With a struggling national economy, and U.S. banks and auto companies in danger of folding, some in Lincoln are still pushing ahead with plans for a possible new downtown arena to replace the Pershing Center.

Mayor Chris Beutler and University of Nebraska Athletic Director Tom Osborne addressed the community and local business leaders at a luncheon Wednesday, showing the latest plans for the arena development, that now take into consideration feedback from the public.

Osborne says even with the current national economy, the project could actually benefit.

"The downturn in the economy is a double-edged sword. One thing that will result from this is a little cheaper construction costs," said Osborne.

The economic downturn has caused concerns over the stability of International Stadia Group, a sports marketing giant interested in funding the project, which could save taxpayers millions. But Osborne says the company is still in a good position to invest.

"We're hoping that we can come up with about $160 million from ISG, which will be a private outside venture. And if we do that, then the amount of the bond issue will be much smaller," said Osborne.

President of Campbell's Nursery and Garden Centers Dick Campbell sits on the West Haymarket Action Team committee that supports the project. He says history shows this is actually the perfect time to invest in the future of Lincoln.

"If you historically look back, the citizens of this community and the state built the State Capitol Building during the Depression, and it was paid for when we got done. Pershing Auditorium was voted positively by the public and constructed during a similar economic time," said Campbell.

Mayor Beutler and Osborne say if ISG comes through, the rest of the money to fund the project would come from the university and the taxpayers of Lincoln, on which Beutler hopes to rely for approximately $30 to $50 million.

Supporters are saying that's a small amount compared to the benefits the arena could bring to the city.

Mayor Beutler says they're on schedule with the plans for the arena, and hope to present the final plans to City Council at the end of January.