OMAHA, Neb. (KMTV) - Starting a new restoration project can come with a hefty price tag, especially if it is restoring a historic building. Since 2015, Omaha has seen restoration projects pop up all over the city, but developers worry that might stop.
Support from the federal historic tax credit has helped multi-million dollar projects become a reality, but the tax credit is on the chopping block as congress looks into tax reform.
“Historic tax credits make difficult restorations happen,” Executive Director of Restoration Exchange Omaha Kristine Gerber said.
She said many developers are putting their projects on hold and there is a lot of concern about the tax being cut.
“It is kind of sad that is on the tax reform,” Lawrence Butler, who is renovating the old Hinky Dinky in Benson said.
His project is relying on the federal historic tax credit.
Gerber said educating the representatives might help them understand how important the tax credit is.
“When you restore historic buildings, what happens is other buildings in the area get restored,” Gerber said.
Congressman Don Bacon said in a statement:
"I recognize the value of the historic tax credit in the district. The tax reform discussion is still ongoing and this piece will be a part of those discussions. Overall, this tax reform effort will lower taxes for American families and businesses, enabling them to keep more of their hard earned money or invest it."
Developers will be in a waiting game as congress looks at tax reform, they have said they’d like to be done by Christmas.