Mayor Announces Ballot Initiative for Street Improvement Funding
Published on January 09, 2025
Sales tax continuation would prevent loss of millions in infrastructure investments
Mayor Leirion Gaylor Baird today announced she is working with City Council members to begin the process to place a ballot initiative before the voters on April 8 that would continue a funding initiative for street construction and improvements. The continuation of the Lincoln on the Move quarter-cent sales tax would generate an estimated $18 million annually for a projected total of $144 million for transportation infrastructure over eight years.
“If the quarter-cent sales tax is allowed to expire on September 30, 2025, Lincoln will lose $18 million dollars in annual street funding, which jeopardizes our community’s growth, our quality of life, and even our public safety,” said Mayor Gaylor Baird.
Mayor Gaylor Baird, supported by a coalition of leaders including the Lincoln Chamber of Commerce, Lincoln Fire and Rescue, Lincoln Independent Business Association, Lincoln Homebuilders Association and Lincoln Realtors, has worked with the City Council to place three items on the Council agenda for its January 13 meeting. The resolutions are as follows:
- To place the question on the primary election ballot on April 8 whether to renew the current quarter-cent sales tax for streets for an additional eight years
- If the sales tax is renewed, to freeze the inflationary adjustment for impact fees for eight years – similar to what occurred with the current sales tax program
- To create a new interlocal agreement with the Railroad Transportation Safety District to help fund final engineering and construction of the 33rd Street and Cornhusker Highway Intersection Improvement Project
A public hearing by the City Council for all three resolutions is scheduled for January 27. The City Council will vote on all initiative items on February 3.
Placing a local option sales tax on the ballot requires five votes on the Council. If approved by the Council, the measure would appear on the April 8 primary ballot to continue the City sales tax one-quarter cent for eight more years. If approved by voters April 8, the Lincoln on the Move program and tax continues from October 1, 2025, to the new expiration date on September 30, 2033.
The current Lincoln on the Move initiative is expected to generate nearly $102 million for additional street improvement and new street construction. The City anticipates the completion of 65 street improvement and new construction projects during the six-year initiative approved by voters in 2019.
To date, the City has invested $85.7 million in street improvements and new street construction through the Lincoln on the Move initiative. The City has implemented or completed 55 additional street improvement and new construction projects since the sales tax took effect in 2019.
Joining Mayor Gaylor Baird at the news conference were:
- Sändra Washington, City Council Chair
- Tom Beckius, City Council member
- Bennie Shobe, City Council member
- Liz Elliott, Lincoln Transportation and Utilities Director
- Dave Engler, Lincoln Fire and Rescue Chief
- Beau Daffer, Home Builders Association of Lincoln President
- Jason Ball, Lincoln Chamber of Commerce President and CEO
- Matt Kirkland, Realtors Association of Lincoln Board President
- Amy Eidenmiller, Advisory Committee on Transportation Co-Chair
Director Elliott said the City would lose $18 million annually for infrastructure spending if the Lincoln on the Move program is not continued. The total loss, she said, could be a projected $144 million in additional revenue over eight years for improvements to arterial and neighborhood streets.
“These are devastating numbers for our street program. Instead of completing 65 projects in six years, it would take us up to an estimated 22 years to complete the same number of projects without Lincoln on the Move,” Elliott said. “Going without the sales tax means a future with fewer street improvements, longer wait times for street projects, and higher street repair costs for everyone as interest rates and material costs climb.”
Chief Engler said the quarter cent sales tax in effect now benefits public safety because it enables first responders like police, paramedics, and firefighters to get to emergencies faster and safer. Loss of that funding could diminish Lincoln Fire and Rescue’s ability to keep families safe, he said, noting that Lincoln on the Move funding is especially important for improvements to railroad crossings that often delay first responders.
“New and resurfaced streets ensure that our firefighters shave off that extra minute or even 30 seconds that can make all the difference in those emergencies,” Engler said.
Both Daffer and Kirkland said the Lincoln on the Move sales tax has provided funding for streets, which are necessary infrastructure for increasing the inventory and supply of housing in Lincoln lowering the cost of all housing across the city.
“Affordable and safe housing attracts businesses to Lincoln, providing new job opportunities and strengthening our community. No new streets, no new houses,” Daffer said.
In addition to fostering job creation and economic growth, Ball said well-maintained streets also strengthen Lincoln's ability to attract tourism events, drawing more visitors who purchase local goods and services and boost sales tax revenue.
“Smooth, navigable streets are essential to a positive visitor experience,” Ball said. “If we want a good driving experience, if we want more homes built, if we want a growing economy – and that is decidedly what the business community desires – then Lincoln needs to continue to invest in its transportation networks.”
Washington encouraged community members to participate in the public hearing on January 27 regarding Lincoln streets.
“For many residents, streets are their number one priority,” Washington said. “Today's announcement will help ensure that our community members continue to have a say in the direction of Lincoln on the Move.”