Santa Clarita Historic Preservation Tax Incentives
Santa Clarita, California property owners and developers can pursue tax incentives for the certified rehabilitation of historic buildings and for local preservation agreements; this guide explains the main programs, the local review role, and how to apply. It covers federal tax credits, California Mills Act contracts, and the city review process so owners know where to start and which departments to contact.
How the incentives work
Two common incentives relevant to Santa Clarita are the federal Historic Rehabilitation Tax Credit for income-producing properties and the California Mills Act property tax contracts for locally designated historic resources. Federal certification and local designations are required steps before tax benefits are available. See the National Park Service for federal certification requirements and the California Office of Historic Preservation for Mills Act guidance; contact the City of Santa Clarita Planning Division for local designation and review procedures (City historic preservation)[1], (federal tax incentives)[2], (Mills Act overview)[3].
Eligible projects and common incentives
- Federal Rehabilitation Tax Credit — certified projects on income-producing historic buildings may qualify for a 20% credit of qualified rehabilitation expenditures for certified rehabilitation as described by the National Park Service. [2]
- Mills Act contracts — local governments may enter contracts that reduce property taxes for owners of qualified historic resources; terms vary by jurisdiction and by contract.
- Local incentive programs — local design review, Certificates of Appropriateness, and permit fee waivers may be available depending on Santa Clarita planning decisions.
Penalties & Enforcement
Enforcement of Santa Clarita's historic preservation requirements is administered through the City Planning Division and the Historic Preservation Commission when applicable. Specific monetary fines, daily penalties, or escalation amounts for violations of local historic preservation provisions are not specified on the cited city pages; contact the Planning Division for ordinance citations and enforcement details (City historic preservation)[1].
- Enforcer: City of Santa Clarita Planning Division and Building & Safety; complaints typically routed through the Planning or Code Enforcement contact pages.
- Appeals: appeal routes often include Planning Commission and City Council hearings; specific time limits for appeals are not specified on the cited city pages.
- Non-monetary sanctions: stop-work orders, orders to restore altered features, denial of permits, and referral to court actions are possible enforcement tools.
- Monetary fines: not specified on the cited city pages; see the municipal code or contact Planning for exact penalty schedules.
Applications & Forms
Federal certification requires submission of the Historic Preservation Certification Application (Parts 1, 2, and 3) to the National Park Service for review of significance and rehabilitation scope; fees and form instructions are listed on the NPS site. [2]
- NPS: Historic Preservation Certification Application, Part 1–3 — purpose: certify significance and rehabilitation; submission: through the State Historic Preservation Officer to NPS; fees and instructions: see NPS guidance.
- Mills Act: application typically requires nomination and local council approval; see California OHP for state-level overview and contact City Planning for Santa Clarita application steps.
How to apply and action steps
- Contact Santa Clarita Planning Division to determine whether your property is locally designated and to request the application requirements.
- Prepare documentation of significance and proposed rehabilitation scope; for federal tax credits, follow NPS Part 1 and Part 2 guidance before commencing work.
- Submit local permit applications and any Mills Act nomination to the Planning Division; attend required hearings before the Historic Preservation Commission.
- For federal tax credits, after completing work, submit Part 3 to the NPS for final certification to claim the credit on federal tax returns.
- If denied or cited, use local appeal procedures (Planning Commission or City Council) and follow posted appeal deadlines provided by the Planning Division.
FAQ
- Can I combine federal tax credits with a Mills Act contract?
- Yes, in many cases property owners can pursue federal rehabilitation tax credits for income-producing properties and a Mills Act contract separately, but eligibility rules and timing vary so consult NPS and City Planning early in the process.[2]
- Who enforces local historic preservation rules in Santa Clarita?
- The City of Santa Clarita Planning Division and Building & Safety administer reviews and enforcement; complaints may be submitted through the city's planning or code enforcement contact pages.[1]
- Where do I find the official application forms?
- Federal forms are on the National Park Service site (Historic Preservation Certification Application Parts 1–3); Mills Act guidance is available from the California Office of Historic Preservation, and local application steps come from Santa Clarita Planning.
How-To
- Verify designation: check with Santa Clarita Planning to confirm historic status and required local approvals.
- Document the building: assemble historic reports, photos, and cost estimates for proposed rehabilitation.
- Pre-apply to NPS (Part 1/2) and submit local permit and Mills Act nomination (if applicable).
- Complete certified rehabilitation following approved scope and maintain records of qualified expenditures.
- Submit NPS Part 3 for final certification and claim federal credits on your tax return; finalize any local contracts for tax relief.
Key Takeaways
- Federal and state incentives require prior certification or local designation and documented rehabilitation.
- Contact Santa Clarita Planning early to confirm local requirements and appeal timelines.
Help and Support / Resources
- City of Santa Clarita - Historic Preservation Commission
- City of Santa Clarita - Planning Division
- Santa Clarita Municipal Code (Municode)
- California Office of Historic Preservation - Mills Act