70-101. Districts and corporations; furnish information; enforcement.

Notwithstanding any other provision of law regarding confidentiality of records, every district or corporation organized under Chapter 70 shall, upon request, furnish to any county attorney, any authorized attorney as defined in section 42-347, or the Department of Health and Human Services a utility service subscriber's name, social security number, and mailing and residence addresses only for the purposes of establishing and collecting child, spousal, and medical support and of conducting reviews under sections 43-512.12 to 43-512.18. Such information shall be used for no other purpose. An action may be filed in district court to enforce this section. For purposes of this section, utility service shall mean electrical, gas, water, telephone, garbage disposal, or waste disposal service.

Source:Laws 1994, LB 1224, § 82; Laws 1996, LB 1044, § 368; Laws 1997, LB 307, § 113.


Cross References

70-102. Repealed. Laws 1945, c. 154, § 1.

70-103. Repealed. Laws 1945, c. 154, § 1.

70-104. Repealed. Laws 1945, c. 154, § 1.

70-105. Repealed. Laws 1945, c. 154, § 1.

70-106. Repealed. Laws 1945, c. 154, § 1.

70-107. Repealed. Laws 1945, c. 154, § 1.

70-108. Repealed. Laws 1945, c. 154, § 1.

70-109. Repealed. Laws 1945, c. 154, § 1.

70-110. Repealed. Laws 1945, c. 154, § 1.

70-111. Repealed. Laws 1945, c. 154, § 1.

70-112. Repealed. Laws 1945, c. 154, § 1.

70-113. Repealed. Laws 1945, c. 154, § 1.

70-114. Repealed. Laws 1945, c. 154, § 1.

70-115. Repealed. Laws 1945, c. 154, § 1.

70-116. Repealed. Laws 1945, c. 154, § 1.

70-117. Repealed. Laws 1945, c. 154, § 1.

70-118. Repealed. Laws 1945, c. 154, § 1.

70-119. Repealed. Laws 1945, c. 154, § 1.

70-120. Repealed. Laws 1945, c. 154, § 1.

70-121. Repealed. Laws 1945, c. 154, § 1.

70-122. Repealed. Laws 1945, c. 154, § 1.

70-123. Repealed. Laws 1945, c. 154, § 1.

70-124. Repealed. Laws 1945, c. 154, § 1.

70-125. Repealed. Laws 1945, c. 154, § 1.

70-126. Repealed. Laws 1945, c. 154, § 1.

70-127. Repealed. Laws 1945, c. 154, § 1.

70-128. Repealed. Laws 1945, c. 154, § 1.

70-129. Repealed. Laws 1945, c. 154, § 1.

70-130. Repealed. Laws 1945, c. 154, § 1.

70-131. Repealed. Laws 1945, c. 154, § 1.

70-132. Repealed. Laws 1945, c. 154, § 1.

70-133. Repealed. Laws 1945, c. 154, § 1.

70-134. Repealed. Laws 1945, c. 154, § 1.

70-135. Repealed. Laws 1945, c. 154, § 1.

70-136. Repealed. Laws 1945, c. 154, § 1.

70-137. Repealed. Laws 1945, c. 154, § 1.

70-138. Repealed. Laws 1945, c. 154, § 1.

70-139. Repealed. Laws 1945, c. 154, § 1.

70-140. Repealed. Laws 1945, c. 154, § 1.

70-141. Repealed. Laws 1945, c. 154, § 1.

70-142. Repealed. Laws 1945, c. 154, § 1.

70-143. Repealed. Laws 1945, c. 154, § 1.

70-144. Repealed. Laws 1945, c. 154, § 1.

70-145. Repealed. Laws 1945, c. 154, § 1.

70-146. Repealed. Laws 1945, c. 154, § 1.

70-147. Repealed. Laws 1945, c. 154, § 1.

70-148. Repealed. Laws 1945, c. 154, § 1.

70-149. Repealed. Laws 1945, c. 154, § 1.

70-150. Repealed. Laws 1945, c. 154, § 1.

70-151. Repealed. Laws 1945, c. 154, § 1.

70-152. Repealed. Laws 1945, c. 154, § 1.

70-153. Repealed. Laws 1945, c. 154, § 1.

70-154. Repealed. Laws 1945, c. 154, § 1.

70-155. Repealed. Laws 1945, c. 154, § 1.

70-156. Repealed. Laws 1945, c. 154, § 1.

70-157. Repealed. Laws 1945, c. 154, § 1.

70-201. Repealed. Laws 1945, c. 155, § 1.

70-202. Repealed. Laws 1945, c. 155, § 1.

70-203. Repealed. Laws 1945, c. 155, § 1.

70-204. Repealed. Laws 1945, c. 155, § 1.

70-205. Repealed. Laws 1945, c. 155, § 1.

70-206. Repealed. Laws 1945, c. 155, § 1.

70-207. Repealed. Laws 1945, c. 155, § 1.

70-208. Repealed. Laws 1945, c. 155, § 1.

70-209. Repealed. Laws 1945, c. 155, § 1.

70-210. Repealed. Laws 1945, c. 155, § 1.

70-211. Repealed. Laws 1945, c. 155, § 1.

70-212. Repealed. Laws 1945, c. 155, § 1.

70-213. Repealed. Laws 1945, c. 155, § 1.

70-214. Repealed. Laws 1945, c. 155, § 1.

70-215. Repealed. Laws 1945, c. 155, § 1.

70-216. Repealed. Laws 1945, c. 155, § 1.

70-217. Repealed. Laws 1945, c. 155, § 1.

70-218. Repealed. Laws 1945, c. 155, § 1.

70-219. Repealed. Laws 1945, c. 155, § 1.

70-220. Repealed. Laws 1945, c. 155, § 1.

70-221. Repealed. Laws 1945, c. 155, § 1.

70-222. Repealed. Laws 1945, c. 155, § 1.

70-223. Repealed. Laws 1945, c. 155, § 1.

70-224. Repealed. Laws 1945, c. 155, § 1.

70-225. Repealed. Laws 1945, c. 155, § 1.

70-226. Repealed. Laws 1945, c. 155, § 1.

70-227. Repealed. Laws 1945, c. 155, § 1.

70-228. Repealed. Laws 1945, c. 155, § 1.

70-229. Repealed. Laws 1945, c. 155, § 1.

70-230. Repealed. Laws 1945, c. 155, § 1.

70-231. Repealed. Laws 1945, c. 155, § 1.

70-232. Repealed. Laws 1945, c. 155, § 1.

70-233. Repealed. Laws 1945, c. 155, § 1.

70-234. Repealed. Laws 1945, c. 155, § 1.

70-235. Repealed. Laws 1945, c. 155, § 1.

70-236. Repealed. Laws 1945, c. 155, § 1.

70-237. Repealed. Laws 1945, c. 155, § 1.

70-238. Repealed. Laws 1945, c. 155, § 1.

70-239. Repealed. Laws 1945, c. 155, § 1.

70-240. Repealed. Laws 1945, c. 155, § 1.

70-241. Repealed. Laws 1945, c. 155, § 1.

70-242. Repealed. Laws 1945, c. 155, § 1.

70-243. Repealed. Laws 1945, c. 155, § 1.

70-244. Repealed. Laws 1945, c. 155, § 1.

70-245. Repealed. Laws 1945, c. 155, § 1.

70-246. Repealed. Laws 1945, c. 155, § 1.

70-247. Repealed. Laws 1945, c. 155, § 1.

70-248. Repealed. Laws 1945, c. 155, § 1.

70-249. Repealed. Laws 1945, c. 155, § 1.

70-301. Right-of-way; acquisition; procedure; approval.

Any public power district, corporation, or municipality that engages in the generation or transmission, or both, of electric energy for sale to the public for light and power purposes, the production, storage, or distribution of hydrogen for use in fuel processes, or the production or distribution, or both, of ethanol for use as fuel may acquire right-of-way over and upon lands, except railroad right-of-way and depot grounds, for the construction of pole lines or underground lines necessary for the conduct of such business and for the placing of all poles and constructions for the necessary adjuncts thereto, in the same manner as railroad corporations may acquire right-of-way for the construction of railroads. Such district, corporation, or municipality shall give public notice of the proposed location of such pole lines or underground lines with a voltage capacity of thirty-four thousand five hundred volts or more which involves the acquisition of rights or interests in more than ten separately owned tracts by causing to be published a map showing the proposed line route in a legal newspaper of general circulation within the county where such line is to be constructed at least thirty days before negotiating with any person, firm, or corporation to acquire easements or property for such purposes and shall consider all objections which may be filed to such location. After securing approval from the Public Service Commission and having complied with sections 70-305 to 70-309 and 86-701 to 86-707, such public power districts, corporations, and municipalities shall have the right to condemn a right-of-way over and across railroad right-of-way and depot grounds for the purpose of crossing the same. The procedure to condemn property shall be exercised in the manner set forth in sections 76-704 to 76-724.

Source:Laws 1927, c. 107, § 1, p. 295; C.S.1929, § 70-401; R.S.1943, § 70-301; Laws 1951, c. 101, § 104, p. 495; Laws 1969, c. 545, § 1, p. 2199; Laws 1973, LB 187, § 7; Laws 1986, LB 1230, § 33; Laws 2002, LB 1105, § 467;    Laws 2005, LB 139, § 1;    Laws 2009, LB238, § 8.    


Annotations

70-302. Repealed. Laws 1963, c. 394, § 2.

70-303. Right-of-way; abandonment, effect of.

If any pole line or underground line constructed under section 70-301 be abandoned for a period of five years, the right-of-way or easement acquired for its construction shall revert to the owner of the property affected.

Source:Laws 1927, c. 107, § 1, p. 295; C.S.1929, § 70-401; R.S.1943, § 70-303; Laws 1963, c. 394, § 1, p. 1252; Laws 1969, c. 545, § 2, p. 2200.


70-304. Right-of-way; acquisition; crop damage.

Any such public power district, corporation or municipality acquiring any easement or right-of-way hereunder shall be liable to the owner of the land affected for any damage to growing crops not included in the original settlement or award.

Source:Laws 1927, c. 107, § 2, p. 296; C.S.1929, § 70-402; R.S.1943, § 70-304; Laws 1969, c. 545, § 3, p. 2200.


70-305. Right-of-way; damage to private property; procedure.

Any person engaged in the generating or transmitting of electric current for sale, use, or purchase in the state for power or other purposes is granted the right-of-way for all necessary poles and wires along, within, and across any of the public highways of this state. Such person is liable for all damages to private property by reason of the use of the public highways for such purpose. Such damages shall be ascertained and determined in the manner set forth in sections 76-704 to 76-724.

Source:Laws 1903, c. 117, § 1, p. 608; R.S.1913, § 7420; Laws 1917, c. 135, § 1, p. 320; Laws 1921, c. 259, § 1, p. 874; C.S.1922, § 7099; C.S.1929, § 86-303; Laws 1943, c. 231, § 2, p. 780; R.S.1943, § 86-305; Laws 1951, c. 101, § 124, p. 504; Laws 1967, c. 626, § 1, p. 2090; R.S.1943, (1999), § 86-305; Laws 2002, LB 1105, § 468.    


Annotations

70-306. Placement of lines; procedure.

(1) Any electric wire shall be placed at least eighteen feet above all road crossings. Any electric poles and wires shall be so placed as not to interfere with the public use of such highways, and if practicable, the poles shall be set upon the line of such highways.

(2) If any person engaged in distributing, generating, or transmitting electric current for power or other purposes by means of wires seeks to construct an electric wire over and across any railroad tracks, telegraph wires, or rights-of-way of any railroad company in this state and the electric wire intersects and crosses streets, highways, alleys, and other public thoroughfares, or elsewhere, such person and railroad company shall first endeavor to agree by a contract as to the manner and kind of crossing to be constructed. The contract shall at a minimum meet the requirements of sections 75-706 and 75-707 as to terms and conditions of such construction or placement and shall include the compensation, if any, to be awarded as damages. If no contract is reached, the person may proceed to have the same ascertained and determined in the manner set forth in sections 76-704 to 76-724.

Source:Laws 1903, c. 117, § 1, p. 608; R.S.1913, § 7420; Laws 1917, c. 135, § 1, p. 320; Laws 1921, c. 259, § 1, p. 874; C.S.1922, § 7099; C.S.1929, § 86-303; Laws 1943, c. 231, § 2, p. 780; R.S.1943, § 86-306; Laws 1951, c. 101, § 125, p. 505; R.S.1943, (1999), § 86-306; Laws 2002, LB 1105, § 469.    


Annotations

70-307. Placement of lines; violation; penalty.

If any person engaged in distributing, generating, or transmitting electric current for power or other purposes by means of wires constructs or places electric wires over the railroad tracks, telegraph wires, or rights-of-way of any railroad company in violation of section 70-305, section 75-708 shall apply.

Source:Laws 1903, c. 117, § 1, p. 608; R.S.1913, § 7420; Laws 1917, c. 135, § 1, p. 320; Laws 1921, c. 259, § 1, p. 874; C.S.1922, § 7099; C.S.1929, § 86-303; Laws 1943, c. 231, § 2, p. 780; R.S.1943, § 86-307; R.S.1943, (1999), § 86-307; Laws 2002, LB 1105, § 470.    


70-308. Property within village or city; how treated.

Section 70-305 shall not be construed to grant any rights within the corporate limits of any village or city in this state.

Source:Laws 1903, c. 117, § 1, p. 608; R.S.1913, § 7420; Laws 1917, c. 135, § 1, p. 320; Laws 1921, c. 259, § 1, p. 874; C.S.1922, § 7099; C.S.1929, § 86-303; Laws 1943, c. 231, § 2, p. 780; R.S.1943, § 86-308; R.S.1943, (1999), § 86-308; Laws 2002, LB 1105, § 471.    


70-309. Electrical transmission lines; state or federal highways; regulation by Department of Roads.

If the public road, along, upon, across, or under which the right to construct, operate, and maintain the electrical transmission line is granted, is a state or federal highway, then the location and installation of the electrical transmission facilities, insofar as they pertain to the present and future use of the rights-of-way for highway purposes, shall be subject to reasonable regulations and restrictions prescribed by the Department of Roads. If the future use of the state or federal highway requires the moving or relocating of the facilities, then such facilities shall be removed or relocated by the owner, at the owner's cost and expense, and as directed by the Department of Roads except as provided by section 39-1304.02.

Source:Laws 1943, c. 231, § 2, p. 780; R.S.1943, § 86-308.01; Laws 1957, c. 171, § 4, p. 593; R.S.1943, (1999), § 86-308.01; Laws 2002, LB 1105, § 472.    


70-310. Repealed. Laws 2009, LB 238, § 10.

70-311. Electric transmission or electric distribution lines; notice of road, road ditch improvement, or other projects; when given.

(1) Whenever any county or township road construction, widening, repair, or grading project or any road ditch improvement project requires, or can reasonably be expected to require, the performance of any work within ten feet of any electric transmission or electric distribution line, poles, or anchors, notice to the owner of such line, poles, or anchors shall be given by the respective county or township officers in charge of such projects. Such notice shall be given at least ninety days prior to the start of any work when, because of road construction, widening, repair, or grading or a road ditch improvement project, or for any other reason, it is necessary to relocate such line, poles, or anchors or if such work will compromise the structural integrity of the line, poles, or anchors.

(2) If a natural resources district will be altering a road structure or grading or moving earth for a flood control, recreation, or other project that requires, or can reasonably be expected to require, the performance of any work within ten feet of any electric transmission or electric distribution line, poles, or anchors, notice to the owner of such line, poles, or anchors shall be given by the respective natural resources district in charge of such projects. Such notice shall be given at least ninety days prior to the start of any work when, because of such road structure alteration or grading or moving earth, or for any other reason, it is necessary to relocate such line, poles, or anchors or if such work will compromise the structural integrity of the line, poles, or anchors.

Source:Laws 2002, LB 1105, § 474;    Laws 2010, LB643, § 1.    


70-312. Electric transmission or electric distribution lines; notice of widening of roads; contents.

The notice required by section 70-311 shall state the nature and location of the work to be done and the date on which such work is scheduled to commence. In the event of any change in the scheduled time of starting such work, notice of such change shall be given as soon as practicable.

Source:Laws 2002, LB 1105, § 475.    


70-313. Electric transmission or electric distribution lines; liability; cost of removal.

Any owner of any electric transmission or electric distribution line failing to move its lines, poles, or anchors located near a public highway in accordance with the notice provided by section 70-311 shall be liable to the county or township for the cost of relocating such lines, poles, and anchors. When an owner of such facilities located on private right-of-way is required to move such lines, poles, or anchors, it shall be at the expense of the county or township. The county or township shall be liable to the owner of any electric transmission or electric distribution line for loss of use of such line for failure to give the notice required by sections 70-311 and 70-312.

Source:Laws 2002, LB 1105, § 476.    


70-401. Repealed. Laws 1963, c. 397, § 24.

70-402. Repealed. Laws 1963, c. 397, § 24.

70-403. Repealed. Laws 1963, c. 397, § 24.

70-404. Repealed. Laws 1963, c. 397, § 24.

70-405. Repealed. Laws 1963, c. 397, § 24.

70-406. Repealed. Laws 1963, c. 397, § 24.

70-407. Terms, defined.

For the purpose of Chapter 70 the following words shall be construed to mean as follows:

(1) A kilowatt hour shall be deemed and considered to equal one thousand watts, or the energy resulting from an activity of one kilowatt continued for one hour, which equals about one and one-third horsepower hours;

(2) The word watt shall be construed to mean the practical unit of electric power, activity, or rate of work equivalent to 107 ergs or one joule per second, or approximately one seven-hundred-forty-sixth of a horsepower.

Source:Laws 1933, c. 60, § 1, p. 291; C.S.Supp.,1941, § 70-505; R.S.1943, § 70-407; Laws 1981, LB 181, § 1.


70-408. Electric companies; rates; kilowatt-hour meter; demand meter; minimum charge authorized.

All charges, made for electrical energy for residential, commercial, and farm purposes by any person, firm, corporation, or municipal corporation engaged in the sale of electrical energy in cities of the first class having a population of more than five thousand and less than twenty-five thousand inhabitants, cities of the second class, villages, and unincorporated areas in Nebraska, shall be based on the amount of such energy actually furnished by the kilowatt-hour meter, together with such demand as may be registered or indicated by a demand meter, or as may be contracted for, to such purchaser. Such person, firm, corporation, or municipal corporation may provide for either a penalty on or a discount from the amount of any bill to promote prompt payment thereof under uniform rules and regulations governing such penalty or discount. A reasonable minimum charge may be collected from purchasers of electrical energy by any such person, firm, corporation, or municipal corporation, even though the charge for the amount of electrical energy actually furnished by the kilowatt-hour to such purchaser or user does not equal such minimum charge for the designated period of service; Provided, the provisions of sections 70-407 to 70-409 shall not be construed to affect any contract or franchise in existence at the time of the passage and approval of this section.

Source:Laws 1933, c. 60, § 2, p. 292; C.S.Supp.,1941, § 70-506; R.S.1943, § 70-408; Laws 1949, c. 197, § 1, p. 576.


Annotations

70-409. Electric companies; rate regulations; violation; penalty.

Any person, firm or corporation, their employees, agents or servants, who shall violate any of the provisions of sections 70-407 and 70-408 shall be guilty of a Class V misdemeanor.

Source:Laws 1933, c. 60, § 4, p. 292; C.S.Supp.,1941, § 70-508; R.S.1943, § 70-409; Laws 1977, LB 39, § 136.


Annotations

70-501. Extension authorized; electric energy; sale; contracts authorized; payments from net earnings and profits.

Any city, village, or public electric light and power district within the state, which may own or operate, or hereafter acquire or establish, any electric light and power plant, distribution system and transmission lines may, at the time of or at any time after such acquisition or establishment, extend the same beyond its boundaries, and for that purpose is hereby authorized and empowered to construct, purchase, lease, or otherwise acquire, and to maintain, improve, extend and operate electric light and power plants, distribution systems and transmission lines, outside of the boundaries of such city, village, or public electric light and power district, for such distance and over such territory within this state as may be deemed expedient. In the exercise of the powers granted by this section any such city, village, or public electric light and power district may enter into contracts to furnish and sell electrical energy to any person, firm, association, corporation, municipality, or public electric light and power district. However, no such construction, purchase, lease, acquisition, improvement or extension of any such additional plant, distribution system or transmission lines shall be paid for except out of the net earnings and profits of one or more or all of the electric light and power plants, distribution systems and transmission lines of such city, village, or public electric light and power district. The provisions of sections 70-501 to 70-515 shall be deemed cumulative, and the authority herein granted to cities, villages, and public electric light and power districts shall not be limited or made inoperative by any existing statute.

Source:Initiative Law 1930, No. 324, § 1; Laws 1931, c. 116, § 1, p. 336; C.S.Supp.,1941, § 70-601; R.S.1943, § 70-501.


Annotations

70-502. Electric energy; sale or purchase; interconnections; contracts authorized.

For the purpose of selling or purchasing electrical energy for lighting, heating or power purposes, any city, village, or public electric light and power district in this state is hereby authorized to enter into agreements to connect and interconnect its electric light and power plants, distribution system and transmission lines with the electric light and power plant, distribution system or transmission lines of any one or more other cities, villages, or public electric light and power districts in this state, upon such terms and conditions as may be agreed upon between the contracting cities, villages, and public power districts.

Source:Initiative Law 1930, No. 324, § 2; Laws 1931, c. 116, § 2, p. 337; C.S.Supp.,1941, § 70-602; R.S.1943, § 70-502.


Annotations

70-503. Acquisition, extension, and improvements; pledge of earnings or profits authorized.

In lieu of the issuance of bonds or the levy of taxes as otherwise by law provided, and in lieu of any other lawful methods or means of providing for the payment of indebtedness, any city, village, or public electric light and power district within this state shall have the power and authority by and through its governing body or board of directors, to provide for or to secure the payment of the cost or expenses of purchasing, constructing, or otherwise acquiring, extending and improving any real or personal property necessary or useful in its operation of any electric light and power plant, distribution system or transmission lines, by pledging, assigning, or otherwise hypothecating, the net earnings or profits of such electric light and power district, city or village, derived, or to be derived, from the operation of such electric light and power plant, distribution system or transmission lines, and to that end, to enter into such contracts and to issue such warrants or debentures as may be proper to carry out the provisions of this section.

Source:Initiative Law 1930, No. 324, § 3; Laws 1931, c. 116, § 3, p. 337; C.S.Supp.,1941, § 70-603; R.S.1943, § 70-503.


Annotations

70-504. Sale, lease, or transfer; election and voter approval required; exceptions; procedure.

In the following cases, a sale, lease, or transfer of any electric light or power plant, distribution system, or transmission line shall not be valid unless the sale, lease, or transfer is authorized at any state or municipal election, including a primary or special election, except as otherwise provided in this section, and approved by sixty percent of the electors voting on the proposed matter, except that an election and such approval shall not be required when the sale, lease, or transfer is part of a merger or consolidation of a public power district:

(1) By any city or village to any private person, firm, association, corporation, or public power district, except that any city or village may by resolution of the city council or board of trustees sell, lease, or transfer all or part of its electric light or power plant, distribution system, or transmission lines to any public power district or an electric cooperative, which cooperative has an approved retail service area adjoining such city or village, but such transaction shall not be consummated nor become effective until thirty days' notice of the transaction has been given by the governing body by publication once each week for three successive weeks in such city or village or, if no newspaper is published therein, then by posting in five or more public places therein. If within thirty days after the last publication of such notice or posting thereof a referendum petition signed by qualified electors of such city or village equal in number to at least twenty percent of the vote cast at the last general municipal election held therein is filed with the municipal clerk, such transaction shall not become effective until it has been approved by a vote of the electors of such municipality at any general or special municipal election. If a majority of the voters voting on the issue vote against such transaction, the transaction shall not become effective. If no such petitions are filed, the transaction shall become effective at the expiration of such thirty-day period. The power district shall charge fair, reasonable, and nondiscriminatory rates so adjusted as, in a fair and equitable manner, to confer upon and distribute among its customers the benefits of a successful and efficient operation and conduct of the business of the district; or

(2) By any public power district operating lines, owning lines, or operating and owning lines in less than thirteen counties in this state to any other public power district, except (a) where transmission or distribution lines extend into another power district and the board of directors of the selling power district, by resolution entered on its records, determines that such transmission or distribution lines would serve customers more advantageously in the purchasing power district and that the sale thereof should be made or (b) sales of any surplus equipment which the selling district, by resolution adopted by its board of directors and entered on its records, determines that it does not then need and is needed by the purchasing district, which sales are hereby expressly authorized to be made. Except for the referendum election provided for in subdivision (1) of this section, notice of the submission of the proposition shall be given by publication thereof three consecutive weeks in a legal newspaper published and of general circulation in such city, village, or public power district or, if no newspaper is published therein, by posting in five or more public places therein. Any elections herein required in public power districts or public power and irrigation districts shall be held at the same time and in connection with the next regular primary or general election in the state thereafter at which directors of the public power district are to be nominated or elected. Any proposals for the sale of lines or other property required to be submitted to an election under the provisions of this section shall be certified by the board of directors of the district selling or disposing of the property to the county clerk of the respective county or counties wherein such election of directors is to be held in the form of a question to be submitted upon the ballot not less than thirty days before the election. The county clerks to whom such certificates are submitted shall cause the same question submitted by the board of directors to be placed upon the same ballot and in proximity to the names of the directors to be nominated or elected in the same district at the next primary or general election. The results of the election with relation to the proposal shall be counted, canvassed, and certified in the same manner as the other results of the election.

Source:Initiative Law 1930, No. 324, § 4; Laws 1931, c. 116, § 4, p. 338; C.S.Supp.,1941, § 70-604; Laws 1943, c. 144, § 1, p. 505; R.S.1943, § 70-504; Laws 1945, c. 156, § 1, p. 513; Laws 1947, c. 225, § 1, p. 718; Laws 1965, c. 58, § 5, p. 269; Laws 1969, c. 83, § 5, p. 421; Laws 1990, LB 907, § 1.


Cross References

Annotations

70-505. Sale, lease, or transfer; documents; filing.

In order to consummate and complete the sale, lease, or transfer of any electric light and power plant, distribution system, or transmission lines by any city, village, or public electric light and power district of this state, to any private person, firm, association, or corporation, there shall be filed in the office of the Nebraska Power Review Board of this state, prior to any delivery or change of possession, control, or management under such sale, lease, or transfer, true and exact duplicate signed copies of all agreements, conveyances, contracts, franchises, deeds, leases, bills of sale, and other instruments, under which such sale, lease, or transfer is to be made. Said instruments shall be certified to under the oath of the executive or presiding officers of the seller and purchaser, respectively, as such true and exact duplicates.

Source:Initiative Law 1930, No. 324, § 5; Laws 1931, c. 116, § 5, p. 338; C.S.Supp.,1941, § 70-605; R.S.1943, § 70-505; Laws 1981, LB 181, § 2.


70-506. Sale, lease, or transfer; statement and report; contents; filing.

At the same time, and accompanying said documents and instruments of sale and transfer, there shall be filed with the Nebraska Power Review Board a statement and report, in form and detail to be approved by the Nebraska Power Review Board and the Attorney General, clearly setting forth the following facts and data: (1) The location and detailed description, including source and methods of generation, of all the property involved in the sale, lease, or transfer; (2) the dates of the construction, purchase, or other acquisition, by such municipality, or public electric light and power district, of such power plant, distribution system, or transmission lines, including all replacements, extensions, repairs, and betterments, together with a detailed statement of the actual cost; (3) a detailed description of such parts of the utility to be sold as, between the time of acquisition thereof and the time of the sale under consideration, shall have become obsolete, or shall have been sold, transferred, lost, destroyed, abandoned, or otherwise disposed of by such municipality or public electric light and power district, and the cost of such part of the utility, including extensions or additions thereto; and (4) a complete schedule of the rates and charges made or levied by such municipality or public electric light and power district for electric current, and a full and complete statement showing the financial condition and the receipts and disbursements of such municipality or public power district in the operation of the utility during the preceding three-year period, and a statement of the bonded indebtedness, if any, of such municipality or public power district in connection with its ownership or operation of the utility, including the amount of all bonds issued and paid.

Source:Initiative Law 1930, No. 324, § 5; Laws 1931, c. 116, § 5, p. 338; C.S.Supp.,1941, § 70-605; R.S.1943, § 70-506; Laws 1981, LB 181, § 3.


70-507. Sale, lease, or transfer; statement and report; certification; filing.

Such statement and report shall be certified and sworn to as correct by the presiding officer of the governing body of such municipality or public electric light and power district, as the case may be, and shall also have thereto attached the certificate and oath of the presiding officer, or other duly authorized executive officer of the purchaser, under the seal of the purchaser, if a corporation, that the purchaser of the utility has examined the statement and report, has investigated the facts therein set forth, believes the statement and report to be true and correct, and that the proposed purchase of the utility has been made with reference to and in reliance upon the facts, situation and circumstances set forth in the statement and report. The filing of the instruments, the statement and report, certified as herein required, is hereby made a condition precedent to the validity of any such sale, lease or transfer.

Source:Initiative Law 1930, No. 324, § 5; Laws 1931, c. 116, § 5, p. 338; C.S.Supp.,1941, § 70-605; R.S.1943, § 70-507.


70-508. Sale, lease, or transfer; false statement, report, or certificate; penalty.

Whoever shall make, utter or subscribe to any statement and report, or certificate, required under the provisions of sections 70-506 and 70-507, knowing or having reason to believe that any such statement and report, or certificate, is false, shall be guilty of a Class IV felony.

Source:Initiative Law 1930, No. 324, § 6; Laws 1931, c. 116, § 6, p. 340; C.S.Supp.,1941, § 70-606; R.S.1943, § 70-508; Laws 1977, LB 39, § 137.


70-509. Sale, lease, or transfer; evidence of valuation.

Any instrument, statement and report, or certificate filed with the Nebraska Power Review Board, as provided for in Chapter 70, article 5, or certified copies thereof, shall be competent evidence in any hearing or proceeding involving the valuation of the electric light and power plant, distribution system, or transmission lines covered by the statement and report and certificate, for ratemaking purposes, taxation, or in any other matter in which the facts and statements in such instrument, statement and report, or certificate, may be involved or drawn in question, and the purchaser thereof and his, her, or its successor or assigns, shall be forever estopped to deny the facts set forth in such instrument, statement and report, or certificate.

Source:Initiative Law 1930, No. 324, § 6; Laws 1931, c. 116, § 6, p. 340; C.S.Supp.,1941, § 70-606; R.S.1943, § 70-509; Laws 1981, LB 181, § 4.


70-510. Sale, lease, or transfer; promotion expenditures; limitation.

No private person, firm, association or corporation proposing to purchase, lease, or otherwise acquire any electric light and power plants, distribution system or transmission lines, from any city, village, or public electric light and power district of this state, nor any one on behalf or for the benefit of such proposed purchaser, may, in order to promote or bring about such sale, lease or transfer, pay out, contribute or expend, directly or indirectly, money or other valuable thing in excess of three thousand dollars nor, in any event, in excess of a sum in number of dollars greater than the number of the qualified voters in such municipality or public electric light and power district, based on the total vote cast for Governor at the last general election.

Source:Initiative Law 1930, No. 324, § 7; Laws 1931, c. 116, § 7, p. 340; C.S.Supp.,1941, § 70-607; R.S.1943, § 70-510.


Annotations

70-511. Sale, lease, or transfer; excessive promotion expenditures; violation; penalty.

Any person, firm or corporation, violating any provision of section 70-510 shall be guilty of a Class IV felony.

Source:Initiative Law 1930, No. 324, § 7; Laws 1931, c. 116, § 7, p. 340; C.S.Supp.,1941, § 70-607; R.S.1943, § 70-511; Laws 1977, LB 39, § 138.


70-512. Sale, lease, or transfer; excessive promotion expenditures; action to invalidate; procedure.

Any violation of section 70-510 shall nullify and render wholly void any such proposed purchase, lease or acquisition; Provided, however, any action to set aside and render invalid any such sale, lease, transfer or acquisition, under the provisions of said section, shall be brought, in the district court of the county in which such municipality or public electric light and power district, or a portion thereof, is located, by one or more electors of such municipality or public electric light and power district, or by such municipality or district itself, or by the State of Nebraska, within ninety days after the holding of the election at which the question voted on shall have been submitted.

Source:Initiative Law 1930, No. 324, § 7; Laws 1931, c. 116, § 7, p. 340; C.S.Supp.,1941, § 70-607; R.S.1943, § 70-512.


70-513. Sale, lease, or transfer; promotion expenditures; statement.

Within ten days after any election upon the proposition of the sale, lease or transfer of any electric light or power plant, distribution system or transmission lines, as provided by section 70-504, the person, firm, association or corporation proposing to make or secure such purchase, lease or transfer, shall file with the Secretary of State a sworn statement, in form and detail to be approved by the Attorney General, showing all expenditures made and all obligations incurred by such proposed purchaser, directly or indirectly, in connection with or pertaining to such proposed sale, lease or transfer, and in connection with or pertaining to such election.

Source:Initiative Law 1930, No. 324, § 8; Laws 1931, c. 116, § 8, p. 341; C.S.Supp.,1941, § 70-608; R.S.1943, § 70-513.


70-514. Sale, lease, or transfer; promotion expenditures; failure to file statement; penalty.

Any person, firm, association or corporation who shall fail or refuse to file such statement, or who shall subscribe to such statement, knowing the same to be false, shall be guilty of a Class IV felony.

Source:Initiative Law 1930, No. 324, § 8; Laws 1931, c. 116, § 8, p. 341; C.S.Supp.,1941, § 70-608; R.S.1943, § 70-514; Laws 1977, LB 39, § 139.


70-515. Applicability of laws.

All provisions of law, now applicable to electric light and power corporations as regards the use and occupation of the public highways, and the manner or method of construction and physical operation of plants, systems, and transmission lines, shall be applicable, as nearly as may be, to municipalities and public electric light and power districts in their exercise of the powers and functions, and in their performance of the duties, conferred or imposed upon them under the provisions of sections 70-501 to 70-515.

Source:Initiative Law 1930, No. 324, § 9; Laws 1931, c. 116, § 9, p. 342; C.S.Supp.,1941, § 70-609; R.S.1943, § 70-515; Laws 1951, c. 101, § 105, p. 496.


Annotations

70-601. Terms, defined.

For purposes of Chapter 70, article 6, unless the context otherwise requires:

(1) District means a public power district, public irrigation district, or public power and irrigation district, organized under Chapter 70, article 6, either as originally organized or as the same may from time to time be altered or extended, and includes, when applicable, rural public power districts organized under Chapter 70, article 8, and subject to Chapter 70, article 6;

(2) Municipality, when used in relation to the organization or charter of a public power district or to the election of successors to the board of directors of a public power district, means any county, city, incorporated village, or voting precinct in this state;

(3) Governing body, whenever used in relation to any municipality, means the duly constituted legislative body or authority within and for such municipality as a public corporation and governmental subdivision. When used with reference to a voting precinct, governing body means the county board of the county in which the precinct is located;

(4) Irrigation works means any and all sites, dams, dikes, abutments, reservoirs, canals, flumes, ditches, head gates, machinery, equipment, materials, apparatus, and all other property used or useful for the storage, diversion, damming, distribution, sale, or furnishing of water supply or storage of water for irrigation purposes or for flood control, or used or useful for flood control, whether such works be operated in conjunction with or separately from electric light and power plants or systems;

(5) Power includes any and all electrical energy and capacity generated, produced, transmitted, distributed, bought, or sold, hydrogen produced, stored, or distributed, and ethanol produced for purposes of lighting, heating, power, and any and every other useful purpose whatsoever;

(6) Plant or system includes any and all property owned, used, operated, or useful for operation in the district's business, including the generation by means of water power, steam, or other means or in the transmission, distribution, sale, or purchase of electrical energy, hydrogen, or ethanol for any and every useful purpose, including any and all irrigation works which may be owned, used, or operated in conjunction with such power plant or system;

(7) Energy equipment includes, but is not limited to, equipment or facilities used or useful to generate, produce, transmit, or distribute power, heated or chilled water, or steam for use by the district or the district's commercial and industrial customers; and

(8) Public power industry means public power districts, public power and irrigation districts, municipalities, registered groups of municipalities, electric cooperatives, electric membership associations, joint entities formed under the Interlocal Cooperation Act, joint public agencies formed under the Joint Public Agency Act, agencies formed under the Municipal Cooperative Financing Act, and any other governmental entities providing electric service.

Source:Laws 1933, c. 86, § 1, p. 338; Laws 1937, c. 152, § 1, p. 577; Laws 1939, c. 88, § 2, p. 386; C.S.Supp.,1941, § 70-701; R.S.1943, § 70-601; Laws 1965, c. 403, § 1, p. 1290; Laws 1981, LB 181, § 5; Laws 1985, LB 2, § 4; Laws 1986, LB 1230, § 34; Laws 1986, LB 949, § 2; Laws 1997, LB 658, § 5; Laws 2004, LB 969, § 12;    Laws 2005, LB 139, § 2.    


Cross References

Annotations

70-601.01. Ethanol production and distribution; hydrogen production and distribution; legislative findings.

(1) The Legislature finds and declares that:

(a) Nebraska has been and will continue to be a state which is dependent on a stable, income-producing farm sector;

(b) When agriculture fails to produce adequate income for farmers, ranchers, and agricultural business interests within this state, the economic well-being of the state and its citizens will be threatened;

(c) There currently exists a chronic grain surplus within the state because of underutilization of grain products, and prices for grain remain unreasonably low because of such surplus and underutilization;

(d) Enlargement of the ethanol industry within the state would result in additional utilization of surplus grain;

(e) Ethanol will be increasingly in demand in the marketplace because of its efficacy as an octane enhancer and fuel extender;

(f) The public power industry within the state is experienced in the production and transmission of electrical power; and

(g) The experience of the public power industry could be used in the development of the production and distribution of ethanol and in the enhancement of the economic well-being of this state.

(2) The Legislature further finds:

(a) Hydrogen production and distribution may serve as a viable alternative in the marketplace for use in fuel processes;

(b) The public power industry within the state is experienced in the production and transmission of electrical power; and

(c) The experience of the public power industry could be used in the development of the production, storage, and distribution of hydrogen for use in fuel processes and in the enhancement of the economic well-being of this state.

Source:Laws 1986, LB 1230, § 32; Laws 2005, LB 139, § 3.    


70-602. District; creation; general powers.

A district may be created as hereinafter provided and, when so created, shall be a public corporation and political subdivision of this state and may sue or be sued in its corporate name. A district may be composed of the territory of one or more municipalities as defined in subsection (2) of section 70-601, whether contiguous or otherwise. Nothing in Chapter 70, article 6, shall be construed to prevent the organization of a district within or partly within the territorial boundaries of another district organized hereunder, so long as the plants, systems, and works, the operation of the same, the exercise of powers, and the assumption of duties and responsibilities, of or on the part of one district, do not nullify, conflict with, or materially affect those of, or on the part of, another district.

Source:Laws 1933, c. 86, § 2, p. 339; Laws 1937, c. 152, § 2, p. 578; C.S.Supp.,1941, § 70-702; R.S.1943, § 70-602; Laws 1981, LB 181, § 6; Laws 1986, LB 949, § 3.


Annotations

70-603. District; organization; amendment of charter; petition.

A district may be organized and may amend its charter under Chapter 70, article 6, by filing in the office of the Nebraska Power Review Board a petition in compliance with requirements set forth in Chapter 70, article 6, and receiving the approval of the petition by the Nebraska Power Review Board.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(1), p. 507; R.S.1943, § 70-603; Laws 1981, LB 181, § 7; Laws 1986, LB 949, § 4; Laws 2009, LB53, § 1.    


Annotations

70-604. District; petition; contents.

The petition shall be addressed to the Nebraska Power Review Board and state in substance that it is the intent and purpose of the petitioners by such petition to create or amend the charter of a district subject to approval by the Nebraska Power Review Board. The petition shall state and contain:

(1) The name of the district, which name shall contain, if the district is to engage or is engaged in the electric light and power business, hydrogen production, storage, or distribution, or ethanol production and distribution, the words public power district. If the district is to engage or is engaged in the business of owning and operating irrigation works, the name shall include the words public irrigation district, except that if electric light and power are the major business of such district, it need not include these words in its name. A district may be organized to engage only in the electric light and power business, the production, storage, or distribution of hydrogen, and the production and distribution of ethanol, only in the business of owning and operating irrigation works, in any business identified in section 70-625, or in all of such businesses;

(2) The names of the municipalities constituting the district and the boundaries of such district;

(3) A general description of the nature of the business which the district intends to engage in and, for the original creation of a district, the location and method of operation of the proposed power plants and systems or irrigation works of the district;

(4) The location of the principal place of business of the district;

(5) A statement that the district shall not have the power to levy taxes nor to issue general obligation bonds;

(6) When the Nebraska Power Review Board finds from the evidence that subdivisions, from which directors are to be elected or appointed, are necessary or desirable, such subdivisions shall be of substantially equal population, except that no district shall be required to redistrict its subdivisions for purposes of equalizing population more frequently than every ten years following publication of the most recent federal decennial census; and

(7) Except in a district having within its boundaries twenty-five or more cities or villages, the names and addresses of the members of the board of directors of the district, not less than five nor more than twenty-one, who shall serve or continue to serve until their successors are elected and qualified. In any district having within its boundaries twenty-five or more cities and villages, (a) the original petition for creation shall set forth the number of directors of the district and shall provide that the board of directors, to serve until their successors are elected and qualified, shall be appointed by the Governor within thirty days after the approval of the formation of the district and (b) a petition to amend a charter shall set forth the names and addresses of the members of the board of directors of the district. In the petition the directors named or to be appointed by the Governor shall be divided as nearly as possible into three equal groups, the members of the first group to hold office until their successors, elected at the first statewide general election thereafter, shall have qualified, the members of the second group to hold office until their successors, elected at the second statewide general election thereafter, shall have qualified, and the members of the third group to hold office until their successors, elected at the third statewide general election thereafter, shall have qualified. The group to which each proposed director belongs shall be designated in the petition or, for an original petition in case the district has within its proposed boundaries twenty-five or more cities and villages, shall be set forth in the order of appointment by the Governor.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; R.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(2), p. 507; R.S.1943, § 70-604; Laws 1945, c. 157, § 1, p. 516; Laws 1955, c. 267, § 1, p. 839; Laws 1967, c. 418, § 1, p. 1284; Laws 1981, LB 181, § 8; Laws 1986, LB 1230, § 35; Laws 1986, LB 949, § 5; Laws 1997, LB 658, § 6; Laws 2005, LB 139, § 4.    


