Commercial site development bill approved

Senators gave final approval April 20 to a bill intended to facilitate development of industrial sites and buildings in Nebraska.

LB388, introduced by Lexington Sen. John Wightman at the request of the governor, creates the Site and Building Development Fund to provide financial assistance to public and nonprofit developers for land and infrastructure costs associated with development.

The fund will be administered by the state Department of Economic Development (DED) and will provide loans, grants, subsidies, credit enhancements and other financial assistance.

Qualifying developers will be required to provide 100 percent matching funds and at least 40 percent of the fund is earmarked for nonmetropolitan areas, defined as counties with a population under 100,000.

The bill transfers $1 million per year for two years from the Affordable Housing Trust Fund to the Site and Building Development Fund. Continued funding will be provided by directing to the development fund 25 cents of every $1.75 remitted to the state annually from the Real Estate Documentary Stamp Fee.

Finally, the bill creates the Industrial Recovery Fund. The fund will be administered by DED and consist of up to $1 million per year of unused funds remitted from projects receiving Affordable Housing Trust Fund dollars.

LB388 passed on a 46-0 vote.