Omaha officials are wasting little time in building the bureaucratic foundation needed to move multiple massive development projects forward.
Currently in the works are plans for a streetcar system, a downtown Mutual of Omaha skyscraper, the relocation of the city's main library, and a philanthropically funded new central library.
Here’s a timeline of how the projects have unfolded.Â
Sept. 8, 2021: The World-Herald that the W. Dale Clark Library will likely be demolished, and a new, philanthropically-funded library will likely be built near 72nd and Dodge Streets.Â
Heritage Services, an Omaha philanthropy group behind numerous major civic projects since 1990, had been in discussions with the city about the future of Omaha’s 12 public libraries.
City officials stressed that the proposed demolition of the downtown W. Dale Clark Library would happen regardless of Heritage’s possible involvement in a new central library.
People are also reading…
Library officials said the W. Dale Clark, which opened to the public in March 1977, had reached the end of its useful life.
Around the same time, separate private discussions of a potential Mutual of Omaha project downtown brought the Greater Omaha Chamber's Urban Core Committee to seriously consider the possibility of a streetcar system that would link downtown to midtown.
Nov. 1, 2021: Library officials confirmed to The World-Herald that the Heritage-funded tech library Do Space would likely be demolished. Clearing its location on the southwest corner of 72nd and Dodge would create a space for a new central library.Â
The new library, expected to cost upward of $100 million, would be funded through Heritage's fundraising efforts.Â
Nov. 23, 2021:Â Omaha Mayor Jean Stothert publicly announced the city's intent to move the administrative and public services of the W. Dale Clark Library, demolish the building, and make the location available for an undisclosed development.Â
The plan called for library services to move to 1401 Jones St., where the city will lease a building for $465,000 a year on a 10-year lease, with an option to opt out of the lease or purchase the building after five years.
The building will need to be renovated, which is expected to cost $3 million — an expense split by the city and the building’s current owner, White Lotus Group.
Administrative offices and distribution will move to a former Shopko store at 84th and Frederick Streets. The city will pay $500,000 to remodel that space and $405,000 per year to lease it under a 10-year lease.
Jan. 20, 2022: The Omaha Public Library Board of Trustees approved the lease agreements needed for the relocation of the W. Dale Clark Library's public and administrative services to 1401 Jones St. and 84th and Frederick Streets.
Jan. 26, 2022: City officials revealed plans for a Mutual of Omaha skyscraper to rise on the site of the W. Dale Clark Library, and the creation of a streetcar system.Â
Plans called for construction to begin on both projects by next year, with both open and functioning by 2026.
Mutual CEO James Blackledge said the city’s commitment to a modern streetcar line was critical to the decision of the Fortune 500 company to relocate in the heart of downtown.
As proposed, the streetcar will operate along a 3-mile route using 5.5 track miles. The line travels along Farnam and Harney Streets from 10th Street to 42nd Street and along 10th Street between Harney and Cass Streets.
The cost of building and launching the system is estimated at $225 million, but because federal guidelines call for a 35% contingency in case of unexpected costs, the city would need to raise $306 million.
Funding for the project would come from private placement bonds sold by the city. The buyers of those bonds would assume any financial risks on the project.Â
The bonds would then be paid off through the use of a special tax-increment financing district set to run along the streetcar route.Â
If this financing plan works as intended, new developments along the streetcar route would eventually pay off the construction costs of the project.Â
Feb. 1, 2022: The Omaha City Council approved lease agreements for the move of the downtown library — one of the final steps needed before the move could begin.
The votes came after more than two hours of questions and debate, with some council members vocally expressing frustration over a process they felt moved too quickly and with little public transparency.Â
Separately, council unanimously agreed to pay local development company Noddle Co. $390,000 to manage the move of W. Dale Clark. That work will include soliciting proposals for design, construction and relocation services. Those proposals will ultimately require approval by the city.
March 15, 2022: The Omaha City Council approved an agreement that placed HDR in charge of designing the city’s new downtown library branch and distribution center.
