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-LEGISLATURE OF NEBRASKA
-ONE HUNDRED NINTH LEGISLATURE
-FIRST SESSION
-LEGISLATIVE BILL 413
+PREPARED BY: Scott Danigole
+LB 413 DATE PREPARED: January 22, 2025
+PHONE: 402-471-0055
-Introduced by Clouse, 37.
-Read first time January 17, 2025
-Committee: Natural Resources
-A BILL FOR AN ACT relating to public power districts, public irrigation1
-districts, and public power and irrigation districts; to amend2
-section 70-655, Reissue Revised Statutes of Nebraska; to change3
-provisions relating to the setting of rates by districts as4
-prescribed; and to repeal the original section.5
-Be it enacted by the people of the State of Nebraska,6
-LB413
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-LB413
-2025
--1-
-Section 1. Section 70-655, Reissue Revised Statutes of Nebraska, is1
-amended to read: 2
-70-655 (1) Except as otherwise provided in this section, the board3
-of directors of any district organized under or subject to Chapter 70,4
-article 6, shall have the power and be required to fix, establish, and5
-collect adequate rates, tolls, rents, and other charges for electrical6
-energy, water service, water storage, and for any and all other7
-commodities, including ethanol and hydrogen, services, or facilities8
-sold, furnished, or supplied by the district, which rates, tolls, rents,9
-and charges shall be fair, reasonable, nondiscriminatory, and so adjusted10
-as in a fair and equitable manner to confer upon and distribute among the11
-users and consumers of commodities and services furnished or sold by the12
-district the benefits of a successful and profitable operation and13
-conduct of the business of the district. Rates and charges may be14
-differentiated based on load size, load factor, firm and nonfirm service,15
-technology risks, length of service commitment, and other objective16
-criteria. 17
-(2) The board of directors may negotiate, fix, establish, and18
-collect rates, tolls, rents, and other charges for users and consumers of19
-electrical energy and associated services or facilities different from20
-those of other users and consumers. Any negotiated rates, tolls, rents,21
-and other charges for a commercial or industrial customer shall be22
-effective for no more than five years and in no case shall such rates,23
-tolls, rents, and charges include a production component that is less24
-than the incremental production cost of supplying such services if (a)25
-such customer has entered an agreement with the state or any political26
-subdivision to provide an economic development project pursuant to state27
-or local law and (b) such economic development project has projected new28
-or additional electrical load requirements greater than five hundred29
-kilowatts and a minimum annual load demand factor of sixty percent during30
-the applicable billing period. This subsection shall also apply to any31
-LB413
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-LB413
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--2-
-nonprofit corporation organized for the purpose of furnishing electric1
-service pursuant to the Electric Cooperative Corporation Act or the2
-Nebraska Nonprofit Corporation Act, any agency created pursuant to the3
-Municipal Cooperative Financing Act, and any municipality engaged in4
-furnishing electrical service to customers at retail or wholesale.5
-(3) In order to facilitate the merger and consolidation of6
-districts, the board of directors of a merged or consolidated district7
-may negotiate, fix, establish, and collect rates, tolls, rents, and other8
-charges for consumers in the service area of one or more of the9
-predecessor districts which are different than rates, tolls, rents, and10
-other charges for consumers in the remaining service area of the merged11
-or consolidated district. Any different rates, tolls, rents, and other12
-charges pursuant to this subsection shall be effective for no more than13
-five years after the date of merger or consolidation and shall be based14
-on cost of service or other rate studies showing that adoption of15
-dissimilar rates for consumers in otherwise similar rate classes is16
-needed to effectuate the merger or consolidation. This subsection shall17
-also apply in the event of a merger or consolidation of any nonprofit18
-corporation organized for the purpose of furnishing electric service19
-pursuant to the Electric Cooperative Corporation Act or the Nebraska20
-Nonprofit Corporation Act. 21
-Sec. 2. Original section 70-655, Reissue Revised Statutes of22
-Nebraska, is repealed. 23
-LB413
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-LB413
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--3-
+Revision: 00
+ FISCAL NOTE
+ LEGISLATIVE FISCAL ANALYST ESTIMATE
+
+ESTIMATE OF FISCAL IMPACT – STATE AGENCIES (See narrative for political subdivision estimates)
+ FY 2025-26 FY 2026-27
+EXPENDITURES REVENUE EXPENDITURES REVENUE
+GENERAL FUNDS
+CASH FUNDS
+FEDERAL FUNDS
+OTHER FUNDS
+TOTAL FUNDS
+
+Any Fiscal Notes received from state agencies and political subdivisions are attached following the Legislative Fiscal Analyst Estimate.
+
+LB 413 allows for public power districts to set rates and charges that are differentiated based on load size, load factor, firm and nonfirm
+service, technology risks, length of service commitment, and other objective criteria.
+
+No fiscal impact.
+
+ADMINISTRATIVE SERVICES STATE BUDGET DIVISION: REVIEW OF AGENCY & POLT. SUB. RESPONSE
+LB: 413 AM: AGENCY/POLT. SUB: Nebraska Power Review Board
+REVIEWED BY: Joe Massey DATE: 1/22/2025 PHONE: (402) 471-4181
+COMMENTS: No basis to disagree with the Nebraska Power Review Board assessment of no fiscal impact from LB 413
+
+Please complete ALL (5) blanks in the first three lines. 2025
+LB(1) 413 FISCAL NOTE
+
+State Agency OR Political Subdivision Name: (2) Nebraska Power Review Board
+
+Prepared by: (3) Tim Texel Date Prepared: (4) January 21, 2025 Phone: (5) 402-471-2301
+
+ ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION
+
+ FY 2025-26 FY 2026-27
+ EXPENDITURES REVENUE EXPENDITURES REVENUE
+GENERAL FUNDS
+CASH FUNDS
+FEDERAL FUNDS
+OTHER FUNDS
+TOTAL FUNDS
+
+Explanation of Estimate:
+
+No Fiscal Impact
+
+_____________________________________________________________________________________________________ _
+BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE
+Personal Services:
+POSITION TITLE
+NUMBER OF POSITIONS
+25-26 26-27
+2025-26
+EXPENDITURES
+2026-27
+EXPENDITURES
+
+Benefits………………………………...……
+Operating…………………………...……….
+Travel………………………………………..
+Capital outlay…………………...…………..
+Aid…………………………………………...
+Capital improvements……………………...
+ TOTAL……………………………….....

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