There has been established and shall be maintained in this state an institution under the name and style of the University of Nebraska.

The object of the University of Nebraska shall be to afford to the inhabitants of this state the means of acquiring a thorough knowledge of the various branches of literature, science and arts.

The University of Nebraska shall be composed of a chief governing administrative unit, four universities which shall be the University of Nebraska-Lincoln, the University of Nebraska at Omaha, the University of Nebraska at Kearney, and the University of Nebraska Medical Center, and such other institutions and units as may be designated by the Legislature.

(1) The University of Nebraska-Lincoln shall have responsibility for operating comprehensive programs of undergraduate instruction and primary responsibility, except in the health-related disciplines, for operating comprehensive programs of graduate, postgraduate, and professional instruction, research, and public service as authorized by the Board of Regents of the University of Nebraska consistent with the role and mission assignments provided in Chapter 85, article 9.

(2) The University of Nebraska at Omaha shall have responsibility for operating general programs of undergraduate instruction and programs of graduate instruction, research, and public service as authorized by the Board of Regents consistent with the role and mission assignments provided in Chapter 85, article 9.

(3) The University of Nebraska at Kearney shall have responsibility for operating general programs of undergraduate instruction and programs of graduate instruction, research, and public service as authorized by the Board of Regents consistent with and limited by the role and mission assignments provided in Chapter 85, article 9.

(4) The University of Nebraska Medical Center shall have primary responsibility in the health-related disciplines for operating programs of undergraduate instruction and comprehensive programs of graduate, postgraduate, and professional instruction, research, and public service as authorized by the Board of Regents consistent with the role and mission assignments provided in Chapter 85, article 9.

The general government of the University of Nebraska shall be vested in a board of eight regents elected from districts as provided in section 32-510. Vacancies occurring in the board shall be filled as provided in section 32-573.

(1) For the purpose of section 85-103, the state is divided into eight districts. Each district shall be entitled to one regent on the board.

(2) The numbers and boundaries of the districts are designated and established by maps identified and labeled as maps REG21-39003, REG21-39003-1, REG21-39003-2, REG21-39003-3, REG21-39003-4, REG21-39003-5, REG21-39003-6, REG21-39003-7, and REG21-39003-8, filed with the Clerk of the Legislature, and incorporated by reference as part of Laws 2021, LB8, One Hundred Seventh Legislature, First Special Session.

(3)(a) The Clerk of the Legislature shall transfer possession of the maps referred to in subsection (2) of this section to the Secretary of State on October 1, 2021.

(b) When questions of interpretation of district boundaries arise, the maps referred to in subsection (2) of this section in possession of the Secretary of State shall serve as the indication of the legislative intent in drawing the district boundaries.

(c) Each election commissioner or county clerk shall obtain copies of the maps referred to in subsection (2) of this section for the election commissioner's or clerk's county from the Secretary of State.

(d) The Secretary of State shall also have available for viewing on his or her website the maps referred to in subsection (2) of this section identifying the boundaries for the districts.

For purposes of section 85-103.01, the Legislature adopts the official population figures and maps from the 2020 Census Redistricting (Public Law 94-171) TIGER/Line Shapefiles published by the United States Department of Commerce, Bureau of the Census.

All meetings of the Board of Regents shall be open to the public. The board may hold closed sessions in accordance with the Open Meetings Act. Public record shall be made and kept of all meetings and proceedings of the board. The regents shall meet at least twice each year at the administration building. They shall receive for their services no compensation, but they may be reimbursed for expenses incurred in the performance of their official duties as provided in sections 81-1174 to 81-1177.

The Board of Regents shall have full power to appoint its own presiding officer and secretary. It shall constitute a body corporate, to be known as the Board of Regents of the University of Nebraska, and as such may sue and be sued and may make and use a common seal and alter the same at pleasure. It may acquire real and personal property for the use of the university and may dispose of the same whenever the university can be benefited thereby, except that it shall never dispose of grounds upon which a building of the university having a market value in excess of one million dollars is located without the consent of the Legislature.

The Board of Regents shall have the power:

(1) To enact laws for the government of the university;

(2) To elect a president, vice presidents, chancellors, vice chancellors, deans, associate deans, assistant deans, directors, associate directors, assistant directors, professors, associate professors, assistant professors, instructors, other members of the faculty staff, and employees generally of the university and to provide for academic tenure for professors, associate professors, and assistant professors;

(3) To prescribe the duties of such persons not inconsistent with section 85-1,105;

(4) To fix their compensation;

(5) To provide, in its discretion, retirement benefits for present and future employees of the university, subject to the following:

(a) The cost of such retirement benefits shall be funded in accordance with sound actuarial principles with the necessary contributions for both past service and future service being treated in the university budget in the same way as any other operating expense;

(b) The university contribution under any such retirement plan shall be (i) the rate established by the Board of Regents and not more than eight percent of each university employee's full-time salary or wage earnings for any calendar year before any agreement for reduction of salary or wage earnings and (ii) pursuant to an agreement for reduction of salary or wage earnings, the amount of the reduction of salary or wage earnings;

(c) Each employee's contribution shall be the rate established by the Board of Regents and shall not be required to exceed the university's contribution under subdivision (5)(b)(i) of this section, except that in lieu of making such contribution, each such employee may enter into an agreement for reduction of salary or wages for the purchase by the Board of Regents of annuity contracts for such employee, under the provisions of the Internal Revenue Code, but the amount of the reduction of salary or wages allowable under this subdivision may not include credit for service prior to March 29, 1972;

(d) The retirement benefits of any employee for service prior to September 1, 1961, shall be those provided under the retirement plan then in force, which benefits shall not be abridged, except that such retirement benefits shall become fully vested in the event of an employee's termination of employment if such employee has at least ten years of service at the date of termination;

(e) Continued contributions to the system until the date of retirement as provided in section 85-606; and

(f) The investment of retirement funds shall be pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act, but no change in the type of investment of such funds shall be made without the prior approval of the Board of Regents;

(6) To equalize and provide for uniform benefits for all present and future employees, including group life insurance, group hospital-medical insurance, group long-term disability income insurance, and retirement benefits;

(7) To provide, through the University Extension Division, for the holding of classes at various localities throughout the state avoiding unnecessary duplication of courses offered by other educational institutions in such localities and consistent with the orders of the Coordinating Commission for Postsecondary Education issued pursuant to sections 85-1413 and 85-1414;

(8) To remove the president, vice presidents, chancellors, vice chancellors, deans, associate deans, assistant deans, directors, associate directors, assistant directors, professors, associate professors, assistant professors, instructors, other members of the faculty staff, and employees generally, when the interests of the university require it; and

(9) To pay expenses for recruitment of academic, administrative, professional, and managerial personnel.

The Board of Regents shall institute a continuing program of preventive maintenance and a program of deferred maintenance consistent with the provisions of the Deferred Building Renewal Act and shall consult with the Nebraska Arts Council and acquire works of art for the original construction of any public building under its supervision consistent with sections 82-317 to 82-329 and 85-106.01 to 85-106.03.

After January 1, 1979, at least one percent of any appropriation for the original construction of any public building under the supervision of the Board of Regents of the University of Nebraska shall be spent for the acquisition of works of art. The works of art may be an integral part of the structure, attached to the structure, detached within or outside of the structure, or may be exhibited by the Board of Regents of the University of Nebraska in other public facilities.

The Board of Regents of the University of Nebraska, in consultation with the Nebraska Arts Council, shall determine the amount of money to be made available for the purchases of art for each project under its supervision. The selection of, commissioning of artists for, reviewing of design, execution and placement of, and the acceptance of works of art for each project shall be the responsibility of the Board of Regents in consultation with the Nebraska Arts Council.

The Board of Regents shall inform the Director of Administrative Services that sections 82-317 to 82-329, 85-106 to 85-106.03, and 85-304 to 85-304.03 have been complied with for projects under its supervision before a warrant may be issued for payment.

Commencing on July 22, 1978, to reflect changes in the cost of living and wage levels that have occurred subsequent to the date of retirement of certain persons of the University of Nebraska who have earned retirement benefits while in the employ of the University of Nebraska prior to September 1, 1961, and who have retired prior to July 22, 1978:

(1) The total accumulation of retirement benefits earned under the retirement plan in force prior to September 1, 1961, shall be adjusted by the percentage of increase in the employer's wage levels which shall mean the average of salaries paid for the nine-month academic year to employees from the year of each person's retirement to the fiscal year ending June 30, 1977, which total, as adjusted, shall then be the total accumulation of retirement benefits prior to September 1, 1961; and

(2) The two thousand four hundred dollar maximum benefits provision under the university retirement plan in effect prior to September 1, 1961, shall be removed.

The Board of Regents of the University of Nebraska shall establish an insurance program which provides coverage to student athletes for personal injuries or accidental death while participating in university-organized play or practice in an intercollegiate athletic event. Such insurance program shall include, but not be limited to, the following coverages:

(1) All reasonable and necessary hospital, medical, and surgical services for a period of six years after the date of injury up to a maximum amount of one million dollars;

(2) For any total disability lasting longer than one year from the date of injury and which prevents further participation by the student in intercollegiate athletics, a minimum annuity of two thousand dollars per month to be paid to the disabled person beginning one year after the date of injury and continuing thereafter during the period of total disability, but not beyond six years from the date of injury;

(3) For any permanent and total disability, a minimum annuity of three thousand dollars per month to be paid to the disabled person beginning six years after the date of injury and continuing thereafter during the period of total disability;

(4) For any permanent partial disability when there is at least a seventy percent loss of use of a limb and when the student is unable to further participate in intercollegiate athletics, the plan shall provide for payment of a lump-sum benefit in the minimum amount of ten thousand dollars one year after the date of injury; and

(5) For accidental death or dismemberment while participating in university-organized play or practice in an intercollegiate athletic event, the plan shall provide for payment of a lump-sum benefit in the minimum amount of one hundred thousand dollars.

Such insurance program may include self-insurance by the University of Nebraska of any risk or deductible amount specified by the Board of Regents and, with respect to hospital, medical, and surgical services, may be coordinated with any other valid and collectible insurance providing coverage for a student athlete outside of the university's insurance program so that accident and health coverage is provided by the University of Nebraska without duplication of any such outside insurance coverage.

(1) The chief executive officer of the University of Nebraska shall be appointed by the Board of Regents using the enhanced public scrutiny process in subsection (3) of this section, hold office at the pleasure of the board, and receive such compensation as the board may prescribe.

(2) The University of Nebraska-Lincoln, the University of Nebraska at Omaha, the University of Nebraska at Kearney, the University of Nebraska Medical Center, and any other postsecondary educational institution designated by the Legislature to be a part of the University of Nebraska shall be governed by the Board of Regents, and each shall be managed and administered in the manner prescribed by the board. The chief administrative officer of each such postsecondary educational institution shall be appointed, hold office, and be compensated as prescribed by the Board of Regents. The appointment shall be made using the enhanced public scrutiny process in subsection (4) of this section.

(3)(a) The Board of Regents shall provide public notice of a priority candidate for the position of chief executive officer of the University of Nebraska to be appointed pursuant to subsection (1) of this section. The public notice shall be provided at least thirty days before the date of the public meeting of the Board of Regents at which a final action or vote is to be taken on the employment of the priority candidate. The Board of Regents shall make available the employment application, resume, reference letters, and school transcripts related to the priority candidate prior to or at the time of providing such public notice.

(b) Prior to such public meeting and after the notice is provided, the Board of Regents shall provide a public forum at each campus of the University of Nebraska for the priority candidate for the position of chief executive officer to provide the public, including the media and students, faculty, and staff of the University of Nebraska, with an opportunity to meet and ask questions or provide input regarding the priority candidate.

(4)(a) The chief executive officer of the University of Nebraska shall provide public notice of a priority candidate for a position appointed pursuant to subsection (2) of this section. The chief executive officer shall not make a final appointment for any such position until at least thirty days have elapsed after the notice is provided. The chief executive officer shall make available the employment application, resume, reference letters, and school transcripts related to the priority candidate prior to or at the time of providing such public notice.

(b) The chief executive officer shall, within such thirty-day period, provide a public forum at the applicable campus of the University of Nebraska for the priority candidate for a position appointed pursuant to subsection (2) of this section to provide the public, including the media and students, faculty, and staff of the University of Nebraska, with an opportunity to meet and ask questions or provide input regarding the priority candidate.

(5) For purposes of this section, priority candidate means an individual preliminarily selected to fill a vacancy in a position appointed pursuant to subsection (1) of this section subject to a final vote of the Board of Regents or to fill a vacancy in a position appointed pursuant to subsection (2) of this section.

(1) The University of Nebraska may embrace the colleges and institute listed in this section and any other colleges and institutes as may be established by the Board of Regents of the University of Nebraska with the approval of the Coordinating Commission for Postsecondary Education.

(2) The colleges and institute of the University of Nebraska-Lincoln shall be as follows:

(a) Architecture;

(b) Arts and Sciences;

(c) Business Administration;

(d) Engineering and Technology;

(e) Home Economics;

(f) Journalism;

(g) Law;

(h) Teachers; and

(i) University of Nebraska Institute of Agriculture and Natural Resources which shall embrace divisions and administrative units as provided in section 85-1,104.

(3) The colleges of the University of Nebraska at Omaha shall be as follows:

(a) Arts and Sciences;

(b) Business Administration;

(c) Continuing Studies;

(d) Education;

(e) Fine Arts; and

(f) Public Affairs and Community Service.

(4) The colleges of the University of Nebraska at Kearney shall be as follows:

(a) Business and Technology;

(b) Education;

(c) Fine Arts and Humanities; and

(d) Natural and Social Sciences.

(5) The colleges of the University of Nebraska Medical Center shall be as follows:

(a) Dentistry;

(b) Medicine;

(c) Nursing; and

(d) Pharmacy.

(6) In addition to the colleges and institute listed in this section, there shall be a graduate college which shall exist and be administered as a university-wide college.

(7) Nothing contained in this section shall be construed to limit the authority of the Board of Regents of the University of Nebraska to (a) merge existing colleges established on a campus level into systemwide administrative units, (b) merge or eliminate existing colleges established on a campus level, or (c) merge or eliminate divisions and administrative units of the University of Nebraska Institute of Agriculture and Natural Resources.

The immediate government of each college shall be by its own faculty, which shall consist of the professors therein, but no program of instruction shall be adopted without approval of the program in the manner prescribed by the Board of Regents.

The Board of Regents shall be empowered to establish in these several colleges such chairs of instruction as may be proper, and so many of them as the funds of the university may allow. It is also authorized to require professors to perform duties in more than one of the several colleges whenever the board shall deem it wise and proper so to do.

The Board of Regents of the University of Nebraska shall enter into a memorandum of understanding on or before September 1, 2010, with the State Board of Education to adopt a policy to share student data. At a minimum, the policy shall ensure that the exchange of information is conducted in conformance with the requirements of the federal Family Educational Rights and Privacy Act of 1974, as amended, 20 U.S.C. 1232g, and all federal regulations and applicable guidelines adopted in accordance with such act, as such act, regulations, and guidelines existed on January 1, 2010.

The Board of Regents shall make, from time to time, such rules and regulations as it deems wise governing the duties of members of the several faculties of the university in respect to scientific, economic or other problems of general or special interest to the people of the state. All money which may be appropriated by the Legislature for any purpose involving the cooperation of the university staffs of instruction or experimentation shall be administered and expended under the direction and control of the board in the manner now provided by law for expenditure of university funds generally.

Students seeking admission to any postsecondary educational institution governed by the Board of Regents or to any college or school of any such institution shall, precedent to admission, complete such requirements as may be prescribed or authorized by the Board of Regents.

The Board of Regents shall provide a rule for attendance upon the agricultural college and civil engineering and scientific courses by persons whose employments are such as to allow of their pursuit of study only a portion of the year.

The Board of Regents shall procure and have available for sale all textbooks to be used by students in the university, and shall sell them to students at a fair price, not exceeding the list price thereof.

No person shall be deprived of the privileges of this institution because of age, sex, color or nationality.

The Board of Regents shall have exclusive authority to confer degrees and grant diplomas, but each college may, in its discretion, grant rewards of merit to its own students. No student upon graduation shall receive any diploma or degree unless he shall have been recommended for such honor by the faculty of the college in which he shall have pursued his studies. The board shall also have power to confer the usual honorary degrees upon other persons in recognition of their learning or devotion to literature, science, or art; but no degree shall be conferred in consideration of the payment of money or other valuable thing.

No superstructural work upon any building for the university shall be commenced until the designs and plans therefor shall have been approved in the manner prescribed by the Board of Regents.

The Board of Regents of the University of Nebraska approved the creation of the Nebraska Innovation Campus in 2009. The objective of the Nebraska Innovation Campus is to leverage the research and talent of the University of Nebraska to produce economic development for the State of Nebraska. The Board of Regents subsequently created the Nebraska Innovation Campus Development Corporation whose function is to provide strategic direction and oversight over the development of the Nebraska Innovation Campus.

The Legislature finds that innovation is increasingly important in the creation of new companies and the success of established ones. The Legislature acknowledges the importance of achieving the objective of the Nebraska Innovation Campus which will require a long-term strategy and may require continuing state support.

The Legislature determines that quantifiable measurements and benchmarks are required to track and evaluate the performance of the Nebraska Innovation Campus and its development corporation.

The following measurements regarding the Nebraska Innovation Campus shall be reported to the Legislature by the Board of Regents, to the extent the information is not confidential information of a private sector company:

(1) The percentage of investments by the state and university compared to private sector investments;

(2) The number of square feet of construction;

(3) The number of private sector companies located on Nebraska Innovation Campus;

(4) The number of private sector jobs located on Nebraska Innovation Campus;

(5) The amount of private sector research funding to the university attributable to Nebraska Innovation Campus;

(6) The number of internships or other employment opportunities provided by private sector companies at Nebraska Innovation Campus to university students;

(7) The percentage of facilities leased by private sector companies;

(8) The number of new businesses started or supported at Nebraska Innovation Campus;

(9) The number of conferences and participants at Nebraska Innovation Campus; and

(10) The background and credentials of the appointments to the Nebraska Innovation Campus Development Corporation Board of Directors.

The report shall be submitted electronically to the Clerk of the Legislature by December 1 of each year.

State land set aside by the Governor for a model farm as a part of the University of Nebraska Institute of Agriculture and Natural Resources shall not be disposed of for any other purpose.

For the furtherance and promotion of agriculture and stockraising interests of this state, a technical college of agriculture is hereby established near the town of Curtis in Frontier County, Nebraska. Such college shall be maintained under the conditions prescribed in this section and sections 85-121.03 and 85-121.04 and shall be known as the Nebraska College of Technical Agriculture at Curtis. Such college of agriculture shall be under the control and management of the Board of Regents of the University of Nebraska.

The Nebraska College of Technical Agriculture at Curtis shall be devoted to a statewide mission of instruction relating to food and agriculture at less than the baccalaureate degree, with concentration on the applied associate degree. The program shall be organized to provide expedient response to the changes needed in technical education to serve the agricultural industry of the state.

The Legislature shall appropriate from the General Fund the money necessary to carry out the duties and programs of the Nebraska College of Technical Agriculture at Curtis. The appropriation shall be made to the Board of Regents of the University of Nebraska for the sole purpose of maintaining the duties, programs, and facilities of such college.

The Nebraska College of Technical Agriculture at Curtis or any educational program of such college shall be subject to program review pursuant to the Coordinating Commission for Postsecondary Education Act.

The several funds for the support of the university shall be constituted and designated as follows: (1) The Permanent Endowment Fund; (2) the Temporary University Fund; (3) the University Cash Fund; (4) the United States Morrill Fund; (5) the United States Experiment Station Fund; (6) the University Trust Fund; (7) the United States Agricultural Extension Fund; (8) the Veterinary School Fund; (9) the University of Nebraska at Omaha Cash Fund; (10) the University of Nebraska at Omaha Trust Fund; (11) the University of Nebraska at Kearney Cash Fund; (12) the University of Nebraska at Kearney Trust Fund; (13) the Agricultural Field Laboratory Fund; (14) the Animal Research and Diagnosis Revolving Fund; (15) the University Facility Improvement Fund; (16) the University of Nebraska Eppley Science Hall Construction Fund; and (17) the University Facilities Fund. No portion of the funds designated above derived from taxation shall be disbursed for mileage or other traveling expenses except as authorized by sections 81-1174 to 81-1177. No expenditures shall be made for or on behalf of the School of Veterinary Medicine and Surgery except from money appropriated to the Veterinary School Fund. Any money in the funds designated in this section 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 except as provided in sections 85-123.01, 85-125, 85-192, and 85-1,123.

The United States Agricultural Extension Fund shall consist of all money which may come into the possession of the State Treasurer for use or expenditure by the University of Nebraska by reason of any laws, now existing or subsequently enacted by the United States, whereby money is appropriated to or provided for agricultural extension purposes. The agricultural extension fund when appropriated by the Legislature shall be applied exclusively to the uses and objects designated by any laws now existing or subsequently enacted by the United States relative thereto. It shall at all times be subject to the orders of the Board of Regents for expenditure for said uses only.

The Permanent Endowment Fund shall be kept in two accounts: In the first account, all money derived as principal from the sale of lands donated to the state by the United States to establish and endow a state university under the Act of Congress of April 19, 1864; and in the second account, all money derived as principal from the sale of lands donated to the state by the United States, to provide colleges for the benefit of agriculture and the mechanic arts, by an Act of Congress approved July 2, 1862. All such money derived from federal grants shall be invested in the manner provided by law for the investment of the permanent school fund of the state, in the same kind of securities, and by the same officers charged with that duty, in accordance with the provisions of section 72-202 as may from time to time be amended by the Legislature. All money acquired by the Board of Regents of the University of Nebraska by donation or bequest to it, including money derived as principal from the sale of lands or other property so acquired or so derived, shall belong to the University Trust Fund and be administered in accordance with the provisions of section 85-123.01. The Permanent Endowment Fund shall never be appropriated by the Legislature nor be expended for any purpose whatsoever.

(1) The University Trust Fund shall consist of all property, real or personal, acquired by the Board of Regents of the University of Nebraska by donation or bequest to it, including money derived as principal from the sale of land or other property so acquired or derived.

(2) The University Trust Fund shall be held, managed, and invested in such manner as directed by the Board of Regents of the University of Nebraska. No money in the fund shall be held, managed, or invested by the State Treasurer or the state investment officer pursuant to the Nebraska Capital Expansion Act or the Nebraska State Funds Investment Act.

The Temporary University Fund shall consist of (1) the proceeds of investments of the permanent fund; (2) the rental of the university and agricultural college lands leased, and the interest upon deferred payments on sales of the lands aforesaid; (3) the rentals or income of lands or other property donated without particular objects or uses being specified; and (4) such sums as may be from time to time appropriated to the use of the university. All money accruing to this fund is hereby appropriated for the maintenance of the university, including buildings and permanent improvements, and the same may be applied by the Board of Regents to any and all university needs except the income from donations made for particular purposes, which income shall be used and applied as hereinbefore specified only.

The University Cash Fund shall consist of the matriculation and diploma fees, registration fees, laboratory fees, tuition fees, summer session or school fees, all other money or fees collected from students by the authority of the Board of Regents for university purposes, and receipts from all university activities collected by the board in connection with the operation of the university. A record shall be kept by the board separating such money into appropriate and convenient accounts. All money and funds accruing to the University Cash Fund shall be used for the maintenance and operation of the university and its activities and shall at all times be subject to the orders of the Board of Regents accordingly. The fund shall be in the custody of the State Treasurer, and any money in the 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, except that there may be retained by the Board of Regents a sum not to exceed two percent of the fund, which shall be available to make settlement and equitable adjustments to students entitled thereto, to carry on university activities contributing to the fund, and to provide for contingencies. No warrant shall be issued against such fund unless there is money in the hands of the State Treasurer sufficient to pay the same.

The United States Morrill Fund shall consist of all money appropriated by the United States to this state for its university to aid instruction, and to furnish the facilities for instruction, in certain branches in accordance with the provisions of an Act of Congress approved August 30, 1890, entitled An act to apply a portion of the proceeds of the public lands to the more complete endowment and support of the colleges for the benefit of agriculture and the mechanic arts established under the provisions of an Act of Congress approved July 2, 1862, and acts supplemental thereto. The said fund shall be applied exclusively to the uses and purposes prescribed by the Act or Acts of Congress relating thereto, and the fund is hereby appropriated accordingly, and shall at all times be subject to the orders of the Board of Regents for the purpose specified by Act of Congress only.

The United States Experiment Station Fund shall consist of (1) all money which may come into the possession of the State Treasurer on and after July 1, 1899, accruing under an Act of Congress approved March 2, 1887, entitled An act to establish agricultural experiment stations in connection with the colleges established in the several states under the provisions of an act approved July 2, 1862, and the acts supplemental thereto, and (2) all money which may hereafter be received by virtue of any Act of Congress supplemental to the agricultural experiment station act and for the same purposes. The fund is hereby appropriated to be applied exclusively to the uses and objects designated by the Act or Acts of Congress relating thereto and shall at all times be subject to the orders of the Board of Regents for expenditure for such uses only.

The State Treasurer shall be the custodian of all the funds of the university. Disbursements from the funds named in sections 85-124 to 85-127 shall be made in accordance with the provisions of law relating to the disbursement of university funds in the hands of the State Treasurer as provided by law.

The State Treasurer shall be the treasurer of the state university and the custodian of all funds donated to the university or to the Agricultural Research Division by the United States, including the Morrill, Hatch, and Adams funds, all other donations, gifts, and bequests, income from land and productive funds, fees paid by students, and all funds for the use of the university derived from any source, except (1) funds created by taxation and paid into the state treasury as taxes and (2) the University Trust Fund which shall be held and managed in the manner provided by section 85-123.01.

The university funds, other than those created by taxation, shall be held subject to the order of the Board of Regents and shall be disbursed for the purposes prescribed by law, upon presentation of warrants to the Director of Administrative Services, to be issued on certificates of the Board of Regents executed as required by law, except that no portion of such funds, not created by taxation, shall be disbursed for mileage or other traveling expenses except as provided in sections 81-1174 to 81-1177.

Disbursements from the university funds shall be made by the State Treasurer upon warrants drawn by the Director of Administrative Services who shall issue warrants upon certificates issued as authorized by the Board of Regents.

The Board of Regents may accept gifts and bequests of property subject to a reservation of the income for a stated period or for the life of the donor or the life or lives of other persons designated.

The Board of Regents of the University of Nebraska is hereby given power and authority to acquire by eminent domain lands necessary for the university. The procedure to condemn property shall be exercised in the manner set forth in sections 76-704 to 76-724.

The University of Nebraska Medical Center Medical Education Revolving Fund is hereby established to be administered by the Department of Health and Human Services. The fund shall be used to fund medical education. Any money in the 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.

Full and complete acceptance, ratification and assent is hereby made and given by the State of Nebraska to all of the provisions, terms, grants and conditions and purposes of the grants made and prescribed by the Act of Congress of the United States, entitled An act to establish agricultural experiment stations in connection with the colleges established in the several states under the provisions of an act approved July 2, 1862, and of the acts supplementary thereto.

Full and complete assent is given by the State of Nebraska to the provisions of an act of the Sixty-eighth Congress of the United States, Second Session, House Roll No. 157, Calendar No. 1226, approved February 24, 1925, and entitled "An act to authorize the more complete endowment of the agricultural experiment stations, and for other purposes." The University of Nebraska is designated to receive the benefits of said act and to conduct the work and experiments in accordance with said act. The Board of Regents of the university is empowered to receive the grants under the provisions of said act, and is directed to conduct the work and experiments, and make the reports as required by the provisions of said act.

Full and complete acceptance, ratification and assent is made and given by the State of Nebraska to all and every of the grants, purposes, terms and conditions set forth in an Act of the Congress of the United States, approved August 30, 1890, entitled An act to apply a portion of the proceeds of the public lands to the more complete endowment and support of the colleges for the benefit of agriculture and the mechanic arts, established under the provisions of an Act of Congress, approved July 2, 1862.

All money received by the State Treasurer, or other state officer, in pursuance and by virtue of the said Act of Congress, is specifically appropriated and set apart solely for the more complete endowment, support and maintenance of the college for the benefit of agriculture and the mechanic arts existing in this state under the provisions of an Act of Congress approved July 2, 1862, and designated by law as the Industrial College of the University of Nebraska. All of the money shall be immediately paid over by the treasurer to the authorities of the college designated in section 85-149, without further warrant or authority than is contained herein.

For all intents and purposes of sections 85-145, 85-147 and 85-148, and of the said Act of Congress, and to carry the latter into full effect in this state, the Board of Regents of the University of Nebraska shall be the trustees of the college described in said Act of Congress, approved August 30, 1890, and referred to in sections 85-147 and 85-148. Such fiscal officer as the board may name and designate and appoint to receive and disburse the money under its orders, shall, for all intents and purposes of said section, and of the Act of Congress last mentioned, be the treasurer of the college, and to this officer the State Treasurer shall immediately pay over, upon the order of the board, all money which is now in his hands or which may be hereafter received by virtue of the said Act of Congress for the use and benefit of said college. The board is hereby authorized and empowered to make such orders and regulations for the security, control, management and disbursement of the money as to it shall seem wise and proper and for the best interests of the college.

Whole and complete assent and acceptance is given to the provisions and requirements of the Act of Congress passed May 8, 1914, providing for cooperative extension work. The State Treasurer is authorized to receive the grants of money appropriated and to pay warrants drawn by the Director of Administrative Services upon certificates presented by the Board of Regents of the University of Nebraska in payment of expenses of the Cooperative Extension Service of the University of Nebraska in accordance with the terms and conditions specified in the Act of Congress.

The whole and complete acceptance of the Legislature of Nebraska, acting for the people of the State of Nebraska, is hereby given to the provisions and requirements of the Act of Congress, approved May 22, 1928, Chapter 687, section 1, 45 Stat. at L. The State Treasurer is authorized to receive the grants of money appropriated by Congress and to pay warrants drawn by the Director of Administrative Services upon certificates presented by the Board of Regents of the University of Nebraska in payment of expenses of the Cooperative Extension Service of the University of Nebraska in accordance with the terms and conditions specified in the Act of Congress.

The Nebraska Forest Service is acknowledged within the University of Nebraska. The State Forester appointed pursuant to section 85-162.01 shall be the administrative head of the Nebraska Forest Service and shall report to the vice chancellor of the Institute of Agriculture and Natural Resources.

The mission of the Nebraska Forest Service is to provide education and services to the people of Nebraska for the protection, utilization, and enhancement of the state's tree and forest resources. In carrying out its mission, the Nebraska Forest Service shall provide education and services covering all aspects of planting, protection, care, and utilization of the state's tree and forest resources and shall provide fire protection to all rural land in cooperation with the state's rural fire protection districts.

The Nebraska Forest Service shall provide education and services through four core programs: (1) The Rural Forestry Assistance Program; (2) the Urban and Community Forestry Program; (3) the Forest Health Program; and (4) the Rural Fire Prevention and Control Program.

In carrying out its mission, the Nebraska Forest Service shall work cooperatively with all federal, state, and local entities to maximize services and funding. The Nebraska Forest Service shall work cooperatively with the natural resources districts to coordinate services and funding for the core programs.

It is the intent of the Legislature to appropriate to the Board of Regents of the University of Nebraska from the General Fund the money necessary to fund the core programs and services of the Nebraska Forest Service. Such appropriations shall be for the sole purpose of carrying out such programs.

There is hereby created within the University of Nebraska the office of State Forester. The State Forester shall be appointed by the Board of Regents of the University of Nebraska, shall be responsible, subject to the direction of the Board of Regents, for all forestry education and services of the University of Nebraska, and shall have general supervision in the State of Nebraska of (1) all educational work in forestry, including but not limited to demonstrations, publications and mass media information, and (2) service programs relating to forestry and forestation, including but not limited to tree distribution and planting, wildland fire control, development, protection and use of forest resources, and other programs promoting forestry and forestation.

Subject to the general direction of the Board of Regents, the State Forester shall (1) administer tree distribution programs, (2) develop and implement plans for the prevention and suppression of forest, brush and grassland fires on both public and private lands, (3) develop and implement plans for flood control and soil erosion work on forest lands of the state, (4) develop and implement plans for the protection of forest resources on both public and private lands from insect, disease and other natural pests, (5) carry on technical assistance programs with forest landowners, including growing, harvesting and marketing of wood products, (6) carry on technical assistance programs with forest product processors in the production, utilization and marketing of wood products, including but not limited to forest surveys, feasibility studies, management and marketing clinics, and (7) carry on educational programs in all phases of forestry in the state.

In carrying out sections 85-162.01 to 85-162.05, the State Forester shall cooperate with (1) any agency or bureau of the United States, including, but not limited to, the Forest Service, the Natural Resources Conservation Service, the Farm Service Agency, the Bureau of Reclamation, the Corps of Engineers, and the Bureau of Outdoor Recreation, (2) any agency or bureau of the State of Nebraska or its political subdivisions, including, but not limited to, the Game and Parks Commission, the Department of Natural Resources, the State Fire Marshal, the Department of Agriculture, the Adjutant General, the Department of Economic Development, and the Conservation and Survey Division of the University of Nebraska, and (3) any incorporated municipality of the state or any political subdivision of the state, including, but not limited to, rural fire districts, natural resources districts, and weed control districts.

In carrying out sections 85-162.01 to 85-162.05, the Board of Regents may employ such personnel to work under the State Forester as it shall deem necessary or advisable.

The Board of Regents of the University of Nebraska, with the advice of the State Forester, shall (1) prescribe and implement procedures relating to the implementation and administration of sections 85-162.01 to 85-162.05 and (2) enter into any arrangements and activities it may deem desirable in implementing and carrying out the intent and purposes contemplated by legislation of the federal government calling for state cooperation in the promotion of desirable practices of forestry, forestation, forest management, harvesting, processing, and marketing of forest products, control of forest pests, insects, and disease, prevention and suppression of wildland fires, watershed management, and windbreak establishment and care.

There is hereby created the Conservation and Survey Division of the University of Nebraska, which shall include the following state surveys: Soil, geological, water and water power, forest, road materials, and industrial. The Conservation and Survey Division shall perform the duties hereinafter defined:

(1) Survey and describe the natural resources of the state, including soil, water, water power, potash, forests, road materials, and cement;

(2) Study the climate, physical features, geology, and mineral resources of the state;

(3) Study and describe the operations, production, and importance of the leading industries of the state;

(4) Investigate and report upon conservation problems of the state;

(5) Study the water-bearing formations of the state, and assist the citizens in locating water supplies;

(6) Secure and preserve the logs of wells drilled in the state, and preserve specimens from each stratum, member, or formation penetrated in said drillings, and inspect such drillings at any time during their progress, and require the person or persons in charge of drilling or prospecting to submit full data in regard to the specimens and logs of the wells;

(7) Prepare and show lantern slides or pictures, including motion pictures, of the state's resources, industries, institutions and development, to be used for educational and industrial purposes within the state and for publicity purposes without the state, and secure and distribute other educational films and slides in Nebraska for educational purposes;

(8) Compile and record, or publish information with reference to, the state's resources, industries and development, and when called upon so to do by an interested party, investigate and report upon oil, mineral, and gas structures and properties situated outside the state and leases or interests therein or thereon being sold or offered for sale in Nebraska. In cases or propositions wherein said investigations show that mineral, oil, or gas properties are misrepresented, or that fraud is practiced in selling same, their officers or agents shall be notified by the Conservation and Survey Division, and if they continue to so operate the same in Nebraska after said notice is given, the division shall report its findings to the Attorney General for action; and

(9) Serve the citizens as an information bureau in regard to the resources, industries, and development of Nebraska.

The Conservation and Survey Division is given police power and authority for the purpose of carrying into effect and performing the duties defined in section 85-163. The Board of Regents shall appoint a chief or director of the division, who shall direct the work of the division, subject to the approval of the regents. All expenses incurred in carrying out any of the provisions of sections 85-163 to 85-165 shall be subject to the approval of the regents of the University of Nebraska, and paid out of appropriations made from time to time by the Legislature.

The Conservation and Survey Division may enter into such agreements with federal departments as may be necessary to carry on cooperative surveys and investigations in the state, the agreements to be subject to the approval of the Board of Regents of the University of Nebraska.

The Board of Regents of the University of Nebraska shall carry into effect the purposes of sections 85-167 to 85-171.