Annotations

70-604.01. Chartered territory; boundaries.

(1) Except as the same may be further limited or expanded by requirements in Chapter 70, article 6, the chartered territory of any district organized pursuant to and existing by virtue of or subject to the provisions of Chapter 70, article 6, shall include the area in this state within which such district renders electric service of the nature defined in section 70-604.02 and termed its operating area. There may be included, within the chartered area of such district, areas which are outside the operating area as defined in section 70-604.02, but as to which inclusion is nevertheless authorized by other sections of Chapter 70, article 6.

(2) Subject to the requirements of section 70-662 and the approval of the Nebraska Power Review Board in accordance with sections 70-663 and 70-664, any district organized pursuant to Chapter 70, article 6, and engaged in the operation of electric generation, transmission, or distribution facilities or any combination thereof may, in the discretion of the board of directors of such district and upon a finding by the board of directors of such district that the inclusion or exclusion thereof would be consistent with the best interests of the district and its customers, either include within or exclude from the chartered area all municipalities which have a population of fewer than one thousand five hundred inhabitants and which are within a county where such district provides electric service but are not otherwise in such district's operating area.

Source:Laws 1967, c. 418, § 7, p. 1289; Laws 1986, LB 949, § 6; Laws 2009, LB53, § 2.    


Annotations

70-604.02. Operating area, defined.

The operating area of a district, for purposes of establishing its chartered territory, is the geographical area in this state comprising:

(1) The district's retail distribution area, which is that area within which the district delivers electricity by distribution lines directly to those of its customers who consume the electricity; and

(2) The district's wholesale distribution area, which is the aggregate of those retail distribution areas of the public electric utilities which purchase electricity either directly or indirectly from the district for resale to their retail customers if the selling district has the responsibility, in whole or in part, of charging for and delivery of the electricity by transmission lines to the retail public electric utility distribution lines at one or more points of delivery pursuant to a power contract, having an original term of five years or more, to deliver firm power and energy that constitutes fifty percent or more of the purchasing public electric utility's annual energy requirements. To the extent that a selling district leases its plant or systems to another district to be operated by such other district, or produces electricity, hydrogen, or ethanol which other districts may purchase, and such other districts provide or operate the transmission lines to carry such electricity from the producer to such other districts, the retail and wholesale distribution areas of such other districts are not a part of the operating area of the selling district by reason alone of such leasing or production.

Source:Laws 1967, c. 418, § 8, p. 1289; Laws 1986, LB 949, § 7; Laws 1986, LB 1230, § 36; Laws 2005, LB 139, § 5;    Laws 2009, LB53, § 3.    


70-604.03. Operating area; boundary lines; establish; precinct division; request by retail customer to vote or hold office; certification procedure.

(1) To establish boundary lines of an operating area coincident with voting precinct or county boundary lines, it shall be permissible to eliminate area from or add area to the operating area so that retail distribution areas are identified by reference to whole voting precincts and wholesale distribution areas are identified by reference to whole counties.

(2) Voting or election precincts may be divided for the purposes of establishing chartered territory and district elections. The description of such divided precincts may be given by section, township, and range and shall be subject to the approval of the Secretary of State.

(3) Any retail customer whose principal residence is being served by a public power district and whose principal residence is not in the chartered territory of such district may request the district in writing at least fifteen days prior to the certification date for such district, as such date is provided in section 70-611, for the right for each registered voter residing at such residence to vote for, and be eligible to hold office as a member of, the board of directors of such district. The secretary of the district shall cause notice to be given to each such retail customer which reasonably prescribes the manner in which the retail customer may request such right to vote. The notice shall be given by first-class mail and may be included as part of the regular billing statement mailed to a customer if such billing statement is sent by first-class mail to such retail customer and the mail is conspicuously marked as to its importance. Such notice shall be given at least sixty days prior to the time the election certification and publication information is transmitted to the Secretary of State pursuant to section 70-611. The district shall certify to the Secretary of State the names of all such retail customers for whom such request to vote has been made along with identification of the voting or election precincts in which such retail customers reside, and each such retail customer shall be a registered voter and qualified to hold office as a member of the board of directors, if otherwise qualified to vote.

(4) Any district dividing a precinct pursuant to subsection (2) of this section or certifying retail customers pursuant to subsection (3) of this section shall transmit all necessary information relevant to such division or certification along with the election certification and publication provided for in section 70-611. All additional election costs caused by such division or certification shall be due and payable by the district within thirty days after the receipt of a statement from the county.

Source:Laws 1967, c. 418, § 9, p. 1290; Laws 1982, LB 198, § 1; Laws 1985, LB 96, § 1; Laws 1986, LB 949, § 8; Laws 1994, LB 76, § 577.


Annotations

70-604.04. Operating area; electric utility not included, when; wholesale supplier; duties.

Interconnections of plant or system primarily for the purpose of rendering emergency or temporary electric service to another electric utility, in order to maintain adequate reserve capacity for all the electric utilities involved or to pool spare plant or system capacity, shall not in itself establish an electric utility as part of the operating area of another for purposes of sections 70-604 to 70-619. When a district which purchases electricity for resale actually segregates its distribution system to its customers such that only a portion of its total customers normally receive the electricity transmitted by a given wholesale supplier district, that wholesale supplier district may be required to include in its operating area only that portion of the customers of the supplied district who are so indirectly supplied by electricity from that wholesale supplier district.

Source:Laws 1967, c. 418, § 10, p. 1290; Laws 1994, LB 76, § 578.


70-604.05. District; noncompliance; complaint; hearing; notice; order; failure to comply; penalty.

When it appears that one or more districts are in noncompliance with the provisions of Chapter 70, article 6, the corporate amendments required to comply shall be made generally in accordance with the procedures and requirements contained in Chapter 70, article 6. In the absence of voluntary amendment any time subsequent to six months after the publication of the first federal decennial census published after August 30, 2009, any person residing in the geographical area of alleged noncompliance, or any district or any two or more districts, may file a complaint with the Nebraska Power Review Board against one or more other districts alleging the area of noncompliance of such other districts. Upon receipt of such complaint, the Nebraska Power Review Board shall issue an order directed to the alleged noncomplying district, granting a hearing and requiring it to show cause why an amended petition for creation eliminating such noncompliance should not be filed for approval. Thirty-three days' notice of hearing, which includes mailing time, shall be given to such alleged noncomplying district by either registered or certified mail. The alleged noncomplying district may appear by answer or by petition for amended petition for creation of the district. The burden of proof of noncompliance shall be upon the complainant and of proposed amendments upon the petitioner. If the Nebraska Power Review Board finds that an amended petition for creation should be made and the alleged noncomplying district has not proposed an acceptable one, the Nebraska Power Review Board shall frame the amendment to be approved after continuing the hearing to receive such evidence as may be offered by the parties having appeared before the Nebraska Power Review Board regarding the contents of the amendment to be framed by the Nebraska Power Review Board.

The members of the board of directors of any noncomplying district, including any district failing to comply with an amended petition as framed by the Nebraska Power Review Board, shall each be liable for a civil penalty of fifty dollars for each day of noncompliance which continues after thirty days following final adjudication of noncompliance. Such penalty shall be recovered in an action brought by the Attorney General in the district court for Lancaster County. Service of summons in such action may be had anywhere in the state. Any penalty collected pursuant to this section shall be remitted to the State Treasurer for distribution in accordance with Article VII, section 5, of the Constitution of Nebraska. No member of any such board shall receive any compensation or reimbursement of expenses during the period for which he or she is liable for such penalty, nor shall he or she be eligible as a candidate for reelection.

Source:Laws 1967, c. 418, § 11, p. 1291; Laws 1969, c. 546, § 1, p. 2200; Laws 1981, LB 181, § 9; Laws 1986, LB 949, § 9; Laws 2009, LB53, § 4.    


70-604.06. Nebraska Power Review Board; final action; appeal; manner.

An appeal of any final action of the Nebraska Power Review Board may be taken to the Court of Appeals. Such appeal shall be in accordance with the rules provided by law for appeals in civil cases.

Source:Laws 1967, c. 418, § 12, p. 1291; Laws 1981, LB 181, § 10; Laws 1991, LB 732, § 122; Laws 2003, LB 187, § 12.    


70-604.07. Repealed. Laws 1986, LB 949, § 17.

70-604.08. District; reorganization, consolidation, or merger; directors; continue to serve term.

In the event of a reorganization, consolidation, or merger of any district or districts, directors of the districts involved and who are in office at the time of such reorganization, consolidation, or merger may continue to serve as directors of the resulting reorganized, consolidated, or merged district until the expiration of the term of office for which such person or persons have been elected and until his or their successors are elected and qualified.

Source:Laws 1967, c. 418, § 14, p. 1292; Laws 1994, LB 76, § 579.


70-604.09. District; conduct business in other states; limitations.

A public power district may exercise its powers and engage in business either in the State of Nebraska or in any other state subject to any limitations in the petition for its creation and to the laws of such other state. In order to exercise its powers or engage in business in another state, a public power district shall have power and be authorized to comply with the laws of that state.

Source:Laws 1971, LB 276, § 1.


70-605. District; original creation; petition; signatures; number required.

The petition for the original creation of a district shall be signed by fifteen percent of the registered voters of the municipality or municipalities as defined in subsection (2) of section 70-601 the combined territory of which composes the territory of the proposed district. If the municipality is a county or voting precinct, the whole number of votes cast for Governor at the statewide general election next preceding the filing of the petition shall be the basis on which the required number of signatures on the petition shall be determined. If the municipality is a city or incorporated village, the number of signatures required on the petition shall be based on the total number of votes cast at its general municipal election next preceding the filing of the petition. Signers and circulators of a petition under this section shall comply with sections 32-629 and 32-630.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(3), p. 508; R.S.1943, § 70-605; Laws 1986, LB 949, § 10; Laws 1994, LB 76, § 580.


70-606. District; petition requirements.

The petition for the original creation of a district shall conform to the requirements of section 32-628.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(4), p. 508; R.S.1943, § 70-606; Laws 1994, LB 76, § 581.


70-607. District; petition; investigation; approval.

Upon receipt of such petition it shall be the duty of the Nebraska Power Review Board at once to make an investigation of the proposed district and of its proposed plants, systems, or irrigation works, and, if deemed by the Nebraska Power Review Board feasible and conforming to public convenience and welfare, the Nebraska Power Review Board, or its successor, by its executive head, shall thereupon and within thirty days from the receipt of such petition, execute a certificate in duplicate, setting forth a true copy of the petition and declaring that the petition has been approved.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(5), p. 509; R.S.1943, § 70-607; Laws 1967, c. 419, § 1, p. 1293; Laws 1981, LB 181, § 11.


Annotations

70-608. District; certificate of approval; filing.

The Nebraska Power Review Board shall immediately cause one of the certificates to be forwarded to and filed in the office of the Secretary of State and the other one in the office of the county clerk of the county in which the principal place of business of the district is located. Thereupon such district under its designated name shall be and constitute a body politic and corporate.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(6), p. 509; R.S.1943, § 70-608; Laws 1981, LB 181, § 12.


70-609. District; board of directors; assumption of duties.

Immediately upon the filing of the certificate in the office of the Secretary of State and in the office of the county clerk, the members of the board of directors named in the petition, or appointed by the Governor in case the district has within its boundaries twenty-five or more cities and villages, shall qualify as provided for in section 70-616 and immediately assume the duties of their office. Failure or refusal to qualify shall be deemed to create a vacancy, which shall be filled as provided in section 70-615. The first meeting of the board of directors shall be called by the director first named in the petition who qualifies.

Source:Laws 1933, c. 86, § 3, p. 339; Laws 1937, c. 152, § 3, p. 579; C.S.Supp.,1941, § 70-703; Laws 1943, c. 145, § 1(7), p. 510; R.S.1943, § 70-609; Laws 1945, c. 157, § 2, p. 517; Laws 2000, LB 901, § 3.    


70-609.01. Board of directors; statement of public policy.

Because of the importance of electrical energy to the present and future development of the state, the effect of the operations of public power districts on both its citizens and economy, and the significant impact of the action or inaction of a public power district not only on its direct and indirect residential ratepayers but also on the population and economy of areas in proximity to the immediate area served, it is hereby declared to be the public policy of this state to provide for and encourage a broad base representation of the citizens of this state on the boards of directors of public power districts.

Source:Laws 1986, LB 949, § 1.


70-610. Board of directors; candidate qualifications; election; expenses.

(1) After the selection of the original board of directors of a district as provided for in sections 70-604 and 70-609, successors shall be nominated and elected as provided in section 32-512. Elections shall be conducted as provided in the Election Act.

(2) A candidate for director shall be a registered voter residing within the chartered territory or subdivision as defined in the charter of the district or a retail customer duly certified in accordance with subsection (3) of section 70-604.03.

(3) Each public power district shall pay for the election expenses of nominating and electing its directors as provided in this section. Except as otherwise provided in this section, the district shall pay to each county in which the name of one or more candidates appears upon the ballot as follows: Counties having a population of less than three thousand inhabitants, one hundred dollars; counties having a population of at least three thousand but less than nine thousand inhabitants, one hundred fifty dollars; counties having a population of at least nine thousand but less than fourteen thousand inhabitants, two hundred dollars; counties having a population of at least fourteen thousand but less than twenty thousand inhabitants, two hundred fifty dollars; counties having a population of at least twenty thousand but less than sixty thousand inhabitants, three hundred dollars; counties having a population of at least sixty thousand but less than one hundred thousand inhabitants, fifteen hundred dollars; counties having a population of at least one hundred thousand but less than two hundred thousand inhabitants, three thousand dollars; and counties having a population of two hundred thousand inhabitants or more, fifty-five hundred dollars. The population of a county for purposes of this section shall be the population as determined by the most recent federal decennial census.

When the name of one or more candidates of a district appears on ballots in less than one-half of the precincts in a county, the cost to the district shall be reduced fifty percent. Election expenses shall be due and payable by each public power district within thirty days after receipt of a statement from the county.

(4) In lieu of the payment of election expenses pursuant to subsection (3) of this section, a district shall pay for the election expenses of nominating and electing its board of directors pursuant to subsection (2) of section 32-1203 upon request of a county. The election expenses shall be due and payable by the district within thirty days after receipt from the county of an itemized statement of election expenses owed by the district. This subsection shall not be construed to authorize reimbursement for expenses not directly attributable to nominating and electing members of the board of directors.

Source:Laws 1933, c. 86, § 4, p. 344; Laws 1937, c. 152, § 4, p. 581; Laws 1941, c. 137, § 1, p. 542; C.S.Supp.,1941, § 70-704; Laws 1943, c. 145, § 2(1), (11), pp. 510, 515; Laws 1943, c. 146, § 1, p. 516; R.S.1943, § 70-610; Laws 1949, c. 198, § 1, p. 587; Laws 1957, c. 124, § 21, p. 431; Laws 1959, c. 135, § 29, p. 525; Laws 1963, c. 395, § 1, p. 1253; Laws 1967, c. 418, § 2, p. 1286; Laws 1969, c. 547, § 1, p. 2202; Laws 1972, LB 661, § 79; Laws 1972, LB 1401, § 1; Laws 1973, LB 364, § 1; Laws 1975, LB 453, § 57; Laws 1981, LB 181, § 13; Laws 1982, LB 198, § 2; Laws 1986, LB 949, § 11; Laws 1993, LB 90, § 1; Laws 1994, LB 76, § 582; Laws 2008, LB1067, § 2.    


Cross References

70-611. Board of directors; election; certified notice; publication.

(1) Not later than January 5 in each even-numbered year, the secretary of the district in districts grossing forty million dollars or more annually shall certify to the Secretary of State on forms prescribed by the Secretary of State the names of the counties in which all registered voters are eligible to vote for public power district candidates and for other counties the names of the election precincts within each county excluding the municipalities in which voters are not eligible to vote on public power district candidates. The secretary shall also certify the number of directors to be elected and the length of terms for which each is to be elected.

(2) Districts grossing less than forty million dollars annually shall prepare the same type of certification as districts grossing over forty million dollars annually and file such certification with the Secretary of State not later than July 1 of each even-numbered year.

(3) The secretary of each district shall, at the time of filing the certification, cause to be published once in a newspaper or newspapers of general circulation within the district a list of the incumbent directors and naming the counties or election precincts excluding those municipalities in which voters are not eligible to vote for public power district candidates in the same general form as the certification filed with the Secretary of State. A certified copy of the published notice shall be filed with the Secretary of State within ten days after such publication.

Source:Laws 1933, c. 86, § 4, p. 344; Laws 1937, c. 152, § 4, p. 581; Laws 1941, c. 137, § 1, p. 542; C.S.Supp.,1941, § 70-704; Laws 1943, c. 145, § 1(2), p. 511; Laws 1943, c. 146, § 1, p. 516; R.S.1943, § 70-611; Laws 1959, c. 135, § 30, p. 526; Laws 1972, LB 1401, § 2; Laws 1973, LB 364, § 2; Laws 1975, LB 453, § 58; Laws 1994, LB 76, § 583; Laws 1997, LB 764, § 110.


70-612. Board of directors; election; subdivisions; procedure.

(1)(a) Subject to the provisions of Chapter 70, article 6, and subject to the approval of the Nebraska Power Review Board, the board of directors of a district, other than a district with a service area containing a city of the metropolitan class, may amend the petition for its creation to provide for the division of the territory of such district into two or more subdivisions for the nomination and election of some or all of the directors. Each subdivision shall be composed of one or more voting precincts, or divided voting precincts, and the total population of each such subdivision shall be approximately the same. Except in districts which contain a city of the metropolitan class, two or more subdivisions may be combined for election purposes, and members of the board of directors to be elected from such combined subdivisions may be nominated and elected at large when not less than seventy-five percent of the population of the combined subdivisions is within the corporate limits of any city.

(b) In the event a district formed includes all or part of two or more counties and is (i) engaged in furnishing electric light and power and more than fifty percent of its customers are rural customers or (ii) engaged in furnishing electric light and power and in the business of owning and operating irrigation works, then and in that event such subdivisions may be formed by following precinct or county boundary lines without regard to population if in the judgment of the Nebraska Power Review Board the interests of the rural users of electricity or of users of irrigation water service in such district will not be prejudiced thereby.

(2)(a) The board of directors of a district with a service area containing a city of the metropolitan class may amend its charter to provide for the division of the territory of the district into election subdivisions composed of substantially equal population and compact and contiguous territory and number the subdivisions consecutively and submit the maps to the Nebraska Power Review Board.

(b) If the board of directors provides for eight election subdivisions prior to January 1, 2014, the board of directors shall assign each position on the board of directors to represent a numbered election subdivision for the remainder of the term of office for which the member is elected, regardless of whether the member resides in the subdivision, and shall make such assignments so that the terms of members representing election subdivisions numbered one, two, and three expire in January 2015, the terms of members representing election subdivisions numbered four and five expire in January 2017, and the terms of members representing election subdivisions six, seven, and eight expire in January 2019. If possible, each member shall be assigned to represent an election subdivision that corresponds to the end of the term he or she is serving.

(c) A successor who resides in the numbered election subdivision shall be nominated and elected at the statewide primary and general elections held in the calendar year prior to the expiration of the term of the member who represents such numbered election subdivision.

(3) After each federal decennial census, the board of directors of a district with a service area containing a city of the metropolitan class shall create new boundaries for the election subdivisions. In establishing the boundaries of the election subdivisions, the board of directors shall follow county lines wherever practicable, shall provide for the subdivisions to be composed of substantially equal population and compact and contiguous territory, and shall, as nearly as possible, follow the precinct lines created by the election commissioner or county clerk after each federal decennial census.

(4) Any public power district or public power and irrigation district owning and operating irrigation works may, with approval of the Nebraska Power Review Board, add representation on its board of directors from any county which is outside its chartered territory but in which is located some or all of such irrigation works.

Source:Laws 1937, c. 152, § 4, p. 581; Laws 1941, c. 137, § 1, p. 542; C.S.Supp.,1941, § 70-704; Laws 1943, c. 145, § 1(3), p. 511; Laws 1943, c. 146, § 1, p. 516; R.S.1943, § 70-612; Laws 1967, c. 418, § 3, p. 1287; Laws 1981, LB 181, § 14; Laws 1982, LB 198, § 3; Laws 1986, LB 949, § 12; Laws 1992, LB 424, § 18; Laws 1992, LB 573, § 9; Laws 2013, LB646, § 2.    


Annotations

70-613. Repealed. Laws 1975, LB 453, § 61.

70-614. Repealed. Laws 1994, LB 76, § 615.

70-614.01. Repealed. Laws 1967, c. 418, § 16.

70-614.02. Repealed. Laws 1967, c. 418, § 16.

70-615. Board of directors; vacancy; how filled.

(1) In addition to the events listed in section 32-560, a vacancy on the board of directors shall exist in the event of the (a) removal from the chartered area of any director, (b) removal from the subdivision from which such director was elected except as otherwise provided in subsection (2) or (3) of section 70-612, (c) elimination or detachment from the chartered area of the territory in which a director or directors reside, or (d) expiration of the term of office of a director and failure to elect a director to fill such office at the preceding general election. After notice and hearing, a vacancy shall also exist in the event of the absence of any director from more than two consecutive regular meetings of the board, unless such absences are excused by a majority of the remaining board members.

(2) In the event of a vacancy from any of such causes, or otherwise, such vacancy or vacancies shall, except in districts having within their chartered area twenty-five or more cities and villages, be filled by the board of directors. In districts having within their chartered area twenty-five or more cities and villages, vacancies shall be filled by the Governor.

(3) If a vacancy occurs during the term of any director prior to the deadline for filing and the unexpired term extends beyond the first Thursday after the first Tuesday in January following the next general election, an appointment shall be until the first Thursday after the first Tuesday in January following the next general election, and candidates may file nomination papers as provided by law for the placing of their names upon the ballot for election to the unexpired term. If a vacancy occurs during the term of any director after the deadline for filing for election, an appointment shall be until the first Thursday after the first Tuesday in January following the next general election for which candidates may file nomination papers as provided by law.

(4) At any time a vacancy is to be filled by election, the secretary of the district shall give notice to the public by publishing the notice of vacancy, length of term, and the deadline for filing, once in a newspaper or newspapers of general circulation within the district.

(5) Any appointment shall be filed with the Secretary of State by certified mail.

Source:Laws 1933, c. 86, § 4, p. 344; Laws 1937, c. 152, § 4, p. 581; Laws 1941, c. 137, § 1, p. 542; C.S.Supp.,1941, § 70-704; Laws 1943, c. 145, § 1(7), p. 514; Laws 1943, c. 146, § 1, p. 516; R.S.1943, § 70-615; Laws 1945, c. 157, § 3, p. 518; Laws 1953, c. 106, § 31, p. 338; Laws 1957, c. 124, § 23, p. 436; Laws 1967, c. 418, § 5, p. 1268; Laws 1973, LB 364, § 3; Laws 1975, LB 453, § 59; Laws 1985, LB 569, § 2; Laws 1994, LB 76, § 584; Laws 2013, LB646, § 3.    


70-616. Board of directors; oath.

Before entering upon the duties of his office, every member elected to membership on the board of directors shall take and subscribe to an oath to support the Constitution of the United States and the Constitution of the State of Nebraska, and faithfully and impartially to perform the duties of his office, which oath shall be filed in the office of the Secretary of State.

Source:Laws 1933, c. 86, § 4, p. 344; Laws 1937, c. 152, § 4, p. 581; Laws 1941, c. 137, § 1, p. 542; C.S.Supp.,1941, § 70-704; Laws 1943, c. 145, § 1(8), p. 515; Laws 1943, c. 146, § 1, p. 516; R.S.1943, § 70-616.


70-617. Repealed. Laws 2000, LB 901, § 10.

70-618. Repealed. Laws 1984, LB 975, § 14.

70-619. Board of directors; qualifications; eligibility to serve.

(1) The corporate powers of the district shall be vested in and exercised by the board of directors of the district. No person shall be qualified to hold office as a member of the board of directors unless (a) he or she is a registered voter (i) of such chartered territory, (ii) of the subdivision from which a director is to be elected if such chartered territory is subdivided for election purposes as provided in subsection (1), (2), or (3) of section 70-612, or (iii) of one of the combined subdivisions from which directors are to be elected at large as provided in section 70-612 or (b) he or she is a retail customer duly certified in accordance with subsection (3) of section 70-604.03.

(2)(a) No person who is a full-time or part-time employee of the district shall be eligible to serve as a member of the board of directors of that district and no high-level manager employed by a district may serve as a member of the board of directors of any district unless such person (i) resigns or (ii) assumes an unpaid leave of absence for the term as a member. The employing district shall grant such leave of absence when requested by any employee for the purpose of the employee serving as a member of such board. A member of a governing body of any one of the municipalities within the areas of the district may not serve on the original board of directors under sections 70-603 to 70-609.

(b) For purposes of this subsection, high-level manager means a person employed by a district who serves in a high-level managerial position, including chief executive officer, president, vice president, chief financial officer, chief operations officer, general manager, or assistant general manager.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 518; R.S.1943, § 70-619; Laws 1944, Spec. Sess., c. 5, § 1(1), p. 106; Laws 1957, c. 127, § 2, p. 440; Laws 1963, c. 396, § 1, p. 1258; Laws 1967, c. 418, § 6, p. 1288; Laws 1973, LB 364, § 4; Laws 1982, LB 198, § 4; Laws 1983, LB 15, § 1; Laws 1985, LB 2, § 5; Laws 1986, LB 949, § 13; Laws 1991, LB 3, § 1; Laws 1994, LB 76, § 585; Laws 2013, LB646, § 4;    Laws 2015, LB177, § 1.    


Cross References

Annotations

70-620. Officers; appointment; treasurer's bond.

(1) In districts receiving annual gross revenue of less than forty million dollars, the board of directors shall appoint the officers of the district, who shall be a president, a vice president, a secretary, and a treasurer, and the board shall appoint such executive committee and other officers, including a general manager, agents, servants, and employees, as deemed necessary in handling the affairs and transacting the business of the district. The president and vice president shall be appointed from the membership of the board of directors. The treasurer may be appointed from the membership of the board of directors and shall furnish and maintain a corporate surety bond in an amount sufficient to cover all money coming into his or her possession or control. The bond shall be satisfactory in form and with sureties approved by the board. The bond required under this subsection shall in no event exceed one hundred thousand dollars. The bond as thus approved shall be filed with the Secretary of State.

(2) In those districts receiving annual gross revenue of forty million dollars or more, the board of directors shall appoint the officers of the district, who shall be a president or chairperson of the board, a vice president or vice-chairperson of the board, a secretary, and a treasurer, and the board shall appoint such executive committee and other officers, including a president or general manager, agents, servants, and employees, as deemed necessary in handling the affairs and transacting the business of the district. The president or chairperson of the board and vice president or vice-chairperson of the board shall be appointed from the membership of the board of directors. The treasurer may be appointed from the membership of the board of directors and shall furnish and maintain a corporate surety bond in an amount sufficient to cover all money coming into his or her possession or control. The bond shall be satisfactory in form and with sureties approved by the board. The bond required under this subsection shall in no event exceed one hundred thousand dollars. The bond as thus approved shall be filed with the Secretary of State.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 519; R.S.1943, § 70-620; Laws 1944, Spec. Sess., c. 5, § 1(2), p. 106; Laws 1951, c. 222, § 1, p. 793; Laws 1981, LB 34, § 1; Laws 1984, LB 49, § 1; Laws 1990, LB 1013, § 1.


70-620.01. Chief executive officer; terms of employment; powers; duties.

In districts receiving annual gross revenue of less than forty million dollars, a general manager may be employed on such terms as the board deems advisable. He or she shall be chief executive officer of the district and, subject to the control of the board of directors, shall manage, conduct, and administer the affairs of the district in an efficient and economical manner.

In those districts receiving annual gross revenue of forty million dollars or more, a chief executive officer, who shall be designated as general manager if the board appoints a president of the board or as president if the board appoints a chairperson of the board, may be employed on such terms as the board deems advisable and, subject to the control of the board of directors, shall manage, conduct, and administer the affairs of the district in an efficient and economical manner.

Source:Laws 1943, c. 146, § 2(1), p. 519; R.S.1943, § 70-620.01; Laws 1944, Spec. Sess., c. 5, § 1(3), p. 106; Laws 1984, LB 49, § 2.


70-621. Board of directors; rules and regulations.

The board of directors may adopt rules and regulations, or bylaws not inconsistent with the provisions of Chapter 70, article 6, for the conduct of the business and affairs of the district.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 519; R.S.1943, § 70-621; Laws 1944, Spec. Sess., c. 5, § 1(4), p. 106; Laws 1981, LB 181, § 15.


70-622. Books and records; where kept; open to inspection.

The board of directors shall cause to be kept accurate minutes of their meetings and accurate records and books of account, conforming to approved methods of bookkeeping, clearly setting out and reflecting the entire operation, management and business of the district. Said books and records shall be kept at the principal place of business of the district or at such other regularly maintained place or places of business of the district as shall be designated by the board of directors, with due regard to the convenience of the district and its customers in the several localities or divisions served or from which the information is thus gathered or obtained. Said books and records shall at reasonable business hours be open to public inspection.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 520; R.S.1943, § 70-622; Laws 1944, Spec. Sess., c. 5, § 1(5), p. 106.


Annotations

70-623. Fiscal year; annual audit; filing.

The fiscal year of the district shall coincide with the calendar year, except that a district with only one wholesale customer that is a city or a village may use the same fiscal year as the city or village. The board of directors, at the close of each year's business, shall cause an audit of the books, records, and financial affairs of the district to be made by a certified public accountant or firm of such accountants, who shall be selected by the district. The audit shall be conducted in the manner prescribed in section 84-304.01. When the audit has been completed, written copies of the audit shall be placed and kept on file at the principal place of business of the district and shall be filed with the Auditor of Public Accounts and the Nebraska Power Review Board within one hundred eighty days after the last day of the district's fiscal year.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 519; R.S.1943, § 70-623; Laws 1944, Spec. Sess., c. 5, § 1(6), p. 107; Laws 1967, c. 420, § 1, p. 1294; Laws 1981, LB 302, § 6; Laws 1993, LB 310, § 8; Laws 2004, LB 969, § 13;    Laws 2014, LB798, § 1.    


70-623.01. Repealed. Laws 1981, LB 181, § 66.

70-623.02. Audit; records accessible to auditor.

The audit required by section 70-623 shall be made at the close of the fiscal year. The person making the audit shall have access to all books, records, vouchers, papers, contracts, or other data containing information on the subject (1) in the office of the public power or public power and irrigation district, (2) in the office of the chief executive officer of the district provided for in section 70-620.01, or (3) in the possession or under the control of any of the officers, agents, or servants of the district. All officers, agents, and servants of the public power or public power and irrigation district shall furnish to the person making the audit and his or her agents, servants, and employees such information regarding the auditing of the public power or public power and irrigation districts as may be demanded.

Source:Laws 1943, c. 146, § 2(3), p. 521; R.S.1943, § 70-623.02; Laws 1944, Spec. Sess., c. 5, § 1(11), p. 109; Laws 1991, LB 3, § 2; Laws 1993, LB 310, § 9.


70-623.03. Failure to file audit; effect.

If any public power district fails to file a copy of an audit within the time prescribed in section 70-623, then its books, records, and financial affairs shall, within one hundred eighty days after the close of the fiscal year of the district, be audited by a certified public accountant or firm of accountants selected by the Auditor of Public Accounts. The cost of the audit shall be paid by the district. A copy of such audit shall be placed and kept on file at the principal place of business of the district.

Source:Laws 1945, c. 160, § 1, p. 523; Laws 1993, LB 310, § 10.


70-624. Officers; compensation; approval; publication; violation; penalty.

(1) In no event shall the compensation, as a salary or otherwise, of any general manager or president, assistant general manager or vice president, or other officer be approved except by the vote of approval of two-thirds or more of the members of the board of directors. The record of such vote of approval, together with the names of the directors so voting, shall be made a part of the permanent records of the board.

(2) The current salaries of any general manager or president or assistant general manager or vice president and all officers of the district shall be published once each year in three legal newspapers of general circulation in the district in which such general manager or president, assistant general manager or vice president, or officers are employed. The chief executive officer as described in section 70-620.01 shall be responsible for publishing the current salaries as required by this subsection. Any chief executive officer who violates this subsection shall be guilty of a Class V misdemeanor.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 520; R.S.1943, § 70-624; Laws 1944, Spec. Sess., c. 5, § 1(7), (8), (9), pp. 107, 108; Laws 1949, c. 199, § 1(1), p. 579; Laws 1971, LB 243, § 1; Laws 1982, LB 739, § 1; Laws 1984, LB 49, § 3; Laws 1994, LB 915, § 1.


70-624.01. District; agent; cost-plus contracts prohibited.

No district shall hereafter pay or agree to pay any agent a fee or other compensation, for services rendered or to be rendered in connection with the acquisition of any property by any such district, which fee or compensation increases with the amount of the purchase price of the property acquired. Every contract in which such district agrees to pay compensation to any agent upon any such basis is hereby declared to be against public policy, illegal, and void; Provided, as to any such contract heretofore made that is legally binding upon any such district, sections 70-619 to 70-624.02 shall not prevent payment of fees or compensation according to the terms thereof. Any officer or director of any such district, who shall authorize, approve, or sanction any such payment or agreement, contrary to the provisions of sections 70-619 to 70-624.02, shall be subject to removal from office therefor in the manner provided by law for removal of county officers and shall be personally liable to the district for the amount paid. The term agent, as used in this section, shall be deemed to include any person, firm, or corporation that seeks to receive payment out of the funds of the district or the proceeds of sale of securities issued by it for acting on its behalf in conducting any transaction relating to the acquisition of property or financing of its indebtedness.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 520; R.S.1943, § 70-624; Laws 1944, Spec. Sess., c. 5, § 1(7), (8), (9), pp. 107, 108; Laws 1949, c. 199, § 1(2), p. 579.


70-624.02. Board of directors; expenses; compensation; prohibitions; exceptions.

The members of the board of directors shall be paid their actual expenses, while engaged in the business of the district under the authority of the board of directors, and, for their services, such compensation as shall be fixed by the board of directors.

The boards of directors of those districts with gross revenue of less than forty million dollars may fix compensation at not to exceed six thousand seven hundred twenty dollars per year as to all members except the president and not exceeding seven thousand five hundred sixty dollars a year as to the president.

The boards of directors of those districts with gross revenue of forty million dollars or more may fix compensation at not to exceed thirteen thousand four hundred forty dollars per year as to all members except the president or chairperson of the board and not exceeding fifteen thousand one hundred twenty dollars per year as to the president or chairperson of the board. All salaries and compensation shall be obligations against and be paid solely from the revenue of the district. No director shall receive any other compensation from the district, except as provided in this section, during the term for which he or she was elected or appointed or in the year following the expiration of his or her term, and resignation from such board of directors shall not be construed as the termination of the term of office for which he or she was elected or appointed. A member of the board of directors of a public power district organized under the laws of this state shall not be limited to service on the board of directors in the district in which he or she has been elected so as to preclude service in similar positions of trust on a state, regional, or national level which are the result of his or her membership as a director on such board. For time expended in his or her duties in such position of trust, the director shall not be limited to any existing provisions of law of this state relating to payment of per diem for services as a member of such board of directors, but shall be entitled to receive such additional compensation as may be provided for such service, regardless of the fact that such compensation may be paid from funds to which his or her district has made contributions in the form of dues or otherwise.

Source:Laws 1933, c. 86, § 5, p. 345; C.S.Supp.,1941, § 70-705; Laws 1943, c. 146, § 2(1), p. 520; R.S.1943, § 70-624; Laws 1944, Spec. Sess., c. 5, § 1(7), (8), (9), pp. 107, 108; Laws 1949, c. 199, § 1(3), p. 580; Laws 1965, c. 405, § 1, p. 1304; Laws 1965, c. 406, § 1, p. 1306; Laws 1969, c. 548, § 1, p. 2204; Laws 1971, LB 308, § 1; Laws 1975, LB 226, § 1; Laws 1978, LB 837, § 1; Laws 1984, LB 49, § 4; Laws 1985, LB 75, § 1; Laws 1990, LB 730, § 2; Laws 1993, LB 6, § 1; Laws 2000, LB 901, § 4.    


70-624.03. Board of directors; plan of insurance for benefit of employees and dependents; may establish.

The board of directors may establish a plan of insurance, designed and intended for the benefit of the employees of the district and the dependents of employees of the district, and, in the discretion of the board, expend funds of the district for the payment of premiums for such employees' and dependents' group, franchise, or wholesale insurance policies. Members of the board of directors of the district may be considered employees for purposes of this section. The dollar amount of any health insurance premiums paid from the funds of the district for the benefit of a member of the board of directors may be in addition to the amount of compensation authorized to be paid to such director pursuant to section 70-624.02.

Source:Laws 1949, c. 199, § 1(4), p. 580; Laws 1972, LB 1186, § 1; Laws 1993, LB 182, § 1; Laws 2000, LB 901, § 5.    


70-624.04. Directors and employees; hold other elective office; contract not void or voidable; when.

Directors and employees of public power districts, public power and irrigation districts, and public utility companies shall be permitted to hold other elective office as provided in section 32-604. No contracts of any such public power district, public power and irrigation district, or public utility company shall be void or voidable by reason of such service by its directors or employees.

Source:Laws 1971, LB 494, § 1; Laws 1973, LB 559, § 9; Laws 1990, LB 931, § 7; Laws 1991, LB 20, § 3; Laws 1991, LB 12, § 6; Laws 1994, LB 76, § 586.


Annotations

70-625. Public power district; powers; restrictions.

(1) Subject to the limitations of the petition for its creation and all amendments to such petition, a public power district has all the usual powers of a corporation for public purposes and may purchase, hold, sell, and lease personal property and real property reasonably necessary for the conduct of its business. No district may sell household appliances at retail if the retail price of any such appliance exceeds fifty dollars, except that newly developed electrical appliances may be merchandised and sold during the period of time in which any such appliances are being introduced to the public. New models of existing appliances shall not be deemed to be newly developed appliances. An electrical appliance shall be considered to be in such introductory period of time until the particular type of appliance is used by twenty-five percent of all the electrical customers served by such district, but such period shall in no event exceed five years from the date of introduction by the manufacturer of the new appliance to the local market.

(2) In addition to its powers authorized by Chapter 70 and specified in its petition for creation, as amended, a public power district may sell, lease, and service satellite television signal descrambling or decoding devices, satellite television programming, and equipment and services associated with such devices and programming, except that this section does not authorize public power districts (a) to provide signal descrambling or decoding devices or satellite programming to any location (i) being furnished such devices or programming on April 24, 1987, or (ii) where community antenna television service is available from any person, firm, or corporation holding a franchise pursuant to sections 18-2201 to 18-2206 or a permit pursuant to sections 23-383 to 23-388 on April 24, 1987, or (b) to sell, service, or lease C-band satellite dish systems or repair parts.

(3) In addition to the powers authorized by Chapter 70 and specified in its petition for creation as amended, the board of directors of a public power district may apply for and use funds available from the United States Department of Agriculture or other federal agencies for grants or loans to promote economic development and job creation projects in rural areas as permitted under the rules and regulations of the federal agency from which the funds are received. Any loan to be made by a district shall only be made in participation with a bank pursuant to a contract. The district and the participating bank shall determine the terms and conditions of the contract. In addition, in rural areas of the district, the board of directors of such district may provide technical or management assistance to prospective, new, or expanding businesses, including home-based businesses, provide assistance to a local or regional industrial or economic development corporation or foundation located within or contiguous to the district's service area, and provide youth and adult community leadership training.

(4) In addition to the powers authorized by Chapter 70 and specified in its petition for creation as amended, a public power district may sell or lease its dark fiber pursuant to sections 86-574 to 86-578.

(5) Notwithstanding any law, ordinance, resolution, or regulation of any political subdivision to the contrary, each public power district may receive funds and extend loans pursuant to the Nebraska Investment Finance Authority Act or pursuant to this section. In addition to the powers authorized by Chapter 70 and specified in its petition for creation, as amended, and without the need for further amendment thereto, a public power district may own and operate, contract to operate, or lease energy equipment and provide billing, meter reading, surveys, or evaluations and other administrative services, but not to include natural gas services, of public utility systems within a district's service territory.

Source:Laws 1933, c. 86, § 6, p. 346; Laws 1937, c. 152, § 5, p. 583; C.S.Supp.,1941, § 70-706; Laws 1943, c. 146, § 3(1), p. 521; R.S.1943, § 70-625; Laws 1961, c. 335, § 1, p. 1045; Laws 1980, LB 954, § 62; Laws 1987, LB 23, § 1; Laws 1987, LB 345, § 1; Laws 1994, LB 915, § 2; Laws 1997, LB 658, § 8; Laws 1997, LB 660, § 1; Laws 2001, LB 827, § 15;    Laws 2002, LB 1105, § 477.    


Cross References

Annotations

70-625.01. Rural areas; legislative findings and declarations.

The Legislature finds and declares that:

(1) There are rural areas in the state which are experiencing declines in economic activity and the outmigration of rural residents which is eroding the tax base of those rural areas and undermining the ability of the state and local governments to provide essential public services;

(2) Rural economic development efforts can increase the productivity of economic resources, create and enhance employment opportunities, increase the level of income and quality of life for rural residents, assist in slowing or reversing the outmigration of rural residents, and help maintain essential public services to the advantage not only of those rural areas but also of the state as a whole and the electric utilities serving those rural areas;

(3) Funds may be available from the United States Department of Agriculture or other federal agencies to suppliers of electricity in rural areas to promote economic development and job creation projects;

(4) It is the policy of this state to promote economic development and job creation projects in rural areas through the use of federal funds and other funds which may be available as authorized in subsection (3) of section 70-625;

(5) Public power districts operating in rural areas of this state are uniquely situated through their boards of directors to know and understand the need to promote economic development and job creation projects in their service areas; and

(6) Involvement by publicly owned electric utilities operating in rural areas in such economic development activities serves a public purpose and it is the public policy of this state to allow public power districts to promote economic development and job creation projects in rural areas as provided in subsection (3) of section 70-625.

Source:Laws 1997, LB 658, § 7.


70-625.02. Electric transmission facilities and interconnections, defined; policy of state.

