Responding to Gov. Jay Nixon’s proposal to cut back on credits in the face of a $500 million budget shortfall, Kinder said historic tax credits should be preserved for their job and economic development benefits. He made his comments against the backdrop of the Old Post Office at 815 Olive St., which was renovated in 2006. The $35 million project was vacant before the overhaul, and the restoration was funded in part by tax credits.

“I’ve seen firsthand the job creation benefits of these credits,” said Kinder, a Republican.

Several St. Louis Democrats were on hand for the news conference, including St. Louis Board of Aldermen President Lewis Reed, and Aldermen Antonio French and Jeffrey Boyd. Developers who attended the news conference in support of the tax credits included McEagle Properties Chairman Paul McKee Jr. and Peter George, principal of Blue Shutters Development. George recently completed the renovation of the 14-story Ford Apartments at 1401 Pine St. downtown. George said the $11.5 million project would not have been possible without tax credits.

“We are calling on the governor and members of the state legislature to take a hard look at this,” Reed said about cuts to the tax credit program. “There could not be a worse time in America to take away such an important tool.”

Nixon, a Democrat, said he supports tax credits, but the budget shortfall necessitates cutting the program. “Every dollar we spend on tax credits is a dollar that isn’t available for our community colleges to invest in training nurses, mechanics and lab techs,” Nixon said last week.

Earlier this week, State Auditor Susan Montee released a report saying that Missouri needs to implement better cost controls and oversight of its 60 tax-credit programs.