2084ORDINANCE NO. 2084
COUNCIL MEMBER ABBOTT INTRODUCED THE FOLLOWING ORDINANCE:
AN ORDINANCE TO AMENDING SEC. 14 -201 THRU SEC. 14 -210 OF THE BLAIR
MUNICIPAL CODE BY ADDING LANGUAGE RELATING TO THE ADOPTED ECONOMIC
DEVELOPMENT PROGRAM FOR THE CITY OF BLAIR APPROVED BY THE CITIZENS OF
BLAIR, REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT
HEREWITH AND PROVIDING WHEN THIS ORDINANCE SHALL BE IN FULL FORCE AND
EFFECT.
BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF BLAIR,
NEBRASKA:
SECTION 1: That pursuant to the vote of the electorate of the City of Blair, Nebraska at the
election held on May 9, 2006, and pursuant to Sec. 18 -2701 et seq., known as the Local
Option Economic Development Act, the City of Blair Municipal Code Sec. 14 -201 thru 14-
210 shall be amended relating to the Economic Development Program. (See proposed code
sections attached hereto as Exhibit A and fully incorporated herein by reference.)
SECTION 2: That the new language under Sec. 14 -201 thru Sec. 14 -210 shall be added to
the Blair Municipal Code to effectuate this intent. (See proposed code sections attached
hereto as Exhibit A and fully incorporated herein by reference.)
SECTION 3: That this Ordinance shall be in full force and effect ten (10) days from
publication of this ordinance and if any provision of this ordinance or its application to any
person or circumstances shall be held invalid, the remainder of the ordinance, or the
application of the provisions to other persons or circumstances, shall not be affected.
Passed and approved this 22nd day of August, 2006.
CITY OF BLAIR, NEBRASKA
E. REALPH, MAYOR
ATTEST:
/) /
B ' DA R. WHEELER, CITY CLERK
(SEAL)
STATE OF NEBRASKA
COUNTY OF WASHINGTON
) SS
BRENDA R. WHEELER hereby certifies that she is the duly appointed, qualified and acting
City Clerk of the City of Blair, Nebraska and that the above and foregoing Ordinance was passed at a
regular meeting of the Mayor and City Council of said City held on the 22nd day of August, 2006.
BRENDA WHEELER, CITY CLERK
Article 2. Economic Development Program
(Article 2 adopted in the form of Ordinance No. 2084 passed August 22, 2006)
Sec. 14 -201. ECONOMIC DEVELOPMENT PROGRAM. An Economic Development Program
for the City of Blair is hereby established to create jobs and generate employment opportunities
within the labor market of Blair and Washington County, to attract new retail businesses, to attract
new capital investment to the community, to broaden the tax base and provide economic
diversification to ensure economic stability and vitality for the community of Blair and the
surrounding area.
Sec. 14 -202. ECONOMIC DEVELOPMENT PROGRAM, OUALIFYING BUSINESS. A
qualifying business under the Blair Economic Development Plan shall mean any corporation,
partnership, limited liability company, or sole proprietorship which derives its principal source of
income from any of the following: retail; the manufacturing of articles of commerce; the conduct of
research and development; the processing, storage, transport or sale of goods or commodities which
are sold or traded in interstate commerce; the sale of services in interstate commerce; headquarter
facilities relating to eligible activities as listed in this section; telecommunications activities;
tourism- related activities; any other business deemed as a qualifying business in the Local Option
Municipal Economic Development Act or through future action of the Nebraska legislature.
A qualifying business does not have to be located within the territorial boundaries of the city
if the Blair City Council determines that there is a clear economic benefit to the city, but it must be
located in the City's two -mile extraterritorial jurisdiction or on land held in the name of the city.
Eligible qualifying businesses may apply more than once and receive program benefits more than
once.
Sec. 14 -203. ECONOMIC DEVELOPMENT PROGRAM. DEFINITIONS. "City" shall mean
the City of Blair, Nebraska. "Financial institution" means a state or federally chartered bank, a
capital stock state building and loan association, a capital stock federal savings and loan association,
a capital stock federal savings bank, a federally insured capital stock industrial loan and investment
company, and a capital stock state savings bank.
Sec. 14 -204. ECONOMIC DEVELOPMENT PROGRAM, FUNDING. Funding for the
Economic Development Program is hereby limited to revenue from the local option City Sales and
Use Tax. Miscellaneous revenues and funds, including but not limited to repayment of loans, return
on investments, fees for activities such as loan guarantees, and sales proceeds from properties, may
continue to be used for activities contained within this Economic Development Program during the
life of this program.
