Nebraska Municipal Review, June 2024

NEBRASKA MUNICIPAL REVIEW Official Publication of the League of Nebraska Municipalities

2024 Legislative Session in review Municipal Accounting and Finance Conference recap Century-old schoolhouse gets new life in Plattsmouth

JUNE 2024

No. 1,190 SSN 0028–1 9 0 6

JUNE 2024

Contents 4

The Director’s Message by L. Lynn Rex, LNM Executive Director – Governor announces July 25 for Special Session on property tax relief while League preparations for the 2025 session continue

7

2024 Legislative Session in review – a recap of bills and changes of interest to municipalities

11

Municipal Accounting and Finance Conference recap

13

Lanette Doane honored by the League and LARM for years of dedication and civic service

14

New Life: Century-old Cass County schoolhouse gets new life in $16M project boosted by historic tax credits

17

Morning Brew: City of Columbus gets creative to increase public engagement and awareness Grand Island recognized as hotspot of economic growth in national study

18

USDA Rural Development: Still the American Dream!

20

30 years of safety – Nebraska 811 and the state’s One Call Law

24

LARM – Breaking it down – road safety

26

New Art - Lied Center installs quilt-inspired mural honoring Lincoln

28

The Legal Corner by Tara A. Stingley, Sydney M. Huss, & Madeline C. Hasley, Cline Williams Wright Johnson & Oldfather, L.L.P. - New federal salary threshold approved by U.S. Department of Labor

30

Professional Directory

About the Cover: Photo of the Nebraska State Capitol building taken by Joseph Zaiger. Zaiger is a landscape photographer with roots in southwest Iowa, who travels the midwest taking photos. To see more of Zaiger’s work visit: www.zaigervision.com.

Larger Cities Legislative Committee Seth Sorensen, City Manager, Alliance Tobias Tempelmeyer, City Administrator/General Manager, Beatrice Rusty Hike, Mayor, Bellevue Jim Ristow, City Administrator, Bellevue Mindy Rump, Mayor, Blair Phil Green, City Administrator, Blair Miles Bannon, Council Member, Chadron Tom Menke, City Manager, Chadron Jim Bulkley, Mayor, Columbus Tara Vasicek, City Administrator, Columbus Dave Bauer, Mayor Crete Tom Ourada, City Administrator, Crete Joey Spellerberg, Mayor, Fremont Jody Sanders, City Administrator, Fremont Kent Ewing, Mayor, Gering Laura McAloon, City Administrator, Grand Island Mike Evans, Mayor, Gretna Paula Dennison, City Administrator, Gretna Corey Stutte, Mayor, Hastings Shawn Metcalf, City Administrator, Hastings James Liffrig, Mayor, Holdrege

Chris Rector, City Administrator, Holdrege Stan Clouse, Mayor, Kearney Brenda Jensen, City Manager, Kearney Doug Kindig, Mayor, La Vista Pam Buethe, Clerk, La Vista John Fagot, Mayor, Lexington Joe Pepplitsch, City Manager, Lexington Margaret Blatchford, Assistant City Attorney, Lincoln Linda Taylor, Mayor, McCook Nate Schneider, City Manager, McCook Bryan Bequette, Mayor, Nebraska City Perry Mader, City Administrator, Nebraska City Josh Moenning, Mayor, Norfolk Andrew Colvin, City Administrator, Norfolk Dani Myers-Noelle, City Attorney, Norfolk Brandon Kelliher, Mayor, North Platte Layne Groseth, City Admin./Utilities Manager, North Platte Steve Krajewski, Mayor, Ogallala Kevin Wilkins, City Manager, Ogallala Thomas Warren, Chief of Staff, Omaha David Black, Mayor, Papillion Amber Powers, City Administrator, Papillion