There is appropriated out of any money in the treasury belonging to the General Fund, and not otherwise appropriated, for the creation of the Bessey Memorial Fund the sum of four thousand dollars. The fund shall be and constitute a perpetual memorial fund evidencing the high esteem in which the people of this state hold the memory of the late Professor Charles E. Bessey, who for more than thirty years was closely identified with our state university as professor of botany, Dean of its agricultural college, Dean of Deans, and repeatedly for years its acting chancellor. He was a conspicuous figure in American science and education, one of the great teachers of his age whose work and spirit have been the inspiration of thousands of students, a leader in the development of scientific agriculture, and the value of whose life and service to Nebraska and the West cannot be estimated in terms of money. Any money in the 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.

The Board of Regents of the University of Nebraska is hereby authorized, empowered, and directed to accept for the Bessey Memorial Fund gifts and bequests of money or property, whether absolutely or subject to reservation of the income thereof either for a stated period, for the life of the donor, or for the life or lives of other persons designated.

The Board of Regents of the University of Nebraska shall from time to time invest and reinvest the Bessey Memorial Fund, as well as all unused increase or accumulations thereof, and all additions to the fund which may hereafter be made, in the same kind of securities as is now or may hereafter be authorized for investment of funds pursuant to section 72-1246. In all cases hereunder, money shall be paid out by the State Treasurer only on the direction of the Board of Regents, as in cases for the payment of expenses of the university, on appropriation duly made, and all unused funds, together with such securities, shall be in the custody of the State Treasurer.

The Board of Regents of the University of Nebraska shall, as the Bessey Memorial Fund is collected, cause to be paid and distributed the income derived from the fund annually to such other of the widows and dependents of deceased professors as shall then have acceptably served the university for a period of at least twenty-five years. In the selection of beneficiaries among whom distribution of the surplus shall be made, the Board of Regents shall exercise its best judgment, taking into consideration all the facts and circumstances of the case.

(1) Except as provided in subsection (2) of this section, the trustees or officers of any postsecondary institution, upon going out of existence or ceasing to function as a postsecondary institution, may turn over its student records to the central depository maintained by the office of registrar of the University of Nebraska-Lincoln as provided in section 85-174.

(2) The trustees or officers of any for-profit postsecondary institution as defined in section 85-2403, upon going out of existence or ceasing to function as a postsecondary institution, shall turn over its student records to the central depository maintained by the office of registrar of the University of Nebraska-Lincoln as provided in section 85-174.

The office of registrar of the University of Nebraska-Lincoln is hereby designated the central depository for the records of postsecondary institutions in this state that have ceased to exist or may cease to exist in the future. The registrar of the University of Nebraska-Lincoln shall, where possible, collect the records of such extinct postsecondary institution and have the supervision, care, custody, and control of such records. The registrar having the records of such postsecondary institutions, if any, shall, when requested, prepare transcripts of such records which may at any time become necessary to the former student for further scholastic work at other postsecondary institutions or for certification for teaching or other professional positions. Whenever such transcript is made, and after it has been compared with the original, it shall be certified by the registrar and shall thereafter be considered and accepted as evidence and, for all other purposes, the same as the original could be. For the preparation of such transcript, the registrar may charge a nominal fee for services rendered.

The following publications of the State of Nebraska shall, as they are from time to time issued, be delivered by the respective officer having custody thereof to the library of the College of Law of the University of Nebraska:

(1) The opinions of the Nebraska Supreme Court and Court of Appeals in either print or electronic format, or both, as determined by the Supreme Court;

(2) Five copies of the Opinions of the Attorney General, five copies of the Blue Book, and two copies each of the reports and recommendations of the Judicial Council and of the reports and recommendations of the Legislative Council;

(3) Copies of the session laws and the journal of the Legislature as provided in section 49-506;

(4) One copy each of the annual and biennial reports of the state officers who are required by law to make an annual or biennial report; and

(5) Statutes issued by the Supreme Court shall be requisitioned by the librarian of the College of Law, allowing ten copies for the library of the College of Law, five copies for the Legal Aid Bureau and the editors and staff of the Nebraska Law Review, one copy each for every full-time member of the law faculty, and no more than fifteen copies for the university libraries, nonlaw faculty, and administrative officers of the university combined.

In order to enable the library of the College of Law to augment its collections, the librarian of the College of Law of the University of Nebraska is authorized to requisition from the respective officer having custody thereof up to one hundred copies of the following state publications: Legislative Journals, Session Laws, replacement volumes and supplements to the Revised Statutes, and Opinions of the Attorney General. The copies of the Legislative Journals and Session Laws may be provided in print or electronic format as the Secretary of State determines, upon recommendation by the Clerk of the Legislature and approval of the Executive Board of the Legislative Council.

The Board of Regents of the University of Nebraska may cooperate with public or private agencies engaged in the care and rehabilitation of children with disabilities so as to make available an interchange of facilities for teaching and treatment purposes under such terms as may be mutually agreed upon by the Board of Regents and the several agencies desiring the use of such land.

Subject to statutory authorization and approval by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414, the University of Nebraska through its College of Medicine may establish, develop, implement, and from time to time amend, change, and modify a general plan or program for the education and training of physicians' assistants and physicians' associates and to accomplish such purpose may:

(1) Establish a separate curriculum to be supervised and carried out by the faculty of the College of Medicine;

(2) Employ such additional faculty members and otherwise procure and contract for such professional and technical assistance as may be necessary or advisable;

(3) Acquire by purchase, lease, or gift such personal property as may be required or useful in connection with such program and the implementation thereof; and

(4) Cooperate and contract with other governmental agencies and subdivisions of government, both state and federal, and funding organizations.

For purposes of sections 85-179.01 to 85-179.03, unless the context otherwise requires, physicians' assistant or physicians' associate shall mean a person who is qualified by training and experience to act as an assistant to, or an associate of, a licensed physician.

The power and authority granted by sections 85-179.01 to 85-179.03 may be exercised in whole or in part and from time to time as the Board of Regents of the University of Nebraska may in its discretion determine.

The educational program for veterinary medicine and surgery at the University of Nebraska may be established and operated by the Board of Regents only as a cooperative program with a college or colleges of veterinary medicine in other states subject to approval of the program by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414. The Board of Regents may enter into agreements with one or more institutions of postsecondary education in states which have operational colleges of veterinary medicine for the purpose of establishing a cooperative program providing for the education and training of Nebraska resident students in veterinary medicine and cooperative activities in teaching, research, and service in veterinary medicine. Any such cooperative agreement shall provide that:

(1) The University of Nebraska shall have joint responsibility for establishing policies in matters of curriculum, academic standards, research, student admissions, and conduct of the cooperative program in veterinary medicine;

(2) Clinical training at facilities of the University of Nebraska shall be available to all students enrolled in the cooperative program; and

(3) The University of Nebraska shall receive financial consideration for each nonresident student who receives clinical training at University of Nebraska facilities.

The Board of Regents may construct and operate such facilities as shall be approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414 and funded by the Legislature and may employ necessary faculty and staff to provide the clinical training of students in the cooperative veterinary medicine program pursuant to section 85-180.13. Proposed capital construction projects for veterinary medical facilities shall be reviewed, monitored, and approved or disapproved by the commission pursuant to section 85-1414 under the same standards of review applied by the commission to other capital construction projects.

There is hereby created a University of Nebraska at Omaha Cash Fund which shall consist of all fees and other money collected from students at the University of Nebraska at Omaha by authority of the Board of Regents of the University of Nebraska for university purposes, all receipts from all university activities at the University of Nebraska at Omaha collected in connection with the operation of such university, and the money and funds received at the time the University of Nebraska at Omaha was established. A record shall be kept separating such money and funds into appropriate and convenient accounts. All money and funds accruing to the cash fund shall be used for the maintenance and operation of the University of Nebraska at Omaha and shall at all times be subject to the orders of the Board of Regents. The fund shall be in the custody of the State Treasurer, and any money in such 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, except that there may be retained at the University of Nebraska at Omaha a sum not to exceed two percent of the fund, which shall be available to make settlement and equitable adjustments to students entitled thereto, to carry on university activities contributing to the fund, and to provide for contingencies. No warrant shall be issued against such fund unless there is money sufficient to pay the same.

There is hereby created a University of Nebraska at Omaha Trust Fund which shall consist of all property, real or personal, now or hereafter acquired by or for the municipal University of Omaha by donation or bequest to it, which property shall be held and applied in the manner and according with the provisions of the will, deed, or instrument making such donation or bequest. All future donations or bequests to or for the University of Nebraska at Omaha shall be a part of such trust fund. Such trust fund shall be held and managed in such manner as the Board of Regents shall determine. Such holdings and management shall be in strict accordance with all terms of the donation or bequest, but in the absence of any investment instructions the funds may be invested by or at the direction of the Board of Regents in such investments as are authorized for trustees, guardians, personal representatives, or administrators under the laws of Nebraska. Any money in such 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.

Chapter 85, articles 1, 4, and 5, relating to the Board of Regents and the University of Nebraska shall be applicable to the University of Nebraska at Omaha except as modified or limited by section 85-192.

The dean of the College of Medicine of the University of Nebraska may authorize the expenditure of funds when appropriated by the Legislature for travel expenses of senior medical students, medical residents, and interns to communities in Nebraska for the purpose of locating in Nebraska to practice their profession. Payments shall be limited to one hundred dollars for a round trip visit and not more than three such visits shall be approved for any one student, medical resident, or intern. The College of Medicine shall keep records to show the result of such expenditures. The expenses paid shall be in accordance with expense practices of the state government and as provided in sections 81-1174 to 81-1177 for state employees.

A University of Nebraska Institute of Agriculture and Natural Resources shall be established at the University of Nebraska-Lincoln which shall embrace but not be limited to the following divisions or administrative units: (1) College of Agricultural Sciences and Natural Resources; (2) Agricultural Research Division; (3) Cooperative Extension Service; (4) Conservation and Survey Division; and (5) a veterinary medicine and surgery program as a cooperative program only as provided in section 85-180.13. The University of Nebraska Institute of Agriculture and Natural Resources shall be headed by a vice chancellor and each division or administrative unit shall have a dean, director, or other chief administrative officer.

The vice chancellor for the University of Nebraska Institute of Agriculture and Natural Resources shall be responsible for providing leadership for all agricultural and natural resources affairs in the University of Nebraska as they involve the office of chancellor of the University of Nebraska-Lincoln and the President and the Board of Regents of the University of Nebraska. He shall coordinate agricultural, natural resources, and related matters of the University of Nebraska-Lincoln. As senior agricultural and natural resources administrator in the University of Nebraska, he and the chancellor of the University of Nebraska-Lincoln shall together provide advice and counsel to and assist the President and Board of Regents of the University of Nebraska in agricultural, natural resources, and related matters.

The Board of Regents of the University of Nebraska is hereby authorized to sell, on terms and conditions to be prescribed by the board, lands in Lincoln and immediate vicinity located in sections 2, 3, 9, 10, 11, 15, and 27, township 10 north, range 7 east, Lancaster County, Nebraska, which have been used for agricultural research by the University of Nebraska Institute of Agriculture and Natural Resources and which function is being transferred to the Agricultural Research and Development Center and to other locations suitable for agricultural research. These lands are more particularly described as follows:

(1) The southwest quarter and that part of the west half of the southeast quarter lying west of the centerline of Stevens Creek and that part of the east half of the northwest quarter lying south of the centerline of Stevens Creek and that part of the west half of the northeast quarter lying southwest of the centerline of Stevens Creek, all in said section 2.

(2) The southeast quarter and the east half of the southwest quarter of said section 3.

(3) Lot 31 of irregular tracts in the southeast quarter of said section 9.

(4) Lots 15, 23, 25, 29, 30, 31, 32, 33, 34, 35, 38, and 39, of irregular tracts, all in said section 10.

(5) The north half of the northwest quarter, and the north half of the northeast quarter and irregular tract lots 1, 2, 4, 6, and 8, all in said section 11.

(6) Lot 51 of irregular tracts in the northeast quarter, and lots 1 through 16, Castleton, except for a parcel described as follows: A tract in lots 7, 8, 9, and 10, Castleton, beginning at the southwest corner of said lot 9, Castleton, thence north along the west line of said lots 8 and 9, a distance of seven hundred twenty-seven feet, thence east along a line perpendicular to the west line of said lot 9, a distance of one hundred nineteen and nine-tenths feet, thence southeast to the right on a curve having a radius of three hundred twenty-two and thirteen-hundredths feet through a central angle of eighty degrees thirty-two minutes a distance of four hundred fifty-four and seventy-five-hundredths feet, thence southeasterly a distance of four hundred fifty-six and six-tenths feet, more or less, to the south line of said lot 10, thence west along the south line of said lots 9 and 10 to the point of beginning; and lots 1 to 11, block 1, lots 1, 2, 17, 18, and 19, block 3, lots 1 and 2, block 4 and outlot A, Rosemont Fourth Addition, all in said section 15.

(7) Lot 56 of irregular tracts in the northwest quarter of said section 27.

There is hereby created a fund to be known as the Agricultural Field Laboratory Fund to which shall be credited all proceeds from the sale of such real estate. All money received from time to time pursuant to the sale of such real estate and which is credited to such fund is hereby appropriated to the Board of Regents of the University of Nebraska to be used exclusively for the development and improvement of the University of Nebraska Agricultural Research and Development Center at Mead, Nebraska, or for acquisition, development, and improvement of replacement real estate to replace the real estate described in subdivisions (1) through (7) of this section to be used for agricultural research. Money credited to the Agricultural Field Laboratory Fund shall be expended prior to the expenditure of any other legislative appropriation for the development and improvement of such center or replacement real estate.

There is hereby created a fund to be known as the Animal Research and Diagnosis Revolving Fund.

Fees for diagnostic and testing services performed for individuals, corporations, and agencies of government shall be paid into the Animal Research and Diagnosis Revolving Fund.

The Animal Research and Diagnosis Revolving Fund shall be used to provide financial support for research and other service functions performed by the diagnostic laboratory of the University of Nebraska Animal Health Research Center.

The diagnostic laboratory of the University of Nebraska Animal Health Research Center shall establish a fee schedule showing fees to be charged for various diagnostic and testing services performed by the laboratory.

There is hereby created a University Facilities Fund. All money accruing to the fund is hereby appropriated to the Board of Regents of the University of Nebraska and shall be used exclusively for those construction projects authorized pursuant to this section. No expenditure may be made from such fund without prior approval by a resolution of the Board of Regents.

The Board of Regents is authorized to make expenditures from the University Facilities Fund for the following projects and associated expenses: (1) Renovation of the University of Nebraska at Omaha Arts and Sciences Hall, two million eight hundred forty-six thousand two dollars; (2) an addition to the University of Nebraska at Kearney Copeland Hall, two million two hundred fifty-seven thousand one hundred seventy-four dollars; and (3) University of Nebraska-Lincoln Institute of Agriculture and Natural Resources projects, including (a) construction of a Headquarters Building at the Agricultural Research and Development Center, Mead, Nebraska, two million six hundred fifteen thousand three hundred seventy-eight dollars, (b) renovation of the Elliot Building at the Panhandle Research and Extension Center, Scottsbluff, Nebraska, four hundred thirty-one thousand eight hundred seven dollars, (c) construction of a Swine Research Growing and Finishing Facility at the West Central Research and Extension Center, North Platte, Nebraska, three hundred eighteen thousand nine hundred forty-nine dollars, (d) construction of a Research and Extension Support Building at the West Central Research and Extension Center, North Platte, Nebraska, two hundred eighty-four thousand six hundred dollars, (e) construction of a Staff/Laboratory/Conference Center at the Gudmundsen Sandhill Laboratory, Whitman, Nebraska, two hundred seventy-six thousand seven hundred forty-nine dollars, and (f) construction of a Swine Research Growing and Finishing Facility at the Northeast Research and Extension Center, Concord, Nebraska, ninety-five thousand one hundred ninety-four dollars. The cost limitations set forth in this section shall be exclusive of sums previously expended from other sources for planning and administrative costs, financing costs, and other costs associated with any contract which the Board of Regents may enter into pursuant to this section and section 85-1,114 to implement the projects listed in this section. The cost limitation set forth in subdivision (3)(a) of this section may be exceeded with private funds not to exceed two hundred twenty-five thousand dollars. The cost limitation set forth in subdivision (3)(f) of this section may be exceeded with private funds not to exceed sixty-six thousand dollars. The Board of Regents shall record and report, on the Nebraska State Accounting System, expenditure of amounts from the University Facilities Fund and expenditure of proceeds arising from any contract entered into pursuant to this section and section 85-1,114 in such manner and format as prescribed by the Department of Administrative Services.

The Board of Regents is authorized to make expenditures for the purposes stated in this section from investment income balances in the University Facilities Fund. Any balance existing in the University Facilities Fund or in any reserve funds created as part of a long-term contract entered into by the Board of Regents pursuant to section 85-1,114 shall be transferred to the General Fund either on July 15, 1997, or when all financial obligations incurred in the contracts entered into by the Board of Regents pursuant to section 85-1,114 are discharged, whichever occurs first. Any balance existing in any reserve funds created as part of a long-term contract entered into by the Board of Regents pursuant to section 85-1,114 in excess of such level as may be required by such contract shall be annually transferred to the General Fund on July 15.

In order to accomplish any projects authorized by section 85-1,113, the Board of Regents of the University of Nebraska may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the university and providing for the long-term payment of the cost of such project from the University Facilities Fund. In no case shall any such contract extend for a period beyond July 15, 1997, or obligate payments beyond those which may be satisfied with funds available pursuant to sections 77-2602 and 85-1,113. The Board of Regents shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the Board of Regents. The Board of Regents may also convey or lease and lease back all or any part of the projects authorized by section 85-1,113 and the land on which such projects are situated to such person, firm, or corporation as the Board of Regents may contract with pursuant to this section to facilitate the long-term payment of the cost of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the Board of Regents.

In order to accomplish the construction of the Lied Center for Performing Arts, the Board of Regents of the University of Nebraska may enter into contracts with any person, firm, corporation, or foundation providing for the implementation of such project of the university and providing for the long-term payment of the cost of such project. In no case shall any such contract run for a period longer than twenty years or exceed twenty million dollars, exclusive of administrative costs, credit enhancement costs, financing costs, and reserves dedicated to secure payment of contracts. The Board of Regents shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the Board of Regents.

There is hereby created the University Facility Improvement Fund. All money accruing to the fund is hereby appropriated to the Board of Regents of the University of Nebraska and shall be used exclusively for those construction projects of the university authorized pursuant to this section. No expenditure may be made from such fund without prior approval by a resolution of the Board of Regents.

The Board of Regents may make expenditures from the University Facility Improvement Fund for the following project: Renovation of Morrill Hall, three million nine hundred thirty-five thousand six hundred forty-five dollars, excluding funds from private donations, sums previously expended for planning, and administrative and financing costs associated with any contract which the Board of Regents may enter into pursuant to this section and section 85-1,117 to implement the project listed in this section.

The Board of Regents may make expenditures for the purposes stated in this section from investment income balances in the University Facility Improvement Fund. The Board of Regents may make expenditures from such fund in amounts which, in combination with interest accrued on any construction funds and reserve funds created as part of a long-term contract entered into by the Board of Regents pursuant to section 85-1,117, are sufficient to satisfy the financial obligations incurred in such contracts entered into by the Board of Regents. Any balance existing in the University Facility Improvement Fund, any reserve funds, or any other funds created as part of a long-term contract entered into by the Board of Regents pursuant to section 85-1,117 shall be transferred to the General Fund either on June 15, 1998, or when all financial obligations incurred in the contracts entered into by the Board of Regents pursuant to section 85-1,117 are discharged, whichever occurs first.

In order to accomplish the project authorized by section 85-1,116, the Board of Regents of the University of Nebraska may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the university and providing for the long-term payment of the cost of such project from the University Facility Improvement Fund. In no case shall any such contract run for a period longer than eleven years or exceed three million nine hundred thirty-five thousand six hundred forty-five dollars exclusive of administrative costs, credit enhancement costs, financing costs, capitalized interest, and reserves dedicated to secure payment of contracts. The Board of Regents shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the Board of Regents. The Board of Regents may also convey or lease and lease back all or any part of the projects authorized by section 85-1,116 and the land on which such projects are situated to such person, firm, or corporation as the Board of Regents may contract with pursuant to this section to facilitate the long-term payment of the cost of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the Board of Regents.

(1) On July 1, 1991, all property rights, titles, assets, contracts, obligations, and choses in action of any kind existing as of June 30, 1991, owned, held, or controlled by Kearney State College or the Board of Trustees of the Nebraska State Colleges for the benefit of Kearney State College shall be transferred to, assumed by, and carried out by the Board of Regents of the University of Nebraska for the operation and benefit of the University of Nebraska at Kearney subject, however, to the following:

(a)(i) Title to (A) facilities on the campus of Kearney State College and all or any portion of the revenue derived from such facilities which have been pledged to the payment of the principal of and interest on revenue bonds of the board of trustees or (B) facilities on the campus of Kearney State College which have been constructed, repaired, or renovated with the proceeds of revenue bonds payable from student fees shall remain vested in the board of trustees until the bonds outstanding with respect to such facilities have been discharged. Upon the discharge of the bonds outstanding with respect to any such facility, title to such facility shall be transferred to and vested in the Board of Regents without any further or additional action by the board of trustees or the Board of Regents.

(ii) All facilities specified in subdivision (a)(i) of this subsection shall be leased by the board of trustees to the Board of Regents as of July 1, 1991, upon such terms and conditions as the board of trustees and the Board of Regents shall determine, except that (A) payments from the Board of Regents to the board of trustees pursuant to such leases shall be sufficient to pay the principal of and interest on the bonds outstanding with respect to such facilities and shall include a reasonable fee set by and paid to the board of trustees to cover actual and necessary expenses incurred by the board of trustees for managing the bond program of the University of Nebraska at Kearney until all bonds which are outstanding as of July 1, 1991, and which were issued with respect to the leased facilities have matured and are retired, (B) the Board of Regents shall have the right to establish rents, charges, rates, and fees for the use of such facilities and to receive and collect all revenue, rents, fees, income, profits, and charges of whatever nature and howsoever derived from such facility, and (C) the Board of Regents shall keep, perform, satisfy, and comply with all terms, covenants, conditions, and agreements contained in the documents relating to the issuance of the bonds outstanding with respect to each such facility;

(b) The obligations for the payment of money of the board of trustees incurred pursuant to Laws 1983, LB 410, Laws 1987, LB 218, and Laws 1987, LB 784, shall remain the obligations of the board of trustees. All other obligations of the board of trustees incurred pursuant to such laws shall, upon July 1, 1991, be and become obligations of the Board of Regents. Unless title to the property acquired and the facilities constructed, repaired, remodeled, or renovated pursuant to such laws is required to remain vested with the board of trustees pursuant to subdivision (a)(i) of this subsection, title to such property and facilities shall vest in the Board of Regents on July 1, 1991; and

(c) Prior to July 1, 1991, the board of trustees and the Board of Regents shall enter into such agreements as they deem necessary and appropriate to carry out the provisions of sections 85-1,119 to 85-1,123 for the conveyance and transfer of the properties, rights, and obligations provided under such sections, to make appropriate provisions with respect to existing debt obligations, including revenue bonds, of the board of trustees and the Nebraska State Colleges Facilities Corporation pertaining to Kearney State College, and to provide for an orderly transition and assumption by the Board of Regents of the activities and operations of Kearney State College. The board of trustees, acting as a corporation for the revenue bond program for Kearney State College or the Nebraska State College Facilities Corporation, and its officers and staff shall be reimbursed for any expenses incurred in carrying out any action modifying the revenue bond program pursuant to sections 85-1,119 to 85-1,123.

(2)(a) On July 1, 1991, all employees of Kearney State College shall be transferred to the University of Nebraska. The transferred employees shall retain all benefits and status of employment accrued through June 30, 1991, including retirement benefits not vested.

(b) On July 1, 1991, the transferred employees, except academic, faculty, and teaching employees who are included in a collective-bargaining unit and represented by a certified collective-bargaining agent, shall cease participation in the employee fringe benefit programs of Kearney State College and shall begin participation in the University of Nebraska systemwide fringe benefits program and be entitled to receive the same fringe benefits of employment made available to other employees of the University of Nebraska under such program.

(c) On July 1, 1990, the Board of Regents of the University of Nebraska shall have authority to enter into a collective-bargaining agreement with any certified collective-bargaining agent for academic, faculty, and teaching employees of Kearney State College who are represented by a certified collective-bargaining agent covering any period beginning on or after July 1, 1991. The Board of Regents shall bargain and negotiate in good faith with any such bargaining agent pursuant to the State Employees Collective Bargaining Act. On July 1, 1991, all academic, faculty, and teaching employees of the University of Nebraska at Kearney shall cease participation in the retirement program of Kearney State College and shall begin participation in the systemwide retirement program of the University of Nebraska on the same basis as other academic, faculty, and teaching employees of the University of Nebraska.

The provisions of Chapter 85 relating to the Board of Regents of the University of Nebraska shall be applicable to the University of Nebraska at Kearney except as modified or limited.

(1) There is hereby created the University of Nebraska at Kearney Cash Fund. The fund shall consist of all fees and other money collected from students at the University of Nebraska at Kearney by authority of the Board of Regents of the University of Nebraska for university purposes, all receipts from all university activities at the University of Nebraska at Kearney collected in connection with the operation of such university, and the money and funds received at the time the University of Nebraska at Kearney was established. A record shall be kept separating the money and funds into appropriate and convenient accounts. All money and funds accruing to the fund shall be used for the maintenance and operation of the University of Nebraska at Kearney and shall at all times be subject to the orders of the Board of Regents. The fund shall be in the custody of the State Treasurer, and any money in such 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, except that there may be retained at the University of Nebraska at Kearney a sum not to exceed two percent of the fund, which shall be available to make settlement and equitable adjustments to students entitled thereto, to carry on university activities contributing to the fund, and to provide for contingencies. No warrant shall be issued against the fund unless there is money sufficient to pay the same.

(2) There is hereby created the University of Nebraska at Kearney Trust Fund, which fund shall consist of all property, real or personal, acquired as of July 1, 1991, or at any time thereafter by or for Kearney State College by donation or bequest to it, which property shall be held and applied in the manner and according with the provisions of the will, deed, or instrument making such donation or bequest. All future donations or bequests to the University of Nebraska at Kearney shall be a part of such fund. The fund shall be held and managed in such manner as the Board of Regents shall determine. The holdings and management shall be in strict accordance with all terms of the donation or bequest, except that in the absence of any investment instructions, the funds may be invested by or at the direction of the Board of Regents in such investments as are authorized for trustees, guardians, personal representatives, or administrators under the laws of Nebraska.

The Board of Regents of the University of Nebraska may establish, maintain, and administer one or more risk-loss trusts for the purpose of paying losses and expenses incurred by the university from (1) general and professional liability, including, but not limited to, judgments, awards, and settlements of claims and suits arising under the Nebraska Hospital-Medical Liability Act, the State Contract Claims Act, the State Miscellaneous Claims Act, and the State Tort Claims Act, (2) damage, destruction, or loss of real or personal property, and (3) errors and omissions liability. Any such risk-loss trust shall contain provisions relating to defense and settlement of claims and suits covered by the trust. No risk-loss trust established pursuant to this section shall be a member of the Nebraska Property and Liability Insurance Guaranty Association.

Whenever any claim or suit against the University of Nebraska or any of its officers, agents, or employees is covered by a risk-loss trust established pursuant to section 85-1,126, the provisions of such trust on defense and settlement of claims and suits covered by the trust shall be applicable notwithstanding any inconsistent provisions of the State Tort Claims Act. The Attorney General and State Claims Board shall cooperate with the university in administering the defense and settlement provisions of any such trust.

There is hereby created the University of Nebraska Eppley Science Hall Construction Fund. All money accruing to the fund is hereby appropriated to the Board of Regents of the University of Nebraska and shall be used exclusively for the project authorized pursuant to this section. No expenditures shall be made from such fund without prior approval by a resolution of the Board of Regents. Any money in the 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.

The Board of Regents may make expenditures from the University of Nebraska Eppley Science Hall Construction Fund for the following project:

University of Nebraska Eppley Science Hall construction project, four hundred seventy-five thousand dollars, excluding federal funds, institutional cash funds, and private donations. The total cost of the project is currently estimated at eight million seven hundred forty thousand dollars, which amount also includes five million dollars of federal funds and two million dollars of private donations. Any unexpended balance existing in the University of Nebraska Eppley Science Hall Construction Fund shall be transferred to the General Fund either on June 15, 1993, or when any financial obligations incurred in the contracts entered into by the Board of Regents for the completion of the University of Nebraska Eppley Science Hall construction project are discharged, whichever occurs first.

It is the intent of the Legislature that four hundred seventy-five thousand dollars be appropriated from the University of Nebraska Eppley Science Hall Construction Fund for fiscal year 1991-92, for the University of Nebraska Eppley Science Hall construction project, which project shall include the addition of five floors in the existing Eppley Science Hall to expand research and related activities at the University of Nebraska Medical Center.

The Legislature finds and declares that:

(1) Scandals are rampant throughout college football as evidenced by schools placed on probation by the National Collegiate Athletic Association, coaches dismissed or forced to resign for improprieties, and players being declared ineligible to compete for violating rules against receiving fair financial compensation;

(2) Many players are recruited from impoverished families and the rules of the National Collegiate Athletic Association prohibiting reasonable financial compensation render such players vulnerable to inducements, benefits, and other types of compensation which are defined as illicit by the National Collegiate Athletic Association rules;

(3) A fair rate of financial compensation would give players a choice when offered illicit inducements, compensation, or assistance;

(4) Rules of the National Collegiate Athletic Association prohibiting compensation are unduly restrictive and unreasonable, promote unfairness, encourage dishonesty in recruiting and retaining players, and would not be tolerated if applied to all students; and

(5) Players at United States service academies are compensated while in attendance and are eligible to compete against schools which are members of the National Collegiate Athletic Association.

The Legislature further finds and declares that:

(1) The University of Nebraska-Lincoln participates in a national intercollegiate football program which produces millions of dollars through ticket sales, lucrative national television and other electronic broadcast contracts, and participation in postseason bowl games;

(2) The football program promotes the university and generates valuable intangible benefits such as enhancement of image;

(3) The exertion of players and the revenue they generate produce employment and salaries for many others, subsidize other sports programs at the university, and underwrite travel expenses of numerous university officials, staff, and others who attend postseason bowl games in which the team participates;

(4) The university employs a large athletic department to administer its intercollegiate athletic program and a sizable football coaching staff charged primarily with the responsibility of producing a team capable of competing successfully against the best teams in their conference and in the nation and of generating as much revenue as possible;

(5) Maintaining a winning football team has become an integral aspect of the overall business or occupation of the university as an institution;

(6) The football program of the university could not exist without the athletes who play that arduous and dangerous game;

(7) Such athletes do not appear at the university by accident or happenstance but are actively recruited by university personnel at considerable expense;

(8) Such athletes are not recruited nor are scholarships awarded on the basis of need or academic achievement but for athletic prowess, the recipients having been recruited to be football players and not scholars;

(9) Many players spend more time on football-related activities than academics; and

(10) Because a sound academic program for football players may be difficult to develop due to the demands of the sport, football players are entitled to some tangible return for the strenuous work they perform and the revenue they generate for the benefit of the university.

The Legislature further finds and declares that, in the same manner that nonathlete students are compensated for performing various tasks while a student, football players shall be entitled to fair financial compensation for playing football.

Any person who competes in the sport of football for the University of Nebraska-Lincoln may be granted a stipend, the amount of which shall be determined by the university. In addition, the university may in its discretion grant a stipend to persons who compete in sports other than football which participate in Big Ten Conference competition.

Nothing in sections 85-1,131 to 85-1,137 shall be construed to make a person a professional athlete.

Sections 85-1,131 to 85-1,137 shall become operative whenever laws granting a similar stipend or similarly restricting hours of participation are enacted in at least four other states which have teams that compete in the Big Ten Conference or its successor.

As a preferable alternative to the requirement of section 85-1,134, the University of Nebraska-Lincoln may limit the number of hours required to participate in intercollegiate athletics to such number that participation in a sport would not impede the student athlete's ability to carry a regular academic workload which will allow such student athlete to graduate in four years, will allow the student athlete adequate time to participate in the intellectual and cultural activities on campus, and further will allow the student athlete to work an average of at least twelve hours per week during the academic school year.

For the furtherance and promotion of agricultural, horticultural, and forestry interests of this state, a research and extension center shall be established west of the one hundredth meridian in Nebraska, which center shall be under the control and management of the Board of Regents of the University of Nebraska.

The object of the research and extension center referred to in section 85-201 shall be to determine the adaptability of the arid and semiarid portions of Nebraska to agriculture, horticulture, and forest-tree growing, such as the producing of grain, grasses, root crops, and fruits of kinds commonly grown in the same latitude in other states, and the most economical methods of producing such crops without irrigation.

For the furtherance and promotion of agricultural, horticultural, and forestry interests of this state, a research and extension center shall be established west of the one hundred second meridian in Nebraska, which center shall be under the control and management of the Board of Regents of the University of Nebraska.

The object of the research and extension center referred to in section 85-206 shall be to determine the adaptability of the arid and semiarid portions of Nebraska to agriculture, horticulture, and forestry, such as the producing of grain, grasses, root crops, and fruits of kinds commonly grown in the same latitude in other states, and the most economical methods of producing such crops with and without irrigation.

The Board of Regents is hereby authorized and empowered to take such steps in conjunction with the authorities of the United States as it deems necessary to successfully establish the research and extension center mentioned in section 85-206.

To enable the Board of Regents to carry out the provisions of sections 85-201 to 85-215, it is hereby authorized to expend such amounts as it may deem necessary from any money hereafter appropriated for each station, to carry out the spirit and intent of said sections, either by the State of Nebraska or the United States, as the case might be.

The Board of Regents shall have control and supervision of the research and extension centers established by sections 85-201 and 85-206 and shall appoint skillful superintendents and such other employees as to it appears necessary to obtain the best results. The board shall fix the salaries and compensation of employees and establish such rules and regulations as it may from time to time deem best.

The proceeds arising from the sale of products of the research and extension centers provided for in sections 85-201 and 85-206 shall be applied to the liquidation of the running expenses of the research and extension centers from which they are sold, and all money so accruing shall be credited as coming from the state and be applied as a part or whole payment of any amount which may be appropriated from the funds of the state for the maintenance of such research and extension centers.

For the promotion and furtherance of the agricultural interests in the different areas of this state, experimental testing centers may be established for the purpose of carrying out a crops-and-soil testing program. Such testing centers shall be under the control and management of the Board of Regents of the University of Nebraska and shall be distributed throughout the state in order to determine the effect that variation in soils, rainfall, temperature, growing season, altitude and other factors have in the production of crops in all portions of the state.

The Board of Regents of the University of Nebraska, through the Director of the Agricultural Experimental Station, shall have control and supervision of such testing centers and shall appoint such employees and purchase such equipment as shall appear to it to be necessary to obtain the best results. The board shall fix the salaries and compensation of employees, and establish such rules and regulations as it may, from time to time, deem necessary.

The object of such experimental testing stations shall be to study and demonstrate, both without and under irrigation, cropping systems suitable to the area, fertilization practices, methods of water distribution, the production of new crops, crop variety tests and such other matters as may be deemed best to develop the agricultural interests of the state.

The Board of Regents of the University of Nebraska is authorized to enter into agreements with the owners of farms in this state for the leasing of testing centers. The farms chosen shall each be typical of the area selected as a location for such a testing center. The total area of each of such testing centers shall not be more than is adequate and necessary to best carry out the interest and purpose of sections 85-216 to 85-220. Upon such testing centers there shall be planted, cultivated and harvested, under the supervision and direction of the Department of Agronomy of the University of Nebraska, such crops as will, through experimentation, develop and demonstrate the best crops to be grown in such area and the best farm practices for use in connection therewith. Such agreements for the leasing of testing centers may provide for the performance of such work by the farm owner, in connection therewith, as may be deemed essential. They shall be entered into upon a year-to-year basis and contain a provision for renewal at the option of the Board of Regents.

To enable the Board of Regents to carry out the provisions of sections 85-216 to 85-219, it is hereby authorized to expend such amount of money as it deems necessary from any money hereafter appropriated to carry out the spirit and intent of said sections.

The existing institutions known as the state colleges located at Chadron, Peru, and Wayne shall hereafter be known and designated as Chadron State College, Peru State College, and Wayne State College, respectively. The general government thereof shall be vested, under the direction of the Legislature, in a board of seven members, to be known as the Board of Trustees of the Nebraska State Colleges, six of whom shall be appointed by the Governor, with the advice and consent of the Legislature, two each for terms of two, four, and six years and two each biennium thereafter for terms of six years, and the Commissioner of Education shall be a member ex officio. The duties and powers of the board shall be prescribed by law, and the members thereof shall receive no compensation for the performance of their duties but may be reimbursed for actual expenses incurred therein.

