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What is the LB840?

Did you know it’s because of the LB840 that the Hotel and School were saved from demolition? The Economic Development Director attracted two new developers to town for historical apartments and a bed & breakfast/restaurant/bar. LB840 funds are helping make these projects come to fruition.
Just a few of MANY projects that LB840 has helped fund over the years.
Many events, fundraisers and grants have been made possible through the help of our LB840, and most residents don’t even realize it’s the LB840 that made it possible.
If you’ve noticed an uptick in promotions for businesses and events in town, it’s from the help of our Economic Development Director, whose salary is drawn from the LB840.
From ‘A Small Town Christmas’ to ‘Mature Mondays in May’ to ‘Battle of the Bulls’ to ‘Halloween Shenanigans’ to planning for the ‘SQ150 Celebration’ to planning a COVID graduation parade for our Scribner-Snyder School’s Seniors during 2020. Believe it or not, all of these events are tied in with our Economic Development Director who helps bring family-friendly entertainment to Scribner.
The Beautification Committee who is responsible for all of the above, is coordinated by the Economic Development Director, whose salary is directly covered by the LB840.
These are just a few of the buildings in town before they became or will become a business, all with the help of coordination and funding through our Economic Development Director. The trailer marks where there was an empty field and now Turn ‘N Burn Trailer Sales now resides.

•LB840 Loan Application
•LB840 Grant Application
•OLD Economic Development Plan 
•Proposed NEW Economic Development Plan
•Nebraska’s LB840 Webpage, listing stats and other participating towns

Eligible activities under the economic development program may include, but shall not be limited to the following:

  1. A revolving loan fund from which low interest loans, forgivable loans, grants matching Community Block Grant Funds, commercial real estate improvement grants/loans, performance-based loans/grants will be made to qualifying businesses or organizations. These businesses shall create jobs at above regional average pay scale, retain existing jobs, provide expansion/retention funds, contribute to the sales tax base; contribute to the property tax base, provide essential products/services or possess other merits not previously defined. The Economic Development Loan Committee will base the approval for loans on loan guidelines as established, approved and monitored.
  2. Grants or loans for: community infrastructure; or public works improvements to business benefactors; and/or purchase of fixed assets, i.e. real estate and real estate options that are essential to the location or expansion of a qualifying business. Equity investments may or may not have specific performance requirements such as job creation and shall be secured by Mortgage, Deed of Trust, Promissory Note, personal and/or corporate guarantees or other financial instruments as requested by the loan fund committee.
  3. The authority to issue bonds pursuant to the Act and/or as provided by any other applicable statutes or law.
  4. Grants, assistance or agreements for job training.
  5. Payments for: salaries, support staff costs, or contracting with an outside entity for Economic Development management and direction.
  6. Commercial/industrial recruitment and promotional activities.
  7. Costs associated with Tax Increment Financing for the graduated abatement of property tax as allowed by state law.
  8. Costs associated with any other abatement of taxes as allowed by any future state law.
  9. Purchase of real estate, real estate options and the renewal or extension of such options.
  10. Direct loans or grants for any typical business expenses including but not limited to: fixed assets, fees, studies, working capital, required infrastructure or utility connection.
  11. Grants or loans for the construction or rehabilitation for sale or lease of housing as part of a Workforce Housing Plan.
  12. Tourism related activities
  13. Local or Regional recruitment activities: The eligible activities described above are considered priority activities for the use of funds generated under the local Option Municipal Economic Development Act. The City of Scribner recognizes that the attraction of new business to a community or the expansion of existing businesses takes place in a very competitive marketplace. In order to keep Scribner as competitive as possible in that marketplace, and in the creation of new jobs in the area, the City retains the right to include as eligible activities those additional activities allowable by law.
  14. The Local Option Municipal Economic Development Act has been changed in several Legislative sessions since it was signed into law on June 3, 1991. It is reasonable to assume the law will change during the course of Scribner Economic Development Program. In order to stay current with Nebraska Statutes, the City of Scribner retains the right to amend this Economic Development Plan when such amendment pertains to changes made to the Local Option Municipal Economic Development Act or to other statutes that affect Scribner’s Program. Such amendments can only be made after a public hearing and a majority vote of Scribner’s City Council.

DESCRIPTION OF ELIGIBLE BUSINESSES:

  1. A qualifying business shall mean any corporation, partnership, limited liability company, sole proprietorship, or organization that derives its principal source of income from any of the following:
    1. The manufacture of articles of commerce.
    2. The conduct of research and development.
    3. The processing, storage, transport or sale of goods or commodities which are sold or traded in interstate commerce.
    4. The sale of services in intra or interstate commerce.
    5. Headquarter facilities relating to eligible activities as listed in this section.  
    6. Telecommunications activities
    7. Tourism-related activities
    8. Construction and/or rehabilitation of housing.  Retail Trade and Services, provided that no more than 50% of total sales tax option funds generated during life of program be utilized for such businesses.
    9. Services as deemed essential by the Economic Development Committee.
    10. Any other business deemed as a qualifying business through future action of the legislature.
  2. If a business which would otherwise be a qualifying business employs people and carries on activities in more than one city in Nebraska or will do so at any time during the first year following the application for participation in “The Program,” it shall be a qualifying business only if, in each such city, it maintains employment for the first two years following the date on which such business begins operations in the city as a participant in its Program at a level not less than its average employment in such city over the twelve-month period preceding participating.
  3. A qualifying business must be located within the zoning jurisdiction of the City of Scribner unless the City Council grants a variance for special circumstances.
  4. Any other business deemed a qualifying business through future action of the Legislature, Nebraska Department of Economic Development officials, or the Economic Development Committee as presented to and approved by City Council.