
Hastings, Nebraska Development News
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City Council Worksession - Media
Published: Jul 20, 2026
Hastings Utilities Proposes Water Rate Hikes, Explores Solar Expansion Amid Infrastructure Challenges
Hastings Utilities presented a comprehensive update on its financial status and capital improvement plans, focusing on rate adjustments, a potential phase three solar project, and the ongoing challenges with water and wastewater infrastructure. A cost of service study recommended 1.5% annual increases for water rates over four years to avoid larger hikes later, with a significant 10% annual increase proposed for the CMS area due to higher service costs. Wastewater rates are projected to remain stable for most customers, with a similar 10% increase for the CMS area. The utility is exploring a $25 million phase three solar project to take advantage of investment tax credits (ITCs), which could provide substantial savings. However, current solar panel prices have increased the payback period. The utility also discussed the aging generation fleet, investments in renewable energy (solar phases one and two), and the ongoing need for water infrastructure improvements, particularly related to lead service line replacement and addressing nitrate infiltration challenges. Wind energy was discussed but deemed less viable due to land constraints and usage patterns.
Hastings City Council Reviews Draft Budget Amidst Growing Financial Deficit and Revenue Concerns
The City of Hastings is undergoing its budget process for fiscal year 2027, with a draft presentation highlighting significant financial challenges, particularly within the general fund. The finance department projects a growing structural deficit, exacerbated by inflation, unfunded mandates, and stagnant revenue sources like property taxes and municipal equalization funds. The city is currently using one-time funds and cash reserves to balance the budget, a practice deemed unsustainable. Key revenue sources are property tax, sales tax, municipal equalization, and a dividend fee from the utilities. Expenses are largely driven by personnel costs and operating expenses across various departments. Capital requests for fiscal 2027 include items like jet hanger improvements and federal projects, with significant portions covered by grants but still requiring local funding. The presentation emphasized the need for a sustainable financial strategy, including potential adjustments to the property tax levy, while acknowledging state limitations on tax increases. The budget book is available for public review.
Senior Services Agency Faces Growing Demand and Funding Challenges, Explores New Center Concept
Midlands Area Agency on Aging Executive Director Casey Musick presented an overview of the agency's services and its operations in Adams County, highlighting the increasing demand for senior services and the financial challenges of meeting this demand. The agency provides a wide range of services, including case management, an aging and disability resource center, SHIP counseling, and support for in-home services, transportation, and nutrition programs. In 2025, they delivered nearly 88,000 home-delivered and congregate meals. Musick detailed the significant costs associated with these services and noted that 41% of clients in Adams County cannot afford the cost of living due to low income. The agency is facing space constraints at the Hastings Senior Center, particularly the small kitchen hindering meal preparation, and is exploring options such as an intergenerational community center to better serve the growing senior population and increase efficiency.
Hastings General Fund Faces Growing Structural Deficit, Projections Show Budget Imbalance Within Two Years
The City of Hastings' finance department presented a concerning outlook on the general fund, highlighting a growing structural deficit. Projections indicate that without significant changes, the city will be challenged to balance its budget within two years. Key revenue sources like property tax and the municipal equalization fund are either stagnant or declining, while rising costs due to inflation and unfunded mandates continue to increase expenses. The department stressed the unsustainability of using one-time funds and cash reserves to balance the budget annually, recommending a careful review of revenue and expenditure strategies, including potential adjustments to property taxes and fees. The presentation also detailed the breakdown of property tax allocation among various taxing entities, emphasizing that the city's portion is a smaller percentage of the overall tax bill.
Hastings Utilities Proposes Solar Project Amidst Fleet Modernization and Infrastructure Investments
Hastings Utilities presented a financial and operational update, highlighting the strategic decision to incorporate a phase three solar project into the budget. This project, estimated at $25 million, is driven by the opportunity to leverage investment tax credits (ITCs) before they expire, potentially covering 40% of the cost if completed by late 2029 and using American-made equipment. The utility emphasized the aging generation fleet, including coal units, and the need for diversification. While solar is currently the cheapest generation option, the payback period is extended by current panel prices. The utility also detailed progress on the Hastings Southeast Project, which came in under budget, and discussed improvements to the Don Henry quick-start plant. The presentation also covered gas, water, and sewer utility financials, with water facing challenges from unfunded mandates like lead service line replacement and nitrate infiltration, necessitating proposed rate increases.
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