The members of the Board of Trustees of the Nebraska State Colleges shall annually elect a president and vice president from among their own number. The board shall constitute a body corporate to be known as the Board of Trustees of the Nebraska State Colleges, and as such may sue and be sued, and may make and use a common seal and alter the same at its pleasure. The board shall also select a secretary who shall keep an exact and detailed account of the activities of the board. The State Treasurer shall be treasurer of the board by virtue of the office. A complete and comprehensive annual audit shall be made of the books, accounts, funds, records, and affairs of the board and each of the state colleges.

(1) The Board of Trustees of the Nebraska State Colleges shall have the power:

(a) To appoint a president and such other persons as may be required for each state college;

(b) To fix their compensation and prescribe their duties;

(c) To remove all persons appointed, but the affirmative votes of four members of the board shall be necessary to remove a president or an assistant during the time for which such persons were appointed;

(d) Through an extension division, to provide for holding of classes at various localities throughout the state, avoiding unnecessary duplication of courses offered by other educational institutions in such localities;

(e) To acquire real and personal property and dispose of the same whenever any of the state colleges will be benefited thereby, but no grounds upon which any buildings of any of the state colleges are located shall be disposed of without the consent of the Legislature;

(f) To pay expenses for recruitment of academic, administrative, professional, and managerial personnel; and

(g) To provide benefits for all present and future employees, including group life insurance, group hospital-medical insurance, and group long-term disability income insurance.

(2) The board shall have the duty:

(a) To institute a continuing program of preventive maintenance and a program of deferred maintenance consistent with the provisions of the Deferred Building Renewal Act; and

(b) To consult with the Nebraska Arts Council and acquire works of art for the original construction of any public building under its supervision consistent with sections 82-317 to 82-329 and 85-304 to 85-304.03.

After January 1, 1979, at least one percent of any appropriation for the original construction of any public building under the supervision of the Board of Trustees of the Nebraska State Colleges shall be spent for the acquisition of works of art. The works of art may be an integral part of the structure, attached to the structure, detached within or outside of the structure, or may be exhibited by the Board of Trustees of the Nebraska State Colleges in other public facilities.

The Board of Trustees of the Nebraska State Colleges, in consultation with the Nebraska Arts Council, shall determine the amount of money to be made available for the purchases of art for each project under its supervision. The selection of, commissioning of artists for, reviewing of design, execution and placement of, and the acceptance of works of art for each project shall be the responsibility of the Board of Trustees of the Nebraska State Colleges in consultation with the Nebraska Arts Council.

The Board of Trustees of the Nebraska State Colleges shall inform the Director of Administrative Services that sections 82-317 to 82-329 and 85-304 to 85-304.03 have been complied with for projects under its supervision before a warrant may be issued for payment.

The Board of Trustees of the Nebraska State Colleges shall hold regular meetings and such special meetings as may be found necessary.

The president of each state college shall be the chief executive officer thereof and shall be responsible to the Board of Trustees of the Nebraska State Colleges for the control and management of the same. All faculty and other employees of each state college shall be under the direction of the president thereof, subject to the general regulations of the board.

The president of each state college shall receive and collect fees for board and room and such other fees as may be payable to such state college and shall disburse the same under direction of the Board of Trustees of the Nebraska State Colleges and according to law.

The purpose of the state colleges is the training and instruction of persons in the arts of teaching and managing schools, the principles and practice of the various branches of learning taught in our public schools, and the arts and sciences generally. The Board of Trustees of the Nebraska State Colleges shall have power to prescribe, for the state colleges, such courses of instruction as will best fit such persons for teaching and managing the public schools and their instruction in the arts and sciences generally as provided in sections 85-308 and 85-917 to 85-966.

The Board of Trustees of the Nebraska State Colleges shall have power to confer, upon completion of a four-year course in liberal arts prescribed by such board, a degree of bachelor of arts or bachelor of science.

The Board of Trustees of the Nebraska State Colleges shall enter into a memorandum of understanding on or before September 1, 2010, with the State Board of Education to adopt a policy to share student data. At a minimum, the policy shall ensure that the exchange of information is conducted in conformance with the requirements of the federal Family Educational Rights and Privacy Act of 1974, as amended, 20 U.S.C. 1232g, and all federal regulations and applicable guidelines adopted in accordance with such act, as such act, regulations, and guidelines existed on January 1, 2010.

The board shall make such rules and regulations for the admission of students to the state colleges as may seem to be best for the interest of the state colleges and not inconsistent with the purpose for which they have been established.

The board shall adopt all needful rules and regulations for the careful preservation of the buildings, furniture, apparatus, grounds, timber, shrubbery, and other property belonging to the state college.

The board of trustees is hereby empowered and authorized to make such contract of sale or lease of the whole or part of any water, light or heat plant now or hereafter constructed at any state college, and the purchase of water, heat and light, with any city, village or corporation at or near which is located any state college, as shall in the judgment of the board be to the best interest of said state college.

All funds appropriated for the use and benefit of the state colleges together with the income arising from the lease and sale of endowment lands belonging to such colleges shall be under the direction and control of the board of trustees, subject to the provisions contained in this section, except that each college may retain in its possession a sum not to exceed fifty thousand dollars out of which to make settlement and equitable adjustments with students entitled thereto, to make payments for day-to-day operations calling for immediate payment, and to provide for contingencies. The State Treasurer shall pay out of the proper funds all warrants for money to be expended under sections 85-301 to 85-318, such warrants to be drawn by the Director of Administrative Services on certificates by the president of the state college. All requests for payment or reimbursement for mileage or other traveling expense shall be audited and allowed on the basis of the provisions set forth in sections 81-1174 to 81-1177. No expenditure for traveling expenses to other states shall be authorized by the board for any college employee unless approval for such trip is first granted by the president or his or her designee. The request shall be submitted to the president of such state college or his or her designee and approved in writing by him or her.

All the lands remaining unsold of the twenty sections appropriated as an endowment fund for the state colleges and all the endowment fund derived from the sale of such lands are hereby confirmed as such endowment, to be forever used for this purpose. All such money derived from federal grants shall be invested in the manner provided by law for the investment of the permanent school fund of the state, in the same kind of securities and by the same officers charged with that duty pursuant to section 72-202 as may from time to time be amended by the Legislature.

The Board of Trustees of the Nebraska State Colleges is authorized to receive, upon behalf of any of such state colleges and upon such terms and conditions as may be imposed, such gifts and endowments as the board may decide to accept. Such board shall be trustees of any such gifts and endowments.

All money received for the use of rooms in the dormitories of any of the state colleges, shall be expended by the board in repairs of such dormitory and the furniture of the same, whenever such repairs are needed.

The Board of Trustees of the Nebraska State Colleges is hereby given power and authority to acquire by condemnation lands necessary for state colleges. The procedure to condemn such property shall be exercised in the manner set forth in Chapter 76, article 7.

The Board of Trustees of the Nebraska State Colleges shall have power, in its discretion, to provide retirement benefits for present and future employees of the board, subject to the following: (1) The cost of such retirement benefits shall be funded in accordance with sound actuarial principles with the necessary contributions for both past service and future service being treated in the budgets in the same way as any other operating expense, (2) the state contribution under such retirement plan shall be (a) the amount established by the board before any agreement for reduction of salary or wage earnings, and (b) pursuant to an agreement for reduction of salary or wage earnings, the amount of the reduction of salary or wage earnings, (3) each employee's contribution shall be the amount established by the board and shall not be required to exceed the state's contribution under subdivision (2)(a) of this section, except that in lieu of making such contribution, each such employee may enter into an agreement for reduction of salary or wages for the purchase by the board of annuity contracts for such employee, under the provisions of the Internal Revenue Code, but the amount of the reduction of salary or wages allowable under this subdivision may not include credit for service prior to January 1, 1973, (4) continued contributions to the system shall be made until the date of retirement as provided in section 85-606, and (5) the retirement benefits of any employee for service prior to the effective date of any retirement plan established under the provisions of this section shall be those provided under the retirement plan then in force which benefits shall not be abridged. The investment for such a retirement plan shall be made by the state investment officer, but the state investment officer shall not change the type of investment for such retirement plan without the approval of the Board of Trustees of the Nebraska State Colleges.

(1) There is hereby created a State College Buildings Renovation and Land Acquisition Fund. All money accruing to this fund is hereby appropriated to the Board of Trustees of the Nebraska State Colleges and shall be used exclusively for those projects of repair, remodeling, and renovation of buildings belonging to the state colleges and for those land acquisition projects of the state colleges pursuant to this section as long as no such repair, remodeling, or renovation project specified in subsection (2) of this section provides for construction of an addition to any building, unless required by any federal law or law of this state relating to building safety or relating to building access for handicapped persons. No expenditure may be made from such fund without prior approval by a resolution of the Board of Trustees of the Nebraska State Colleges.

(2) The Board of Trustees of the Nebraska State Colleges is authorized to make expenditures from the State College Buildings Renovation and Land Acquisition Fund for the following projects and associated expenses: (a) Repair, remodel, and renovate the east wing of the West Center Main Building at Kearney State College, one million one hundred three thousand one hundred four dollars; (b) repair, remodel, and renovate the Fine Arts Building at Chadron State College, nine hundred ninety thousand dollars; (c) acquire certain real property for public use by Kearney State College, three hundred seventy thousand dollars; and (d) administrative and financing costs associated with any contract which the board of trustees may enter into pursuant to this section to implement any of the projects listed in subdivisions (a) through (c) of this subsection, not to exceed eighteen thousand dollars.

(3) In addition to those building repair, remodeling, or renovation projects and land acquisition projects specifically listed in this section, the Board of Trustees of the Nebraska State Colleges is further authorized to make expenditures from the State College Buildings Renovation and Land Acquisition Fund, which shall include any investment income received from the investment of such fund, for other building repair, remodeling, or renovation project or land acquisition project which shall be specifically approved by the Legislature.

(1) In order to accomplish any projects authorized by section 85-322, the Board of Trustees of the Nebraska State Colleges may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the state colleges and providing for the long-term payment of the cost of such project from the State College Buildings Renovation and Land Acquisition Fund. In no case shall any such contract for the projects specified in subsection (2) of section 85-322 run for a period longer than ten years or exceed two million four hundred eighty-one thousand one hundred four dollars. The board of trustees shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the board of trustees.

(2) The Board of Trustees of the Nebraska State Colleges may also convey or lease and lease back all or any part of the projects authorized by section 85-322 and the land on which such projects are situated to such person, firm, or corporation as the board of trustees may contract with pursuant to this section to facilitate the long-term payment of the costs of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the board of trustees.

There is hereby created the State College Facilities Improvement Fund. All money accruing to the fund is hereby appropriated to the Board of Trustees of the Nebraska State Colleges and shall be used exclusively for those construction projects of the state colleges authorized pursuant to this section. No expenditure may be made from such fund without prior approval by a resolution of the board of trustees.

The board of trustees may make expenditures from the State College Facilities Improvement Fund for the following projects: (1) Renovation of the T.J. Majors Education Building at Peru State College, two million twenty-five thousand dollars; and (2) renovation of, and construction of an addition to, Cushing Coliseum at Kearney State College, eight million five hundred and ninety-eight thousand ninety-eight dollars. The board of trustees may make additional expenditures for the project listed in subdivision (2) of this section in an amount not to exceed two million two hundred and ninety-five thousand dollars from private sources and non-state-aided institutional sources. The cost for each project listed in this section shall be exclusive of sums previously expended for planning and any administrative costs and financing costs associated with any contract which the board of trustees may enter into pursuant to this section and section 85-325 to implement any of the projects listed in this section.

The board of trustees may make expenditures for the purposes stated in this section from investment income balances in the State College Facilities Improvement Fund. The board of trustees may make expenditures from such fund in amounts which, in combination with interest accrued on any construction funds and reserve funds created as part of a long-term contract entered into by the board of trustees pursuant to section 85-325, are sufficient to satisfy the financial obligations incurred in such contracts entered into by the board of trustees. Any balance existing in the State College Facilities Improvement Fund, any reserve funds, or any other funds created as part of a long-term contract entered into by the board of trustees pursuant to section 85-325 shall be transferred to the General Fund either on June 15, 1998, or when all financial obligations incurred in the contracts entered into by the board of trustees pursuant to section 85-325 are discharged, whichever occurs first.

In order to accomplish any projects authorized by section 85-324, the Board of Trustees of the Nebraska State Colleges may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the state colleges and providing for the long-term payment of the cost of such project from the State College Facilities Improvement Fund. In no case shall any such contract run for a period longer than eleven years or exceed twelve million six hundred twenty-three thousand ninety-eight dollars exclusive of administrative costs, credit enhancement costs, financing costs, capitalized interest, and reserves dedicated to secure payment of contracts. The board of trustees shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the board of trustees. The board of trustees may also convey or lease and lease back all or any part of the projects authorized by section 85-324 and the land on which such projects are situated to such person, firm, or corporation as the board of trustees may contract with pursuant to this section to facilitate the long-term payment of the cost of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the board of trustees.

There is hereby created a State College Facility Fund. All money accruing to the fund is hereby appropriated to the Board of Trustees of the Nebraska State Colleges and shall be used exclusively for the construction project authorized in this section. No expenditures may be made from such fund without prior approval by a resolution of the Board of Trustees.

The Board of Trustees is authorized to make expenditures from the State College Facility Fund for the following project and associated expenses: Construction of a classroom and laboratory facility to house the Division of Business at Wayne State College, three million nine hundred twenty-five thousand five hundred twenty dollars. The cost limitation set forth in this section shall be exclusive of sums previously expended from other sources for planning and administrative costs, financing costs, and other costs associated with any contract which the Board of Trustees may enter into pursuant to this section and section 85-327 to implement the project listed in this section. The Board of Trustees shall record and report, on the Nebraska State Accounting System, expenditure of amounts from the State College Facility Fund and expenditure of proceeds arising from any contract entered into pursuant to this section and section 85-327 in such manner and format as prescribed by the Department of Administrative Services.

The Board of Trustees is authorized to make expenditures for the purposes stated in this section from investment income balances in the State College Facility Fund. Any balance existing in the State College Facility Fund or in any reserve funds created as part of a long-term contract entered into by the Board of Trustees pursuant to section 85-327 shall be transferred to the General Fund either on July 15, 1997, or when all financial obligations incurred in the contracts entered into by the Board of Trustees pursuant to section 85-327 are discharged, whichever occurs first. Any balance existing in any reserve funds created as part of a long-term contract entered into by the Board of Trustees pursuant to section 85-327 in excess of such level as may be required by such contract shall be annually transferred to the General Fund on July 15.

In order to accomplish the project authorized by section 85-326, the Board of Trustees of the Nebraska State Colleges may enter into contracts with any person, firm, or corporation providing for the long-term payment of the cost of such project from the State College Facility Fund. In no case shall any such contract extend for a period beyond July 15, 1997, or obligate payments beyond those which may be satisfied with funds available pursuant to sections 77-2602 and 85-326. The Board of Trustees shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriations specifically made by the Legislature for such purpose. No contract shall be entered into pursuant to this section without prior approval by a resolution of the Board of Trustees. The Board of Trustees may also convey or lease and lease back all or any part of the project authorized by section 85-326 and the land on which such project is situated to such person, firm, or corporation as the Board of Trustees may contract with pursuant to this section to facilitate the long-term payment of the cost of such project. Any such conveyance or lease shall provide that when the cost of such project has been paid, together with interest and other costs thereon, such project and the land on which such project is located shall become the property of the Board of Trustees.

The State College Capital Improvement Fee Fund is created. Revenue credited to the fund shall include amounts generated through assessment of a capital improvement fee under the authority of the Board of Trustees of the Nebraska State Colleges. Amounts accumulated in the fund are authorized to be expended for the purpose of paying the cost of capital improvement projects approved by the board of trustees for any facilities on campuses or lands owned or controlled by the board, except that no such amounts shall be expended for capital improvement projects relating to facilities from which revenue is derived and pledged for the retirement of revenue bonds issued under sections 85-403 to 85-411. All money accruing to the fund is appropriated to the board of trustees and shall be used for capital improvement projects authorized by the board. No expenditure may be made from the fund without prior approval by a resolution of the board of trustees. Any money in the 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. All revenue, fund balances, and expenditures shall be recorded in the Nebraska State Accounting System.

The State Colleges Sport Facilities Cash Fund is created. The fund shall be administered by the Board of Trustees of the Nebraska State Colleges. The fund shall include transfers from the Civic and Community Center Financing Fund, revenue received from gifts, grants, bequests, donations, other similar donation arrangements, or other contributions from public or private sources, and such other revenue as may accrue to the State Colleges Sport Facilities Cash Fund. Expenditures from the fund are authorized to support renovation and construction of or improvements to facilities for intercollegiate athletics and student fitness, recreation, and sport activities at the Nebraska state colleges. Any money in the 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.

(1) The Board of Trustees of the Nebraska State Colleges may establish, maintain, and administer one or more risk-loss trusts for the purpose of paying losses and expenses incurred by the state colleges from (a) general and professional liability, including, but not limited to, judgments, awards, and settlements of claims and suits arising under state or federal law, including, but not limited to, the State Contract Claims Act, the State Miscellaneous Claims Act, and the State Tort Claims Act, (b) damage, destruction, or loss of real or personal property, and (c) errors and omissions liability. Any such risk-loss trust shall contain provisions relating to defense and settlement of claims and suits covered by the trust. No risk-loss trust established pursuant to this section shall be a member of the Nebraska Property and Liability Insurance Guaranty Association.

(2) Whenever any claim or suit against the state colleges or any of the officers, agents, or employees of the state colleges is covered by a risk-loss trust established pursuant to this section, the provisions of such trust on defense and settlement of claims and suits covered by the trust shall be applicable notwithstanding any inconsistent provisions of the State Tort Claims Act. The Attorney General and State Claims Board shall cooperate with the state colleges in administering the defense and settlement provisions of any such trust.

It is the intent of the Legislature to appropriate fifty thousand dollars for fiscal year 2022-23 from the General Fund to the Board of Trustees of the Nebraska State Colleges for cooperative programs with Wayne State College.

Subject to subsection (10) of section 85-1414, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges are authorized to lease to any person, firm, or corporation such portions of the campus of the respective institutions under their control as may be necessary to be used as sites for the construction of fireproof buildings for dormitories and for boarding, housing, and student activity purposes, for athletic structures, and for parking or as sites for the establishment of parking facilities, and they may acquire lands adjacent to the campus of any such institution by donation or purchase with any funds they may have available for that purpose to be leased as sites for such buildings and facilities. Subject to subsection (10) of section 85-1414, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges may also lease from any person, firm, or corporation an athletic structure or structures constructed on a site or sites owned by the State of Nebraska when the person, firm, or corporation has the permission of the Legislature to construct on such site or sites.

The State of Nebraska shall incur no liability by reason of the exercise of the authority granted in this section to the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges other than is hereinafter specifically set forth. The buildings and facilities so erected or established shall be used solely for dormitories and for boarding, housing, and student activity purposes, for athletic structures, and for parking, as the case may be.

Subject to subsection (10) of section 85-1414, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges are hereby authorized to contract with the owners of the buildings and facilities so erected or established on the leased grounds or state sites to pay as rental or otherwise for the use of the buildings and facilities a sum sufficient to pay, on the amortization plan, the principal and interest thereon of the cost of construction or establishment of the buildings and facilities, such contracts to run not over forty years.

The rate of interest allowed on the cost of construction or establishment shall be fixed by the Board of Regents of the University of Nebraska or Board of Trustees of the Nebraska State Colleges, payable annually or semiannually as may be determined by the Board of Regents of the University of Nebraska or the Board of Trustees of the Nebraska State Colleges. The contract shall provide that when the cost of construction or establishment has been paid, together with interest thereon, the buildings and facilities so constructed or established shall become the property of the State of Nebraska.

The Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges are hereby authorized:

(1) To expend on the amortization plan any part of the rentals on any and all rooms, dormitories, dining rooms, and housing or student activity facility buildings or parking buildings or facilities constructed or established pursuant to section 85-401 and any part of the revenue of any athletic structure so constructed or established;

(2) In the case of the construction of buildings for dormitories and for boarding and housing purposes, to expend any part of the net rentals received from other buildings, theretofore constructed on the same campus for dormitories and for boarding and housing purposes, connected with the respective institutions under their control;

(3) In the case of the construction or establishment of buildings or facilities for parking, to expend any part of the net revenue received from other parking buildings and facilities, including parking registration fees, theretofore constructed or established on the same campus, connected with respective institutions under their control, in the payment of the construction or establishment charges and interest thereon; and

(4) To pledge on behalf of the respective institutions the net income from the rentals for the payment of such construction or establishment charges and interest.

In no case shall the contracts run for a longer period than forty years, and in no case is the Board of Regents of the University of Nebraska or the Board of Trustees of the Nebraska State Colleges authorized to pledge the credit of the State of Nebraska for the payment of any sum or sums over and above the net income derived from the use of the building or buildings or facility or facilities, except that there may be pledged for the payment of such contracts any appropriations specifically made for such purposes by the Legislature.

Supplemental to any existing law on the subject, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges, respectively, may construct, purchase, or otherwise acquire, remodel, repair, furnish, and equip dormitories, residence halls, single-dwelling or multiple-dwelling units, or other facilities for the housing and boarding of students, single or married, faculties, or other employees of the institutions under their control, buildings and structures for athletic purposes, for student and faculty unions or centers, and for the medical care and physical development and other activities of the students of the institutions, and buildings or other facilities for parking on real estate then owned or controlled by either of such boards or on real estate purchased, leased, or otherwise acquired for such purposes and pay the cost thereof, including such real estate, by issuing revenue bonds payable solely out of their revenue other than funds derived from taxation, except that any building or facility for parking shall be located on or adjacent to campuses controlled by such boards.

Bonds issued under the provisions of sections 85-403 to 85-411 are not an obligation of the State of Nebraska, and no tax shall ever be levied to raise funds for the payment thereof or interest thereon. The bonds shall not constitute a debt of the board issuing the same and shall be paid solely out of money derived from their revenue and earnings as provided in sections 85-403 to 85-411. If any proceeds from such bonds are available for investment, such investment shall be by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

The Legislature hereby finds and determines: It has been the experience of both the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges that the lack of facilities of the types authorized by section 85-403, to be constructed, purchased, or otherwise acquired, remodeled, repaired, furnished and equipped by such boards, has deterred many individuals from attending the institutions under the control of the boards or added increased burdens upon many individuals in attending such institutions. With the continuation of the trend of more high school graduates enrolling and remaining in the institutions under the control of the boards and the normal population growth of the state, the lack of such facilities may continue to deter many individuals from attending such institutions or may add additional burdens upon those who do attend. The powers granted to both boards under sections 85-401 to 85-411, and the exercise by the boards of such powers, are for educational purposes, being not only directly related to the carrying out by the boards of their functions in supplying higher education but in fact necessary to the carrying out of such functions to the greatest possible benefit of the people of the state. In connection with certain grants or contributions to the Board of Regents of the University of Nebraska, that board heretofore has been created a public corporation for educational purposes. It is necessary, advisable and desirable that its status as a public corporation organized for educational purposes specifically include the exercise by it of the powers granted to it under sections 85-401 to 85-411 and that the Board of Trustees of the Nebraska State Colleges also be created a public corporation organized for educational purposes for the exercise of the powers granted to it under such sections.

Either of the boards referred to in section 85-403 is hereby specifically authorized and empowered, by resolution or agreement, to pledge all or any part of the revenue and fees derived from the operation of the dormitories, residence halls, single-dwelling or multiple-dwelling units, buildings, and facilities for parking and other facilities for housing, boarding, athletic purposes, medical care, and physical development and other activities of students, faculties, or employees of such institutions referred to in section 85-403, or any of them, erected or acquired, or previously erected or acquired by such board, and contract as to the care, insurance, management, and operation of such buildings and facilities and the charges to be made and the rights of the holders of the revenue bonds. When the board contracts that the operation of any building or facility or part thereof shall be performed other than by the board itself, the board shall at all times maintain supervision thereof and control over the fees and charges imposed for the use thereof.

When such board proposes to pledge all or any part of the revenue and fees from buildings and facilities other than the building or facility to be constructed, the plans for such building or facility to be constructed, including financing plans, shall be reviewed and approved or disapproved by the Legislature or, if the Legislature is not in session, the Executive Board of the Legislative Council.

All revenue bonds issued under the provisions of sections 85-403 to 85-411, shall be registered in the office of the Director of Administrative Services of the State of Nebraska. The revenue bonds may be payable at the office of the State Treasurer of Nebraska or such bank or trust company, either within or without the State of Nebraska, or such other place as may be determined by the board.

The proceeds of bonds provided for in sections 85-403 to 85-411, shall be used solely for the purpose for which they are issued and the expense of issuance of the revenue bonds in connection therewith.

For the purpose of refunding any revenue bonds which may have been issued under the provisions of sections 85-403 to 85-411 and then outstanding, or for the purpose of refunding any indebtedness on the parking buildings and facilities of such institutions or on dormitories or other facilities for the housing, boarding, and activities of students, faculties, and employees of the institutions under the control of the boards issued under the provisions of Chapter 85, article 4, the boards are authorized to issue revenue refunding bonds in the same manner as herein provided for the issuance of revenue bonds.

The boards are authorized and directed to establish and maintain such schedule of rates, fees, or charges for the use of the facilities afforded by the buildings constructed or acquired under sections 85-401 to 85-411 and other facilities controlled by such board, the revenue of which in whole or in part is pledged to the holder of the bonds, which shall be in an amount at least sufficient on the amortization plan to pay the operating and maintenance charges thereof and the principal and interest representing the indebtedness against the income and revenue therefrom and may be sufficient in amount to provide for such bond reserve, replacement, and surplus funds as the boards in their discretion shall determine. The amounts in such funds shall be expended for such purposes in connection with the facilities as the boards shall determine, and any amount in any surplus or replacement fund and any amounts received through the sale, condemnation, or destruction of any facilities may be used to construct, repair, or replace any of the types of facilities described in section 85-403. Any amounts in such funds are specifically appropriated to the purposes of such funds and shall at all times be subject to the orders of the boards accordingly.

Before any single expenditure in excess of five hundred thousand dollars is made from any such surplus or replacement fund, the board concerned shall first submit such proposed expenditure to and secure the approval or disapproval of the Legislature or, if the Legislature is not in session, of the Executive Board of the Legislative Council.

The respective boards, referred to in section 85-403, in their discretion may furnish heat, light, power, and other similar utilities to any building or structure, or for any activities covered by the provisions of sections 85-403 to 85-411, without charging the same against the revenue derived therefrom.

In exercising the powers granted it under sections 85-401 to 85-411, and in issuing revenue bonds as provided in sections 85-403 to 85-411, the board exercising such powers or issuing the bonds shall constitute and be and is hereby created as a public corporation organized for educational purposes and is declared to be a governmental subdivision and instrumentality of the State of Nebraska, and all bonds issued under the authority of sections 85-403 to 85-411, together with interest thereon, shall be wholly exempt from taxation.

The boards are hereby authorized and empowered to do any and all things necessary and convenient to carry out the purposes and intent of sections 85-403 to 85-411.

(1) The Legislature finds and determines that protecting investments in buildings through the completion of renewal, renovation, replacement, or repair projects is of critical importance to the State of Nebraska. The Legislature further recognizes that arresting the continued deterioration of buildings and limiting the effects of inflation on the costs of such renewal, renovation, replacement, or repair of such facilities at the earliest possible time is necessary for protecting such investment in the buildings of the State of Nebraska. The state, the University of Nebraska, and the Nebraska state colleges have a shared goal of protecting the assets of the state and maintaining them at a level which will attract and retain students and serve Nebraskans effectively. In order to further this critical goal, it is necessary, desirable, and advisable that the Legislature extend the University of Nebraska Facilities Program, the State College Facilities Program, and the other capital appropriations referenced in sections 85-419 to 85-425 and provide the University of Nebraska and the Nebraska state colleges the necessary authority to efficiently pursue prevailing financing strategies and achieve cost savings by authorizing the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges to enter into long-term financing contracts to finance the facilities referenced in sections 85-419 to 85-425. In order to accomplish these goals, it is necessary, desirable, and advisable that the Legislature confirm and extend such programs to provide funds for such purposes to the University of Nebraska and the Nebraska state colleges over a period of years.

(2) The Legislature recognizes the commitment of the Board of Regents of the University of Nebraska to provide matching funds (a) up to eleven million dollars per year for the period beginning with the fiscal year commencing July 1, 2009, and continuing through the fiscal year ending June 30, 2030, (b) up to two million five hundred thousand dollars per year for the period beginning with the fiscal year commencing July 1, 2021, and continuing through the fiscal year ending June 30, 2030, and (c) up to thirteen million five hundred thousand dollars per year for the period beginning with the fiscal year commencing July 1, 2030, and continuing through the fiscal year ending June 30, 2062, to supplement amounts appropriated from the General Fund pursuant to section 85-421 to be applied for the purposes described in section 85-421.

(3) The Legislature recognizes the commitment of the Board of Trustees of the Nebraska State Colleges to provide matching funds up to one million four hundred forty thousand dollars per year for the period beginning with the fiscal year commencing July 1, 2006, and continuing through the fiscal year ending June 30, 2040, to supplement amounts appropriated from the General Fund pursuant to section 85-424 to be applied for the purposes described in section 85-424.

(4) The Legislature further acknowledges and reaffirms the directive made by Laws 2019, LB297, section 38, which sets forth the intent of the Legislature to continue the appropriations set forth in Laws 2017, LB330, section 35, in the amount of eight hundred twenty thousand dollars per year through 2050; in Laws 2017, LB330, section 36, in the amount of two million one hundred sixty-five thousand nine hundred twenty-eight dollars per year through 2050; and in Laws 2017, LB330, section 37, in the amount of one million four hundred seventy-seven thousand dollars per year through 2050.

(5) The Legislature further acknowledges and affirms the directive made by Laws 2019, LB297, section 37, which sets forth the intent of the Legislature to continue the appropriations set forth in Laws 2013, LB198, section 37, in the amount of two million two hundred sixteen thousand dollars per year through 2035.

(6) Sections 85-419 to 85-425 do not modify, reduce, or eliminate any provision of subsection (10) of section 85-1414 requiring the approval of the Coordinating Commission for Postsecondary Education for any renewal, renovation, replacement, or repair project authorized by section 85-421 or 85-424 and undertaken by the Board of Regents of the University of Nebraska or the Board of Trustees of the Nebraska State Colleges.

The University of Nebraska Facilities Program is created. All funds appropriated to the program by the Legislature shall be used exclusively for the projects listed in section 85-421 or for renewal, renovation, replacement, or repair projects authorized pursuant to section 85-421.

(1) The Legislature shall appropriate from the General Fund (a) an amount not less than five million five hundred thousand dollars for each fiscal year for the period beginning with the fiscal year commencing July 1, 2006, and continuing through the fiscal year ending June 30, 2009, (b) an amount not less than eleven million dollars for each fiscal year for the period beginning with the fiscal year commencing July 1, 2009, and continuing through the fiscal year ending June 30, 2030, (c) an amount not less than two million five hundred thousand dollars for each fiscal year for the period beginning with the fiscal year commencing July 1, 2021, and continuing through the fiscal year ending June 30, 2030, (d) an amount not less than thirteen million five hundred thousand dollars for each fiscal year for the period beginning with the fiscal year commencing July 1, 2030, and continuing through the fiscal year ending June 30, 2062, and (e) an amount not less than four million four hundred sixty-two thousand nine hundred twenty-eight dollars in each fiscal year for the appropriations referred to in subsection (4) of section 85-419, which shall be continued through the fiscal year ending June 30, 2062, to the University of Nebraska Facilities Program to be used by the Board of Regents of the University of Nebraska to accomplish projects as provided in this section. Through the allotment process established in section 81-1113, the Department of Administrative Services shall make appropriated funds available. Undisbursed appropriations balances existing in the University of Nebraska Facilities Program at the end of each fiscal year until June 30, 2063, shall be and are hereby reappropriated.

(2) The Legislature finds and determines that the projects funded through the University of Nebraska Facilities Program are of critical importance to the State of Nebraska. It is the intent of the Legislature that the appropriations to the program shall not be reduced until all contracts and securities relating to the construction and financing of the projects or portions of the projects funded from such funds or accounts of such funds are completed or paid but in no case shall such appropriations extend beyond the fiscal year ending June 30, 2062.

(3) Subject to the receipt of project approval from the Coordinating Commission for Postsecondary Education as required by subsection (10) of section 85-1414 for each of the following University of Nebraska projects, the Board of Regents of the University of Nebraska is authorized to make expenditures from the University of Nebraska Facilities Program for the following projects: (a) Deferred maintenance, repair, and renovation of University of Nebraska at Kearney Bruner Hall; (b) construction of University of Nebraska at Kearney campus-wide central utilities plant and system; (c) construction of facilities to replace University of Nebraska-Lincoln Behlen, Brace, and Ferguson Halls or deferred maintenance, repair, and renovation of University of Nebraska-Lincoln Behlen, Brace, and Ferguson Halls; (d) construction of a facility to replace University of Nebraska-Lincoln Keim Hall or deferred maintenance, repair, and renovation of University of Nebraska-Lincoln Keim Hall; (e) deferred maintenance, repair, and renovation of University of Nebraska-Lincoln Sheldon Memorial Art Gallery; (f) deferred maintenance, repair, and renovation of University of Nebraska-Lincoln Animal Science Complex; (g) deferred maintenance, repair, and renovation of University of Nebraska Medical Center Poynter, Bennet, and Wittson Halls; (h) deferred maintenance, repair, and renovation of University of Nebraska Medical Center Eppley Institute for Research in Cancer and Allied Diseases or replacement if additional federal or private funds are received; (i) deferred maintenance, repair, and renovation of University of Nebraska Medical Center College of Dentistry; (j) deferred maintenance, repair, and renovation of University of Nebraska at Omaha Library; (k) deferred maintenance, repair, and renovation of University of Nebraska at Omaha utilities infrastructure; (l) University of Nebraska-Lincoln Scott Engineering Center; (m) University of Nebraska-Lincoln Nebraska Hall; (n) University of Nebraska-Lincoln Mabel Lee Hall/Henzlik Hall; (o) University of Nebraska Medical Center Wittson Hall-Phase I; (p) University of Nebraska Medical Center Joseph D. & Millie E. Williams Science Hall (College of Pharmacy); (q) renovation of a privately funded acquisition at the University of Nebraska at Omaha; (r) University of Nebraska at Omaha Strauss Performing Arts Center; (s) University of Nebraska at Omaha Arts and Sciences Hall; (t) University of Nebraska at Kearney Otto C. Olsen Building; (u) the facilities financed with the appropriations referred to in subsection (4) of section 85-419, including the Nebraska College of Technical Agriculture at Curtis Education Center and the College of Nursing Building on the campus of the University of Nebraska-Lincoln; and (v) any renewal, renovation, replacement, or repair of existing University of Nebraska facilities.

(4) Expenditures of matching funds provided for the projects listed in this section by the Board of Regents of the University of Nebraska as provided for in section 85-419 shall be accounted for in the Nebraska State Accounting System through the University of Nebraska Facilities Program or according to some other reporting process mutually agreed upon by the University of Nebraska and the Department of Administrative Services.

(5) The Board of Regents of the University of Nebraska shall record and report, on the Nebraska State Accounting System, expenditure of amounts from the University of Nebraska Facilities Program and expenditure of proceeds arising from any contract entered into pursuant to this section and section 85-422 in such manner and format as prescribed by the Department of Administrative Services or according to some other reporting process mutually agreed upon by the University of Nebraska and the Department of Administrative Services.

(6) At least once every two fiscal years beginning in the fiscal year 2023-24 for the biennial period from fiscal years 2023-25, the Board of Regents of the University of Nebraska shall report to the Legislature (a) the projects expected to be constructed or newly financed in the next biennium from the University of Nebraska Facilities Program and (b) the projects that were constructed or newly financed in the previous biennium from the University of Nebraska Facilities Program. In addition, at least once every five fiscal years beginning in the fiscal year 2024-25 for the fiscal years 2026-30, the Board of Regents shall provide to the Legislature a copy of its current long-term capital plan for projects to be constructed or newly financed from the University of Nebraska Facilities Program.

(7) The Board of Regents of the University of Nebraska shall establish a program to deposit annually, beginning with the fiscal year commencing July 1, 2025, an amount equal to two percent of the total project costs of new renewal, renovation, replacement, or repair projects expended during the immediately preceding fiscal year and financed with the University of Nebraska Facilities Program. Such funds may be held by a bank or trust company in trust, and amounts deposited therein shall be invested as the Board of Regents determines in accordance with its investment policies. The Board of Regents shall apply amounts in such fund, together with investment earnings thereon, to pay for renewal, renovation, replacement, or repair projects for university facilities as the Board of Regents shall determine.

