05/10/2022 Resolutions 2022-132RESOLUTION 2022-132
WHEREAS, the City of Grand Island is proposing a ten (10) year renewal of its
Economic Development Program to continue the success of its present Program in seeking new
employers and assisting existing employers to increase the number of quality jobs for the people
of Grand Island and to include new eligible businesses and activities in the areas of workforce
housing and early childhood care and education; and
WHEREAS, a proposed Economic Development Program has been prepared in
accardance with the Local Option Municipal Economic Development Act, codified at Chapter
18, Article 27 of the Nebraska Revised Statutes; and
WHEREAS, the proposed Economic Development Program has been written to
foster and maximize future economic development while at the same time improving
accountability, transparency, and safeguarding taxpayer dollars; and
WHEREAS, the Mayor and City Council propose to present this Economic
Development Program to the voters of the City of Grand Island for their approval at the general
election to be held on Tuesday, November 8, 2022.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL
OF THE CITY OF GRAND ISLAND, NEBRASKA,
That the Mayor and City Council do hereby approve and adopt the Economic Development
Program marked as E�ibit A attached hereto and made a part of this Resolution by
reference.
2. That the following language shall be submitted to the Hall County Election Commissioner for
inclusion on the Grand Island City ballot for the general election to be held on Tuesday,
November 8, 2022:
ECONOMIC DEVELOPMENT PROGRAM
Shall the City of Grand Island renew its economic development program by
appropriating Nine Hundred and Fifty Thousand Dollars ($950,000.00) annually
from local sources of revenue for a period of ten (10) years?
A vote for this measure will renew the Economic Development program for a
period of ten (10) years.
A vote against this program will not renew the Economic Development program
and allow it to expire in 2023.
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The City of Grand Island is proposing to renew its Economic Development Plan for
a period of ten years in order to attract new employers and assist existing
Approved as to Form�
May 9, 2022 � City Attomey
employers to increase the number of quality jobs for the people of Grand Island.
The annual cost of the program will be Nine Hundred and Fifty Thousand Dollars
($950,000.00). This program will be funded with local sources of revenue.
Revenue from publicly owned utilities may be used to fund utility related projects
needed for economic development. This program will be in existence for a period
of ten years commencing October 1, 2023.
3. That the City Clerk is directed to certify the above ballot language with the Hall County
Election Commissioner for inclusion on the Grand Island City ballot far the general election
to be held on Tuesday, November 8, 2022.
4. That the City Clerk is directed to prepare a copy of this Resolution and the proposed
Economic Development Plan and make such available for public review at City Hall, the
Edith Abbott Memorial Library, and the offices of the Grand Island Area Economic
Development Corporation during regular business hours.
Adopted by the City Council of the City of Grand Island, Nebraska, on May 10, 2022.
Attest:
—�0.l �.1�.�_C�1�1-t�-�-
RaNae Edwards, City Clerk
Roger Steele, Mayor
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CITY OF GRAND ISLAND, NEBRASKA
ECONOMIC DEVELOPMENT PROGRAM
Effective October 1, 2023
Twenty years ago, the citizens of Grand Island thoughtfully and strategically developed and
approved Grand Island's Economic Development Program. The program's purpose was and
remains to retain and create new, diverse jobs in our city while leveraging existing resources and
State of Nebraska legislation.
Grand Island's Economic Development Program has proved to be a community tool that
encourages and stimulates quality job growth, attracts permanent investment and "broadens the
tax base, all of which leads to additional opportunities for all citizens. Grand Island competes
against other cities and states for these opportunities on a statewide and on a national level.
Communities in the state have looked to Grand Island as a leader in the economic development
arena and we are proud to have served as an early model for progressive growth. It is imperative
that we continue to move forward as there is ever increasing competition among communities
seeking to increase capital investments and high paying jobs. In order to continue the progress
that has taken place, the citizens of Grand Island need to once again support this program at the
ballot box.
Now, more than ever, cities need to be proactive about economic development. Grand Island's
health is directly tied to its economy. Grand Island's Economic Development program helps to
strengthen and diversify our community's economic and civic foundation through increased
capital investments and employment opportunities. Growth and investments do not happen
without a dedicated, strategic, program focused on progressive and positive development in
communities.
Grand Island's potential is limitless. We can, and should expect to invite high paying jobs,
meaningful capital investment and redevelopment efforts that complement existing industries,
expand our economy, and benefit taxpayers.
