CONTINUED ON PAGE 18 Eligibility begins with a very detailed application to the Nebraska Department of Economic Development. To qualify for an eligible project under the Good Life Transformational Projects Act, an applicant must propose a Project District for which the Act will apply and demonstrate the following: 1. The project will have total development costs of more than $1 billion for a project in Omaha, more than $750 million for a project in Lincoln, more than $500 million for a project in a county of over 100,000 people, or more than $100 million in a county of less than 100,000 people. 2. The project will, directly or indirectly, result in the creation of 1,000 new jobs for a project in Omaha, 500 new jobs for a project in Lincoln, 250 new jobs for a project in a county of more than 100,000 people, or 50 new jobs in a county of less than 100,000 people. 3. If the project is located in a county of more than 100,000 people, at least 20% of sales at the project will be made to persons residing outside Nebraska or the project will generate a minimum of 600,000 visitors per year who reside outside the state. In addition, the project must attract new-to-market retail to the state and generate a minimum of 3 million visitors per year. 4. If the project is located in a county of less than 100,000 people, at least 20% of sales at the project will be made to persons residing outside Nebraska. 5. Any anticipated diversion of state sales tax revenue will be offset or exceeded by sales tax paid on anticipated development costs, including construction to real property, during the same 25-year period comprising the term of the District. How Can a Developer Utilize the Act? As currently structured, the Act simply reduces the state’s sales and use tax on transactions occurring within the Project District. That leaves it up to the developer to determine how best to use that incentive. We believe there are four most likely options that a developer could use. First, a developer might just promote the Project District due to the lower sales tax. Nebraska’s 37 Business Incentive Programs (as identified by the Council for Community and Economic Research) Beginning Farmer Tax Credit Act Beginning Farmer/Rancher Loan Program Business Retention & Expansion Program Capital Gains and Extraordinary Dividend Exclusion Community Development Assistance Act (CDAA) Community Impact Grant Program Customized Job Training Program Developing Youth Talent Initiative Dollar and Energy Saving Loans Economic Opportunity Program Enterprise Zones Express Loans ImagiNE Nebraska InternNE Grant Program Invest Nebraska Loans Local Option Municipal Economic Development (LB840) Manufacturing Machinery and Equipment Sales Tax Exemption Nebraska Academic Research and Development Grant Program Nebraska Advantage Microenterprise Tax Credit Act Nebraska Advantage Research and Development Credit Nebraska Advantage Rural Development Act Nebraska Development Financing (Industrial Development) Nebraska Historic Tax Credit Nebraska Innovation Fund Prototype Grants Nebraska Seed Fund Nebraska Tourism Marketing Grant Program New Markets Job Growth Investment Tax Credit Recovery Loans Renewable Chemical Production Tax Credit Rural Workforce Housing Fund Site and Building Development Fund Small Business Innovation Research/Small Business Tech Transfer (SBIR/STTR) Grant Small Business Loans State Trade Expansion Program Tax Increment Financing Venture Debt Fund Worker Training Grants 17 www.nescpa.org
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