(1) In order to accomplish any projects authorized by section 85-421, the Board of Regents of the University of Nebraska may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the University of Nebraska and providing for the long-term payment of the cost of such project from the University of Nebraska Facilities Program. In no case shall any such contract extend for a period beyond December 31, 2063, nor shall any such contract exceed the repayment capabilities implicit in the funding streams authorized in sections 85-419 to 85-422.

(2) The Board of Regents of the University of Nebraska shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriation specifically made by the Legislature for such purpose, together with such funds of the Board of Regents of the University of Nebraska as the board determines. No contract shall be entered into pursuant to this section without prior approval by the Board of Regents. The Board of Regents may also convey, lease, or lease back all or any part of the projects authorized by section 85-421 and the land on which such projects are situated to such person, firm, or corporation as the Board of Regents may contract with pursuant to this section to facilitate the long-term payment of the cost of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the Board of Regents.

(3) The Board of Regents of the University of Nebraska is authorized to make expenditures for the purposes stated in this section and section 85-421 from investment income balances in any fund created under the authority provided for in any contract or contracts authorized by this section. Any balance existing in the University of Nebraska Facilities Program, whether from appropriations or the designated amounts identified in section 85-419, in excess of amounts required to meet debt service and any interest thereon for any related financing contract, and excluding amounts on deposit in the trust fund established pursuant to subsection (7) of section 85-421, shall be distributed proportionally between the Board of Regents and the Department of Administrative Services as to the total amount contributed to the program by the Board of Regents pursuant to section 85-419 and by the state, beginning in the fiscal year commencing July 1, 2009, through and including the fiscal year ending June 30, 2062, on December 31, 2063, or when all financial obligations incurred in the contracts entered into by the Board of Regents pursuant to this section are discharged, whichever occurs first.

The State College Facilities Program is created. All funds appropriated to the program by the Legislature shall be used exclusively for the projects listed in section 85-424 or for renewal, renovation, replacement, or repair projects authorized pursuant to section 85-424.

(1) The Legislature shall appropriate from the General Fund (a) an amount not less than one million one hundred twenty-five thousand dollars to the State College Facilities Program for each fiscal year for the period commencing July 1, 2006, and continuing through the fiscal year ending June 30, 2040, and (b) an amount not less than two million two hundred sixteen thousand dollars in each fiscal year for the appropriations referred to in subsection (5) of section 85-419, which shall be continued through the fiscal year ending June 30, 2040, to the State College Facilities Program to be used by the Board of Trustees of the Nebraska State Colleges to accomplish projects as provided in this section. Through the allotment process established in section 81-1113 the Department of Administrative Services shall make appropriated funds available. Undisbursed appropriations balances existing in the State College Facilities Program at the end of each fiscal year until June 30, 2041, shall be and are hereby reappropriated.

(2) The Legislature finds and determines that the projects funded through the State College Facilities Program are of critical importance to the State of Nebraska. It is the intent of the Legislature that the appropriations to the program shall not be reduced until all contracts and securities relating to the construction and financing of the projects or portions of the projects funded from such funds or accounts of such funds are completed or paid but in no case shall such appropriations extend beyond the fiscal year ending June 30, 2040.

(3) Subject to the receipt of project approval from the Coordinating Commission for Postsecondary Education as required by subsection (10) of section 85-1414 for each of the following state college projects, the Board of Trustees of the Nebraska State Colleges is authorized to make expenditures from the State College Facilities Program for the following state college projects: (a) Deferred maintenance, repair, and renovation of Chadron State College Academic/Administration Building; (b) design and placement of a new Peru State College emergency power generator; (c) replacement of existing Peru State College Al Wheeler Activity Center bleachers; (d) addition to and deferred maintenance, repair, and renovation of Peru State College Al Wheeler Activity Center; (e) addition to and deferred maintenance, repair, and renovation of Wayne State College Campus Services Building; (f) deferred maintenance, repair, and renovation of Wayne State College Rice Auditorium; (g) deferred maintenance, repair, and renovation of Wayne State College Memorial Stadium; (h) replacement of or deferred maintenance, repair, and renovation of Chadron State College stadium; (i) addition to and deferred maintenance, repair, and renovation of Peru State College Theatre/Event Center; (j) construction of a facility to replace Wayne State College Benthack Hall applied technology programmatic space; (k) systemwide miscellaneous fire and life safety, energy conservation, deferred repair, federal Americans with Disabilities Act of 1990, and asbestos removal projects; (l) construction of the Math Science Facility at Chadron State College; (m) construction and renovation of the Indoor/Outdoor Recreation Complex at Peru State College; (n) addition to and renovation of Wayne State College Rice Auditorium and Kirk Gardner Indoor Athletic Complex; and (o) any renewal, renovation, replacement, or repair of existing state college facilities.

(4) Expenditures of matching funds provided for the projects listed in this section by the Board of Trustees of the Nebraska State Colleges as provided for in section 85-419 shall be accounted for in the Nebraska State Accounting System through the State College Facilities Program or according to some other reporting process mutually agreed upon by the state colleges and the Department of Administrative Services.

(5) The Board of Trustees of the Nebraska State Colleges shall record and report, on the Nebraska State Accounting System, expenditure of amounts from the State College Facilities Program and expenditure of proceeds arising from any contract entered into pursuant to this section and section 85-425 in such manner and format as prescribed by the Department of Administrative Services or according to some other reporting process mutually agreed upon by the state colleges and the Department of Administrative Services.

(6) At least once every two fiscal years beginning with fiscal year 2023-24 for the biennial period from fiscal years 2023-25, the Board of Trustees of the Nebraska State Colleges shall report to the Legislature (a) the projects expected to be constructed or newly financed in the next biennium from the State College Facilities Program and (b) the projects that were constructed or newly financed in the previous biennium from the State College Facilities Program. In addition, at least once every ten fiscal years beginning with fiscal year 2022-23, the Board of Trustees shall provide to the Legislature a copy of its current long-term capital plan for projects to be constructed or newly financed from the State College Facilities Program.

(1) In order to accomplish any projects authorized by section 85-424, the Board of Trustees of the Nebraska State Colleges may enter into contracts with any person, firm, or corporation providing for the implementation of any such project of the Nebraska state colleges and providing for the long-term payment of the cost of such project from the State College Facilities Program. In no case shall any such contract extend for a period beyond December 31, 2041, nor shall any such contract exceed the repayment capabilities implicit in the funding streams authorized in sections 85-419 and 85-424.

(2) The Board of Trustees of the Nebraska State Colleges shall not pledge the credit of the State of Nebraska for the payment of any sum owing on account of such contract, except that there may be pledged for the payment of any such contract any appropriation specifically made by the Legislature for such purpose, together with such funds of the Board of Trustees as the board determines. No contract shall be entered into pursuant to this section without prior approval by the Board of Trustees. The Board of Trustees may also convey, lease, or lease back all or any part of the projects authorized by section 85-424 and the land on which such projects are situated to such person, firm, or corporation as the Board of Trustees may contract with pursuant to this section to facilitate the long-term payment of the cost of such projects. Any such conveyance or lease shall provide that when the cost of such projects has been paid, together with interest and other costs thereon, such projects and the land on which such projects are located shall become the property of the Board of Trustees.

(3) The Board of Trustees of the Nebraska State Colleges is authorized to make expenditures for the purposes stated in this section and section 85-424 from investment income balances in any fund created under the authority provided for in any contract or contracts authorized by this section. Any balance existing in the State College Facilities Program, whether from appropriations or the designated amounts identified in section 85-419, in excess of amounts required to meet debt service and any interest thereon for any related financing contract, shall be distributed proportionally between the Board of Trustees and the Department of Administrative Services as to the total amount contributed to the program by the Board of Trustees pursuant to section 85-419 and by the state, beginning in the fiscal year commencing July 1, 2006, through and including the fiscal year ending June 30, 2040, on December 31, 2041, or when all financial obligations incurred in the contracts entered into by the Board of Trustees pursuant to this section are discharged, whichever occurs first.

All capital construction projects, including applicable financing plans, proposed by any nonprofit corporation created by the Board of Regents of the University of Nebraska or the Board of Trustees of the Nebraska State Colleges shall be submitted to the Legislature for review and approval or disapproval by the Legislature, or if the Legislature is not in session, the Executive Board of the Legislative Council, when (1) state general funds, (2) funds received by the University of Nebraska or any state college for the purposes of reimbursing overhead costs and expenses in connection with any federal or other grant or contract, (3) tuition, or (4) the state's operating investment pool investment income constitutes all or any part of the funds used for the repayment of all or any part of the bonds of such nonprofit corporation. This section does not apply to any construction project or financing plan comprising part of the University of Nebraska Facilities Program or the State College Facilities Program to the extent that subsection (6) of section 85-421 and subsection (6) of section 85-424 have been complied with by the respective boards referenced in such sections.

All state educational institutions shall charge nonresident fees to be paid by nonresidents of Nebraska who shall matriculate at any such institution, and the governing board of each institution may fix and collect such fees. Subject to the minimum standards provided by section 85-502, resident status shall be determined at the time of each registration according to rules and regulations which the governing board of each institution shall establish.

Rules and regulations established by the governing board of each state postsecondary educational institution shall require as a minimum that a person is not deemed to have established a residence in this state, for purposes of sections 85-501 to 85-504, unless:

(1) Such person is of legal age or is an emancipated minor and has established a home in Nebraska where he or she is habitually present for a minimum period of one hundred eighty days, with the bona fide intention of making this state his or her permanent residence, supported by documentary proof;

(2) The parents, parent, or guardian having custody of a minor registering in the educational institution have established a home in Nebraska where such parents, parent, or guardian are or is habitually present with the bona fide intention to make this state their, his, or her permanent residence, supported by documentary proof. If a student has matriculated in any state postsecondary educational institution while his or her parents, parent, or guardian had an established home in this state, and the parents, parent, or guardian ceases to reside in the state, such student shall not thereby lose his or her resident status if such student has the bona fide intention to make this state his or her permanent residence, supported by documentary proof;

(3) Such student is of legal age and is a dependent for federal income tax purposes of a parent or former guardian who has established a home in Nebraska where he or she is habitually present with the bona fide intention of making this state his or her permanent residence, supported by documentary proof;

(4) Such student is a nonresident of this state prior to marriage and marries a person who has established a home in Nebraska where he or she is habitually present with the bona fide intention of making this state his or her permanent residence, supported by documentary proof;

(5) Except as provided in subdivision (9) of this section, such student, if an alien, has applied to or has a petition pending with the United States Immigration and Naturalization Service to attain lawful status under federal immigration law and has established a home in Nebraska for a period of at least one hundred eighty days where he or she is habitually present with the bona fide intention to make this state his or her permanent residence, supported by documentary proof;

(6) Such student is a staff member or a dependent of a staff member of the University of Nebraska, one of the Nebraska state colleges, or one of the community college areas who joins the staff immediately prior to the beginning of a term from an out-of-state location;

(7)(a) Such student is on active duty with the armed services of the United States and has been assigned a permanent duty station in Nebraska; or

(b) Such student is a spouse or legal dependent of a person who was on active duty with the armed services of the United States assigned to a permanent duty station in Nebraska at the time such student was accepted for admission to the state postsecondary educational institution and such student remains continually enrolled at such state postsecondary educational institution;

(8) Such student is currently serving in the Nebraska National Guard;

(9)(a) Such student resided with his or her parent, guardian, or conservator while attending a public, private, denominational, or parochial high school in this state or a school in this state which elects pursuant to section 79-1601 not to meet accreditation or approval requirements and:

(i) Graduated from a public, private, denominational, or parochial high school in this state, completed the program of instruction offered by a school in this state which elects pursuant to section 79-1601 not to meet accreditation or approval requirements, or received a diploma of high school equivalency issued pursuant to section 79-730;

(ii) Resided in this state for at least three years before the date the student graduated from the high school, completed the program of instruction, or received the diploma of high school equivalency;

(iii) Registered as an entering student in a state postsecondary educational institution not earlier than the 2006 fall semester; and

(iv) Provided to the state postsecondary educational institution an affidavit stating that he or she will file an application to become a permanent resident at the earliest opportunity he or she is eligible to do so.

(b) If the parent, guardian, or conservator with whom the student resided ceases to reside in the state, such student shall not lose his or her resident status under this subdivision if the student has the bona fide intention to make this state his or her permanent residence, supported by documentary proof; or

(10) Such student is qualified for a national service educational award or summer of service educational award from the National Service Trust pursuant to 42 U.S.C. 12602, as such section existed on January 1, 2021.

(1) A person who enrolls in a public college or university in this state and who is (a) a veteran as defined in Title 38 of the United States Code and was discharged or released from a period of not fewer than ninety days of service in the active military, naval, air, or space service, (b) a spouse or dependent of such a veteran, or (c) an eligible recipient entitled to (i) educational assistance as provided in 38 U.S.C. 3319 while the transferor is on active duty in the uniformed services, (ii) educational assistance as provided in 38 U.S.C. 3311(b)(8), (iii) rehabilitation as provided in 38 U.S.C. 3102(a), or (iv) educational assistance as provided in 38 U.S.C. 3510, as such sections existed on January 1, 2023, shall be considered a resident student notwithstanding section 85-502 if the person is registered to vote in Nebraska and demonstrates objective evidence of intent to be a resident of Nebraska, except that a person who is under eighteen years of age is not required to register to vote in Nebraska.

(2) For purposes of this section, objective evidence of intent to be a resident of Nebraska includes a Nebraska driver's license, a Nebraska state identification card, a Nebraska motor vehicle registration, or documentation that the individual is registered to vote in Nebraska.

All state institutions are empowered to fix tuition and other fees to be paid by students residing in Nebraska.

Rules may be made by each institution for waiving or refunding fees to students maintaining high scholarship, or to those who, maintaining satisfactory scholarship, are in need of financial assistance.

Any member of the Nebraska National Guard who enrolls in any state-supported university, college, or community college or any independent, not-for-profit, accredited college or university in this state shall be entitled to a credit of one hundred percent of the resident tuition charges of such school for a diploma, certificate, associate degree, or baccalaureate degree program or fifty percent of the resident tuition charges of such school for a graduate or professional degree program, except that any member who attends an independent, not-for-profit, accredited college or university in this state shall receive a credit in an amount no higher than such member would receive if attending the University of Nebraska-Lincoln. Such entitlement shall, subject to the requirements of sections 85-505 to 85-508, continue for as long as the member maintains satisfactory performance with the guard and pursues a course of study in such institution in a manner which satisfies the normal requirements of the institution. The number of individuals granted tuition credit shall not exceed the number specified in section 85-505.01 during any fiscal year, and the amount of tuition credits granted shall not exceed nine hundred thousand dollars during any fiscal year. When determining to whom such tuition credit shall be awarded, priority shall be given to those individuals who have previously received tuition credits while a National Guard member, and the Nebraska National Guard shall apply those program qualifications and limitations consistent with efficient and effective program management as determined by the Adjutant General.

(1) The tuition assistance program prescribed in sections 85-505 to 85-508 shall not be available to:

(a) More than one thousand two hundred members during any fiscal year; and

(b) Any member who has not exhausted any available federal tuition assistance benefits.

(2) Only credit-bearing courses which meet program requirements shall be approved for tuition assistance under sections 85-505 to 85-508. Members shall not receive tuition assistance for any noncredit courses.

(3) If a member of the Nebraska National Guard voluntarily withdraws from a course for which tuition assistance is being received, the member shall be liable for all costs relating to such withdrawal, including, but not limited to, all of the costs billed by the educational institution to the Nebraska National Guard. Reimbursement shall be in accordance with section 72-1601.

(4) Any member of the Nebraska National Guard who receives tuition assistance shall agree in writing to serve in the Nebraska National Guard for three years after the completion of the courses for which tuition assistance was given. Any member who receives tuition assistance may be asked to reimburse the State of Nebraska if any such member leaves the Nebraska National Guard during such three-year period. Reimbursement shall be in accordance with section 72-1601.

(5) The Military Department shall retain the responsibility and authority to establish any limitations and controls it deems necessary to ensure maximum fiscal efficiency and productivity of the tuition assistance program prescribed in sections 85-505 to 85-508.

It shall be the responsibility of the individual member of the Nebraska National Guard to obtain a certificate from such member's commanding officer attesting as to the satisfactory guard performance of such member and to present the same to the educational institution in order to obtain tuition credit. Such certification shall be accomplished at the time of enrollment for each semester or academic term for which tuition credit is requested. Such certification shall include a signed agreement by the individual to serve in the National Guard for a minimum of three years from the date of certification.

The spouse and children of any member of the Nebraska National Guard who dies while serving in the active service of the state shall be entitled to a credit of one hundred percent of the tuition charges in any state-supported university, college, or community college or any independent, not-for-profit, accredited college or university in this state, except that any spouse or child who attends an independent, not-for-profit, accredited college or university in this state shall receive a credit in an amount no higher than that spouse or child would receive if attending the University of Nebraska-Lincoln. Such tuition credit shall be for any undergraduate course of education not exceeding four years, except that no credit shall be granted to the spouse after the tenth anniversary of the member's death and no credit shall be granted to a child after such child's twenty-fifth birthday. All persons eligible for tuition credit under this section shall obtain a certificate of eligibility from the Adjutant General of the Nebraska National Guard and present such certificate to the educational institution.

Upon receipt of a certificate described in section 85-506, the educational institution shall endorse on the certificate the dollar amount of the tuition credit granted pursuant to such section and return such certificate to the Nebraska National Guard office issuing the certificate. The educational institution shall compile a record of the total dollar amount of the tuition credits granted for the academic term. At the completion of the academic term, the institution shall submit the total amount of such credits together with a request for reimbursement of such amount to the National Guard. Upon receipt of the request, the National Guard shall reimburse the institution.

It shall be grounds for the dismissal of any member of the faculty or administrative staff employed by, or the expulsion of any student attending, the University of Nebraska or any community college in this state to use or assist others in any way in the use of force or to counsel, recommend, or urge the use of force or the threat of force or the seizure of property under the control of such institution, or by any act or action not sanctioned by law to prevent the faculty, administrative officers, employees, or students in such institution from engaging in their normal duties in connection with the operation of the institution or pursuing their studies at such institution.

No person shall be dismissed or expelled under section 85-601 until such person has been accorded a public hearing under rules and regulations for the administration of sections 85-601 to 85-605 established by the governing body. Notice of such hearing and a formal written statement of the charges against such person shall be served by either registered or certified mail, sent to such person's current address as shown on the records of the University of Nebraska or community college, at least twenty days before the date set for hearing. Such person shall be entitled to file a written response to such charges, to be present in person and by counsel at the hearing, and to testify and produce other witnesses on his or her behalf.

Dismissal or expulsion of any person under section 85-601 shall be by written order, which shall contain findings of fact upon which dismissal or expulsion is based, and shall be signed by an authorized agent of the governing body. The order shall be entered within thirty days after the hearing, shall state its effective date, and shall be served by either registered or certified mail, return receipt requested, sent to such person's current address as shown on the records of the University of Nebraska or community college.

Each governing body shall adopt rules and regulations for the administration of sections 85-601 to 85-605.

For purposes of sections 85-601 to 85-605, (1) dismissal does not include the failure to renew a probationary appointment of any faculty member or administrative staff member and (2) governing body means the Board of Regents of the University of Nebraska or the Community College Board of Governors, as applicable.

(1) Employees of the state colleges, community colleges, and the University of Nebraska may retire upon reaching the age of sixty-five. Any law enforcement personnel reaching the age of seventy shall retire, except that, with the annual approval of the governing board of the institution and the employee, such employee may continue his or her employment beyond the attainment of age seventy.

(2) Any employee continuing to work after age sixty-five shall continue to make contributions to the appropriate retirement system until the date of retirement.

(3) No faculty member of the University of Nebraska, the Nebraska State Colleges, or the community colleges shall have his or her tenure status revoked without due process.

The Board of Trustees of the Nebraska State Colleges, any community college area board, and the Board of Regents of the University of Nebraska shall have the authority to purchase retirement annuity contracts for any or all of their employees at the direction of the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act and may enter into contracts with their employees providing for the purchase of such retirement annuity contracts under the provisions of the Internal Revenue Code. Such employment contracts may provide that the amounts contributed by the employer for such annuity contracts shall be the result of an agreement of the employee to take a reduction in salary or to forego an increase in salary, but only to the extent such amounts are earned by the employee after the agreement becomes effective. Such an agreement must be legally binding and irrevocable with respect to amounts earned while the agreement is in effect. The right of an employee to such an annuity contract is nonforfeitable, except for failure to pay future premiums. Such an annuity contract is nontransferable.

No publicly funded college or university in this state shall prohibit the admission of any student, or discriminate against any student with regard to determinations of residency status or scholarship eligibility, on the basis that such student was educated in a school which elects to meet the requirements of subsections (2) through (6) of section 79-1601 if the student is qualified for admission as shown by testing results.

(1) Except as provided in subsection (2) of this section, no publicly funded college or university in this state shall, as part of the student application and admission process for disciplines not requiring licensure or clinical or field placements, inquire about or consider any applicant's criminal history or juvenile court record information.

(2)(a) Subsection (1) of this section does not prohibit an inquiry regarding an applicant's criminal history or juvenile court record information or consideration of such matters to the extent required by state or federal law or when such matters are voluntarily submitted by an applicant.

(b) Any inquiry regarding an applicant's criminal history or juvenile court record information and any consideration of such matters shall be strictly limited to the extent permitted by this subsection.

(3) This section does not apply to inquiries or consideration of criminal history or juvenile court record information (a) occurring subsequent to the student application and admission process as part of a professional licensure process or an academically required clinical or field placement, (b) in any application or other process relating to student housing, or (c) in any application or other process relating to any athletic program.

(4) For purposes of this section, criminal history or juvenile court record information means all records relating to an applicant's criminal history record or juvenile court record, including, but not limited to, any information or other data concerning any proceedings relating to a case, any arrest, being taking into custody, a petition, a complaint, an indictment, an information, a trial, a hearing, an adjudication, any correctional supervision, a dismissal, or any other disposition or sentence.

(1) On or before September 15, 2021, and September 15 of each odd-numbered year thereafter, each public postsecondary institution shall electronically submit a report regarding sexual harassment and Title IX compliance to the Clerk of the Legislature and the Education Committee of the Legislature. The report shall include:

(a) Results of any campus climate survey related to sexual harassment;

(b) Information related to the training provided to Title IX coordinators, investigators, and decisionmakers regarding sexual harassment;

(c) Any policies, initiatives, or grievance procedures the postsecondary institution has adopted to address sexual harassment;

(d) Information on where the postsecondary institution's students and employees may receive immediate emergency assistance to address instances of sexual harassment;

(e) Information on how the postsecondary institution's students and employees may report concerns of sexual harassment to the postsecondary institution;

(f) Information on resources, programs, and support available to the postsecondary institution's students and employees to address concerns of sexual harassment;

(g) Information on any of the postsecondary institution's student or employee-led organizations engaged in supporting victims of sexual harassment; and

(h) Any agreement between the postsecondary institution and a local law enforcement agency or the county attorney related to addressing instances of sexual harassment.

(2) The report shall not include any personally identifiable information, information that is subject to a privilege arising under state or federal law, or records that may be withheld from disclosure under section 84-712.05.

(3) On or before December 15, 2021, and on or before December 15 of each odd-numbered year thereafter, the Education Committee of the Legislature shall hold a public hearing to review all reports submitted under this section.

(4) For purposes of this section:

(a) Postsecondary institution has the same meaning as in section 85-2403;

(b) Sexual harassment means conduct that satisfies one or more of the following:

(i) An employee conditioning the provision of an aid, benefit, or service on an individual's participation in unwelcome sexual conduct;

(ii) Unwelcome conduct on the basis of sex determined by a reasonable person to be so severe, pervasive, and objectively offensive that it effectively denies a person equal access to the education program or activity;

(iii) Sexual assault as defined in 20 U.S.C. 1092(f)(6)(A)(v);

(iv) Dating violence as defined in 34 U.S.C. 12291(a)(10);

(v) Domestic violence as defined in 34 U.S.C. 12291(a)(8); or

(vi) Stalking as defined in 34 U.S.C. 12291(a)(30); and

(c) Title IX means Title IX of the Education Amendments of 1972, Public Law 92-318, 20 U.S.C. 1681 to 1688, and its accompanying regulations and guidance documents, as amended.

Beginning with the 2022-23 academic year, each public postsecondary institution authorized to operate in this state shall require that the telephone number for a national suicide prevention hotline, a local suicide prevention hotline, or a crisis text line is printed on each new student identification card issued to a student enrolled in such public postsecondary institution. Nothing in this section shall be construed to require the issuance of student identification cards to students in any postsecondary institution.

There is hereby established the Eugene C. Eppley Institute for Research in Cancer and Allied Diseases, to be located on the campus of the University of Nebraska Medical Center in Omaha, Nebraska.

The institute shall operate in accordance with the policies and regulations of the Board of Regents of the University of Nebraska.

The director of the institute shall be appointed by the Board of Regents of the University of Nebraska. He shall be the chief executive officer and scientific director of the institute, shall hold professorial rank and shall be responsible to the Board of Regents through the Chancellor of the University of Nebraska Medical Center and the president of the university.

It shall be the purpose and function of the institute to carry on research into the causes, control and cure for cancer and similar disorders and to conduct symposia and lectures and to issue monographs, treatises and reports so that the findings, techniques and discoveries developed or confirmed by the institute may be disseminated to the medical profession, medical schools and research centers to accelerate the conquest of cancer and to relieve those suffering therefrom. To carry out such purpose and function, the institute may receive and accept, through the University of Nebraska, any grants, gifts or other contributions from any governmental or public agency or from any other person, firm or corporation.

There is hereby created a Regional Radiation Health Center, to be developed within the University of Nebraska Medical Center Hospital and supervised by the University of Nebraska Medical Center, for the purpose of offering: (1) Specialized medical and related services for evaluation, treatment, and management of radiation casualties; (2) routine medical, radiation protection, consultation, and associated services to nuclear-oriented facilities and industry generally associated with radiation sources; and (3) educational programs for nuclear safety, with emphasis on preventive medical and radiologic protection in industry.

Regional Radiation Health Center facilities and services may also be utilized for the care and treatment of patients other than radiation casualties whenever such facilities are not being fully utilized for radiation casualties.

In order to carry out the purposes for which it is established, the Regional Radiation Health Center shall: (1) Employ professional medical and allied health personnel for the diagnosis and treatment of radiation casualties; (2) acquire appropriate instrumentation and equipment to support the unique aspects of diagnosis and treatment of radiation injury; (3) develop specialized patient care facilities for initial receiving, evaluation, decontamination and emergency treatment of radiation casualties; (4) specialized patient care facilities for long-term inpatient management of radiation injury; and (5) any appropriate support facilities to assist the comprehensive management of radiation injury.

Any of the facilities and services provided for in subdivisions (1) to (5) of this section may be applied to the care and treatment of patients other than radiation casualties whenever not being fully utilized for radiation casualties.

Upon the payment of eighty thousand dollars to the University of Nebraska Medical Center for the development of the Regional Radiation Health Center described in sections 85-805 and 85-806, a public power district owning a nuclear electric generating plant in Nebraska shall have the right to refer patients to the Regional Radiation Health Center and obtain services at cost, and no public power district shall operate a nuclear electric generating plant in Nebraska without obtaining such right.

(1) Every student and teacher in colleges, universities, or other postsecondary educational institutions shall wear appropriate industrial-quality eye protective devices at all times while participating in or observing the following courses of instruction:

(a) Vocational, technical, industrial arts, chemical, or chemical-physical, involving exposure to:

(i) Hot molten metals or other molten materials;

(ii) Milling, sawing, turning, shaping, cutting, grinding, or stamping of any solid materials;

(iii) Heat treatment, tempering, or kiln firing of any metal or other materials;

(iv) Gas or electric arc welding or other forms of welding processes;

(v) Repair or servicing of any vehicle; or

(vi) Caustic or explosive materials; and

(b) Chemical, physical, or combined chemical-physical laboratories involving caustic or explosive materials, hot liquids or solids, injurious radiations, or other hazards not enumerated.

Such devices may be furnished by the postsecondary educational institution for all students and teachers, purchased and sold at cost to students and teachers, or made available for a moderate rental fee and shall be furnished for all visitors to shops and laboratories of such institutions.

(2) For purposes of this section, unless the context otherwise requires, industrial-quality eye protective devices means devices which meet the standard of the American National Standard Practice for Occupational and Educational Eye and Face Protection, Z 87.1(1979) as approved by the American National Standards Institute, Inc.

(3) The Commissioner of Education shall prepare and circulate to each public and private postsecondary educational institution in this state instructions and recommendations for implementing the eye safety provisions of this section.

(1) Beginning with school year 2003-04, each postsecondary educational institution shall provide to each newly enrolled student who will reside in oncampus housing and the student's parent or guardian: (a) Detailed information on the risks associated with the potentially fatal meningococcal disease; (b) the availability and effectiveness of a vaccine against the disease; (c) a recommendation that each student receive the meningococcal vaccination; and (d) information on the availability of an indigent patient fund to assist qualified persons with the cost of the vaccine.

(2) Each postsecondary educational institution shall request a confirmation signed by the student, parent, or guardian that the information provided has been received and reviewed.

In addition to the requirements of 20 U.S.C. 1094(a)(23), the University of Nebraska, each state college, and each community college shall provide information furnished by the Secretary of State on early voting prior to each statewide primary and general election to each student enrolled in a degree or certificate program and physically in attendance at the institution. The information shall include instructions on early voting and an application to request a ballot for early voting. The institution may provide the information electronically.

Any postsecondary educational institution may offer an elective course in American Sign Language. Any credits earned in a course in American Sign Language at a postsecondary educational institution may be used for world language credits if recognized as such by the postsecondary educational institution.

The Legislature hereby declares that it is the intent and purpose of sections 85-194, 85-308, 85-606.01, 85-917 to 85-966, and 85-1511 to provide statements of role and mission for the state's systems and institutions of postsecondary education which will:

(1) Provide for a coordinated state system of postsecondary education;

(2) Provide for the maintenance and development of quality postsecondary educational programs and services for all citizens in all regions of the state;

(3) Insure student and community access to comprehensive educational programs;

(4) Limit unnecessary program and facility duplication through a coordinated planning and review process;

(5) Encourage statewide long-term academic and fiscal planning for postsecondary education in the state;

(6) Establish a legislative review process to insure that (a) role and mission statements are updated as necessary and (b) postsecondary institutions are complying with role and mission assignments and are serving a valuable purpose to the state within their current role and mission assignments; and

(7) Provide a mechanism for (a) implementing an extensive change in the scope, role, and mission of a campus, (b) closing a campus, (c) merging campuses, and (d) changing a campus to serve a completely different public purpose.

For purposes of sections 85-917 to 85-966, unless the context otherwise requires, the definitions found in sections 85-919 to 85-932.01 shall be used.

Instructional activities shall mean those degree-credit and non-degree-credit courses and programs delivered to complete specific degree and nondegree learner objectives.

Research activities shall mean those activities intended to create new knowledge or provide for the application of existing or newly created knowledge. Research activities may be carried out in conjunction with a system or area's instructional program or as a separately identifiable activity.

Public service activities shall mean those programs established to make available to the public the particular resources of a system, area, or institution for the purpose of responding to a statewide, regional, or community need. Within this category may be included the following activities: (1) Direct patient care; (2) health care supportive services; (3) community services; (4) cooperative agricultural extension; (5) public broadcasting services; (6) cultural, recreational, and personal development activities; (7) economic development activities; and (8) continuing education for occupations and professions. Adult, basic, and continuing education programs or services shall not be included in the subcategory of community services.

Program responsibility shall mean a system, area, or institution having designated statewide or regional administrative, planning, and academic responsibility for a general or specific program area.

Cooperative program delivery shall mean the provision for two or more systems, areas, or institutions to participate in the planning or delivery of a program or service in a specific or general area; with one system, area, or institution having administrative and academic responsibility for the program.

Regional program responsibility shall mean an identifiable geographic area for service delivery by a system, area, or institution. The intrastate or interstate area or region serves as the base for justifying existing and proposed new or expanded program responsibilities.

Comprehensive degree offerings shall mean the awarding by a system, area, or institution of degrees, including but not limited to associate, bachelor's, master's, specialist, or doctorate, in a variety of academic or vocational program areas.

General academic transfer programs shall mean those one-year or two-year degree-credit programs, at the associate degree level or below including liberal arts and sciences degrees or courses, intended by the offering institution for transfer into a baccalaureate program. Programs in this category may include the award of a formal degree upon completion of the program.

Applied technology and occupational education shall mean those instructional programs at the associate degree level or below including associate of applied science degrees, diplomas, certificates, and course work intended to prepare individuals for immediate entry into a specific occupation or career, to upgrade skills, or to acquire new skills. Programs in this category may include the award of a formal degree, diploma, or certificate upon completion of the program.

Baccalaureate general academic shall mean those degree programs intended by an institution to prepare an individual to function in a variety of different career areas or to prepare such individual for further academic study. Programs at this level shall allow an individual to acquire a general education at the baccalaureate level in arts, sciences, and humanities.

Baccalaureate occupational shall mean those degree programs intended by an institution to prepare an individual for a specific occupation or career. Such programs include but are not limited to: (1) Agriculture and natural resources; (2) communications; (3) business and management; (4) computer and information sciences; (5) home economics; (6) fine and applied arts; and (7) specific areas in the social sciences.

Baccalaureate professional shall mean those degree programs intended by an institution to prepare an individual for certification or licensure by a national-, regional-, or state-level certifying or licensing agency. Such programs include but are not limited to: (1) Engineering; (2) education; (3) allied health professions; (4) nursing; and (5) architecture.

Graduate degree programs shall mean those programs for which the following degrees are awarded:

(1) First professional degree being the first earned degree in the following fields: (a) Dentistry; (b) medicine, general; (c) optometry; (d) osteopathic medicine; (e) pharmacy; (f) podiatry; (g) veterinary medicine; (h) chiropractic; (i) law, general; (j) theology, general; and (k) architecture, general;

(2) Master's degree being the earned degree carrying the title Master. The master's degree is the first advanced graduate degree conferred in professional programs and general academic and occupational programs.

Master's degree professional programs include but are not limited to: (a) Engineering; (b) education; (c) allied health professions; (d) nursing; (e) architecture, specialties; (f) community and regional planning; (g) dentistry; (h) medicine, specialties; (i) optometry; (j) osteopathic medicine; (k) pharmacy; (l) podiatry; (m) social work; (n) veterinary medicine; (o) chiropractic; (p) law, specialties; and (q) theology, specialties.

Master's degree programs in general academic and occupational areas include but are not limited to: (a) Mathematics; (b) languages; (c) biological and physical sciences; (d) letters; (e) fine arts; (f) social sciences; (g) agriculture and natural resources; (h) communications; (i) business and management; (j) computer and information sciences; (k) home economics; and (l) fine and applied arts; and

(3) Doctoral degree being an earned academic degree conveying the title of Doctor. Doctoral degrees include but are not limited to: Doctor of Philosophy; Doctor of Education; and Doctor of Arts.

Continuing education for occupations and professions shall mean training or education that is not a part of a terminal degree or certificate program, but is related to an individual's existing or proposed area of occupation or profession.

Foundations education shall mean education which includes remedial and developmental programs, adult basic education, general education development, English as a second language, compensatory education, and refresher courses.

No funds generated or received from a General Fund appropriation, state aid assistance program, or receipts from a tax levy authorized by statute shall be expended in support of programs or activities which are in conflict with the role and mission assignments applicable to the University of Nebraska, state colleges, or community colleges under sections 85-194, 85-308, 85-606.01, 85-917 to 85-966, and 85-1511.

All direct costs of nondegree recreational and avocational courses shall, on the average, be self-supporting through student tuition and fee charges or designated grants or contracts by July 1, 1979. This section shall not apply to the Cooperative Extension Service of the University of Nebraska.

The role and mission assignments enumerated in sections 85-936 to 85-948 shall apply to the University of Nebraska system and its campuses. Such assignments shall prohibit, limit, or restrict only those programs or services provided for under such sections. The Board of Regents of the University of Nebraska shall adopt and promulgate policies and procedures necessary to assure compliance with sections 85-917 to 85-966.

The University of Nebraska shall have statewide responsibility for public service activities.