The most important thing we can do for Grand Island is to retain and create jobs and investment.
That is what the Grand Island Economic Development Program will continue to do for the next
ten years for the City of Grand Island.
Need and Purpose
The economic development program is a community tool that encourages and stimulates the
growth of quality jobs, attracts permanent investment, broadens the tax base, and diversifies the
region's economic base that will lead to new opportunities and options for all citizens, ultimately
improving the quality of life for all taxpayers in Grand Island and the surrounding region.
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Exhibit A to Resolution #2022-132
Grand Island's success for long-term growth and prosperity has come with increased
diversification with an overall goal of increasing per capita and median household incomes
throughout Grand Island and Hall County. Taking into consideration the very low
unemployment rates that Hall County has experienced in recent years, our focus will be on
attracting capital intensive instead of labor intensive businesses — businesses that hire skilled
laborers to complement million-dollar production equipment and machinery. We will be
targeting businesses that will provide employment opportunities for those who are
underemployed in Hall County and those seeking professional positions.
SECTION I. GENERAL COMMUNITY AND ECONOMIC DEVELOPMENT
STRATEGY
The Nebraska Legislature, in the Local Option Municipal Economic Development Act Neb. Rev.
Statutes 18-2701, et seq., has made the following legislative findings: (1) there is a high degree
of competition among states and municipalities in our nation in their efforts to provide incentives
for businesses to expand or locate in their respective jurisdictions; (2) municipalities in Nebraska
are hampered in their efforts to effectively compete because of their inability under Nebraska law
to respond quickly to opportunities or to raise sufficient capital from local sources to provide
incentives for business location and expansion decisions which are tailored to meet the needs of
the local community; (3) the ability of a municipality to encourage business location and
expansion has a direct impact not only upon the economic well-being of the community and its
residents but upon the whole State as well; and (4) there is a need to provide Nebraska
municipalities with the opportunity of providing assistance to business enterprises in their
communities, whether for expansion of existing operations or creation of new businesses, by the
use of funds raised by local taxation when the voters of the municipality determine that it is in
the best interests of their community to do sa
The City of Grand Island faces stiff competition to recruit businesses to the community and to
retain businesses that not only are presently operating in the community but also are considered
anchors of the economic vitality of the City.
Prior to the passage of the Grand Island Economic Development Program, the City, through the
Grand Island Area Economic Development Corporation, competed as best it could to bring new
business and new well-paying jobs to the community, but frankly had less ability to compete by
not having available the tools granted by the Local Option Municipal Economic Development
Act. The City believed that not having the ability to directly fund economic development
activities in the past may have cost jobs and capital investment which otherwise would have been
realized.
With the adoption of its economic development program, the City of Grand Island was able to
directly contribute to economic development projects and thereby compete successfully for
location of manufacturing facilities and other businesses to our community and retain those
excellent employers currently within our community. The well-paying jobs and talented
employees employed in these fields are critical to Grand Island.
Nebraska's Local Option Municipal Economic Development Act became effective June 3, 1991.
The Act authorizes cities and villages to appropriate and spend local sales tax and property taa�
revenues for certain economic development purposes. In 2011, the Nebraska Legislature added
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E�ibit A to Resolution #2022-132
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a
language to the act to allow other sources of revenue to be utilized, including funds generated
from municipally owned utilities or grants, donations, or state and federal funds received by the
city. An economic development program formulated by the City to implement this legislation is
subject to the vote of the people.
The core of the process involves the formulation of a proposed plan for a local economic
development program. The program forms the foundation for the expenditure of local revenues
for economic development. As outlined in the legislation, a Citizen Advisory Review
Committee appointed by the Mayor and approved by the City Council was created to advise,
review, and recommend proposals. This committee would continue in place with the new plan.
The Committee will be comprised of seven members. All members must be registered voters in
the City of Grand Island. It is recommended that professionals in the fields of accounting,
banking and finance, business owners and business professionals be included on the Citizen
Advisory Review Committee. At least one member of the Committee shall have expertise or
experience in business, finance, and accounting. Members may be removed in the same manner
as appointed, subject to City Council approval. The terms of four members will end in even
numbered years and the terms of the remaining three members will end in odd numbered years.