The local architecture and engineering firm will be paid $494,614 to design the improvements needed for Omaha’s new library locations at 1401 Jones St. and 84th and Frederick Streets. Â
March 29, 2022: The City Council unanimously agreed to pay public finance consulting firm MuniCap Inc. up to $100,000 for its analysis of the city’s financial plan for the streetcar. And council members heard testimony on a proposed Omaha Streetcar Authority.
The authority, a joint entity between Metro and the city, would be tasked with designing, maintaining and eventually operating the streetcar.
The city plans to issue special revenue bonds and private placement bonds to pay for the system’s construction. The buyers of those bonds will be repaid using money generated by tax-increment financing (TIF). Officials estimate the TIF to generate $354 million — more than enough to pay for construction of the streetcar.
MuniCap will research the proposed TIF boundaries and revenue projections, and eventually provide the city with a full analysis on the financial plan's feasibility.Â
April 5, 2022: The City Council approved formation of the Omaha Streetcar Authority.Â
May 10, 2022: Officials announced that Mutual’s new headquarters, originally estimated at $443 million, is now expected to cost about $600 million.
The City Council approved the project’s redevelopment agreement, which sets out the rights and obligations of both Mutual and the city.
Under the agreement, Mutual of Omaha will acquire an additional downtown block as part of its headquarters project, while the city of Omaha will pay $99 million to purchase the 2,200-space parking garage that’s part of the new skyscraper.
The city will then charge Mutual to lease parking for its employees. The parking spots will be available for public uses outside the workday.
The city will also acquire and operate for public use the three parking garages on the current Mutual of Omaha campus in midtown for $53 million. As with the downtown Mutual garage, the city would finance the purchase over time with bonds and would charge the public for use.
Mutual’s original acquisition of the block where the W. Dale Clark Library currently sits was made through a deal with Lanoha Real Estate Co. In exchange for the library property, the city will be granted ownership of a Lanoha-owned site at 14th and Dodge Streets.
May 16, 2022:Â The Omaha Streetcar Authority met for the first time.Â
During its first meeting, Jay Noddle, of local development company Noddle Co., was selected as president and Bob Stubbe, Omaha Public Works director, was selected as vice president. Other members include Steve Curtiss, city finance director; David Fanslau, city planning director; Lauren Cencic, CEO of Metro; Edith Simpson, Metro legal director; and William Clingman, Metro finance director.
May 19, 2022: The philanthropic group Heritage released design proposals for the new central library at 72nd and Dodge.
Officials also announced the city would pay $20 million toward construction costs of the project, take ownership and then operate the library as part of its current library system.
The new library could open by 2025.
June 16, 2022: The Omaha Public Library Board approved the formation of an advisory committee that will make recommendations on future library operations, including the proposed construction of the Heritage-funded new central library.Â
Library Board members and city officials said the move would bring diverse expertise to the shaping of future library operations.
But critics asserted that the committee's formation granted too much control and long-term influence to Heritage.
The 10-member committee includes city and library officials, the CEO of Do Space and a representative from the Community Information Trust, a nonprofit created by Heritage to oversee Do Space operations.Â
The committee will define and recommend priorities for the new library and the overall public library system, including potential revisions to the “library’s mission, vision and values as determined through the Advisory Committee research, Library Strategic Plans and input from stakeholders,†according to the resolution.
June 28, 2022: The Omaha City Council approved an agreement between the city and the Streetcar Authority for the approval of a special TIF district that would allocate up to $354 million in TIF to help fund the streetcar project.
Approval came despite the lack of a final analysis from MuniCap on the proposed streetcar financial plan. Multiple council members previously said they had hoped to have the analysis in hand before voting on the redevelopment agreement.
MuniCap did provide council members with an initial summary of findings that show it has so far found the financial feasibility of the plan to be in line with what the city predicted.
City Council members also approved a nearly $700,000 contract with with Cox Contracting for the demolition of the W. Dale Clark Library.