The University of Nebraska shall have sole responsibility for doctoral degree programs, first professional degree programs, cooperative agricultural extension programs, and other degree programs and services specifically provided for by law. The first professional degrees, as defined by the Integrated Postsecondary Education Data System, offered by the University of Nebraska shall be medicine, law, dentistry, and pharmacy. In addition, the University of Nebraska may, with approval by the Coordinating Commission for Postsecondary Education, offer a first professional degree in architecture.

The University of Nebraska is encouraged to maintain its existing single university-wide graduate college and maintain for its graduate faculty all rights, privileges, and responsibilities associated with graduate faculty status.

The University of Nebraska shall have statewide responsibility for continuing education services at the baccalaureate, graduate, and professional levels.

The University of Nebraska shall have sole responsibility for all graduate programs at the specialist and master's degree level and all baccalaureate professional programs throughout the public sector of postsecondary education in Nebraska, with the exception of programs in education and other areas authorized by the Legislature at the state colleges. The University of Nebraska shall have primary responsibility for instruction in agriculture and natural resources and primary statewide responsibility for research and public service in agriculture and natural resources. All baccalaureate and baccalaureate transfer programs in agriculture and natural resources initiated after July 1, 1978, at state colleges and community colleges shall be conducted in cooperation with the University of Nebraska.

It is recognized that as the state's land grant institution the University of Nebraska is engaged in instruction, research, and public service, and that these three parts of the university's mission are interdependent. However, when viewed in its entirety, the university's first priority shall be undergraduate instruction, the university's second priority shall be graduate and professional instruction and research, and the university's third priority shall be public service.

The University of Nebraska may continue to offer the associate degree, diploma, and certificate in agriculturally related fields, radiologic technology, radiation therapy, nuclear medicine technology, and engineering technology if approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414 upon the demonstration of a compelling need and unique capacity by the university to offer such programs. The University of Nebraska shall not offer associate degrees or less than associate-degree-level diplomas or certificates in other than authorized and approved programs. If approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414, the University of Nebraska may offer certificates within fields in addition to those specified in this section if the preponderance of courses comprising those certificates are above the associate-degree level.

The University of Nebraska's programs in the health professions shall serve the health care needs of the State of Nebraska. The University of Nebraska, in cooperation with state and regional health planning agencies, shall conduct a continuing study of the state's health care needs and adjust program services to reflect changing conditions. The University of Nebraska's health professions programs shall have as their first priority the training of physicians, dentists, nurses, pharmacists, and allied health professionals. Special emphasis and priority shall be placed on education and training of physicians for the primary care specialties of: (1) Family practice; (2) internal medicine; (3) pediatrics; and (4) obstetrics-gynecology. The second priority in the health professions programs shall be the provision of continuing education services for the health professions. The third priority for the health professions programs shall be research and public services in those areas related to the health professions.

The University of Nebraska at Omaha shall continue to be the primary unit within the University of Nebraska for urban-oriented programs. Subject to approval by the Board of Regents of the University of Nebraska, the University of Nebraska at Omaha may offer doctoral programs upon demonstration of compelling need in disciplines in which it has a demonstrated capacity as authorized and approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414. There shall be no duplication of administrative responsibility for any urban-oriented program among units of the university.

The University of Nebraska-Lincoln shall continue to be the primary unit within the University of Nebraska for doctoral and postdoctoral programs except in health-related disciplines. There shall be no duplication of administrative responsibility for any doctoral or postdoctoral program among units of the university.

The University of Nebraska-Lincoln shall be the primary public institution in the state for research. The research activities of the University of Nebraska at Omaha shall primarily support graduate programs and otherwise be directly related to the enhancement of the instructional programs and to the professional development of the faculty. The research activities of the University of Nebraska at Kearney shall be directly related to the enhancement of the instructional programs and to the professional development of the faculty. The research activities of the University of Nebraska Medical Center shall be health-related.

The University of Nebraska Medical Center shall continue to be the primary unit within the University of Nebraska for programs in the health-related disciplines. There shall be no duplication of administrative responsibility for any health-related program among units of the university.

The University of Nebraska at Kearney may maintain the baccalaureate general academic, baccalaureate occupational, and baccalaureate professional degree programs which Kearney State College maintained prior to July 1, 1991. Subject to approval by the Board of Regents of the University of Nebraska, the University of Nebraska at Kearney may award the master's degree in business administration. Subject to approval by the Board of Regents of the University of Nebraska, the University of Nebraska at Kearney may offer other master's degree programs upon demonstration of a compelling need in disciplines in which it has a demonstrated capacity as authorized and approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414.

The University of Nebraska shall have sole responsibility for baccalaureate, first professional, master's, and doctoral programs in the health professions to include medicine, dentistry, pharmacy, nursing, and the allied health professions, with the exception of the baccalaureate programs in the allied health professions established at the state colleges prior to June 1, 1977.

The role and mission assignments enumerated in sections 85-950 to 85-958 shall apply to the state college system and its institutions. Such assignments shall prohibit, limit, or restrict only those programs or services provided for under such sections. The Board of Trustees of the Nebraska State Colleges shall adopt and promulgate policies and procedures necessary to assure compliance with sections 85-194, 85-308, 85-606.01, 85-917 to 85-966, and 85-1511.

The state colleges shall have regional responsibility for public service and continuing education activities, except in areas where such colleges have the ability to provide a particular service on a statewide basis.

The state colleges, collectively and individually, shall have as their first instructional priority the provision of baccalaureate general academic, baccalaureate occupational, and baccalaureate professional degree programs in education. The colleges' second instructional priority shall be master's programs in education and other areas authorized by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414. Such colleges' third priority shall be the continuation and development of applied research and public service activities. The colleges' fourth priority shall be the awarding of the specialist degree in education.

The state colleges may continue to deliver academic transfer and preprofessional associate degree programs for which a degree may be awarded if approved by the Board of Trustees of the Nebraska State Colleges and the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414 upon demonstration of compelling need and unique capacity of the state colleges to offer such programs. The state colleges shall not independently award the associate degree, diploma, or certificate for applied technology education programs.

The state colleges may continue to pursue and develop applied research programs related to their instructional and regional responsibilities. Research activities of the state colleges shall be directly related to the enhancement of the instructional programs and to the professional development of the faculty.

Chadron State College may maintain its existing baccalaureate general academic, baccalaureate occupational, and baccalaureate professional degree programs and shall limit new baccalaureate degree programs to the needs of its unique service area generally defined as the state's western region. Subject to approval by the Board of Trustees of the Nebraska State Colleges, Chadron State College may independently award the master's degree in business administration. Subject to approval by the Board of Trustees of the Nebraska State Colleges, Chadron State College may offer other master's degree programs upon demonstration of a compelling need in disciplines in which it has a demonstrated capacity as authorized and approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414.

Peru State College may maintain its existing baccalaureate general academic, baccalaureate occupational, and baccalaureate professional degree programs and shall limit new baccalaureate degree programs to the needs of its unique service area generally defined as the state's southeast region. Subject to approval by the Board of Trustees of the Nebraska State Colleges, Peru State College may offer other master's degree programs upon demonstration of a compelling need in disciplines in which it has a demonstrated capacity as authorized and approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414.

Wayne State College may maintain its existing baccalaureate general academic, baccalaureate occupational, and baccalaureate professional degree programs and shall limit new baccalaureate degree programs to the needs of its unique service area generally defined as the state's northeast region. Subject to approval by the Board of Trustees of the Nebraska State Colleges, Wayne State College may independently award the master's degree in business administration. Subject to approval by the Board of Trustees of the Nebraska State Colleges, Wayne State College may offer other master's degree programs upon demonstration of a compelling need in disciplines in which it has a demonstrated capacity as authorized and approved by the Coordinating Commission for Postsecondary Education pursuant to sections 85-1413 and 85-1414.

The role and mission assignments enumerated in sections 85-960 to 85-965 shall apply to the community college system and its areas and campuses. Such assignments shall prohibit, limit, or restrict only those programs or services provided for under such sections.

The community colleges shall be responsible for public service activities within each area.

Applied research activities of the community college areas shall be directly related to the enhancement of the instructional programs, student achievement, institutional effectiveness, public service activities, and the professional development of the faculty.

The community college areas shall serve as the primary public postsecondary institutions for foundations education.

The community colleges shall have, except in specified program areas authorized by statute and the Coordinating Commission for Postsecondary Education, sole responsibility for the award of associate degrees, diplomas, and certificates comprised of courses at the associate-degree level or below and approved by the commission pursuant to sections 85-1413 and 85-1414.

It is the intent of the Legislature that the community colleges shall be student-centered, open-access institutions primarily devoted to quality instruction and public service, providing counseling and other student services intended to promote the success of a diverse student population, particularly those who have been traditionally underserved in other educational settings. The community colleges, individually and collectively, shall have as their first instructional and service priority applied technology and occupational education and, when necessary, foundations education. The second instructional and service priority of the community colleges shall be transfer education, including general academic transfer programs, or applied technology and occupational programs which may be applicable to the first two years of a bachelor's degree program, and, when necessary, foundations education. The third instructional and service priority of the community colleges shall be public service, particularly adult continuing education for occupations and professions, economic and community development focused on customized occupational assessment and job training programs for businesses and communities, and avocational and personal development courses. The fourth instructional and service priority of the community colleges shall be applied research.

The community college areas may provide general academic transfer programs at the following campuses: Southeast Community College Area at the Fairbury-Beatrice Campus; Central Community College Area at the Columbus Campus; Metropolitan Community College Area at the Fort Omaha Campus; Mid-Plains Community College Area at the McCook and North Platte Campuses; Northeast Community College Area at the Norfolk Campus; and Western Community College Area at the Scottsbluff Campus.

In conjunction with and consistent with its determinations regarding transfers of credit, admission standards, and remedial programs pursuant to section 85-1413, the Coordinating Commission for Postsecondary Education may authorize any or all of the campuses of community college areas not listed in this section to also provide general academic transfer programs.

The delivery of general academic transfer program services shall be limited to those areas and campuses specifically provided for by this section or the commission. The community college areas are encouraged to work in cooperation with the University of Nebraska and the state colleges for the articulation of general academic transfer programs of the six community college areas.

The community colleges may provide such academic course instruction as may be necessary to support applied technology education and academic transfer programs.

Any community college area or institution may contract to provide for the delivery of education programs within institutions operated by any state agency or within any geographic area administered by a federal agency or tribal authority.

The Legislature acknowledges the provisions of Article VII, sections 10, 13, and 14, of the Constitution of Nebraska. The provisions of sections 85-917 to 85-966.01 reflect the philosophy of the State of Nebraska and shall be acknowledged as such and implemented by the Board of Regents of the University of Nebraska, the Board of Trustees of the Nebraska State Colleges, the board of governors of each community college area, and the Coordinating Commission for Postsecondary Education.

After January 1, 1995, the Legislature shall not change the role and mission provisions in this section and sections 85-917 to 85-966 unless and until a proposal for such change has first been reviewed by the Coordinating Commission for Postsecondary Education and its recommendations on such proposal have been given to the Legislature pursuant to subdivision (2) of section 85-1412, section 85-1414, or otherwise.

No public postsecondary educational institution in the State of Nebraska shall, prior to graduation, reduce, cancel, or refuse to renew an athletic grant-in-aid to a student during his or her period of eligibility to compete in intercollegiate athletics solely because of an injury which prevents the student from participating in athletics.

The Legislature hereby finds and declares that:

(1) Various federal and state student financial aid programs were created by federal and state law to aid financially needy students, not colleges and universities, and are not intended to discriminate on the basis of participation by a student in an intercollegiate athletic program or sport;

(2) Eligibility to receive aid under such programs is based on demonstrated need, and no student meeting such criteria should be deprived of such aid by a college or university solely on the basis of participation by such student in an intercollegiate athletic program or sport;

(3) No college or university, solely on the basis of participation in an intercollegiate athletic program or sport or as a condition to such participation, should compel a student to forego any financial aid to which he or she is entitled;

(4) No person should be denied or compelled to relinquish any benefit created by federal or state law as a condition to participation in an activity that is an integral part of the operation, occupation, or business of a college or university as an educational institution; and

(5) The Legislature has the obligation to enact laws that prohibit unjust discrimination of every variety and form and to provide redress for victims of such discrimination.

No college or university shall adopt, promulgate, or enforce any rule or regulation that requires a student to forego, relinquish, waive, or surrender any financial aid made available to financially needy students by federal or state law, solely on the basis of or as a condition to participation by such student in an intercollegiate athletic program or sport. This section is not violated if the rule or regulation pertaining to such financial aid applies equally and in the same manner to every student eligible to receive such financial aid irrespective of participation in an intercollegiate athletic program or sport.

Any amounts withheld or obtained from a student by a college or university in violation of sections 85-9,133 to 85-9,139 shall be turned over to such student in accordance with section 85-9,136.

The Attorney General shall investigate and render a finding when a complaint alleging a violation of sections 85-9,133 to 85-9,139 is brought by any person. Any college or university found by the Attorney General to have violated or to be in violation of sections 85-9,133 to 85-9,139 shall cease such violation immediately and permanently upon being directed by the Attorney General to do so. The Attorney General shall issue such directive in writing within three days of making a finding that a violation has occurred or is occurring. The directive shall include notification that any amount withheld or obtained from any student in violation of sections 85-9,133 to 85-9,139 shall be made available to such student for use in accord with the terms of the particular aid program not more than ten days after issuance of the directive. The Attorney General shall take whatever action is necessary to enforce the directive. The duty of the Attorney General under this section is not discretionary but mandatory.

A college or university which subjects or causes to be subjected any student to a rule or regulation adopted, promulgated, or enforced in violation of section 85-9,134 shall be liable to the aggrieved party in an action at law, a suit in equity, or any other proper proceeding for redress. In addition to any other relief granted, an aggrieved party shall be awarded costs and reasonable attorney's fees.

The remedies provided in sections 85-9,133 to 85-9,139 shall be cumulative and in addition to any other remedies provided by law.

The provisions of sections 85-9,133 to 85-9,139 shall have prospective application only and shall apply to any violation occurring after June 1, 1992.

For purposes of the State Postsecondary Review Program, 20 U.S.C. 1099a, and all regulations and state review standards adopted and promulgated pursuant thereto, professional program shall have the same meaning as first professional degrees as such term is defined in section 85-937.

(1)(a) Each postsecondary educational institution in the State of Nebraska that participates in the Federal Family Education Loan Program or the Federal Direct Student Loan Program, under Title IV of the federal Higher Education Act of 1965, as amended, shall reimburse the state for its proportionate share of any default cost fee charged to the state by the United States Secretary of Education under the federal act.

(b) Each postsecondary educational institution which (i) is currently in operation, (ii) participated in the Federal Family Education Loan Program or the Federal Direct Student Loan Program, and (iii) for the relevant time period had a cohort default rate equal to or in excess of the percentage which directly triggered the relevant default cost fee charged to the state shall be required to remit an excess default rate fee in addition to its proportionate share of the relevant default cost fee charged to the state. Such excess default rate fee shall be two hundred percent of the institution's proportionate share of the relevant default cost fee.

(c) The balance of the relevant default cost fee charged to the state and not assessed pursuant to subdivision (b) of this subsection shall be assessed to postsecondary educational institutions which are currently in operation and which participated in the Federal Family Education Loan Program or the Federal Direct Student Loan Program for the relevant time period, excluding those institutions subject to assessment pursuant to such subdivision.

(d) Any postsecondary educational institution subject to assessment pursuant to subdivision (c) of this subsection shall not be assessed an amount exceeding the respective institution's proportionate share of the relevant default cost fee charged to the state. Such proportionate share means an amount which, in proportion to the total of the relevant default cost fee charged to the state by the United States Secretary of Education, is equal to the proportion of Federal Family Education Loan Program and Federal Direct Student Loan Program loan default dollar volume attributable to the respective institution to the total of Federal Family Education Loan Program and Federal Direct Student Loan Program loan default dollar volume for all institutions which participated in the Federal Family Education Loan Program and the Federal Direct Student Loan Program for the relevant time period.

(2) The Coordinating Commission for Postsecondary Education shall adopt and promulgate rules and regulations establishing a fee structure for determining the amount of the reimbursement for each institution as provided in subsection (1) of this section.

(3) Any institution with a valid authorization to operate pursuant to the Private Postsecondary Career School Act which has a cohort default rate which triggers state liability pursuant to section 428(n) of the federal Higher Education Act of 1965, as amended, has violated the Private Postsecondary Career School Act. A hearing to determine whether the institution should have its authorization to operate or its agent's permit revoked shall be held in accordance with section 85-1634.

(4) Unless prohibited by federal law, the commission may charge and collect an administrative fee, not to exceed ten percent of the proportionate share of the relevant default cost fee, from any Nebraska postsecondary educational institution to cover the administrative expenses incurred by the commission in carrying out this section.

(5) Notwithstanding any other provision of law to the contrary, the rules and regulations may provide that a postsecondary educational institution may be exempt from the fees or the commission may adjust the fees of an institution if the institution demonstrates that exceptional mitigating circumstances contributed to its high cohort default rate.

(1) The Student Loan Default Fee Revolving Fund is created. The fund shall be under the direction of the Coordinating Commission for Postsecondary Education. The commission shall remit all revenue received from fees charged under section 85-9,139.02 to the State Treasurer for credit to the fund. Expenditures may be made from the fund, after appropriation by the Legislature, for payments to the federal government for relevant default cost fees charged to the State of Nebraska by the United States Secretary of Education or to reimburse the General Fund for any such payments which have been made to the federal government.

(2) If not inconsistent with federal law, up to ten percent of the revenue remitted to the fund may be appropriated and used to defray the administrative expenses of the activities undertaken pursuant to section 85-9,139.02.

(3) Any money in the 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.

Sections 85-9,166 to 85-9,176 shall be known and may be cited as the Nebraska Equal Opportunity in Postsecondary Education Act.

For purposes of the Nebraska Equal Opportunity in Postsecondary Education Act:

(1) Educational institution means the University of Nebraska, the state colleges, and the community colleges; and

(2) Governing board means the Board of Regents of the University of Nebraska, the Board of Trustees of the Nebraska State Colleges, and the community college boards of governors.

The Legislature finds and declares that it is an unfair or discriminatory practice for any educational institution to discriminate on the basis of sex in any program or activity. Such discriminatory practices include, but are not limited to, the following practices:

(1) Exclusion of a person or persons from participation in, denial of the benefits of, or subjection to discrimination in any academic, extracurricular, research, occupational training, or other program or activity, except athletic programs;

(2) Denial of comparable opportunity in intramural and interscholastic athletic programs;

(3) Discrimination among persons in employment and the conditions of such employment; and

(4) The application of any rule which discriminates on the basis of (a) the pregnancy of any person, (b) the marital status of any person, or (c) the condition of being a parent. Rules requiring certification of a physician's diagnosis and such physician's recommendation as to what activities a pregnant person may participate in are permissible. For purposes of this section marital status shall include the condition of being single, married, widowed, or divorced.

The governing boards of educational institutions shall adopt and promulgate rules and regulations needed to carry out the Nebraska Equal Opportunity in Postsecondary Education Act. Governing boards of educational institutions, with the advice of staff, shall formulate activities and programs needed to carry out the act.

(1) Any person aggrieved by a violation of the Nebraska Equal Opportunity in Postsecondary Education Act or any rule, regulation, or procedure adopted pursuant to the act may file a complaint with the governing board of the educational institution committing such violation. Such complaint shall be made in writing, under oath, within one hundred eighty days after such alleged violation, and shall set forth the claimant's address and the facts of such alleged violation with sufficient particularity as to permit the governing board to understand and investigate the conduct complained of.

(2) The governing board may take such action as may be necessary to correct such violation, including, but not limited to, (a) terminating the discriminatory practice or policy complained of and (b) awarding to the aggrieved person or persons such compensatory money damages as the particular facts and circumstances may warrant.

(3) The governing board shall dispose of the complaint and shall notify the claimant of its finding. All dispositions of such complaints shall be in writing and signed by the chief officer of the governing board, and a true copy of such disposition shall be mailed by certified mail, return receipt requested, to the claimant at the address set forth on the complaint or at such other address as may be filed by the claimant with the governing board. The claimant shall notify the governing board of any change of address, and the governing board has no duty to attempt to locate any claimant who has failed to advise such board of a change of address.

If the claimant under section 85-9,170 elects to accept the written disposition of the complaint made by the governing board under such section, he or she shall notify such board in writing of his or her acceptance within sixty days after receipt of such disposition, at which time such disposition shall be deemed final and conclusive. A failure to notify the board of such acceptance within the time period provided in this section shall be deemed a rejection of such disposition.

If the claimant under section 85-9,170 elects not to accept the written disposition of such complaint made by the governing board under such section, he or she may, within one hundred eighty days after receipt of such disposition, file an original action in the district court of the judicial district where such educational institution is located, for equitable relief and compensatory money damages. If such action includes a claim for money damages, such claimant shall be entitled to a trial by jury as to such claim for damages, unless he or she expressly waives in writing such trial by jury.

If the governing board fails to dispose of any written complaint filed pursuant to the Nebraska Equal Opportunity in Postsecondary Education Act within one hundred eighty days after the date of filing, such complaint may be withdrawn by the claimant and he or she may then proceed to file an original action in the district court of the judicial district where such educational institution is located pursuant to section 85-9,172. Such action must be filed within two years of the date of the filing of such complaint.

No original action asserting a violation of the Nebraska Equal Opportunity in Postsecondary Education Act may be filed in any district court unless a complaint asserting such violation is first filed with the governing board of the educational institution committing such discriminatory act or practice and disposed of or withdrawn as provided in the act.

The Nebraska Equal Opportunity in Postsecondary Education Act does not prohibit a person asserting a claim for discrimination in employment or the conditions thereof from filing a complaint pursuant to the Nebraska Fair Employment Practice Act. Filing a complaint pursuant to the Nebraska Fair Employment Practice Act constitutes a waiver of any right to seek relief pursuant to the Nebraska Equal Opportunity in Postsecondary Education Act, and filing a complaint pursuant to the Nebraska Equal Opportunity in Postsecondary Education Act constitutes a waiver of any right to seek relief pursuant to the Nebraska Fair Employment Practice Act.

The Nebraska Equal Opportunity in Postsecondary Education Act does not prohibit any educational institution from maintaining separate toilet facilities, locker rooms, or living facilities for the different sexes.

Sections 85-9,177 to 85-9,182 shall be known and may be cited as the Student Diversity Scholarship Program Act.

(1) The Legislature finds that the State of Nebraska has a compelling interest to provide access to the University of Nebraska, the state colleges, and the community colleges for students from diverse backgrounds who often find that the financial requirements of postsecondary education are a major obstacle. The Legislature further finds that the State of Nebraska has a compelling interest in attaining greater diversity in the makeup of the student bodies at the University of Nebraska, the state colleges, and the community colleges because of the educational benefits that a diverse educational environment will produce for all students attending the University of Nebraska, the state colleges, and the community colleges.

(2) It is the intent of the Legislature:

(a) To appropriate funds to support a student diversity scholarship program for the purpose of developing more diverse student bodies at the state's public postsecondary educational institutions;

(b) That the student diversity scholarship program be designed and implemented so as to achieve a greater diversity in student populations in fulfillment of the compelling interest found by the Legislature pursuant to subsection (1) of this section; and

(c) That all funds appropriated by the Legislature for student diversity scholarships at the University of Nebraska, the state colleges, and the community colleges shall be used in coordination with private donations for such scholarships and in consultation with the major donors thereof and in coordination with federal grant funds available to students at the University of Nebraska, the state colleges, and the community colleges so as to maximize the level of benefits and accomplish the purposes of the Student Diversity Scholarship Program Act.

(1) All funds appropriated by the Legislature for the Student Diversity Scholarship Program Act shall be used to support endowed scholarship funds which shall be held, managed, and invested as authorized by section 72-1246 with only the income therefrom expended for scholarships.

(2) The purpose of such endowed scholarship funds is to provide total or partial undergraduate scholarships for tuition, fees, board and room, and books at all campuses of the University of Nebraska, the state colleges, and the community colleges to full-time undergraduate students who fulfill the criteria for award of a student diversity scholarship and who cannot afford such educational expenses due to lack of financial resources available to them.

(1) Funds appropriated for fiscal year 2000-01 and each fiscal year thereafter before fiscal year 2007-08 for the Minority Scholarship Program Act as it existed immediately prior to July 1, 2007, shall be used for the benefit of students pursuant to the Minority Scholarship Program Act at the University of Nebraska, the state colleges, and the community colleges.

(2) Funds appropriated for fiscal year 2007-08 and each fiscal year thereafter for the Student Diversity Scholarship Program Act shall be used for the benefit of students pursuant to the Student Diversity Scholarship Program Act at the University of Nebraska, the state colleges, and the community colleges.

(1) Funds appropriated for the Student Diversity Scholarship Program Act for the benefit of students at the University of Nebraska and students attending any community colleges who are enrolled in an associate degree program with the intention of transferring to the University of Nebraska shall be used, administered, and invested in such manner as the Board of Regents of the University of Nebraska, in consultation with the board of governors of each participating community college, shall determine.

(2) Funds appropriated for the Student Diversity Scholarship Program Act for the benefit of students at the state colleges and students attending any community colleges who are enrolled in an associate degree program with the intention of transferring to a state college shall be used, administered, and invested in such manner as the Board of Trustees of the Nebraska State Colleges, in consultation with the board of governors of each participating community college, shall determine.

Criteria for the award of scholarships under the Student Diversity Scholarship Program Act shall be determined in accordance with state and federal law by a committee selected by the Board of Regents of the University of Nebraska, the Board of Trustees of the Nebraska State Colleges, and the community college boards of governors. The committee shall include members from diverse groups and private donors to the endowed scholarship funds. Awards shall be consistent with the intent stated in the act and with the constitutions and laws of the United States and the State of Nebraska.

The Legislature finds and declares that there is a vital need for increased training and research activity in the fields of traffic safety, domestic safety, industrial safety, fire safety, and recreational safety and that this activity can best be achieved by utilizing the facilities of an institution of higher education.

The Legislature further declares and assents to the establishment and administration of the Nebraska Safety Center at the University of Nebraska at Kearney.

For purposes of sections 85-1001 to 85-1008, unless the context otherwise requires, center shall mean the Nebraska Safety Center created under section 85-1003.

(1) The Board of Regents of the University of Nebraska may establish the Nebraska Safety Center at the University of Nebraska at Kearney.

(2) It is the intent of the Legislature that existing available land and facilities be utilized in the establishment and administration of the center.

The Board of Regents of the University of Nebraska (1) may employ a director of the center who shall be responsible to the chief administrative officer at the University of Nebraska at Kearney and whose qualifications and salary shall be established by the board and (2) may employ or assign to the center such other professors, instructors, tutors, demonstrators, and other personnel as from time to time may be considered necessary for the administration of the center.

(1) The Board of Regents of the University of Nebraska may accept and administer, in accordance with proper financial procedures at the University of Nebraska at Kearney, gifts, grants, tuition, fees, and private funds to assist in the operation of the center.

(2) The Board of Regents of the University of Nebraska may request an appropriation from the General Fund to assist in the operation of the center to promote the purposes of sections 85-1001 to 85-1008.

The purposes and functions of the center shall include (1) instruction, to provide educational courses and coordinated activities relating to all safety and safety education, (2) research, to provide leadership in identifying priorities of safety education and to provide expertise in safety research projects, (3) service, to provide information and workshop opportunities to all interested individuals, and (4) coordination, to provide articulation for development of a statewide system of teacher preparation in safety education programs.

Whenever requested or deemed appropriate by the Nebraska Safety Center, the University of Nebraska, the community colleges, the State Department of Education, the Safety Council of Nebraska, Inc., the Coordinating Commission for Postsecondary Education, any agency providing services through city or local governments, and any other agency involved in activities related to safety shall cooperate with and offer expertise to the center to assist it in carrying out its purposes and functions under section 85-1006. It is not the intent of the Legislature to duplicate existing programs but to provide extensions of those programs when deemed necessary by the center and the organizations currently conducting the activity.

(1) To assist the center in carrying out its purposes and functions, the Board of Regents may establish a Nebraska Safety Center Advisory Council composed of the following members:

(a) One representative from the Department of Transportation;

(b) One representative from the Department of Motor Vehicles;

(c) One representative from the State Department of Education;

(d) One representative from the Game and Parks Commission;

(e) One representative from the Department of Labor;

(f) One person representing the community college areas;

(g) One person representing private business and industry;

(h) One person representing the University of Nebraska;

(i) One person representing the medical profession;

(j) One person representing the area of law enforcement in this state;

(k) One person representing the Safety Council of Nebraska, Inc.;

(l) One person representing the area of transportation;

(m) One person representative of emergency medical services;

(n) One person representing the judiciary in the State of Nebraska;

(o) One person representing city government;

(p) One person representing county government;

(q) One person representing the area of agriculture;

(r) One person representing the local public school system;

(s) One person representing fire safety;

(t) One representative of the Coordinating Commission for Postsecondary Education;

(u) One person representing the Red Cross; and

(v) One person representing the state colleges.

(2) Representatives selected to serve on the council shall have appropriate education, training, and experience in the field of fire safety, industrial safety, recreational safety, domestic safety, or traffic safety.

Sections 85-1201 to 85-1210 shall be known and may be cited as the Nebraska Collegiate Athletic Association Procedures Act.

The Legislature hereby finds and declares that:

(1) The National Collegiate Athletic Association is a national unincorporated association consisting of public and private colleges and universities and is a private monopolist that controls intercollegiate athletics throughout the United States;

(2) The National Collegiate Athletic Association adopts rules governing member institutions' admissions, academic eligibility, and financial aid standards for collegiate athletes;

(3) A member must agree contractually to administer its athletic program in accordance with National Collegiate Athletic Association legislation;

(4) National Collegiate Athletic Association rules provide that association enforcement procedures are an essential part of the intercollegiate athletic program of each member institution;

(5) The National Collegiate Athletic Association exercises great power over member institutions by virtue of its monopolistic control of intercollegiate athletics and its power to prevent a nonconforming institution from competing in intercollegiate athletic events or contests;

(6) Substantial monetary loss, serious disruption of athletic programs, and significant damage to reputation may result from the imposition of penalties on a college or university by the National Collegiate Athletic Association for what the association determines to be a violation of its rules; and

(7) Because of such potentially serious and far reaching consequences, all proceedings which may result in the imposition of any penalty by the National Collegiate Athletic Association should be subject to the requirements of due process of law.

Every stage and facet of all proceedings of a collegiate athletic association, college, or university that may result in the imposition of a penalty for violation of such association's rule or legislation shall comply with due process of law as guaranteed by the Constitution of Nebraska and the laws of Nebraska.

No collegiate athletic association shall impose a penalty on any college or university for violation of such association's rule or legislation in violation of the due process requirements of the Nebraska Collegiate Athletic Association Procedures Act.

No collegiate athletic association shall impose a penalty on any college or university for failure to take disciplinary action against an employee or student for violation of such association's rule or legislation in violation of the due process requirements of the Nebraska Collegiate Athletic Association Procedures Act.

A collegiate athletic association that violates the Nebraska Collegiate Athletic Association Procedures Act shall be liable to the aggrieved college or university in an action at law, suit in equity, or other proper proceeding for redress. No penalty shall be threatened against or imposed upon an aggrieved college or university for seeking redress pursuant to this section.

In addition to costs and a reasonable attorney's fee, a collegiate athletic association that violates the Nebraska Collegiate Athletic Association Procedures Act shall be liable to the aggrieved college or university for an amount equal to one hundred percent of the monetary loss per year or portion of a year suffered during the period that any monetary loss occurs due to a penalty imposed in violation of the act. For purposes of calculating monetary loss, one hundred percent of the yearly loss shall be equal to the gross amount realized by the affected athletic program during the immediately preceding calendar year.

A collegiate athletic association, college, or university which subjects, or causes to be subjected, any employee or student to a penalty in violation of the Nebraska Collegiate Athletic Association Procedures Act shall be liable to the party injured in an action at law, suit in equity, or other proper proceeding for redress. No penalty shall be threatened against or imposed upon an aggrieved party for seeking redress pursuant to this section. In addition to any other relief granted, an aggrieved employee or student shall be awarded costs and a reasonable attorney's fee.

Any penalty imposed by any collegiate athletic association, college, or university shall be subject to judicial review in the district court.

The remedies provided in the Nebraska Collegiate Athletic Association Procedures Act are cumulative and in addition to any other remedies provided by law.

The State of Nebraska hereby ratifies and approves the following compact:

MIDWESTERN HIGHER EDUCATION COMPACT

ARTICLE I

PURPOSE

The purpose of the Midwestern Higher Education Compact shall be to provide greater higher education opportunities and services in the midwestern region with the aim of furthering regional access to, research in, and the choice of higher education for the citizens residing in the several states which are parties to this compact.

ARTICLE II

THE COMMISSION

A. The compacting states hereby create the Midwestern Higher Education Commission, hereinafter called the Commission. The Commission shall be a body corporate of each compacting state. The Commission shall have all the responsibilities, powers, and duties set forth herein, including the power to sue and be sued, and such additional powers as may be conferred upon it by subsequent action of the respective legislatures of the compacting states in accordance with the terms of this compact.

B. The Commission shall consist of five resident members of each state as follows: The Governor or the Governor's designee who shall serve during the tenure of office of the Governor; two legislators, one from each house (except Nebraska which may appoint two legislators from its Unicameral Legislature), who shall serve two-year terms and be appointed by the appropriate appointing authority in each house of the legislature; and two other at-large members, at least one of whom shall be selected from the field of higher education. The at-large members shall be appointed in a manner provided by the laws of the appointing state. One of the two at-large members initially appointed in each state shall serve a two-year term. The other, and any regularly appointed successor to either at-large member, shall serve a four-year term. All vacancies shall be filled in accordance with the laws of the appointing states. Any commissioner appointed to fill a vacancy shall serve until the end of the incomplete term.

C. The Commission shall select annually, from among its members, a chairperson, a vice-chairperson, and a treasurer.

D. The Commission shall appoint an executive director who shall serve at its pleasure and who shall act as secretary to the Commission. The treasurer, the executive director, and such other personnel as the Commission may determine shall be bonded in such amounts as the Commission may require.

E. The Commission shall meet at least once each calendar year. The chairperson may call additional meetings and, upon the request of a majority of the Commission members of three or more compacting states, shall call additional meetings. Public notice shall be given of all meetings, and meetings shall be open to the public.

F. Each compacting state represented at any meeting of the Commission shall be entitled to one vote. A majority of the compacting states shall constitute a quorum for the transaction of business unless a larger quorum is required by the bylaws of the Commission.

ARTICLE III

POWERS AND DUTIES OF THE COMMISSION

A. The Commission shall adopt a seal and suitable bylaws governing its management and operations.

B. Irrespective of the civil service, personnel, or other merit system laws of any of the compacting states, the Commission in its bylaws shall provide for the personnel policies and programs of the compact.

C. The Commission shall submit a budget to the governor and legislature of each compacting state at such time and for such period as may be required. The budget shall contain specific recommendations of the amount or amounts to be appropriated by each of the compacting states.

D. The Commission shall report annually to the legislatures and governors of the compacting states, to the Midwestern Governors' Conference, and to the Midwestern Legislative Conference of the Council of State Governments concerning the activities of the Commission during the preceding year. Such reports shall also embody any recommendations that may have been adopted by the Commission.

E. The Commission may borrow, accept, or contract for the services of personnel from any state or the United States or any subdivision or agency thereof, from any interstate agency, or from any institution, foundation, person, firm, or corporation.

F. The Commission may accept for any of its purposes and functions under the compact any and all donations and grants of money, equipment, supplies, materials, and services, conditional or otherwise, from any state or the United States or any subdivision or agency thereof or interstate agency, or from any institution, foundation, person, firm, or corporation and may receive, utilize, and dispose of the same.

G. The Commission may enter into agreements with any other interstate education organizations or agencies and with higher education institutions located in nonmember states and with any of the various states of the United States to provide adequate programs and services in higher education for the citizens of the respective compacting states. The Commission shall, after negotiations with interested institutions and interstate organizations or agencies, determine the cost of providing the programs and services in higher education for use in these agreements.

H. The Commission may establish and maintain offices which shall be located within one or more of the compacting states.

I. The Commission may establish committees and hire staff as it deems necessary for the carrying out of its functions.

J. The Commission may provide for actual and necessary expenses for attendance of its members at official meetings of the Commission or its designated committees.

ARTICLE IV

ACTIVITIES OF THE COMMISSION

A. The Commission shall collect data on the long-range effects of the compact on higher education. By the end of the fourth year from the effective date of the compact and every two years thereafter, the Commission shall review its accomplishments and make recommendations to the governors and legislatures of the compacting states on the continuance of the compact.