Eligibility to continue service beyond the initial term is based on City Council approval. No
member shall be (1) an elected or appointed City Official, (2) an employee of the City, (3) a
member of the Hall County Regional Planning Commission, (4) a participant in a decision
making position regarding expenditures of program funds, (5) an official or employee of any
qualifying business receiving financial assistance under the Program, or (6) an official or
employee of any financial institution participating directly in the Program. Both the City
Council President and the City Administrator or designee shall serve as Liaison to the Citizen
Advisory Review Committee. All Citizen Advisory Review Committee meetings are subject to
open meeting laws. A quorum of four members is required to officially hold a meeting.
The Citizen Advisory Review Committee is required by law to: (a) review the economic
development program's function and progress at least once in every six-month period and advise
the City Council with regard to the program; and (b) report to the City Council on its findings
and suggestions at a public hearing called for that purpose, at least once in every six-month
period after the effective date of the ordinance.
An Economic Development Program has been prepared for submission, first to the City Council
for a public hearing and City Council approval and, upon Council approval, to the voters of
Grand Island. The City intends to use this Program to support economic development within the
City.
SECTION II. STATEMENT OF PURPOSE DESCRIBING GENERAL
INTENT AND PROPOSED GOALS
The general intent and goal of the Grand Island Economic Development Program is to provide
jobs to the citizens of Grand Island, Nebraska, by encouraging and assisting local businesses to
expand, create jobs, and invest capital. An additional goal is to recruit businesses which results
in creation of jobs and expansion of the tax base. These goals require affordable quality
workforce housing and available early childhood care and education programs. To address these
needs, the Programs goals include the expansion of workforce housing and early childhood care
and education programs.
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Exhibit A to Resolution #2022-132
The impact of the Program will be based on the results attained by the approved applicants. The
following are the measurements: jobs created and retained by the approved applicants as
measured at the end of ten years, the dollars invested by the approved applicants in fixed assets
and business equipment over the ten years and the growth in valuation of the approved
applicants' real property.
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Each applicant will be considered on its merits, but priority will be given to capital investments,
jobs created and/or retained at or above average wage, and benefits for the community such as
increased workforce housing and early childcare and education programs.
SECTION III. TYPES OF ECONOMIC ACTIVITIES THAT WILL BE ELIGIBLE
FOR ASSISTANCE
A. Definition of Program
Economic Development shall mean any project or program utilizing funds derived from the
Program which funds will be expended primarily for providing direct financial assistance to a
qualifying non-retail business, the payment of related costs and expenses, and/or through a
revolving loan fund. The purpose of the Program is to increase employment opportunities,
business investment within the community and greater economic viability and stability.
B. Eligible Activities
The Economic Development Program may include, but shall not be limited to, the following
activities:
1) A revolving loan fund from which performance based loans will be made to non-retail
qualifying businesses on a match basis from the grantee business and based upon job
creation and/or retention, said jobs to be above the average wage scale for the
community.
2) Public works improvements and/or purchase of fixed assets, including potential land grants
or real estate options essential to the location or expansion of a qualifying business or for
capital improvements when tied to job creation criteria or when critical to retention of
jobs of a major employer within the community, which equity investment may be secured
by a Deed of Trust, Promissory Note, UCC filing, personal and/or corporate guarantees
or other financial instrument.
3) The provision of technical assistance to businesses, such as preparation of financial
packages, survey, engineering, legal, architectural, or other similar assistance and
payment of relocation or initial location expenses.
4) The authority to issue bonds pursuant to the Act.
5)
6)
Grants or agreements for j ob training.
Interest buy down agreements or loan guarantees.
4
E�ibit A to Resolution #2022-132
7) Other creative and flexible initiatives to stimulate the economic growth in the Grand Island
area (activities which may be funded through the Economic Development Program or
General Fund as authorized by Section 13-315 R.R.S.).
8) Commercial/industrial recruitment and promotional activities.
9) Payments for salaries and support of City staff or the contracting of an outside entity to
I implement any part of the Program.
10) Tourism related activities.
11) Reduction of real estate property taxes for City of Grand Island to stimulate local economy.
12) Direct loans or grants to qualifying businesses for fixed assets, working capital or both.
13) Grants or loans for the construction or rehabilitation for sale or lease of housing as part of a
workforce housing plan of the City.
14) Grants, loans, or funds for early childhood infrastructure development.