It is declared to be the policy of the State of Nebraska that electric transmission facilities and interconnections which are defined as being electric lines having a rating of thirty-four thousand five hundred volts and higher will be provided and made available to all power agencies so as to result in the lowest possible cost for the transmission and delivery of electric energy over the transmission and interconnected facilities of any public power district, public power and irrigation district, individual municipality, group of municipalities registered with the Nebraska Power Review Board, governmental subdivision, or nonprofit electric cooperative corporation.

Source:Laws 1967, c. 421, § 1, p. 1295; Laws 1969, c. 550, § 1, p. 2206; Laws 1981, LB 181, § 16.


70-626. Electric light and power, hydrogen, and ethanol systems authorized; construction; acquisition; contracts authorized; copy filed with Nebraska Power Review Board.

Subject to the limitations of the petition for its creation and all amendments thereto, a district may own, construct, reconstruct, purchase, lease, or otherwise acquire, improve, extend, manage, use, or operate any electric light and power plants, lines, and systems, any hydrogen production, storage, or distribution systems, or any ethanol production or distribution systems, either within or beyond, or partly within and partly beyond, the boundaries of the district and may engage in or transact business or enter into any kind of contract or arrangement with any person, firm, corporation, state, county, city, village, governmental subdivision, or agency, with the government of the United States, the Rural Electrification Administration or its successor, the Public Works Administration or its successor, or any officer, department, bureau, or agency thereof, with any corporation organized by federal law, including the Reconstruction Finance Corporation or its successor, or with any body politic or corporate for any of the purposes mentioned in this section, for or incident to the exercise of any one or more of the powers described in this section, or for the generation, distribution, transmission, sale, or purchase of electrical energy, hydrogen, or ethanol for lighting, power, heating, and any and every other useful purpose whatsoever, and for any and every service involving, employing, or in any manner pertaining to the use of electrical energy, by whatever means generated or distributed, or for the financing or payment of the cost and expense incident to the acquisition or operation of any such power plant or system, hydrogen production, storage, or distribution system, or ethanol production or distribution system, or incident to any obligation or indebtedness entered into or incurred by the district. In the case of the acquisition by purchase, lease, or any other contractual obligation of an existing electric light and power plant, lines, or system, hydrogen production, storage, or distribution system, or ethanol production or distribution system from any person, firm, association, or private corporation by any such district, a copy of the proposed contract shall be filed with the Nebraska Power Review Board and open to public inspection and examination for a period of thirty days before such proposed contract may be signed, executed, or delivered, and such proposed contract shall not be valid for any purpose and no rights may arise under such contract until after such period of thirty days has expired.

Source:Laws 1933, c. 86, § 6, p. 346; Laws 1937, c. 152, § 5, p. 583; C.S.Supp.,1941, § 70-706; Laws 1943, c. 146, § 3(2), p. 521; R.S.1943, § 70-626; Laws 1945, c. 157, § 4, p. 518; Laws 1981, LB 181, § 17; Laws 1986, LB 1230, § 37; Laws 2005, LB 139, § 6.    


Annotations

70-626.01. Generating power agency; duty to sell electrical energy; when.

A district, individual municipality, or group of municipalities registered with the Nebraska Power Review Board which is engaged in the generation and transmission of electrical energy, all of which are referred to in Chapter 70, article 6, by the term generating power agency, shall be required to sell electrical energy at wholesale under the terms and conditions of a fair and reasonable contract directly to any municipality, registered group of municipalities, district, political subdivision in the state, or any nonprofit electric cooperative corporation organized under Chapter 70, article 7, all of which are referred to in Chapter 70, article 6, by the term distribution power agency, when such distribution power agency makes application for the purchase of electrical energy, if such sale is not in violation of an agreement of the generating power agency approved by the Nebraska Power Review Board and such generating power agency has the requested amount of electrical energy available for sale, and the distribution power agency agrees to make or pay for the necessary physical connection with the electrical facilities of such generating power agency.

Source:Laws 1943, c. 146, § 3(2), p. 522; R.S.1943, § 70-626.01; Laws 1967, c. 421, § 2, p. 1295; Laws 1971, LB 349, § 3; Laws 1981, LB 181, § 18.


Cross References

Annotations

70-626.02. Generating power agency; physical connections; establish; rates.

A generating power agency shall establish a physical connection of its transmission lines and associated facilities with the facilities of a distribution power agency or with the facilities of an intervening power agency when requested by the distribution power agency and shall make available any surplus capacity in its transmission lines and associated facilities and provide for the receipt, transmission, and delivery of power and energy for the account of the distribution power agency upon the payment of rates, tolls, and charges that are reasonable, fair, and nondiscriminatory for the use made of the transmission lines and associated facilities of the generating power agency.

Source:Laws 1967, c. 421, § 3, p. 1296; Laws 1969, c. 550, § 2, p. 2207.


70-626.03. Transmission facilities of other power agency; available for transmission of electric energy; rates.

Surplus capacity in transmission facilities owned by any other power agency shall be made available for transmitting and delivering electric energy to any Nebraska power agency. Electrical energy shall be transmitted and delivered over the transmission facilities by any power agency subject to the terms of sections 70-625.02 and 70-626.01 to 70-626.04 but only upon payment of rates, tolls, and charges that are reasonable, fair, and nondiscriminatory for the use made of the transmission facilities of the power agency.

Source:Laws 1967, c. 421, § 4, p. 1296; Laws 1969, c. 550, § 3, p. 2207.


70-626.04. Disagreement between power agencies; file complaint with Nebraska Power Review Board; notice; hearing; order advisory provision; effect.

In the event of any disagreement between the generating power agency and a distribution power agency or between any of the power agencies, whether wholesale or retail, regarding the provisions of sections 70-626.01 to 70-626.03 and the use of transmission lines and associated facilities and the establishment of the physical connection therewith, either party to the disagreement may file a written complaint with the Nebraska Power Review Board requesting the board to hear the complaint and issue an order for settlement of the disagreement. Upon the receipt of such a request, the board shall set the matter for hearing within thirty days after the request is made by the complaining party. The board shall provide notice to the other party to the disagreement at least fifteen days prior to the hearing. After the hearing is completed the board shall, within forty-five days, enter an order setting forth its decision on the issues in disagreement and the disposition of the dispute, taking into consideration whether the relief requested by the complaining party is necessary or appropriate in the public interest and will place no undue burden upon the parties affected thereby. Any provision in an order of the board regarding any rate to be charged by a public power district or public power and irrigation district which has agreed with the holders of its outstanding bonds that the district will fix such rates shall be advisory only and shall not be binding on the district.

Source:Laws 1967, c. 421, § 5, p. 1296; Laws 1969, c. 550, § 4, p. 2207.


70-626.05. Wheeling service; contract; dispute; exception; board; settlement.

When a power agency has requested wheeling service under sections 70-626.01 to 70-626.03, the parties shall develop a contract for such wheeling service. Any provisions of the contract which cannot be resolved by the parties shall then be the subject of a dispute filed with the board for settlement. The provisions of this section shall not include the matter of rates to be paid for such wheeling service in the contract.

Source:Laws 1969, c. 550, § 5, p. 2208.


70-627. Irrigation works; construction; acquisition; contracts authorized.

Subject to the limitations of the petition for its creation and all amendments thereto, a public power district may own, construct, reconstruct, improve, purchase, lease, or otherwise acquire, extend, manage, use or operate any irrigation works, as defined in section 70-601, either within or beyond, or partly within and partly beyond, the boundaries of the district, and any and every kind of property, personal or real, necessary, useful or incident to such acquisition, extension, management, use and operation, whether the same be independent of or in connection or conjunction with an electric light and power business, in whole or in part. In connection with the aforesaid powers, such district shall have the right and power to enter into any contract, lease, agreement or arrangement with any state, county, city, village, governmental or public corporation or association, or with any person, firm or corporation, public or private, or with the government of the United States, the Rural Electrification Administration, the Public Works Administration, or with any officer, department, bureau or agency thereof, or with any corporation organized under federal law, including the Reconstruction Finance Corporation, or any successor thereof, for the purpose of exercising or utilizing any one or more of the above enumerated powers, or for the sale, leasing, or otherwise furnishing or establishing, water rights, water supply, water service or water storage, for irrigation or flood control, or for the financing or payment of the cost and expenses incident to the construction, acquisition or operation of such irrigation works, or incident to any obligation or liability entered into or incurred by such district.

Source:Laws 1933, c. 86, § 6, p. 346; Laws 1937, c. 152, § 5, p. 583; C.S.Supp.,1941, § 70-706; Laws 1943, c. 146, § 3(3), p. 522; R.S.1943, § 70-627.


Annotations

70-627.01. Repealed. Laws 1995, LB 120, § 3.

70-627.02. District; radioactive material and energy; powers; development; contracts; financing; indemnification; when.

In addition to all other rights and powers which may be possessed by a public power district or public power and irrigation district under the petition for its creation and all amendments thereto and other statutes, any such district which has radioactive material available to it in association with facilities constructed in connection with the production of electrical energy shall have the power to: (1) Use, sell, lease, transport, dispose of, furnish, or make available, under contract or otherwise, to any person, firm, corporation, state, county, city, village, governmental subdivision or agency, the government of the United States or any officer, department, bureau or agency thereof, any corporation organized by federal law, or any body politic or corporate, any such radioactive material or the energy therefrom; (2) own, operate, construct, reconstruct, purchase, remove, lease, or otherwise acquire, improve, extend, manage, use, or operate such facilities or property, real or personal; or (3) engage in or transact business or enter into any kind of contract or arrangement with anyone for or incident to the exercise of any one or more of the powers of the district for any and every service involving, employing, or in any manner pertaining to the use of radioactive material or the energy therefrom or for the financing or payment of the cost and expense incident to the acquisition, construction, reconstruction, improvement, or operation of such facilities or property, real or personal, or incident to any obligation or indebtedness entered or incurred by any such district.

A public power district or public power and irrigation district may indemnify a public or private entity for such entity's own negligence, notwithstanding section 25-21,187, if the district enters into a contract with the public or private entity for the management or operation of a nuclear power plant that provides for compensation on an at-cost basis. This section does not authorize indemnification for any direct damages from the misconduct of such public or private entity engaged in management or operation of a nuclear power plant. The same limitations of liability and other protections available to a public power district or a public power and irrigation district under the Political Subdivisions Tort Claims Act shall apply to any public or private entity acting as an agent for a public power district or a public power and irrigation district pursuant to a contract for the management or operation of a nuclear power plant.

Source:Laws 1959, c. 316, § 2, p. 1159; Laws 2003, LB 165, § 12.    


Cross References

70-628. District; additional powers.

In addition to the rights and powers enumerated in Chapter 70, article 6, and in no manner limiting or restricting the same, each district shall be deemed to be and shall have and exercise each and all of the rights and powers of a public electric light and power district or public power district within the meaning of sections 70-501 to 70-503.

Source:Laws 1933, c. 86, § 6, p. 346; Laws 1937, c. 152, § 5, p. 583; C.S.Supp.,1941, § 70-706; Laws 1943, c. 146, § 3(4), p. 523; R.S.1943, § 70-628; Laws 1981, LB 181, § 19.


Annotations

70-628.01. Joint exercise of powers by districts; agreement; terms and conditions; agent; powers and duties; prudent utility practice, defined; liabilities; sale, lease, merger, or consolidation; procedure.

(1) Such district shall have and may exercise any one or more of the powers, rights, privileges, and franchises mentioned in sections 70-625 to 70-628, either alone or jointly with one or more other districts. In any joint exercise of powers, rights, privileges, and franchises with respect to the construction, operation, and maintenance of electric generation or transmission facilities, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities, each district shall own an undivided interest in each such facility and be entitled to the share of the output or capacity therefrom attributable to its undivided interest. Each district may enter into an agreement or agreements with respect to any electric generation or transmission facility, hydrogen production, storage, or distribution facility, or ethanol production or distribution facility with the other district or districts, and such agreement shall contain such terms, conditions, and provisions consistent with this section as the board of directors of the district shall deem to be in the interests of the district.

(2) The agreement may include, but not be limited to, (a) provisions for the construction, operation, and maintenance of an electric generation or transmission facility, a hydrogen production, storage, or distribution facility, or an ethanol production or distribution facility by any one of the participating districts, which shall be designated in or pursuant to such agreement as agent, on behalf of itself and the other participating districts or by such other means as may be determined by the participating districts and (b) provisions for a uniform method of determining and allocating among participating districts the costs of construction, operation, maintenance, renewals, replacements, and improvements with respect to such facility. In carrying out its functions and activities as the agent with respect to construction, operation, and maintenance of a facility, such agent shall be governed by the laws and regulations applicable to such agent as a separate legal entity and not by any laws or regulations which may be applicable to any of the other participating districts.

(3) Notwithstanding the provisions of any other law to the contrary, pursuant to the terms of the agreement any participating district or districts may delegate its powers and duties with respect to the construction, operation, and maintenance of a facility to the participating district acting as agent, and all actions taken by such agent in accordance with the provisions of the agreement shall be binding upon each of such participating districts without further action or approval by their respective boards of directors. The district acting as the agent shall be required to exercise all such powers and perform its duties and functions under the agreement in a manner consistent with prudent utility practice. For purposes of this section, prudent utility practice shall mean any of the practices, methods, and acts at a particular time which, in the exercise of reasonable judgment in the light of the facts, including, but not limited to, the practices, methods, and acts engaged in or approved by a significant portion of the electrical utility industry prior thereto, known at the time the decision was made, would have been expected to accomplish the desired result at the lowest reasonable cost consistent with reliability, safety, and expedition. In no event shall anything in this section be deemed to authorize any district to become liable for and to pay for any costs, expenses, or liabilities attributable to the undivided interest of any other district participating in such electric generation or transmission facility. Any district that is interested by ownership, lease, or otherwise in the operation of electric power plants, distribution systems, or transmission lines, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities, either alone or in association with another district or districts, may sell, lease, combine, merge, or consolidate all or a part of its property with the property of any other district or districts with the approval of a majority of the board of directors of each district involved in the sale, lease, combination, merger, or consolidation.

Source:Laws 1943, c. 146, § 3(5), p. 523; R.S.1943, § 70-628.01; Laws 1955, c. 267, § 3, p. 844; Laws 1975, LB 62, § 1; Laws 1986, LB 1230, § 38; Laws 1990, LB 907, § 2; Laws 2005, LB 139, § 7.    


70-628.02. Joint exercise of powers with municipalities and public agencies; authority.

The Legislature declares that it is in the public interest of the State of Nebraska that public power districts and public power and irrigation districts be empowered to participate jointly or in cooperation with municipalities and other public agencies in the establishment and operation of facilities for the generation or transmission of electric power and energy located within or outside this state, for the production, storage, and distribution of hydrogen located within this state, or for the production and distribution of ethanol located within this state in order to achieve economies and efficiencies in meeting the future energy needs of the people of the State of Nebraska. In furtherance of such need and in addition to but not in substitution for any other powers granted such districts, each such district shall have and may exercise its power and authority to plan, finance, acquire, construct, own, operate, maintain, and improve electric generation or transmission facilities located within or outside this state, hydrogen production, storage, or distribution facilities located within this state, or ethanol production or distribution facilities within this state jointly and in cooperation with one or more other such districts, cities, or villages of this state which own or operate electrical facilities or municipal corporations or other governmental entities of other states which own or operate electrical facilities. The powers granted under this section may be exercised with respect to any electric generation or transmission facility, hydrogen production, storage, or distribution facility, or ethanol production or distribution facility jointly with the powers granted under any other provision of sections 18-412.07 to 18-412.09 and 70-628.02 to 70-628.04.

Source:Laws 1975, LB 104, § 1; Laws 1986, LB 1230, § 39; Laws 1997, LB 658, § 9; Laws 2005, LB 139, § 8.    


70-628.03. Joint exercise of powers with electric cooperatives or corporations; authority.

The Legislature declares that it is in the public interest of the State of Nebraska that public power districts and public power and irrigation districts be empowered to participate jointly or in cooperation with one or more electric cooperatives or electric membership corporations organized under the laws of this state or any other state in the establishment and operation of facilities for the generation or transmission of electric power and energy located within or outside this state, for the production, storage, and distribution of hydrogen located within this state, or for the production and distribution of ethanol located within this state in order to achieve economies and efficiencies in meeting the future energy needs of the people of the State of Nebraska. In furtherance of such end and in addition to but not in substitution for any other powers granted such districts, each such district shall have and may exercise its power and authority to plan, finance, acquire, construct, own, operate, maintain, and improve electric generation or transmission facilities, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities located in this state jointly and in cooperation with one or more electric cooperatives or electric membership corporations organized under the laws of this state or any other state, and each district shall have and may exercise such power and authority with respect to electric generation or transmission facilities located outside of this state jointly or in cooperation with one or more electric cooperatives or electric membership corporations organized under the laws of this state or any other state. The power granted under this section may be exercised with respect to any electric generation or transmission facilities, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities jointly with the powers granted under any other provision of sections 18-412.07 to 18-412.09 and 70-628.02 to 70-628.04.

Source:Laws 1975, LB 104, § 2; Laws 1986, LB 1230, § 40; Laws 1997, LB 658, § 10; Laws 2005, LB 139, § 9.    


70-628.04. Joint exercise of powers; agreement; terms and conditions; agent; powers and duties; liability of district.

Any public power district or public power and irrigation district participating jointly and in cooperation with others in an electric generation or transmission facility, a hydrogen production, storage, or distribution facility, or an ethanol production or distribution facility shall own an undivided interest in such facility and be entitled to the share of the output or capacity from the facility attributable to such undivided interest. Such district may enter into an agreement or agreements with respect to each such electric generation or transmission facility, hydrogen production, storage, or distribution facility, or ethanol production or distribution facility with the other participants, and any such agreement shall contain such terms, conditions, and provisions consistent with the provisions of sections 13-803, 13-805, 13-2504, 13-2505, 70-628.02 to 70-628.04, and 70-1002.03 as the board of directors of such district shall deem to be in the interests of such district. The agreement may include, but not be limited to, provision for the construction, operation, and maintenance of such electric generation or transmission facility, hydrogen production, storage, or distribution facility, or ethanol production or distribution facility by any one of the participants, which shall be designated in or pursuant to such agreement as agent, on behalf of itself and the other participants or by such other means as may be determined by the participants and provision for a uniform method of determining and allocating among participants costs of construction, operation, maintenance, renewals, replacements, and improvements with respect to such facility. In carrying out its functions and activities as such agent with respect to construction, operation, and maintenance of such a facility, including without limitation the letting of contracts therefor, such agent shall be governed by the laws and regulations applicable to such agent as a separate legal entity and not by any laws or regulations which may be applicable to any of the other participants. Notwithstanding the provisions of any other law to the contrary, pursuant to the terms of any such agreement in which or pursuant to which a public power district or a public power and irrigation district or a city or village of this state shall be designated as the agent thereunder for the construction, operation, and maintenance of such a facility, each of the participants may delegate its powers and duties with respect to the construction, operation, and maintenance of such facility to such agent and all actions taken by such agent in accordance with the provisions of such agreement shall be binding upon each of such participants without further action or approval by their respective boards of directors or governing bodies. Such agent shall be required to exercise all such powers and perform its duties and functions under the agreement in a manner consistent with prudent utility practice. For purposes of this section, prudent utility practice means any of the practices, methods, and acts at a particular time which, in the exercise of reasonable judgment in the light of the facts including, but not limited to, the practices, methods, and acts engaged in or approved by a significant portion of the electrical utility industry, hydrogen production industry, or ethanol production industry prior thereto, known at the time the decision was made, would have been expected to accomplish the desired result at the lowest reasonable cost consistent with reliability, safety, and expedition. In no event shall anything in sections 13-803, 13-805, 13-2504, 13-2505, 70-628.02 to 70-628.04, and 70-1002.03 be deemed to authorize any district to become liable for and to pay for any costs, expenses, or liabilities attributable to the undivided interest of any other participant in such electric generation or transmission facility, and no funds of such district may be used for any such purpose.

Source:Laws 1975, LB 104, § 3; Laws 1986, LB 1230, § 41; Laws 1997, LB 658, § 11; Laws 1999, LB 87, § 82;    Laws 2005, LB 139, § 10.    


70-629. Power to tax denied; exception.

Except for the authority to make assessments granted by section 70-667 to districts organized under or subject to Chapter 70, article 6, the district shall have no power of taxation, and no governmental authority shall have the power to levy or collect taxes for the purpose of paying, in whole or in part, any indebtedness or obligation of or incurred by the district or upon which the district may be or become in any manner liable.

Source:Laws 1933, c. 86, § 8, p. 350; C.S.Supp.,1941, § 70-708; R.S.1943, § 70-629; Laws 1971, LB 626, § 1; Laws 1981, LB 181, § 20.


Annotations

70-630. Water storage or service; contract required; conditions.

No person, irrigation district or irrigation company shall be liable for the payment of any rent or charge for water storage or service unless a contract therefor has been entered into between such person, irrigation district or irrigation company, and the power and irrigation district furnishing such water storage or such water service. No contract for water service shall be made or continued if the rates, tolls, rents, or charges for such service do not provide the person, irrigation district or irrigation company, or the power and irrigation district with the benefits of an overall profitable and successful operation as provided for in section 70-655, and each contract shall contain such a provision; Provided, that if such a provision shall be omitted from any contract, the contract shall be subject to the provisions of this section regardless of the price or prices stated in such contract.

Source:Laws 1933, c. 86, § 8, p. 350; C.S.Supp.,1941, § 70-708; R.S.1943, § 70-630; Laws 1974, LB 822, § 1.


70-631. Power to borrow; repayment of indebtedness; source of funds; security for indebtedness.

Any district organized under or subject to Chapter 70, article 6, shall have the power to borrow money and incur indebtedness for any corporate use or purpose upon such terms and in such manner as such district shall determine. Any and every indebtedness, liability, or obligation of such district for the payment of money, in whatever manner entered into or incurred, and whether arising from contract, implied contract, or otherwise, shall be payable solely (1) from revenue, income, receipts, and profits derived by the district from its operation and management of power plants, systems, irrigation works, hydrogen producing systems, ethanol producing systems, and from the exercise of its rights and powers with respect to utilization of radioactive material or the energy therefrom or (2) from the issuance or sale by the district of its warrants, notes, debentures, bonds, or other evidences of indebtedness, payable solely from such revenue, income, receipts, and profits, or from the proceeds and avails of the sale of property of the district. Any such district may pledge and put up as collateral security for a loan any revenue debentures, notes, warrants, bonds, or other evidences of indebtedness, issued by it. Any district may arrange for, or put up as security for notes or other evidences of indebtedness of such district, the credit of any bank or other financial institution which has been approved by the directors of such district.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-631; Laws 1944, Spec. Sess., c. 6, § 1(1), p. 110; Laws 1959, c. 316, § 3, p. 1160; Laws 1967, c. 422, § 1, p. 1297; Laws 1981, LB 181, § 21; Laws 1983, LB 11, § 1; Laws 1986, LB 1230, § 42; Laws 2005, LB 139, § 11.    


Annotations

70-632. Indebtedness; pledge of revenue, how made.

Any district issuing revenue debentures, notes, warrants, bonds, or other evidences of indebtedness is hereby specifically authorized and empowered to pledge all or any part of the revenue which the district may derive from the sale of electrical energy, hydrogen produced for use in fuel processes, ethanol produced for fuel, storage of water, water for irrigation, radioactive material or the energy therefrom, or other service as security for the payment of the principal and interest thereon. Any such pledge of revenue shall be made by the directors of the district by resolution or by agreement with the purchasers or holders of such revenue debentures, notes, warrants, bonds, or other evidences of indebtedness.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-632; Laws 1944, Spec. Sess., c. 6, § 1(2), p. 110; Laws 1959, c. 316, § 4, p. 1161; Laws 1986, LB 1230, § 43; Laws 2005, LB 139, § 12.    


70-633. Pledge of revenue; terms; directors to prescribe; officer of district; powers authorized.

Any such resolution or agreement may specify the particular revenue that is pledged and the terms and conditions to be performed by the district and the rights of the holders of such revenue debentures, notes, warrants, bonds, or other evidences of indebtedness, and may provide for priorities of liens in any such revenue as between the holders of revenue debentures, notes, warrants, bonds, or other evidences of indebtedness, issued at different times or under different resolutions or agreements. Any resolution authorizing the issuance of notes may provide for a designated officer or officers of the district to sell the notes from time to time at such price or prices and in such amounts as shall be within the limitations set forth in such resolution. Such resolution may also authorize such officer or officers to determine interest rates, maturity dates, and other terms of such notes subject to any limitations which are necessary and appropriate, as determined by the district's board of directors, to effectuate the issuance and purposes of such notes, as set forth in the resolution.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-633; Laws 1944, Spec. Sess., c. 6, § 1(3), p. 110; Laws 1983, LB 11, § 2.


70-634. Pledge of revenue; provision for refunding indebtedness.

Such resolution or agreement may further provide for the refunding of any such revenue debentures, notes, warrants, bonds or other evidences of indebtedness, through the issuance of other revenue debentures, notes, warrants, bonds or other evidences of indebtedness, entitled to rights and priorities similar in all respects to those held by the revenue debentures, notes, warrants, bonds or other evidences of indebtedness, that are refunded, and for the issuance of such refunding revenue debentures, notes, warrants, bonds or other evidences of indebtedness, either in exchange for revenue debentures, notes, warrants, bonds or other evidences of indebtedness then outstanding, or the sale thereof and the application of the proceeds of such sale to the retirement of the revenue debentures, notes, warrants, bonds or other evidences of indebtedness, then outstanding.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-634; Laws 1944, Spec. Sess., c. 6, § 1(4), p. 111.


70-635. Pledge of revenue; special fund.

Any such resolution or agreement may provide that all or any part of the revenue of the district shall be paid into a special fund, and may set forth all the terms and conditions on which such special fund is to be collected, held and disposed of, whether partly or wholly for the benefit of the holders of such revenue debentures, notes, warrants, or other evidences of indebtedness. Provision may be made that such special fund shall be held by depositories designated or described in such resolution or agreement.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-635; Laws 1944, Spec. Sess., c. 6, § 1(5), p. 111.


70-635.01. Repealed. Laws 1967, c. 422, § 2.

70-636. District; rates; agreement with security holders.

The directors of any district organized under or subject to Chapter 70, article 6, are authorized to agree with the holders of any such revenue debentures, notes, warrants, bonds, or other evidences of indebtedness as to the maximum or minimum amounts which such district shall charge and collect for water, electric energy, radioactive material or the energy therefrom, hydrogen, ethanol, or other service sold by the district.

Source:Laws 1933, c. 86, § 9, p. 350; Laws 1937, c. 152, § 6, p. 585; C.S.Supp.,1941, § 70-709; R.S.1943, § 70-636; Laws 1944, Spec. Sess., c. 6, § 1(7), p. 113; Laws 1959, c. 316, § 5, p. 1161; Laws 1981, LB 181, § 22; Laws 1986, LB 1230, § 44; Laws 2005, LB 139, § 13.    


Annotations

70-637. Construction, repairs, and improvements; contracts; sealed bids; exceptions; notice; when.

(1) A district shall cause estimates of the costs to be made by some competent engineer or engineers before the district enters into any contract for:

(a) The construction, reconstruction, remodeling, building, alteration, maintenance, repair, extension, or improvement, for the use of the district, of any:

(i) Power plant or system;

(ii) Hydrogen production, storage, or distribution system;

(iii) Ethanol production or distribution system;

(iv) Irrigation works; or

(v) Part or section of a system or works described in subdivisions (i) through (iv) of this subdivision; or

(b) The purchase of any materials, machinery, or apparatus to be used in the projects described in subdivision (1)(a) of this section.

(2) If the estimated cost exceeds the sum of two hundred fifty thousand dollars, for those districts with a gross revenue of less than five hundred million dollars, or five hundred thousand dollars, for those districts with a gross revenue of five hundred million dollars or more, no such contract shall be entered into without advertising for sealed bids.

(3) Notwithstanding the provisions of subsection (2) of this section and sections 70-638 and 70-639, the board of directors of the district may negotiate directly with sheltered workshops pursuant to section 48-1503.

(4)(a) The provisions of subsection (2) of this section and sections 70-638 and 70-639 relating to sealed bids shall not apply to contracts entered into by a district in the exercise of its rights and powers relating to (i) radioactive material or the energy therefrom, (ii) any technologically complex or unique equipment, (iii) equipment or supplemental labor procurement from an electric utility or from or through an electric utility alliance, or (iv) any maintenance or repair, if the requirements of subdivisions (b) and (c) of this subsection are met.

(b) A contract described in subdivision (a) of this subsection need not comply with subsection (2) of this section or section 70-638 or 70-639 if:

(i) The engineer or engineers certify that, by reason of the nature of the subject matter of the contract, compliance with subsection (2) of this section would be impractical or not in the public interest;

(ii) The engineer's certification is approved by a two-thirds vote of the board; and

(iii) The district advertises notice of its intention to enter into such contract, the general nature of the proposed work, and the name of the person to be contacted for additional information by anyone interested in contracting for such work.

(c) Any contract for which the board has approved an engineer's certificate described in subdivision (b) of this subsection shall be advertised in three issues not less than seven days between issues in one or more newspapers of general circulation in the district and in such additional newspapers or trade or technical periodicals as may be selected by the board in order to give proper notice of its intention to enter into such contract, and any such contract shall not be entered into prior to twenty days after the last advertisement.

(5) The provisions of subsection (2) of this section and sections 70-638 and 70-639 shall not apply to contracts in excess of two hundred fifty thousand dollars, for those districts with a gross revenue of less than five hundred million dollars, or five hundred thousand dollars, for those districts with a gross revenue of five hundred million dollars or more, entered into for the purchase of any materials, machinery, or apparatus to be used in projects described in subdivision (1)(a) of this section if, after advertising for sealed bids:

(a) No responsive bids are received; or

(b) The board of directors of such district determines that all bids received are in excess of the fair market value of the subject matter of such bids.

(6) Notwithstanding any other provision of subsection (2) of this section or sections 70-638 and 70-639, a district may, without advertising or sealed bidding, purchase replacement parts or services relating to such replacement parts for any generating unit, transformer, or other transmission and distribution equipment from the original manufacturer of such equipment upon certification by an engineer or engineers that such manufacturer is the only available source of supply for such replacement parts or services and that such purchase is in compliance with standards established by the board. A written statement containing such certification and a description of the resulting purchase of replacement parts or services from the original manufacturer shall be submitted to the board by the engineer or engineers certifying the purchase for the board's approval. After such certification, but not necessarily before the board review, notice of any such purchase shall be published once a week for at least three consecutive weeks in one or more newspapers of general circulation in the district and published in such additional newspapers or trade or technical periodicals as may be selected by the board in order to give proper notice of such purchase.

(7) Notwithstanding any other provision of subsection (2) of this section or sections 70-638 and 70-639, a district may, without advertising or sealed bidding, purchase used equipment and materials on a negotiated basis upon certification by an engineer that such equipment is or such materials are in compliance with standards established by the board. A written statement containing such certification shall be submitted to the board by the engineer for the board's approval.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 523; R.S.1943, § 70-637; Laws 1955, c. 268, § 1, p. 847; Laws 1959, c. 316, § 6, p. 1161; Laws 1967, c. 423, § 1, p. 1299; Laws 1975, LB 63, § 1; Laws 1981, LB 34, § 2; Laws 1984, LB 152, § 1; Laws 1984, LB 540, § 11; Laws 1986, LB 1230, § 45; Laws 1998, LB 1129, § 2; Laws 1999, LB 566, § 2;    Laws 2005, LB 139, § 14;    Laws 2007, LB636, § 6;    Laws 2008, LB939, § 3;    Laws 2009, LB300, § 1.    


70-638. Contracts; sealed bids; advertisement.

Prior to advertisement for sealed bids, plans and specifications for the proposed work or materials shall be prepared and filed at the principal office or place of business of the district. Such advertisement shall be made in three issues, not less than seven days between issues, in one or more newspapers of general circulation in the district and in such additional newspapers or trade or technical periodicals as may be selected by the board in order to give proper notice of the receiving of bids. Such advertisement shall designate the nature of the work proposed to be done or materials proposed to be purchased, that the plans and specifications therefor may be inspected at the office of the district, giving the location thereof, and shall designate the time within which bids shall be filed, and the date, hour and place the same shall be opened.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 524; R.S.1943, § 70-638; Laws 1981, LB 34, § 3.


70-639. Letting of contracts; considerations.

The board of directors of the district may let the contract for such work or materials to the responsible bidder who submits the lowest and best bid or, in the sole discretion of the board, all bids tendered may be rejected, and readvertisement for bids made, in the manner, form, and time as provided in section 70-638. In determining whether a bidder is responsible, the board may consider the bidder's financial responsibility, skill, experience, record of integrity, ability to furnish repairs and maintenance services, ability to meet delivery or performance deadlines, and whether the bid is in conformance with specifications. Consideration may also be given by the board of directors to the relative quality of supplies and services to be provided, the adaptability of machinery, apparatus, supplies, or services to be purchased to the particular uses required, to the preservation of uniformity, and the coordination of machinery and equipment with other machinery and equipment already installed. No such contract shall be valid nor shall any money of the district be expended thereunder unless advertisement and letting shall have been had as provided in this section and sections 70-637 and 70-638.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 524; R.S.1943, § 70-639; Laws 1951, c. 223, § 1, p. 795; Laws 1955, c. 269, § 1, p. 848; Laws 1981, LB 34, § 4.


70-640. Contracts; Nebraska workmen preferred.

Such contract shall provide that, wherever possible, workmen who are citizens of Nebraska shall be employed by the contractor.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 524; R.S.1943, § 70-640.


70-641. Contracts; bonds; laws applicable.

All provisions of section 52-118, with reference to contractors' bonds, shall be applicable and effective as to any contract let pursuant to the provisions of sections 70-637 to 70-640, except that with respect to any electric generating facility, the penal sum of any contractor's bond shall be the lesser of the contract amount or two hundred million dollars. The bond required by section 52-118 may be satisfied by a corporate surety or letter of credit, or combination thereof, approved by the district.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 524; R.S.1943, § 70-641; Laws 2003, LB 655, § 9.    


70-642. Damage, injury, or impairment to district property; emergencies; procedure.

In the event of sudden or unexpected damage, injury or impairment of such plant, works, system, or other property belonging to the district, or an order of a regulatory body which would prevent compliance with section 70-637, the board of directors may, in its discretion, declare an emergency, and proceed with the necessary construction, reconstruction, remodeling, building, alteration, maintenance, repair, extension, or improvement without first complying with the provisions of sections 70-637 to 70-641.

Source:Laws 1933, c. 86, § 10, p. 351; C.S.Supp.,1941, § 70-710; Laws 1943, c. 146, § 4, p. 523; R.S.1943, § 70-642; Laws 1981, LB 34, § 5.


70-642.01. Conditions created by war or national defense; contracting requirements inapplicable.

When, by reason of disturbed or disrupted economic conditions due to the prosecution of war or due to the operation of laws, rules or regulations of governmental authorities, whether enacted, passed, promulgated or issued under or due to the emergency or necessities of war or national defense, the contracting or purchasing by the district, for any one or more of the purposes mentioned in sections 70-637 to 70-640, is so restricted, prohibited, limited, allocated, regulated, rationed, or otherwise controlled, that the letting of contracts therefor, pursuant to the requirements of said sections, is legally or physically impossible or impractical, the provisions of said sections shall not apply to such contracts or purchases.

Source:Laws 1943, c. 146, § 4, p. 525; R.S.1943, § 70-642.01.


70-642.02. Contracts; interest of board member prohibited, when; effect.

No member of the board of directors shall be interested, directly or indirectly, in any contract to which the district, or any one for its benefit, is a party, and any such director who shall have such an interest shall be subject to removal from office therefor by the remaining members of the board, subject to review of such action by the district court of the county in which the district maintains its principal place of business. Such interest in any contract by a director shall void the obligation thereof on the part of the power district. Ownership of less than one percent of the outstanding stock of any one class of any corporation shall not constitute an interest, direct or indirect, within the meaning of this section. The receiving and holding of deposits, cashing of checks, and buying, selling, or holding bonds of indebtedness of a district by a financial institution, or any one or more of such activities, shall not be considered a contract within the meaning of this section.

Source:Laws 1943, c. 146, § 4, p. 525; R.S.1943, § 70-642.02; Laws 1969, c. 549, § 1, p. 2205; Laws 1971, LB 346, § 1.


70-642.03. Repealed. Laws 1997, LB 764, § 113.

70-642.04. Repealed. Laws 1997, LB 764, § 113.

70-643. District; funds; how expended; bond, when required.

(1) Money of the district shall be paid out or expended only upon the authorization or approval of the board of directors by specific agreement, a written contract, or by a resolution. All money of the district shall be paid out or expended only by check, draft, warrant, or other instrument in writing, signed by the treasurer, assistant treasurer, or such other officer, employee, or agent of the district as shall be authorized by the treasurer to sign in his or her behalf; Provided, such authorization shall be in writing and filed with the secretary of the district.

(2) Money of the district paid out or expended shall be examined by the board of directors at a regular meeting within two months following such expenditure.

(3) In the event that the treasurer's bond shall not expressly insure the district against loss resulting from the fraudulent, illegal, negligent, or otherwise wrongful or unauthorized acts or conduct by or on the part of any and every person authorized to sign checks, drafts, warrants, or other instruments in writing, there shall be procured and filed with the secretary of the district, together with the written authorization filed with the secretary of the board, a surety bond, effective for protection against such loss, in such form and penal amount and with such corporate surety as shall be approved in writing by the signed endorsement thereon of any two officers of the district other than the treasurer. The secretary shall report to the board at each meeting any such bonds filed, or any change in the status of any such bonds, since the last previous meeting of the board.

Source:Laws 1933, c. 86, § 11, p. 353; C.S.Supp.,1941, § 70-711; Laws 1943, c. 146, § 5, p. 525; R.S.1943, § 70-643; Laws 1981, LB 34, § 6.


70-644. District facilities and property; mortgage authorized; when.

No power plant, system, or irrigation works owned by a district shall be sold, alienated or mortgaged by such district, except under the circumstances set forth in this section and sections 70-645 to 70-653.02. If, in order to borrow money from the federal government, the Rural Electrification Administration, the Public Works Administration, from any loan or finance corporation or agency established under federal law, including the Reconstruction Finance Corporation, or its successor, or a cooperative nonprofit corporation organized to provide financing, it shall become necessary that a district mortgage, or otherwise hypothecate, any or all of its property or assets to secure the payment of a loan or loans made to it by or from such source or sources, such district is hereby authorized and empowered to do so.

Source:Laws 1933, c. 86, § 12, p. 353; Laws 1937, c. 152, § 7, p. 587; Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 526; R.S.1943, § 70-644; Laws 1972, LB 1347, § 1.


Annotations

70-645. Pledge of revenue; authorized; when.

Nothing in sections 70-644 to 70-653.02 contained shall prevent the district from assigning, pledging, or otherwise hypothecating, its revenue, incomes, receipts, or profits to secure the payment of indebtedness to the federal government; Provided, that the State of Nebraska shall never pledge its credit or funds, or any part thereof, for the payment or settlement of any indebtedness or obligation whatsoever of any district created under or subject to the provisions of Chapter 70, article 6.

Source:Laws 1933, c. 86, § 12, p. 353; Laws 1937, c. 152, § 7, p. 587; Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 526; R.S.1943, § 70-645; Laws 1981, LB 181, § 23.


Annotations

70-646. Repealed. Laws 1997, LB 658, § 16.

70-646.01. District property; alienation to private power producers prohibited; exceptions.

Except as provided in sections 18-412.07 to 18-412.09, 70-628.02 to 70-628.04, or 70-644 to 70-653.02, the plant, property, or equipment of a public power district shall never, by sale under foreclosure, receivership, bankruptcy proceedings, outright sale, or lease, become the property or come under the control of any private person, firm, or corporation engaged in the business of generating, transmitting, or distributing electricity for profit. This restriction does not apply to: (1) The exercise by a district of its rights and powers with respect to radioactive material or the energy therefrom; (2) the sales of ethanol production or distribution facilities; (3) the sales of hydrogen production, storage, or distribution facilities; (4) joint participation in any electric generation or transmission facility pursuant to sections 18-412.07 to 18-412.09 and 70-628.02 to 70-628.04; or (5) a nonprofit cooperative corporation that has provided financing for property, projects, or undertakings when such property is covered by a mortgage, pledge of revenue, or other hypothecation to secure the payment of a loan or loans made to a district. This restriction does not apply to a sale, transfer, or lease of property to a nonprofit electric cooperative corporation engaged in the retail distribution of electric energy in established service areas, which cooperative corporation is organized under the laws of the State of Nebraska or domesticated in the State of Nebraska, except that such property so acquired by a cooperative nonprofit corporation organized to provide financing or by a nonprofit electric cooperative corporation shall never become the property or come under the control of any person, firm, or corporation engaged in the business of generating, transmitting, or distributing electricity for profit. This section shall not be construed as an expansion of the authority of public power districts to engage in telecommunications services as may otherwise be authorized by statute.

Source:Laws 1997, LB 658, § 12; Laws 2005, LB 139, § 15.    


70-647. Indebtedness; default; possession by creditors; agreement authorized; terms; property restored to district; when.

In order to protect and safeguard the security and the rights of the purchasers or holders of revenue debentures, notes, warrants, or other evidences of indebtedness, issued by any district organized under or subject to Chapter 70, article 6, each such district may agree with such purchasers or holders that in the event of default in the payment of interest on, or principal of, any such revenue debentures, notes, warrants, or other evidences of indebtedness, or in the event of default in performance of any duty or obligation of such district in connection therewith, such purchasers or holders, or trustee selected by them, may take possession and control of the business and the property of the district, and proceed to operate the same, and to collect and receive the income thereof, and after paying all necessary and proper operating expenses and all other proper disbursements or liabilities made or incurred, use the surplus, if any there be, of the revenue of the district as follows: (1) In the payment of all outstanding past-due interest on each issue of revenue debentures, notes, warrants, or other evidences of indebtedness, so far as such net revenue will go, and paying pro rata the interest due on each issue thereof when there is not enough to pay in full all of the interest; and (2) if any sums shall remain after the payment of interest as aforesaid, then in the payment of the revenue debentures, notes, warrants, or other evidences of indebtedness, which, by the terms thereof, shall be due and payable on each outstanding issue in accordance with the terms thereof, and paying pro rata when the money available is not sufficient to pay in full. When all legal taxes and charges, and all arrears of interest, and all matured revenue debentures, notes, warrants, or other evidences of indebtedness, have been paid in full, the control of the business and the possession of the property of the district shall then be restored to such district. The privilege herein granted shall be a continuing one as often as the occasion therefor may arise.

