KEARNEY, Neb. — The City of Kearney is getting a major boost to its economic development efforts by being one of the select communities to pick up a special state designation.

The city announced Monday that it will be the fifth and final Good Life District in Nebraska. The new initiative created by the Nebraska Legislature is meant to spur development for large-scale projects. The state previously awarded Good Life Districts to Bellevue, Grand Island, Gretna and Omaha.

The designation means the state will give half of the sales tax receipts generated within the district to the city. The money is then eligible to be used on public infrastructure such as water, sewer, paving, parking facilities, greenspaces, landscaping, and other elements. The special tax arrangement can be in place for up to 30 years.  The state hopes the cities with Good Life Districts will leverage the money to attract developers.

“Kearney has long been a hub of progress and opportunity, and receiving this final Good Life District designation reinforces our community’s role as a leader in Nebraska’s future,” Mayor Jonathan Nikkila said in a statement. “We look forward to leveraging these resources to drive growth, create jobs, and enhance the vibrant quality of life that makes Kearney unique.”

The Kearney Good Life District includes 200 acres of vacant land surrounding the new Kearney SportsPlex. The area is immediately west of the existing hospitality district and the under-construction Younes Landing project.

The city didn’t explicitly say what the district will include, but listed some possibilities as expanded tourism and retail offerings, entertainment and destination attractions and high-density housing projects.

* Editor's Note: This article previously described the way the Good Life District used to operate, in which cities replaced half of the state sales tax with their own tax. The system now works as described above. The state collects the sales tax and gives half of the receipts to the city.