GRAND ISLAND, Neb. (AP) — The Grand Island City Council has rezoned 100 acres of land at two highways and has authorized $28.7 million of tax-increment financing for a new development that includes the construction of a second hospital in the city.

Prataria Ventures, a subsidiary of Chief Industries, proposed the Prairie Commons project’s first phase, which would cost $126 million for a 64-bed hospital, a three-story medical office building and 110-bed hotel and conference center. The structures would all be connected with walkways.

Councilman Mark Stelk says having additional health care options and development in the community is vital.

But Councilman Roger Steele says he thinks Chief Industries is relying too much on public support and that public funds should only be used for essential costs.