This bill amends the Community Development Law in Nebraska to refine definitions and provisions concerning redevelopment plans, blighted areas, and tax-increment financing. Notable changes include the introduction of the term "effective date of the redevelopment project," which marks the approval date by the governing body, and a more stringent definition of "blighted area," now requiring at least one uninhabitable structure as determined by an inspector. The bill also imposes limitations on how much of a city's area can be designated as blighted, depending on the city's class, and establishes annual reporting requirements for cities with approved redevelopment plans, enhancing transparency regarding tax-increment financing.

Additionally, the bill clarifies legislative intent regarding the constitutionality of its provisions, ensuring that if any part is found unconstitutional, the remaining sections remain valid. It grants cities or authorities all incidental powers necessary for the law's implementation and modifies the ad valorem tax division process to prevent excess funds from being misallocated. Key stipulations include redirecting excess revenue to the taxing entity once a redevelopment project is paid off and requiring majority voter approval for tax divisions related to public transportation projects. Overall, the bill aims to prevent misuse of the Community Development Law by tightening the criteria for declaring areas as blighted and clarifying financial definitions related to redevelopment.

Statutes affected:
Introduced: 18-2101, 18-2103, 18-2117.01, 18-2143, 18-2147, 18-2148, 18-2150, 18-2153