B. The Commission shall study issues in higher education of particular concern to the midwestern region. The Commission shall also study the needs for higher education programs and services in the compacting states and the resources for meeting such needs. The Commission shall, from time to time, prepare reports on such research for presentation to the governors and legislatures of the compacting states and other interested parties. In conducting such studies, the Commission may confer with any national or regional planning body. The Commission may draft and recommend to the governors and legislatures of the various compacting states suggested legislation dealing with problems of higher education.

C. The Commission shall study the need for provision of adequate programs and services in higher education, such as undergraduate, graduate, or professional student exchanges in the region. If a need for exchange in a field is apparent, the Commission may enter into such agreements with any higher education institution and with any of the compacting states to provide programs and services in higher education for the citizens of the respective compacting states. The Commission shall, after negotiations with interested institutions and the compacting states, determine the cost of providing the programs and services in higher education for use in its agreements. The contracting states shall contribute the funds not otherwise provided, as determined by the Commission, for carrying out the agreements. The Commission may also serve as the administrative and fiscal agent in carrying out agreements for higher education programs and services.

D. The Commission shall serve as a clearinghouse on information regarding higher education activities among institutions and agencies.

E. In addition to the activities of the Commission previously noted, the Commission may provide services and research in other areas of regional concern.

ARTICLE V

FINANCE

A. The monies necessary to finance the general operations of the Commission not otherwise provided for in carrying forth its duties, responsibilities, and powers as stated herein shall be appropriated to the Commission by the compacting states, when authorized by the respective legislatures, by equal apportionment among the compacting states.

B. The Commission shall not incur any obligations of any kind prior to the making of appropriations adequate to meet the same, nor shall the Commission pledge the credit of any of the compacting states except by and with the authority of the compacting state.

C. The Commission shall keep accurate accounts of all receipts and disbursements. The receipts and disbursements of the Commission shall be subject to the audit and accounting procedures established under its bylaws. However, all receipts and disbursements of funds handled by the Commission shall be audited yearly by a certified or licensed public accountant and the report of the audit shall be included in and become part of the annual report of the Commission.

D. The accounts of the Commission shall be open at any reasonable time for inspection by duly authorized representatives of the compacting states and persons authorized by the Commission.

ARTICLE VI

ELIGIBLE PARTIES AND ENTRY INTO FORCE

A. The states of Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin shall be eligible to become party to this compact.

Additional states will be eligible if approved by the majority of the compacting states.

B. As to any eligible party state, this compact shall become effective when its legislature shall have enacted the same into law, except that it shall not become initially effective until enacted into law by five states prior to December 31, 1995.

C. Amendments to the compact shall become effective upon their enactment by the legislatures of all compacting states.

ARTICLE VII

WITHDRAWAL, DEFAULT AND TERMINATION

A. Any compacting state may withdraw from this compact by enacting a statute repealing the compact, but such withdrawal shall not become effective until two years after the enactment of such statute. A withdrawing state shall be liable for any obligations which it may have incurred on account of its party status up to the effective date of withdrawal, except that if the withdrawing state has specifically undertaken or committed itself to any performance of an obligation extending beyond the effective date of withdrawal, it shall remain liable to the extent of such obligation.

B. If any compacting state shall at any time default in the performance of any of its obligations, assumed or imposed, in accordance with the provisions of this compact, all rights, privileges, and benefits conferred by this compact or agreements hereunder shall be suspended from the effective date of such default as fixed by the Commission, and the Commission shall stipulate the conditions and maximum time for compliance under which the defaulting state may resume its regular status. Unless such default shall be remedied under the stipulations and within the time period set forth by the Commission, this compact may be terminated with respect to such defaulting state by affirmative vote of a majority of the other member states. Any such defaulting state may be reinstated by performing all acts and obligations as stipulated by the Commission.

ARTICLE VIII

SEVERABILITY AND CONSTRUCTION

The provisions of this compact entered into hereunder shall be severable and if any phrase, clause, sentence, or provision of this compact is declared to be contrary to the constitution of any compacting state or of the United States or the applicability thereof to any government, agency, person, or circumstance is held invalid, the validity of the remainder of this compact and the applicability thereof to any government, agency, person, or circumstance shall not be affected thereby. If this compact entered into hereunder shall be held contrary to the constitution of any compacting state, the compact shall remain in full force and effect as to the remaining states and in full force and effect as to the state affected as to all severable matters. The provisions of this compact entered into pursuant hereto shall be liberally construed to effectuate the purposes thereof.

Notwithstanding any provision of Article II of the Midwestern Higher Education Compact, members of the Midwestern Higher Education Commission residing in Nebraska shall be as follows: (1) The Governor or his or her designee who shall serve during the tenure of office of the Governor; (2) two members of the Legislature selected by the Executive Board of the Legislative Council; and (3) two members appointed by the Governor representing higher education, at least one of whom shall be a member of the statewide Coordinating Commission for Postsecondary Education. The director of such coordinating commission shall serve as an ex officio member of the Midwestern Higher Education Commission. Length of terms of the members appointed pursuant to subdivision (3) of this section shall be as provided in Article II of the compact for at-large members. Vacancies shall be filled as provided in such article.

Sections 85-1401 to 85-1420 shall be known and may be cited as the Coordinating Commission for Postsecondary Education Act.

For purposes of the Coordinating Commission for Postsecondary Education Act:

(1)(a) Capital construction project shall mean a project which utilizes tax funds designated by the Legislature and shall be: Any proposed new capital structure; any proposed addition to, renovation of, or remodeling of a capital structure; any proposed acquisition of a capital structure by gift, purchase, lease-purchase, or other means of construction or acquisition that (i) will be directly financed in whole or in part with tax funds designated by the Legislature totaling at least the minimum capital expenditure for purposes of this subdivision or (ii) is likely, as determined by the institution, to result in an incremental increase in appropriation or expenditure of tax funds designated by the Legislature of at least the minimum capital expenditure for the facility's operations and maintenance costs in any one fiscal year within a period of ten years from the date of substantial completion or acquisition of the project. No tax funds designated by the Legislature shall be appropriated or expended for any incremental increase of more than the minimum capital expenditure for the costs of the operations and utilities of any facility which is not included in the definition of capital construction project and thus is not subject to commission approval pursuant to the Coordinating Commission for Postsecondary Education Act. No institution shall include a request for funding such an increase in its budget request for tax funds designated by the Legislature nor shall any institution utilize any such funds for such an increase. The Governor shall not include in his or her budget recommendations, and the Legislature shall not appropriate, such funds for such increase.

(b) For purposes of this subdivision:

(i) Directly financed shall mean funded by:

(A) Appropriation of tax funds designated by the Legislature for the specific capital construction project;

(B) Property tax levies authorized pursuant to subdivision (1)(b) of section 85-1517 for fiscal years prior to fiscal year 2013-14 and subdivision (2)(b) of section 85-1517 for fiscal year 2013-14 and each fiscal year thereafter used to establish a capital improvement and bond sinking fund as provided in section 85-1515; or

(C) That portion of tax funds designated by the Legislature and appropriated by the Legislature for the general operation of the public institution and utilized to fund the capital project;

(ii) Incremental increase shall mean an increase in appropriation or expenditure of tax funds designated by the Legislature of at least the minimum capital expenditure for a facility's operations and maintenance costs, beyond any increase due to inflation, to pay for a capital structure's operations and maintenance costs that are a direct result of a capital construction project; and

(iii) Minimum capital expenditure shall mean:

(A) For purposes of subdivision (a)(i) of this subdivision, a base amount of two million dollars; and

(B) For the facility's operations and maintenance costs pursuant to subdivision (a)(ii) of this subdivision, a base amount of eighty-five thousand dollars for any one fiscal year.

The base amount for the facility's operations and maintenance costs shall be subject to any inflationary or market adjustments made by the commission pursuant to this subdivision. The commission shall adjust the base amount on a biennial basis beginning January 1, 2010. The adjustments shall be based on percentage changes in a construction cost index and any other published index relevant to operations and utilities costs, both as selected by the commission in cooperation with the public institutions. The index or indices shall reflect inflationary or market trends for the applicable operations and maintenance or construction costs;

(2) Commission shall mean the Coordinating Commission for Postsecondary Education;

(3) Coordination shall mean:

(a) Authority to adopt, and revise as needed, a comprehensive statewide plan for postsecondary education which shall include (i) definitions of the role and mission of each public postsecondary educational institution within any general assignments of role and mission as may be prescribed by the Legislature and (ii) plans for facilities which utilize tax funds designated by the Legislature;

(b) Authority to review, monitor, and approve or disapprove each public postsecondary educational institution's programs and capital construction projects which utilize tax funds designated by the Legislature in order to provide compliance and consistency with the comprehensive plan and to prevent unnecessary duplication; and

(c) Authority to review and modify, if needed to promote compliance and consistency with the comprehensive statewide plan and prevent unnecessary duplication, the budget requests of the governing boards or any other governing board for any other public postsecondary educational institution which may be established by the Legislature;

(4) Education center shall mean an off-campus branch of a public institution or cooperative of either public or public and private postsecondary educational institutions which offers instructional programs to students;

(5) Governing board shall mean the Board of Regents of the University of Nebraska, the Board of Trustees of the Nebraska State Colleges, or the board of governors for each community college area;

(6) Program shall mean any program of instruction which leads directly to a degree, diploma, or certificate and, for purposes of section 85-1414, shall include public service programs and all off-campus instructional programs, whether or not such programs lead directly to a degree, diploma, or certificate. Program shall also include the establishment of any new college, school, major division, education center, or institute but shall not include reasonable and moderate extensions of existing curricula which have a direct relationship to existing programs;

(7) Public institution shall mean each campus of a public postsecondary educational institution which is or may be established by the Legislature, which is under the direction of a governing board, and which is administered as a separate unit by the board; and

(8) Tax funds designated by the Legislature shall mean all state tax revenue and all property tax revenue.

The Coordinating Commission for Postsecondary Education is hereby established. The commission shall, under the direction of the Legislature, be vested with the authority for the coordination of public institutions in Nebraska as provided in Article VII, section 14, of the Constitution of Nebraska and the Coordinating Commission for Postsecondary Education Act.

The purposes of the Coordinating Commission for Postsecondary Education established by Article VII, section 14, of the Constitution of Nebraska and section 85-1403 shall be to (1) develop an ongoing comprehensive statewide plan for the operation of an educationally and economically sound, vigorous, progressive, and coordinated system of postsecondary education, (2) identify and enact policies to meet the educational, research, and public service needs of the state, and (3) effect the best use of available resources through the elimination of unnecessary duplication of programs and facilities among Nebraska's public institutions.

In carrying out its powers and duties, the commission shall consider the need for diversity of public institutions and the need for addressing regional needs but shall above all reflect a commitment to a perspective in decisionmaking and planning for postsecondary education which will best serve the state as a whole consistent with the role and mission assignment of each public institution.

The commission shall work with the public institutions to encourage and sustain their aspirations consistent with the comprehensive statewide plan and in a manner designed to achieve a vision of statewide postsecondary education. The commission shall not be an advocate for any one public institution but shall strive for a balance and responsiveness among all public institutions.

The commission shall consist of eleven members who shall be appointed by the Governor with the approval of a majority of the Legislature. One member shall be chosen from each of the six Supreme Court judicial districts. Five members shall be chosen on a statewide basis. The term of each member shall be six years or until a successor is qualified and takes office, except that of the members initially appointed, two statewide members and the members appointed from districts 1 and 2 shall serve for terms of two years and two statewide members and the members appointed from districts 3 and 4 shall serve for terms of four years. Members shall be residents of the state or district from which appointed, and no member or any member of his or her immediate family shall be employed by or be a member of a governing board or of a governing body of an independent or private university or college.

If any vacancy occurs during the term of a member of the commission, the Governor shall make an appointment to fill the vacancy for the remainder of the term. If the appointment is made when the Legislature is in session, the appointment shall be subject to the approval of a majority of the Legislature. If the appointment is made when the Legislature is not in session, the appointee shall serve with all rights and authority of the office until the approval or disapproval of the appointment is considered by the next session of the Legislature following the appointment.

Members may be removed by the Governor for cause but only after delivering to the member a copy of the charges and affording him or her an opportunity to be publicly heard in person, or by counsel, in his or her own defense upon not less than ten days' notice. Such hearing shall be held before the Governor. When a member is removed, the Governor shall file in the office of the Secretary of State a complete statement of all charges made against such member and the findings thereon together with the complete record of the proceedings.

Members of the commission shall receive no compensation for the performance of their duties but shall be reimbursed for expenses as provided in sections 81-1174 to 81-1177.

(1) The members of the commission shall annually elect a chairperson and vice-chairperson from among their members.

(2) The commission shall hold regular meetings at times determined by the commission. Special or additional meetings may be held on the call of the chairperson or upon the call of at least three members. A majority of the members shall constitute a quorum at all meetings. Commission action on any item shall require a majority of those present at meetings in which there is a quorum, except that adoption of the comprehensive statewide plan, or any changes or alternatives thereto, required by section 85-1413 and approval or disapproval of a new program or disapproval of an existing program pursuant to section 85-1414 shall require the concurrence of a majority of the members.

In carrying out its duties, the commission shall:

(1) Encourage initiatives and collaboration between public institutions, public state and local entities, and private state and local entities to increase the contribution of postsecondary education in advancing Nebraska's economy;

(2) Encourage the governing boards and administrators of public institutions to review instructional practices, curriculum design and content, and related academic considerations to facilitate improvements that enhance the quality of education in the state;

(3) Encourage the interaction of public institutions with elementary and secondary educational institutions to facilitate joint planning initiatives regarding matters such as prior and subsequent learning practices and content, class or credit agreements for high school students enrolling in college-level programs, and shared instructional assignments; and

(4) Develop only those programs, activities, or functions (a) authorized by Article VII, section 14, of the Constitution of Nebraska or the Coordinating Commission for Postsecondary Education Act or (b) as directed by the Legislature. The commission, at its discretion, may develop programs, activities, or functions requested by the Legislature or the Governor. The commission may not direct any public institution to undertake any action unless authorized by Article VII, section 14, of the Constitution of Nebraska or the Coordinating Commission for Postsecondary Education Act.

To assist it in carrying out its duties, the commission shall:

(1) Employ an executive director and all other employees of the office of the commission and hire consultants as may be necessary and prescribe their duties;

(2) Except as may be provided pursuant to the State Employees Collective Bargaining Act, fix the compensation of the officers and employees of the office and provide benefits for all present or future employees of the commission, including retirement benefits, group life insurance, group hospital-medical insurance, and group long-term disability income insurance;

(3) Pay expenses for the recruitment of administrative and professional personnel for the commission; and

(4) Adopt and promulgate rules and regulations pursuant to the Administrative Procedure Act or as otherwise provided in the Coordinating Commission for Postsecondary Education Act to carry out the Coordinating Commission for Postsecondary Education Act and the powers and duties of the commission, except that for sections 85-1402 and 85-1413 to 85-1416, the provisions in section 84-908 for approval of the adoption, amendment, or repeal of any rule or regulation by the Governor shall not apply.

The commission shall have the following additional powers and duties:

(1) Conduct surveys and studies as may be necessary to undertake the coordination function of the commission pursuant to section 85-1403 and request information from governing boards and appropriate administrators of public institutions and other governmental agencies for research projects. All public institutions and governmental agencies receiving state funds shall comply with reasonable requests for information under this subdivision. Public institutions may comply with such requests pursuant to section 85-1417;

(2) Recommend to the Legislature and the Governor legislation it deems necessary or appropriate to improve postsecondary education in Nebraska and any other legislation it deems appropriate to change the role and mission provisions in sections 85-917 to 85-966.01. The recommendations submitted to the Legislature shall be submitted electronically;

(3) Establish any advisory committees as may be necessary to undertake the coordination function of the commission pursuant to section 85-1403 or to solicit input from affected parties such as students, faculty, governing boards, administrators of the public institutions, administrators of the private nonprofit institutions of postsecondary education and proprietary institutions in the state, and community and business leaders regarding the coordination function of the commission;

(4) Participate in or designate an employee or employees to participate in any committee which may be created to prepare a coordinated plan for the delivery of educational programs and services in Nebraska through the telecommunications system;

(5) Seek a close liaison with the State Board of Education and the State Department of Education in recognition of the need for close coordination of activities between elementary and secondary education and postsecondary education;

(6) Administer the Integrated Postsecondary Education Data System or other information system or systems to provide the commission with timely, comprehensive, and meaningful information pertinent to the exercise of its duties. The information system shall be designed to provide comparable data on each public institution. The commission shall also administer the uniform information system prescribed in sections 85-1421 to 85-1427 known as the Nebraska Educational Data System. Public institutions shall supply the appropriate data for the information system or systems required by the commission;

(7) Administer (a) the Access College Early Scholarship Program Act, (b) the Community College Aid Act, (c) the Door to College Scholarship Act and the Door to College Scholarship Fund, (d) the Nebraska Community College Student Performance and Occupational Education Grant Fund under the direction of the Nebraska Community College Student Performance and Occupational Education Grant Committee, (e) the Nebraska Opportunity Grant Act and the Nebraska Opportunity Grant Fund, (f) the Postsecondary Institution Act, (g) the community college gap assistance program and the Community College Gap Assistance Program Fund, and (h) the Excellence in Teaching Act and the Excellence in Teaching Cash Fund;

(8) Accept and administer loans, grants, and programs from the federal or state government and from other sources, public and private, for carrying out any of its functions, including the administration of privately endowed scholarship programs. Such loans and grants shall not be expended for any other purposes than those for which the loans and grants were provided. The commission shall determine eligibility for such loans, grants, and programs, and such loans and grants shall not be expended unless approved by the Governor;

(9) On or before December 1 of each even-numbered year, submit to the Legislature and the Governor a report of its objectives and activities and any new private colleges in Nebraska and the implementation of any recommendations of the commission for the preceding two calendar years. The report submitted to the Legislature shall be submitted electronically;

(10) Provide staff support for interstate compacts on postsecondary education; and

(11) Request inclusion of the commission in any existing grant review process and information system.

(1) Pursuant to the authority granted in Article VII, section 14, of the Constitution of Nebraska and the Coordinating Commission for Postsecondary Education Act, the commission shall establish and revise as needed a comprehensive statewide plan for postsecondary education which shall include (a) definitions of the role and mission of each public postsecondary educational institution within any general assignments of role and mission as prescribed in sections 85-917 to 85-966 and (b) a plan for facilities which utilize tax funds designated by the Legislature.

(2) The planning process of the commission (a) shall be policy-based and ongoing in order to achieve, within the coordination function of the commission pursuant to section 85-1403, the best possible use of available state resources for high quality and accessible postsecondary educational services and (b) shall take into consideration (i) the needs of the state as described in subsection (3) of this section, (ii) general assignments of role and mission for each public institution in sections 85-917 to 85-966, and (iii) plans for facilities which utilize tax funds designated by the Legislature.

(3) In establishing the plan, the commission shall assess the postsecondary educational needs of the state in the following areas:

(a) The basic and continuing needs of various age groups;

(b) Business and industrial needs for a skilled work force;

(c) Demographic, social, and economic trends;

(d) The needs of the ethnic populations;

(e) College attendance, retention, and dropout rates;

(f) The needs of recent high school graduates and place-bound adults;

(g) The needs of residents of all geographic regions; and

(h) Any other areas the commission may designate.

(4) The plan shall provide a structure or process which encourages and facilitates harmonious and cooperative relationships between public and private postsecondary educational institutions and shall recognize the role and relationship of elementary and secondary education and private postsecondary educational institutions in the state to postsecondary education.

(5) The commission shall incorporate into the plan provisions and policies to guide decisionmaking by the commission pursuant to this section and section 85-1414. The provisions and policies shall address issues which include, but are not limited to:

(a) The facilitation of statewide transfer-of-credit guidelines to be considered by institutional governing boards. The statewide transfer-of-credit guidelines shall be designed to facilitate the transfer of students among public institutions. The statewide transfer-of-credit guidelines shall not require nor encourage the standardization of course content and shall not prescribe course content or credit value assigned by any public institution to the courses;

(b) Recommended guidelines for admissions which recognize selective and differentiated admission standards at public institutions and which are consistent with the role and mission of each public institution. It is the intent of the Legislature that changes in admission standards be implemented in conjunction with the role and mission statements established pursuant to this section and sections 85-917 to 85-966 and the adoption of statewide transfer-of-credit and remedial program policies to assure that access to postsecondary education is not limited;

(c) Recommended enrollment guidelines consistent with the role and mission of each public institution and specific recommendations designed to increase diversity through more effective enrollment and retention at public institutions;

(d) Recommended guidelines for rational and equitable statewide tuition rates and fees for public institutions. The commission shall identify public policy issues relating to tuition and fees of the public postsecondary educational institutions in the state. The recommended guidelines shall take into account the role and mission of each public institution and the need to maximize access to public postsecondary education regardless of a student's financial circumstance;

(e) In conjunction with and consistent with its recommended guidelines on admission standards, recommended guidelines which place the primary emphasis at the community college level for postsecondary education remedial programs and reduce the role of the University of Nebraska in offering remedial programs. The commission shall collaborate with the Commissioner of Education to develop recommendations for secondary schools designed to reduce the need for remedial or developmental programs at the postsecondary level;

(f) In consultation with the governing boards or their designated representatives, designation of geographic and programmatic service areas for each public institution consistent with role and mission assignments. Except as permitted by the commission pursuant to section 85-1414, no public institution shall provide programs at any site outside its assigned geographic and programmatic service area unless permitted under rules and regulations adopted and promulgated by the commission;

(g) After consultation with the governing boards and experts from outside the State of Nebraska, the establishment of a peer group or groups for each public institution for purposes of budget review. In fulfilling this charge, the commission may accept a peer group determined by a governing board in consultation with out-of-state experts;

(h) Effective use of information technologies and telecommunications to aid in the delivery of instruction at the postsecondary level. In cooperation with the Nebraska Educational Telecommunications Commission, other state agencies, and, when appropriate, representatives of elementary and secondary public education, the commission may assist in the development of instructional delivery systems employing information technologies and telecommunications. The commission, with the involvement of faculties, public institutions and private postsecondary educational institutions, and the information technology and telecommunications community, shall establish policies to ensure that the objectives of quality and efficiency are met in the delivery of information technology and telecommunications-aided instruction;

(i) Workforce development. The commission shall explore methods to improve the competitive quality of the work force and shall encourage enhanced communications and partnerships between public institutions and business and industry;

(j) Public service activities. The public institutions shall develop and provide to the commission a comprehensive inventory of public service programs and activities of public institutions; and

(k) Financial aid strategy. The commission shall develop a state strategy for state-supported student financial aid programs with the goal of assuring access to and choice in postsecondary education in Nebraska for Nebraska residents within the limits of available state resources.

(6) The commission shall develop a unified statewide facilities plan in consultation with the governing boards or their designated representatives and update the plan periodically.

(7) Prior to March 15 of the year following a year in which any revision is made to the comprehensive statewide plan, the Education Committee of the Legislature shall review the comprehensive statewide plan and revisions thereto at a public hearing and report its findings electronically to the Legislature.

(1) Pursuant to the authority granted in Article VII, section 14, of the Constitution of Nebraska and the Coordinating Commission for Postsecondary Education Act, the commission shall establish an ongoing process to review, monitor, and approve or disapprove the new and existing programs of public institutions and proposed capital construction projects which utilize tax funds designated by the Legislature in order to provide compliance and consistency with the comprehensive statewide plan and to prevent unnecessary duplication. When complying with requests for information during the review, monitoring, and approval process, public institutions may comply pursuant to section 85-1417.

(2)(a) Governing boards shall submit to the commission all proposals for any new program after the governing board has approved the program and prior to implementation of the program. Except for programs submitted for conditional approval by the commission pursuant to subdivision (b) of this subsection, the commission shall have ninety days from the date the program was submitted to take action to approve or disapprove a program or it shall stand approved. The commission shall establish a waiver process for specific, short-term job training programs and short-term public service programs as defined by the commission. New programs submitted for review may be approved or disapproved in whole or in part and with or without recommended modifications based on criteria established pursuant to subsection (7) of this section.

(b) After approval of the program by the governing board, the governing board may submit a proposal for a program which is not authorized by the role and mission provisions of sections 85-917 to 85-966 to the commission for conditional approval. Within one hundred twenty days from its receipt of the proposal, the commission shall report electronically to the Legislature its recommendation in support for or opposition to the amendments to the role and mission statutes that would be necessary for the commission to approve the program and for the institution to offer the program. The time period for submission of the report may be extended for up to an additional ninety days by resolution of the commission which shall show good cause why the extent of review required for this particular proposal necessitates an extension of time to complete the review. Such extension shall be filed electronically with the chairperson of the Education Committee of the Legislature prior to the expiration of the initial one hundred twenty days. The report shall contain supporting rationale for the commission's position, such additional comments as the commission deems appropriate and, in the event the commission supports the amendments to the role and mission statutes, the commission's specific recommendation as to the form of such amendments. If the report indicates support for the necessary amendments to the role and mission statutes, the report shall also constitute the commission's conditional approval of the program, unless the report specifically indicates disapproval of the program. If the necessary amendments to the role and mission statutes supported by the commission in its report to the Legislature are subsequently enacted by the Legislature, the program shall stand approved. Nothing in this section for conditional approval shall be construed to affect the commission's future consideration of such proposal or approval or disapproval of any programs affected by the proposal.

(3) Following approval of a new program, such program shall be added to the schedule of existing programs to be reviewed by the commission. Following consultation with the governing board, new programs approved by the commission may also be required to meet, within a reasonable time as stipulated by the commission, minimum performance standards established by the commission pursuant to its rules and regulations. If a program fails to meet minimum performance standards, the commission shall review the program and may continue or withdraw its approval for the program.

(4) Existing programs shall be reviewed by the commission pursuant to a program review process established by the commission in consultation with the governing boards or their designated representatives which, to the extent possible while still allowing for timely review by the commission, shall coincide with institutional review and accreditation cycles. In reviewing existing programs, the commission may make use of nonconfidential information and conclusions provided by accreditation processes supplied to the commission by the institutions. All programs in existence prior to January 1, 1992, shall be considered approved until the approval is confirmed or withdrawn by the commission pursuant to the program review process conducted by the commission.

(5) Existing programs which do not meet criteria established by the commission pursuant to subsection (7) of this section shall be targeted for indepth review by the public institutions and their governing boards. In performing such indepth review, institutions may make use of information and conclusions provided by accreditation and other established and ongoing academic review processes rather than providing for a separate review process. Programs continued by the governing boards shall be further monitored by the governing board which shall report the status and process of the monitoring to the commission. If the commission determines that a program does not merit continuation, it shall hold a public hearing, following thirty days' notice to the public institution, to consider if the program should be continued. Following the hearing, the commission shall take action to approve or disapprove continuance of the program.

(6) Existing programs disapproved for continuance by the commission shall be terminated by a public institution when all students in the program on the date of the decision of the commission to disapprove continuance of the program have had a reasonable opportunity, as determined by the governing board of the public institution, to complete the program. Existing public service programs disapproved for continuance by the commission shall be terminated at the end of the fiscal year in which the decision to disapprove is made.

(7) The commission shall establish criteria for the review, monitoring, and approval or disapproval of programs. The governing boards of the public institutions shall be responsible for assuring the quality and effectiveness of programs offered by their institutions. The commission's criteria shall be designed to (a) meet educational needs and (b) assure efficiency and avoid unnecessary duplication. Criteria shall include:

(i) Centrality to the role and mission of the public institution;

(ii) Consistency with the comprehensive statewide plan;

(iii) Evidence of need and demand; and

(iv) Adequacy of resources to support proposed new programs.

The criteria shall not infringe on the prerogative of the governing boards to make decisions on the quality of staff and the design of curriculum.

(8) The commission shall develop specific criteria for review, monitoring, and approval or disapproval of participation by any public institution in proposed or existing education centers in addition to the criteria specified in this section. Participation by a public institution in an education center shall also be approved by the governing board of such public institution. The commission shall develop policies and procedures for conducting and approving off-campus programming in an education center.

(9) Each public institution shall submit its most recent institutional facilities plan to the commission subject to commission guidelines for the format and content of such plans. The commission shall (a) review each institutional facilities plan to ensure (i) consistency with the comprehensive statewide plan, statewide facilities plan, and institutional role and mission assignments and (ii) identification of unnecessary duplication of facilities and (b) make a written report of its review to the governing board of the public institution within ninety days after receipt of the institutional facilities plan. The commission may, in accordance with the coordination function of the commission pursuant to section 85-1403, recommend modifications to the institutional facilities plans and may require submission of periodic updates of the institutional facilities plans.

(10) Governing boards shall submit all proposed capital construction projects which utilize tax funds designated by the Legislature to the commission for review and approval or disapproval. The commission shall, in accordance with the coordination function of the commission pursuant to section 85-1403, review, monitor, and approve or disapprove each such capital construction project to provide compliance and consistency with the statewide facilities plan and the comprehensive statewide plan and to prevent unnecessary duplication of capital facilities. The commission may disapprove a project only on the basis of a finding by the commission that the project (a) does not comply or is inconsistent with one or more provisions of the statewide facilities plan or other relevant provisions of the comprehensive statewide plan or (b) will result in unnecessary duplication of capital facilities.

(11) In fulfilling its program and project approval activities prescribed in this section, the commission shall, in accordance with the coordination function of the commission pursuant to section 85-1403, recognize educational activities among all segments of postsecondary education and take into account the educational programs, facilities, and other resources of both public and independent and private postsecondary educational institutions.

(12) Any program which is authorized by action of the Legislature or a governing board and which is not in existence prior to January 1, 1992, shall not become operative unless and until such program has been approved by the commission pursuant to this section.

(1) The Legislature finds that:

(a) The availability and accessibility of quality, affordable oral health care for all residents of the State of Nebraska is a matter of public concern and represents a compelling need affecting the general welfare of all residents;

(b) The development and sustainability of a skilled workforce in the practice of dentistry is a public health priority for the State of Nebraska; and

(c) According to research sponsored by the Office of Oral Health and Dentistry of the Department of Health and Human Services, the Nebraska Rural Health Advisory Commission, and the Health Professions Tracking Service of the College of Public Health of the University of Nebraska Medical Center:

(i) A majority of the ninety-three counties of the State of Nebraska are general dentistry shortage areas as designated by the Nebraska Rural Health Advisory Commission and more than twenty percent of the ninety-three counties have no dentist;

(ii) Eighty-two counties are shortage areas in pediatric dentistry as designated by the Nebraska Rural Health Advisory Commission;

(iii) The uneven distribution of dentists in the State of Nebraska is a public health concern and twenty-four percent of the dentists in Nebraska are estimated to be planning to retire by 2017;

(iv) Sixty percent of the children in the State of Nebraska experience dental disease by the time they are in the third grade; and

(v) It is estimated that more than twenty-five thousand children attending public schools in Omaha, Nebraska, do not have a means of continuing dental care.

(2) It is the intent of the Legislature to provide for the development of a skilled and diverse workforce in the practice of dentistry and oral health care in order to provide for the oral health of all residents of Nebraska, to assist in dispersing the workforce to address the disparities of the at-risk populations in the state, and to focus efforts in areas and demographic groups in which access to a skilled workforce in the practice of dentistry and oral health care is most needed. In order to accomplish these goals, the Legislature recognizes that it is necessary to contract with professional dental education institutions committed to addressing the critical oral health care needs of the residents of Nebraska.

(3) The Oral Health Training and Services Fund is created. The Coordinating Commission for Postsecondary Education shall administer the fund to contract for reduced-fee and charitable oral health services, oral health workforce development, and oral health services using telehealth as defined in section 71-8503 for the residents of Nebraska. Any money in the 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.

(4) To be eligible to enter into a contract under this section, an applicant shall be a corporation exempt for federal tax purposes under section 501(c)(3) of the Internal Revenue Code and shall submit a plan to the commission as prescribed in subsection (5) of this section to provide oral health training, including assistance for the graduation of dental students at a Nebraska dental college, to provide discounted or charitable oral health services focusing on lower-income and at-risk populations within the state, and to target the unmet oral health care needs of residents of Nebraska. In addition, the applicant shall submit at least five letters of intent with school districts or federally qualified health centers as defined in section 1905(l)(2)(B) of the federal Social Security Act, 42 U.S.C. 1396d(l)(2)(B), as such act and section existed on January 1, 2010, in at least five different counties throughout the state to provide discounted or charitable oral health services for a minimum of ten years. An application to enter into a contract under this section shall be made no later than January 1, 2017.

(5) The plan shall include (a) a proposal to provide oral health training at a reduced fee to students in dental education programs who agree to practice dentistry for at least five years after graduation in a dental health profession shortage area designated by the Nebraska Rural Health Advisory Commission pursuant to section 71-5665, (b) a proposal to provide discounted or charitable oral health services for a minimum of ten years to residents of Nebraska, and (c) a proposal to provide oral health services to residents of Nebraska using telehealth as defined in section 71-8503.

(6) Any party entering into a contract under this section shall agree that any funds disbursed pursuant to the contract shall only be used for services and equipment related to the proposals in the plan and shall not be used for any other program operated by the contracting party. If any of the funds disbursed pursuant to the contract are used for equipment, such funds shall only be used for patient-centered oral health care equipment, including, but not limited to, dental chairs for patients, lighting for examination and procedure rooms, and other equipment used for oral health services for patients and for training students in dental education programs, and shall not be used for travel, construction, or any other purpose not directly related to the proposals in the plan.

(7) The contract shall require matching funds from other sources in a four-to-one ratio with the funds to be disbursed under the contract. The party entering into the contract shall specify the source and amount of all matching funds. No applicant shall receive an award amount under a contract under this section of more than eight million dollars. If more than one applicant meets the requirements of this section to enter into a contract and provides evidence that private or other funds have been received by the applicant as matching funds for such a contract in an amount greater than or equal to sixteen million dollars, each of such applicants shall receive an award amount under a contract equal to eight million dollars divided by the number of such applicants. If one of such applicants qualifies for a contract award amount of less than four million dollars, any other such applicant may receive a contract award amount up to eight million dollars minus the amount awarded to the applicant qualifying for less than four million dollars. The contract amount shall be awarded first to the applicant qualifying for the lowest contract award amount. The contract shall require full and detailed reporting of the expenditure of funds disbursed pursuant to the contract. Any party entering into a contract under this section shall report electronically to the Legislature within one hundred twenty days after the expenditure of the funds disbursed pursuant to the contract detailing the nature of the expenditures made as a result of the contract. In addition, any party entering into a contract under this section shall report electronically to the Legislature on an annual basis the charitable oral health services provided in school districts and federally qualified health centers and the number of recipients and the placements of students receiving oral health training at a reduced fee in dental education programs.

(8) The State Treasurer shall transfer the June 30, 2017, unobligated balance in the Oral Health Training and Services Fund to the Cash Reserve Fund on such date as directed by the budget administrator of the budget division of the Department of Administrative Services.

(1) Pursuant to the authority granted in Article VII, section 14, of the Constitution of Nebraska and the Coordinating Commission for Postsecondary Education Act, the commission shall, in accordance with the coordination function of the commission pursuant to section 85-1403, review and modify, if needed to promote compliance and consistency with the comprehensive statewide plan and prevent unnecessary duplication, the budget requests of the governing boards.

(2)(a) At least thirty days prior to submitting to the Governor their biennial budget requests pursuant to subdivision (1) of section 81-1113 and any major deficit appropriation requests pursuant to instructions of the Department of Administrative Services, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges shall each submit to the commission an outline of its proposed operating budget. The outline of its proposed operating budget or outline of proposed state aid request shall include those information summaries provided to the institution's governing board describing the respective institution's budget for the next fiscal year or biennium. The outline shall contain projections of funds necessary for (i) the retention of current programs and services at current funding levels, (ii) any inflationary costs necessary to maintain current programs and services at the current programmatic or service levels, and (iii) proposed new and expanded programs and services. In addition to the outline, the commission may request an institution to provide to the commission any other supporting information to assist the commission in its budget review process. An institution may comply with such requests pursuant to section 85-1417.

(b) On September 15 of each biennial budget request year, the boards of governors of the community colleges or their designated representatives shall submit to the commission outlines of their proposed state aid requests.

(c) The commission shall analyze institutional budget priorities in light of the comprehensive statewide plan, role and mission assignments, and the goal of prevention of unnecessary duplication. The commission shall submit to the Governor and Legislature by October 15 of each year recommendations for approval or modification of the budget requests together with a rationale for its recommendations. The recommendations submitted to the Legislature shall be submitted electronically. The analysis and recommendations by the commission shall focus on budget requests for new and expanded programs and services and major statewide funding issues or initiatives as identified in the comprehensive statewide plan. If an institution does not comply with the commission's request pursuant to subdivision (a) of this subsection for additional budget information, the commission may so note the refusal and its specific information request in its report of budget recommendations. The commission shall also provide to the Governor and the Appropriations Committee of the Legislature on or before October 1 of each even-numbered year a report identifying public policy issues relating to student tuition and fees, including the appropriate relative differentials of tuition and fee levels between the sectors of public postsecondary education in the state consistent with the comprehensive statewide plan. The report submitted to the committee shall be submitted electronically.