Source:Laws 1937, c. 152, § 7, p. 587; Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 526; R.S.1943, § 70-647; Laws 1981, LB 181, § 24.


70-648. Receivership; when authorized; discharge of receiver; when.

The board of directors of any district organized under or subject to Chapter 70, article 6, issuing revenue debentures, notes, warrants, or other evidences of indebtedness is hereby also authorized and empowered to agree and contract with the purchasers or holders thereof that in the event of default in the payment of interest on, or principal of, any such revenue debentures, notes, warrants, or other evidences of indebtedness, issued, or in the event of default in the performance of any duty or obligation under any agreement by such district, the holder or holders of such revenue debentures, notes, warrants, or other evidences of indebtedness then outstanding shall be entitled as a matter of right, upon application to a court of competent jurisdiction, to have appointed a receiver of the business and property of the district, including all tolls, rents, revenue, issues, income, receipts, profits, benefits, and additions derived, received or had thereof or therefrom, with power to operate and maintain such business and property, collect, receive, and apply all revenue, income, profits, and receipts arising therefrom, and prescribe rates, tolls, and charges, in the same way and manner as the district might do. Whenever all defaults in the payment of principal of, and interest on, such revenue debentures, notes, warrants, or other evidences of indebtedness, and any other defaults under any agreement made by the district, shall have been made good, such receiver shall be discharged by the court and shall therefor surrender control of the business and possession of the property in his or her hands to the district.

Source:Laws 1937, c. 152, § 7, p. 587; Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 527; R.S.1943, § 70-648; Laws 1981, LB 181, § 25.


70-649. Plant and system; sale to public agency; authorized; transfer of distribution facilities; restrictions; exception.

Any public power district or public power and irrigation district may sell to any public power district, public power and irrigation district, irrigation district, city or village, any power plant, electric generating plant, electric distribution system, or any parts thereof, for such sums and upon such terms as the board of directors of such public power district or public power and irrigation district may deem fair and reasonable. As a part of an agreement establishing retail service areas pursuant to section 70-1002, a district may transfer distribution facilities having a rating of less than fifteen thousand volts to a nonprofit rural electric membership corporation in exchange for similar facilities transferred to the district by the membership corporation with a net cash differential to be paid by either party not to exceed ten thousand dollars in any one transaction, but this restriction shall not apply to a sale, transfer or lease of property to a nonprofit electric cooperative corporation engaged in the retail distribution of electric energy in established service areas and which cooperative corporations are organized under the laws of the State of Nebraska or domesticated in the State of Nebraska; Provided, that such property so acquired by a nonprofit electric cooperative corporation shall never become the property or come under the control of any person, firm, or corporation engaged in the business of generating, transmitting or distributing electricity for profit.

Source:Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 528; R.S.1943, § 70-649; Laws 1963, c. 397, § 21, p. 1267; Laws 1969, c. 551, § 2, p. 2209.


70-650. Plant and system; sale to city or village; when required; valuation and severance damages; procedure.

Whenever any public power district or public power and irrigation district shall, as herein provided, acquire, by purchase, lease, or otherwise, any electric distribution system, or any part or parts thereof, situated within or partly within any city or village, if any part of such system be within such city or village, such acquisition shall be upon the condition that such city or village may purchase, and such district shall be required to sell to such city or village, such electric distribution system, situated within or partly within such city or village, but not within the corporate limits of any other city or village, by paying to such public power district or public power and irrigation district such sum as is fair and reasonable, including reasonable severance damages. If any city or village and such district shall fail to agree upon a price and terms for the sale of such property to such city or village, the procedure for determining such price and terms of sale, and for compelling such sale shall be the same as is provided by sections 19-701 to 19-706. In determining the amount of such severance damages, the court shall take into account, together with other relevant factors, the economic effect, if any, caused by the severance therefrom of the part taken upon the system as a going concern as it will be and remain after the severance. When the sum that is fair and reasonable shall have been determined as above provided, the court shall deduct therefrom and allow as a credit upon such sum an amount that bears the same proportion to such sum as the amount of the bonds that have been paid, redeemed or liquidated, and the reserves established therefor by said district, out of the earnings from the operation of the district while such city or village was within and a part of such district, bears to the total amount of the bonded indebtedness of such district issued to finance the purchase price and the cost of construction of the entire property of such district. In entering its award the court shall show how much of the total thereof was allowed for the physical property taken and how much was allowed for other values and damages, if any.

Source:Laws 1939, c. 88, § 1, p. 382; C.S.Supp.,1941, § 70-712; Laws 1943, c. 146, § 6, p. 528; R.S.1943, § 70-650; Laws 1945, c. 161, § 1, p. 524.


Cross References

Annotations

70-650.01. Electric distribution system; city or village; conveyed on request; when; notice required; referendum.

Except as provided in sections 70-1101 to 70-1106, whenever any public power district or public power and irrigation district shall have acquired, by purchase, lease or otherwise, any electric distribution system, or any part or parts thereof, situated within or partly within any city or village, and such district shall have fully paid and redeemed, or have accumulated reserves sufficient for the redemption of, all of the bonds or other obligations of the district evidencing the indebtedness incurred as the cost of construction or the purchase price of its lines, works and system, then and in that event, whenever any such city or village shall so request, the said district shall convey without cost all of its right, title and interest in and to its electric distribution system, as distinguished from its generating plants and transmission lines, to the said city or village within the territorial limits of which such system is located. The request of such city or village shall be exercised by a resolution duly adopted by its governing body. Such resolution shall not become effective until thirty days' notice of the adoption thereof shall have been given by the governing body by publication once each week for three successive weeks in some legal newspaper published and of general circulation in such city or village, or if no such newspaper is published therein, then by posting in five or more public places therein. If, within thirty days after the last publication of such notice or posting thereof, a referendum petition signed by qualified electors of such city or village equal in number to at least twenty percent of the vote cast at the last general municipal election held therein shall be filed with the municipal clerk, such resolution shall not become effective until it has been approved by a vote of the electors of such municipality at any general or special municipal election. If a majority of the voters voting on the issue vote against such resolution, the resolution shall not become effective. If no such petitions are filed, the resolution shall become effective at the expiration of such thirty-day period. In the absence of an agreement between any city or village and the public power district, the city or village may at any time determine what shall be included in the term distribution system by a declaratory judgment in which the public power district or public power and irrigation district owning the distribution system shall be joined. This section shall not: (1) Prevent the refinancing or changing of the form of the outstanding indebtedness of the district existing on May 4, 1945, where the amount of the outstanding bonds or other evidences of indebtedness representing the cost of existing facilities shall not be increased nor the time of payment extended by any obligations for which the revenue received through the said electric distribution systems is pledged, or (2) prevent the issuance of other and different series of bonds of the district representing the cost of acquisition or construction of additional electric facilities, or the pledging of the revenue of such additional facilities for the payment of such other or further series of bonds, or to prevent the board of directors of the said district, by a duly adopted resolution, from making reasonable determinations of the amount of the revenue of the district attributable to such additional facilities.

Source:Laws 1945, c. 161, § 2, p. 525; Laws 1963, c. 398, § 1, p. 1269; Laws 1963, c. 393, § 1, p. 1247.


Cross References

Annotations

70-650.02. Repealed. Laws 1982, LB 592, § 2.

70-651. Repealed. Laws 1959, c. 317, § 6.

70-651.01. Districts; payments in lieu of taxes.

Every public power district or public power and irrigation district owning property with respect to which it made payments in lieu of taxes in the 1957 calendar year, shall, so long as it continues to own such property, continue to pay annually the same amounts in the same manner. The directors of any such district shall not have any personal liability by reason of such payments made either before or after September 28, 1959.

Source:Laws 1959, c. 317, § 1, p. 1163.


70-651.02. Districts; payments in lieu of taxes; distribution; use.

The officer receiving payment under section 70-651.01 shall distribute to the state and to each governmental subdivision of the state entitled thereto a part of such payment equivalent to that part of the payment which it received in 1957 in lieu of taxes for property located within its boundaries. The payment may be used for such purposes as the governing body of the state or governmental subdivision prescribes.

Source:Laws 1959, c. 317, § 2, p. 1163.


70-651.03. Districts; gross revenue tax; how determined.

Beginning in 1960, every public corporation and political subdivision of the state, which is organized primarily to provide electricity or irrigation and electricity, and which sells electricity at retail within incorporated cities or villages, shall on or before April 1, of each year, pay to the county treasurer of the county in which any such incorporated city or village may be located, a sum equivalent to five percent of the gross revenue derived by it during the preceding calendar year from retail sales of electricity within such incorporated city or village, less an amount equivalent to the amount paid by such public corporation in lieu of taxes in the 1957 calendar year with respect to its properties in such city or village.

Source:Laws 1959, c. 317, § 3, p. 1163.


70-651.04. Districts; gross revenue tax; distribution.

All payments which are based on retail revenue from each incorporated city or village shall be divided and distributed by the county treasurer to that city or village, to the school districts located in that city or village, to any learning community located in that city or village for payments distributed prior to September 1, 2017, and to the county in which may be located any such incorporated city or village in the proportion that their respective property tax levies in the preceding year bore to the total of such levies, except that the only learning community levies to be included are the common levies for which the proceeds are distributed to member school districts pursuant to section 79-1073.

Source:Laws 1959, c. 317, § 4, p. 1164; Laws 1979, LB 187, § 183; Laws 1993, LB 346, § 6; Laws 1995, LB 732, § 1; Laws 2010, LB1070, § 2;    Laws 2016, LB1067, § 7.    
Effective Date: July 21, 2016


70-651.05. Public power districts; payment made in lieu of other taxes and fees; exceptions.

All payments made under sections 70-651.01 to 70-651.05 shall be in lieu of all other taxes, payments in lieu of taxes, franchise payments, occupation taxes, and excise taxes but shall not be in lieu of motor vehicle licenses and wheel taxes, permit fees, fuel taxes, and other such excise taxes or general sales taxes levied against the public generally.

Source:Laws 1959, c. 317, § 5, p. 1164; Laws 1997, LB 271, § 37; Laws 1998, LB 306, § 16.


70-652. Repealed. Laws 1959, c. 317, § 6.

70-653. Repealed. Laws 1959, c. 317, § 6.

70-653.01. Electric distribution system; purchase by city or village; payment in lieu of taxes.

Any city or village which has purchased or acquired before June 10, 1947, the plant or property of an existing electric distribution system furnishing electric energy for heat, light, power or other purposes for use within such city or village from any public power district or public power and irrigation district may annually pay out of the revenue of such system to the State of Nebraska, county, city, village or school district in which such public utility is located, in lieu of taxes, a sum equal to the amount which the state, county, city, village or school district received in lieu of taxes from the public power district or public power and irrigation district.

Source:Laws 1947, c. 227, § 1, p. 721.


70-653.02. Cities and villages; payment in lieu of taxes; how paid.

All sums of money to be paid by such cities or villages in lieu of taxes may be paid at the times, places, and to the tax-collecting officers, as now or may hereafter be provided by law for the payment of taxes, as long as such city or village shall continue to be the owner of such property, and such tax-collecting officers are hereby authorized and directed to receive and collect the same and distribute all money so received to the governmental subdivisions entitled thereto.

Source:Laws 1947, c. 227, § 2, p. 722.


70-654. Repealed. Laws 1959, c. 317, § 6.

70-655. Reasonable rates required; negotiated rates authorized; conditions.

(1) Except as otherwise provided in this section, the board of directors of any district organized under or subject to Chapter 70, article 6, shall have the power and be required to fix, establish, and collect adequate rates, tolls, rents, and other charges for electrical energy, water service, water storage, and for any and all other commodities, including ethanol and hydrogen, services, or facilities sold, furnished, or supplied by the district, which rates, tolls, rents, and charges shall be fair, reasonable, nondiscriminatory, and so adjusted as in a fair and equitable manner to confer upon and distribute among the users and consumers of commodities and services furnished or sold by the district the benefits of a successful and profitable operation and conduct of the business of the district.

(2) The board of directors may negotiate, fix, establish, and collect rates, tolls, rents, and other charges for users and consumers of electrical energy and associated services or facilities different from those of other users and consumers. Any negotiated rates, tolls, rents, and other charges for a commercial or industrial customer shall be effective for no more than five years and in no case shall such rates, tolls, rents, and charges include a production component that is less than the incremental production cost of supplying such services if (a) such customer has entered an agreement with the state or any political subdivision to provide an economic development project pursuant to state or local law and (b) such economic development project has projected new or additional electrical load requirements greater than five hundred kilowatts and a minimum annual load demand factor of sixty percent during the applicable billing period. This subsection shall also apply to any nonprofit corporation organized for the purpose of furnishing electric service pursuant to the Electric Cooperative Corporation Act or the Nebraska Nonprofit Corporation Act, any agency created pursuant to the Municipal Cooperative Financing Act, and any municipality engaged in furnishing electrical service to customers at retail or wholesale.

(3) In order to facilitate the merger and consolidation of districts, the board of directors of a merged or consolidated district may negotiate, fix, establish, and collect rates, tolls, rents, and other charges for consumers in the service area of one or more of the predecessor districts which are different than rates, tolls, rents, and other charges for consumers in the remaining service area of the merged or consolidated district. Any different rates, tolls, rents, and other charges pursuant to this subsection shall be effective for no more than five years after the date of merger or consolidation and shall be based on cost of service or other rate studies showing that adoption of dissimilar rates for consumers in otherwise similar rate classes is needed to effectuate the merger or consolidation. This subsection shall also apply in the event of a merger or consolidation of any nonprofit corporation organized for the purpose of furnishing electric service pursuant to the Electric Cooperative Corporation Act or the Nebraska Nonprofit Corporation Act.

Source:Laws 1933, c. 86, § 13, p. 353; Laws 1937, c. 152, § 8, p. 589; Laws 1939, c. 89, § 1, p. 388; C.S.Supp.,1941, § 70-713; R.S.1943, § 70-655; Laws 1981, LB 181, § 26; Laws 1986, LB 1230, § 47; Laws 1995, LB 828, § 2; Laws 2001, LB 243, § 1;    Laws 2005, LB 139, § 16;    Laws 2012, LB1043, § 1.    


Cross References

Annotations

70-656. Repealed. Laws 1963, c. 425, art. 8, § 2.

70-657. Repealed. Laws 1997, LB 658, § 16.

70-658. Existing utility; lease, purchase, or acquisition by district; franchise and contracts; compliance required.

In the event that any such district shall lease, purchase or acquire, in any manner, the generating plant, distribution system or other property of an existing utility then or theretofore furnishing electrical energy for heat, light, power, or other purposes, for the use or benefit of any city, of whatever class, or village in the State of Nebraska, or its inhabitants, and for use within the corporate limits of such city or village, such district shall be bound by, shall carry out, and shall perform the terms and conditions of any franchise or contract assigned to such district, and shall comply with the provisions of any existing applicable laws or ordinances under which such existing utility, such district's predecessor or assignor, operated at the time such lease, purchase or acquisition of the generating plant, distribution system or other property of such existing utility shall have been made.

Source:Laws 1939, c. 89, §1, p. 388; C.S.Supp.,1941, § 70-713; R.S.1943, § 70-658.


70-659. Operation within city or village by district; franchise required.

Any such district shall be required at all times to have a valid and subsisting franchise, either running to it as original grantee from such city or village, or assigned to it by or through a grantee of the city or village, if such district proposes to generate, distribute and sell, or to distribute and sell, electrical energy to such city or village or to its inhabitants, as a condition precedent to the operation of such district's electric utility or utilities within such city or village, in every case and to the same extent as where a private corporation is required to have such valid and subsisting franchise to operate its electric utility or utilities within such city or village.

Source:Laws 1939, c. 89, § 1, p. 388; C.S.Supp.,1941, § 70-713; R.S.1943, § 70-659.


Annotations

70-660. Franchise to operate utility; terms and conditions; rates prescribed.

All franchises granted by a city or village to any such district, to operate such district's electric utility or utilities within the corporate limits of such city or village, may provide the maximum rates that may be charged by such district for furnishing electrical energy to such city or village, or to its inhabitants, during the franchise period. Such franchises shall be granted in the same manner and upon the same terms and conditions as may now or hereafter be provided by law for granting franchises to private corporations by such cities or villages.

Source:Laws 1939, c. 89, § 1, p. 388; C.S.Supp.,1941, § 70-713; R.S.1943, § 70-660.


70-661. Contracts with city or village; terms and conditions.

Contracts, other than franchises, which such city or village is empowered to make with any such district to furnish such city or village, or its inhabitants, with electrical energy, shall be made in the same manner and upon the same terms and conditions as such city or village is now or hereafter empowered to make with any private corporation to furnish such city or village, or its inhabitants, with electrical energy.

Source:Laws 1939, c. 89, §1, p. 388; C.S.Supp.,1941, § 70-713; R.S.1943, § 70-661.


Annotations

70-662. District; filings; amendments to petition for creation; amendments to charter; authorized; restriction.

(1) A petition for the creation of a district organized under or subject to the provisions of Chapter 70, article 6, may be amended as provided in this section. Any district, now existing or hereafter created under or subject to Chapter 70, article 6, may file with the Nebraska Power Review Board a petition to amend its charter to eliminate, detach, or reduce area from or add to, increase, or enlarge its chartered territory as required or authorized by Chapter 70, article 6, or subdivide area and territory from within the boundaries of such district, or amend its charter to provide for a change in the general description of the nature of the business in which the district is engaged and the location and method of operation of the power plants and systems or irrigation works of the district proposed in its charter, as long as the plants, systems, and works, the operation of the same, the exercise of powers, and the assumption of duties and responsibilities, of or on the part of such district, do not nullify, conflict with, or materially affect those of, or on the part of, any other district.

(2) Any such district may amend its charter to provide for a change in its name or a change in the location of its principal place of business and may reduce or increase the number of members of its board of directors. No such elimination or detachment, increase or enlargement, or subdivision of the territory of a district, change in its principal place of business, its name, or the number of members of its board of directors, or change in the general description of the nature of its business or methods of operation shall occur unless authorized by the affirmative vote of three-fifths of all the directors of the district involved.

Source:Laws 1937, c. 152, § 9, p. 589; C.S.Supp.,1941, § 70-717; R.S.1943, § 70-662; Laws 1945, c. 158, § 1, p. 521; Laws 1955, c. 267, § 5, p. 845; Laws 1957, c. 291, § 1, p. 1046; Laws 1981, LB 181, § 27; Laws 1986, LB 949, § 14.


Annotations

70-663. Amendment; approval procedure.

Upon such authorization occurring, the proposed amendment shall thereupon be submitted to the Nebraska Power Review Board, together with a petition setting forth the reasons for the adoption of such amendment, and requesting that the same be approved. The Nebraska Power Review Board shall then cause notice to be given by publication for three consecutive weeks in two legal newspapers of general circulation within such district. Such notice shall set forth in full the proposed amendment and set a date, not sooner than three weeks after the last date of publication of the notice, for protests, complaints, or objections to be filed with the Nebraska Power Review Board in opposition to the adoption of such amendment. The cost of such publication shall be paid by such district. If any person residing in such district, or affected by the proposed amendment, shall, within the time provided, file a protest, complaint, or objection, the Nebraska Power Review Board shall schedule a hearing and give due notice thereof to the district, the district's representative, and the person who filed such protest, complaint, or objection. Any person filing a protest, complaint, or objection may appear at such hearing and contest the approval by the Nebraska Power Review Board of such proposed amendment. After all protests, complaints, or objections have been heard, the Nebraska Power Review Board shall act upon the petition and either approve or disapprove the amendment. If no protests, complaints, or objections are properly filed, the board shall either approve the amendment without a hearing or schedule a hearing to determine whether or not the amendment should be approved. If a hearing is scheduled, due notice shall be provided to the district and the district representative.

Source:Laws 1937, c. 152, § 9, p. 589; C.S.Supp.,1941, § 70-717; R.S.1943, § 70-663; Laws 1981, LB 181, § 28; Laws 1983, LB 366, § 1.


70-664. Amendment; board approval; certificate; filing.

Unless it shall appear affirmatively that the adoption of such proposed amendment will be contrary to the best interests of such district, or that it will jeopardize and impair the rights of the creditors of such districts, or of other persons, the Nebraska Power Review Board shall issue in duplicate a certificate of approval of such proposed amendment, and cause one copy to be filed in the office of the Secretary of State of the State of Nebraska and one copy to be filed in the office of the county clerk of the county in which is located the principal place of business of the district.

Source:Laws 1937, c. 152, § 9, p. 589; C.S.Supp.,1941, § 70-717; R.S.1943, § 70-664; Laws 1981, LB 181, § 29.


70-665. Amendment; when effective.

Such proposed amendment shall become effective and in full force immediately upon the issuance of such certificate of approval by the Nebraska Power Review Board. Thereupon and thereafter the district shall, as in case of the original district, be a public corporation and political subdivision, and operate and function accordingly in such reduced and subdivided area, or such increased and enlarged area, under or subject to the terms, powers, privileges, and conditions of Chapter 70, article 6.

Source:Laws 1937, c. 152, § 9, p. 589; C.S.Supp.,1941, § 70-717; R.S.1943, § 70-665; Laws 1981, LB 181, § 30.


70-666. Dissolution; procedure.

Whenever a petition signed by a majority of the members of the board of directors or by twenty-five or more qualified electors of the state residing within the territorial boundaries of any district organized under or subject to Chapter 70, article 6, shall be presented to the Nebraska Power Review Board, praying for the dissolution of such district, and it shall appear from the petition that such district has no property of any kind, owes no debts of any kind, that the district is not functioning, has ceased to function, and probably will not function in the future, the Nebraska Power Review Board shall forthwith publish a notice for three consecutive weeks in the legal newspaper published in the district which has the largest circulation therein, or, if no legal newspaper is published in the district, then in any legal newspaper widely circulated therein, setting forth, in substance and in a clear and concise manner, the nature and prayer of the petition, and setting a time and place for a public hearing by the Nebraska Power Review Board upon the petition. After such hearing and such independent investigation as may be deemed advisable, the Nebraska Power Review Board shall grant or reject the prayer of the petition, and, if the prayer of the petition is granted, the Nebraska Power Review Board shall thereupon issue its certificate declaring the district dissolved and terminated. One duly certified copy of such certificate shall be immediately filed by the Nebraska Power Review Board in its office with the original organization records of the district. The Nebraska Power Review Board shall also immediately file one such certified copy in the office of the Secretary of State, and another such certified copy in the office of the county clerk of the county in which the principal place of business of such district was last located. The district shall thereupon be dissolved and cease to exist. The persons filing such petition for dissolution shall advance and pay the necessary expense incurred by the Nebraska Power Review Board in the investigations made, and the proceedings and hearings held or conducted, pursuant to the provisions of this section.

Source:Laws 1935, c. 146, § 1, p. 541; C.S.Supp.,1941, § 70-716; Laws 1943, c. 146, § 7, p. 530; R.S.1943, § 70-666; Laws 1981, LB 181, § 31.


70-667. Plants, systems, and works; construction or operation; works of internal improvement; laws applicable; eminent domain; procedure; when available.

All power plants and systems, all hydrogen production, storage, or distribution systems, all ethanol production or distribution systems, and all irrigation works constructed, acquired, used, or operated by any district organized under or subject to Chapter 70, article 6, or proposed by such district to be so constructed, acquired, owned, used, or operated are hereby declared to be works of internal improvement. All laws applicable to works of internal improvement and all provisions of law applicable to electric light and power corporations, irrigation districts, or privately owned irrigation corporations, the use and occupation of state and other public lands and highways, the appropriation, acquisition, or use of water, water power, water rights, or water diversion or storage rights, for any of the purposes contemplated in such statutory provisions, the manner or method of construction and physical operation of power plants, systems, transmission lines, and irrigation works, as herein contemplated, shall be applicable, as nearly as may be, to all districts organized under or subject to Chapter 70, article 6, and in the performance of the duties conferred or imposed upon them under such statutory provisions. Such laws, provisions of law, or statutory provisions are hereby made applicable to all irrigation works and facilities operated by irrigation divisions of public power and irrigation districts organized under Chapter 70, article 6, and shall include, but not be limited to, the right of such district to exercise the powers conferred upon districts by Chapters 31 and 46, relating to operation, maintenance, rehabilitation, construction, reconstruction, repairs, extension, recharge for ground water, and surface and subsurface drainage projects and the assessment of the cost thereof to the lands benefited thereby. The right to exercise the power of eminent domain is conferred, except that this power may not be exercised for the purpose of condemning property for use by a privately operated ethanol production or distribution facility or a privately operated hydrogen production, storage, or distribution facility. The procedure to condemn property shall be exercised in the manner set forth in Chapter 76, article 7.

Source:Laws 1933, c. 86, § 7, p. 349; Laws 1941, c. 138, § 1, p. 545; C.S.Supp.,1941, § 70-707; R.S.1943, § 70-667; Laws 1951, c. 101, § 106, p. 496; Laws 1971, LB 626, § 2; Laws 1973, LB 189, § 1; Laws 1981, LB 181, § 32; Laws 1986, LB 1230, § 49; Laws 2005, LB 139, § 17.    


Annotations

70-668. Streams; water rights; priority.

In applying the provisions of law relating to the appropriation of water, priority of appropriation shall give the better right as between those using the water for the same purpose, but when the waters of any natural stream are not sufficient for the use of all those desiring to use the same, those using the water for domestic purposes shall have preference over those claiming it for any other purpose. Those using the water for agricultural purposes shall have the preference over those using the same for manufacturing purposes, and those using the water for agricultural purposes shall have the preference over those using the same for power purposes, where turbine or impulse water wheels are installed, or for instream-basin-management purposes.

Source:Laws 1933, c. 86, § 7, p. 349; Laws 1941, c. 138, § 1, p. 545; C.S.Supp.,1941, § 70-707; R.S.1943, § 70-668; Laws 2016, LB1038, § 13.    
Effective Date: July 21, 2016


Annotations

70-669. Streams; inferior rights; acquired by superior right; how compensated.

No inferior right to the use of the waters of this state shall be acquired by a superior right without just compensation therefor to the inferior user. The just compensation paid to those using water for power purposes shall not be greater than the cost of replacing the power which would be generated in the plant or plants of the power user by the water so acquired. The just compensation to be paid to a holder of an instream-basin-management appropriation that has been changed from a manufacturing of hydropower appropriation pursuant to section 46-290 shall be the cost per acre-foot of water subordinated for the hydropower appropriation at the time of approval of the change. The amount of compensation may be adjusted annually, except that any increase shall not exceed the annual change in the Consumer Price Index from the time of approval of the change. If publication of such index is discontinued, a comparable index selected by the Director of Natural Resources shall be used.

Source:Laws 1933, c. 86, § 7, p. 349; Laws 1941, c. 138, § 1, p. 545; C.S.Supp.,1941, § 70-707; R.S.1943, § 70-669; Laws 2016, LB1038, § 14.    
Effective Date: July 21, 2016


Annotations

70-670. Eminent domain; procedure; duties of Attorney General; costs; certain property not subject to eminent domain.

(1) In addition to any other rights and powers conferred upon any district organized under or subject to Chapter 70, article 6, each such district shall have and exercise the power of eminent domain to acquire from any person, firm, association, or private corporation any and all property owned, used, or operated, or useful for operation, in the generation, transmission, or distribution of electrical energy, including an existing electric utility system or any part thereof. The procedure to condemn property shall be exercised in the manner set forth in Chapter 76, article 7.

(2) In the case of the acquisition through the exercise of the power of eminent domain of an existing electric utility system or part thereof, the Attorney General shall, upon request of any district, represent such district in the institution and prosecution of condemnation proceedings. After acquisition of an existing electric utility system through the exercise of the power of eminent domain, the district shall reimburse the state for all costs and expenses incurred in the condemnation proceedings by the Attorney General.

(3) A district may agree to limit its exercise of the power of eminent domain to acquire a project which is a renewable energy generation facility producing electricity with wind and any related facilities.

(4) No property owned, used, or operated as part of a privately developed renewable energy generation facility meeting the requirements of section 70-1014.02 shall be subject to eminent domain by any consumer-owned electric supplier operating in the State of Nebraska.

Source:Laws 1933, c. 86, § 7, p. 349; Laws 1941, c. 138, § 1, p. 545; C.S.Supp.,1941, § 70-707; R.S.1943, § 70-670; Laws 1945, c. 157, § 5, p. 519; Laws 1951, c. 101, § 107, p. 497; Laws 1981, LB 181, § 33; Laws 2009, LB561, § 1;    Laws 2016, LB824, § 1.    
Effective Date: July 21, 2016


Annotations

70-671. District; breaks, overflow, and seepage; liability.

Any such district shall be liable for all breaks, overflow and seepage damage. Damages from seepage shall be recoverable when and if it accrues.

Source:Laws 1933, c. 86, § 7, p. 349; Laws 1941, c. 138, § 1, p. 545; C.S.Supp.,1941, § 70-707; R.S.1943, § 70-671.


Annotations

70-672. Water rights; eminent domain; condemnation; procedure.

Whenever the directors of an irrigation district vote to acquire and appropriate by the exercise of the power of eminent domain any water being used for power purposes, or whenever any person, firm, association, corporation, or organization seeks to acquire any water being used for power purposes and shall be unable to agree with the user of such water for power purposes upon the compensation to be paid to such power user, the procedure to condemn property shall be exercised in the manner set forth in Chapter 76, article 7.

Source:Laws 1941, c. 138, § 2, p. 546; C.S.Supp.,1941, § 46-515; R.S.1943, § 70-672; Laws 1951, c. 101, § 108, p. 497; Laws 1981, LB 181, § 34.


Annotations

70-673. Repealed. Laws 1951, c. 101, § 127.

70-674. Repealed. Laws 1951, c. 101, § 127.

70-675. Repealed. Laws 1951, c. 101, § 127.

70-676. Repealed. Laws 1951, c. 101, § 127.

70-677. Repealed. Laws 1951, c. 101, § 127.

70-678. Repealed. Laws 1951, c. 101, § 127.

70-679. Repealed. Laws 1951, c. 101, § 127.

70-680. Judicial proceedings; bond not required, when.

No bond for costs, appeal, supersedeas, injunction, or attachment shall be required of any district organized under or subject to Chapter 70, article 6, or of any officer, board, head of any department, agent, or employee of such district in any proceeding or court action in which the district or any officer, board, head of department, agent, or employee is a party litigant in its, his, or her official capacity.

Source:Laws 1971, LB 310, § 1; Laws 1981, LB 181, § 35.


Annotations

70-681. Districts existing on August 30, 2009; director holding office when charter amended; how treated.

In order to provide for orderly compliance with Chapter 70, article 6, districts existing on August 30, 2009, are hereby deemed to be properly constituted and incorporated and their directors duly elected and, notwithstanding any other provision of law, a district shall not be required to amend its charter in order to be in such compliance until six months after the publication of the first federal decennial census published after August 30, 2009. A director holding office at the time of any such amendment to a charter may continue to serve until the expiration of his or her term of office if such director meets the qualifications of section 70-619 for holding office under the charter as so amended.

Source:Laws 1986, LB 949, § 15; Laws 2009, LB53, § 5.    


70-682. Generating power agency; authority to engage in commodity futures financial hedging transactions; procedure; limitation.

(1) For purposes of this section:

(a) Generating power agency has the same meaning as in Chapter 70, article 6; and

(b) Regional transmission organization has the same meaning as in section 70-1001.01.

(2) Any generating power agency buying or selling fuel, power, or energy which operates in a regional transmission organization shall be authorized to engage in commodity futures financial hedging transactions with products regulated under the federal Commodity Futures Trading Commission for fuel, power, or energy as part of its sound business practices. Any generating power agency engaged in such transactions is authorized to grant a foreclosable security interest in and a lien on such agency’s commodity futures account contracts or funds used for such transactions in an amount not exceeding five percent of such agency’s annual gross revenue averaged over the preceding three calendar years.

(3) The authority to enter into agreements for the use of commodity futures financial hedging transactions shall be authorized by a resolution adopted or an agreement approved by the governing body of the generating power agency.

(4) The authority granted in this section is limited to granting a security interest in and a lien on future account contracts or funds specifically designated and used for such commodity futures financial hedging transactions. Except as otherwise authorized under Chapter 70, this section does not authorize granting a foreclosable security interest in or a lien on any other funds, assets, facilities, or property of a generating power agency.

(5) An agreement authorized by this section shall be considered a bond as defined in section 10-1103.

Source:Laws 2016, LB897, § 2.    
Effective Date: July 21, 2016


70-701. Act, how cited.

Sections 70-701 to 70-738 may be cited as the Electric Cooperative Corporation Act.

Source:Laws 1937, c. 50, § 1, p. 203; C.S.Supp.,1941, § 70-801; R.S.1943, § 70-701.


70-702. Terms, defined.

For purposes of the Electric Cooperative Corporation Act, unless the context otherwise requires: (1) Corporation means a corporation organized pursuant to the act; (2) board means a board of directors of a corporation organized under the act; (3) member means the incorporators of a corporation and each person thereafter lawfully admitted to membership therein; (4) federal agency includes the United States of America and any department administration, commission, board, bureau, office, establishment, agency, authority, or instrumentality of the United States of America heretofore or hereafter ordered; (5) person includes any natural person, firm, association, corporation, business trust, partnership, limited liability company, federal agency, state, or political subdivision thereof, or any body politic; (6) acquire means and includes construct, acquire by purchase, lease, devise, gift, or other mode of acquisition; (7) obligations include bonds, notes, debentures, interim certificates or receipts, and all other evidences of indebtedness issued by a corporation; and (8) rural area means any area not included within the boundaries of any incorporated city, town, or village.

Source:Laws 1937, c. 50, § 2, p. 203; C.S.Supp.,1941, § 70-802; R.S.1943, § 70-702; Laws 1993, LB 121, § 416.


70-703. Purpose.

Cooperative, nonprofit, membership corporations may be organized for the purpose of engaging in rural electrification and the furnishing of electric energy to persons in rural areas not served with electrical energy through existing facilities within such rural areas.

Source:Laws 1937, c. 50, § 3, p. 203; C.S.Supp.,1941, § 70-803; R.S.1943, § 70-703.


70-704. Corporate powers.

Each corporation shall have power: (1) To sue and be sued, complain, and defend, in its corporate name; (2) to have perpetual succession unless a limited period of duration is stated in its articles of incorporation; (3) to adopt a corporate seal, which may be altered at pleasure, and to use it or a facsimile thereof, as required by law; (4) to generate, manufacture, purchase, acquire, and accumulate electric energy and to transmit, distribute, sell, furnish, and dispose of such electric energy; (5) to acquire, own, hold, use, exercise and, to the extent permitted by law, to sell, mortgage, pledge, hypothecate, and in any manner dispose of franchises, rights, privileges, licenses, rights-of-way, and easements necessary, useful, or appropriate; (6) to purchase, receive, lease as lessee, or in any other manner acquire, own, hold, maintain, sell, exchange, and use any and all real and personal property or any interest therein for the purposes expressed herein; (7) to borrow money and otherwise contract indebtedness, to issue its obligations therefor, and to secure the payment thereof by mortgage, pledge, or deed of trust of all or any of its property, assets, franchises, revenue, or income; (8) to sell and convey, mortgage, pledge, lease as lessor, and otherwise dispose of all or any part of its property and assets; (9) to have the same powers now exercised by law by public light and power districts or private corporations to use any of the streets, highways, or public lands of the state or its political subdivisions in the manner provided by law; (10) to have and exercise the power of eminent domain for the purposes expressed in section 70-703 in the manner set forth in sections 76-704 to 76-724 and to have the powers and be subject to the restrictions of electric light and power corporations and districts as regards the use and occupation of public highways and the manner or method of construction and physical operation of plants, systems, and transmission lines; (11) to accept gifts or grants of money, services, or property, real or personal; (12) to make any and all contracts necessary or convenient for the exercise of the powers granted herein; (13) to fix, regulate, and collect rates, fees, rents, or other charges for electric energy furnished by the corporation; (14) to elect or appoint officers, agents, and employees of the corporation and to define their duties and fix their compensation; (15) to make and alter bylaws not inconsistent with the articles of incorporation or with the laws of this state for the administration and regulation of the affairs of the corporation; (16) to sell or lease its dark fiber pursuant to sections 86-574 to 86-578; and (17) to do and perform, either for itself or its members or for any other corporation organized under the Electric Cooperative Corporation Act or for the members thereof, any and all acts and things and to have and exercise any and all powers as may be necessary, convenient, or appropriate to effectuate the purpose for which the corporation is organized. Notwithstanding any law, ordinance, resolution, or regulation of any political subdivision to the contrary, each corporation may receive funds and extend loans pursuant to the Nebraska Investment Finance Authority Act.

Source:Laws 1937, c. 50, § 4, p. 203; C.S.Supp.,1941, § 70-804; R.S.1943, § 70-704; Laws 1951, c. 101, § 109, p. 498; Laws 1980, LB 954, § 63; Laws 1987, LB 23, § 2; Laws 2001, LB 827, § 16;    Laws 2002, LB 1105, § 478.    


Cross References

70-705. Who may organize.

Any twenty or more natural persons, residents of the territory to be served by the corporation, of the age of twenty-one years or more, residents of this state, may act as incorporators of a corporation to be organized under sections 70-701 to 70-738 by executing articles of incorporation as provided in said sections.

Source:Laws 1937, c. 50, § 5, p. 205; C.S.Supp.,1941, § 70-805; R.S.1943, § 70-705.


70-706. Articles of incorporation; contents.

The articles of incorporation shall state (1) the name of the corporation, which name shall include the words electric cooperative and the word corporation, incorporated, inc., association or company, and the name shall be such as to not be deceptively similar to any other corporation organized and existing under the laws of this state; (2) the purpose for which the corporation is formed; (3) the names and addresses of the incorporators who shall serve as directors and manage the affairs of the corporation until its first annual meeting of members, or until their successors are elected and qualify; (4) the number of directors, not less than five, to be elected at the annual meetings of members; (5) the address of its principal office; (6) the period of duration of the corporation, which may be perpetual; (7) the terms and conditions upon which persons shall be admitted to membership and retain membership in the corporation, but, if expressly so stated, the determination of such matter may be reserved to the directors by the bylaws; and (8) any provisions, not inconsistent with law, which the incorporators may choose to insert for the regulation of the business and the conduct of the affairs of the corporation. It shall not be necessary to set forth in the articles of incorporation any of the corporate powers enumerated in section 70-704.

Source:Laws 1937, c. 50, § 6, p. 205; C.S.Supp.,1941, § 70-806; R.S.1943, § 70-706; Laws 2003, LB 464, § 10.    


70-707. Electric cooperative; use of term restricted.

The words electric cooperative shall not be used in the corporate name of corporations organized under the laws of this state, or authorized to do business herein, other than those organized pursuant to the provisions of sections 70-701 to 70-738.

Source:Laws 1937, c. 50, § 7, p. 205; C.S.Supp.,1941, § 70-807; R.S.1943, § 70-707.


70-708. Articles of incorporation; filing; certificate of incorporation; issuance.

The original copy of the articles of incorporation shall be signed by the incorporators, and acknowledged before any officer authorized by the law of this state to acknowledge the execution of deeds and conveyances. It shall be filed in the office of the Secretary of State. If the Secretary of State finds that the articles of incorporation conform to law, he shall, when the fees prescribed by section 70-733 have been paid, (1) endorse on the original copy the word filed, and the month, day and year of the filing thereof; (2) file the original in his office; and (3) issue a certificate of incorporation to the incorporators. The incorporators shall file for recording a true copy of the articles of incorporation in the office of the county clerk in the county in which the principal office of the corporation in this state is located.

Source:Laws 1937, c. 50, § 8, p. 206; C.S.Supp.,1941, § 70-808; R.S.1943, § 70-708.


70-709. Certificate of incorporation; effect.

Upon the filing of articles of incorporation with the Secretary of State, the corporate existence of the corporation shall begin. The certificate of incorporation shall be conclusive evidence, except as against the state, that all conditions precedent required to be performed by the incorporators have been complied with, and that the corporation has been incorporated.

Source:Laws 1937, c. 50, § 9, p. 206; C.S.Supp.,1941, § 70-809; R.S.1943, § 70-709.


70-710. Organizational meeting; bylaws; adoption; election of officers; notice; waiver.

After the issuance of the certificate of incorporation an organization meeting shall be held, at the call of a majority of the incorporators, for the purpose of adopting bylaws and electing officers, and for the transaction of such other business as may properly come before the meeting. The incorporators calling the meeting shall give at least three days' notice thereof by mail to each incorporator, which notice shall state the time and place of the meeting, but such notice may be waived in writing.

Source:Laws 1937, c. 50, § 10, p. 206; C.S.Supp.,1941, § 70-810; R.S.1943, § 70-710.


70-711. Bylaws; make, alter, amend, or repeal; contents.

The power to make, alter, amend or repeal the bylaws of the corporation shall be vested in the board of directors. The bylaws may contain any provisions for the regulation and management of the affairs of the corporation not inconsistent with law or the articles of incorporation.

Source:Laws 1937, c. 50, § 11, p. 206; C.S.Supp.,1941, § 70-811; R.S.1943, § 70-711.


70-712. Membership; conditions.

All persons in rural areas proposed to be served by a corporation shall be eligible to membership in a corporation. No person shall become, be or remain a member of a corporation unless such person shall use or agree to use electric energy furnished by the corporation. A corporation organized under sections 70-701 to 70-738 may become a member of another corporation, and may avail itself fully of the facilities and services thereof.

Source:Laws 1937, c. 50, § 12, p. 207; C.S.Supp.,1941, § 70-812; R.S.1943, § 70-712.


70-713. Meetings, where held; annual and special meetings.

Meetings of members may be held at such place as may be provided in the bylaws. In the absence of any such provision, all meetings shall be held in the principal office of the corporation in this state. An annual meeting of the members shall be held at such time as may be provided in the bylaws. Failure to hold the annual meeting at the designated time shall not work forfeiture or dissolution of the corporation. Special meetings of the members may be called by the president, by the board of directors, by a petition signed by not less than one-tenth of all the members, or by such other officers or persons as may be provided in the articles of incorporation or the bylaws.

Source:Laws 1937, c. 50, § 13, p. 207; C.S.Supp.,1941, § 70-813; R.S.1943, § 70-713.


70-714. Meetings; notice; waiver.