R. Paul Lambert, Mayor, Plattsmouth Emily Bausch, City Administrator, Plattsmouth Don Groesser, Mayor, Ralston Brian Kavanaugh, Council Member, Ralston Rick Hoppe, City Administrator, Ralston William De Roos, City Administrator, Schuyler Jeanne McKerrigan, Mayor, Scottsbluff Jordan Colwell,Vice Mayor, Scottsbluff Kevin Spencer, City Manager/Police Chief, Scottsbluff Joshua Eickmeier, Mayor, Seward Greg Butcher, City Administrator, Seward Roger Gallaway, Mayor, Sidney David Scott, City Manager, Sidney Carol Schuldt, Council Member, South Sioux City Lance Hedquist, City Administrator, South Sioux City Cale Giese, Mayor, Wayne Jill Brodersen, Council President, Wayne Wes Blecke, City Administrator, Wayne Barry Redfern, Mayor,York Dr. Sue Crawford, City Administrator,York

Smaller Cities Legislative Committee Jessica Quady, City Administrator, Ashland Marlin Seeman, Mayor, Aurora Eric Melcher, City Administrator, Aurora Chris Anderson, City Administrator, Central City Andrew Lee, Admin./Clerk/Treasurer, Curtis Alan Michl, Chairperson, Exeter Becky Erdkamp, Clerk/Treasurer, Exeter Kyle Svec, City Administrator, Geneva Deb VanMatre, Mayor, Gibbon Matt Smallcomb, City Administrator, Gibbon Gary Greer, City Administrator, Gothenburg

Jana Tietjen, Clerk, Hebron Kelly Oelke, City Administrator, Hickman Janine K. Schmidt, CMC/Treasurer, Morrill Sandra Schendt, Clerk/Treasurer, Nelson David Russell, Director of Government Affairs, NMPP Energy Mandy Hansen, Government Affairs Liason, NMPP Energy Sandy Kruml, Clerk/Treasurer, Ord Mike Feeken, Mayor, St. Paul Nancy Bryan, Clerk/Treasurer, Stromsburg Sandra Foote, Council Member, Superior Jeff Hofaker, City Administrator, Sutton

Jessica Meyer, City Administrator, Syracuse Kyle Arganbright, Mayor,Valentine Melissa Harrell, City Administrator, Wahoo Desiree Soloman, City Attorney, Waterloo Stephanie Fisher, City Administrator, Waverly Tom Goulette, City Administrator/Utility Superintendent, West Point Randy Woldt, Utilities Superintendent, Wisner

Executive Board 2023-2024

President Deb VanMatre Mayor, Gibbon President-Elect Marlin Seeman Mayor, Aurora Vice President Bryan Bequette Mayor, Nebraska City Past President Paul Lambert Mayor, Plattsmouth

Directors

Jean Stothert Mayor, Omaha Leirion Gaylor Baird Mayor, Lincoln Julie A. Deepe Mayor, Deshler Catherine-Jo Mills Village Chair, Ansley Joey Spellerberg Mayor, Fremont Jordan Colwell Vice Mayor, Scottsbluff Josh Moenning Mayor, Norfolk Sharon Powell Village Board President, Utica Jeff Hofaker City Administrator, Sutton Janine K. Schmidt CMC/Treasurer, Morrill Layne Groseth City Administrator/Utilities Manager, North Platte

Affiliated Sections

City Managers Amber Powers Papillion Clerks Kellie Crowell Ravenna Municipal Becky Erdkamp Accounting Exeter & Finance Fire Chiefs Dennis Thompson North Platte Utilities Duane Hoffman Oxford

League Staff L. Lynn Rex

Executive Director

Christy Abraham Legal Counsel Lash Chaffin Utilities Section Director Cherie DeFreece Administrative Assistant/ Membership Services Assistant Brenda Henning Membership Services Assistant Ethan Nguyen LNM/LARM Information Technology Manager Jackson Sash Utilities Field Representative/ Training Coordinator Shirley Riley Membership Services Director Ashley Wolfe Marketing/Communications Director

LARM Staff

Dave Bos Executive Director Tracy Juranek Assistant Executive Director, Customer Service Specialist Diane Becker Communications/Marketing Director Kyla Brockevelt Executive Administrative Assistant Drew Cook Customer Service Specialist John Hobbs Loss Control Specialist James Kelley Loss Control Specialist Fred Wiebelhaus Loss Control/Claims Manager

Municipal Legal Calendar (All statute citations to Revised Statutes of Nebraska) AUGUST 2024 CITIES OF THE FIRST CLASS

