Legislation was introduced this week to make significant changes to the Urban Transit Hub Tax Credit program. Most notably, the legislation (S-2957 and A-4161): (i) permits businesses to carry-forward unused tax credits as an alternative to selling same to third parties at a discount, (ii) clarifies the application of this program to mixed-use projects containing both commercial and residential space, and (ii) increases the award for residential projects (or residential portions of mixed-use projects) from 20% to 35% of capital investment. These bills are headed to the full Senate and Assembly tomorrow.