Leveraging Investment in Mass Building and Employment with Renewable Timber Act of 2026; LIMBER Timber Act of 2026
Summary
The Leveraging Investment in Mass Building and Employment with Renewable Timber Act of 2026, or LIMBER Timber Act of 2026, introduces three new tax credits. These credits aim to incentivize investment in mass timber plants, workforce development within the mass timber industry, and mass timber construction projects. The credits are designed to promote the use of sustainable timber in construction and support related industries.
Expected Effects
The Act is expected to stimulate economic activity in the mass timber sector. It will likely lead to increased investment in manufacturing facilities, job creation through workforce development programs, and greater adoption of mass timber in construction projects. The tax credits are set to expire after 2030.
Potential Benefits
- Encourages investment in sustainable building materials.
- Creates jobs in manufacturing, construction, and related fields.
- Promotes workforce development and training programs.
- Supports the growth of the mass timber industry.
- Potentially reduces the carbon footprint of the construction sector.
Potential Disadvantages
- Potential for increased government spending through tax credits.
- Risk of unintended consequences or loopholes in the credit system.
- Dependence on specific certification standards for sustainable timber.
- Possible market distortions due to targeted incentives.
- Limited duration of the tax credits may affect long-term planning.
Constitutional Alignment
The bill aligns with the Constitution's provision to "promote the general Welfare" (Preamble). Congress has the power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States (Article I, Section 8, Clause 1). The spending must be for the general welfare.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).