expenses.17 Around a thousand such projects are approved each year, involving more than $4 billion in private investment.18 The 10% tax credit allows for the rehabilitation of non-historic buildings constructed before 1936. A major restriction on the rehabilitation of these buildings is that the finished product cannot be intended for residential-use. There are fewer overall guidelines and rehabilitated buildings are not required to go through an elaborate review process. In California, the cities that utilize federal tax credits most include Los Angeles, San Francisco, and San Diego. California ranks eighth in the country for total private investments generated from preservation projects. Such projects have included rental housing, conversion of commercial space into housing, hotel use, and retail. The Preserve America Grant Program rewards communities that incorporate their heritage into economic development and community revitalization. To be a certified Preserve America location, communities can hold activities that promote historic preservation such as – but not limited to – historical landmark tours or community-wide events in recognition of key historic areas. Preserve America certified communities are eligible to receive grants for maintenance of historic sites and for funding historical activities. A typical federal budget allocation for Preserve America grants is about $7.5 million.19 California has 26 certified Preserve America communities, which include two counties and five neighborhoods (e.g., Thai Town and Little Tokyo in Los Angeles).20 As an example, Santa Monica received a Preserve America grant of $100,000 to fund “100 Years in the Past, 100 Years in the Future” – a yearlong campaign in 2009 to celebrate the cultural and historical value of the Santa Monica Pier.21 Preserve America grants allow California communities a chance to develop resource management skills and become “self-sustaining” entities capable of promoting culture while improving their economic situations.22 Incentives at the State Level The rehabilitation process for historic buildings requires the structure to meet code requirements. Bringing a structure up to code may be a difficult task since these buildings are
83