(3) At least thirty days prior to submitting to the Governor their biennial budget requests pursuant to subdivision (1) of section 81-1113 and any major deficit appropriation requests pursuant to instructions of the Department of Administrative Services, the Board of Regents of the University of Nebraska and the Board of Trustees of the Nebraska State Colleges shall each submit to the commission information the commission deems necessary regarding each board's capital construction budget requests. The commission shall review the capital construction budget request information and may recommend to the Governor and the Legislature modification, approval, or disapproval of such requests consistent with the statewide facilities plan and any project approval determined pursuant to subsection (10) of section 85-1414. The recommendations submitted to the Legislature shall be submitted electronically. The commission shall develop from a statewide perspective a unified prioritization of individual capital construction budget requests for which it has recommended approval and submit such prioritization to the Governor and the Legislature for their consideration. The prioritization submitted to the Legislature shall be submitted electronically. In establishing its prioritized list, the commission may consider and respond to the priority order established by the Board of Regents or the Board of Trustees in their respective capital construction budget requests.

(4) Nothing in this section shall be construed to affect other constitutional, statutory, or administrative requirements for the submission of budget or state aid requests by the governing boards to the Governor and the Legislature.

Each public institution may file with the commission a copy of any report filed with any other state agency. The filing shall be either in an electronic format compatible with the commission's computer system or a paper copy. A public institution may respond to any requests for information from the commission by providing the commission with the exact location of the information within a report that has previously been filed with the commission.

(1) No state warrant shall be issued by the Department of Administrative Services or used by any public institution for the purpose of funding any program or capital construction project which has not been approved or which has been disapproved by the commission pursuant to the Coordinating Commission for Postsecondary Education Act. If state funding for any such program or project cannot be or is not divided into warrants separate from other programs or projects, the department shall reduce a warrant to the public institution which includes funding for the program or project by the amount of tax funds designated by the Legislature which are budgeted in that fiscal year by the public institution for use for the program or project.

(2) The district court of Lancaster County shall have jurisdiction to enforce an order or decision of the commission entered pursuant to the Coordinating Commission for Postsecondary Education Act and to enforce this section.

(3) Any person or public institution aggrieved by a final order of the commission entered pursuant to section 85-1413, 85-1414, or 85-1416 shall be entitled to judicial review of the order. Proceedings for review shall be instituted by filing a petition in the district court of Lancaster County within thirty days after public notice of the final decision by the commission is given. The filing of the petition or the service of summons upon the commission shall not stay enforcement of such order. The review shall be conducted by the court without a jury on the record of the commission. The court shall have jurisdiction to enjoin enforcement of any order of the commission which is (a) in violation of constitutional provisions, (b) in excess of the constitutional or statutory authority of the commission, (c) made upon unlawful procedure, or (d) affected by other error of law.

(4) A party may secure a review of any final judgment of the district court by appeal to the Court of Appeals. Such appeal shall be taken in the manner provided by law for appeals in civil cases and shall be heard de novo on the record.

There is hereby created the Coordinating Commission for Postsecondary Education Cash Fund. The fund shall contain money received from application fees from out-of-state institutions of higher and postsecondary education seeking authorization to offer courses and programs in the State of Nebraska and from private colleges seeking provisional accreditation and money received by the commission for services rendered incident to the administration of its statutory or contractual functions. The fund shall be expended for the administrative costs of reviewing applications, publishing and duplicating reports, coordinating studies, conducting conferences, and other related activities as may be authorized by the Legislature or by contract, except that transfers may be made from the fund to the General Fund at the direction of the Legislature. All such money received by the commission shall be remitted to the State Treasurer for credit to the Coordinating Commission for Postsecondary Education Cash Fund. A report on the receipts and expenditures from the fund shall be included as a part of the operating budget request submitted to the Legislature and the Governor. Any money in the 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.

There is hereby created the Coordinating Commission for Postsecondary Education Trust Fund. The fund shall serve as a revolving fund to receive grants from foundations, institutions, or individuals for specific studies which are a part of the powers and duties of the commission or for the administration of privately endowed scholarship programs for students attending Nebraska institutions. The grant money shall be used only for purposes specified in the grant. A report of the findings of any studies done pursuant to the grants shall be included as a part of the operating budget request submitted to the Legislature and the Governor. Any money in the 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.

The Legislature hereby declares that it is the intent and purpose of sections 85-1421 to 85-1427 to provide for a state-level uniform information system for all public postsecondary education systems and institutions which will:

(1) Provide for a coordinated state-level information base regarding the activities of the public postsecondary education systems and institutions;

(2) Insure that the Legislature and other state and federal agencies obtain timely and accurate information concerning the programs, personnel, students, finances, and facilities of the state's postsecondary education systems and institutions;

(3) Maintain procedures for the uniform definition and reporting of information;

(4) Avoid unnecessary, duplicative, and conflicting information requests by state-level agencies through the uniform definition and collection of data elements, identification of data necessary for annual reporting to the state, and development of uniform and comparable data classification systems;

(5) Provide information users and suppliers an opportunity to cooperatively maintain a uniform information system; and

(6) Maintain an information base to support state-level planning, budgeting, and performance evaluation activities for postsecondary education.

For purposes of sections 85-1421 to 85-1427:

(1) Commission shall mean the Coordinating Commission for Postsecondary Education; and

(2) Information system shall mean the uniform information system established by such sections and known as the Nebraska Educational Data System.

The commission shall maintain a comprehensive state-level public postsecondary education information system. After consulting with the governing boards or their designated representatives, the commission shall:

(1) Identify the state-level information to be reported on an annual or periodic basis regarding each postsecondary system's and institution's programs, personnel, finances, students, and facilities utilization and inventory;

(2) Identify the data elements for which information will be collected and reported to the state;

(3) Identify the information classification formats to be used by the postsecondary systems and institutions in presenting program, financial, student, facility, personnel, and audit information;

(4) Identify the data-collection, reporting, and auditing procedures for the information system; and

(5) Identify a procedure for updating the information system to meet changing conditions.

The commission shall:

(1) Review and verify all information submitted by public postsecondary systems and institutions as part of the Integrated Postsecondary Education Data System and make such corrections in the submitted information as are necessary; and

(2) Prepare and disseminate an annual report of the information submitted by each public postsecondary system and institution and those private postsecondary educational institutions willing to cooperate as part of the Integrated Postsecondary Education Data System.

The commission shall provide ongoing means for information suppliers and users to advise the commission in carrying out sections 85-1421 to 85-1427.

Each public postsecondary education system and institution shall report information as required by the commission pursuant to sections 85-1421 to 85-1427.

In order to carry out its responsibilities under sections 85-1421 to 85-1427, the commission shall:

(1) Periodically meet and confer with officials of the state and its political subdivisions having responsibility for postsecondary education services;

(2) Consult with and utilize the services of any office, department, or agency of the state; and

(3) Employ such personnel as may be necessary to assist it in the performance of its duties.

The Legislature finds that:

(1) Expansion and diversification of Nebraska's economy is necessary in order to sustain essential public services sponsored or aided by the state;

(2) Increasing the number of Nebraskans with high levels of educational attainment is essential to support economic expansion and diversification;

(3) In order to increase the number of Nebraskans with high levels of educational attainment, the state's postsecondary education system shall include, but not be limited to, the following key priorities that were identified by the LR 174 Task Force of 2003:

(a) Increasing the number of students who enter postsecondary education in Nebraska;

(b) Increasing the percentage of students who enroll and successfully complete a degree; and

(c) Reducing, eliminating, and then reversing the net out-migration of Nebraskans with high levels of educational attainment; and

(4) Unprecedented collaboration and cooperation between and among educational institutions and sectors will be necessary to develop community, regional, and statewide strategies to achieve progress toward these priorities and to assist the state in serving Nebraska students and allowing them to reach their academic caliber.

On or before March 15 of each year, the Coordinating Commission for Postsecondary Education shall provide electronically to the Legislature a report that evaluates progress toward attainment of the priorities listed in subdivision (3) of section 85-1428.

The Legislature hereby declares that for a community college to be truly responsible to the people it serves, primary control of such colleges shall be placed in the citizens within the local area so served subject to coordination by the Coordinating Commission for Postsecondary Education. It is the intent and purpose of sections 85-1501 to 85-1540 to create locally governed and locally supported community college areas with the major educational emphasis on occupational education. Each community college area is intended to be an independent, local, unique, and vital segment of postsecondary education separate from both the established elementary and secondary school system and from other institutions of postsecondary education and is not to be converted into a four-year, baccalaureate-degree-granting institution.

The Legislature recognizes the need for and importance of a strong partnership with the community colleges to assure the continued economic growth of the state. In recognition of that partnership, the Legislature affirms that community colleges should be financed through a funding partnership from property tax, state aid, tuition and fees, and other sources of revenue.

(1) It is the intent of the Legislature that a clear distinction between area governance and statewide coordination for the community college areas be recognized and that such coordination is appropriate in order to provide the most cost-effective programs for residents of each community college area. It is further the intent of the Legislature that coordination of the community colleges by the Coordinating Commission for Postsecondary Education be conducted as provided in Article VII, section 14, of the Constitution of Nebraska and the Coordinating Commission for Postsecondary Education Act. It is further the intent of the Legislature that such coordination not be conducted through a board or association representing all the community colleges and that membership in any boards or associations of community colleges be voluntary.

(2) The board of governors of any community college area may pay from college funds an amount to be determined by the board of governors for membership in boards or associations of community colleges.

(3) Nothing in this section shall be construed to require or provide for state control of the operations of any community college area or to abridge the governance ability, rights, or responsibilities of any board. Nothing in this section shall be construed to limit the ability or authority of the commission to fulfill its responsibilities and duties regarding the individual community college areas and the individual community college area campuses.

For purposes of sections 85-1501 to 85-1540, unless the context otherwise requires:

(1) Community college means an educational institution operating and offering programs pursuant to such sections;

(2) Community college area means an area established by section 85-1504;

(3) Board means the Community College Board of Governors for each community college area;

(4) Full-time equivalent student means, in the aggregate, the equivalent of a registered student who in a twelve-month period is enrolled in (a) thirty semester credit hours or forty-five quarter credit hours of classroom, laboratory, clinical, practicum, or independent study course work or cooperative work experience or (b) nine hundred contact hours of classroom or laboratory course work for which credit hours are not offered or awarded. Avocational and recreational community service programs or courses are not included in determining full-time equivalent students or student enrollment. The number of credit and contact hours to be counted by any community college area in which a tribally controlled community college is located shall include credit and contact hours awarded by such tribally controlled community college to students for which such institution received no federal reimbursement pursuant to the federal Tribally Controlled Colleges and Universities Assistance Act of 1978, 25 U.S.C. 1801 et seq.;

(5) Contact hour means an educational activity consisting of sixty minutes minus break time and required time to change classes;

(6) Credit hour means the unit used to ascertain the educational value of course work offered by the institution to students enrolling for such course work, earned by such students upon successful completion of such course work, and for which tuition is charged. A credit hour may be offered and earned in any of several instructional delivery systems, including, but not limited to, classroom hours, laboratory hours, clinical hours, practicum hours, cooperative work experience, and independent study. A credit hour shall consist of a minimum of: (a) Ten quarter or fifteen semester classroom contact hours per term of enrollment; (b) twenty quarter or thirty semester academic transfer and academic support laboratory hours per term of enrollment; (c) thirty quarter or forty-five semester vocational laboratory hours per term of enrollment; (d) thirty quarter or forty-five semester clinical or practicum contact hours per term of enrollment; or (e) forty quarter or sixty semester cooperative work experience contact hours per term of enrollment. An institution may include in a credit hour more classroom, laboratory, clinical, practicum, or cooperative work experience hours than the minimum required in this subdivision. The institution shall publish in its catalog, or otherwise make known to the student in writing prior to the student enrolling or paying tuition for any courses, the number of credit or contact hours offered in each such course. Such published credit or contact hour offerings shall be used to determine whether a student is a full-time equivalent student pursuant to subdivision (4) of this section;

(7) Classroom hour means a minimum of fifty minutes of formalized instruction on campus or off campus in which a qualified instructor applying any combination of instructional methods such as lecture, directed discussion, demonstration, or the presentation of audiovisual materials is responsible for providing an educational experience to students;

(8) Laboratory hour means a minimum of fifty minutes of educational activity on campus or off campus in which students conduct experiments, perfect skills, or practice procedures under the direction of a qualified instructor;

(9) Clinical hour means a minimum of fifty minutes of educational activity on campus or off campus during which the student is assigned practical experience under constant supervision at a health-related agency, receives individual instruction in the performance of a particular function, and is observed and critiqued in the repeat performance of such function. Adjunct professional personnel, who may or may not be paid by the college, may be used for the directed supervision of students and for the delivery of part of the didactic phase of the experience;

(10) Practicum hour means a minimum of fifty minutes of educational activity on campus or off campus during which the student is assigned practical experiences, receives individual instruction in the performance of a particular function, and is observed and critiqued by an instructor in the repeat performance of such function. Adjunct professional personnel, who may or may not be paid by the college, may be used for the directed supervision of the students;

(11) Cooperative work experience means an internship or on-the-job training, designed to provide specialized skills and educational experiences, which is coordinated, supervised, observed, and evaluated by qualified college staff or faculty and may be completed on campus or off campus, depending on the nature of the arrangement;

(12) Independent study means an arrangement between an instructor and a student in which the instructor is responsible for assigning work activity or skill objectives to the student, personally providing needed instruction, assessing the student's progress, and assigning a final grade. Credit hours shall be assigned according to the practice of assigning credits in similar courses;

(13) Full-time equivalent student enrollment total means the total of full-time equivalent students enrolled in a community college in any fiscal year;

(14) General academic transfer course means a course offering in a one-year or two-year degree-credit program, at the associate degree level or below, intended by the offering institution for transfer into a baccalaureate program. The completion of the specified courses in a general academic transfer program may include the award of a formal degree;

(15) Applied technology or occupational course means a course offering in an instructional program, at the associate degree level or below, intended to prepare individuals for immediate entry into a specific occupation or career. The primary intent of the institutions offering an applied technology or occupational program shall be that such program is for immediate job entry. The completion of the specified courses in an applied technology or occupational program may include the award of a formal degree, diploma, or certificate;

(16) Academic support course means a general education academic course offering which may be necessary to support an applied technology or occupational program;

(17) Class 1 course means an applied technology or occupational course offering which requires the use of equipment, facilities, or instructional methods easily adaptable for use in a general academic transfer program classroom or laboratory;

(18) Class 2 course means an applied technology or occupational course offering which requires the use of specialized equipment, facilities, or instructional methods not easily adaptable for use in a general academic transfer program classroom or laboratory;

(19) Reimbursable educational unit means a full-time equivalent student multiplied by (a) for a general academic transfer course or an academic support course, a factor of one, (b) for a Class 1 course, a factor of one and fifty-hundredths, (c) for a Class 2 course, a factor of two, (d) for a tribally controlled community college general academic transfer course or academic support course, a factor of two, (e) for a tribally controlled community college Class 1 course, a factor of three, and (f) for a tribally controlled community college Class 2 course, a factor of four;

(20) Reimbursable educational unit total means the total of all reimbursable educational units accumulated in a community college area in any fiscal year;

(21) Special instructional term means any term which is less than fifteen weeks for community colleges using semesters or ten weeks for community colleges using quarters;

(22) Statewide reimbursable full-time equivalent total means the total of all reimbursable full-time equivalents accumulated statewide for the community college in any fiscal year;

(23) Tribally controlled community college means an educational institution operating and offering programs pursuant to the federal Tribally Controlled Colleges and Universities Assistance Act of 1978, 25 U.S.C. 1801 et seq.; and

(24) Tribally controlled community college state aid amount means the quotient of the amount of state aid to be distributed pursuant to subdivisions (1) and (3) of section 85-2234 for such fiscal year to a community college area in which a tribally controlled community college is located divided by the reimbursable educational unit total for such community college area for the fiscal year immediately preceding the fiscal year for which aid is being calculated, with such quotient then multiplied by the reimbursable educational units derived from credit and contact hours awarded by a tribally controlled community college to students for which such institution received no federal reimbursement pursuant to the federal Tribally Controlled Colleges and Universities Assistance Act of 1978, 25 U.S.C. 1801 et seq., for the fiscal year immediately preceding the fiscal year for which aid is being calculated.

The state is hereby divided into six community college areas as follows:

(1) The Western Community College Area shall consist of the following counties: Sioux, Dawes, Sheridan, Box Butte, Scotts Bluff, Banner, Kimball, Morrill, Cheyenne, Garden, Deuel, and Grant and the voting districts of Merriam, Russell, King, Mother Lake, Cody, Barley, Gillaspie, Lackey, and Calf Creek in Cherry County as such voting districts existed on July 1, 1975;

(2) The Mid-Plains Community College Area shall consist of the following counties: Cherry except as provided in subdivision (1) of this section, Hooker, Thomas, Blaine, Loup, Arthur, McPherson, Logan, Custer, Keith, Lincoln, Perkins, Chase, Hayes, Frontier, Dundy, Hitchcock, and Red Willow;

(3) The Northeast Community College Area shall consist of the following counties: Keya Paha, Brown, Rock, Boyd, Holt, Garfield, Wheeler, Knox, Cedar, Antelope, Pierce, Madison, Wayne, Stanton, Dixon, Dakota, Thurston, Burt, and Cuming and the precincts of North Oakland, South Oakland, Ashland, North Branch, Shell Creek, and Midland in Boone County as such precincts existed on July 1, 1975;

(4) The Central Community College Area shall consist of the following counties: Valley, Greeley, Platte, Colfax, Sherman, Howard, Nance, Merrick, Polk, Butler, Dawson, Buffalo, Hall, Hamilton, Gosper, Phelps, Kearney, Adams, Clay, Furnas, Harlan, Franklin, Webster, and Nuckolls and all of Boone County except as provided in subdivision (3) of this section;

(5) The Southeast Community College Area shall consist of the following counties: Saunders, Cass, York, Seward, Lancaster, Otoe, Fillmore, Saline, Thayer, Jefferson, Gage, Johnson, Nemaha, Pawnee, and Richardson; and

(6) The Metropolitan Community College Area shall consist of the following counties: Dodge, Washington, Douglas, and Sarpy.

Each community college area shall constitute a body corporate and as such may sue and be sued.

Each community college area shall be governed by a board composed of eleven members. The governing boards shall be known as the Community College Board of Governors for the community college area the board serves.

Each board shall annually elect from among its members a chairperson and a vice-chairperson, each to serve for one year. The board shall appoint a secretary and a treasurer, and one person may hold both such offices. A majority of the members of the board shall constitute a quorum, and no action shall be taken by less than a majority of the members present and voting, except that approval of employee contracts and the appropriation of money from the funds of the community college area shall be by the affirmative vote of a majority of elected members of the board. For purposes of this section, appropriation shall mean the adoption or modification of budgets for the community college area.

The officers and employees of a community college area authorized to handle funds shall furnish and maintain a corporate surety bond in an amount, in a form, and with sureties approved by the board. A copy of such bond shall be filed with the Secretary of State. The premium on such bond shall be paid by the community college.

(1) Members of a board shall not receive a per diem. The board may reimburse members for expenses incurred while carrying out their duties. Mileage expenses shall be computed at the rate provided in section 81-1176. Sections 81-1174, 81-1175, and 81-1177 shall serve as guidelines for the board when determining allowable expenses and reimbursement for such expenses.

(2) A board may permit its members to participate in any hospitalization, medical, surgical, accident, sickness, or term life insurance coverage offered to the employees of such community college area. A board member electing to participate in any such insurance coverage shall pay both the employee and the employer portions of the premium for such insurance coverage. A board which opts to permit its members to participate in insurance coverage pursuant to this subsection shall report quarterly at a meeting of the board a list of the board members who have elected to participate in such insurance coverage. The list shall be made available in the office of the board for review by the public upon request.

(1) A community college area may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending, or completed action, suit, or proceeding, whether civil, criminal, administrative, or investigative, other than an action by or in the right of the community college area, by reason of the fact that he or she is or was a board member or an officer, employee, or agent of the community college area, against expenses, including attorney's fees, judgments, fines, and amounts paid in settlement actually and reasonably incurred by him or her in connection with such action, suit, or proceeding if such person acted in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the community college area and, with respect to any criminal action or proceeding, had no reasonable cause to believe that his or her conduct was unlawful. The termination of any action, suit, or proceeding by judgment, order, settlement, or conviction or upon a plea of nolo contendere or its equivalent shall not of itself create a presumption that such person did not act in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the community college area and, with respect to any criminal action or proceeding, had reasonable cause to believe that his or her conduct was unlawful.

(2) A community college area may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending, or completed action or suit by or in the right of the community college area to procure a judgment in its favor by reason of the fact that he or she is or was a board member or an officer, employee, or agent of the community college area, against expenses, including attorney's fees, actually and reasonably incurred by him or her in connection with the defense or settlement of such action or suit if such person acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the community college area, except that no indemnification shall be made in respect of any claim, issue, or matter as to which such person was adjudged to be liable for negligence or misconduct in the performance of his or her duty to the community college area unless and only to the extent that the court in which such action or suit was brought determines upon application that, despite the adjudication of liability but in view of all circumstances of the case, such person is fairly and reasonably entitled to indemnity for such expenses which such court deems proper.

(3) To the extent that a board member or an officer, employee, or agent of a community college area has been successful on the merits or otherwise in defense of any action, suit, or proceeding referred to in subsections (1) and (2) of this section or in defense of any claim, issue, or matter in such action, suit, or proceeding, such person shall be indemnified against expenses, including attorney's fees, actually and reasonably incurred by him or her in connection with such defense.

(4) Any indemnification under such subsections, unless ordered by a court, shall be made by the community college area only as authorized in the specific case upon a determination that indemnification of the board member or the officer, employee, or agent of the community college area is proper in the circumstances because he or she has met the applicable standard of conduct set forth in such subsections. Such determination shall be made by the board members by a majority vote of a quorum consisting of board members who were not parties to such action, suit, or proceeding or, if such a quorum is not obtainable or even if obtainable a quorum of disinterested board members so directs, by independent legal counsel in a written opinion.

(5) Expenses incurred in defending a civil or criminal action, suit, or proceeding may be paid by a community college area in advance of the final disposition of such action, suit, or proceeding as authorized in the manner provided in subsection (4) of this section upon receipt of an undertaking by or on behalf of the board member or officer, employee, or agent of the community college area to repay such amount unless it is ultimately determined that he or she is entitled to be indemnified by the community college area as authorized in this section.

(6) The indemnification provided by this section shall not be deemed exclusive of any other rights to which the person indemnified may be entitled under any agreement, either as to action in his or her official capacity or as to action in another capacity while holding such office, and shall continue as to a person who has ceased to be a board member or an officer, employee, or agent of a community college area and shall inure to the benefit of the heirs, executors, and administrators of such person.

(7) A community college area may purchase and maintain insurance on behalf of any person who is or was a board member or an officer, employee, or agent of a community college area against any liability asserted against him or her and incurred by him or her in any such capacity or arising out of his or her status as such, whether or not the community college area would have the power to indemnify him or her against such liability under this section.

In addition to any other powers and duties imposed upon the community college system or its areas, campuses, or boards by the Community College Aid Act, sections 85-917 to 85-966 and 85-1501 to 85-1540, and any other provision of law, each board shall:

(1) Have general supervision, control, and operation of each community college within its jurisdiction;

(2) Subject to coordination by the Coordinating Commission for Postsecondary Education as prescribed in the Coordinating Commission for Postsecondary Education Act, develop and offer programs of applied technology education, academic transfer programs, academic support courses, and such other programs and courses as the needs of the community college area served may require. The board shall avoid unnecessary duplication of existing programs and courses in meeting the needs of the students and the community college area;

(3) Employ, for a period to be fixed by the board, executive officers, members of the faculty, and such other administrative officers and employees as may be necessary or appropriate and fix their salaries and duties;

(4) Subject to coordination by the Coordinating Commission for Postsecondary Education as prescribed in the Coordinating Commission for Postsecondary Education Act, construct, lease, purchase, purchase on contract, operate, equip, and maintain facilities;

(5) Contract for services connected with the operation of the community college area as needs and interest demand;

(6)(a) Cause a comprehensive audit of the books, accounts, records, and affairs to be made annually covering the most recently completed fiscal year. The audit of each area shall include all sources of revenue used to finance operating expenditures and capital improvements and the county-certified property valuation for the community college for the fiscal year for which such audit is being performed. Such audit of the books, accounts, records, and affairs shall be completed and filed with the Auditor of Public Accounts, the commission, and the Department of Administrative Services on or before November 15 of each year; and

(b) Cause a comprehensive audit of the full-time equivalent student enrollment totals and reimbursable educational unit totals to be made annually covering the most recently completed fiscal year. The audit of each area shall include a report of full-time equivalent student enrollment totals and reimbursable educational unit totals verified by such audits for the three most recently completed fiscal years which shall be used for calculation of aid to the community college areas for fiscal year 2013-14 and each fiscal year thereafter pursuant to subdivisions (3)(b) and (c) of section 85-2234. The audit of the full-time equivalent student enrollment totals and reimbursable educational unit totals shall be completed and filed with the Auditor of Public Accounts, the commission, and the Department of Administrative Services on or before August 15 of each year;

(7) Establish fees and charges for the facilities authorized by sections 85-1501 to 85-1540. Such fees and charges shall be identified as facility fees at the time they are assessed. The revenue from such fees and charges, other than revenue pledged to retire bonds issued pursuant to sections 85-1515 and 85-1520 to 85-1527 and deposited in a separate bond sinking fund, shall be deposited in the capital improvement and bond sinking fund provided for in section 85-1515. Each board may enter into agreements with owners of facilities to be used for housing regarding the management, operation, and government of such facilities and may employ necessary employees to govern, manage, and operate such facilities;

(8) Receive such gifts, grants, conveyances, and bequests of real and personal property from public or private sources as may be made from time to time, in trust or otherwise, whenever the terms and conditions thereof will aid in carrying out the community college programs as specified by law. Each board may sell, lease, exchange, invest, or expend such gifts, grants, conveyances, and bequests or the proceeds, rents, profits, and income therefrom according to the terms and conditions thereof and adopt and promulgate rules and regulations governing the receipt and expenditure of such proceeds, rents, profits, and income, except that acceptance of such gifts, grants, or conveyances shall not be conditioned on matching state or local funds;

(9) Prescribe the courses of study for any community college under its control and publish such catalogs and bulletins as may be necessary;

(10) Grant to every student upon graduation or completion of a course of study a suitable diploma, associate degree, or certificate;

(11) Adopt and promulgate such rules and regulations and perform all other acts as the board may deem necessary or appropriate to the administration of the community college area. Such rules and regulations shall include, but not be limited to, rules and regulations relating to facilities, housing, scholarships, discipline, and pedestrian and vehicular traffic on property owned, operated, or maintained by the community college area;

(12) Employ, for a period to be fixed by the board, an executive officer for the community college area and, by written order filed in its office, delegate to such executive officer any of the powers and duties vested in or imposed upon it by sections 85-1501 to 85-1540. Such delegated powers and duties may be exercised in the name of the board;

(13) Acquire real property by eminent domain pursuant to sections 76-701 to 76-724;

(14) Acquire real and personal property and sell, convey, or lease such property whenever the community college area will be benefited thereby. The sale, conveyance, or lease of any real estate owned by a community college area shall be effective only when authorized by an affirmative vote of at least two-thirds of all the members of the board;

(15) Enter into agreements for services, facilities, or equipment and for the presentation of courses for students when such agreements are deemed to be in the best interests of the education of the students involved;

(16) Transfer tribally controlled community college state aid amounts to a tribally controlled community college located within its community college area;

(17) Invest, after proper consideration of the requirements for the availability of money, funds of the community college in securities the nature of which individuals of prudence, discretion, and intelligence acquire or retain in dealing with the property of another;

(18) Establish tuition rates for courses of instruction offered by each community college within its community college area. Separate tuition rates shall be established for students who are nonresidents of the State of Nebraska. Each board may also establish fees to support the operating expenditures of the community college area if such fees are accounted for separately from the fees and charges established for facilities pursuant to subdivision (7) of this section and are identified as operating fees at the time they are assessed;

(19) Establish a fiscal year for the community college area which conforms to the fiscal year of the state;

(20) Enter into a memorandum of understanding with the State Board of Education to adopt a policy to share student data. At a minimum, the policy shall ensure that the exchange of information is conducted in conformance with the requirements of the federal Family Educational Rights and Privacy Act of 1974, as amended, 20 U.S.C. 1232g, and all federal regulations and applicable guidelines adopted in accordance with such act, as such act, regulations, and guidelines existed on January 1, 2010; and

(21) Exercise any other powers, duties, and responsibilities necessary to carry out sections 85-1501 to 85-1540.

Each board shall divide the community college area into five election districts as nearly equal in population as may be practicable and shall transmit the appropriate information pertaining to such election districts to the Secretary of State and to the appropriate election officials within the area. Board members shall be nominated and elected as provided in section 32-514. To be eligible for membership on the board, a person shall be a registered voter and shall have been a resident of the area for six months and, for members representing a district, a resident of the district for six months. No person shall be eligible for membership on a community college board of governors who is an elected or appointed member of any other board relating to education. No member of a community college board of governors shall be employed by the community college area for which he or she serves as a board member. Each member elected to represent a district shall be a resident of the district.

(1) In addition to the events listed in section 32-560, a vacancy on any board shall exist in the event of the removal of a board member from the community college area for board members elected at large or community college district for board members elected by district. After notice and hearing, a vacancy shall also exist when any board member is absent from more than three consecutive regular meetings of the board unless such absences are excused by a majority of the remaining board members. In the event of a vacancy from any of such causes or otherwise, such vacancy shall be filled by the remaining board members for the balance of the unexpired term. Any person so named to fill a vacancy shall have the same qualifications as his or her immediate predecessor. Such appointment shall be made in writing and certified to the office of the Secretary of State.

(2) If after a primary election there is a vacancy upon the ballot, such vacancy shall be filled by a petition candidate pursuant to section 32-625.

(3) An incumbent shall not be permitted to hold over the term, but such office shall automatically become vacant and an appointment shall be made within one calendar month to fill such vacancy for the ensuing term. If there are vacancies in the offices of a majority of the members of the board, the Secretary of State shall conduct a special election to fill such vacancies.

Each board may issue and sell revenue bonds and general obligation bonds for the purchase, construction, reconstruction, equipping, demolition, or alteration of capital assets, including accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110, and the acquisition of sites, rights-of-way, easements, improvements, or appurtenances and other facilities connected with the operation of the community colleges. Each board may establish in its budget a capital improvement and bond sinking fund. Such fund shall be used (1) first for the retirement of bonds assumed by the board in accordance with the provisions of such bonds, (2) then for (a) renewal work and deferred maintenance as defined in section 81-173, (b) handicapped access and life safety improvements made to existing structures or grounds including accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110, and (c) projects designed to prevent or correct a waste of energy, including measures taken to utilize alternate energy sources, all in accordance with the capital facilities plan of the community college area, (3) then for the retirement of bonds issued pursuant to this section, and (4) then for the purchasing, purchasing on contract, constructing, and improving of facilities necessary to carry out sections 85-1501 to 85-1540. Revenue bonds issued shall be subject to sections 85-1520 to 85-1527. No general obligation bonds shall be issued without the approval by a majority vote of the qualified electors of the community college area voting in an election called for such purpose pursuant to section 85-1518. No bonds issued under sections 85-1501 to 85-1540 shall be an obligation of the State of Nebraska, and no state tax shall be levied to raise funds for the payment thereof or interest thereon.

Each board may issue warrants in an amount necessary to finance the operating expenses of the community college area until the proceeds of the tax levy as provided in section 85-1517 are received. The amount of such warrants plus interest shall not exceed the amount of the money to be received from the property tax levy. Whenever such warrants are issued, they shall be the general obligation of the community college area and the full faith and credit of the community college area shall be pledged to retire such warrants. In addition the board shall set aside from the proceeds of the property tax levied pursuant to sections 85-1501 to 85-1540 an amount sufficient to pay the warrants and the interest on such warrants. Such warrants shall be subject to registration as provided in sections 77-2201 to 77-2215.

(1) For fiscal years 2011-12 and 2012-13:

(a) The board may certify to the county board of equalization of each county within the community college area a tax levy not to exceed ten and one-quarter cents on each one hundred dollars on the taxable valuation of all property subject to the levy within the community college area, uniform throughout the area, for the purpose of supporting operating expenditures of the community college area;

(b) In addition to the levies provided in subdivisions (1)(a) and (c) of this section, the board may certify to the county board of equalization of each county within the community college area a tax levy not to exceed one cent on each one hundred dollars on the taxable valuation of all property within the community college area, uniform throughout such area, for the purposes of paying off bonds issued under sections 85-1520 to 85-1527 and establishing a capital improvement and bond sinking fund as provided in section 85-1515. The levy provided by this subdivision may be exceeded by that amount necessary to retire the general obligation bonds assumed by the community college area or issued pursuant to section 85-1515 according to the terms of such bonds or for any obligation pursuant to section 85-1535 entered into prior to January 1, 1997; and

(c) In addition to the levies provided in subdivisions (1)(a) and (b) of this section, the board may also certify to the county board of equalization of each county within the community college area a tax levy on each one hundred dollars on the taxable valuation of all property within the community college area, uniform throughout such area, in the amount which will produce funds only in the amount necessary to pay for funding accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110. Such tax levy shall not be so certified unless approved by an affirmative vote of a majority of the board taken at a public meeting of the board following notice and a hearing. The board shall give at least seven days' notice of such public hearing and shall publish such notice once in a newspaper of general circulation in the area to be affected by the increase. The proceeds of such tax levy shall be deposited in the capital improvement and bond sinking fund provided for in section 85-1515 for use in funding the projects authorized pursuant to this subdivision.

(2)(a) For fiscal years 2013-14 through 2023-24, the board may certify to the county board of equalization of each county within the community college area a tax levy not to exceed the difference between eleven and one-quarter cents and the rate levied for such fiscal year pursuant to subdivision (b) of this subsection on each one hundred dollars on the taxable valuation of all property subject to the levy within the community college area, uniform throughout the area, for the purpose of supporting operating expenditures of the community college area. For purposes of calculating the amount of levy authority available for operating expenditures pursuant to this subdivision, the rate levied pursuant to subdivision (b) of this subsection shall not include amounts to retire general obligation bonds assumed by the community college area or issued pursuant to section 85-1515 according to the terms of such bonds or for any obligation pursuant to section 85-1535 entered into prior to January 1, 1997. For fiscal year 2024-25 and each fiscal year thereafter, the board may certify a levy under this subdivision only if such levy is authorized under section 85-1543 or 85-2238. If so authorized, the levy provided by this subdivision may be exceeded by the amount necessary to generate sufficient revenue as described in section 85-1543 or 85-2238.

(b) For fiscal year 2013-14 and each fiscal year thereafter, in addition to the levies provided in subdivisions (a) and (c) of this subsection, the board may certify to the county board of equalization of each county within the community college area a tax levy not to exceed two cents on each one hundred dollars on the taxable valuation of all property within the community college area, uniform throughout such area, for the purposes of paying off bonds issued under sections 85-1520 to 85-1527 and establishing a capital improvement and bond sinking fund as provided in section 85-1515. The levy provided by this subdivision may be exceeded by that amount necessary to retire general obligation bonds assumed by the community college area or issued pursuant to section 85-1515 according to the terms of such bonds or for any obligation pursuant to section 85-1535 entered into prior to January 1, 1997.

(c) For fiscal years 2013-14 through 2023-24, in addition to the levies provided in subdivisions (a) and (b) of this subsection, the board of a community college area with a campus located on the site of a former ammunition depot may certify to the county board of equalization of each county within the community college area a tax levy not to exceed three-quarters of one cent on each one hundred dollars on the taxable valuation of all property within the community college area, uniform throughout such area, to pay for funding accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110. Such tax levy shall not be so certified unless approved by an affirmative vote of a majority of the board taken at a public meeting of the board following notice and a hearing. The board shall give at least seven days' notice of such public hearing and shall publish such notice once in a newspaper of general circulation in the area to be affected by the increase. The proceeds of such tax levy shall be deposited in the capital improvement and bond sinking fund provided for in section 85-1515 for use in funding accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110.