Within 10 days following meeting or before next meeting (whichever is sooner)........................................Clerk to have minutes available for public inspection. (84-1413) Within 15 days of Passage................. Clerk publishes ordinances passed. (16-405) Within 30 days of Council meeting..................................................................Clerk publishes official proceedings of meeting, including claims. (19-1102) On or before August 1......................................Political subdivisions subject to city levy submit preliminary request for levy ....................................................................... allocation to City Council. (77-3443) Prior to Notice of Budget Hearing.Proposed annual or biennial budget statement available to public. (13-504) * Before August 15.................................................Job titles and salaries of employees shall be published. (19-1102) On or before August 20....................................Receive the current taxable value of all property subject to levy .................................................................................from the County Assessor. (13-509) On or before September 1............... City Council determines the final allocation of levy authority for .................................................................................its subdivisions (77-3443) On or before September 30............................File adopted budget statement with County and State Auditor’s Office (13-508)* On or before September 30............................File information on trade names and interlocal agreements with State Auditor’s Office

.........................................................(13-513) Within 20 days after end of month.Treasurer files monthly financial report. (16-318) * * ...........................................................................Clerk must prepare agenda prior to next Council meeting. (84-1411) On or after September 14 and prior to September 24.................................................Joint public hearing if increasing property tax request by more than allowable growth

.........................................................percentage (77-1633)

By September 4...................................................Provide information to county if participating in joint public hearing (77-1633)

CITIES OF THE SECOND CLASS Within 10 days following meeting or before next meeting (whichever is sooner)........................................Clerk to have minutes available for public inspection. (84-1413) Within 15 days of Passage................. Clerk publishes ordinances passed. (17-613) Within 30 days of Council meeting.Clerk publishes official proceedings of meeting, including claims. (19-1102) On or before August 1......................................Political subdivisions subject to city levy submit preliminary request for levy ....................................................................... allocation to City Council. (77-3443) Prior to Notice of Budget Hearing.Proposed annual or biennial budget statement available to public. (13-504) * Before August 15.................................................Job titles and salaries of employees shall be published. (19-1102) On or before August 20....................................Receive the current taxable value of all property .................................................................................subject to levy from the County Assessor. (13-509) On or before September 1............... City Council determines the final allocation of levy authority for its subdivisions .................................................................................(77-3443) On or before September 30............................File adopted annual or biennial budget statement with County and State

.........................................................Auditor’s Office (13-508) * On or before September 30............................File information on trade names and interlocal agreements with State Auditor’s Office

.........................................................(13-513) Within 20 days after end of month.Treasurer files monthly financial report. (17-606) * * ...........................................................................Clerk must prepare agenda prior to next Council meeting. (84-1411) On or after September 14 and prior to September 24.................................................Joint public hearing if increasing property tax request by more than allowable growth

.........................................................percentage (77-1633)

By September 4...................................................Provide information to county if participating in joint public hearing (77-1633) VILLAGES Within 10 days following meeting or before next meeting (whichever is sooner)........................................Clerk to have minutes available for public inspection. (84-1413) Within 15 days of Passage................. Clerk publishes ordinances passed. (17-613) Within 30 days of Board of Trustees’ meeting..................................................................Clerk publishes official proceedings of meeting, including claims. (19-1102) On or before August 1......................................Political subdivisions subject to village levy submit preliminary request for levy .................................................................................allocation to Village Board. (77-3443) Prior to Notice of Budget Hearing.Proposed annual or biennial budget statement available to public. (13-504) * Before August 15 ................................................Job titles and salaries of employees shall be published. (19-1102) On or before August 20....................................Recieve the current taxable value of all property subject to levy .................................................................................from the County Assessor. (13-509) On or before September 1............... Village Board determines the final allocation of levy authority for its .................................................................................subdivisions (77-3443) On or before September 30............................File adopted annual or biennial budget statement with County and State .................................................................................Auditor’s Office. (13-508) * On or before September 30............................File information on trade names and interlocal agreements with State Auditor’s Office .........................................................(13-513) Within 20 days after end of month.Treasurer files monthly financial report. (17-606) * * ...........................................................................Clerk must prepare agenda prior to next Village Board meeting (84-1411)

* Does not apply to cities with a biennial budget that are in the second year of the biennial budget period.

