Gretna Good Life District
The Wording
BALLOT QUESTION
Shall the City of Gretna be authorized to establish a good life district economic development program for any area within the City which is included in a good life district established pursuant to the Good Life Transformational Projects Act, and shall the City be authorized to appropriate the local sources of revenue collected within such good life district program area, which may include local option sales and use taxes and occupation taxes collected within such good life district program area, established pursuant to and as permitted by the Good Life District Economic Development Act; provided that the City shall not appropriate property taxes to such program, and shall not appropriate local option sales and use tax or occupation tax collected from outside the good life district program area to such program?
VOTE FOR or AGAINST
( ) I vote FOR authorizing the City to establish a good life district economic development program and impose and appropriate local sources of revenue to such program.
( ) I vote AGAINST authorizing the City to establish a good life district economic development program and impose and appropriate local sources of revenue to such program.
Electors voting in favor of the proposition shall blacken the oval opposite the words “I vote FOR” following such proposition, and electors voting against such proposition shall blacken the oval opposite the words “I vote AGAINST” following the proposition.
If a majority of the votes cast upon such question shall be in favor, then the governing body of the City of Gretna shall be empowered to establish and implement a good life district economic development program and impose and appropriate the local sources of revenue upon the terms and conditions contained in the Good Life District Economic Development Act.
50.36% approved with 33.91% voter turnout (mail-in). 15 votes difference.
Our Explanation
Establishing A Good Life District Economic Development Program
Good Life Districts, passed by NE Legislature in 2023, and amended in 2024, are areas which receive tax incentives to support businesses with development. Good Life Districts invest in the following goals: keep Nebraskan spending within the state; create jobs for Nebraskans; and bring in out-of-state visitors. To qualify, a developer must show that their project will bring in at least 20% of income from out-of-state visitors. They must generate a minimum amount of revenue and create a minimum number of new jobs (with the amount depending on the size of the municipality or locality in which the District is located). Districts are encouraged to include hotels, housing, restaurants, shopping (especially retailers who have not previously operated in Nebraska), and youth sports complexes.
Once the State approves a Good Life District, the State collects only half its 5.5% sales tax rate for sales within that district, freeing an extra 2.75% of tax income for development. The State intends for the other 2.75% to be collected by the local municipality to administer an economic program. However, for the municipality to be able to collect the 2.75%, its voters must approve.
Nebraska has approved Nebraska Crossing in Gretna as a good life district, and is already charging only half its sales tax there. However, Gretna cannot collect the other half of the sales tax until voters approve it.
If voters approve, Gretna will start collecting the 2.75% tax revenue from the Nebraska Crossing Good Life District, and will create and implement a Good Life District Economic Development Program. The program would provide definition and accountability so that multiple developers can apply for funding. Gretna would be authorized to issue bonds, create contracts, administer the program, and meet its own need to provide infrastructure. Gretna will not be allowed to use this money for any purpose outside the Good Life District. Gretna’s current 2% sales tax will still be charged both within and without the district. However, Gretna will not be permitted to use any sales tax money collected outside the district for the district. Gretna will also not be able to use any property tax money for the Good Life District.
Why is Gretna asking for this money? The City is required to provide infrastructure for the new development. Also, only developers who currently sell in the Good Life District receive benefit because they are the only ones who can collect any sales tax. Other developers have no way to access funding to buy, build, or renovate because without voter approval and the extra financing, Gretna is not permitted to sell bonds or establish contracts with them. Gretna estimates that it could be collecting $300 to $500 thousand per month for these purposes. If voters approve the Good Life District Economic Development Plan, Gretna envisions the inclusion of other developers, as well as revenue to meet its own obligations. Some voters, however, express concerns that they do not see benefits for Gretna’s citizens through the development that has happened so far in Nebraska Crossing.
- A vote FOR means that a Good Life District Economic Development Plan will be established, allowing the City of Gretna to collect and use 2.75% sales tax generated in the Nebraska Crossing Good Life District, and charge occupation tax in the district, to support developers within the district through bonds and contracts, while meeting the City’s own costs.
- A vote AGAINST means that Gretna may not establish a Good Life District Economic Development Plan for Nebraska Crossing. Nebraska’s state sales tax will remain at 2.75% within the district, but the city will not be able to collect the other 2.75% and will have less flexibility and fewer resources to support Nebraska Crossing’s development.