and less familiarity with programs like NMTC, education is increasingly central to advocacy. This includes clearly explaining how the program works and emphasizing those concrete, resonant demonstrations of its impact.
Engage earlier in the policy cycle
As mentioned earlier, with fewer predictable legislative pathways, early engagement is essential. Advocacy efforts should begin before policies are finalized or incorporated into broader legislation.
Prepare for leadership transitions
Changes in congressional leadership and staffing require continuous outreach and relationship-building to maintain momentum.
Grow the advocacy base
Permanency has attracted new participants to the NMTC ecosystem. Bringing them into advocacy efforts can amplify the industry’s voice and increase effectiveness.
Looking ahead: From preservation to growth
The NMTC program is entering a pivotal stage. With permanence secured, the iron is hot to:
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- Increase capital availability
- Improve program design and accessibility
- Expand participation across sectors and geographies
- Align more closely with evolving policy priorities
There’s never been a better time to step into actively shaping NMTC’s future. Those that adapt to this new model of advocacy strategies and priorities will be best positioned to help grow and advance the program in the years ahead.
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