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Legislature advances cleanup to North Omaha ARPA allocation to allow site flexibility for a business park
Summary
Lawmakers advanced LB290, a bill that adjusts the two‑mile project boundary for previously approved ARPA investments in North Omaha to allow the Inland Port Authority and grantees greater site flexibility; debate included disagreement over use of funds and local representation.
The Legislature on Tuesday advanced LB290, which modifies the geographic limits for projects supported by prior ARPA allocations to the North Omaha area, according to proponents who said the change is a narrow technical fix to allow a business‑park project to proceed without displacing residents.
Sen. McKinney, who represents the area, told colleagues the change “is literally pretty much in the same geographic area” and described the amendment as a limited measure to give grantees flexibility after the originally planned phase encountered land and environmental constraints. He said the bill does not increase the amount of funding and that the allocation has no fiscal note.
Sen. Clements asked whether the change would expand the area into residential neighborhoods; McKinney said the intent is to avoid displacing residents by permitting alternate nearby sites. Opponents raised broader fiscal concerns: Sen. Anderson said federal ARPA money was originally allocated for COVID repairs in North Omaha but that $450 million was later used for a Lincoln water project and that the state used general‑fund money to substitute, characterizing the outcome as a change of purpose. Anderson urged reprioritization given an identified $300 million shortfall in the state budget.
Sen. Spivey, a member of the advisory committee and a representative of the affected area, said the adjustment is a “cleanup” to allow approved projects to proceed without disrupting residents; she noted federal approval of the original allocation and urged colleagues to focus on the immediate boundary question rather than broader historical investment patterns.
After a roll‑call vote on a motion to advance, the Legislature recorded the advancement of LB290 to E & R for engrossing (25 ayes, 3 nays recorded during the roll call). The bill’s sponsor and local members said the measure preserves the original ARPA intent by preventing forced displacement while allowing the inland port and grantees administrative flexibility.
