The Influence of Preservation Bodies on Historic Designations
Historic designations serve as formal recognitions of a property's significance, and their influence on property owners is profound, particularly concerning renovation guidelines and access to financial aid. These designations can occur at local, state, or national levels, each with distinct implications.
Local communities, through preservation ordinances, can designate individual landmarks or identify contributing structures within historic districts. This process, often overseen by local historic preservation commissions, establishes greater local protections for these resources, as detailed by the National Trust for Historic Preservation. Property owners can contact their local historic district commission or municipal planning office to determine if their building is listed.
At the national level, properties can be listed on the National Register of Historic Places. While National Register listing is often considered honorific and does not automatically impose restrictions on alterations or demolition, it is a prerequisite for accessing federal financial incentives. The National Park Service further clarifies that for a property to be eligible for federal tax credits, even if it is located within a National Register district, the NPS must specifically designate it as retaining historic integrity and contributing to the district's historic character. Not every building within a designated district automatically qualifies as "contributing." The National Register also includes National Historic Landmarks, which represent places with the strongest association with significant events or individuals in the nation's history, or exceptional architectural examples. All National Historic Landmarks are automatically included in the National Register.
The designation process, whether local or national, is often influenced by local commissions, which may review properties for nomination. This initial step of designation is critical, as it sets the stage for the application of specific renovation guidelines and opens doors to various financial programs.
Renovation Guidelines: The Secretary of the Interior's Standards and Local Review
Once a property receives a historic designation, particularly one that qualifies it for federal programs, specific renovation guidelines come into play. Foremost among these are the Secretary of the Interior's Standards for the Treatment of Historic Properties, which are central to responsible preservation practices.
The National Park Service (NPS) specifies that these Standards, codified in federal regulations, are regulatory for all grant-in-aid projects supported by the national Historic Preservation Fund. Furthermore, the Standards for Rehabilitation are regulatory for the review of rehabilitation work undertaken within the Historic Preservation Tax Incentives program. It is important to distinguish that while the Standards are regulatory for these federal programs, the accompanying Guidelines are advisory.
The Standards define different approaches to historic property treatment:
* Rehabilitation involves making a compatible use possible for a property through repair, alterations, and additions, all while preserving the portions or features that convey its historical, cultural, or architectural values. This approach acknowledges the need to adapt a historic building for new uses while retaining its essential historic character.
* Restoration focuses on accurately depicting a property's form, features, and character as it appeared at a specific period. This can involve removing features from other periods and reconstructing missing elements from the restoration period. Limited and sensitive upgrades to mechanical, electrical, and plumbing systems, as well as other code-required work, are considered appropriate within a restoration project.
For property owners, the practical implication is that any work on a federally designated property seeking federal financial assistance must adhere strictly to these Standards. Beyond federal programs, local historic preservation commissions often play a direct role in reviewing proposed alterations. Landmarks Illinois notes that if a property is included in a historic district or listed on the National Register, future exterior alterations may require review by the local historic preservation commission. The scope of this review is generally limited to exterior changes, and the specific requirements are dictated by local ordinances. Importantly, previous changes to a property typically do not need to be reversed. In cases where federal or state funds or permits are involved in altering a National Register-listed property, the State Historic Preservation Office (SHPO) may review both exterior and interior changes. Property owners are strongly advised to consult with their SHPO office before beginning any work.
Accessing Financial Aid and Tax Incentives for Historic Properties
The financial aspects of historic preservation are often a significant concern for property owners, and both national and local preservation bodies play roles in facilitating access to various funding mechanisms and tax incentives.
One key federal program is the Historic Preservation Fund, which provides grants administered by the National Park Service (NPS). The U.S. Department of the Interior reports that the NPS and its partners have awarded over 900 grants, totaling approximately $250 million, to date. Private partners, including the National Trust for Historic Preservation, actively assist in raising non-federal funds to match these federal grants, thereby expanding the program's impact.
The federal Historic Preservation Tax Incentives Program is another cornerstone of financial support for historic property owners. This program offers tax credits for qualified rehabilitations of certified historic structures. Its administration involves a partnership between the NPS, State Historic Preservation Officers (SHPOs), and the Internal Revenue Service (IRS). The NPS is responsible for project approval and overall program administration, while SHPOs serve as the primary contacts for property owners, offering professional guidance and technical information. The IRS, in turn, publishes regulations governing qualifying expenses and addresses public inquiries about the financial aspects of the program, as outlined by the U.S. Department of the Interior.
The National Trust for Historic Preservation plays a significant advocacy role in protecting and enhancing these federal Historic Tax Credits. The National Trust emphasizes that these credits are the most substantial federal investment in preserving historic buildings, contributing to increased property values, new businesses, and economic growth. They actively urge Congress to support and improve these credits, highlighting their long track record of community revitalization.
Beyond federal programs, local historic preservation commissions and planning offices can be valuable resources for property owners seeking financial assistance. Landmark designation at the local level, whether for an individual property or within a historic district, may open opportunities to utilize local financial incentives for rehabilitation. The availability and specifics of these local incentives vary by community, and property owners can obtain this information directly from their local department of planning or historic preservation commission. For any project involving tax credits, property owners are strongly advised to consult with their State Historic Preservation Office before commencing work, and to seek guidance from a tax advisor, their state's Department of Revenue, or the IRS regarding tax and financial implications.
Understanding the distinct yet collaborative roles of national organizations like the National Trust for Historic Preservation, federal agencies such as the National Park Service, and local historic commissions is essential for any owner of an exceptional historic property. These bodies collectively shape the journey of preservation, from the initial designation that recognizes a property's value, through the application of rigorous renovation standards like the Secretary of the Interior's, to the crucial access to financial aid and tax incentives. By engaging proactively with these entities, property owners can effectively navigate the complexities of historic preservation, ensuring the longevity and vitality of their cherished homes while contributing to the broader cultural heritage.
