BY ROGER SMITH
MOUNTAIN CITIZEN
INEZ — A state historic rehabilitation tax credit worth more than $255,000 will allow Martin County to turn a completed Historic Martin County Courthouse restoration project into future investments in historic preservation throughout the county, officials announced.
Martin County received the allocation through the Kentucky Historic Rehabilitation Tax Credit Program after completing approximately $1.5 million in qualified rehabilitation work at the Historic Martin County Courthouse, according to Deputy Judge/Executive Carolea Mills.
The restoration included repairs resulting from the courthouse fire, extensive fire-code improvements, and a complete electrical system upgrade throughout the historic building.
Because Martin County is a governmental entity and has no state tax liability, the county can sell the credit to a qualified purchaser, such as a bank or other financial institution. Officials said tax credits typically sell for 85% to 90% of their face value, meaning the county could realize proceeds of approximately $216,000 to $230,000.
“This is a significant accomplishment for Martin County,” Mills said. “The Historic Rehabilitation Tax Credit Program is extremely challenging and requires extensive planning and documentation. We are thrilled to receive approval for more than $255,000 in tax credits for the courthouse restoration project.”
The Historic Rehabilitation Tax Credit Program, administered by the Kentucky Heritage Council, provides tax credits to owners of historic properties who complete rehabilitation projects that meet federal preservation standards. Tax-exempt entities such as local governments may receive credits equal to 20% of eligible rehabilitation expenses.
Mills said the county has not finalized a buyer for the credit.
“We are currently exploring options and anticipate partnering with a financial institution or other qualified purchaser as the process moves forward,” she said.
Proceeds from the sale will be reinvested into preserving and improving other Martin County historic assets.
“This award allows us to leverage one successful preservation project into future investments,” Mills said. “The proceeds can help fund additional restoration efforts to other historic properties that help tell our community’s story.”
Among the projects under consideration is the Historic Courthouse cupola, one of the building’s most recognizable architectural features.
“The cupola is in significant need of repair,” Mills said. “Due to the county’s limited financial resources, we have not yet been able to pursue a restoration project of that scale.”
Officials are also considering preservation and rehabilitation of the Historic Martin County Jail.
“The jail is one of the county’s most unique historic structures and remains in remarkably good condition despite its age,” Mills said. “With restoration, it could serve as a valuable heritage tourism asset while preserving an important piece of Martin County history.”
The county is also exploring accessibility improvements to the Historic Courthouse, including the possible installation of an elevator or lift system to provide Americans with Disabilities Act access to the second floor.
Judge/Executive Lon Lafferty said the award demonstrates the value of preserving local landmarks.
“Our history is one of our greatest assets,” Lafferty said. “The courthouse is an important symbol of Martin County, and this award helps ensure it will continue to serve our community while supporting tourism, economic development and community pride.”
For Mills, the Historic Courthouse restoration is part of the county’s broader effort to revitalize downtown Inez and preserve Martin County’s historic assets.
“Preserving our history is not just about honoring the past,” she said. “It’s about investing in our future. By protecting these historic assets, we are creating opportunities for tourism, economic development and community pride while preserving the unique story of Martin County.”
Mills noted that future improvements to the courthouse and jail could also qualify for historic rehabilitation tax credits, allowing the county to continue leveraging preservation investments for additional restoration projects.
Officials thanked Martin County Tourism Director Nita Collier for assisting with the application process and supporting the project.
“Projects like this are truly a team effort,” Mills said. “I would like to thank Nita Collier for her assistance and support throughout this process. Her help with the application materials and documentation was greatly appreciated, and I am grateful for her dedication to preserving and promoting Martin County’s rich history.”
