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Bill would let communities use CCCFF and rural grants with mitigation when historic properties pose safety risks

Nebraska Legislature Revenue Committee · January 30, 2026
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Summary

LB 883 would allow mitigation measures — such as documentation or markers — when historically significant properties must be demolished to address health and safety hazards, easing an absolute prohibition that currently blocks some projects from state grant eligibility, proponents told the committee.

Senator Bob Anderson introduced LB 883 at the request of the Nebraska State Historical Society, saying the bill would reduce regulatory burdens and allow mitigation when historic properties must be demolished for public safety. "This is a common sense bill which will reduce regulatory burden for communities and provide for effective disposition of historical properties," Anderson said.

Michael Sothan, deputy State Historic Preservation Officer, testified that current statutes prevent use of CCCFF or Revitalized Rural Nebraska Grant Program funds for properties listed or eligible for the National Register even when a building is a health or safety hazard. Under LB 883, mitigation activities tailored to the community — documentation of the resource, historic markers or other commemorative measures — would make demolition an option while preserving public benefit. "Mitigation is not intended to be punitive or cost prohibitive, but to ensure a public benefit and uses that last resort," Sothan said.

Committee members asked whether the grants primarily cover commercial or residential properties; witnesses said most projects seen under CCCFF are commercial, including dilapidated industrial facades or theaters. Questions also focused on cash-fund distributions and whether the Historic Preservation Office could cover review work; witnesses said agencies could cover modest review costs from grant funds and that the bill is intended to align state practice with federal norms such as the National Historic Preservation Act.

Proponents, including the League of Nebraska Municipalities, urged the committee to advance the bill; Senator Anderson closed the hearing and the committee concluded hearings for the day.