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Atkinson council denies LB840 demolition grant; economic development director urges program review
Summary
Councilors denied LB840-148, a demolition grant for Lazy F Ranch, citing applicant ineligibility and rebuild-timeline problems; Economic Development Director Cheye Young told the council LB840 guidelines need review to ensure compliance with state statute or risk losing the program.
The Atkinson Mayor and Council on Aug. 5 denied LB840-148, a Property Improvement Program demolition grant requested by Lazy F Ranch, Inc.
Moved by Councilor Helen Olson and seconded by Jerry Osborne, the council voted to deny a grant that had been requested at an estimated $4,250. Under the terms considered, the grant would have covered 50% of the project cost, not to exceed $10,000, and would have been contingent on rebuilding a home for resale or rent within five years. Councilors found the applicant ineligible and determined the required rebuild timeline (an 18-month eligibility window referenced by the council) was not met.
Cheye Young, the city’s Economic Development Director, told the council that not all prior demolition grants appear to meet state statute eligibility and that both an eligible applicant and an eligible activity must be demonstrated to distribute LB840 funds. "If we do not comply with the state statutes, we could lose our LB840 program," Young said, and she reported she is working with City Attorney Michael Sholes and an LB840 attorney in Ord, Nebraska, to update the city’s LB840 guidelines (last reviewed in 2020).
The council’s minutes record the denial; the decision leaves open administrative work to clarify eligibility criteria for future LB840 disbursements and to bring the program into statutory compliance.