C. Workforce Housing Plan: The "Workforce Housing Plan" means a program to construct or
rehabilitate single-family housing or market rate multi-family housing, which is designed to
address a housing shortage that impairs the ability of the City to attract new businesses, or
impairs the ability of existing businesses to recruit new employees.
1) The City has participated in a Community Housing Study with Strategies for Affordable
Housing prepared in 2021 by Hanna:Keelan Associates, P.C. (the "Housing Study"). The
Housing Study found that the current housing stock in the City, including both single-
family and market rate multi-family housing, was deficient in numbers and quality, and
that the City has a housing shortage. Specifically, the Housing Study Affordable
workforce housing is a major need in Grand Island and that an estimated 795 total units,
consisting of 488 owner and 307 rental units, should be built for the workforce
population in the Community.
2) The Workforce Housing Plan is intended to include all single-family housing and market
rate multi-family housing. No special provisions for housing for persons of low or
moderate income are provided for in the Plan.
3) Due to the lack of available housing within the City, existing businesses have difficulty in
recruiting new employees; and
4) Construction costs and the cost of providing infrastructure for housing (to include streets
and utilities) are adversely impacting the ability to find housing for persons seeking new
or rehabilitated housing in the City.
Exhibit A to Resolution #2022-132
SECTION IV. DESCRIPTION OF TYPES OF BUSINESSES THAT WILL BE
ELIGIBLE
A. A qualifying business shall mean any corporation, partnership, limited liability company or
sole proprietorship that derives its principal source of income from any of the following:
1. The manufacturer 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 interstate commerce;
5. Headquarters facilities relating to eligible activities as listed in this section;
6. Telecommunications activities including services providing advanced
telecommunications capability;
7. The production of films, including feature, independent, and documentary films,
commercials, and television programs;
8. Tourism-related activities;
9. Construction or rehabilitation of housing;
lO.Early childhood care and education programs; and
11.Any other activities deemed sufficient to establish eligibility for a Qualifying Business
through future amendments to the Act, and incorporated into this Plan and the
Program by ordinance of the City Council after amendment to the Act.
B. A qualifying business must be located within the City limits or the two mile planning and
zoning jurisdiction of the City. Any exceptions to this policy must be approved by the
City Council.
C. Qualifying business does not include a political subdivision, a state agency, or other
governmental entity.
D. If 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 after its application for
participation in the Program, it shall only be a Qualifying Business if, in each such city, it
maintains employment for the first two years after the date on which the business begins
operation in the City as a participant in the Program at a level not less than its average
C�
Eachibit A to Resolution #2022-132
employment level in the other city during the twelve months before participation in the
Program.
SECTION V. REVOLVING LOAN FUND/ PERFORMANCE BASED LOANS
A. The amount of funds available for any single project shall not exceed the amount of funds
available under the Economic Development Program during the project term, nor shall it
provide for more than fifty percent (50%) of total project costs. An applicant must provide
participation and evidence of participation through private funding as distinguished from
federal, state, or local funding in the minimum amount of fifteen percent (15%) equity
investment. The right is reserved to negotiate the terms and conditions of the loan with each
applicant, which terms and conditions may differ substantially from applicant to applicant.
B. The interest rate shall be negotiated on an individual basis. The term shall not exceed fifteen
(15) years for loans used for real estate and building assets and not to exceed seven (7) years
for loans involving any other asset category such as furniture, fixtures, equipment, or
working capital. Security for loans will include, but will not be limited to, Promissory Notes,
a Deed of Trust, UCC filings and personal and/or corporate guarantees as appropriate and
may be in a subordinate position to the primary commercial ar government lender.
C. The amount of funds available for any project in excess of $50,000 will be disbursed to the
applicant in a defined schedule.
D. If the loan is approved as performance based, a qualifying business may be approved to
recapture on a grant basis all or a portion of the loan amount as set forth by the approved
agreement based upon job creation or retention and economic impact of the project to the
community.
E. A loan repayment schedule providing for monthly, quarterly, or annual payments will be
approved in conjunction with project approval. Repayments will be held in the LB-840
Economic Development fund for future projects as approved.
F. The City Administrator or his/her designee is responsible for auditing and verifying job
creation and retention and determines grant credits toward any loans made. No grant credits
are available unless pre-approved in the initial application and project approval and no grant
credits are available beyond the level initially approved.
