The community of Elgin’s future took a big step forward Monday night.
Following a brief presentation by Todd Heithoff, representing the LB840 committee, the Elgin City Council gave their unanimous support to put on the general election ballot in November whether or not to add a 0.5 percent increase to the city sales tax. The revenue collected will be used solely for economic development. Council members Leigh Kluthe, Craig Niewohner, Mike Dworak and Jeremy Young voted ‘yes’ on Resolution 2026-1 to adopt the economic development plan.
If passed in November, it will go into effect in mid-July 2027. In 2028, the first full year for the additional sales tax it is estimated to generate nearly $66,000 annually over a 20-year span. The number was based on a 10-year average of sales tax funds collected in Elgin.
That number is an approximate number, meaning it could fluctuate, some years higher and some lower.
Leading up to Monday night’s meeting, Heithoff said the committee held two public meetings and heard “nothing but positives” about the initiative. Also, a community survey was taken to determine which issues concern Elgin residents the most.
Now that the vote has been taken, the next step will be for City Clerk Kristin Childers to get the necessary paperwork to the courthouse in Neligh so that it gets on the November ballot.
Based on state law regarding LB840, only registered voters inside the city limits of Elgin will be eligible to vote.
In Nebraska, communities may use local economic development programs such as LB840 to support a range of activities, including housing development, rehabilitation of existing homes, infrastructure improvements, and partnerships with private developers.
In communities experiencing housing shortages or workforce challenges, these programs are sometimes used to help increase housing supply or improve existing housing conditions.



