New legislation in New Jersey aims to provide financial relief to longtime diners and restaurants struggling with rising operating costs.

The proposal, titled the "Saving Our Diners and Protecting Our Past Act," or, the SODA POP Act, would create new tax credits for diners and restaurants that have been in operation for decades.

Under the bill, classic diners and restaurants that have been open for at least 25 years would be eligible to apply for inclusion in a registry of historic eateries. Businesses accepted into the registry would be exempt from charging sales tax and could qualify for tax credits of up to $25,000.

The legislation is intended to help preserve a defining part of New Jersey’s cultural identity as many diners face increasing financial pressure, said State Sen. Paul Moriarty who sponsored the bill.

“These are part of our culture, and our history, and their closing, their shortening their hours, their having difficulty, we want to try to help them stick around for quite awhile,” Moriarty said.

“The margins aren’t as great as people think they are. As food costs rise, payroll costs rise, so do the price and it affects everyone,” said Mike Niotis, owner of the Fair Haven Diner.

Niotis, who is also the son and sibling of diner owners, said he has seen significant changes in the industry over the years.

“It’s a shame, because I’d say 20 years ago, there was hundreds of diners in this state that were open 24 hours,” he said. “And as far as I know, there’s probably a couple handful left.”

Moriarty said the bill has bipartisan support. He said they hope to pass the legislation in time for eligible businesses to begin taking advantage of the benefits by the end of 2026.