LINCOLN- An amended form of last year's LB600, an economic development bill designed to help cities such as Grand Island and Ralston, moved forward on Tuesday despite concerns over the bill's $10 million fiscal impact. The measure was touted as a way to help Grand Island extend sewer and water infrastructure to the site of the former Cornhusker Ammunition Plant, thereby making the area more attractive to new businesses.

If passed, LB600 would allow communities with less than 100,000 inhabitants to obtain state grants of up to $5 million for infrastructure projects. However, communities must first demonstrate to the state the benefits of the proposed projects and provide a 25% financial match. While state lawmakers voted 41-0 to advance the bill, Sen. Rob Clements questions whether the initial $10 million in state funding for grants would even be available.

"Today, I'm not in support of that funding," Clements said during debate, "We'll see how we are in budgeting close to the end of the session." LB600, introduced by Sen. Loren Lippincott, would transfer the $10 million out of the state's cash reserve fund and into a "municipality infrastructure fund" administered by the Department of Economic Development.

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