Written or printed notice stating the place, day and hour of the meeting of members and, in the case of a special meeting, the purpose or purposes for which the meeting is called, shall be delivered not less than three nor more than five days before the date of the meeting, either personally or by mail, by or at the direction of the president or the secretary, or the officers or persons calling the meeting, to each member of record entitled to vote at such meeting. If mailed, such notice shall be deemed to be delivered when deposited in the United States mails in a sealed envelope addressed to the member at his address as it appears on the records of the corporation, with postage thereon prepaid. Notice of meetings of members may be waived in writing.

Source:Laws 1937, c. 50, § 14, p. 207; C.S.Supp.,1941, § 70-814; R.S.1943, § 70-714.


70-715. Members; voting rights.

Each member present shall be entitled to one, and only one, vote on each matter submitted to a vote at a meeting of members.

Source:Laws 1937, c. 50, § 15, p. 208; C.S.Supp.,1941, § 70-815; R.S.1943, § 70-715.


70-716. Membership certificate; issuance; transfer; conditions.

When a member of a corporation has paid the membership fee in full, a certificate of membership shall be issued to such member. After such membership fee has been paid in full, memberships and certificates in the corporation shall be transferable upon the books of the corporation to other persons eligible for membership in such corporation; Provided, that, five days before the transfer thereof, such membership, and certificate, has been offered for redemption to the corporation at its book value and such corporation has refused to purchase the same.

Source:Laws 1937, c. 50, § 16, p. 208; C.S.Supp.,1941, § 70-816; R.S.1943, § 70-716.


70-717. Meetings; quorum.

Unless otherwise provided in the articles of incorporation, a majority of the members present in person shall constitute a quorum for the transaction of business at a meeting of members.

Source:Laws 1937, c. 50, § 17, p. 208; C.S.Supp.,1941, § 70-817; R.S.1943, § 70-717.


70-718. Board of directors; number; powers; qualifications.

The business and affairs of a corporation shall be managed by a board of directors, not less than five in number, which shall exercise all the powers of the corporation except such as are conferred upon the members by sections 70-701 to 70-738, by the articles of incorporation, or by the bylaws of the corporation. The bylaws may prescribe qualifications for directors.

Source:Laws 1937, c. 50, § 18, p. 208; C.S.Supp.,1941, § 70-818; R.S.1943, § 70-718.


70-719. Directors; alternate directors; compensation; election.

The directors, other than those named in the certificate of incorporation to serve until the first annual meeting of members, shall be elected annually, or as otherwise provided in the bylaws, by the members. The directors shall be members of the corporation and shall be entitled to such compensation and reimbursement for expenses actually and necessarily incurred by them as provided in sections 81-1174 to 81-1177 for state employees. The bylaws may provide for the election of alternate directors, who shall be elected and serve in the same manner as members elected to the board of directors. Such alternate directors shall serve in the event of the absence, disability, disqualification, or death of an elected director.

Source:Laws 1937, c. 50, § 19, p. 208; C.S.Supp.,1941, § 70-819; R.S.1943, § 70-719; Laws 1974, LB 833, § 1; Laws 1981, LB 204, § 106.


70-720. Directors; alternate directors; vacancy; how filled.

Any vacancy occurring in the board or in the position of alternate director, and any directorship to be filled, shall be filled as provided in the bylaws by persons who shall serve until directors or alternate directors may be regularly elected as provided for in section 70-719.

Source:Laws 1937, c. 50, § 20, p. 208; C.S.Supp.,1941, § 70-820; R.S.1943, § 70-720; Laws 1974, LB 833, § 2.


70-721. Board of directors; quorum; how determined.

A majority of the board shall constitute a quorum for the transaction of business, unless a greater number is required by the articles of incorporation or the bylaws. The act of the majority of the directors present at a meeting at which a quorum is present shall be the act of the board, unless the act of a greater number is required by the articles of incorporation or the bylaws. For the purpose of determining a quorum, alternate directors shall be considered in the event of the absence, disability, disqualification, or death of any director.

Source:Laws 1937, c. 50, § 21, p. 209; C.S.Supp.,1941, § 70-821; R.S.1943, § 70-721; Laws 1974, LB 833, § 3.


70-722. Board meetings; notice; waiver.

Meetings of the board, regular or special, shall be held at such place and upon such notice as the bylaws may prescribe. Attendance of a director or alternate director at any meeting shall constitute a waiver of notice of such meeting, except where a director or alternate director attends a meeting for the express purpose of objecting to the transaction of any business because the meeting is not lawfully called or convened. Neither the business to be transacted at, nor the purpose of, any regular or special meeting of the board of directors need be specified in the notice or waiver of notice of such meeting.

Source:Laws 1937, c. 50, § 22, p. 209; C.S.Supp.,1941, § 70-822; R.S.1943, § 70-722; Laws 1974, LB 833, § 4.


70-723. Officers; powers; duties; removal.

The board shall elect from its number a president, a vice president, a secretary, and a treasurer, but the same person may be elected to the office of secretary and treasurer. The powers and duties of the foregoing officers, as well as their terms of office and compensation, shall be provided for in the bylaws. The board shall appoint such other officers, agents and employees as it deems necessary, and fix their powers, duties and compensation. Any officer, agent or employee, elected or appointed by the board, may be removed by it whenever in its judgment the best interests of the corporation will be served.

Source:Laws 1937, c. 50, § 23, p. 209; C.S.Supp.,1941, § 70-823; R.S.1943, § 70-723.


70-724. Executive committee; powers.

Any corporation may, by its bylaws, provide for an executive committee to be elected from and by its board of directors. To such committee may be delegated the management of the current and ordinary business of the corporation, and such other duties as the bylaws may prescribe, but the designation of such committee, and the delegation thereto of authority, shall not operate to relieve the board of directors, or any member thereof, of any responsibility imposed upon it or him by sections 70-701 to 70-738.

Source:Laws 1937, c. 50, § 24, p. 209; C.S.Supp.,1941, § 70-824; R.S.1943, § 70-724.


70-725. Rates for electric energy and other services; nonprofit operation.

Each corporation shall be operated without profit to its members, but the rates, fees, rents, or other charges, for electric energy, and any other facilities, supplies, equipment, appliances or services furnished by the corporation, shall be sufficient at all times (1) to pay all operating and maintenance expenses necessary or desirable for the prudent conduct of its business, and the principal of and interest on the obligations issued or assumed by the corporation in the performance of the purpose for which it was organized, and (2) for the creation of reserves.

Source:Laws 1937, c. 50, § 25, p. 210; C.S.Supp.,1941, § 70-825; R.S.1943, § 70-725.


70-726. Revenue; use; surplus; return to consumer.

The revenue of the corporation shall be devoted, first, to the payment of operating and maintenance expenses and the principal and interest on outstanding obligations, and thereafter to such reserves for improvement, new construction, depreciation and contingencies, as the board may from time to time prescribe. Revenue not required for the purposes set forth in this section shall be returned from time to time to the users of the services or products of such corporation on a pro rata basis according to the amount of business done with each during the period, either in cash, in abatement of current charges for electric energy, or otherwise, as the board determines; but such return may be made by way of general rate reduction to such users, if the board so elects.

Source:Laws 1937, c. 50, § 25, p. 210; C.S.Supp.,1941, § 70-825; R.S.1943, § 70-726.


70-727. Articles of incorporation; amendment; procedure.

A corporation may amend its articles of incorporation by a majority vote of the members present in person at any regular meeting, or at any special meeting of its members called for that purpose. The power to amend shall include the power to accomplish any desired change in the provisions of its articles of incorporation, and to include any purpose, power or provision which would be authorized to be included in original articles of incorporation if executed at the time the amendment is made. Articles of amendment signed by the president or vice president, and attested by the secretary, certifying to such amendment and its lawful adoption, shall be executed, acknowledged, filed and recorded in the same manner as the original articles of incorporation of a corporation organized under sections 70-701 to 70-738. As soon as the Secretary of State shall have accepted the articles of amendment for filing and recording, and issued a certificate of amendment, the amendment or amendments shall be in effect.

Source:Laws 1937, c. 50, § 26, p. 210; C.S.Supp.,1941, § 70-826; R.S.1943, § 70-727.


70-728. Consolidation of corporations; how effected.

Any two or more corporations may enter into an agreement for the consolidation of such corporations. The agreement shall set forth the terms and conditions of the consolidation, the name of the proposed consolidated corporation, the number of its directors, not less than five, the time of the annual meeting and election, and the names of at least five persons to be directors until the first annual meeting. If such agreement is approved by the votes of a majority of the members of each corporation present in person at any regular meeting, or at any special meeting of its members called for that purpose, the directors named in the agreement shall sign and acknowledge, as incorporators, articles of consolidation conforming substantially to original articles of incorporation of a corporation organized under sections 70-701 to 70-738.

Source:Laws 1937, c. 50, § 27, p. 211; C.S.Supp.,1941, § 70-827; R.S.1943, § 70-728.


70-729. Articles of consolidation; filing.

The articles of consolidation shall be executed, acknowledged, filed and recorded in the same manner as the original articles of incorporation of a corporation organized under sections 70-701 to 70-738. As soon as the Secretary of State shall have accepted the articles of consolidation for filing and recording, and issued a certificate of consolidation, the proposed consolidated corporation, described in the articles under its designated name, shall be a body corporate with all of the powers of a corporation as originally organized hereunder.

Source:Laws 1937, c. 50, § 27, p. 211; C.S.Supp.,1941, § 70-827; R.S.1943, § 70-729.


70-730. Dissolution; procedure.

Any corporation may dissolve by a majority vote of the members in person at any regular meeting, or at any special meeting of its members called for that purpose. A certificate of dissolution shall be signed by the president or vice president, and attested by the secretary, certifying to such dissolution, and stating that they have been authorized to execute and file such certificate by votes cast in person by a majority of the members of the corporation. A certificate of dissolution shall be executed, acknowledged, filed and recorded in the same manner as the original articles of incorporation of a corporation organized under sections 70-701 to 70-738, and as soon as the Secretary of State shall have accepted the certificate of dissolution for filing and recording, and issued a certificate of dissolution, the corporation shall be deemed to be dissolved.

Source:Laws 1937, c. 50, § 28, p. 211; C.S.Supp.,1941, § 70-828; R.S.1943, § 70-730.


70-731. Dissolution; discharge of liabilities; distribution of assets.

Such corporation shall continue for the purpose of paying, satisfying and discharging any existing liabilities or obligations, and collecting or liquidating its assets, and doing all other acts required to adjust and wind up its business and affairs, and may sue and be sued in its corporate name. Any assets remaining, after all liabilities or obligations of the corporation have been satisfied or discharged, shall be distributed pro rata among the members of the corporation at the time of the filing of the certificate of dissolution.

Source:Laws 1937, c. 50, § 28, p. 211; C.S.Supp.,1941, § 70-828; R.S.1943, § 70-731.


70-732. Defective corporations; dissolution; procedure.

Any corporation which purports to have been incorporated or reincorporated under sections 70-701 to 70-738, but which has not complied with all of the requirements for legal corporate existence, may nevertheless file a certificate of dissolution in the same manner as a validly existing corporation. The certificate of dissolution in such case may be authorized by a majority of the incorporators or directors at a meeting called by any incorporator upon ten days' notice mailed to the last-known post office address of each incorporator or director, and held at the principal office of the corporation named in the articles of incorporation.

Source:Laws 1937, c. 50, § 28, p. 211; C.S.Supp.,1941, § 70-828; R.S.1943, § 70-732.


70-733. Filing fees.

The Secretary of State shall charge and collect for (1) filing articles of incorporation and issuing a certificate of incorporation, three dollars; (2) filing of articles of amendment and issuing a certificate of amendment, two dollars; (3) filing articles of consolidation and issuing a certificate with respect thereto, ten dollars; and (4) filing articles of dissolution, five dollars.

Source:Laws 1937, c. 50, § 29, p. 212; C.S.Supp.,1941, § 70-829; R.S.1943, § 70-733.


70-734. Securities Act of Nebraska; inapplicable; when.

Whenever any corporation organized under the Electric Cooperative Corporation Act has borrowed money from any federal agency, the obligations issued to secure the payment of such money shall be exempt from the provisions of the Securities Act of Nebraska, and the act shall not apply to the issuance of membership certificates.

Source:Laws 1937, c. 50, § 30, p. 212; C.S.Supp.,1941, § 70-830; R.S.1943, § 70-734; Laws 1967, c. 424, § 1, p. 1300; Laws 1998, LB 894, § 7.


Cross References

70-735. Defective incorporation; correction; effect.

In the event any corporation has filed defective articles of incorporation, or has failed to do all things necessary to perfect its corporate organization, it may, nevertheless, file corrected articles of incorporation or amend the original articles, and do and perform all acts and things necessary in the premises for the correction of such defects. The action so taken shall be valid and binding upon all persons concerned, and the capacity of such corporation to file corrected articles of incorporation or amendments to the original articles, or to do and perform all acts and things necessary in the premises, shall not be questioned.

Source:Laws 1937, c. 50, § 31, p. 213; C.S.Supp.,1941, § 70-831; R.S.1943, § 70-735.


70-736. Existing associations; compliance with sections.

Any existing cooperative or nonprofit corporation or association, organized under any other law of this state for the purpose of engaging in rural electrification, may, by a majority vote of the members present in person at a meeting called for that purpose, amend its articles of incorporation so as to comply with sections 70-701 to 70-738.

Source:Laws 1937, c. 50, § 32, p. 213; C.S.Supp.,1941, § 70-832; R.S.1943, § 70-736.


70-737. Sections, how construed.

Sections 70-701 to 70-738 shall be construed liberally. The enumeration of any object, purpose, power, manner, method or thing shall not be deemed to exclude like or similar objects, purposes, powers, manners, methods or things.

Source:Laws 1937, c. 50, § 33, p. 213; C.S.Supp.,1941, § 70-833; R.S.1943, § 70-737.


70-738. Sections; exclusive; applicability of other law.

Sections 70-701 to 70-738 are complete in themselves, and shall be controlling. The provisions of any other law of this state, except as provided in said sections, shall not apply to a corporation organized under said sections.

Source:Laws 1937, c. 50, § 35, p. 213; C.S.Supp.,1941, § 70-835; R.S.1943, § 70-738.


70-801. District; how created.

Independently of, and in addition to any and all other means or methods provided by the laws of this state for the creation of public power districts, such districts may also be created in the method and manner in sections 70-801 to 70-808 provided.

Source:Laws 1949, c. 196, § 1, p. 571.


70-802. Terms, defined.

As used in Chapter 70, article 8, unless the context otherwise requires:

(1) Board means the Nebraska Power Review Board;

(2) The terms public power district and district as used in Chapter 70, article 8, each mean the same and also have the same meaning as the term public power district as applied to public corporations created under Chapter 70, article 6, and amendments thereof;

(3) Petitioner means the corporation or association which presents a petition to the Nebraska Power Review Board for the creation of a public power district pursuant to Chapter 70, article 8;

(4) Electric utility means the business of conducting or carrying on, in service to the public, any one or more of the functions or operations of generation, transmission, distribution, sale, and purchase of electrical energy, hydrogen, or ethanol for purposes of lighting, power, heating, and any and every other useful purpose whatsoever, and any and all plants, lines, systems, and any and all other property owned, used, operated, or useful for such operation;

(5) Electric cooperative corporation means a corporation organized under Chapter 70, article 7; and

(6) Rural area means any area not included within the boundaries of any incorporated city or village.

Source:Laws 1949, c. 196, § 2, p. 571; Laws 1981, LB 181, § 36; Laws 1986, LB 1230, § 50; Laws 2005, LB 139, § 18.    


70-803. Formation of district; petition; contents.

Any electric cooperative corporation, whether organized or incorporated under the laws of this state or of any other state, which shall own and operate within this state any electric utility engaged in furnishing electric energy to customers in a rural area, may file in the office of the Nebraska Power Review Board a petition for the creation of a public power district, which petition must state and contain:

(1) The name of the proposed district, incorporating in each name the words public power district;

(2) The location of the principal place of business of the proposed district;

(3) The names of the municipalities within the proposed district and the boundaries thereof, including within the same, but not limited to all municipalities served by the petitioner in its electric utility business;

(4) A general description of the nature of the business in which the proposed district is to engage, the location and method of operation of the electric utility both theretofore operated by the petitioner and as proposed for the district when created;

(5) A statement that the proposed district shall not have the power to levy taxes nor to issue bonds which shall be general obligations of the district;

(6) The names and the addresses of the members of the board of directors of the district, which board shall consist of not less than five nor more than twenty-one members, except where the district comprises or proposes to operate in more than fifty counties in the state in which case the number shall be seven, who shall serve until their successors are elected and qualified as provided for in Chapter 70, article 8; the directors named shall be divided as nearly as possible into three equal groups, (a) the members of the first group to hold office until their successors elected at the first general state election thereafter shall have qualified, (b) the members of the second group to hold office until their successors elected at the second general state election thereafter shall have qualified, and (c) the members of the third group to hold office until their successors elected at the third general state election thereafter shall have qualified; and after the name of each director, it shall state to which of the three groups he or she belongs;

(7) A statement in substance that the proposed district when created pursuant to the provisions of Chapter 70, article 8, shall be a public power district subject to and governed by the provisions of Chapter 70, article 6, and all other provisions of law, insofar as the same are applicable to public power districts in this state after their creation; and

(8) Duly certified copies of documents and records of proceedings preceding the filing of the petition which must include and show the following: (a) Due authorization of and an irrevocable covenant for the complete dissolution of the corporate existence of the petitioner, such dissolution to be effective when, as, and if the petition is approved and the proposed district created; (b) due authorization of and irrevocable covenant for the absolute assignment, transfer, grant, deed, and conveyance of all of the property and assets of the petitioner to the district when, as, and if the petition is approved and the district created, including an itemized and detailed description of all of said property and assets, the location thereof, and the exact nature and amount of the consideration and terms of each such assignment, transfer, grant, deed, and conveyance, and further including the names and addresses of the officers of the petitioner authorized to execute, acknowledge, and deliver any and all instruments and documents necessary or proper to fully consummate said transaction; and (c) duly certified copies of resolutions of the stockholders or members of the petitioner authorizing the execution and filing of the petition and the prosecution of the same to conclusion.

Source:Laws 1949, c. 196, § 3, p. 572; Laws 1981, LB 181, § 37.


70-804. Formation of district; petition; investigation; hearing; notice; expenses.

Upon receipt of such petition the board shall immediately make an investigation of the proposed district, of all matters set forth in the petition, and, as the board may deem necessary or proper, of any other facts and circumstances surrounding the existing business and operation of the petitioner, its proposed dissolution and transfer of its assets to the district. The board shall also conduct a public hearing upon such petition after publishing a notice of the time and place of such hearing for three consecutive weeks in any legal newspaper widely circulated in the territory comprising the proposed district. The petitioner shall pay the necessary expenses incurred by the board in making investigations and conducting hearings pursuant to the provisions of Chapter 70, article 8.

Source:Laws 1949, c. 196, § 4, p. 574; Laws 1981, LB 181, § 38.


70-805. Formation of district; petition; hearing; approval; procedure.

At such public hearing any interested person, firm, association, or corporation may appear and present evidence or argument in support of or opposition to such petition. After such hearing and such independent investigation as may be deemed advisable, if the board finds that the proposed district and its proposed operation of an electric utility are feasible and conform to public convenience and welfare, the board shall thereupon and without delay issue a certificate in duplicate, setting forth a true copy of the petition and declaring that the petition has been approved. The board shall cause said certificate to be filed as provided in section 70-608, and thereupon such district under its designated name shall be and constitute a body politic and corporate and thenceforth shall be a public power district governed by all provisions of Chapter 70, article 6, and of other pertinent statutes, insofar as the same pertain to public power districts after their creation.

Source:Laws 1949, c. 196, § 5, p. 574; Laws 1981, LB 181, § 39.


70-806. Formation of district; petitioner; appeal; procedure.

The petitioner may appeal from the decision of the board dismissing the petitioner's petition, and the appeal shall be in accordance with the Administrative Procedure Act.

Source:Laws 1949, c. 196, § 6(1), p. 575; Laws 1981, LB 181, § 40; Laws 1988, LB 352, § 111.


Cross References

70-807. Formation of district; petition granted; interested person; appeal; procedure.

Any interested person, firm, or corporation may likewise appeal from a decision of the board granting the petition, and the appeal shall be in accordance with the Administrative Procedure Act.

Source:Laws 1949, c. 196, § 6(2), p. 575; Laws 1981, LB 181, § 41; Laws 1988, LB 352, § 112.


Cross References

70-808. Sections, how construed.

Sections 70-801 to 70-808 are and shall be construed to be cumulative, independent legislation, and complete in themselves.

Source:Laws 1949, c. 196, § 7, p. 576.


70-809. Audit.

The audit of any rural power district organized pursuant to Chapter 70, article 8, shall be conducted in the manner prescribed in section 84-304.01.

Source:Laws 1993, LB 310, § 11.


70-901. Expiration of act.

70-902. Expiration of act.

70-903. Expiration of act.

70-904. Expiration of act.

70-905. Expiration of act.

70-906. Repealed. Laws 1996, LB 890, § 1.

70-907. Repealed. Laws 1996, LB 890, § 1.

70-1001. Declaration of policy.

In order to provide the citizens of the state with adequate electric service at as low overall cost as possible, consistent with sound business practices, it is the policy of this state to avoid and eliminate conflict and competition between public power districts, public power and irrigation districts, individual municipalities, registered groups of municipalities, electric membership associations, and cooperatives in furnishing electric energy to retail and wholesale customers, to avoid and eliminate the duplication of facilities and resources which result therefrom, and to facilitate the settlement of rate disputes between suppliers of electricity.

It is also the policy of the state to prepare for an evolving retail electricity market if certain conditions are met which indicate that retail competition is in the best interests of the citizens of the state. The determination on the timing and form of competitive markets is a matter properly left to the states as each state must evaluate the costs and benefits of a competitive retail market based on its own unique conditions. Consequently, there is a need for the state to monitor whether the conditions necessary for its citizens to benefit from retail competition exist.

It is also the policy of the state to encourage and allow opportunities for private developers to develop, own, and operate renewable energy facilities intended for sale at wholesale under a statutory framework which protects the ratepayers of consumer-owned utility systems operating in the state from subsidizing the costs of such export facilities through their rates.

Source:Laws 1963, c. 397, § 1, p. 1259; Laws 1971, LB 349, § 4; Laws 1981, LB 181, § 42; Laws 2000, LB 901, § 6;    Laws 2010, LB1048, § 2;    Laws 2016, LB824, § 2.    
Effective Date: July 21, 2016


Annotations

70-1001.01. Terms, defined.

For purposes of sections 70-1001 to 70-1028, unless the context otherwise requires:

(1) Board means the Nebraska Power Review Board;

(2) Electric suppliers or suppliers of electricity means any legal entity supplying, producing, or distributing electricity within the state for sale at wholesale or retail;

(3) Private electric supplier means an electric supplier producing electricity from a privately developed renewable energy generation facility that is not a public power district, a public power and irrigation district, a municipality, a registered group of municipalities, an electric cooperative, an electric membership association, any other governmental entity, or any combination thereof;

(4) Privately developed renewable energy generation facility means a facility that (a) generates electricity using solar, wind, geothermal, biomass, landfill gas, or biogas, including all electrically connected equipment used to produce, collect, and store the facility output up to and including the transformer that steps up the voltage to sixty thousand volts or greater, and including supporting structures, buildings, and roads, unless otherwise agreed to in a joint transmission development agreement, (b) is developed, constructed, and owned, in whole or in part, by one or more private electric suppliers, and (c) is not wholly owned by a public power district, a public power and irrigation district, a municipality, a registered group of municipalities, an electric cooperative, an electric membership association, any other governmental entity, or any combination thereof;

(5) Regional transmission organization means an entity independent from those entities generating or marketing electricity at wholesale or retail, which has operational control over the electric transmission lines in a designated geographic area in order to reduce constraints in the flow of electricity and ensure that all power suppliers have open access to transmission lines for the transmission of electricity;

(6) Representative organization means an organization designated by the board and organized for the purpose of providing joint planning and encouraging maximum cooperation and coordination among electric suppliers. Such organization shall represent electric suppliers owning a combined electric generation plant capacity of at least ninety percent of the total electric generation plant capacity constructed and in operation within the state;

(7) State means the State of Nebraska; and

(8) Unbundled retail rates means the separation of utility bills into the individual price components for which an electric supplier charges its retail customers, including, but not limited to, the separate charges for the generation, transmission, and distribution of electricity.

Source:Laws 1981, LB 302, § 1; R.S.1943, (1996), § 70-1023; Laws 2000, LB 901, § 7;    Laws 2003, LB 65, § 1;    Laws 2010, LB1048, § 3;    Laws 2011, LB208, § 1;    Laws 2016, LB824, § 3.    
Effective Date: July 21, 2016


70-1002. Suppliers of electricity; agreements; specify service areas; submission to board; purpose of section.

(1) All suppliers of electricity, including public power districts, public power and irrigation districts, individual municipalities, registered groups of municipalities, electric membership associations, and cooperatives, serving customers at retail in adjoining service areas shall have the authority to enter into written agreements with each other specifying either the service area or customers each shall serve with electric energy. Before such agreements shall be effective, except agreements referred to in subsection (2) of this section, they shall be submitted to and approved by the Nebraska Power Review Board created by section 70-1003. In the event that such suppliers fail to consummate such agreements, except agreements referred to in subsection (2) of this section, the matter shall be referred to the Nebraska Power Review Board created by section 70-1003.

(2) When two or more suppliers serve the same municipality at retail, such agreements shall specify the service areas within such municipality which each supplier is to serve.

(3) It is declared to be the purpose of this section to promote and encourage the making of such agreements. Such agreements may be amended by the parties thereto at any time, and, except agreements referred to in subsection (2) of this section, shall require the approval of the Nebraska Power Review Board, and they shall be submitted to the board for amendment before the transfer of ownership or control of the facilities serving a service area.

Source:Laws 1963, c. 397, § 2, p. 1259; Laws 1981, LB 181, § 43.


Annotations

70-1002.01. Suppliers of electricity; agreements; wholesale electric energy; submission to board; considerations; investigation; approval; effect.

All suppliers of electricity, including public power districts, public power and irrigation districts, individual municipalities, registered groups of municipalities, electric membership associations, and cooperatives, shall have authority to enter into written agreements with each other limiting the areas in which or the customers to which a party to the agreement shall provide or sell electric energy at wholesale. Wholesale electric energy is hereby defined as electric energy which is sold to another agency for resale to the ultimate user, hereafter referred to as the retail customer. Before such agreements shall become effective, they shall be submitted to and approved by the Nebraska Power Review Board created by section 70-1003. It is declared to be the purpose of this section to promote and encourage the making of such agreements. Such agreements may be amended by the parties thereto at any time, and such amendments shall require the prior approval of the Nebraska Power Review Board. When requested to approve such an agreement or amendment thereto, the Nebraska Power Review Board shall consider whether or not the proposed agreement or amendment can be reasonably expected to provide a reliable wholesale power supply at a reasonable cost for the area covered by the agreement. It may make such investigation as it determines is necessary and hold a hearing if it determines one to be desirable. At the conclusion of its investigation, the Nebraska Power Review Board shall approve the agreement or amendment unless it determines that it cannot be reasonably expected to provide a reliable wholesale power supply at a reasonable cost for the area covered. Such agreements when approved by the Nebraska Power Review Board shall not be binding upon other suppliers that are not parties to the agreement and the Nebraska Power Review Board shall have no authority to impose conditions that will be binding or applicable to other suppliers that are not parties to such agreements. Such agreements shall not be considered as establishing service areas within the meaning of Chapter 70, article 10.

Source:Laws 1971, LB 349, § 1; Laws 1981, LB 181, § 44.


Annotations

70-1002.02. Suppliers of electricity; sale in violation of approved agreement; prohibited.

No supplier shall offer, provide or sell electric energy at wholesale in areas or to customers in violation of any agreement entered into and approved by the Nebraska Power Review Board pursuant to section 70-1002.01.

Source:Laws 1971, LB 349, § 2.


70-1002.03. New transmission facilities or interconnection; agreement by affected parties; disputes submitted to board; insure prudent utility practice; rate determination; effect.

When any electric generation facility or transmission facility over seventy thousand volts is constructed or acquired, either within or without the State of Nebraska, and the output of the generation or transmission facility would be transmitted over existing transmission facilities of others within this state or transmitted over new transmission facilities to be constructed or acquired within this state or through an interconnection with existing facilities of others within this state, and such transmission of the output would substantially affect the reliability, operation, or safety of the transmission system of a generating power agency or a distribution power agency in this state, as defined in section 70-626.01, the party or parties that would jointly or individually receive the output from such electric generation or transmission facility and the party or parties whose existing transmission system would be so affected shall determine, pursuant to prudent utility practice, what new transmission facilities or interconnection, if any, should be constructed or acquired so that the output of the generation or transmission facility will be transmitted in a reliable and safe manner. As used in this section, prudent utility practice shall mean any of the practices, methods and acts at a particular time which, in the exercise of reasonable judgment in the light of the facts, including but not limited to the practices, methods, and acts engaged in or approved by a significant portion of the electrical utility industry prior thereto, known at the time the decision was made, would have been expected to accomplish the desired result at the lowest reasonable cost consistent with reliability, safety, and expedition. If the parties determine that new transmission facilities or interconnection are to be required, the parties will determine what new transmission facilities should be constructed or acquired and what interconnection should be provided, utilizing to the fullest extent possible the existing transmission facilities for the maximum benefit of the electric ratepayers of this state. In the event that the parties are unable to agree, before construction begins or the acquisition is finalized, but after having made a reasonable effort to reach agreement, upon any of the terms or conditions of (1) what new transmission facilities are to be constructed or acquired, (2) who shall construct or acquire such new transmission facilities, or (3) agreement for the electrical interconnection of transmission facilities, the matter shall be submitted to the Nebraska Power Review Board for hearing and determination, before construction begins or the acquisition is finalized, in accordance with prudent utility practice as defined in this section and the provisions of sections 70-626.04 and 70-1014, utilizing to the fullest extent possible the existing transmission facilities for the maximum benefit of the electric ratepayers of this state. Any determination by such board regarding rates shall be advisory only and not binding upon the parties. Rates, tolls, and charges shall be as provided for in section 70-655.

Source:Laws 1975, LB 104, § 11; Laws 1981, LB 181, § 45.


70-1002.04. Municipalities; joint operation of electric systems; register with board; reports; action subject to review or approval.

Two or more municipalities owning or operating separate electric systems that join together for the purpose of facilitating the performance of any of their respective powers or duties shall, before such a group of municipalities commences operations, register with the Nebraska Power Review Board on such forms as the board may prescribe and containing such information as the board may request. Such a group shall comply with any additional reporting requirements the board imposes that are applied to individual municipalities. Any action taken by an individual municipality that is subjected to the Nebraska Power Review Board review or approval, shall, if taken by a group of municipalities, be subject to similar review or approval.

Source:Laws 1981, LB 181, § 56.


70-1003. Nebraska Power Review Board; establishment; composition; appointment; term; vacancy; qualifications; compensation; expenses; jurisdiction; officers; executive director; staff; reports.

(1) There is hereby established an independent board to be known as the Nebraska Power Review Board to consist of five members, one of whom shall be an engineer, one an attorney, one an accountant, and two laypersons. No person who is or who has within four years preceding his or her appointment been either a director, officer, or employee of any electric utility or an elective state officer shall be eligible for membership on the board. Members of the board shall be appointed by the Governor subject to the approval of the Legislature. Upon expiration of the terms of the members first appointed, the successors shall be appointed for terms of four years. No member of the board shall serve more than two consecutive terms. Any vacancy on the board arising other than from the expiration of a term shall be filled by appointment for the unexpired portion of the term, and any person appointed to fill a vacancy on the board shall be eligible for reappointment for two more consecutive terms. No more than three members of the board shall be registered members of that political party represented by the Governor.

(2) Each member of the board shall receive sixty dollars per day for each day actually and necessarily engaged in the performance of his or her duties, but not to exceed six thousand dollars in any one year, except for the member designated to represent the board on the Southwest Power Pool Regional State Committee or its equivalent successor, who shall receive two hundred fifty dollars for each day actually and necessarily engaged in the performance of his or her duties, not to exceed twenty thousand dollars in any one year. If the member designated to represent the board on the Southwest Power Pool Regional State Committee should for any reason no longer serve in that capacity during a year, the pay received while serving in such capacity shall not be used for purposes of calculating the six-thousand-dollar limitation for board members not serving in that capacity. When another board member acts as the proxy for the designated Southwest Power Pool Regional State Committee member, he or she shall receive the same pay as the designated member would have for that activity. Pay received while serving as proxy for such designated member shall not be used for purposes of determining whether the six-thousand-dollar limitation has been met for board members not serving as such designated member. Total pay to board members for activities related to the Southwest Power Pool shall not exceed an aggregate total of twenty-five thousand dollars in any one year. Each member shall be reimbursed for his or her actual and necessary expenses while so engaged as provided in sections 81-1174 to 81-1177. The board shall have jurisdiction as provided in Chapter 70, article 10.

(3) The board shall elect from their members a chairperson and a vice-chairperson. Decisions of the board shall require the approval of a majority of the members of the board.

(4) The board shall employ an executive director and may employ such other staff necessary to carry out the duties pursuant to Chapter 70, article 10. The executive director shall serve at the pleasure of the board and shall be solely responsible to the board. The executive director shall be responsible for the administrative operations of the board and shall perform such other duties as may be delegated or assigned to him or her by the board. The board may obtain the services of experts and consultants necessary to carry out the board's duties pursuant to Chapter 70, article 10.

(5) The board shall publish and submit a biennial report with annual data to the Governor, with copies to be filed with the Clerk of the Legislature and with the State Energy Office. The report submitted to the Clerk of the Legislature shall be submitted electronically. The State Energy Office shall consider the information in the Nebraska Power Review Board's report when the State Energy Office prepares its own reports pursuant to sections 81-1606 and 81-1607. The report of the board shall include:

(a) The assessments for the fiscal year imposed pursuant to section 70-1020;

(b) The gross income totals for each category of the industry and the industry total;

(c) The number of suppliers against whom the assessment is levied, by category and in total;

(d) The projected dollar costs of generation, transmission, and microwave applications, approved and denied;

(e) The actual dollar costs of approved applications upon completion, and a summary of an informational hearing concerning any significant divergence between the projected and actual costs;

(f) A description of Nebraska's current electric system and information on additions to and retirements from the system during the fiscal year, including microwave facilities;

(g) A statistical summary of board activities and an expenditure summary;

(h) A roster of power suppliers in Nebraska and the assessment each paid; and

(i) Appropriately detailed historical and projected electric supply and demand statistics, including information on the total generating capacity owned by Nebraska suppliers and the total peak load demand of the previous year, along with an indication of how the industry will respond to the projected situation.

(6) The board may, in its discretion, hold public hearings concerning the conditions that may indicate that retail competition in the electric industry would benefit Nebraska's citizens and what steps, if any, should be taken to prepare for retail competition in Nebraska's electricity market. In determining whether to hold such hearings, the board shall consider the sufficiency of public interest.

(7) The board may, at any time deemed beneficial by the board, submit a report to the Governor with copies to be filed with the Clerk of the Legislature and the Natural Resources Committee of the Legislature. The report filed with the Clerk of the Legislature and the committee shall be filed electronically. The report may include:

(a) Whether or not a viable regional transmission organization and adequate transmission exist in Nebraska or in a region which includes Nebraska;

(b) Whether or not a viable wholesale electricity market exists in a region which includes Nebraska;

(c) To what extent retail rates have been unbundled in Nebraska;

(d) A comparison of Nebraska's wholesale electricity prices to the prices in the region; and

(e) Any other information the board believes to be beneficial to the Governor, the Legislature, and Nebraska's citizens when considering whether retail electric competition would be beneficial, such as, but not limited to, an update on deregulation activities in other states and an update on federal deregulation legislation.

(8) The board may establish working groups of interested parties to assist the board in carrying out the powers set forth in subsections (6) and (7) of this section.

Source:Laws 1963, c. 397, § 3, p. 1260; Laws 1971, LB 554, § 1; Laws 1978, LB 800, § 1; Laws 1980, LB 863, § 1; Laws 1981, LB 181, § 46; Laws 1981, LB 204, § 107; Laws 2000, LB 901, § 8;    Laws 2010, LB797, § 1;    Laws 2012, LB782, § 101;    Laws 2016, LB824, § 4.    
Effective Date: July 21, 2016


70-1004. Suppliers of electricity; filing of maps and service area statements; exception.

Each supplier which becomes a party to an agreement under the provisions of section 70-1002 shall file with the secretary of the board a suitable map or maps, in such form as the board shall prescribe, showing either the service area or customers to be served. Whenever any changes occur in the service area, new maps shall be filed. Each supplier in the state which fails to file a map or maps showing its service area or customers to be served as established by agreement shall file a statement with the secretary showing the service area and customers actually served by it, what it claims to be its service area, stating the reason it has not entered into agreements with suppliers in adjoining service areas, and if a dispute exists as to furnishing service to any service area, the nature and extent thereof. This section shall not apply to agreements referred to in subsection (2) of section 70-1002.

Source:Laws 1963, c. 397, § 4, p. 1261; Laws 1981, LB 181, § 47.


Annotations

70-1005. Suppliers of electricity; service area; application to establish; notice of hearing; exception.

Any supplier may at any time on or after July 1, 1964, apply to the board to establish its service area. In such case and in all cases where agreements have not been entered into, including cases arising under section 70-1008, the secretary shall give written notice to the parties involved citing them to appear at a time, not less than thirty days thereafter, and at a place specified in the notice for a hearing upon the matter of establishing the service areas concerned in the notice. The provisions of this section shall not apply to service within the corporate limits of any municipality.

Source:Laws 1963, c. 397, § 5, p. 1262.


70-1006. Hearings; continuance; rules of procedure.

At the hearing the board shall hear testimony and receive other evidence relating to the matter and may continue the hearing from time to time. The board shall adopt such rules of procedure as are advisable and in conformity with law.

Source:Laws 1963, c. 397, § 6, p. 1262.


70-1007. Establishment of service areas; board; orders; policy considerations.

After the hearing, the board shall make an order establishing the service areas in the matter covered by the notice. In determining any such matter, the board shall seek to carry out the policy stated in section 70-1001. It shall give such consideration as is appropriate in each case to the following:

(1) The supplier best able to supply the load required;

(2) The most logical future supplier of the area;

(3) The desires of the supplier with respect to loads and service areas it wishes to serve;

(4) The ability to provide service at costs comparable to other suppliers in the service area and the immediate costs to the ultimate consumers involved in the transfer; and

(5) The ability of the supplier to cope with the problems of expanding loads and increased costs.

Source:Laws 1963, c. 397, § 7, p. 1262; Laws 1979, LB 223, § 1.


Annotations

70-1008. Certified service areas; established; municipalities; newly annexed areas; acquisition of facilities and customers; procedure; waiver of right to acquire; joint planning.

In the absence of an agreement between the suppliers affected and notwithstanding the provisions of subdivisions (1) to (5) of section 70-1007:

(1) Existing service areas presently designated by agreements and exhibits filed with and approved by the board, or previously ordered by the board, shall remain and be established as certified service areas.

(2) A municipally owned electric system, serving such municipality at retail, shall have the right, upon application to and approval by the board, to serve newly annexed areas of such municipality. Electric distribution facilities and customers of another supplier in such newly acquired certified service area may be acquired, in accordance with the procedure and criteria set forth in section 70-1010, within a period of one year and payment shall be made in respect to the value of any such facilities' customers or certified service area being transferred. The rights of a municipality to acquire such distribution facilities and customers within such newly annexed area shall be waived unless such acquisition and payment are made within one year of the date of annexation. If an application is made to the board within one year of the date of annexation for a determination of total economic impact as provided in section 70-1010, such right shall not be waived unless the municipality fails to make payment of the price determined by the board within one year of a final decision establishing such price. Notwithstanding other provisions of this section, the parties may extend the time for acquisition and payment by mutual written agreement.

(3) All retail power suppliers having adjoining certified service areas shall engage in joint planning with respect to customers, facilities, and services, taking into account the considerations specified in section 70-1007, including the possibility that an area may be annexed by a municipality within a reasonable period of time.

Source:Laws 1963, c. 397, § 8, p. 1262; Laws 1979, LB 223, § 2.


Annotations

70-1009. Certified service areas; modification; application; transfer of facilities and customers; considerations; impairment of rights prohibited.

(1) When one supplier at the date of enactment has customers or distribution facilities extending into the certified service area of another supplier, the customers and distribution facilities of the former supplier may be acquired by negotiation or by application of either party to the board for modification of certified service area as to ownership of facilities and customers to be served.

(2) Such amendment may be made by mutual agreement, or upon application of either party to and determination by the board, upon consideration of the factors set forth in section 70-1007, except that no transfer of facilities and customers shall be made which would impair the rights of bondholders or mortgage holders.

Source:Laws 1963, c. 397, § 9, p. 1263; Laws 1979, LB 223, § 3.


70-1010. Modification of service areas; application; procedure; suppliers agreements; exception; transfer of customers and facilities; price; how computed; impairment of obligations prohibited.

(1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established. The same procedures as to notice, hearing, and decision shall be followed as in the case of an original application. Suppliers shall have authority by agreement to change service areas or customers to be served with the approval of the board. This section shall not apply to agreements referred to in subsection (2) of section 70-1002.

(2) In the event of a proposed transfer of customers and facilities from one supplier to another in accordance with this section or section 70-1008 or 70-1009, the parties shall attempt to agree upon the value of the certified service area and distribution facilities and customers being transferred. If the parties cannot agree upon the value, then the board shall determine the total economic impact on the selling supplier and establish the price accordingly based on, but not limited to, the following guidelines: The supplier acquiring the certified service area, distribution facilities, and customers shall purchase the electric distribution facilities of the supplier located within the affected area, together with the supplier's rights to serve within such area, for cash consideration which shall consist of (a) the current reproduction cost if the facilities being acquired were new, less depreciation computed on a straight-line basis at three percent per year not to exceed seventy percent, plus (b) an amount equal to the nonbetterment cost of constructing any facilities necessary to reintegrate the system of the supplier outside the area being transferred after detaching the portion to be sold, plus (c) an amount equal to two and one-half times the annual revenue received from power sales to existing customers of electric power within the area being transferred, except that for large commercial or industrial customers with peak demands of three hundred kilowatts or greater during the twelve months immediately preceding the date of filing with the board, the multiple shall be five times the net revenue, defined as gross power sales, less costs of wholesale power including facilities rental charges, received from power sales to large commercial or industrial customers with measured demand of three hundred kilowatts or greater during the twelve months immediately preceding the filing with the board for service area modification. After the board has determined the price in accordance with such guidelines, the acquiring supplier may acquire such distribution facilities and customers by payment of the established price within one year of the final order.

