LINCOLN, Neb. (Nebraska Examiner) — Funding to help erect a Chief Standing Bear museum and to tear down dilapidated property in western Nebraska are among additions to a multimillion-dollar package aimed primarily at lifting North and South Omaha.
The updated Economic Recovery Act cleared voting hurdles Thursday that now push it to the final debate stage.
State Sen. Terrell McKinney of North Omaha noted that the Legislature last year set aside about $335 million largely to spur transformational change in North and South Omaha. Some of that has already been allocated.
Now it’s time to appropriate the remainder, he said, namely about $225 million in grants to specific North and South Omaha entities to be chosen by the Department of Economic Development.
Newer funding requests — for projects such as a Malcolm X museum, health clinics, the Standing Bear museum and rail spurs in western Nebraska — have pushed up the total package beyond $400 million, said State Sen. Justin Wayne of Omaha.
Wayne, who along with McKinney was an original sponsor of the Economic Recovery Act, said the final cost projection is to be laid out in the fiscal note that will accompany the next round of debate.
Folded into the package were several bills, including a few that update provisions of the state’s Community Development Law, which governs the economic tool called tax-increment financing.
“These bills lift our communities up,” State Sen. Jane Raybould of Lincoln said. She said the overall package “contains momentum on many different levels.”
Not all of the proposal was met favorably. State Sen. Rob Clements of Elmwood, who chairs the Legislature’s budget committee, was wary of the proposed use of some interest earnings from certain project funds to cover some of the cost.
State Sen. Tony Vargas of Omaha, another sponsor of the North-South recovery bill, called the overall process “a monumental dedication to east Omaha.”
“This has been a long time coming,” he said. “We’re focusing on big transformational projects.”
The DED is to review the original 367 applications from community entities that sought a chunk of the North and South Omaha funding.
Previously, the Olsson consulting firm was awarded $1.7 million to review and narrow down the applications. Though Olsson completed that task, a special legislative committee shifted to the DED review.
State Sen. Mike McDonnell of Omaha said he thought that 90% of Olsson’s work was good. But he said the consultant, for example, overlooked a proposal for a proposed Ernie Chambers museum in North Omaha, and he advocated that DED give it another look.
Among other measures included in the proposed package:
- A call for the Game and Parks Commission to buy or receive by donation the Mayhew Cabin historical site in Nebraska City. The state would rehab and manage the property. Funding is to be determined in the future, though the state would rehab and manage the property.
- A provision (originally called for in LB 33) that allows the mayor of a first- or second-class city to vote on any matter that requires a majority vote of the City Council. That vote may occur if the mayor’s vote is required due to the council being divided or an absence.
- A provision (originally in LB 170) that matches the definition of “blighted area” under the Nebraska Investment Finance Authority Act with the definition under the Community Development Law.
- A mandate (originally in LB 223) requiring Nebraska cities that adopt an affordable housing action plan to submit their plan electronically to the Urban Affairs Committee.
- A requirement (originally in LB 34) to remove the requirement that home inspectors register with the Secretary of State every even-numbered year. Home inspectors would be allowed to renew their registration within 45 days of expiration, and the registration would be valid for two years.
- A call to change the Community Development Law (originally in LB 532) regarding how long (no less than 25 years) an area may be designated as “extremely blighted.” It would place new restrictions on the creation of new redevelopment plans in areas designated as blighted for more than 30 years.
Nebraska Examiner is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. Nebraska Examiner maintains editorial independence. Contact Editor Cate Folsom for questions: info@nebraskaexaminer.com. Follow Nebraska Examiner on Facebook and Twitter.
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