(3) The taxes provided by this section shall be levied and assessed in the same manner as other property taxes and entered on the books of the county treasurer. The proceeds of the tax, as collected, shall be remitted to the treasurer of the board not less frequently than once each month.

(1) If a board determines that it is necessary for the proper management and operation of the community college area to expend tax funds in a manner requiring a vote of the people, the board may by resolution place the proposition for such expenditure on the general or primary ballot or call for a special election in such area for the purpose of approving such expenditure. The proposition appearing on the ballot in any election shall state the purpose for which such tax funds will be spent and the amount of funds to be so expended. Such proposition shall be adopted if approved by a majority of those voting in such election.

(2) The resolution calling for the election and the election notice shall show the proposed purpose for which such tax funds will be expended and the amount of money sought.

(3) Notice of the election shall state the date of the election and the hours the polls will be open. Such notice shall be published in a newspaper that is published in or of general circulation in such community college area at least twenty days prior to such election. If no newspaper is published in or of general circulation in the community college area, notice shall be posted at least twenty days prior to such election in at least two public places in each county in the community college area.

(4) If a special election is called, the board shall prescribe the form of the ballot to be used.

Each board shall adopt plans and specifications in advance of letting bids for any capital construction project. Such plans and specifications shall be the basis upon which the bids are received.

Each board may construct, purchase, or otherwise acquire, remodel, repair, furnish, and equip dormitories, residence halls, single-dwelling units, multiple-dwelling units, or other facilities for (1) the housing or boarding of single or married students, faculty, or other employees of the institution under its control, (2) buildings and structures for student and faculty unions or centers, and (3) the medical care and other activities of the students of such institutions, on real estate owned or controlled by such board or on real estate purchased, leased, or otherwise acquired for such purpose and pay the cost thereof, including the cost of such real estate, by issuing revenue bonds payable out of the revenue from such buildings or facilities, the revenue from the tax levy authorized pursuant to subdivision (1)(b) of section 85-1517 for fiscal years prior to fiscal year 2013-14 and subdivision (2)(b) of section 85-1517 for fiscal year 2013-14 and each fiscal year thereafter, or a combination thereof. Any such buildings or facilities shall be located on or adjacent to a campus or campuses controlled by such board.

Each board may, by resolution or agreement, pledge all or any part of the revenue and fees derived from the operation of the dormitories, residence halls, single-dwelling units, multiple-dwelling units, buildings, and other facilities for housing, boarding, medical care, and other activities of students, faculty, or employees of the institution under its control erected or acquired or previously erected or acquired by any such board and contract as to the care, insurance, management, and operation of such buildings and facilities and the charges to be made and the rights of the holders of the revenue bonds. When any board contracts that the operation of any building or facility or part thereof shall be performed other than by the board itself, such board shall at all times maintain supervision of and control over the fees and charges imposed for the use of such building, facility, or part. In issuing revenue bonds and pledging revenue therefor, the board may pledge all or any part of the revenue and fees from buildings and facilities other than the building or facility to be constructed. Bonds issued under sections 85-1520 to 85-1527 shall not be an obligation of the State of Nebraska, and no tax, except for the tax authorized under subdivision (1)(b) of section 85-1517 for fiscal years prior to fiscal year 2013-14 and subdivision (2)(b) of section 85-1517 for fiscal year 2013-14 and each fiscal year thereafter, shall ever be levied to raise funds for the payment thereof or interest thereon. The bonds shall constitute limited obligations of the board issuing the same and shall be paid out of revenue from the tax levy authorized pursuant to subdivision (1)(b) of section 85-1517 for fiscal years prior to fiscal year 2013-14 and subdivision (2)(b) of section 85-1517 for fiscal year 2013-14 and each fiscal year thereafter and out of money derived from the revenue and earnings pledged as provided in sections 85-1501 to 85-1540.

All revenue bonds issued pursuant to sections 85-1515 and 85-1520 to 85-1527 may be payable at the office of the State Treasurer, at such bank or trust company, either within or without the State of Nebraska, or at such other place as may be determined by the board.

The proceeds of revenue bonds provided for in section 85-1515, 85-1520, or 85-1521 shall be used solely for the purpose for which the bonds are issued and for the expenses of issuing such bonds. The board shall establish and maintain a schedule of rates, fees, or charges for the use of the facilities constructed or acquired by the issuance of revenue bonds and other facilities controlled by the board, the revenue of which, in whole or in part, is pledged to the holder of the bonds, which shall be in an amount at least sufficient, on the amortization plan, to pay the operating and maintenance charges of the facilities and the principal and interest representing the indebtedness against the income and revenue therefrom.

For the purpose of refunding any revenue bonds which may have been issued and are outstanding, the respective boards may issue revenue refunding bonds in the same manner as provided in sections 85-1520 to 85-1527 for the issuance of revenue bonds.

Each board may furnish heat, light, power, and other similar utilities to any facility or for any activities covered by sections 85-1515 and 85-1520 to 85-1527 without charging for the provision of such utilities against the revenue derived from such facility or activity.

In issuing revenue bonds pursuant to section 85-1515 or sections 85-1520 to 85-1527, the board issuing such bonds shall be a governmental subdivision and instrumentality of the State of Nebraska and all bonds issued under the authority of such sections, together with interest on such bonds, shall be wholly exempt from taxation.

Each board may do any and all things necessary and convenient to carry out the purposes and intent of sections 85-1515 and 85-1520 to 85-1527.

The contracts of the teaching staff and school nurses employed by a board of a community college shall require the sanction of a majority of the members of the board. Except as provided in section 85-1534, each such contract shall be deemed renewed and in force and effect until a majority of the board votes, sixty days before the close of the contract period, to amend or terminate the contract for just cause. The secretary of the board shall notify each teacher or school nurse in writing at least ninety days before the close of the contract period of any conditions of unsatisfactory performance or a reduction in teaching staff or nursing staff that the board considers may be just cause to either amend or terminate the contract for the ensuing year. Any teacher or school nurse so notified shall have the right to file within five days of receipt of such notice a written request with the board for a hearing before the board. Upon receipt of such request, the board shall order the hearing to be held within ten days and shall give written notice of the time and place of the hearing to the teacher or school nurse. At the hearing, evidence shall be presented in support of the reasons given for considering amendment or termination of the contract, and the teacher or school nurse shall be permitted to produce evidence related thereto. The board shall render the decision to amend or terminate a contract based on the evidence produced at the hearing.

This section and section 85-1528 shall be construed as providing a minimum standard and not as repealing any rule, regulation, order, or other action of a board that provides for additional contract rights pertaining to the same subject matter.

Each board shall adopt a reduction-in-force policy covering employees subject to such statutory provisions to carry out the intent of sections 85-1530 to 85-1533. No such policy shall allow the reduction of a permanent or tenured employee while a probationary employee is retained to render a service which such permanent employee is qualified by reason of certification and endorsement to perform or, if certification is not applicable, by reason of college credits in the teaching area. If employee evaluation is to be included as a criterion to be used for reduction in force, specific criteria, such as frequency of evaluation, evaluation forms, and number and length of classroom observations shall be included as part of the reduction-in-force policy.

Before a reduction in force occurs, the board and administration shall present competent evidence demonstrating that a change in circumstances has occurred, necessitating a reduction in force. Any alleged change in circumstances shall be specifically related to the teacher or teachers to be reduced in force, and the board, based upon evidence produced at the hearing required by section 85-1528 shall be required to specifically find that there are no other vacancies on the staff for which the employee to be reduced is qualified by endorsement or professional training to perform.

Any employee whose contract is terminated because of reduction in force shall be considered to have been dismissed with honor and shall upon request be provided a letter to that effect. Such employee shall have preferred rights to reemployment for a period of twenty-four months commencing at the end of the contract year of such employee, and the employee shall be recalled on the basis of length of service to the community college area to any position for which he or she is qualified by endorsement or college preparation to teach. The employee shall, upon reappointment, retain any benefits which had accrued to such employee prior to termination, but such leave of absence shall not be considered as a year of employment by the area. An employee under contract to another educational institution may waive recall, but such waiver shall not deprive the employee of his or her right to subsequent recall.

Notwithstanding sections 85-1530 to 85-1532, if the reduction of an employee based upon the provisions of such sections would place a community college area in noncompliance of any federal or state law or regulations requiring affirmative action employment practices, the area may vary from the provisions of such sections as necessary to comply with such laws or regulations.

Any contract of employment entered into after September 9, 1993, between the teaching staff and a board which applies to the first two years of the employment of such teaching staff shall provide that the first two years of the employment of such teacher are a probationary period. Any such contract may be terminated during the probationary period without cause.

A person who has been hired to fulfill the duties of a teacher or school nurse who is on a leave of absence shall not accrue rights under sections 85-1528 to 85-1534 during the period that the person is fulfilling such duties.

(1) A board of a community college area with a population of less than one hundred thousand according to the last federal decennial census and a campus located on a former military base may enter into contracts with any person, firm, or corporation providing for the implementation of any project for the constructing and improving of facilities to house applied technology educational programs necessary to carry out sections 85-1501 to 85-1540 and providing for the long-term payment of the cost of such project.

(2) In no case shall any such contract run for a period longer than twenty years or shall the aggregate of existing contracts exceed four million five hundred thousand dollars for each area exclusive of administrative costs, credit enhancement costs, financing costs, capitalized interest, and reserves dedicated to secure payment of contracts.

(3) No contract shall be entered into pursuant to this section without prior approval by a resolution of the board and the approval of the Coordinating Commission for Postsecondary Education.

(4) The long-term payment of the cost of such project shall be paid from revenue to be raised pursuant to (a) subdivision (1)(b) of section 85-1517 for fiscal years prior to fiscal year 2013-14 and (b) subdivision (2)(b) of section 85-1517 for fiscal year 2013-14 and each fiscal year thereafter. Any board entering into such contract for the construction and improvement of facilities from revenue to be raised pursuant to such subdivisions shall make annual appropriations for amounts sufficient to pay annual obligations under such contract for the duration of such contract.

(5) The board may also convey or lease and lease back all or any part of the project and the land on which such project is situated to such person, firm, or corporation as the board may contract with pursuant to this section to facilitate the long-term payment of the cost of such project. Any such conveyance or lease shall provide that when the cost of such project has been paid, together with interest and other costs thereon, such project and the land on which such project is located shall become the property of the community college area.

(1) There is hereby created the Nebraska Community College Student Performance and Occupational Education Grant Committee. The committee shall consist of (a) a representative of the Coordinating Commission for Postsecondary Education who shall serve as chairperson of the committee, (b) a representative of the Department of Economic Development, (c) a representative of the Department of Labor, (d) a representative of the State Department of Education, (e) a representative affiliated with one of the two community college areas with the two smallest full-time equivalent student enrollment totals for the most recent fiscal year, (f) a representative affiliated with one of the two community college areas with the two largest full-time equivalent student enrollment totals for the most recent fiscal year, and (g) a representative affiliated with one of the two community college areas not included in the categories provided in subdivisions (1)(e) and (f) of this section. Each member shall be appointed by the agency or community college areas being represented. The representatives appointed pursuant to subdivisions (1)(e) through (g) of this section shall serve terms of two years and shall be succeeded by a representative affiliated with the community college areas not represented for the preceding term.

(2) The committee shall develop guidelines for and annually determine the allocation of aid or grants to the community colleges for (a) applied technology and occupational faculty training, instructional equipment upgrades, employee assessment, preemployment training, employment training, and dislocated worker programs benefiting the State of Nebraska or (b) programs or activities to enhance (i) student performance in the areas of degree, certificate, or diploma completion, retention, or foundations education as defined in section 85-932.01 or (ii) the collection, reporting, analysis, and utilization of student data. The total amount allocated for a fiscal year shall not exceed the amounts appropriated from the Nebraska Community College Student Performance and Occupational Education Grant Fund and such other funds as may be appropriated by the Legislature for purposes of this section for such fiscal year. The commission shall certify the allocation determined by the committee on or before September 10 of the fiscal year for which such allocation is being certified and shall report such allocation to the Department of Administrative Services. The commission shall distribute the allocated funds to the selected community college board or boards in a single payment between the fifth and twentieth day of October of each year.

(3) Applications for aid or grants pursuant to this section may be submitted by a community college area independently or in collaboration with other community college areas.

There is hereby created the Nebraska Community College Student Performance and Occupational Education Grant Fund. The fund shall be under the direction of the Nebraska Community College Student Performance and Occupational Education Grant Committee and shall be administered by the Coordinating Commission for Postsecondary Education. The fund shall consist of money received by the state in the form of grants or gifts from nonfederal sources, such other amounts as may be transferred or otherwise accrue to the fund, and any investment income earned on the fund. The fund shall be used to provide aid or grants to the community colleges pursuant to section 85-1539. Any money in the 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.

For purposes of section 85-1542, volunteer shall mean a person who is not an elected or appointed official or employee of a community college area who, at the request or with the permission of the board of governors of the community college area, engages in activities related to the purposes and functions of the community college area or for its general benefit.

The board of governors of any community college area may authorize the issuance of a pass to any elected or appointed official, employee, retired employee, or volunteer of the community college area, member of a senior citizens group, or city official authorizing the admittance of the recipient of the pass and his or her spouse to recognized college activities without the need for the payment of any fee or charge. Such pass may be issued at no cost to the recipient or at such cost as may be designated by the board of governors.

(1) Beginning in fiscal year 2024-25, funds shall be distributed to community college areas as provided in this section in order to offset the funds lost by community college areas due to the elimination of their levy authority under subdivisions (2)(a) and (c) of section 85-1517.

(2) The amount to be distributed to each community college area under this section shall be equal to:

(a) For fiscal year 2024-25, the amount of property taxes levied by such community college area for fiscal year 2023-24 pursuant to subdivisions (2)(a) and (c) of section 85-1517 or the amount of property taxes that would have been generated from a levy of seven and one-half cents per one hundred dollars of taxable valuation, whichever is greater, with such amount then increased by three and one-half percent or the percentage increase in the reimbursable educational units of the community college area, whichever is greater. Such amount shall be calculated by the Coordinating Commission for Postsecondary Education and certified to the community college area and to the budget administrator of the budget division of the Department of Administrative Services by August 15, 2024; and

(b) For fiscal year 2025-26 and each fiscal year thereafter, the amount distributed under this section to such community college area in the prior fiscal year, increased by three and one-half percent or the percentage increase in the reimbursable educational units of the community college area, whichever is greater. Such amount shall be calculated by the Coordinating Commission for Postsecondary Education and certified to the community college area and to the budget administrator of the budget division of the Department of Administrative Services by August 15 of each year.

(3) The Coordinating Commission for Postsecondary Education shall annually certify the total amount to be distributed to all community college areas under subsection (2) of this section to the State Treasurer. The State Treasurer shall transfer the certified amount from the General Fund to the Community College Future Fund in ten equal payments distributed monthly beginning in September of the fiscal year and continuing through June.

(4) The Coordinating Commission for Postsecondary Education shall annually make distributions to the community college areas in the amounts determined pursuant to subsection (2) of this section. The distributions shall be made in ten equal payments distributed monthly beginning in September of the fiscal year and continuing through June. Community college areas shall receive no payments during the months of July and August.

(5) The Community College Future Fund is created. The fund shall be administered by the Coordinating Commission for Postsecondary Education and shall be used to provide state distributions to community college areas pursuant to this section. The fund shall consist of transfers authorized by the Legislature. Any money in the 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.

(6) Beginning in fiscal year 2024-25, if the state fails to provide full funding of the amounts described in subsection (2) of this section for any fiscal year, each community college area may, if approved by a majority vote of the community college board of governors, levy an amount for such fiscal year under subdivision (2)(a) of section 85-1517 sufficient to generate revenue equal to the amount that would have been provided to the community college area under subsection (2) of this section if fully funded minus the amount that was actually provided to the community college area. The property tax levy provided for in this subsection is in addition to the maximum allowable property tax levy described in subdivision (2)(b) of section 85-1517 and any property tax levied for funding accessibility barrier elimination project costs and abatement of environmental hazards as such terms are defined in section 79-10,110.

(7) For purposes of this section, reimbursable educational unit has the same meaning as in section 85-1503.

Sections 85-1601 to 85-1658 shall be known and may be cited as the Private Postsecondary Career School Act.

It is the purpose of the Private Postsecondary Career School Act to provide for the protection, education, and welfare of the citizens of the State of Nebraska, its private postsecondary career schools, and its students by:

(1) Establishing minimum standards concerning quality of education, ethical and business practices, health and safety, and fiscal responsibility in order to protect against substandard, transient, unethical, deceptive, or fraudulent schools and practices;

(2) Prohibiting the granting of false educational credentials;

(3) Prohibiting misleading literature, advertising, solicitation, or representation by schools or their agents;

(4) Providing for the preservation of essential records; and

(5) Providing certain rights and remedies to the consuming public and the board necessary to effectuate the purposes of the act.

For purposes of the Private Postsecondary Career School Act:

(1) Agent means any person who owns any interest in, is employed by, or regularly represents for remuneration a private postsecondary career school located within or outside this state who (a) by solicitation made in this state enrolls or seeks to enroll a resident of this state for education offered by such school, (b) offers to award educational credentials for remuneration on behalf of any such school, or (c) holds himself or herself out to residents of this state as representing such a school;

(2) Agent's permit means a nontransferable, written authorization issued to a natural person by the department which allows that person to solicit or enroll any resident of this state for education in a private postsecondary career school;

(3) Authorization to operate means approval by the department to operate a private postsecondary career school in this state;

(4) Board means the State Board of Education;

(5) Branch facility means a facility (a) which is separate from a principal facility, (b) which offers a full program and full student services, (c) which is under the supervision of an onsite director or administrator, and (d)(i) the ownership, management, and control of which are the same as the principal facility, which principal facility is responsible for the delivery of all services, or (ii) at which education is offered by a franchisee of a franchisor authorized to operate as a private postsecondary career school pursuant to the act if the franchisor establishes the course curriculum and guidelines for teaching at the franchisee's facility;

(6) Commission means the Coordinating Commission for Postsecondary Education;

(7) Commissioner means the Commissioner of Education;

(8) Course of study or instruction means a program of study, training, or instruction consisting of a series of lessons or classes which are coordinated as a curriculum or program of instruction to prepare or qualify individuals or improve or upgrade the skills needed for employment, career opportunities, or any specific occupation;

(9) Department means the State Department of Education;

(10) Distance education means instruction offered by any means in which the student and faculty member are in separate physical locations and includes, but is not limited to, online, interactive video, and correspondence courses or programs;

(11) Education or educational services means any class, course, or program of occupational training, instruction, or study;

(12) Entity means any individual, company, firm, society, group, association, partnership, limited liability company, corporation, trust, or other person;

(13) Grant, with respect to educational credentials, means award, sell, confer, bestow, or give;

(14) Offer includes, in addition to its usual meaning, advertising, publicizing, soliciting, or encouraging any person, directly or indirectly, in any form, to perform a described act;

(15) Out-of-state school means any private postsecondary career school which has its place of instruction or its principal location outside the boundaries of this state and which offers or conducts courses of instruction or subjects on the premises of the school, provides distance education, or offers or provides Nebraska students with courses of instruction or subjects through activities engaged in or conducted outside the boundaries of Nebraska;

(16) Principal facility or main school means a private postsecondary career school located in the State of Nebraska;

(17) Private postsecondary career school means any organization or business enterprise which is not specifically exempt under section 85-1604 and which offers a course of study or instruction for which tuition is charged, even though the organization's or business enterprise's principal efforts may not be exclusively educational in nature;

(18) Resident school means any school offering courses of instruction to its students on the school's premises;

(19) Separate classroom means a supplemental training space (a) which is located near the main school for the purpose of expanding the educational offerings or for training an overflow of students who cannot be accommodated at the main school, (b) which is close enough to the main school to assure immediate supervision and administration of all essential student services by the main school and ready access by students to the student services available, and (c) in which the only required onsite service is teaching; and

(20) Short-term training means classes, courses, or programs of instruction or study that are offered for the purpose of training, preparing, or improving a person for an occupation when (a) the total hours of instruction required for completion is sixteen clock hours or less and (b) no final course grade is given to persons enrolled.

The following education and schools are exempted from the Private Postsecondary Career School Act:

(1) Schools exclusively offering instruction at any or all levels from preschool through the twelfth grade;

(2) Education sponsored by a bona fide trade, business, professional, or fraternal organization which is offered solely for that organization's membership or offered without charge;

(3) Education provided by or funded by an employer and offered solely to its employees for the purpose of improving such persons in such employment;

(4) Education solely avocational or recreational in nature as determined by the department;

(5) Educational programs offered by a charitable institution, organization, or agency as long as such education or training is not advertised or promoted as leading toward occupational objectives;

(6) Public postsecondary schools established, operated, and governed by this state or its political subdivisions or similar entities in other states as determined by the department;

(7) Schools or organizations offering education or instruction that is not part of a degree program leading to an associate, a baccalaureate, a graduate, or a professional degree which are licensed and regulated by agencies of this state other than the department, except that such schools or organizations shall not be exempt from the act with respect to agents' permits and the Tuition Recovery Cash Fund;

(8) Schools or organizations which offer education or instruction and which are licensed and regulated solely by an agency of the federal government with respect to curriculum and qualifications of instructional staff;

(9) Any postsecondary institution offering or proposing to offer courses or programs leading to a baccalaureate, graduate, or professional degree, but whose offerings may include associate degree programs, diplomas, and other certificates based on the award of college credit, including any such institutions that were regulated prior to May 5, 2011, as private postsecondary career schools pursuant to the Private Postsecondary Career School Act;

(10) Entities exclusively offering short-term training; and

(11) Distance education programs offered by out-of-state schools authorized in accordance with an interstate reciprocity agreement for the provision of postsecondary distance education across state boundaries entered into and administered pursuant to subdivisions (5) and (6) of section 85-2405.

The department shall administer the Private Postsecondary Career School Act and for the purposes thereof shall employ such personnel as may be necessary. To effectuate the purposes of the act, the department may request from any department, division, board, bureau, commission, or other agency of the state, and the same shall provide, such information as will enable the department to exercise properly its powers and perform its duties under the act.

The board has the following powers and duties in the administration of the Private Postsecondary Career School Act:

(1) To establish minimum standards in conformity with section 85-1608, including quality of education, ethical and business practices, health and safety, and fiscal responsibility. Applicants for authorization to operate or for an agent's permit shall meet minimum standards before such authorization or permit may be issued or to continue such authorization or permit in effect. The standards to be developed under this subdivision shall be such as will effectuate the purposes of the act but will not unreasonably hinder legitimate educational innovation;

(2) To receive, investigate as it may deem necessary, and act upon applications for authorization to operate a private postsecondary career school and applications for an agent's permit;

(3) To maintain a list of private postsecondary career schools authorized to operate in this state and agents' permits which shall be available for the information of the public;

(4) To receive and cause to be maintained as a permanent file copies of records in conformity with section 85-1644;

(5) To establish fees for applications for authorization to operate, for agent's permits, and for accreditation. The fees shall be not more than the amount necessary to cover the cost of administration of the act; and

(6) To adopt and promulgate rules, regulations, and procedures necessary and appropriate for the conduct of its work and the implementation of the act.

The board shall appoint an advisory council of six representatives of private postsecondary career schools. Members of the council shall include representatives from a business school, a trade or technical school, a better business bureau, and three other distinct areas of education. Members of the council shall serve staggered terms of three years each as established by the board at the time of initial appointment. If a vacancy occurs on the council, the board shall appoint a successor in the same category as the predecessor. The advisory council shall have the following responsibilities:

(1) To advise the department in its administration of the Private Postsecondary Career School Act; and

(2) To review the rules and regulations adopted or proposed for adoption by the department and make recommendations with respect thereto.

The board shall adopt and promulgate rules and regulations to establish minimum standards according to which a private postsecondary career school shall be maintained and operated in the state. A new school shall demonstrate that it can be maintained and operated in accordance with such standards. The standards shall include, but not be limited to, provisions on educational quality, facilities, equipment, qualification of administrators and instructors, publication of catalogs, credentials awarded, records, building and sanitation standards, financial stability, advertising, refund of unearned tuition and fees, and any other aspects deemed necessary by the board.

Accreditation by accrediting agencies recognized by the United States Department of Education such as the Association of Independent Colleges and Schools, the Accrediting Council for Continuing Education and Training, the National Accrediting Association of Cosmetology Arts and Sciences, or the National Association of Trade and Technical Schools may be accepted by the department as evidence of compliance with the minimum standards established pursuant to sections 85-1606 and 85-1608. Accreditation by a recognized, specialized accrediting agency such as the Council on Medical Education of the American Medical Association, the Commission on Accreditation of the American Dental Association, or the American Veterinary Medical Association may be accepted as evidence of such compliance only as to the portion or program of a school accredited by such agency if the school as a whole is not accredited.

No entity of whatever kind, alone or in concert with others, shall:

(1) Operate in this state a private postsecondary career school not exempted from the Private Postsecondary Career School Act unless the school has a currently valid authorization to operate issued pursuant to section 85-1612;

(2) Offer, as or through an agent, unless such agent is a natural person and has a currently valid agent's permit issued pursuant to section 85-1623, enrollment or instruction in or the granting of educational credentials from a private postsecondary career school not exempted from the act, whether such institution is within or outside this state, nor accept contracts or enrollment applications from any person who does not have a current agent's permit, but the board may adopt and promulgate rules and regulations to permit the rendering of legitimate public information services without such permit;

(3) Instruct or educate, offer to instruct or educate, including advertising or soliciting for such purpose, enroll or offer to enroll, or contract or offer to contract with any school or party to perform any such act in this state, whether such entity is located within or without this state, unless such entity observes and is in compliance with the minimum standards established pursuant to sections 85-1606 and 85-1608 and the rules and regulations adopted and promulgated by the department;

(4) Grant or offer to grant educational credentials without authorization to do so from the department; or

(5) Have a cohort default rate which triggers state liability pursuant to section 428(n) of the federal Higher Education Act of 1965, as amended, under section 85-9,139.02.

Each private postsecondary career school desiring authorization to operate in this state shall make application to the department upon forms to be provided by the department. The application shall be accompanied by descriptive literature published or proposed to be published by the school containing the information specified in the department's rules and regulations. The application shall include the identification of any branch facility or separate classroom. A facility which does not meet the criteria provided in subdivision (5) of section 85-1603 is not a branch facility and shall be considered a separate private postsecondary career school requiring separate authorization. A separate classroom shall not require separate authorization. The application shall also be accompanied by the application fee provided in section 85-1643. Until the Tuition Recovery Cash Fund initially reaches the minimum fund level prescribed in section 85-1656, the application shall be accompanied by a surety bond as provided in section 85-1639.

Following review of an application for authorization to operate and any further information submitted by the applicant or required by the department and following such investigation of the applicant as the department may deem necessary or appropriate, the commissioner shall either grant or deny authorization to operate. A grant of authorization to operate may be on such terms and conditions as the commissioner may specify.

The authorization to operate shall be in a form approved by the department and shall state in a clear and conspicuous manner at least the following information:

(1) The date of issuance, effective date, and term of the authorization;

(2) The full, correct name and address of the school so authorized;

(3) The authority for authorization and conditions thereof; and

(4) Any limitation of authorization as deemed necessary by the commissioner.

The term for which authorization is given shall not extend for more than one fiscal year. For purposes of this section, fiscal year means the fiscal year established by the applicant school.

The authorization to operate shall be issued to the owner or governing body of the applicant school and shall be nontransferable. In the event of a change in ownership of the school, the new owner or governing body shall, within ten days after the change of ownership, apply for a new authorization to operate, and in the event of failure to do so the authorization to operate shall terminate. An application for a new authorization to operate by reason of change in the ownership of the school shall be deemed an application for renewal of the school's authorization to operate.

Annual renewal of an authorization shall be required on a schedule established by the department. At least thirty days prior to the expiration of an authorization to operate and upon notification by the department, the school shall complete and file with the department an application form for renewal of its authorization to operate. Financial stability information shall accompany the application. The renewal application shall be reviewed and acted upon as provided for an initial application. No authorization issued to any private postsecondary career school shall be renewed unless such school has been accredited by the department within five years of the date of its initial authorization to operate.

A school not yet in operation when its application for authorization to operate is filed may not begin operation until receipt of authorization. The authorization shall be an inaugural authorization valid for one year and upon showing to the satisfaction of the commissioner that it has fully complied with sections 85-1611 to 85-1615, the school will be eligible for a regular authorization. The commissioner may issue provisional authorization to operate containing such limitations as to time, procedures, functions, or other conditions as the commissioner may deem necessary.

Any private postsecondary career school offering instruction in the State of Nebraska shall, within five years of its initial authorization to operate, apply to the department for the accreditation of such school. No private postsecondary career school shall be accredited unless it submits to the department a written application for accreditation in accordance with the rules and regulations adopted and promulgated by the department pursuant to the Private Postsecondary Career School Act. Such application shall be accompanied by the fee provided in section 85-1643.

The department may accredit a private postsecondary career school when the school has met the minimum standards specified in the rules and regulations of the department.

The commissioner, upon determining that a private postsecondary career school has complied with all the requirements of the Private Postsecondary Career School Act and the rules and regulations of the department, shall issue a certificate of accreditation to the school. Unless disapproved for failure to meet the requirements for accreditation on a continuing basis as provided for in the act and as defined by the rules and regulations, accreditation shall be valid for a period of five years following the effective date appearing on the certificate. The application for reaccreditation shall be accompanied by the applicable fee. The department shall maintain a list of the schools accredited under this section and make such lists available to the public upon request.

A school which has been accredited pursuant to section 85-1619 may apply to the department for authority to award associate degrees. Upon determining that the quality of the courses of instruction at the applicant school meets the standards established in the department's rules and regulations, the commissioner may grant the applicant the authority to award an associate degree and shall issue a certificate setting forth the programs for which the associate degree may be awarded. Such authorization shall continue so long as the school remains accredited.

Any private postsecondary career school which has been accredited or authorized to award associate degrees and which ceases to meet any of the requirements for accreditation or the awarding of associate degrees shall be notified in writing of the specifics by certified mail and shall be afforded the opportunity for a hearing to show cause why the accreditation or the authorization should not be withdrawn. The board shall adopt and promulgate rules and regulations for the hearing and may utilize a hearing officer to conduct the hearing and to present recommendations, including findings of facts and conclusions of law, to the board for final decision. Following the hearing, if it is determined that the requirements have not been met, the board may withdraw the accreditation or authorization or may require action as a condition of continued accreditation or authorization.

An applicant for an agent's permit shall be an individual of good reputation and character and shall represent only private postsecondary career schools which meet the minimum standards established pursuant to sections 85-1606 and 85-1608. Each person desiring to perform the services of an agent in this state shall make application to the department upon forms to be provided by the department. The application shall state the school which the applicant intends to represent and shall include the applicant's social security number. An agent shall obtain a separate agent's permit for each school represented. A single agent's permit and surety bond for one school with one or more branch facilities shall extend to cover all branch facilities. The application for an agent's permit shall also be accompanied by evidence of a surety bond as provided in section 85-1640 and payment of the application fee provided in section 85-1643.

If any school which the applicant intends to represent is not domiciled in this state, the application shall be accompanied by the information required of schools making application for authorization to operate and evidence to show that its place of business outside this state has been licensed or approved for operation by the appropriate state agency in the state in which it is domiciled. If the state of domicile of the school has no authorization law for private postsecondary career schools or no such law applies to a particular school or course of study or instruction concerning which the applicant intends to act as an agent, the school shall (1) submit all information required of schools applying for authorization to operate in this state and show evidence that it has been accredited by an accrediting agency recognized by the United States Department of Education as specified in section 85-1609 and (2) file with the department a school bond in at least the amount required by section 85-1639.

Following review of an application for an agent's permit and any further information submitted by the applicant or required by the department and following such investigation of the applicant as the department may deem necessary or appropriate, the commissioner shall either grant or deny an agent's permit to the applicant.

The agent's permit shall be in a form approved by the department and shall state in a clear and conspicuous manner at least the following information:

(1) The date of issuance, effective date, and term;

(2) The correct name and address of the agent; and

(3) The school which such agent is authorized to represent.

The term for which an agent's permit is issued shall not extend for more than three calendar years.

At least thirty days prior to the expiration of an agent's permit, the agent shall complete and file with the department an application form for renewal thereof. The application shall be reviewed and acted upon as provided for an initial application.

Upon review and consideration of an application for authorization to operate or for an agent's permit, if the department determines that the applicant fails to meet the standards established in the Private Postsecondary Career School Act, the department shall so notify the applicant, setting forth the reasons therefor in writing, and shall deny the application.

The commissioner may grant to an applicant for an authorization to operate or an agent's permit an extension of time of reasonable duration in which the applicant may eliminate the reasons for denial contained in the statement of denial if the applicant has demonstrated to the satisfaction of the commissioner the desire to meet the standards established pursuant to sections 85-1606 and 85-1608 and if, in the judgment of the commissioner, it would be reasonably possible for the applicant to meet such requirements and standards within such time.

If the commissioner denies an application for an agent's permit, he or she shall notify the school which the agent represented or proposed to represent, according to the records of the department, including the reasons for denial.

Any person aggrieved by a decision of the commissioner respecting denial of an authorization to operate or of an agent's permit or the placing of conditions on either shall have the right to a hearing and review of such decision by the board as provided in sections 85-1630 to 85-1632.

If, upon written notification of any such action taken by the commissioner, the aggrieved party desires a hearing and review, such party shall so notify the board in writing within ten business days after the giving of notice of such action. If such notice is not given, the action shall be deemed final. Upon receipt of such notice from the aggrieved party, the board shall fix the time and place for a hearing and shall notify the aggrieved party by certified mail.

At such hearing, the party may employ counsel, shall have the right to hear the evidence upon which the action is based, and may present evidence in opposition to the commissioner's action or in extenuation or mitigation. The hearing shall be conducted in accordance with the Administrative Procedure Act. Any member of the board may preside except when a clear conflict of interest may be demonstrated. The board shall adopt and promulgate rules and regulations for such hearings and may utilize hearing officers to conduct the hearings and to present recommendations, including findings of fact and conclusions of law, to the board for final decision.

A decision of the board following a hearing shall be deemed final subject to the right of judicial review provided in the Administrative Procedure Act. All matters presented at any such hearing shall be acted upon promptly by the board, and the board shall notify all parties in writing of its decision, which shall include a statement of findings and conclusions upon all material issues of fact, law, or discretion presented at the hearing, and the appropriate rule, order, sanction, relief, or denial thereof.

An authorization to operate or an agent's permit may be revoked or made conditional after its issuance if the board has reasonable cause to believe that the holder thereof has violated or is violating the Private Postsecondary Career School Act or any rules and regulations adopted and promulgated under the act. Prior to such revocation or imposition of condition, the board shall notify the holder of the authorization or permit in writing of the impending action, setting forth the grounds for the action contemplated to be taken and advising the holder that if a hearing is requested in writing within ten business days of receipt of the notice, the board shall set a time and place for a hearing at which the holder may be heard in response to the allegation of noncompliance.

If a hearing is requested pursuant to section 85-1633, it shall be conducted as provided in sections 85-1630 and 85-1631. The decision of the board shall be made as provided in section 85-1632 and shall be deemed final subject to the right of judicial review provided in the Administrative Procedure Act. If an agent's permit is revoked or conditions imposed thereon, the board shall notify the school which the agent was permitted to represent, as shown in the records of the department, in addition to the notice required to be given to the agent and any other parties to the hearing.

Any person claiming damage or loss as a result of any act or practice by a private postsecondary career school or its agent, or both, which is a violation of the Private Postsecondary Career School Act or of the rules and regulations adopted and promulgated under the act may file with the board a verified complaint against such school or against its agent or both. The complaint shall set forth the alleged violation and shall contain such other information as may be required by the board. A complaint may also be filed with the board by the commissioner or the Attorney General.

The board may consider a complaint after ten days' written notice by certified mail, return receipt requested, to such school or to such agent, or both, as appropriate, giving notice of a time and place for hearing thereon. Such hearing shall be conducted in accordance with the Administrative Procedure Act.

If, upon all the evidence at the hearing, the board finds that a private postsecondary career school or its agent, or both, has engaged in or is engaging in any act or practice which violates the Private Postsecondary Career School Act or the rules and regulations adopted and promulgated under the act, the board shall issue and cause to be served upon such school or agent, or both, an order requiring such school or agent, or both, to cease and desist from such act or practice. The board may also, as appropriate, based on its own investigation or the evidence adduced at such hearing, or both, commence an action to revoke a school's authorization to operate or an agent's permit.