LINCOLN, Neb. (KMTV) — An ambitious and wide-ranging plan to inject hundreds of millions of dollars into North and South Omaha, aiming to transform those communities, advanced in the Unicameral on Tuesday.
“I can’t tell you how many times I’ve been asked, ‘What can be done to shift the tide in North Omaha or how help can be given?' Listen to me carefully, this is it,” said Sen. Terrell McKinney, representing northeast Omaha.
The bill was originally a North Omaha bill that got blended into an east Omaha recovery bill, adding some of the lowest income parts of South Omaha.
It would inject hundreds of millions of dollars into economic development, jobs and housing.
“We are looking to change North Omaha for the best and the economic impact is over $1 billion starting year one,” said Sen. Justin Wayne.
This plan would send $450 million to east Omaha for jobs, major economic development — especially by the airport, and affordable housing.
“Largely what we’ve done even in the south side, is we give to everybody a little bit. Doesn’t work. What we need to do is invest in large things,” said Sen. Tony Vargas, who represents portions of South Omaha.
Because these communities are some of the lowest income in the state, with North Omaha experiencing redlining and economic neglect decades ago, the plan had no opponents.
But the debate is over where the money will come from.
The Appropriations Committee called for $160 million of federal money, stemming from the $1 billion the state got from the American Rescue Plan to go towards east Omaha recovery, but most of the rest of the plan is not budgeted.
“I think we have to have a real conversation about how we’re going to spend the money here,” said Sen. Mike Flood.
Wayne said the money can come from cash reserves, which serve as Nebraska’s savings account, or come from the state’s general fund.
“I don’t really care where the money comes from,” said Wayne.
He also sharply questions why he’s being asked by Flood to explain every dollar in the plan.
“For three days he didn’t say one damn thing about the budget. Talked a little about the prison, but didn’t ask where a dime went into the budget. But when it comes to North Omaha and black people, let's figure out where every dollar is going,” said Wayne.
Sen. Anna Wishart, one of nine members who helped create the budget on the Appropriations Committee, doesn't want to use the money from the cash reserves. She says it should stay at around $1.4 billion, fearing future rainy days.
“The direction that we’re going is going to spend down our entire savings account,” said Wishart.
Wayne and other members of the legislature will go behind the scenes and figure where they can possibly pull more money from.
With the session winding down it won’t be too long until another vote comes up on this bill.
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