The City of Blair shall establish an Economic Development Fund and shall contribute an
amount not to exceed one -tenth of one percent (0.1 %) of the taxable valuation of the city per year for
the life of the program, as appropriated annually by the City Council. The annual amount of local
option sales tax to be placed into this fund shall be included in the City of Blair's budget each year
and approved by the Blair City Council. Any proceeds from the issuance of bonds to provide funds
to carry out this Economic Development Program and any proceeds from land or building sales
associated with this Economic Development Program shall be deposited in this fund. The City of
Blair shall not transfer or remove funds other than for the specific uses outlined in this program
during the life of this program.
The Blair City Council may authorize the issuance of bonds to carry out the Economic
Development Program. Future contributions of the local option City Sales and Use Tax into the
Economic Development Fund shall be used to payoff these bonds.
Sec. 14 -205. ECONOMIC DEVELOPMENT PROGRAM, AUDIT. The Economic Development
Program shall be audited annually by an outside independent qualified private auditing business.
The auditing business shall not, at the time of the audit or for any period during the term subject to
the audit, have any contractual or business relationship with any qualifying business receiving funds
or assistant under the Economic Development Program or any financial institution directly involved
with a qualifying business receiving funds or assistance under the Economic Development Program.
The results of such audit shall be filed with the City Clerk and shall be available for public review
during normal business hours.
Sec. 14 -206. ECONOMIC DEVELOPMENT PROGRAM, DURATION. The Economic
Development Program as established hereby shall be in existence for a period of twenty (20) years
commencing on June 1, 2006, and shall terminate on September 30, 2025.
Sec. 14 -207. ECONOMIC DEVELOPMENT PROGRAM, EXPENDITURE OF FUNDS. The
priority expenditure of funds under the Economic Development Program may include, but shall not
be limited to the following.
1) The purchase of real estate, options for such purchases and the renewal or extension of such
options.
2) Expenses for business recruitment activities.
3) Expenses for attracting and locating a qualifying business into the area.
4) Equity investment or loan guarantees in a qualifying business.
5) The authority to issue bonds pursuant to the act.
6) Grants or agreements for job training.
7) Small business development, including expansion of existing businesses.
8) 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 Blair
recognizes that the attraction of new businesses to a community or the expansion of existing
businesses takes place in a very competitive market place. In order to keep Blair as
competitive as possible in that market place, 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 under the Local Option Municipal Economic Development Act.
9) 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 Blair's Economic Development Program. This
program is written with the intent that future changes to the Act which are beneficial to the
City and citizens of Blair are expressly included in this program. Funds may also be used for
eligible projects or programs for businesses which are expanding or which are locating in
Blair directly or indirectly. Funds may also be used to provide infrastructure to sites for new
or expanding businesses and may include, but shall not be limited to streets, stoiiii drainage,
water mains and lines, sewer mains, gas lines, electric facilities or railroad extensions. Such
infrastructure improvements and costs may extend beyond the corporate limits of Blair.
Funds may also be used to construct facilities, structures, and /or appurtenance for new or
proposed development or on a speculative basis to attract new business or industry and such
facilities and structures shall not be required to be within the corporate limits of Blair.
Sec. 14-208. ECONOMIC DEVELOPMENT PROGRAM. ADMINISTRATION. The City of
Blair shall contract with Gateway Development Corporation, a non -profit economic development
organization, to administer this Economic Development Program. Gateway Development
Corporation, in conjunction with the Mayor of Blair and the Blair City Council, will develop an
Advisory Committee to administer the application process of the program. The committee shall
consist of seven (7) residents from the City of Blair who shall be appointed by the Mayor of Blair
subject to approval from the Blair City Council. At least one member of the committee shall have
expertise in the field of business fmance or accounting. The Mayor of Blair, with the approval of the
Blair City Council, will designate an appropriate City Official to assist in the administration of the
Economic Development Program and also serve on the Advisory Committee as an ex- officio
member. The City Official will be responsible for providing assistance, information and advice on
the Economic Development Program. Also serving on the Advisory Committee as an ex- officio
member will be Gateway Development Corporation's Executive Director, who will serve as the
Economic Development Program Administrator.
It is the intent of the Economic Development Program that the majority of the funds are used to
support eligible activities and that only a minimal amount is spent on administrative costs. The
administration of this program will be shared by three separate entities. The entities are as follows.
