Novel financing being used to build huge grain elevator in central Nebraska

A nearly four million bushel grain elevator facility will soon be built in central Nebraska with the assistance of a special bond package never used in Nebraska before.
The Andersons, Inc. of Ohio hopes to have the 3.8 million bushel facility near Anselmo in Custer County operational by the 2012 harvest. The Custer County Board of Supervisors has given the go-ahead for The Andersons to use Tax Exempt Industrial Development Bonds through the Midwestern Disaster Area Bond Program. The Heartland Disaster Tax Relief Act of 2008 made the bonds available to 12 Nebraska counties.
According to the W.R. Taylor & Company, LLC Investment Banking Company working with The Andersons, this is the first time that these bonds have been used in Nebraska. An application will be made with Gov. Dave Heineman’s office for approximately $20 million in bonds. The total cost of construction is estimated at $22 million.
The elevator will be located along the main line of the Burlington Northern Railroad. It will feature both train and truck loading docks.
Julie Toline with KCNI/KBBN contributed to this report.