G. The Revolving Loan Fund and its portfolio of loan funds will be audited annually by a
selected firm of certified public accountants. The audits will be funded by the Economic
Development Fund and the findings will be presented to the Citizens' Review Committee and
the City Council.
H. The City Administrator will be the Program Administrator. The City Administrator may
appoint a designee with the consent of the Mayor. The City Finance Director will be
responsible for the financial and auditing portions of the plan.
SECTION VI. SOURCE OF FUNDING
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E�ibit A to Resolution #2022-132
The Program will be funded from all legally permissible sources of revenue. The City of Grand
Island shall annually appropriate $950,000 from funds derived directly from local sources of
revenue, as defined by Nebraska's Municipal Economic Development Act, for the Economic
Development Program. The City shall not appropriate from the general fund for approved
Economic Programs, in any year during which such programs are in existence, an amount in
excess of four-tenths of one percent of actual property valuation of the City of Grand Island in
the year in which the funds are collected, and further, will be subject to the limitation that no city
of the First Class shall appropriate more than two million dollars in any one year. These
restrictions shall not apply to the reappropriation of funds that were appropriated but not
expended during the previous fiscal years, nor shall they apply to appropriation of funds received
from other sources.
If, after five full budget years following initiation of the approved Economic Development
Program, less than fifty percent of the money collected from local sources of revenue is spent or
committed by contract for the Economic Development Program, the governing body of the City
shall place the question of the continuation of the City's Economic Development Program on the
ballot at the next regular election.
A. Time Period for Collection of Funds
Annual funding for the program will be $950,000. These funds will be allocated commencing
with the FY 2024 budget year, beginning October 1, 2023, and will continue for 10 years. The
annual amount of $950,000 will be divided each year into incentive and
administrative/promotion authorized expense levels. The portion allocated to
administrative/promotion will be paid in four quarterly payments to the Grand Island Area
Economic Development Corporation ("GIAEDC") which administers the program on behalf of
the city.
B. Time Period for Existence of the Program
The Economic Development Program will be in effect beginning October l, 2023 and will
continue for 10 years.
C. Proposed Total Collections from Local Sources
The total amount of City funds derived directly from local sources of revenue to be committed to
the Economic Development Fund shall not exceed the following amounts:
Fiscal Year Endin� A� ropriation
September 30, 2024 $950,000
September 30, 2025 $950,000
September 30, 2026 $950,000
September 30, 2027 $950,000
September 30, 2028 $950,000
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E�ibit A to Resolution #2022-132
September 30, 2029 $950,000
September 30, 2030 $950,000
September 30, 2031 $950,000
September 30, 2032 $950,000
September 30, 2033 $950,000
Total: $9,500,000
D. Basic Preliminary Proposed Budget
It is anticipated the proposed annual budget of $950,000 will be allocated to the Economic
Development Fund.
SECTION VII. APPLICATION PROCESS FOR FINANCIAL ASSISTANCE TO
BUSINESSES
A. Application Process and Selection of Participants.
Businesses seeking assistance will be required to:
1. Complete an application obtained from the GIAEDC or the City of Grand Island.
2. Submit the completed application together with all information as set out below to
the GIAEDC or the City of Grand Island. The GIAEDC Board of Trustees will review,
along with the Program Administrator, the application and supporting information. The
board will make a determination: a) as to the eligibility of the application and
organization making the application; b) verify the accuracy of the information provided;
c) take action as to approve or deny the application and proposed agreement or forward it
to the Citizen Review Committee to approve or deny the application and proposed
agreement or forward it to the City Council for action. An overview of the proposed
application shall contain sufficient information to make an informed decision yet
maintain confidentiality of information that, if released, could cause harm to such
business or give unfair advantage to competitors.
3. Approval or disapproval will be based on whether the Applicant is able to show:
(a.) eligibility for funding; and (b.) that the type of level of assistance will not unduly
enrich the business or be unreasonable in relation to the public benefit to be achieved
from the funding. If the recommendation is for disapproval or if unable to make a
recommendation, the applicant shall be provided the reasons for the decision.
B. Information Required.
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E�ibit A to Resolution #2022-132
The qualifying applicant shall provide the following information before any application is
considered by the GIAEDC Board of Trustees:
1. A business description verifying that the business satisfies program goals and intentions
and is an eligible project and company.