Program Administrator — Gateway Development Corporation's Executive Director
1. Will be responsible for the day -to -day operations of the program.
2. Will assist applicants and recruit potential applicants.
3. Will serve as an ex- officio, non - voting member of the Advisory Committee and will provide
the Advisory Committee with all necessary advice and information.
Advisory Committee
1. The Advisory Committee will be comprised of seven (7) residents from the City of Blair.
The Mayor of Blair will appoint the committee members after receiving approval from the
Blair City Council. Advisory Committee members may not be elected or appointed officials,
employees of the City of Blair, an official or employee of any qualifying business receiving
financial assistance under this Economic Development Program or an official or employee of
any financial institution participating directly in the Economic Development Program. The
committee will have at least one individual with expertise or experience in the field of
business finance or accounting. The Advisory Committee will also have a Blair City Official
and a representative from Gateway Development Corporation serving as ex- officio members.
2. The Advisory Committee will meet as needed to review and approve /disapprove applications
using the standard criteria set forth previously in the application process. The Committee will
also meet on a quarterly basis to review the progress of the Economic Development Program.
The committee will present findings and suggestions to the Blair City Council on a semi-
annual basis.
Blair City Council
1. Will have final authority on expenditure of funds in support of the economic development
program.
2. Will contract with Gateway Development Corporation to act as Program Administrator and
will approve the membership of the Advisory Committee.
3. Will have ultimate responsibility for the Economic Development Program.
Sec. 14 -209. ECONOMIC DEVELOPMENT PROGRAM, APPLICATION PROCESS. To be
considered for financial assistance through Blair's Economic Development Program, applicants must
provide the following information.
1. A detailed description of the proposed project.
2. A business plan that includes employment and financial projections, current financial
statements, financing requirements for the project and total projected costs.
3. A complete City of Blair Local Option Municipal Economic Development Program
application.
In determining eligibility, additional information may be requested by Gateway Development
Corporation and the Blair City Council. The Advisory Committee will review applications in the
order they are received. Approval /disapproval of an application will be based on project feasibility
and the potential future economic benefit that the project will provide to the community.
Applications that are approved by the Advisory Committee will be subject to a financial verification
process that will be completed by Gateway Development Corporation. The financial verification
process will be completed prior to the application being presented to the Blair City Council for
approval. Once the Advisory Committee approves an application and the fmancial verification
process is complete, Gateway Development Corporation or a designated representative will present
the application to the Blair City Council for approval. The Blair City Council will use the same
qualification requirements as the Advisory Committee used for the initial approval process. Once
approved, the Blair City Council will notify Gateway Development Corporation or the designated
representative of their decision and provide a suitable timeframe to disburse funds that meet the
requirements of the applicant. Gateway Development Corporation will be responsible to execute the
agreements made between the applicant and the City of Blair. Gateway Development Corporation
will also be responsible to report to applicants whose applications have been disapproved.
To ensure applicant confidentiality, the following measures will be instituted and enforced.
1. Each member of the Advisory Committee (including ex- officio members) will sign a
"Statement of Confidentiality ".
2. Applicant's business and financial information will be available to the Advisory Committee
during the approval /disapproval process only. After the approval /disapproval process,
Gateway Development Corporation will keep all permanent files and records. Access to these
files and records will be limited and on a need to know basis only.
3. Gateway Development Corporation, in conjunction with the Advisory Committee, will
establish procedures to ensure that the municipality and the qualifying business are meeting
all applicable laws, regulations and requirements. These procedures are subject to review and
approval by the Blair City Council.
4. Gateway Development Corporation and /or the Advisory Committee may utilize the services
of the City Attorney to review contracts, official documents, land transaction procedures or any other
official actions as deemed necessary. Separate counsel may also be retained with the permission of
the Blair City Council.
Sec. 14 -210. ECONOMIC DEVELOPMENT PROGRAM, REAL ESTATE CRITERIA. The
following criteria shall be applied for the purchase of or option to purchase real estate:
1. The property shall be properly zoned without any excessive easements, covenants or other
encumbrances.
2. The property shall conform to the City or County's Comprehensive Plan.
3. Selection of sites shall be based upon sound economic development location criteria or
specifications for special projects.
4. All purchases and options for purchase shall be approved by the Economic Development
Program Advisory Committee and the City Council.
Proceeds from the sale of real property purchased pursuant to the Economic Development Program
shall be returned to the City of Blair's Economic Development Fund for future use.