(3) Notwithstanding the provisions of sections 70-1008 to 70-1010, no transfer of facilities and customers shall be made or approved by the board if such transfer would impair the obligations of a power supplier to holders of its bonds or mortgages.

Source:Laws 1963, c. 397, § 10, p. 1263; Laws 1979, LB 223, § 4.


Annotations

70-1011. Suppliers; service outside area; application for approval; when granted; applicability of section.

Except by agreement of the suppliers involved, no supplier shall offer electric service to additional ultimate users outside its service area or construct or acquire a new electric line or extend an existing line into the service area of another supplier for the purpose of furnishing service to ultimate users therein without first applying to the board and receiving approval thereof, after due notice and hearing under rules and regulations of the board. Such approval shall be granted only if the board finds that the customer or customers proposed to be served cannot or will not be furnished adequate electric service by the supplier in whose service area the customer is located, or that the provision thereof by such supplier would involve wasteful and unwarranted duplication of facilities. This section shall not apply to agreements referred to in subsection (2) of section 70-1002.

Source:Laws 1963, c. 397, § 11, p. 1264; Laws 1981, LB 181, § 48.


Annotations

70-1012. Electric generation facilities and transmission lines; construction or acquisition; application; approval; when not required.

(1) Before any electric generation facilities or any transmission lines or related facilities carrying more than seven hundred volts are constructed or acquired by any supplier, an application, filed with the board and containing such information as the board shall prescribe, shall be approved by the board, except that such approval shall not be required (a) for the construction or acquisition of a transmission line extension or related facilities within a supplier's own service area or for the construction or acquisition of a line not exceeding one-half mile outside its own service area when all owners of electric lines located within one-half mile of the extension consent thereto in writing and such consents are filed with the board, (b) for any generation facility when the board finds that (i) such facility is being constructed or acquired to replace a generating plant owned by an individual municipality or registered group of municipalities with a capacity not greater than that of the plant being replaced, (ii) such facility will generate less than twenty-five thousand kilowatts of electric energy at rated capacity, and (iii) the applicant will not use the plant or transmission capacity to supply wholesale power to customers outside the applicant's existing retail service area or chartered territory, (c) for acquisition of transmission lines or related facilities, within the state, carrying one hundred fifteen thousand volts or less, if the current owner of the transmission lines or related facilities notifies the board of the lines or facilities involved in the transaction and the parties to the transaction, or (d) for the construction of a qualified facility as defined in section 70-2002.

(2) A privately developed renewable energy generation facility is exempt from this section if it complies with section 70-1014.02.

Source:Laws 1963, c. 397, § 12, p. 1264; Laws 1979, LB 119, § 1; Laws 1981, LB 181, § 49; Laws 1984, LB 729, § 1; Laws 2009, LB436, § 6;    Laws 2016, LB824, § 5.    
Effective Date: July 21, 2016


Annotations

70-1012.01. Suppliers; electric generation and transmission facilities; terminate construction or acquisition; filing; reasons; hearing; effect; section, how construed.

(1) If a supplier terminates construction or acquisition of electric generation or transmission facilities after receiving approval for the facilities from the board, the supplier shall file with the board, within thirty days after the action taken to terminate construction or acquisition, a statement of the factors or reasons relied upon by the supplier in taking such action. Within ten days after receipt of such a filing, the board shall give notice of the filing to such other suppliers as it deems interested or affected by such action and it shall hold a hearing for the purpose of obtaining such additional information as the board deems advisable or necessary to inform other suppliers and the public of the reasons for such termination. Notice of any such hearing shall be given to those suppliers previously given notice of the filing and to any other parties expressing interest in the approved application.

(2) The board shall not have authority to approve or deny the action of a supplier terminating construction or acquisition, and any such filing or hearing shall be advisory and solely for the purpose of informing the board, other suppliers, interested parties, and the ratepayers of this state of the factors or reasons relied upon in taking action to terminate construction or acquisition.

(3) Nothing in this section shall constitute or be construed as a defense to any cause of action, including a claim for breach of contract, resulting from such termination.

(4) A privately developed renewable energy generation facility is exempt from this section if it complies with section 70-1014.02.

Source:Laws 1979, LB 119, § 2; Laws 1981, LB 181, § 50; Laws 2016, LB824, § 6.    
Effective Date: July 21, 2016


70-1012.02. Repealed. Laws 1984, LB 729, § 2.

70-1013. Electric generation facilities and transmission lines; application; hearing; waiver; appearances; objections; amendments.

(1) Upon application being filed under section 70-1012, the board shall fix a time and place for hearing and shall give ten days' notice by mail to such power suppliers as it deems to be affected by the application. The hearing shall be held within sixty days unless for good cause shown the applicant requests in writing that such hearing not be scheduled until a later time, but in any event such hearing shall be held not more than one hundred twenty days after the filing of the application and the board shall give its decision within sixty days after the conclusion of the hearing. Any parties interested may appear, file objections, and offer evidence. The board may grant the application without notice or hearing, upon the filing of such waivers as it may require, if in its judgment the finding required by section 70-1014 or 70-1014.01 can be made without a hearing. Such hearing shall be conducted as provided in section 70-1006. The board may allow amendments to the application, in the interests of justice.

(2) A privately developed renewable energy generation facility is exempt from this section if it complies with section 70-1014.02.

Source:Laws 1963, c. 397, § 13, p. 1265; Laws 1967, c. 425, § 1, p. 1301; Laws 2010, LB1048, § 4;    Laws 2011, LB208, § 2;    Laws 2013, LB340, § 1;    Laws 2016, LB824, § 7.    
Effective Date: July 21, 2016


Annotations

70-1014. Electric generation facilities and transmission lines; approval or denial of application; findings required; regional line or facilities; additional consideration.

(1) After hearing, the board shall have authority to approve or deny the application. Except as provided in section 70-1014.01 for special generation applications, before approval of an application, the board shall find that the application will serve the public convenience and necessity, and that the applicant can most economically and feasibly supply the electric service resulting from the proposed construction or acquisition, without unnecessary duplication of facilities or operations.

(2) If the application involves a transmission line or related facilities planned and approved by a regional transmission organization and the regional transmission organization has issued a notice to construct or similar notice or order to a utility to construct the line or related facilities, the board shall also consider information from the regional transmission organization's planning process and may consider the benefits to the region, which shall include Nebraska, provided by the proposed line or related facilities as part of the board's process in determining whether to approve or deny the application.

(3) A privately developed renewable energy generation facility is exempt from this section if it complies with section 70-1014.02.

Source:Laws 1963, c. 397, § 14, p. 1265; Laws 1981, LB 181, § 51; Laws 2003, LB 65, § 2;    Laws 2010, LB1048, § 5;    Laws 2012, LB742, § 1;    Laws 2016, LB824, § 8.    
Effective Date: July 21, 2016


Annotations

70-1014.01. Special generation application; approval; findings required; eminent domain.

(1) Except as provided in subsection (2) of this section, an application by a municipality, a registered group of municipalities, a public power district, a public power and irrigation district, an electric cooperative, an electric membership association, or any other governmental entity, for a facility that will generate not more than ten thousand kilowatts of electric energy at rated capacity and will generate electricity using solar, wind, biomass, landfill gas, methane gas, or hydropower generation technology or an emerging generation technology, including, but not limited to, fuel cells and micro-turbines, shall be deemed a special generation application. Such application shall be approved by the board if the board finds that (a) the application qualifies as a special generation application, (b) the application will provide public benefits sufficient to warrant approval of the application, although it may not constitute the most economically feasible generation option, and (c) the application under consideration represents a separate and distinct project from any previous special generation application the applicant may have filed.

(2)(a) An application by a municipality, a registered group of municipalities, a public power district, a public power and irrigation district, an electric cooperative, an electric membership association, or any other governmental entity for a facility that will generate more than ten thousand kilowatts of electric energy at rated capacity and will generate electricity using renewable energy sources such as solar, wind, biomass, landfill gas, methane gas, or new hydropower generation technology or an emerging technology, including, but not limited to, fuel cells and micro-turbines, may be filed with the board if (i) the total production from all such renewable projects, excluding sales from such projects to other electric-generating entities, does not exceed ten percent of total energy sales as shown in the producer's Annual Electric Power Industry Report to the United States Department of Energy and (ii) the applicant's governing body conducts at least one advertised public hearing which affords the ratepayers of the applicant a chance to review and comment on the subject of the application.

(b) The application filed under subdivision (2)(a) of this section shall be approved by the board if the board finds that (i) the applicant is using renewable energy sources described in this subsection, (ii) total production from all renewable projects of the applicant does not exceed ten percent of the producer's total energy sales as described in subdivision (2)(a) of this section, and (iii) the applicant's governing body has conducted at least one advertised public hearing which affords its ratepayers a chance to review and comment on the subject of the application.

(3)(a) A community-based energy development project organized pursuant to the Rural Community-Based Energy Development Act or any privately developed project which intends to develop renewable energy sources for sale to one or more Nebraska electric utilities described in this section may also make an application to the board pursuant to this subsection if (i) the purchasing electric utilities conduct a public hearing described in subdivision (2)(a) of this section, (ii) the power and energy from the renewable energy sources is sold exclusively to such electric utilities for a term of at least twenty years, and (iii) the total production from all such renewable projects, excluding sales from such projects to other electric-generation entities, does not exceed ten percent of total energy sales of such purchasing electric utilities as shown in such utilities' Annual Electric Power Industry Report to the United States Department of Energy or the successor to such report.

(b) The application filed under subdivision (3)(a) of this section shall be approved by the board if the board finds that the purchasing electric utilities have met the conditions described in subdivision (3)(a) of this section.

(4) No facility or part of a facility which is approved pursuant to this section is subject to eminent domain by any electric supplier, or by any other entity if the purpose of the eminent domain proceeding is to acquire the facility for electric generation or transmission.

(5) A privately developed renewable energy generation facility is exempt from this section if it complies with section 70-1014.02.

Source:Laws 2003, LB 65, § 3;    Laws 2009, LB561, § 2;    Laws 2010, LB1048, § 7;    Laws 2012, LB742, § 2;    Laws 2016, LB824, § 9.    
Effective Date: July 21, 2016


Cross References

70-1014.02. Privately developed renewable energy generation facility; owner; duties; certification; decommissioning plan; bond; joint transmission development agreement; contents; property not subject to eminent domain.

(1)(a) A privately developed renewable energy generation facility that meets the requirements of this section is exempt from sections 70-1012 to 70-1014.01 if no less than thirty days prior to the commencement of construction the owner of the facility:

(i) Notifies the board in writing of its intent to commence construction of a privately developed renewable energy generation facility;

(ii) Certifies to the board that the facility will meet the requirements for a privately developed renewable energy generation facility;

(iii) Certifies to the board that the private electric supplier will (A) comply with any decommissioning requirements adopted by the local governmental entities having jurisdiction over the privately developed renewable energy generation facility and (B) except as otherwise provided in subdivision (b) of this subsection, submit a decommissioning plan to the board obligating the private electric supplier to bear all costs of decommissioning the privately developed renewable energy generation facility and requiring that the private electric supplier post a security bond or other instrument, no later than the tenth year following commercial operation, securing the costs of decommissioning the facility and provide a copy of the bond or instrument to the board;

(iv) Certifies to the board that the private electric supplier has entered into or prior to commencing construction will enter into a joint transmission development agreement pursuant to subdivision (c) of this subsection with the electric supplier owning the transmission facilities of sixty thousand volts or greater to which the privately developed renewable energy generation facility will interconnect; and

(v) Certifies to the board that the private electric supplier has consulted with the Game and Parks Commission to identify potential measures to avoid, minimize, and mitigate impacts to species identified under subsection (1) or (2) of section 37-806 during the project planning and design phases, if possible, but in no event later than the commencement of construction.

(b) The board may bring an action in the name of the State of Nebraska for failure to comply with subdivision (a)(iii)(B) of this subsection. Subdivision (a)(iii)(B) of this subsection does not apply if a local government entity with the authority to create requirements for decommissioning has enacted decommissioning requirements for the applicable jurisdiction.

(c) The joint transmission development agreement shall address construction, ownership, operation, and maintenance of such additions or upgrades to the transmission facilities as required for the privately developed renewable energy generation facility. The joint transmission development agreement shall be negotiated and executed contemporaneously with the generator interconnection agreement or other directives of the applicable regional transmission organization with jurisdiction over the addition or upgrade of transmission, upon terms consistent with prudent electric utility practices for the interconnection of renewable generation facilities, the electric supplier's reasonable transmission interconnection requirements, and applicable transmission design and construction standards. The electric supplier shall have the right to purchase and own transmission facilities as set forth in the joint transmission development agreement. The private electric supplier of the privately developed renewable energy generation facility shall have the right to construct any necessary facilities or improvements set forth in the joint transmission development agreement pursuant to the standards set forth in the agreement at the private electric supplier's cost.

(2) Within ten days after receipt of a written notice complying with subsection (1) of this section, the executive director of the board shall issue a written acknowledgment that the privately developed renewable energy generation facility is exempt from sections 70-1012 to 70-1014.01.

(3) The exemption allowed under this section for a privately developed renewable energy generation facility shall extend to and exempt all private electric suppliers owning any interest in the facility, including any successor private electric supplier which subsequently acquires any interest in the facility.

(4) No property owned, used, or operated as part of a privately developed renewable energy generation facility shall be subject to eminent domain by a consumer-owned electric supplier operating in the State of Nebraska. Nothing in this section shall be construed to grant the power of eminent domain to a private electric supplier or limit the rights of any entity to acquire any public, municipal, or utility right-of-way across property owned, used, or operated as part of a privately developed renewable energy generation facility as long as the right-of-way does not prevent the operation of or access to the privately developed renewable energy generation facility.

(5) Only a consumer-owned electric supplier operating in the State of Nebraska may exercise eminent domain authority to acquire the land rights necessary for the construction of transmission lines and related facilities. The exercise of eminent domain to provide needed transmission lines and related facilities for a privately developed renewable energy generation facility is a public use.

(6) Nothing in this section shall be construed to authorize a private electric supplier to sell or deliver electricity at retail in Nebraska.

(7) Nothing in this section shall be construed to limit the authority of or require a consumer-owned electric supplier operating in the State of Nebraska to enter into a joint agreement with a private electric supplier to develop, construct, and jointly own a privately developed renewable energy generation facility.

Source:Laws 2010, LB1048, § 6;    Laws 2011, LB208, § 3;    Laws 2016, LB824, § 10.    
Effective Date: July 21, 2016


70-1015. Suppliers; electric generation facilities and transmission lines; unauthorized construction, acquisition, or service; injunction; violation; actions authorized.

If any supplier violates Chapter 70, article 10, by either (1) commencing the construction or finalizing or attempting to finalize the acquisition of any generation facilities, any transmission lines, or any related facilities without first providing notice or obtaining board approval, whichever is required, or (2) serving or attempting to serve at retail any customers located in Nebraska or any wholesale customers in violation of section 70-1002.02, such construction, acquisition, or service of such customers shall be enjoined in an action brought in the name of the State of Nebraska until such supplier has complied with Chapter 70, article 10.

Source:Laws 1963, c. 397, § 15, p. 1265; Laws 1967, c. 426, § 1, p. 1302; Laws 1981, LB 181, § 52; Laws 2011, LB208, § 4;    Laws 2016, LB824, § 11.    
Effective Date: July 21, 2016


70-1016. Appeals; procedure.

An appeal of any final action of the board may be taken to the Court of Appeals. Such appeal shall be in accordance with rules provided by law for appeals in civil cases.

Source:Laws 1963, c. 397, § 16, p. 1265; Laws 1991, LB 732, § 123; Laws 2003, LB 187, § 13.    


Annotations

70-1017. Suppliers; duty to furnish service; disputes submitted to board.

Any supplier of electricity at retail shall furnish service, upon application, to any applicant within the service area of such supplier if it is economically feasible to service and supply the applicant. The electric service shall be furnished by the supplier within a reasonable time after the application is made. If the supplier and the applicant cannot agree upon any of the terms under which service is to be furnished, or if the applicant alleges that the supplier is not treating all customers and applicants fairly and without discrimination within the same rate class, the matter shall be submitted to the board for hearing and determination.

Source:Laws 1963, c. 397, § 17, p. 1266; Laws 1974, LB 674, § 1; Laws 1981, LB 181, § 53.


Annotations

70-1018. Suppliers; disputes over rates; submission to board; hearing; recommendations.

In the event of any dispute between suppliers concerning rates for service between such suppliers which cannot be settled by negotiations, the dispute shall be submitted to the board. The board may intervene in any such dispute on its own motion. Upon the submission of such dispute or the board's decision to intervene, the board shall set a time and place for hearing thereon and give notice as provided in section 70-1013. Following such hearing the board shall make its recommendations for the settlement of such dispute, which recommendations shall be advisory only.

Source:Laws 1963, c. 397, § 18, p. 1266.


70-1019. Board; proceedings; compel attendance of witnesses and production of documents; contempt proceedings authorized.

In any proceeding had before it under the provisions of Chapter 70, article 10, the board shall have authority, by subpoena, to compel the attendance of witnesses, and the production of any books, papers, records, accounts, or other documents which may be necessary to assist in a determination of any matter pending before the board. If any person shall disobey any such subpoena or refuse to testify concerning any matter regarding which he or she may be lawfully interrogated, the district court of Lancaster County, upon application by the board, may compel obedience by proceedings for contempt as in the case of disobedience to the requirements of a subpoena issued from such court or a refusal to testify therein.

Source:Laws 1963, c. 397, § 19, p. 1266; Laws 1981, LB 181, § 54.


70-1020. Board; expenses; assessments levied against suppliers; apportionment; collection; interest; Nebraska Power Review Fund; created; investment.

In order to defray the expenses of the Nebraska Power Review Board, there shall be imposed upon each public power district, public power and irrigation district, electric membership association, electric cooperative company, and municipality having an electric distribution system or generation and distribution system, and also upon all registered groups of municipalities, an assessment each fiscal year in such sum as shall be determined by the board and approved by the Governor. The total of such assessments shall not exceed the expenses of the board which may reasonably be anticipated for the fiscal year for which assessment is made and shall be apportioned among the various agencies in proportion to their gross income in the preceding calendar year. The board shall determine and certify such assessment to each supplier after approval of the board's budget by the Legislature and Governor. The supplier shall remit the amount of its assessment to the board within forty-five days after the mailing of the assessment. Any assessment not paid when due shall draw interest at a rate equal to the rate of interest allowed per annum under section 45-104.02, as such rate may from time to time be adjusted. The proceeds of such assessment shall be remitted to the State Treasurer for credit to the Nebraska Power Review Fund, which fund is hereby created and which, when appropriated by the Legislature, shall be used to administer the powers granted to the Nebraska Power Review Board, except that transfers may be made from the fund to the General Fund at the direction of the Legislature. Any money in the Nebraska Power Review Fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

Source:Laws 1963, c. 397, § 20, p. 1266; Laws 1965, c. 407, § 1, p. 1307; Laws 1969, c. 584, § 65, p. 2385; Laws 1981, LB 181, § 55; Laws 1984, LB 730, § 1; Laws 1992, Fourth Spec. Sess., LB 1, § 10; Laws 1994, LB 1066, § 64; Laws 2009, First Spec. Sess., LB3, § 43.    


Cross References

70-1021. Microwave communication facilities; authorization; procedure; protest; hearing; when.

After April 24, 1978, except as provided in section 70-1022, a public power district shall not construct microwave communication facilities unless such district is authorized to construct and operate its own microwave facilities by order of the Nebraska Power Review Board. Before such microwave construction is authorized, the Nebraska Power Review Board shall find (1) that in the judgment of the board the district is not receiving the required quality of service, and will not within a reasonable time receive the required quality of service from the regulated carrier or carriers involved, or (2) that the regulated carriers would not provide the required quality of service by the same or alternate methods, at the same or lower costs to the district, and (3) that such construction would be in the public interest. Upon the filing of an application to construct microwave communication facilities under this section, the board shall give notice thereof by mail to any regulated carrier or carriers involved. The regulated carrier or carriers involved shall have ten days to file specific written protests to such application which shall set forth in detail on what points the application is being protested. Upon filing of a protest or protests by the regulated carrier or carriers involved, the Nebraska Power Review Board shall set the matter for hearing, except that if no protests are filed the board may grant the application without hearing.

Source:Laws 1978, LB 800, § 2; Laws 1980, LB 857, § 1.


70-1022. Microwave facilities or system; authorization; when not required.

Nebraska Power Review Board authorization shall not be required for the following:

(1) Construction of microwave facilities to be completed in a reasonable time where the district has, prior to April 24, 1978, entered into binding contractual obligations with respect to such facilities;

(2) Extensions of fifty miles or less of any single portion of a microwave system if such portion was in existence on or before April 24, 1978; or

(3) The addition of new equipment to modernize or upgrade but not to extend microwave facilities.

Source:Laws 1978, LB 800, § 3.


70-1023. Transferred to section 70-1001.01.

70-1024. Power supply plan; board; powers and duties; special assessment.

The board shall, prior to October 1, 1981, designate the representative organization responsible for the preparation and filing of those reports required pursuant to sections 70-1025 and 70-1026. The board may utilize a preexisting representative group from the industry if such group is willing to perform the task in the prescribed time and manner. The board shall prepare and publish the long-range power supply plan itself, if the board determines that no representative group is willing to complete such a study or that the product of any group so assembled has substantial deficiencies or cannot be completed by the prescribed date. The board shall have the power and duty to levy a special assessment in the manner described in section 70-1020 to defray the costs of such power supply plans, if the board must produce such power supply plan by itself or with consultants.

Source:Laws 1981, LB 302, § 2.


70-1025. Power supply plan; contents; filing; annual report.

(1) The representative organization shall file with the board a coordinated long-range power supply plan containing the following information:

(a) The identification of all electric generation plants operating or authorized for construction within the state that have a rated capacity of at least twenty-five thousand kilowatts;

(b) The identification of all transmission lines located or authorized for construction within the state that have a rated capacity of at least two hundred thirty kilovolts; and

(c) The identification of all additional planned electric generation and transmission requirements needed to serve estimated power supply demands within the state for a period of twenty years.

(2) Beginning in 1986, the representative organization shall file with the board the coordinated long-range power supply plan specified in subsection (1) of this section, and the board shall determine the date on which such report is to be filed, except that such report shall not be required to be filed more often than biennially.

(3) An annual load and capability report shall be filed with the board by the representative organization. The report shall include statewide utility load forecasts and the resources available to satisfy the loads over a twenty-year period. The annual load and capability report shall be filed on dates specified by the board.

Source:Laws 1981, LB 302, § 3; Laws 1986, LB 948, § 1.


70-1026. Power supply plan; research and conservation report; contents.

The representative organization shall file, at the request of the board but no more often than biennially, a research and conservation report, which shall include the following information relative to programs enacted by the representative organization and its members:

(1) Research and development;

(2) Energy conservation;

(3) Load management;

(4) Renewable energy sources; and

(5) Cogeneration.

Source:Laws 1981, LB 302, § 4; Laws 1986, LB 948, § 2.


70-1027. Power supply plan; research and conservation report; board; include data in biennial report; hearing.

The board shall, in its biennial report, include data from any coordinated long-range power supply plan or research and conservation report filed with it. Before publishing its biennial report, if a coordinated long-range power plan or a research and conservation report has been filed with the board in the previous reporting period, the board shall consider, at a public hearing after giving notice of such hearing, the coordinated long-range power supply plan or the research and conservation report.

Source:Laws 1981, LB 302, § 5; Laws 1986, LB 948, § 3.


70-1028. Electric transmission line approved for construction in regional transmission organization transmission plan; notice to board; failure to provide notice; effect.

(1) If an electric transmission line has been approved for construction in a regional transmission organization transmission plan, the incumbent electric transmission owner of the existing electric transmission facilities to which the electric transmission line will connect shall give notice to the board, in writing, within ninety days after such approval, if it intends to construct, own, and maintain the electric transmission line. If no notice is provided, the incumbent electric transmission owner shall surrender its first right to construct, own, and maintain the electric transmission line and any other incumbent electric transmission owner may file an application for the electric transmission line under section 70-1012. Within twenty-four months after such notice, the incumbent electric transmission owner shall file an application with the board pursuant to section 70-1012.

(2) For purposes of this section:

(a) Electric transmission line means any line and related facilities connecting to existing electric transmission facilities for transmitting electric energy at a voltage of one hundred kilovolts or greater, other than a line solely for connecting an electric generation facility to facilities owned by an electric supplier; and

(b) Incumbent electric transmission owner means an entity that: (i) Is an electric supplier; (ii) is a member of a regional transmission organization; and (iii) owns and operates electric transmission lines at a voltage of one hundred kilovolts or greater.

Source:Laws 2013, LB388, § 1;    Laws 2016, LB824, § 12.    
Effective Date: July 21, 2016


70-1029. Legislative intent.

It is the intent of the Legislature to appropriate an additional $200,000 for FY2014-15 to the Nebraska Power Review Board from the General Fund to provide funds to conduct or cause to be conducted a study of state, regional, and national transmission infrastructure and policy and future needs for transmission infrastructure and policy to serve Nebraska electric consumers and utilities and generation facilities in Nebraska seeking to export electricity outside of the state.

Source:Laws 2014, LB1115, § 1.    


70-1030. Policy of state.

It is the policy of the state to encourage and allow opportunities for development and operation of renewable energy facilities intended primarily for export from the state in a manner that protects the ratepayers of consumer-owned utility systems operating in the state from subsidizing the costs of such export facilities through their rates and that results in economic development and employment opportunities for residents and communities of the state.

Source:Laws 2014, LB1115, § 2.    


70-1031. Purposes of study.

The purposes of the study provided for under sections 70-1029 to 70-1033 shall include, but not be limited to, identification of electric transmission and generation constraints and opportunities, federal and state legal and regulatory requirements and practices, national and regional transmission operation, national and regional transmission plans and policies, national and regional markets for electricity export and opportunities for and barriers to exporting electricity to such markets, and economic development benefits of expanded state, regional, and national transmission connections.

Source:Laws 2014, LB1115, § 3.    


70-1032. Working group; members.

The scope of the study provided for under sections 70-1029 to 70-1033 shall receive input from a working group that may include, but not be limited to, members of the Legislature, the State Energy Office, the Department of Economic Development, public power districts and other Nebraska electric providers, renewable energy development companies, municipalities, the Southwest Power Pool, the Western Area Power Administration, other transmission system owners, transmission operators, transmission developers, environmental interests, and other interested parties.

Source:Laws 2014, LB1115, § 4.    


70-1033. Nebraska Power Review Board; duties.

(1) The Nebraska Power Review Board shall issue a request for proposals to conduct the study provided for under sections 70-1029 to 70-1033 after consultation with the working group as provided for in section 70-1032.

(2) Any contracts or agreements entered into under this section shall not be subject to the Nebraska Consultants' Competitive Negotiation Act or sections 73-301 to 73-306 or 73-501 to 73-510.

(3) The Nebraska Power Review Board shall present the results of the study to the Executive Board of the Legislative Council with a copy to the Clerk of the Legislature and the Governor on or before December 15, 2014. The report shall be submitted electronically.

Source:Laws 2014, LB1115, § 5.    


Cross References

70-1101. Declaration of policy.

It is hereby declared to be the policy of the state to provide for dependable electric service at the lowest practical cost to all of the citizens of the state, including the residents of cities and villages.

The maintenance of competing electric systems within such cities or villages results in duplication of facilities and personnel and the needless expenditure of public funds by both such competing systems; that such needless expenditure for duplicating service by publicly owned agencies is not in accord with sound public policy. Whenever such duplicating competition exists in any municipality between a public power district organized under the provisions of Chapter 70, article 6, and other public agencies, including municipalities, such competition should be eliminated in the public interest for economy of operation and lower rates to the consumer.

Source:Laws 1963, c. 398, § 2, p. 1270.


Annotations

70-1102. Public power districts; agreements with municipalities; operation until January 1, 1972.

Whenever any public power district organized under Chapter 70, article 6, is engaged in competitive retail electric service in any incorporated municipality within this state, with a system for the retail sale of electric energy owned by such municipality, such district is hereby directed, within one year from October 19, 1963, to enter into appropriate agreements with such municipality for the operation by the municipality (1) of the distribution system of the district in the municipality; (2) of all its retail business served through such distribution system; and (3) its system in all areas over which the municipality has zoning power, including such secondary transmission lines as are used in the service of the defined area. Such agreement shall provide for such operation by the municipality until January 1, 1972, or such time as such district shall have fully paid or accumulated reserves for the payment of all of the bonds or other obligations of the district incurred as the cost of construction or the purchase price of such system.

Source:Laws 1963, c. 398, § 3, p. 1270.


70-1103. Public power districts; no impairment of obligation to bondholders; municipal operation; books and records; revenue.

Nothing contained in sections 70-650.01 and 70-1101 to 70-1106 shall in any manner be construed so as to impair the obligations of the public power district to the holders of its outstanding bonds. The municipalities shall properly operate and maintain such system according to the obligations of the district to its bondholders. The municipalities shall maintain and keep separate books and records of the operations of the property of the district in the same manner as such books and records were kept by the district and shall account and pay to the district the same revenue from the property it acquires which the district would have received from the property it transfers to the city if the district had remained the operator of such property.

Source:Laws 1963, c. 398, § 4, p. 1271.


70-1104. Public power districts; municipal operation; employees' rights respected.

Any municipality assuming the management of the distribution system of any public power district under the provisions of sections 70-1101 to 70-1103 shall take over and employ all of the employees of the district theretofore operating such property on the same salary, terms and conditions as their previous employment, including their rights of seniority, pension and retirement plan without prejudice to any of such rights.

Source:Laws 1963, c. 398, § 5, p. 1271.


70-1105. Obligation of public power district to convey to municipality; no election necessary; when.

The provisions of section 70-650.01 shall be and remain in full force and effect with reference to the transfer and conveyance of its distribution system by the district as therein required. In those cases in which the municipality shall be operating the distribution system of the district, as provided in sections 70-1102 to 70-1104 at the time of the retirement of the district's bonds as described in section 70-650.01, no election shall be required as a condition of said transfer to the municipality.

Source:Laws 1963, c. 398, § 6, p. 1271.


70-1106. Sections, how construed.

Sections 70-650.01 and 70-1101 to 70-1106 shall be deemed to be complete within themselves, to cover the entire subject to which it relates and to be an independent act.

Source:Laws 1963, c. 398, § 7, p. 1272.


70-1201. Repealed. Laws 1969, c. 793, § 1.

70-1202. Repealed. Laws 1969, c. 793, § 1.

70-1203. Repealed. Laws 1969, c. 793, § 1.

70-1204. Repealed. Laws 1969, c. 793, § 1.

70-1205. Repealed. Laws 1969, c. 793, § 1.

70-1206. Repealed. Laws 1969, c. 793, § 1.

70-1207. Repealed. Laws 1969, c. 793, § 1.

70-1208. Repealed. Laws 1969, c. 793, § 1.

70-1209. Repealed. Laws 1969, c. 793, § 1.

70-1210. Repealed. Laws 1969, c. 793, § 1.

70-1211. Repealed. Laws 1969, c. 793, § 1.

70-1212. Repealed. Laws 1969, c. 793, § 1.

70-1213. Repealed. Laws 1969, c. 793, § 1.

70-1214. Repealed. Laws 1969, c. 793, § 1.

70-1215. Repealed. Laws 1969, c. 793, § 1.

70-1216. Repealed. Laws 1969, c. 793, § 1.

70-1217. Repealed. Laws 1969, c. 793, § 1.

70-1218. Repealed. Laws 1969, c. 793, § 1.

70-1219. Repealed. Laws 1969, c. 793, § 1.

70-1220. Repealed. Laws 1969, c. 793, § 1.

70-1221. Repealed. Laws 1969, c. 793, § 1.

70-1222. Repealed. Laws 1969, c. 793, § 1.

70-1223. Repealed. Laws 1969, c. 793, § 1.

70-1224. Repealed. Laws 1969, c. 793, § 1.

70-1225. Repealed. Laws 1969, c. 793, § 1.

70-1226. Repealed. Laws 1969, c. 793, § 1.

70-1227. Repealed. Laws 1969, c. 793, § 1.

70-1301. Statement of policy.

It is hereby declared to be the public policy of this state to provide adequate electrical service at as low overall cost as possible, consistent with sound business practices and, in furtherance of such policy, electric service should be provided by nonprofit entities including public power districts, public power and irrigation districts, nonprofit electric cooperatives, and municipalities.

Source:Laws 1979, LB 207, § 1.


70-1302. Electric rate disputes; legislative determination.

In order to meet the policies set out in section 70-1301, protect the financial integrity of suppliers of electricity at wholesale, avoid imposing a discriminatory burden on purchasers of electricity at wholesale, and insure that wholesale rates are adequate, fair, reasonable, and nondiscriminatory, it is necessary to provide a method to expeditiously and fairly resolve wholesale electric rate disputes, including rate disputes relating to transmission and delivery of electrical energy, between the supplier of electrical energy and any and all of its purchasers of electricity at wholesale. To carry out such policies, the necessity for the enactment of sections 70-1301 to 70-1329 is hereby declared to be a matter of legislative determination.

Source:Laws 1979, LB 207, § 2.


70-1303. Wholesale purchaser; payment to supplier; when.

A purchaser of electricity at wholesale shall pay to the supplier of such electricity the entire amount of the charge for such electricity within the time set forth in the power contract between the purchaser and supplier or, if no such contract exists or no time is set forth in the contract, within thirty days after the date on which the supplier mails the billing to the purchaser.

Source:Laws 1979, LB 207, § 3.


70-1304. Wholesale purchaser; billing; dispute; notice; contents.

If a purchaser of electricity at wholesale elects to dispute all or any portion of the wholesale electric charge established by the supplier, the purchaser shall nevertheless pay the full amount of the charge stated in the billing within the time established in section 70-1303 and shall give notice in writing to the supplier stating such election. The notice shall fully describe the basis for the dispute and set forth a detailed statement of disputed issues and the relief sought by the purchaser. Written notice of a dispute concerning a mathematical, metering, or quantity error in the billing shall be given by either party to the other within the time set forth in the power contract or, if no contract exists or no time is set forth in the contract, within sixty days after the discovery of the error.

Source:Laws 1979, LB 207, § 4.


70-1305. Wholesale purchaser; dispute; supplier establish escrow account.

Upon written demand by the purchaser made at the time of the notice of dispute as provided in section 70-1304, the supplier shall, each month, deposit the disputed portion of the monthly payment as specified by the purchaser, but not to exceed twenty percent of the total amount billed, into an escrow account, in a bank located within the county of the principal place of business of the supplier. Such deposits shall be made from the date of the demand until settlement of the dispute as provided by sections 70-1301 to 70-1329. The escrow funds shall be invested, to the extent possible, in securities of the United States Government and the balance in other insured interest-bearing accounts of the bank.

Source:Laws 1979, LB 207, § 5.


70-1306. Unresolved dispute; submitted to arbitration; rules applicable.

If the dispute remains unresolved forty-five days after the receipt by the supplier of the notice in writing of such dispute and payment of the full amount of the charge as provided in section 70-1304 has been made, the dispute shall be submitted to arbitration in accordance with sections 70-1301 to 70-1329.

Except as otherwise provided in sections 70-1301 to 70-1329, the Commercial Arbitration Rules of the American Arbitration Association, as amended and in effect March 1, 1977, shall be used to the extent that they are determined by the arbitration board to be applicable to the procedures set forth in sections 70-1301 to 70-1329. The Administrative Fee Schedule contained in such rules shall not apply.

Source:Laws 1979, LB 207, § 6.


70-1307. Arbitration board; membership.

An arbitration board shall be formed to arbitrate the wholesale electric rate dispute in conformity with the standards set out in section 70-1302. The arbitration board shall consist of three members, one of whom shall be selected by the purchaser, one of whom shall be selected by the supplier, and a third shall be selected by the other two arbitrators.

Source:Laws 1979, LB 207, § 7.


70-1308. Arbitrators; disqualifications.

The arbitrators shall not be employees, agents, or consultants of any party to the dispute and shall have no financial or personal interest in the result of the arbitration.

Source:Laws 1979, LB 207, § 8.


70-1309. Arbitration board; appointed; when; manner.

The arbitration board shall be appointed within ninety days after the receipt of the notice of the dispute. Each party shall notify the other in writing of the name and address of the arbitrator selected by it within sixty days after receipt of the notice of the dispute. The two arbitrators selected by the parties shall notify the parties in writing of the name and address of the third arbitrator selected by them.

Source:Laws 1979, LB 207, § 9.


70-1310. Arbitration costs and expenses; how assessed.

Each of the parties to the dispute shall pay the costs and expenses of the arbitrator selected by it together with one-half of the costs and expenses of the third arbitrator and one-half of the costs and expenses of the hearing, unless the parties otherwise agree or the arbitration board, in its discretion, assesses such costs and expenses, or any part thereof, in a different manner.

Source:Laws 1979, LB 207, § 10.


70-1311. Arbitration board; personnel; hire.

The arbitration board shall hire an official stenographer to report its hearings and may hire an attorney to assist it in ruling on the admissibility of evidence offered and in the preparation of the record which will constitute the bill of exceptions in any appeal from the decision of the arbitration board and may hire such other personnel as it deems necessary to conduct the hearing.

Source:Laws 1979, LB 207, § 11.


70-1312. Arbitration board; meetings; chairperson; disputed issues.

The arbitration board shall meet within thirty days of the appointment of the third arbitrator. The third arbitrator shall be the chairperson and preside at all meetings and hearings of the arbitration board and shall provide notice to the parties at least five days before the first meeting. The parties shall meet with the arbitration board at its first meeting for the purpose of clarifying and narrowing the specific issues from those set forth in the detailed statement of disputed issues.

Source:Laws 1979, LB 207, § 12.


70-1313. Failure to appoint an arbitrator; effect.

If a party to the dispute fails or refuses to appoint its arbitrator within the time established in section 70-1309, the arbitrator appointed by the other party shall, within ten days after such failure apply to the American Arbitration Association for the appointment of the second arbitrator. Within ten days after the appointment of the second arbitrator, the two arbitrators so selected shall appoint a third arbitrator.

Source:Laws 1979, LB 207, § 13.


70-1314. Arbitration board; proceedings; duties.

The arbitration board may proceed in the absence of any party who, after due notice, fails to appear or obtain a continuance. An award shall not be made without a hearing or based solely on the default of a party. The arbitration board shall (1) consider only those matters necessary for the resolution of the disputed issues, (2) have no authority to add to, subtract from, or alter the issues except as otherwise agreed to by the parties, and (3) not alter or modify any existing contract.

Source:Laws 1979, LB 207, § 14.


70-1315. Supplier; notice to other wholesale purchasers; when.

The supplier shall give written notice, by certified mail, to its other purchasers at wholesale within fifteen days after receipt of the notice of the appointment of the third arbitrator.

Source:Laws 1979, LB 207, § 15.


70-1316. Arbitration board; preliminary written statements; hearing; notice.

The parties shall submit preliminary written statements to the arbitration board within sixty days after the convening of the first meeting of the arbitration board. The arbitration board shall fix the time and place for a hearing which shall commence not more than seventy-five days after the convening of the first meeting of the arbitration board. The board shall give each party written notice of the hearing by certified mail, at least ten days in advance of the hearing, unless the parties waive such notice.

Source:Laws 1979, LB 207, § 16.


70-1317. Dispute; production of documents and records; depositions.

At all times after receipt of the notice of the dispute, each party shall make available to the other, for inspection and copying, all documents, data, and records with respect to the dispute for the presentation of the matter to the arbitration board. If the parties fail to agree on the production of documents and records, the arbitration board shall determine the matter. The parties may also take depositions with respect to the dispute.

Source:Laws 1979, LB 207, § 17.


70-1318. Arbitration board; hearing; testimony; evidence; witnesses.

At the hearing the arbitration board shall hear testimony and receive evidence in person or by deposition relating to the dispute and may continue the hearing from time to time. The arbitration board shall be bound by the rules of evidence applicable in district court. The arbitration board may require a party to submit such evidence as the board may deem necessary or desirable for making its decision and the board is authorized to subpoena witnesses and documents. Opportunity shall be afforded to both parties to present evidence and cross-examine witnesses. The parties may be represented by counsel.

Source:Laws 1979, LB 207, § 18.


70-1319. Arbitration board; hearing; duration.

The arbitration board shall seek to complete its hearing on the issues submitted to it within forty-five days after the commencement of the hearing. The arbitration board may extend the time to complete the hearing beyond the forty-five-day period if the board determines that such extension is necessary.

Source:Laws 1979, LB 207, § 19.


70-1320. Arbitration board; decision; findings.

The arbitration board shall render its decision within thirty days after completion of the hearing. The decision shall be in writing, be accompanied by findings of fact, and be signed by the arbitrators supporting the decision. The findings of fact shall consist of a concise statement of the conclusions upon each contested issue of fact. The decision of a majority of the arbitrators shall be the decision of the arbitration board.

Source:Laws 1979, LB 207, § 20.


70-1321. Arbitration board; decision; findings; provided to parties; filed with Nebraska Power Review Board.

A copy of the decision and accompanying findings and conclusions shall be mailed to each party and its attorney of record by certified mail. The arbitration board shall file its decision, together with all pleadings and exhibits filed with the arbitration board, with the secretary of the Nebraska Power Review Board within five days of the date of the decision.

Source:Laws 1979, LB 207, § 21.


70-1322. Escrow account; distribution.

Within thirty days after the decision of the arbitration board, the funds and investments in the escrow account established pursuant to section 70-1305, together with the interest thereon, shall be distributed or apportioned in accordance with the decision of the arbitration board.

Source:Laws 1979, LB 207, § 22.


70-1323. Escrow account; deficiency; effect; interest.

In the event that the escrow and interest thereon are insufficient to satisfy the provisions of the arbitration board's decision, the party liable for such deficiency shall take all actions necessary to obtain such funds and make payment thereof, including interest, within thirty days from the date of the decision. Interest shall be at the rate set forth in the contract between the parties or in the absence of a contract or if no rate of interest is set forth in the contract, at the average rate of interest earned by the escrow account established pursuant to section 70-1305.

Source:Laws 1979, LB 207, § 23.


70-1324. Arbitration; time limits; extension.