2. A business plan for the project.
3. Income statements covering the last three years and pro forma for the next three years.
4. Financing requirements and commitments from financial institutions, investors, etc.,
relating to the project/purpose being funded.
5. If applying to participate in a loan fund program, the applicant shall provide
documentation evidencing its negotiations with one or more primary lenders and the terms
upon which it has received or will receive the portion of the total financing for its activities
which will not be provided by the Program.
6. A list of key management, employees and their skills and experience related to the
proj ect.
7. Certifications as required by the Municipal Economic Development Act and such
additional certifications as required by the City of Grand Island, to include but not limited
to:
(a) Whether the qualifying business has filed or intends to file an application to receive tax
incentives under the Nebraska Advantage Act or the ImagiNE Nebraska Act for the same
project for which the qualifying business is seeking financial assistance under the Local
Option Municipal Economic Development Act;
(b) Whether such application includes or will include, as one of the tax incentives, a refund
of the city's local option sales tax revenue; and
(c) Whether such application has been approved under the Nebraska Advantage Act or the
ImagiNE Nebraska Act.
The City may consider the information provided under this section in determining whether
to provide financial assistance to the qualifying business under the City's Economic
Development Program.
C. Verification Process: For each eligible application the GIAEDC will obtain, if available,
the following reports and complete the listed examinations:
1. Credit check.
2. Credit Report.
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E�ibit A to ResoluUon #2022-132
3. Examine information required.
4.Examine internal records.
S.Obtain oral and written verification of application information.
6.Other investigations as may be deemed necessary including evaluating the existence of and
the declaration of any conflicts of interest concerning the applicant's eligibility.
Once the information has been compiled, the Plan Administrator will review the application and
related information. Additional information may be requested at this time from the applicant.
SECTION VIII. PROCESS TO ENSURE CONFIDENTIALITY OF BUSINESS
INFORMATION RECEIVED
In the process of gathering information about a qualifying business, the GIAEDC and City may
receive information about the business that is confidential and, if released, could cause harm to
such business or give unfair advantage to competitors. The GIAEDC and City shall endeavor to
maintain the confidentiality of business records that come into its possession.
To protect businesses applying for assistance and to encourage them to make full and frank
disclosure of business information relevant to their application, the GIAEDC and City has or will
take the following steps to ensure confidentiality of the information it receives:
City Code §38-10 has been enacted to make such information confidential and punishes
disclosure in violation of State or City law by any City elected or appointed officials, City
employees, GIAEDC employees, and members or the Citizen Advisory Review
Committee;
2. The GIAEDC office will maintain the files and will be primaxily responsible for their
safekeeping and any distribution of information contained therein; and
3. Require personnel involved in the Program Review, including GIAEDC staff, GIAEDC
Board of Trustees, Citizen Advisory Review Committee, and City staff, to sign
statements of confidentiality regarding all personal and private submittals by qualified
businesses.
SECTION IX. ADMINISTRATION SYSTEM FOR ECONOMIC
DEVELOPMENT PROGRAM
A. Program Administration
1. GIAEDC will administer the program on behalf of the City. If that organization were to no
longer exist, the City reserves the right to administer the Program itself or name a new
agent who would perform the administration functions of the Program.
2. The Citizen Advisory Review Committee will hold at least one meeting in every six-month
period to review the functioning and process of the Economic Development Program and
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E�ibit A to Resolution #2022-132
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advise the City Council with regard to the Program. The Citizen Review Committee will
track participating businesses' employment figures for two years if said businesses employ
persons in other Nebraska communities.
3. The Program Administrator, in cooperation with the GIAEDC President, will review on a
quarterly basis, the progress of ongoing projects to ensure the qualifying businesses are
complying with the terms of any approved project.
4. The Program Administrator, in cooperation with the GIAEDC President, will advise the
Mayor and City Council on a semi-annual basis regarding the status of ongoing activities in
the Economic Development Program.
5. A 3% fee will be retained by the City of Grand Island for program administration.
I:
Revolving Loan Program Administrator
1. Provide to the City Council on a quarterly basis an account of the status o£
a. Each outstanding loan.
b. Program income.
c. Quarterly updates of current investments of unexpended funds (Section 18-2720)
2. Keep records on accounts and compile reports that include:
a. Name of borrower
b. Purpose, date, amount, and basic terms of loan.
