Nebraska Legislative Update
The 108th legislative session of the Nebraska Unicameral started on January 4th. Since that time, over 800 bills and resolutions were introduced. Several bills pertain to historic preservation issues in the state. The following list highlights the various bills effecting historic preservation and gives brief descriptions of each.
Nebraska Historic Tax Credits:
The Nebraska Historic Tax Credit sunset on December 31, 2022. During this legislative session three bills were introduced to reinstate the tax credit program. However, each bill alters the previously existing program. LB697 introduced by Senator Conrad of Lincoln was a coordinated effort with History Nebraska and is the bill to advocate for. However, Senator Vargas of Omaha introduced LB756 a nearly identical bill to reinstate the Nebraska Historic Tax Credit. Though this bill will not be the focus of advocacy, Senator Vargas has been a long-time friend to historic preservation and has heartily supported its causes. We at PAL are very gracious for his longtime support of historic preservation.
LB213
Introduced by Senator Slama
This bill would reinstate the Nebraska Historic Tax Credit, which sunset on December 31, 2022. Overall, the program would remain the same. However, key changes included the following.
The bill has an emergency clause and would be reinstated immediate after passage.
On or after the effective date of the bill, second class cities and villages can only apply. This means communities with populations between 100-5,000 could apply. Therefore, Omaha and Lincoln could not apply.
Prior to the effective date, an application could apply from any town.
The Nebraska Historic Tax Credit program would be coupled with the Rural Workforce Housing Investment Act.
The program would sunset December 31, 2026.
Senator Slama recently spoke with News Channel Nebraska about the proposed bill. The article can be found here.
LB697
Introduced by Senator Conrad
Last week PAL shared a draft bill detailing the reinstatement of the Nebraska Historic Tax Credit. LB697 includes the following changes from the previous tax credit programs.
Increasing the 20% credit to 25% for projects in Omaha and Lincoln and 30% in the rest of the state.
Lowering the total financial cost from $25,000 to $5,000 in order to be eligible to apply.
Raising the per project cap from $1 million to $2 million.
Lowering the annual program cap from $15 million to $12 million.
Reserving $4 million for projects requesting $100,000 or less in credits.
The program would sunset December 31, 2031.
These changes would take effect after the passage of the bill. However, lowering the annual program cap from $15 million to $12 million would not occur until after January 1, 2025.
LB756
Introduced by Senator Vargas
This bill is virtually identical to LB697 introduced by Senator Conrad. The only key change is lowering the annual program cap from $15 million to $12 million would not occur until after January 1, 2024. One year earlier than the Conrad’s bill.
Miscellaneous Bills:
LB45
Introduced by Senator Dorn.
This bill would create the “Revitalize Rural Nebraska Grant.” In actuality it would be a grant for the demolition of commercial buildings in smaller communities. A governing body of a first class city, second class city and village may apply to the Department of Environment and Energy for approval of a grant to demolish “dilapidated commercial property.” Preference would be given to second class cities and villages. Therefore, 72% of all municipalities in the state would be given preference. The following are key stipulations of the bills.
Dilapidated commercial property within corporate limits in need of demolition can apply.
Cities or villages must own the property.
Properties must be abandoned or vacant for at least 6 months prior to applying.
Properties listed, or eligible to be listed, on the National Register of Historic Places would not be eligible.
A city or village must contribute matching funds in the amount of 10% for a village, 15% for a second class city, 20% for a first class city.
A municipality may apply for more than one grant.
Preference will be given to new applicants.
LB411
Introduced by Senator Dugan
This bill would appropriate $1.5 million from the General Fund for the purpose of relocating the Pershing Auditorium mural to Wyuka Cemetery. Read more about the bill from an article published by the Nebraska Examiner. The article can be found here.
LB474
Introduced by Senator Wayne
The bill allows the History Nebraska to purchase, update and manage the Mayhew Cabin in Nebraska City and upgrade and maintain Fort Robinson in Crawford. $35 million dollars would be appropriated from the legislature to complete this goal.
LB563
Introduced by Senator Dorn
This bill would appropriate at total of $500,000 from the General Fund to History Nebraska over the course of two fiscal years. The intent of the appropriation is to allow History Nebraska to provide programming and technical expertise related to downtown or mainstreet revitalization, business growth and historic preservation.
As the legislative session continues, PAL will continue to follow these bills and will update the public on their process. If you would like to advocate for LB697 or any of the other bills, please email us (click link below).