Except as otherwise provided in section 70-1326, the parties may, by mutual written agreement filed with the arbitration board, extend any of the time limits prescribed in sections 70-1301 to 70-1329.

Source:Laws 1979, LB 207, § 24.


70-1325. Arbitration board; final decision; appeal.

The final decision of the arbitration board shall be binding upon the parties. If a party to any arbitration proceeding is not satisfied with the decision entered by the arbitration board, such party may appeal as provided in section 70-1326 to reverse, vacate, or modify the decision, and such decision shall be in abeyance until the appellate court has issued its opinion.

Source:Laws 1979, LB 207, § 25; Laws 1991, LB 732, § 124.


70-1326. Arbitration board; decision; reversal, modification, or vacation; procedure.

The procedure to obtain reversal, modification, or vacation of a decision rendered by the arbitration board shall be (1) by filing notice of appeal with the Nebraska Power Review Board within thirty days after the date of the filing of the decision with the Nebraska Power Review Board as provided in section 70-1321 or (2) by filing with the arbitration board and with the Nebraska Power Review Board a motion for rehearing within ten days after the filing of the decision with the Nebraska Power Review Board as provided in section 70-1321. If the arbitration board denies the motion for rehearing, a notice of appeal must be filed with the arbitration board and with the Nebraska Power Review Board within thirty days after the date of the filing by the arbitration board with the Nebraska Power Review Board of the decision denying the motion to the party appealing, except that when the arbitration board fails to file a decision on the motion for rehearing within thirty days after such motion is filed, the appeal to the Court of Appeals may be perfected by filing a notice of appeal before the arbitration board files a decision on the motion for rehearing and the review shall be the same as if the board had denied the motion for rehearing. Oral arguments on a motion for rehearing shall be granted when requested. An appeal shall be deemed perfected and the appellate court shall have jurisdiction of the cause when a notice of an appeal has been filed with the Nebraska Power Review Board and appeal has been taken in the manner provided by law for appeals from the district court in civil cases.

Source:Laws 1979, LB 207, § 26; Laws 1991, LB 732, § 125; Laws 1992, LB 360, § 31.


70-1327. Appellate court; trial; de novo on the record.

Trial in the appellate court shall be de novo on the record. Such case shall be advanced in the same manner as other causes which involve the public welfare and convenience and shall be set for an early hearing.

Source:Laws 1979, LB 207, § 27; Laws 1991, LB 732, § 126.


70-1328. Record on appeal.

The verbatim testimony transcribed by the official stenographer, including all exhibits received, shall constitute the bill of exceptions. The decision appealed and the bill of exceptions duly certified by the members of the arbitration board shall constitute the complete record on appeal.

Source:Laws 1979, LB 207, § 28; Laws 1991, LB 732, § 127.


70-1329. Wholesale purchaser; failure or refusal to make payment; supplier; remedies.

If a purchaser fails or refuses to make payment to the supplier as required by sections 70-1301 to 70-1329, the supplier may, after a charge remains unpaid thirty days after the due date, file suit in the district court in which the supplier or purchaser resides for a writ of mandamus to compel payment of the disputed amount, plus interest, pursuant to sections 70-1301 to 70-1329. If the court issues a writ of mandamus and the purchaser gives the written notice of disputed issues as required by section 70-1304 the matter shall proceed to arbitration as provided by sections 70-1301 to 70-1329. If the court declines to issue a writ of mandamus, it shall nevertheless retain jurisdiction of the matter for the purpose of determining the amount due to the supplier.

Source:Laws 1979, LB 207, § 29.


70-1401. Act, how cited.

Sections 70-1401 to 70-1423 shall be known and may be cited as the Joint Public Power Authority Act.

Source:Laws 1982, LB 852, § 1.


70-1402. Terms, defined.

As used in the Joint Public Power Authority Act, unless the context otherwise requires:

(1) Agency shall mean any public body, authority, or commission which is engaged in the generation, transmission, or distribution of electric power and energy and which issues indebtedness;

(2) Bonds shall mean electric revenue bonds, notes, warrants, certificates, or other obligations of indebtedness of a joint authority issued under the Joint Public Power Authority Act and shall include refunding bonds and notes issued pending permanent revenue bond financing;

(3) Cost or cost of a project shall mean, but shall not be limited to, the cost of acquisition, construction, reconstruction, improvement, enlargement, or extension of any project, including the cost of studies, plans, specifications, surveys, and estimates of related costs and revenue; the cost of land, land rights, rights-of-way, easements, water rights, fees, permits, approvals, licenses, certificates, franchises, and the preparation of applications for and securing the same; administrative, legal, engineering, and inspection expenses; financing fees, expenses, and costs; working capital; initial fuel costs; interest on the bonds during the period of construction and for such reasonable period thereafter as may be determined by the joint authority; establishment of reserves; and all other expenditures of the joint authority incidental, necessary, or convenient to the acquisition, construction, reconstruction, improvement, enlargement, or extension of any project and the placing of such project in operation;

(4) Governing body shall mean the board of directors of a public power district;

(5) Joint authority shall mean a public body and body corporate and politic organized in accordance with the Joint Public Power Authority Act;

(6) Public power district shall mean a public power district organized under or subject to Chapter 70, article 6; and

(7) Project shall mean any system or facilities for the generation, transmission, and transformation, or any combination thereof, of electric power and energy by any means whatsoever including, but not limited to, any one or more electric generating units situated at a particular site or any interest in any of the foregoing or any right to the output, capacity, use, or services of such units, any system or facilities for the production, storage, or distribution of hydrogen, or any system or facilities for the production or distribution of ethanol.

Source:Laws 1982, LB 852, § 2; Laws 1986, LB 1230, § 51; Laws 2005, LB 139, § 19.    


70-1403. Legislative findings.

The Legislature hereby finds and determines that:

(1) Certain public power districts in this state which are empowered severally to engage in the generation, transmission, and distribution of electric power and energy have for many years owned and operated systems for the distribution of electric power and energy to customers in their respective service areas, have the resources and ability to facilitate the development of a hydrogen production and distribution industry, and have the resources and ability to facilitate the development of an ethanol production and distribution industry;

(2) Such public power districts owning electric distribution systems have an obligation to provide the inhabitants and customers of the district an adequate, reliable, and economical source of electric power and energy in the future;

(3) In order to enhance the economy within the state, to achieve the economies and efficiencies made possible by the proper planning, financing, and location of facilities for the generation and transmission of electric power and energy, the production, storage, and distribution of hydrogen, and the production and distribution of ethanol which are not practical for any public power district acting alone, and to ensure an adequate, reliable, and economical supply of electric power and energy, hydrogen, and ethanol to the people of this state, it is desirable for the state to authorize public power districts to jointly plan, finance, develop, own, and operate electric generation and transmission facilities, hydrogen production, storage, or distribution facilities, and ethanol production and distribution facilities appropriate to their needs in order to provide for their present and future power requirements for all uses without supplanting or displacing the service at retail of other electric suppliers operating in this state;

(4) In order for public power districts of this state to secure long-term, supplemental, short-term, and interim financing for both capital projects and operational purposes, it is also desirable to authorize public power districts to join together to create joint authorities which can issue revenue bonds and other obligations and make loans to its member public power districts at less cost than if the individual public power district secured its own financing; and

(5) The creation of joint authorities by public power districts which own electric distribution systems, hydrogen production, storage, or distribution facilities, and ethanol production and distribution facilities for the joint planning, financing, development, ownership, and operation of electric generation and transmission facilities, hydrogen production, storage, or distribution facilities, and ethanol production and distribution facilities and the issuance of revenue bonds by such joint authorities for such purposes as provided by the Joint Public Power Authority Act is for a public use and for public purposes and is a means of achieving economies, adequacy, and reliability in the generation or transmission of electric power and energy and in the meeting of future needs of this state and its inhabitants.

Source:Laws 1982, LB 852, § 3; Laws 1986, LB 1230, § 52; Laws 2005, LB 139, § 20.    


70-1404. Public power district; joint project authorized; limitation; study.

(1) A public power district may plan, finance, develop, acquire, purchase, construct, reconstruct, improve, enlarge, own, operate, and maintain an undivided interest as a tenant in common in a project situated within or without the state jointly with one or more public power districts in this state owning electric distribution facilities, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities or with any political subdivision or agency of this state or of any other state and may make such plans and enter into such contracts not inconsistent with the Joint Public Power Authority Act as are necessary or appropriate, except that membership of public power districts in a joint authority shall consist only of public power districts located within this state.

(2) Nothing in the Joint Public Power Authority Act shall prevent public power districts from undertaking studies to determine whether there is a need for a project or whether such project is feasible.

Source:Laws 1982, LB 852, § 4; Laws 1986, LB 1230, § 53; Laws 2005, LB 139, § 21.    


70-1405. Creation of joint authority; procedure; resolution; membership; considerations; notice; challenge.

(1) The governing body of two or more public power districts may by resolution determine that it is in the best interests of the respective public power districts and their electric customers to create a joint authority. Such resolution shall be approved by a majority of the members of the governing body of the public power district. Each public power district which will be a member of the joint authority must approve for membership every other district that will be a member of the joint authority.

(2) In determining whether or not the creation of a joint authority for such purpose is in the best interests of the public power districts and their electric customers, the governing body shall take into consideration, but shall not be limited to:

(a) Whether or not a separate entity may be able to finance the costs of a project or projects or provide financing for its members in a more efficient and economical manner;

(b) Whether or not a better financial market acceptance may result if one entity is responsible for issuing all of the bonds required for a project or projects or providing financing for its members in a timely and orderly manner; and

(c) Whether or not savings and other advantages may be obtained by providing a separate entity responsible for the acquisition, purchase, construction, ownership, and operation of a project or projects or for issuing bonds in order to make loans to its member districts.

(3) If the proposed creation of a joint authority is found to be in the best interests of two or more public power districts, the governing body of each public power district shall cause notice of its action to be published once a week for two consecutive weeks in a newspaper of general circulation within the operating area of each public power district. Any elector of the district affected by the action of the governing body of such public power district may, by action de novo, instituted in the district court for the county in which the principal office of such public power district is located, within twenty days following the last publication of the prescribed notice, challenge the action of the public power district on the grounds that creation of a joint authority is not in the best interest of that public power district.

Source:Laws 1982, LB 852, § 5.


70-1406. Proposed joint authority; members; application; Nebraska Power Review Board; duties; proof of authority's establishment.

(1) Upon fulfilling the requirements set forth in section 70-1405, the governing body of each public power district which determines that its participation in the proposed joint authority is in its best interest shall by resolution appoint one representative to the proposed joint authority. Any two or more representatives so appointed shall file with the Nebraska Power Review Board an application signed by a representative of each proposed member public power district setting forth:

(a) The names of all the proposed member public power districts and their respective appointed representatives;

(b) A certified copy of the resolution of each member public power district determining it is in its best interest to participate in the proposed joint authority and the resolution appointing such representative;

(c) The desire that the joint authority be organized as a public body and a body corporate and politic under sections 70-1401 to 70-1423; and

(d) The name which is proposed for the joint authority.

(2) The Nebraska Power Review Board shall examine the application and shall determine whether the application complies with the requirements set forth in subsection (1) of this section and that the proposed name of the joint authority is not identical with that of any other corporation of the state or any state agency or instrumentality, or so nearly similar as to lead to confusion and uncertainty. The Nebraska Power Review Board shall then receive and file the application.

(3) Upon receipt of such application, it shall be the duty of the Nebraska Power Review Board at once to make an investigation of the proposed joint authority to determine whether the application complies with the requirements set forth in subsection (1) of this section and that the proposed name of the joint authority is not identical with the name of any other corporation of the state or any state agency or instrumentality, or so nearly similar as to lead to confusion and uncertainty. If the board determines that the joint authority is in the best interest of each of the public power districts, the board or its successor by its executive board shall, within thirty days of receipt of such application, execute a certificate in duplicate, setting forth a true copy of the application and declaring that the application has been approved.

(4) The Nebraska Power Review Board shall immediately cause one copy of the certificate to be forwarded to and filed with the Secretary of State and the other one in the office of the county clerk of the county where the principal place of business of each member of the joint authority is located. Thereupon such joint authority under its designated name shall constitute a body politic and corporate.

(5) In any suit, action, or proceeding involving the validity or enforcement of, or relating to, any contract of the joint authority, the joint authority, in the absence of the establishment of fraud, shall be conclusively deemed to have been established in accordance with sections 70-1401 to 70-1423 upon proof of the issuance of the prescribed certificate by the Secretary of State. A copy of such certificate, duly certified by the Secretary of State, shall be admissible in evidence in any such suit, action, or proceeding, and shall be conclusive proof of the filing and contents of such certificate.

Source:Laws 1982, LB 852, § 6.


70-1407. Joint authority; board of directors; appointment; votes; oath; officers; quorum; expenses; additional districts; withdrawal; dissolution.

(1) The management and control of a joint authority shall be vested in a board of directors. The governing body of each member public power district of a joint authority shall appoint a representative who shall be a director of the joint authority. The representative, at the discretion of the public power district, may be an officer or employee of the public power district. Each director shall have not less than one vote and may have such additional votes as a two-thirds majority of the members of the joint authority shall determine. In determining any such additional votes of each director, consideration shall be given to the financial obligations to the joint authority of each member. Each director shall serve at the pleasure of the governing body by which he or she was appointed. Each appointed director, before entering upon his or her duties, shall take and subscribe to an oath before a person authorized by law to administer oaths to execute the duties of his or her office faithfully and impartially, and a record of each such oath shall be filed with the governing body of the appointing public power district.

The board of directors of the joint authority shall annually elect, with each representative of member public power districts having one vote, one of the directors as chairperson, another as vice-chairperson, and another person or persons who may but need not be directors as treasurer, secretary, and, if desired, assistant secretary. The office of treasurer may be held by the secretary or assistant secretary. The board of directors may also appoint such additional officers as it deems necessary. The secretary or assistant secretary of the joint authority shall keep a record of the proceedings of the joint authority, and the secretary shall be the custodian of all books, records, documents, and papers filed with the joint authority, the minute book or journal of the joint authority, and its official seal, in compliance with the provisions of section 70-622.

A majority of the directors of the joint authority then in office shall constitute a quorum. A vacancy on the board of directors of the joint authority shall not impair the right of a quorum to exercise all rights and perform all the duties of a joint authority. Any action taken by the joint authority under the provisions of sections 70-1401 to 70-1423 may be authorized by resolution at any regular or special meeting held pursuant to notice in accordance with the bylaws of the joint authority, and each such resolution shall take effect immediately and need not be published or posted. Three-fourths of the votes which the directors present are entitled to cast, with a quorum present, shall be necessary and sufficient to take any action or to pass any resolution. No director of a joint authority shall receive any compensation for the performance of duties provided under sections 70-1401 to 70-1423, except that each director may be paid his or her actual and necessary expenses incurred while engaged in the performance of such duties.

(2) After the creation of a joint authority, any other public power district may become a member (a) upon application to such joint authority, and (b) with the unanimous consent of the members of the joint authority evidenced by the resolutions of their respective governing bodies. Notice of additional members shall be given to the Secretary of State and the Nebraska Power Review Board.

(3) Any public power district may withdraw from the joint authority at any time, except that all contractual rights acquired and contractual obligations incurred by a public power district while such public power district was a member shall remain in full force and effect.

Whenever the board of directors of a joint authority and the governing body of each of its member public power districts shall by resolution determine that the purposes for which the joint authority was formed have been substantially fulfilled and that all bonds issued and all other obligations incurred by the joint authority have been fully paid or satisfied, such board of directors and governing bodies may declare the joint authority to be dissolved. On the effective date of such resolution, the title to all funds and other property owned by the joint authority at the time of such dissolution shall vest in the member public power districts of the joint authority as provided in sections 70-1401 to 70-1423 and the bylaws of the joint authority.

Source:Laws 1982, LB 852, § 7.


70-1408. Joint authority; executive committee; creation; exercise powers of board.

The board of directors of a joint authority may create an executive committee the composition of which shall be set forth in the bylaws of the joint authority. The executive committee shall have and shall exercise the powers and authority of the board of directors during intervals between the board's meetings in accordance with the board's bylaws, rules, motions, or resolutions. The terms of office of the members of the executive committee and the method of filling vacancies shall be fixed by the bylaws of the joint authority.

Source:Laws 1982, LB 852, § 8.


70-1409. Joint authority; rights and powers; enumerated.

Each joint authority shall have all the rights and powers necessary or convenient to carry out and effectuate the purposes and provisions of the Joint Public Power Authority Act including, but not limited to, the right and power:

(1) To adopt bylaws for the regulation of the affairs and the conduct of its business and to prescribe rules, regulations, and policies in connection with the performance of its functions and duties;

(2) To adopt an official seal and alter the same at pleasure;

(3) To maintain an office at such place or places as it may determine;

(4) To sue and be sued in its own name and to plead and be impleaded;

(5) To receive, administer, and comply with the conditions and requirements respecting any gift, grant, or donation of any property or money;

(6) To acquire by purchase, lease, gift, or otherwise, or to obtain options for the acquisition of, any property, real or personal, improved or unimproved, including an interest in land less than an interest in fee;

(7) To sell, lease, exchange, transfer, or otherwise dispose of, or to grant options for any such purposes with respect to, any real or personal property or interest in such property;

(8) To pledge or assign any money, rents, charges, or other revenue and any proceeds derived by the joint authority from the sales of property, insurance, or condemnation awards;

(9) To issue bonds of the joint authority for the purpose of providing funds for any of its corporate purposes;

(10) To authorize the construction, operation, or maintenance of any project or projects by any person, firm, or corporation, including political subdivisions and agencies of any state or of the United States;

(11) To acquire by negotiated purchase or lease an existing project, a project under construction, or other property, either individually or jointly, with one or more public power districts in this state or with any political subdivisions or agencies of this state or any other state or with other joint authorities created pursuant to the Joint Public Power Authority Act;

(12) To dispose of by negotiated sale or lease an existing project, a project under construction, or other property, either individually or jointly, with one or more public power districts in this state, with any political subdivisions or agencies of this state or any other state or, with other joint authorities created pursuant to the Joint Public Power Authority Act, except that no such sale or lease of any project located in this state shall be made to any private person, firm, or corporation engaged in the business of generating, transmitting, or distributing electricity for profit;

(13) To fix, charge, and collect rents, rates, fees, and charges for electric power or energy, hydrogen, or ethanol and other services, facilities, and commodities sold, furnished, or supplied through any project;

(14) To generate, produce, transmit, deliver, exchange, purchase, or sell for resale only electric power or energy, to produce, store, deliver, or distribute hydrogen for use in fuel processes, or to produce, deliver, or distribute ethanol and to enter into contracts for any or all such purposes, subject to sections 70-1410 and 70-1413;

(15) To negotiate and enter into contracts for the purchase, exchange, interchange, wheeling, pooling, or transmission of electric power and energy with any public power district, any other joint authority, any political subdivision or agency of this state or any other state, any electric cooperative, or any municipal agency which owns electric generation, transmission, or distribution facilities in this state or any other state;

(16) To negotiate and enter into contracts for the sale or use of electric power and energy, hydrogen, or ethanol with any joint authority, electric cooperative, any political subdivision or agency or any public or private electric utility of this state or any other state, any joint agency, electric cooperative, municipality, public or private electric utility, or any state or federal agency or political subdivision, subject to sections 70-1410 and 70-1413;

(17) To make and execute contracts and other instruments necessary or convenient in the exercise of the powers and functions of the joint authority under the Joint Public Power Authority Act, including contracts with persons, firms, corporations, and others;

(18) To apply to the appropriate agencies of the state, the United States, or any other state and to any other proper agency for such permits, licenses, certificates, or approvals as may be necessary to construct, maintain, and operate projects in accordance with such licenses, permits, certificates, or approvals, and to obtain, hold, and use the same rights granted in any licenses, permits, certificates, or approvals as any other person or operating unit would have under such documents;

(19) To employ engineers, architects, attorneys, appraisers, financial advisors, and such other consultants and employees as may be required in the judgment of the joint authority and to fix and pay their compensation from funds available to the joint authority. The joint authority may employ technical experts and such other officers, agents, and employees as it may require and shall assess their qualifications, duties, compensation, and term of office. The board may delegate to one or more of the joint authority's employees or agents such powers and duties as the board may deem proper;

(20) To make loans or advances for long-term, supplemental, short-term, and interim financing for both capital projects and operational purposes to those member districts on such terms and conditions as the board of directors of the joint authority may deem necessary and to secure such loans or advances by assignment of revenue, receivables, or other sums of the member district and such other security as the board of directors of the joint authority may determine; and

(21) To sell or lease its dark fiber pursuant to sections 86-574 to 86-578.

Any joint authority shall have the same power of eminent domain as the public power districts have under section 70-670.

Source:Laws 1982, LB 852, § 9; Laws 1986, LB 1230, § 54; Laws 2001, LB 827, § 17;    Laws 2002, LB 1105, § 479;    Laws 2005, LB 139, § 22.    


70-1410. Joint authority; statutory restrictions applicable; when.

Any joint authority created pursuant to sections 70-1401 to 70-1423 which is itself engaged in the generation, transmission, or sale of electrical energy, at wholesale or retail, or which is itself engaged in the construction, maintenance, expansion, improvement, or operation of a power generating plant or other facility for the production or transmission of electrical energy shall comply with the restrictions contained in Chapter 70, articles 10 and 13, and the provisions of sections 70-624 to 70-680.

Source:Laws 1982, LB 852, § 10.


70-1411. Joint authority; annual audit.

Any joint financing authority created pursuant to sections 70-1401 to 70-1423 shall be required to submit to an annual audit in the same manner as a public power district pursuant to sections 70-623 to 70-623.03.

Source:Laws 1982, LB 852, § 11.


70-1412. Joint authority member; power and energy contracts; conditions; payments; member; furnish authority money, property, and services; authority; lend member funds.

(1) Any public power district which is a member of the joint authority may contract to buy from the joint authority power and energy required for its present or future requirements, including the capacity and output of one or more specified projects. As the creation of a joint authority is an alternative method whereby a public power district may obtain the benefits and assume the responsibilities of ownership in a project, any such contract may provide that the public power district so contracting shall be obligated to make the payments required by the contract whether or not a project is completed, operable, or operating notwithstanding the suspension, interruption, interference, reduction, or curtailment of the output of a project or the power and energy contracted for, and that such payments under the contract shall not be subject to any reduction, whether by offset or otherwise, and shall not be conditioned upon the performance or nonperformance of the joint authority or any other member of the joint authority under the contract or any other instrument. Any contract with respect to the sale or purchase of capacity or output of a project entered into between a joint authority and its member public power districts may also provide that if one or more of such public power districts shall default in the payment of its or their obligations with respect to the purchase of such capacity or output, then the remainder of the member public power districts, which are purchasing capacity and output under the contract, shall be required to accept and pay for and shall be entitled proportionately to use or otherwise dispose of the capacity or output which was to be purchased by the defaulting public power district.

Any such contracts with respect to the sale or purchase of capacity, output, power, or energy from a project may extend for a period not exceeding fifty years from the date a project is estimated to be placed in normal continuous operation; and the execution and effectiveness of such contract shall not be subject to any authorizations or approvals by the state or any agency, commission, or instrumentality, or political subdivision thereof.

(2) Payments by a public power district under any contract for the purchase of capacity and output from a joint authority shall be made from the revenue derived from the ownership and operation of the electric system of such public power district. A public power district shall be obligated to fix, charge, and collect rents, rates, fees, and charges for electric power and energy and other services, facilities, and commodities sold, furnished, or supplied through its electric system sufficient to provide revenue adequate to meet its obligations under any such contract and to pay any and all other amounts payable from or constituting a charge and lien upon such revenue, including amounts sufficient to pay the principal of and interest on bonds, if any, issued by the public power district for purposes related to its electric system.

(3) Any public power district which is a member of a joint authority may furnish the joint authority with money derived from the ownership and operation of its electric system or facilities and provide the joint authority with personnel, equipment, and property, both real and personal. Any public power district may also provide any services to a joint authority.

(4) Any member of a joint authority may contract for, advance, or contribute funds derived solely from the ownership and operation of its electric system or facilities to a joint authority as may be agreed upon by the joint authority and the member, and the joint authority shall repay such advances or contributions from proceeds of bonds, from operating revenue, or from other funds of the joint authority, together with interest at a rate agreed upon by the member and the joint authority.

(5) The joint authority may advance and lend to its members funds derived from the issuance of its bonds as may be agreed upon by the joint authority and the member, and such member shall repay such advances or contributions together with interest at a rate agreed upon by the members and the joint authority.

Source:Laws 1982, LB 852, § 12.


70-1413. Joint authority project; sale of excess capacity; limitations; applicability.

Excess capacity or output of a project not then required by any of the members of a joint authority shall be first offered for sale or exchange pursuant to section 70-626.01. Any sale of available capacity and energy from the joint authority's project shall only be for the period required for the joint authority to fully utilize the amount of capacity and energy originally purchased in the project. The limitations provided in this section shall not apply to the temporary sale of excess capacity and energy without the state in cases of emergency or when required to fulfill obligations under any pooling or reserve-sharing agreements, except that sales of excess capacity or output of a project to electric cooperatives, electric or public utilities, and other persons, the interest on whose securities and other obligations is not exempt from taxation by the federal government, shall not be made in such amounts, for such periods of time, and under such terms and conditions as will cause the interest on bonds issued to finance the cost of a project to become taxable by the federal government. This section shall not apply to sales of ethanol or hydrogen.

Source:Laws 1982, LB 852, § 13; Laws 1986, LB 1230, § 55; Laws 2005, LB 139, § 23.    


70-1414. Joint authority; issue bonds; pledge revenue; restrictions.

A joint authority may issue bonds and pledge the revenue, or any portion thereof, derived or to be derived from all or any of its projects, and any additions and improvements to or extensions of such projects, or contributions or advances from or loans to its members to pay for the principal and interest of such bonds. Bonds of a joint authority shall be authorized by resolution adopted by its board of directors. Any bonds so issued shall be subject to the restrictions contained in sections 70-644 to 70-648.

Source:Laws 1982, LB 852, § 14.


70-1415. Joint authority projects; bonds; issuance; proceeds; uses.

(1) No joint authority shall undertake any project required to be financed, in whole or in part, with the proceeds of bonds without the approval of two-thirds of its members. A joint authority is hereby authorized to issue at one time or from time to time its bonds to pay all or any part of the cost of any of the authorized purposes. The principal of, premium, if any, and the interest on such bonds shall be payable solely from the funds provided for such payment. The bonds of each issue may be sold at public or private sale, may be sold at such price, and shall bear interest at such rate or rates, as may be determined by the board of directors of the joint authority. The bonds of each issue shall be dated and shall mature in such amounts and at such time or times, not exceeding fifty years from their respective date or dates, as may be determined by the board of directors of the joint authority and may be made redeemable before maturity at such price or prices and under such terms and conditions as may be fixed by the board of directors of the joint authority prior to issuing the bonds. The board of directors of the joint authority shall determine the form and the manner of execution of the bonds, including any interest coupons to be attached, and shall fix the denomination or denominations of the bonds and the place or places of payment of principal and interest, which may be at any bank or trust company within or without the state. In case any officer whose signature or a facsimile of whose signature shall appear on any bonds or coupons shall cease to be such officer before the delivery of such bonds, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes as if he or she had remained in office until such delivery. The board of directors of the joint authority may also provide for the authentication of the bonds by a trustee or fiscal agent. The bonds may be issued in coupon or in fully registered form, or both, as the directors of the joint authority may determine, and provisions may be made for the registration of any coupon bonds as to principal alone and also as to both principal and interest, and for the reconversion into coupon bonds of any bonds registered as to both principal and interest, and for the interchange of registered and coupon bonds.

(2) The proceeds of the bonds of each issue shall be used solely for the purposes for which such bonds have been issued, and shall be disbursed in such manner and under such restrictions, if any, as the board of directors of the joint authority may provide in the resolution authorizing the issuance of such bonds or in any trust agreement securing the same. The joint authority may issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive bonds when such bonds shall have been executed and are available for delivery. The joint authority may also provide for the replacement of any bonds which shall have become mutilated or shall have been destroyed or lost.

(3) Bonds may be issued under sections 70-1401 to 70-1423 without obtaining the consent or approval of the state or any political subdivision or any agency, commission, or instrumentality thereof.

Source:Laws 1982, LB 852, § 15.


70-1416. Bonds; secured by trust agreement; covenants authorized.

In the discretion of the board of directors of the joint authority, any bonds issued under the Joint Public Power Authority Act may be secured by a trust agreement by and between the joint authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without the state. Such trust agreement or the resolution providing for the issuance of such bonds may contain such provisions for protecting and enforcing the rights and remedies of the bondholders and of the trustee as may be reasonable and proper and not in violation of law and may restrict the individual right of action by bondholders. The trust agreement or the resolution providing for the issuance of such bonds may contain covenants including, but not limited to, the following:

(1) The pledge of all or any part of the revenue derived or to be derived from the project or projects to be financed by the bonds or from the electric system or facilities, hydrogen production, storage, or distribution facilities, or ethanol production or distribution facilities of a joint authority;

(2) The rents, rates, fees, and charges to be established, maintained, and collected and the use and disposal of revenue, gifts, grants, and funds received or to be received by the joint authority;

(3) The setting aside of reserves and the investment, regulation, and disposition of such reserves;

(4) The custody, collection, securing, investment, and payment of any money held for the payment of bonds;

(5) Limitations or restrictions on the purposes to which the proceeds of sale of bonds to be issued may be applied;

(6) Limitations or restrictions on the issuance of additional bonds, the terms upon which additional bonds may be issued and secured, or the refunding of outstanding or other bonds;

(7) The procedure, if any, by which the terms of any contract with bondholders may be amended, the percentage of bonds the holders of which must consent to, and the manner in which such consent may be given;

(8) Events of default and the rights and liabilities arising from such default, the terms and conditions upon which bonds issued under the Joint Public Power Authority Act shall become or may be declared due before maturity, and the terms and conditions upon which such declaration and its consequences may be waived;

(9) The preparation and maintenance of a budget;

(10) The retention or employment of consulting engineers, independent auditors, and other technical consultants;

(11) Limitations on or the prohibition of free service to any person, firm, or corporation, public or private;

(12) The acquisition and disposal of property, except that no project or part of such project shall be mortgaged by such trust agreement or resolution, except that the same may be mortgaged in the same manner as provided for a public power district by section 70-644;

(13) Provisions for insurance and for accounting reports and the inspection and audit of such reports; and

(14) The continuing operation and maintenance of the project.

Source:Laws 1982, LB 852, § 16; Laws 1986, LB 1230, § 56; Laws 2005, LB 139, § 24.    


70-1417. Directors; establish rates and fees; limitation; pledge; lien.

A two-thirds majority vote of the directors of the joint authority present, with each member casting the number of votes to which he or she is entitled, is authorized to fix, charge, and collect rents, rates, fees, and charges for electric power and energy, hydrogen, ethanol, and other services, related to the generation, transmission, and sale of electric energy, to the production, storage, or distribution of hydrogen, or to the production or distribution of ethanol. For so long as any bonds of a joint authority are outstanding and unpaid, the rents, rates, fees, and charges shall be so fixed as to provide revenue at least sufficient, together with other available funds, to pay all costs of and charges and expenses in connection with the proper operation and maintenance of its projects and all necessary repairs, replacements, or renewals of such projects, to pay when due the principal of, premium, if any, and interest on all bonds payable from such revenue, to create and maintain reserves and comply with such covenants as may be required by any resolution or trust agreement authorizing and securing bonds, and to pay any and all amounts which the joint authority may be obligated to pay from such revenue by law or contract.

Any pledge made by a joint authority pursuant to the Joint Public Power Authority Act shall be valid and binding from the date the pledge is made. The revenue, securities, and other money so pledged and then held or thereafter received by the joint authority or any fiduciary shall immediately be subject to the lien of the pledge without any physical delivery of such pledge or further act, and the lien of the pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the member district or joint authority without regard to whether such parties have notice of such lien.

Source:Laws 1982, LB 852, § 17; Laws 1986, LB 1230, § 57; Laws 2005, LB 139, § 25.    


70-1418. Funds from bond issuance; investment authorized; conditions.

The resolution authorizing the bonds of any issue or the trust agreement securing such bonds may provide that any of such money may be temporarily invested and reinvested pending disbursements of such money in such securities and other investments as shall be provided in such resolution or trust agreement, and shall provide that any bank or trust company with which such money shall be deposited shall act as trustee of such money and shall hold and apply the same for purposes pursuant to this section, subject to such regulation as sections 70-1401 to 70-1423 and such resolution or trust agreement may provide.

Source:Laws 1982, LB 852, § 18.


70-1419. Bondholder; trustee; enforcement of rights.

Any holder of bonds issued under sections 70-1401 to 70-1423 or any of the coupons appertaining thereto, and the trustee under any trust agreement, except to the extent the rights pursuant to this section may be restricted by such trust agreement or the resolution authorizing the issuance of such bonds, may, either at law or in equity, by suit, action, mandamus, or other proceeding, protect and enforce any and all rights under the laws of the state or granted in sections 70-1401 to 70-1423, or, to the extent permitted by law, under such trust agreement or resolution authorizing the issuance of such bonds or under any agreement or other contract executed by the joint authority pursuant to sections 70-1401 to 70-1423, and may enforce and compel the performance of all duties required by sections 70-1401 to 70-1423 or by such trust agreement or resolution to be performed by any joint authority or member district or by any officer of such joint authority, including the fixing, charging, and collecting of rents, rates, fees, and charges.

Source:Laws 1982, LB 852, § 19.


70-1420. Refunding bonds; issuance; conditions.

A joint authority is hereby authorized to provide by resolution for the issuance of refunding bonds of the joint authority for the purpose of refunding any bonds then outstanding, in advance of their maturity or earlier redemption date, which shall have been issued under sections 70-1401 to 70-1423, including the payment of any redemption premium on such bonds and any interest accrued or to accrue to the date of redemption of such bonds. The issuance of such bonds, the maturities, and other details of such bonds, the rights of the holders of such bonds, and the rights, duties, and obligations of the joint authority in respect to the same shall be governed by the appropriate provisions of sections 70-1401 to 70-1423 which relate to the issuance of bonds.

Source:Laws 1982, LB 852, § 20.


70-1421. Board of directors; grants-in-aid and loans; authorized; powers.

The board of directors of a joint authority is hereby authorized to make application and to enter into contracts for and to accept grants-in-aid and loans from the federal and state governments and their agencies for planning, acquiring, constructing, expanding, maintaining, and operating any project or facility, or participating in any research or development program, or performing any function which such joint authority may be authorized by general or local law to provide or perform.

In order to exercise the authority granted by this section, the board of directors of a joint authority may:

(1) Enter into and carry out contracts with the state or federal government or any agency or institution thereof under which such government, agency, or institution grants financial or other assistance to the joint authority;

(2) Accept such assistance or funds as may be granted or loaned by the state or federal government with or without such a contract;

(3) Agree to and comply with any reasonable conditions which are imposed upon such grants or loans; and

(4) Make expenditures from any funds so granted.

Source:Laws 1982, LB 852, § 21.


70-1422. Sections, supplemental to other provisions.

Sections 70-1401 to 70-1421 shall be deemed to provide an additional, alternative, and complete method for the doing of the things authorized thereby and shall be deemed and construed to be supplemental and additional to powers conferred by existing laws, and shall not be regarded as in degradation of any powers not existing, except that insofar as provisions of sections 70-1401 to 70-1423 are inconsistent with the provisions of any other special or local law, the provisions of sections 70-1401 to 70-1423 shall be controlling. Nothing in sections 70-1401 to 70-1423 shall be construed to authorize the issuance of the bonds for the purpose of financing facilities to be owned wholly or in part by any private corporation.

Source:Laws 1982, LB 852, § 22.


70-1423. Sections, how construed.

In order to effectuate the purposes and policies prescribed in sections 70-1401 to 70-1423, the provisions of sections 70-1401 to 70-1423 shall be liberally construed.

Source:Laws 1982, LB 852, § 23.


70-1501. Statement of policy.

It is the public policy of this state to provide its citizens with adequate electric service at as low an overall cost as possible, consistent with sound business practices, and in furtherance of such policy it is necessary to avoid and eliminate conflict and competition among and between suppliers of electric power and energy and to avoid duplication of facilities and resources which result from such conflict and competition.

Source:Laws 1984, LB 805, § 1.


70-1502. Suppliers; agreements authorized.

In furtherance of the policy of this state as set forth in section 70-1501, suppliers of electric power and energy, including public power districts, nonprofit corporations, public power and irrigation districts, individual municipalities, registered groups of municipalities, public corporations, electric membership associations, cooperatives, and any other entities, are authorized to enter into written agreements between or among themselves which (1) prohibit, limit, or set conditions on the right of any party to the agreement to sell power and energy at wholesale to any entity which is then or thereafter served by another party to the agreement or to any entity listed in the agreement as a customer of another party to the agreement or (2) require any party to the agreement which sells power and energy at wholesale to any entity which is then or thereafter served by another party to the agreement or to any entity listed in the agreement as a customer of another party to the agreement to purchase power and energy from another party to the agreement.

Source:Laws 1984, LB 805, § 2.


70-1503. Agreement; Nebraska Power Review Board; approval required; procedure.

Before any agreement made pursuant to section 70-1502 or amendment to such agreement shall become effective, it shall be submitted to and approved by the Nebraska Power Review Board. When requested to approve such agreement or amendment, the Nebraska Power Review Board shall determine whether such agreement or amendment is in furtherance of the public policy of this state as set forth in section 70-1501. The board may make such investigation as it determines is necessary, give ten days' notice by mail to such alternate power suppliers as it deems affected by the agreement or amendment, and hold a hearing if it determines one to be desirable. At the conclusion of its investigation, the Nebraska Power Review Board shall approve the agreement or amendment unless it determines that the agreement or amendment cannot be reasonably expected to fulfill the purposes of sections 70-1501 to 70-1505. The purpose of this section is to promote and encourage the making of agreements pursuant to section 70-1502.

Source:Laws 1984, LB 805, § 3.


70-1504. Agreement; dispute; hearing.

In the event of any disagreement arising among the parties to an agreement authorized by sections 70-1501 to 70-1505 which cannot be settled by negotiations, the dispute may be submitted to the Nebraska Power Review Board. Upon the submission of any such disagreement to the board, the board shall set a time and place for hearing thereon and give notice as provided in section 70-1013. Following such hearing, the board shall make its recommendations for the settlement of such disagreement, which recommendations shall be advisory only.

Source:Laws 1984, LB 805, § 4.


70-1505. Supplier; competition and antitrust provisions; exemption.

In the exercise of the powers granted in sections 70-1501 to 70-1505 and in Chapter 70, article 10, to execute agreements authorized by sections 70-1501 to 70-1505 or other agreements authorized by Chapter 70, article 10, a supplier of electric power and energy shall be exempt from any law, rule, or regulation of this state regulating competition. It is intended that a supplier of electric power and energy carrying out the activities described by an agreement authorized by sections 70-1501 to 70-1505 or any other agreement authorized by Chapter 70, article 10, receive full exemption and immunity from state and federal antitrust laws in light of the public purposes and regulatory provisions of sections 70-1501 to 70-1505.

Source:Laws 1984, LB 805, § 5.


70-1601. Applicant for service; denial prohibited, when.

No applicant for the services of a public or private utility company furnishing water, natural gas, or electricity at retail in this state shall be denied service because of unpaid bills for similar service which are not collectible at law because of statutes of limitations or discharge in bankruptcy proceedings.

Source:Laws 1972, LB 1201, § 2; R.S.1943, (1987), § 18-417; Laws 1988, LB 792, § 1.


70-1602. Domestic subscriber, defined.

As used in sections 70-1603 to 70-1615, unless the context otherwise requires, domestic subscriber shall not include municipalities, cities, villages, political subdivisions, companies, corporations, partnerships, limited liability companies, or businesses of any nature.

Source:Laws 1979, LB 143, § 2; R.S.1943, (1987), § 19-2703; Laws 1988, LB 792, § 2; Laws 1993, LB 121, § 417.


70-1603. Municipal utility; owned and operated by a village; discontinuance of service; notice; procedure.

No municipal utility owned and operated by a village furnishing water, natural gas, or electricity at retail in this state shall discontinue service to any domestic subscriber for nonpayment of any past-due account unless such utility first gives written notice by mail to any subscriber whose service is proposed to be terminated at least seven days prior to termination.

Source:Laws 1979, LB 143, § 16; Laws 1982, LB 522, § 2; R.S.1943, (1987), § 19-2716; Laws 1988, LB 792, § 3; Laws 1996, LB 1044, § 369; Laws 2010, LB849, § 17.    


70-1604. Municipal utility; owned and operated by a village; discontinuance of service; conference; notice; procedure.

Prior to the discontinuance of service to any domestic subscriber by a municipal utility owned and operated by a village, the domestic subscriber, upon request, shall be provided a conference with the board of trustees of the village. A municipal utility owned and operated by a village shall not be subject to sections 70-1608 to 70-1614, but the board of trustees shall establish a procedure to resolve utility bills when a conference is requested by a domestic subscriber. The procedure shall be in writing and a copy of such procedure shall be furnished upon the request of any domestic subscriber. The board of trustees shall notify the domestic subscriber of the time, place, and date scheduled for such conference.

Source:Laws 1979, LB 143, § 17; R.S.1943, (1987), § 19-2717; Laws 1988, LB 792, § 4.


70-1605. Discontinuance of service; notice; procedure.

No public or private utility company, other than a municipal utility owned and operated by a village, furnishing water, natural gas, or electricity at retail in this state shall discontinue service to any domestic subscriber for nonpayment of any past-due account unless the utility company first gives notice to any subscriber whose service is proposed to be terminated. Such notice shall be given in person, by first-class mail, or by electronic delivery, except that electronic delivery shall only be used if the subscriber has specifically elected to receive such notices by electronic delivery. If notice is given by first-class mail or electronic delivery, such notice shall be conspicuously marked as to its importance. Service shall not be discontinued for at least seven days after notice is sent or given. Holidays and weekends shall be excluded from the seven days.

Source:Laws 1972, LB 1201, § 1; R.R.S.1943, (1977), § 18-416; Laws 1979, LB 143, § 1; Laws 1982, LB 522, § 1; R.S.1943, (1987), § 19-2702; Laws 1988, LB 792, § 5; Laws 1996, LB 1044, § 370; Laws 2010, LB849, § 18;    Laws 2015, LB104, § 1.    


70-1606. Discontinuance of service; notice; contents.

