HICKMAN, Neb. -- The Nebraska Department of Economic Development (DED) has awarded $25,000 in Community Development Assistance Act (CDAA) tax credits to support the construction of the Hickman Community Center.
The new center will include a multipurpose space suitable for receptions, community events, youth activities and sporting events; public meeting room space; a reading center; kitchen; and city offices.
The Hickman Area Community Foundation Fund, an affiliate fund of the Nebraska Community Foundation, has raised nearly $30,000 from small donations since 2008 for the project. This past March, voters also adopted a 1.5 percent sales tax to help fund the new center. The project’s total budget is estimated at $2.565 million.
The CDAA program that awards tax credits to donors encourages private investors to financially support nonprofit community betterment organizations in an effort to undertake community service and development projects.
The credits represent 40 percent of each contribution, and reduce a contributor’s state income tax burdens. Every dollar contributed to a project results in a $0.40 tax credit return. Donations may be in the form of cash, services, or materials. The minimum eligible contribution for a tax credit is $50.