3. Payments made to date and current balance due. (Section 18-27200)
4. Regularly monitor each loan's status and, with cooperation from the City Council and
primary lender(s), take appropriate action on any delinquent loans. (Section 18-2720)
SECTION X. PROCESS TO ASSURE LAWS, REGULATIONS AND
REQUIREMENTS ARE MET BY THE CITY AND QUALIFYING
BUSINESSES
The City will assure that all applicable laws, regulations, and requirements are met by the City
and the qualifying businesses that will receive assistance as follows:
A. Program Review
The Ordinance establishing the Program shall provide for the ongoing existence of a Citizen
Advisory Review Committee to:
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E�ibit A to Resolution #2022-132
1. Review the functioning and progress of the Economic Development Program at meetings
as set forth by ordinance and to advise City Council with regard to the Program,
2. Report to the City Council on its findings and suggestions at a public hearing called for that
purpose at least once in every six-month period after the effective date of the ordinance;
and
3. Maintain confidentiality of all business information supplied by applicants pursuant to City
Code §38-10.
B. Monitor Participating Businesses
The Program Administrator, in cooperation with the GIAEDC President or appointed contract
loan administrator, will conduct reviews on a quarterly basis to ensure that qualifying businesses
are following the appropriate laws and regulations and meeting the terms and conditions of
assistance.
C. Monitor Regulatory Changes
The City Attorney will be responsible for keeping the City informed of relevant changes in the
law that could affect the Economic Development Program and will review Agreements, Deeds,
Leases, Deeds of Trust, Promissory notes, security documents, personal and/or corporate
guarantees, and other documents relating to specific projects or to the Program as a whole.
The City Attorney will prepare, at the City's expense, all legal and binding agreements for
potential City Council approval.
D. Audit
The City shall provide for an annual, outside, independent audit of its Economic Development
Program by a qualified private auditing business.
SECTION XI. PURCHASE OF REAL ESTATE OR OPTION TO PURCHASE
If real estate is to be purchased or optioned by the City under the Program, it should meet the
following general criteria:
1. Be properly zoned with no excessive easements, covenants, or other encumbrances;
2. Should conform and be able to be re-zoned to comply with the City's or County's
Comprehensive Plan;
3. Should have commercial or industrial development potential within a ten-year period; and
4. Must be located within the City limits or the two mile planning and zoning jurisdiction of
the City unless an exception is granted by City Council.
Any decision to purchase land will be made in a manner consistent with that used to approve
applications for financial assistance as detailed in Section VII. Any proposal to purchase land
13
E�ibit A to Resolution #2022-132
must be approved by the GIAEDC Board, the Citizen Review Committee, and the City Council.
The proceeds from the future sale of such land shall be returned to the Economic Development
Program Fund for reuse for any activities eligible in the Program or for additional land
purchases.
SECTION XII. INVESTMENT OF ECONOMIC DEVELOPMENT FUND
The City shall establish a separate Economic Development Program Fund. All funds derived
from local sources of revenue for the Economic Development Program, any earnings from the
investment of such funds, any loan payments, any proceeds from the sale by the City of assets
purchased by the City under its Economic Development Program, or other money received by
the City by reason of the Economic Development Program shall be deposited into the Economic
Development Fund. No money in the Economic Development Program Fund shall be deposited
in the General Fund of the City except as provided by statute. A 3% administrative fee will be
retained by the City for program administration. The City shall not transfer or remove funds
from the Economic Development Fund other than for the purposes prescribed in the Act and this
Program, and the money in the Economic Development Fund shall not be co-mingled with any
other City funds. Any money in the Economic Development Fund not currently required or
committed for the purposes of Economic Development shall be invested as provided in Section
77-2341 R.R.S. Nebraska. In the event the Economic Development Program is terminated, any
funds remaining will be transferred as provided by statute to the General Fund of the City.
SECTION XIII. AMENDMENT
This Plan shall be amended only to (1) add or remove a Qualifying Business, to the extent
recommended by the Citizen Advisory Committee, (2) make corrective changes to comply with
the Act; or (3) make corrective changes to comply with other state or federal laws. Any such
amendment shall first require notice and a public hearing and shall be approved by a 2/3 vote of
the members of the City Council. No other amendment shall occur without submitting the
proposed changes to a new vote of the registered voters of the City, except as otherwise
permitted by law.
14
� Exhibit A to Resolution #2022-132