The notice required by section 70-1605 shall contain the following information:

(1) The reason for the proposed disconnection;

(2) A statement of intention to disconnect unless the domestic subscriber either pays the bill or reaches an agreement with the utility regarding payment of the bill;

(3) The date upon which service will be disconnected if the domestic subscriber does not take appropriate action;

(4) The name, address, and telephone number of the utility's employee or department to whom the domestic subscriber may address any inquiry or complaint;

(5) The domestic subscriber's right, prior to the disconnection date, to request a conference regarding any dispute over such proposed disconnection;

(6) A statement that the utility may not disconnect service pending the conclusion of the conference;

(7) A statement to the effect that disconnection may be postponed or prevented upon presentation of a duly licensed physician's certificate which shall certify that a domestic subscriber or resident within such subscriber's household has an existing illness or handicap which would cause such subscriber or resident to suffer an immediate and serious health hazard by the disconnection of the utility's service to that household. Such certificate shall be filed with the utility within five days of receiving notice under this section and will prevent the disconnection of the utility's service for a period of thirty days from such filing. Only one postponement of disconnection shall be allowed under this subdivision for each incidence of nonpayment of any past-due account;

(8) The cost that will be borne by the domestic subscriber for restoration of service;

(9) A statement that the domestic subscriber may arrange with the utility for an installment payment plan;

(10) A statement to the effect that those domestic subscribers who are welfare recipients may qualify for assistance in payment of their utility bill and that they should contact their caseworker in that regard; and

(11) Any additional information not inconsistent with this section which has received prior approval from the board of directors or administrative board of any utility.

Source:Laws 1979, LB 143, § 3; R.S.1943, (1987), § 19-2704; Laws 1988, LB 792, § 6.


70-1607. Discontinuance of service; third-party notice procedure.

Each utility subject to section 70-1603 or 70-1605 shall establish a third-party notice procedure for the notification of a designated third party of any proposed discontinuance of service and shall advise its subscribers, including new subscribers, of the availability of such procedures.

Source:Laws 1979, LB 143, § 4; R.S.1943, (1987), § 19-2705; Laws 1988, LB 792, § 7.


70-1608. Discontinuance of service; dispute; conference.

A domestic subscriber may request a conference in regard to any dispute over a proposed discontinuance of service before an employee designated by the utility to hear such matters. The employee designated by the utility shall hear and decide all matters disputed by domestic subscribers. The subjects to be heard shall include matters relating to a disputed bill.

Source:Laws 1979, LB 143, § 5; R.S.1943, (1987), § 19-2706; Laws 1988, LB 792, § 8.


70-1609. Discontinuance of service; dispute; statement; effect.

A domestic subscriber may dispute the proposed discontinuance of water, natural gas, or electricity by notifying the utility with a written statement that sets forth the reasons for the dispute and the relief requested. If a statement has been made by the subscriber, a conference shall be held before the utility may discontinue service.

Source:Laws 1979, LB 143, § 7; R.S.1943, (1987), § 19-2708; Laws 1988, LB 792, § 9.


70-1610. Conference; employee; duties.

Upon notice to the employee designated by the utility of any request for a conference by a domestic subscriber, the employee shall:

(1) Notify the domestic subscriber, in writing, of the time, place, and date scheduled for the conference; and

(2) Hold a conference within fourteen days of the receipt of the domestic subscriber's request. Such conference shall be informal and not governed by the Nebraska Evidence Rules. If the employee determines at the conference that the domestic subscriber did not receive proper notice or was denied any other right afforded under sections 70-1605 to 70-1615, the employee shall recess and continue the conference at such time as the subscriber has been afforded his or her rights. Failure of a domestic subscriber to attend a scheduled conference shall relieve the utility of any further action prior to the discontinuance of service. If a domestic subscriber contacts the utility prior to the scheduled conference and demonstrates that failure to attend is for a legitimate reason, the utility shall make a reasonable effort to reschedule the conference.

Source:Laws 1979, LB 143, § 8; R.S.1943, (1987), § 19-2709; Laws 1988, LB 792, § 10.


Cross References

70-1611. Conference; employee; decision to terminate service; when.

The employee of the utility shall, based solely on the evidence presented at the conference, affirm, reverse, or modify any decision by the utility involving a disputed bill which results in a threatened termination of utility service. The employee shall allow termination of utility service only as a measure of last resort after the utility has exhausted all other remedies less drastic than termination.

Source:Laws 1979, LB 143, § 9; R.S.1943, (1987), § 19-2710; Laws 1988, LB 792, § 11.


70-1612. Appeal; hearing; procedure.

Any domestic subscriber may appeal an adverse decision of the utility employee to a management office designated by the utility or to the utility board when designated by the utility. Each utility shall establish a hearing procedure to resolve utility bills appealed by domestic subscribers. The procedure shall be in writing and a copy of such procedure shall be furnished upon the request of any domestic subscriber. Such appeal shall be filed with the management office or utility board within the time specified in the procedures established by the utility. Nothing in sections 70-1602 to 70-1615 shall prohibit any utility from providing such additional stages of appeal as it may deem appropriate.

Source:Laws 1979, LB 143, § 10; R.S.1943, (1987), § 19-2711; Laws 1988, LB 792, § 12.


70-1613. Appeal; hearing; domestic subscriber; rights.

At any hearing held pursuant to section 70-1612, the domestic subscriber may:

(1) Be represented by legal counsel or other representative or spokesperson;

(2) Examine and copy, not less than three business days prior to such hearing, the utility's file and records pertaining to all matters directly relevant to the dispute or utilized in any way by the utility in reaching the decision to propose termination or to take other action which is the subject of the hearing;

(3) Present witnesses and offer evidence;

(4) Confront and cross-examine such other witnesses as may appear and testify at the hearing; and

(5) Make or have made a record of the proceedings at his or her own expense.

Source:Laws 1979, LB 143, § 12; R.S.1943, (1987), § 19-2713; Laws 1988, LB 792, § 13.


70-1614. Appeal; hearing; management office; duties.

In any appeal filed pursuant to section 70-1612, the management office designated by the utility shall notify the domestic subscriber of the time, place, and date scheduled for such hearing. The notice requirements, hearing procedures, and other rights of domestic subscribers shall be set forth in the procedures established under sections 70-1612 and 70-1613.

Source:Laws 1979, LB 143, § 13; R.S.1943, (1987), § 19-2714; Laws 1988, LB 792, § 14.


70-1615. Sections; not applicable; when.

Sections 70-1602 to 70-1614 shall not apply to any disconnections or interruptions of services made necessary by the utility for reasons of repair or maintenance or to protect the health or safety of the domestic subscriber or of the general public.

Source:Laws 1979, LB 143, § 14; R.S.1943, (1987), § 19-2715; Laws 1988, LB 792, § 15.


70-1701. Terms, defined.

For purposes of sections 70-1701 to 70-1705:

(1) Power has the same meaning as in section 70-601; and

(2) Public entity means a municipality, a registered group of municipalities, a public power district, a public power and irrigation district, an electric cooperative, an electric membership association, a joint entity formed under the Interlocal Cooperation Act, a joint public agency formed under the Joint Public Agency Act, an agency formed under the Municipal Cooperative Financing Act, or any other governmental body or subdivision of government.

Source:Laws 2004, LB 969, § 1.    


Cross References

70-1702. Purchase agreement; contents.

Notwithstanding any other provision of Nebraska law, any public entity may enter into an agreement for the purchase of power to be generated by a project consisting of one or more electric generating facilities. A purchase agreement may contain such terms and conditions as the public entity may determine, including provisions whereby the public entity agrees to accept and pay for additional power generated by a project if another public entity that is a purchaser of power from the same project defaults or otherwise is unable to take or pay for such power. A purchase agreement may further provide that the public entity is obligated to make payments regardless of whether power is provided, produced, or delivered to the public entity or whether the project contemplated by a purchase agreement is completed, operable, or operating, and notwithstanding suspension, interruption, interference, reduction, or curtailment of the output of power from such project.

Source:Laws 2004, LB 969, § 2.    


70-1703. Agreement; other provisions applicable.

Any municipality that enters into an agreement for the purchase of power containing any of the provisions described in section 70-1702 shall be deemed to have entered into such agreement under the provisions of this section and sections 18-412.06 and 70-1705. No agreement shall be deemed an agreement entered into pursuant to sections 18-412.09 and 70-1704 unless such agreement specifically states that it is entered into pursuant to such sections.

Source:Laws 2004, LB 969, § 3.    


70-1704. Ownership agreement; terms and conditions.

If a public entity enters into an ownership agreement of any electric facility pursuant to section 18-412.09, the agreement may contain such terms and conditions as the public entity may determine.

Source:Laws 2004, LB 969, § 4.    


70-1705. Sections; how construed.

Sections 70-1701 to 70-1705 shall be liberally construed to effectuate their purposes. The provisions of sections 70-1701 to 70-1705 shall be independent of and supplemental to any other applicable provisions of law, petition for creation, or charter.

Source:Laws 2004, LB 969, § 5.    


70-1801. Act, how cited.

Sections 70-1801 to 70-1819 shall be known and may be cited as the Public Entities Mandated Project Charges Act.

Source:Laws 2006, LB 548, § 1;    Laws 2015, LB141, § 1.    


70-1802. Definitions, where found.

For purposes of the Public Entities Mandated Project Charges Act, the definitions found in sections 70-1803 to 70-1811 apply.

Source:Laws 2006, LB 548, § 2;    Laws 2015, LB141, § 2.    


70-1803. Financing costs, defined.

Financing costs means:

(1) Interest, including, but not limited to, capitalized interest, and redemption premiums that are payable on mandated project bonds;

(2) The cost of retiring or refunding a public entity's existing debt in connection with the issuance of mandated project bonds, but only to the extent the debt was issued for the purposes of financing mandated project costs;

(3) Any cost related to the issuing and servicing of mandated project bonds, whether issued by a public entity or by a mandated project bond issuer, including, but not limited to, servicing fees, trustee fees, legal fees, administrative fees, bond counsel fees, bond placement or underwriting fees, remarketing fees, broker dealer fees, payments under an interest rate swap agreement, financial advisor fees, accounting or engineering report fees, and rating agency fees;

(4) Any expense associated with any bond insurance policy, credit enhancement, or other financial arrangement entered into in connection with the issuance of mandated project bonds; and

(5) The funding of one or more reserve accounts related to mandated project bonds.

Source:Laws 2006, LB 548, § 3;    Laws 2015, LB141, § 3.    


70-1804. Mandate, defined.

Mandate means a requirement imposed by a statute of the United States or the State of Nebraska, a rule, a regulation, an administrative or a judicial order, a licensing requirement or condition, any agreement with or requirement of a regional transmission organization, or any consent order or agreement between the United States or the State of Nebraska, or any agency thereof, and a public entity.

Source:Laws 2006, LB 548, § 4.    


70-1805. Mandated project, defined.

Mandated project means the construction, retrofitting, rebuilding, acquisition, or installation of any equipment, device, structure, improvement, process, facility, technology, or other property owned, licensed, or controlled by a public entity or operated for the benefit of a public entity through a power participation or purchase agreement, either within or outside the State of Nebraska, and used in connection with a new or existing facility related to electrical power generation, transmission, or distribution, which construction, retrofitting, rebuilding, acquisition, or installation is undertaken to satisfy a mandate, including, but not limited to, any equipment, device, structure, improvement, process, facility, technology, or other property related to environmental pollution control, safety, or useful life extension of an existing plant or facility.

Source:Laws 2006, LB 548, § 5.    


70-1805.01. Mandated project bond issuer, defined.

Mandated project bond issuer means an entity created pursuant to section 70-1818.

Source:Laws 2015, LB141, § 4.    


70-1806. Mandated project bonds, defined.

Mandated project bonds means bonds, notes, or other evidences of indebtedness that are issued by a public entity or by a mandated project bond issuer, the proceeds of which are used directly or indirectly to pay or reimburse mandated project costs and financing costs and which bonds are secured by and payable from mandated project charges.

Source:Laws 2006, LB 548, § 6;    Laws 2015, LB141, § 5.    


70-1807. Mandated project charge, defined.

Mandated project charge means a charge paid by customers of a public entity to pay or reimburse the public entity for mandated project costs, including any adjustment of the charge pursuant to subdivision (1)(d) of section 70-1812, or financing costs.

Source:Laws 2006, LB 548, § 7.    


70-1808. Mandated project costs, defined.

Mandated project costs means capital costs incurred or to be incurred by a public entity with respect to a mandated project, including the payment of debt service on mandated project bonds, either directly or through a power participation or purchase agreement, and any related operating expenses.

Source:Laws 2006, LB 548, § 8.    


70-1809. Public entity, defined.

Public entity means a municipality, a registered group of municipalities, a public power district, a public power and irrigation district, an electric cooperative, an electric membership association, a joint entity formed under the Interlocal Cooperation Act, a joint public agency formed under the Joint Public Agency Act, an agency formed under the Municipal Cooperative Financing Act, or any other governmental entity.

Source:Laws 2006, LB 548, § 9.    


Cross References

70-1810. Related operating expenses, defined.

Related operating expenses means any necessary operating expenses of a project or system required to be paid from the mandated project charge by an order of a court pursuant to 11 U.S.C. 928(b), as such section existed on January 1, 2006.

Source:Laws 2006, LB 548, § 10.    


70-1811. Special revenue, defined.

Special revenue has the definition found in 11 U.S.C. 902(2) as such section existed on January 1, 2006.

Source:Laws 2006, LB 548, § 11.    


70-1812. Mandated project charges authorized; resolution of governing body; payment by customers; records required; judicial review authorized; procedure.

(1) A public entity may elect to pay or reimburse mandated project costs and financing costs through the use of mandated project charges. Public entities are hereby authorized to impose and collect mandated project charges as provided in the Public Entities Mandated Project Charges Act. The election to use mandated project charges shall be made and evidenced by the adoption of a resolution of the governing body of the public entity authorizing the mandated project as set forth in the public entity's capital budget. The authorizing resolution shall include the following:

(a) A statement that the project is a mandated project and a description of the mandate that will be addressed by the mandated project;

(b) A statement that the public entity is electing to pay or reimburse the mandated project costs and financing costs with mandated project charges in accordance with the Public Entities Mandated Project Charges Act;

(c) An authorization to add a separate charge to each customer's electric service bill, representing such customer's portion of the mandated project charge;

(d) A description of the financial calculation, formula, or other method that the public entity utilizes to determine the mandated project charges that customers will be required to pay for the mandated project, including a periodic adjustment method, applied at least annually, that shall be utilized by the public entity to correct for any overcollection or undercollection of such mandated project charges or any other adjustment necessary to assure payment of debt service on mandated project bonds, including, but not limited to, the adjustment of the mandated project charges to pay related operating expenses and any debt service coverage requirement. The financial calculation, formula, or other method, including the periodic adjustment method, established in the authorizing resolution pursuant to this subdivision, and the allocation of mandated project charges to and among its customers, shall be decided solely by the governing body of the public entity and shall be final and conclusive, subject to the procedures set forth in subsection (4) of this section. In no event shall the periodic adjustment method established in the authorizing resolution pursuant to this subdivision be applied less frequently than required by the governing documents of any mandated project bonds issued to finance the mandated project. Once the financial calculation, formula, or other method for determining the mandated project charges, and the periodic adjustment method, have been established in the authorizing resolution and have become final and conclusive as provided in the act, they shall not be changed;

(e) If mandated project bonds are to be issued for the mandated project by the public entity or by a mandated project bond issuer, a requirement that the public entity or mandated project bond issuer shall enter into a servicing agreement for the bonds with a trustee selected by the governing body of the public entity and the public entity or mandated project bond issuer shall act as a servicing agent for purposes of collecting the mandated project charges. Money collected by the public entity or mandated project bond issuer, acting as a servicing agent on behalf of a trustee, shall be held for the exclusive benefit of holders of mandated project bonds; and

(f) If mandated project bonds are to be issued for the mandated project by a mandated project bond issuer created by the public entity, a statement that the public entity elects to have bonds issued by the mandated project bond issuer and that the public entity shall pledge the proceeds of the mandated project charge for the purpose of securing such bonds.

(2) The determination of the governing body that a project is a mandated project shall be final and conclusive, and any mandated project bonds issued and mandated project charges imposed relating to such determination shall be valid and enforceable in accordance with their terms. Mandated project charges shall constitute a vested, presently existing property right. The public entity shall require, in its authorizing resolution with respect to mandated project charges, that so long as any customer obtains electric distribution service from the public entity, the customer shall pay the mandated project charge to the public entity regardless of whether or not the customer obtains electric energy service from the public entity or another energy supplier other than the public entity. All provisions of the authorizing resolution adopted pursuant to this section shall be binding on the public entity and on any successor or assignee of the public entity.

(3) The timely and complete payment of all mandated project charges shall be a condition of receiving electric service for customers of the public entity, and the public entity shall be authorized to use its established collection policies and all rights and remedies provided by the law to enforce payment and collection of the mandated project charges. In no event shall any customer of a public entity be entitled or authorized to withhold payment, in whole or in part, of any mandated project charges for any reason.

(4) The secretary or other duly designated officer of the governing body of the public entity shall prepare and maintain a complete record of all documents submitted to and all oral and written comments made to the governing body in connection with an authorizing resolution adopted pursuant to this section. Within ten days after adoption of an authorizing resolution, an aggrieved party may file a petition for judicial review in the Supreme Court and pay the docket fee established in section 33-103. The petition shall name the public entity as the respondent and shall be served upon the public entity in the manner provided by law for service of process. Within ten business days after service of the petition for judicial review upon the public entity, the secretary or other duly designated officer of the public entity shall prepare and file with the Clerk of the Supreme Court, at the public entity's expense, the record of all documents submitted to and all oral and written comments made to the governing body in connection with the authorizing resolution. Judicial review pursuant to this subsection shall be based solely upon the record submitted by the public entity, and briefs to the court shall be limited to determining whether the financial calculation, formula, or other method adopted by the public entity pursuant to subdivision (1)(d) of this section is a fair, reasonable, and nondiscriminatory allocation to the public entity's customers of the mandated project charges needed to pay for the mandated project. Because the process of judicial review may delay the issuance of mandated project bonds to the financial detriment of customers of the public entity, the Supreme Court shall proceed to hear and determine a petition for judicial review under this section as expeditiously as practicable and shall give the matter precedence over other civil matters on the docket. The authorizing resolution shall become final and conclusive if there is no petition for judicial review filed within the time set forth in this subsection or upon the effective date of the court's decision in favor of the public entity. If the court rules against the public entity on a petition for judicial review under this subsection, the public entity's authorizing resolution shall be void and of no further force or effect.

For purposes of this subsection, aggrieved party means a retail customer of the public entity that receives electric service pursuant to a published rate schedule.

Source:Laws 2006, LB 548, § 12;    Laws 2015, LB141, § 6.    


70-1813. Issuance of mandated project bonds; authorized; proceeds; use.

(1) A public entity has the authority to issue mandated project bonds, including refunding bonds, in one or more series. A public entity also may create a mandated project bond issuer pursuant to section 70-1818 to issue mandated project bonds. Mandated project charges to which the public entity may at any time be entitled shall be pledged, without any necessity for specific authorization of the pledge by the public entity, to the mandated project bonds. Each such series of mandated project bonds shall be secured by and payable from a first lien on mandated project charges pledged for such purpose. Any separate consensual lien or security interest shall be created in accordance with and governed by the Nebraska Governmental Unit Security Interest Act. The proceeds of such bonds shall be applied exclusively to payment of mandated project costs and financing costs and, in the case of proceeds of refunding bonds, the retirement or defeasance of mandated project bonds.

(2) The public entity and any successor or assignee of the public entity shall be obligated to impose and collect the mandated project charges in amounts sufficient to pay debt service on the mandated project bonds as due. The pledge of mandated project charges shall be irrevocable, and the state, the public entity, or any successor or assignee of the public entity may not reduce, impair, or otherwise adjust mandated project charges, except that the public entity and any successor or assignee thereof shall implement the periodic adjustment method established by the authorizing resolution pursuant to subdivision (1)(d) of section 70-1812. Revenue from mandated project charges shall be deemed special revenue and shall not constitute revenue of the public entity for purposes of any pledge of revenue, receipts, or other income that such public entity has made or will make for the security of debt other than the mandated project bonds to which the revenue from the mandated project charges is expressly pledged.

Source:Laws 2006, LB 548, § 13;    Laws 2015, LB141, § 7.    


Cross References

70-1814. Mandated project charges; use.

Mandated project charges shall be applied exclusively for the purpose of paying mandated project costs, including any adjustments of such charges pursuant to subdivision (1)(d) of section 70-1812, and financing costs.

Source:Laws 2006, LB 548, § 14.    


70-1815. Public entity; discretionary actions.

A public entity undertaking a mandated project is not required to pay or reimburse the costs of the mandated project with mandated project charges, and such public entity is not required to issue mandated project bonds. The use of mandated project charges and issuance of mandated project bonds are elective actions wholly within the discretion of the public entity.

Source:Laws 2006, LB 548, § 15.    


70-1816. Public entity collecting mandated project charges; billing explanation required.

A public entity collecting mandated project charges shall annually provide its customers with a concise explanation of mandated project charges billed to customers. Such explanation may be by billing insert, web site information, or other appropriate means.

Source:Laws 2006, LB 548, § 16.    


70-1817. Act and grants of power; how construed.

The Public Entities Mandated Project Charges Act and all grants of power and authority in the act shall be liberally construed to effectuate their purpose, and all incidental powers necessary to carry into effect the provisions of the act are expressly granted to and conferred upon public entities.

Source:Laws 2006, LB 548, § 17.    


70-1818. Creation of mandated project bond issuer; procedure; board of directors.

A public entity may create, by a duly adopted resolution of its governing body, a mandated project bond issuer. A mandated project bond issuer is a body politic and corporate, not an agency of the state but an independent instrumentality exercising essential public functions, and has the powers and duties set forth in section 70-1819. The chairperson of the governing body of the creating public entity shall appoint a three-person board of directors from among the governing body's members, and such board of directors shall govern the mandated project bond issuer.

Source:Laws 2015, LB141, § 8.    


70-1819. Mandated project bond issuer; bond issuance; procedure; use of proceeds; issuer powers; restriction on business activities; powers.

(1) The mandated project bond issuer may issue mandated project bonds, including refunding bonds, in one or more series, as contemplated by a resolution of the public entity adopted in accordance with section 70-1812. The mandated project bond issuer shall comply with any resolution issued by the public entity in accordance with such section. Mandated project charges to which the public entity may at any time be entitled shall be pledged, without any necessity for specific authorization of the pledge by the public entity, to the mandated project bonds issued by the mandated project bond issuer pursuant to this section. Each such series of mandated project bonds shall be secured by and payable from a first lien on mandated project charges pledged for such purpose. Any separate consensual lien or security interest shall be created in accordance with and governed by the Nebraska Governmental Unit Security Interest Act. The proceeds of such bonds shall be applied exclusively to payment of mandated project costs and financing costs and, in the case of proceeds of refunding bonds, the retirement or defeasance of mandated project bonds.

(2) The mandated project bond issuer may:

(a) Contract for servicing of mandated project bonds and for administrative services; and

(b) Accept the pledge of mandated project charges from the public entity pursuant to section 70-1812 and pledge the mandated project charges to secure the mandated project bonds and the payment of financing costs.

(3) So long as any mandated project bonds remain outstanding, the mandated project bond issuer may not merge or consolidate, directly or indirectly, with any person or entity. Additionally, the mandated project bond issuer shall not incur, guarantee, or otherwise become obligated to pay any debt or other obligations other than the mandated project bonds and financing costs unless otherwise permitted by the resolution of the public entity adopted pursuant to section 70-1812. The mandated project bond issuer shall keep its assets and liabilities separate and distinct from those of any other entity.

(4) The mandated project bond issuer may not be a debtor under Chapter 9 of Title 11 of the United States Code or any other provision of such title. No governmental officer or organization may authorize, whether by executive order or otherwise, a mandated project bond issuer to be a debtor under Chapter 9 of Title 11 of the United States Code or any other provision of such title. Until at least one year and one day after all mandated project bonds issued by a restructuring bond issuer have ceased to be outstanding and all unpaid financing costs have been paid, the state shall not limit or alter the denial of authority to the mandated project bond issuer to be a debtor under Chapter 9 of Title 11 of the United States Code or any other provision of such title.

(5) The mandated project bond issuer may not engage in other business activities, except that in connection with the powers specified in this section, as a financing entity the mandated project bond issuer may:

(a) Have perpetual succession as a body politic and corporate and an independent instrumentality exercising essential public functions;

(b) Adopt, amend, and repeal bylaws, rules, and regulations not inconsistent with the Public Entities Mandated Project Charges Act to regulate its affairs, to carry into effect its powers and purposes, and to conduct its business;

(c) Sue and be sued in its own name;

(d) Have an official seal and alter it at will;

(e) Maintain an office at such place or places within the state as it may designate;

(f) Make and execute contracts and all other instruments as necessary or convenient for the performance of its duties and the exercise of its powers and functions under the act;

(g) Establish and maintain such accounts, reserves, and special funds, to be held in trust or otherwise as may be required by a resolution of the public entity pursuant to section 70-1812 or by agreements made in connection with the mandated project bonds or any agreement between itself and third parties;

(h) Employ officers and employees, prescribe their qualifications and duties, and fix their compensation, and may engage the services of and compensate attorneys, accountants, and such other advisors, consultants, and agents as may be necessary in its judgment to fulfill its duties under the act;

(i) Obtain insurance against any loss in connection with its business, property, and other assets in such amounts and from such insurers as it deems advisable;

(j) Invest funds in its custody pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act;

(k) Receive and accept from any source aid or contributions of money, property, labor, or other things of value to be held, used, and applied to carry out the purposes of the Public Entities Mandated Project Charges Act, subject to the conditions upon which the grants or contributions are made, including gifts or grants from any department, agency, or instrumentality of the United States; and

(l) Sell and convey any real or personal property and make such order respecting the same as it deems conducive to the best interest of the mandated project bond issuer.

Source:Laws 2015, LB141, § 9.    


Cross References

70-1901. Act, how cited.

Sections 70-1901 to 70-1909 shall be known and may be cited as the Rural Community-Based Energy Development Act.

Source:Laws 2007, LB629, § 1.    


70-1902. Legislative intent.

It is the intent of the Legislature to create new rural economic development opportunities through rural community-based energy development.

Source:Laws 2007, LB629, § 2.    


70-1903. Terms, defined.

For purposes of the Rural Community-Based Energy Development Act:

(1) C-BED project or community-based energy development project means a new energy generation project using wind, solar, biomass, or landfill gas as the fuel source that:

(a) Has at least twenty-five percent of the gross power purchase agreement payments flowing to the qualified owner or owners or as payments to the local community; and

(b) Has a resolution of support or zoning approval adopted:

(i) By the county board of each county in which the C-BED project is to be located and which has adopted zoning regulations that require planning commission, county board, or county commission approval for the C-BED project; or

(ii) By the tribal council for a C-BED project located within the boundaries of an Indian reservation;

(2) Electric supplier means a public power district, a public power and irrigation district, an individual municipality, a registered group of municipalities, an electric membership association, or a cooperative, unless the context requires a different meaning;

(3) Gross power purchase agreement payments means the total amount of payments during the first twenty years of the agreement;

(4) Payments to the local community include, but are not limited to:

(a) Lease and easement payments to property owners made as part of a C-BED project;

(b) Contract payments for concrete, steel, gravel, towers, turbines, blades, wire, or engineering, procurement, construction, geotechnical, environmental, meteorological, or legal services or payments for other components, equipment, materials, or services that are necessary to permit or construct the C-BED project and that are provided by a company that has been organized or incorporated in Nebraska under Nebraska law and has employed at least five Nebraska residents for at least eighteen months prior to the date of the project application for certification as a C-BED project; and

(c) Payments that are for physical parts, materials, or components that are manufactured, assembled, or fabricated in Nebraska and that are not described in subdivision (a) or (b) of this subdivision.

Such payments need not be made directly from power purchase agreement revenue and may be made from other funds in advance of receiving power purchase agreement revenue; and

(5) Qualified owner means:

(a) A Nebraska resident;

(b) A limited liability company that is organized under the Nebraska Uniform Limited Liability Company Act and that is made up of members who are Nebraska residents;

(c) A Nebraska nonprofit corporation organized under the Nebraska Nonprofit Corporation Act;

(d) A public power district, a public power and irrigation district, a municipality, a registered group of municipalities, an electric cooperative, or an electric membership association, except that qualified ownership in a single C-BED project is limited to no more than:

(i) Fifteen percent either directly or indirectly by a single electric supplier; and

(ii) A combined total of twenty-five percent either directly or indirectly by multiple electric suppliers;

(e) A tribal council;

(f) A domestic corporation organized in Nebraska under the Business Corporation Act or the Nebraska Model Business Corporation Act and domiciled in Nebraska; or

(g) A cooperative corporation organized under sections 21-1301 to 21-1306 and domiciled in Nebraska.

Source:Laws 2007, LB629, § 3;    Laws 2008, LB916, § 1;    Laws 2009, LB561, § 3;    Laws 2010, LB888, § 102;    Laws 2013, LB283, § 4;    Laws 2014, LB402, § 1;    Laws 2015, LB35, § 11;    Laws 2015, LB412, § 1;    Laws 2016, LB736, § 1;    Laws 2016, LB824, § 13.    
Effective Date: July 21, 2016


Note: The Revisor of Statutes has pursuant to section 49-769 correlated LB736, section 1, with LB824, section 13, to reflect all amendments.


Cross References

70-1904. C-BED project developer; electric supplier; negotiation; power purchase agreement; development of project; restriction on transfer; eligibility for net energy billing; approval or certification; notice of change in ownership.

(1) A C-BED project developer and an electric supplier are authorized to negotiate in good faith mutually agreeable power purchase agreement terms.

(2) A qualified owner or any combination of qualified owners may develop a C-BED project with an equity partner that is not a qualified owner.

(3) Except for an inherited interest, the transfer of the interest of a qualified owner in a C-BED project to any person other than another qualified owner or other qualified owners is prohibited during the initial ten years of the power purchase agreement.

(4) A C-BED project that is operating under a power purchase agreement is not eligible for any applicable net energy billing.

(5) A C-BED project shall be subject to approval by the Nebraska Power Review Board in accordance with Chapter 70, article 10, or shall receive certification as a qualifying facility in accordance with the federal Public Utility Regulatory Policies Act of 1978, 16 U.S.C. 2601 et seq., with written notice of such certification provided to the Nebraska Power Review Board.

(6) A C-BED project developer shall notify any electric supplier that has a power purchase agreement with the C-BED project if there is a change in project ownership which makes the project no longer eligible as a C-BED project.

Source:Laws 2007, LB629, § 4;    Laws 2008, LB916, § 2;    Laws 2009, LB561, § 4;    Laws 2014, LB402, § 2;    Laws 2016, LB736, § 2.    
Effective Date: July 21, 2016


70-1905. Electric supplier; duties.

An electric supplier shall:

(1) Consider mechanisms to encourage the aggregation of C-BED projects located in the same general geographical area; and

(2) Require any qualified owner to provide sufficient security to assure performance under the power purchase agreement.

Source:Laws 2007, LB629, § 5;    Laws 2008, LB916, § 3;    Laws 2016, LB736, § 3.    
Effective Date: July 21, 2016


70-1906. Construction of new renewable generation facilities; electric supplier; governing body; duties.

The governing body of an electric supplier that has determined a need to construct new renewable generation facilities shall take reasonable steps to determine if one or more C-BED projects are available and are technically, economically, and operationally feasible to provide some or all of the identified generation need.

Source:Laws 2007, LB629, § 6;    Laws 2016, LB736, § 4.    
Effective Date: July 21, 2016


70-1907. C-BED project developer; provide notices.

To the extent feasible, a C-BED project developer shall provide, in writing, notice of incentives pursuant to the Rural Community-Based Energy Development Act for local ownership and local participation in a C-BED project to each property owner on whose property a turbine will be located and to the elected governing body of each municipality or political subdivision in which a turbine will be located.

Source:Laws 2007, LB629, § 7;    Laws 2008, LB916, § 4;    Laws 2015, LB412, § 2.    


70-1908. Sections; how construed.

Nothing in sections 70-1901 to 70-1907 shall be construed to obligate an electric supplier to enter into a power purchase agreement under a C-BED project.

Source:Laws 2007, LB629, § 8;    Laws 2016, LB736, § 5.    
Effective Date: July 21, 2016


70-1909. Electric supplier; limit on eminent domain.

An electric supplier as defined in section 70-1001.01 may agree to limit its exercise of the power of eminent domain to acquire a C-BED project and any related facilities if such electric supplier enters into a contract to purchase output from such C-BED project for a term of ten years or more.

Source:Laws 2007, LB629, § 9;    Laws 2014, LB402, § 3.    


70-2001. Legislative findings.

The Legislature finds that it is in the public interest to:

(1) Encourage customer-owned renewable energy resources;

(2) Stimulate the economic growth of this state;

(3) Encourage diversification of the energy resources used in this state; and

(4) Maintain low-cost, reliable electric service.

Source:Laws 2009, LB436, § 1.    


70-2002. Terms, defined.

For purposes of sections 70-2001 to 70-2005:

(1) Customer-generator means an end-use electricity customer that generates electricity on the customer's side of the meter from a qualified facility;

(2) Interconnection agreement means an agreement between a local distribution utility and a customer-generator that establishes the financial, interconnection, safety, performance, and reliability requirements relating to the installation and operation of a qualified facility in accordance with the standards prescribed in sections 70-2001 to 70-2005;

(3) Local distribution system means the equipment and facilities used for the distribution of electric energy to the end-use electricity customer;

(4) Local distribution utility means the owner or operator of the local distribution system;

(5) Net excess generation means the net amount of energy, if any, by which the output of a qualified facility exceeds a customer-generator's total electricity requirements during a billing period;

(6) Net metering means a system of metering electricity in which a local distribution utility:

(a) Credits a customer-generator at the applicable retail rate for each kilowatt-hour produced by a qualified facility during a billing period up to the total of the customer-generator's electricity requirements during that billing period. A customer-generator may be charged a minimum monthly fee that is the same as other noncustomer-generators in the same rate class but shall not be charged any additional standby, capacity, demand, interconnection, or other fee or charge; and

(b) Compensates the customer-generator for net excess generation during the billing period at a rate equal to the local distribution utility's avoided cost of electric supply over the billing period. The monetary credits shall be applied to the bills of the customer-generator for the preceding billing period and shall offset the cost of energy owed by the customer-generator. If the energy portion of the customer-generator's bill is less than zero in any month, monetary credits shall be carried over to future bills of the customer-generator until the balance is zero. At the end of each annualized period, any excess monetary credits shall be paid out to coincide with the final bill of that period; and

(7) Qualified facility means a facility for the production of electrical energy that:

(a) Uses as its energy source either methane, wind, solar resources, biomass, hydropower resources, or geothermal resources;

(b) Is controlled by the customer-generator and is located on premises owned, leased, or otherwise controlled by the customer-generator;

(c) Interconnects and operates in parallel with the local distribution system;

(d) Is intended to meet or offset the customer-generator's requirements for electricity;

(e) Is not intended to offset or provide credits for electricity consumption at another location owned, operated, leased, or otherwise controlled by the customer-generator or for any other customer;

(f) Has a rated capacity at or below twenty-five kilowatts;

(g) Meets all applicable safety, performance, interconnection, and reliability standards established by the National Electrical Code filed with the Secretary of State and adopted by the State Electrical Board under subdivision (5) of section 81-2104, the National Electrical Safety Code, the Institute of Electrical and Electronics Engineers, and the Underwriters Laboratories, Inc.; and

(h) Is equipped to automatically isolate the qualified facility from the electrical system in the event of an electrical power outage or other conditions where the line is de-energized.

Source:Laws 2009, LB436, § 2.    


70-2003. Local distribution utility; interconnect qualified facility of customer-generator; interconnection agreement; requirements; powers and duties.

(1) A local distribution utility shall interconnect the qualified facility of any customer-generator that enters into an interconnection agreement with the local distribution utility, satisfies the requirements for a qualified facility and all other requirements of sections 70-2001 to 70-2005, and pays for costs incurred by the local distribution utility for equipment or services required for interconnection that would not be necessary if the qualified facility were not interconnected to the local distribution system, except as provided in subsection (2) of this section and as may be provided for in the utility's aid in construction policy.

(2) A local distribution utility shall provide at no additional cost to any customer-generator with a qualified facility a metering system that is capable of measuring the flow of electricity in both directions and may be accomplished through use of a single, bidirectional electric revenue meter that has only a single register for billing purposes, a smart metering system, or another meter configuration that can easily be read by the customer-generator.

(3) A local distribution utility may, at its own expense, install additional monitoring equipment to separately monitor the flow of electricity in each direction as may be necessary to accomplish the reporting requirements of sections 70-2001 to 70-2005.

(4) Subject to the requirements of sections 70-2001 to 70-2005 and the interconnection agreement, a local distribution utility shall provide net metering to any customer-generator with a qualified facility. The local distribution utility shall allow a customer-generator's retail electricity consumption to be offset by a qualified facility that is interconnected with the local distribution system. A qualified facility's net excess generation during a billing period, if any, shall be determined by the local distribution utility in accordance with section 70-2002 and shall be credited to the customer-generator at a rate equal to the local distribution utility's avoided cost of electricity supply during the billing period, and the monetary credits shall be carried forward from billing period to billing period and credited against the customer-generator's retail electric bills in subsequent billing periods. Any excess monetary credits shall be paid out to coincide with the final bill at the end of each annualized period or within sixty days after the date the customer-generator terminates its retail service.

(5) A local distribution utility shall not be required to provide net metering to additional customer-generators, regardless of the output of the proposed generation unit, after the date during a calendar year on which the total generating capacity of all customer-generators using net metering served by such local distribution utility is equal to or exceeds one percent of the capacity necessary to meet the local distribution utility's average aggregate customer monthly peak demand forecast for that calendar year.

(6) No local distribution utility may require a customer-generator whose qualified facility meets the standards established under sections 70-2001 to 70-2005 to:

(a) Comply with additional safety or performance standards or pay additional charges for equipment or services for interconnection that are additional to those necessary to meet the standards established under sections 70-2001 to 70-2005;

(b) Perform or pay for additional tests; or

(c) Purchase additional liability insurance if all safety and interconnection requirements are met.

(7) Nothing in sections 70-2001 to 70-2005 prevents a local distribution utility from entering into other arrangements with customers desiring to install electric generating equipment or from providing net metering to customer-generators having renewable generation units with a rated capacity above twenty-five kilowatts.

Source:Laws 2009, LB436, § 3.    


70-2004. Customer-generator; inspection required; notice to local distribution utility; ownership of credits.

(1) A customer-generator shall request an inspection from the State Electrical Division pursuant to subsection (1) of section 81-2124 or subsection (1) of section 81-2125 and shall provide documentation of the completed inspection to the local distribution utility prior to interconnection with the local distribution system.

(2) A customer-generator is responsible for notifying the local distribution utility of its intent to install a qualified facility at least sixty days prior to its installation and is responsible for all costs associated with the qualified facility.

(3) A local distribution utility shall not be required to interconnect with a qualified facility that fails to meet or maintain the local distribution utility's requirements for safety, reliability, and interconnection.

(4) A customer-generator owns the renewable energy credits of the electricity its qualified facility generates.

Source:Laws 2009, LB436, § 4.    


70-2005. Annual net metering report; contents.

Beginning March 1, 2010, and on each March 1 thereafter, each local distribution utility shall produce and publish on its web site, or if no web site is available, in its main office, and provide to the Nebraska Power Review Board an annual net metering report that shall include the following information:

(1) The total number of qualified facilities;

(2) The total estimated rated generating capacity of qualified facilities;

(3) The total estimated net kilowatt-hours received from customer-generators; and

(4) The total estimated amount of energy produced by the customer-generators.

Source:Laws 2009, LB436, § 5.    


70-2101. Act, how cited.

Sections 70-2101 to 70-2105 shall be known and may be cited as the Public Power Infrastructure Protection Act.

Source:Laws 2009, LB238, § 3.    


70-2102. Legislative findings.

The Legislature finds that the public has an interest in the uninterrupted generation and transmission of electricity by public power suppliers in this state. The Legislature finds that it is in the public interest to protect facilities and infrastructure used in the generation, transmission, and distribution of electricity from damage as a result of knowingly unlawful and malicious acts.

Source:Laws 2009, LB238, § 4.    


70-2103. Public power supplier, defined.

For purposes of the Public Power Infrastructure Protection Act, public power supplier means a public power district organized under Chapter 70, article 6, a public power and irrigation district, a municipality, a registered group of municipalities, an electric cooperative, an electric membership association, a joint entity formed under the Interlocal Cooperation Act, a joint public agency formed under the Joint Public Agency Act, an agency formed under the Municipal Cooperative Financing Act, or any other governmental entity providing electric service.

Source:Laws 2009, LB238, § 5.    


Cross References

70-2104. Prohibited acts; penalty.

A person shall be guilty of a Class IV felony if he or she willfully and maliciously:

(1) Damages, injures, or destroys or attempts to damage, injure, or destroy:

(a) Any machine, appliance, facility, or apparatus owned by a public power supplier that is used for generating electricity; or

(b) Any facility or electric wire owned by a public power supplier that is used for the purpose of conducting, transforming, transmitting, or distributing electricity or any pole, bracket, insulator, or other appliance or apparatus owned by a public power supplier that supports or carries any electric wire owned by a public power supplier; or

(2) Does any act for the purpose of interrupting the generation, transmission, or distribution of electricity by a public power supplier.

Source:Laws 2009, LB238, § 6.    


70-2105. Nuclear electrical generating facility; nuclear fuel; prohibited acts; penalty.

(1) A person shall be guilty of a Class II felony if he or she willfully and maliciously (a) destroys or causes or attempts to cause damage or loss to a nuclear electrical generating facility or its components, including the electrical transmission lines or switching equipment used in direct connection with such a facility, or (b) takes, steals and carries away, or removes, alters, or otherwise renders unusable or unsafe the spent or unspent nuclear fuel used or stored in a nuclear electrical generating facility or nuclear storage facility.

(2) This section shall be construed to cover acts and omissions of persons employed at such nuclear facilities, persons otherwise rightfully upon the premises of such nuclear facilities, and all other persons. This section does not apply to acts or omissions carried out in accordance with official rules or directives relating to plant operation or within the scope of responsibility of judgment delegated to persons employed at such nuclear facilities.

Source:Laws 2009, LB238, § 7.