Nebraska Municipal Review Editor and Advertising Sales: Ashley Wolfe, 402-476-2829 or ashleyw@lonm.org The NEBRASKA MUNICIPAL REVIEW is the official publication of the League of Nebraska Municipalities, an association of the cities and villages of Nebraska, published at 206 S.13th St., Ste. 800, Lincoln, Nebraska 68508 — Telephone 402-476-2829; FAX 402-476-7052; Website: www.lonm.org. Periodicals postage paid at Lincoln, Nebraska. Views of contributors, solicited or unsolicited, are their own and not to be construed as having the endorsement of the League unless specifically and explicitly stated by the publisher.

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DIRECTOR’S MESSAGE

Governor announces July 25 for Special Session on property tax relief while League preparations for the 2025 session continue

BY L. LYNN REX, EXECUTIVE DIRECTOR, LNM

O

n April 18, the Legislature passed over LB 388 on Final Reading after it was evident following two hours of debate that the Governor’s scaled back property tax relief proposal did not have the support of 33 Senators to overcome a filibuster. At the request of Sen. Lou Ann Linehan, Chair of the Revenue Committee and introducer of LB 388, Speaker John Arch requested that LB 388 be passed over on Final Reading (without a vote taken).

In Gov. Jim Pillen’s closing remarks to Senators on April 18, the last day of the 2024 legislative session, he stated the Legislature’s inaction on property tax relief was “unacceptable” and emphasized he would call “as many (special) sessions as it takes to finish the long over-due work of solving our property tax crisis.” Consequently, it was not surprising when Gov. Pillen announced on June 17: “I vow to do everything in my power as your Governor to cut property taxes. To any State Senator reading this – clear your schedule from July 26 to August 15.

We have the people’s work to do.”

The Governor’s initial property tax relief proposal in the 2024 session was amended into LB 388. LB 388 was designated as a Speaker Priority Bill and a Revenue Committee Priority Bill. The Standing Committee Amendments to LB 388 (AM3203) included provisions supported by Gov. Pillen for a 40% property tax reduction plan which would have imposed a sales tax on certain services and items while eliminating certain exemptions. AM3203 also included an increase in the state sales tax rate from 5.5% to 6.5%, subject to certain provisions outlined in the amendment. Provisions of LB 1414 relating 4

to proposed property tax caps on municipalities and counties to replace the “lid on restricted funds” also were included in the Standing Committee Amendments to LB 388.

Following eight hours of floor debate on General File regarding provisions in the Standing Committee Amendments to LB 388, Sen. Linehan’s cloture motion garnered the necessary 33 votes to stop the filibuster so the bill could be advanced to the next stage of consideration.

LB 388 was advanced to Select File on April 2 with the understanding that the sales tax rate increase provisions would be removed from the bill when it was considered on Select File. Sen. Linehan filed AM3468 on Select File which was adopted on April 10 and included many provisions of the Standing Committee Amendments supported by the Governor but deleted the proposed state sales tax rate increase from the bill.

As highlighted in numerous League Bulletins, the Property Tax Growth Limitation Act was included in Sections 1-8 of AM3468 establishing property tax caps for municipalities and counties, to replace the current “lid on restricted funds” in Chapter 13, Article 5. The caps in the Property Tax Growth Limitation Act would have only applied to property tax, unlike the “lid on restricted funds” which includes local option sales tax, highway funds, occupation taxes, and other sources of revenue. The cap in AM3468 would have been “the greater of 3% or the percentage change in the consumer price index percentage” with exceptions for bonded indebtedness, certain interlocal agreements, emergencies, etc.

Throughout the session, the media reported extensively on the various provisions in LB 388 to increase certain NEBRASKA MUNICIPAL REVIEW

taxes, remove certain exemptions, and tax items that are not currently taxed. As reported in League Bulletins, the League Executive Board supports additional state property tax relief but has no position on how the Legislature or Governor decides to generate additional state revenues to do so.

When LB 388 (as amended by LB 3468) was considered on Final Reading on April 18, several Senators, including Sen. Linehan and Sen. Brad von Gillern of Elkhorn, expressed frustration at the MISLEADING STATEWIDE MEDIA CAMPAIGN against LB 388 at the last minute by a coalition led by the Nebraska Grocery Industry Association.

Sen. Linehan and Sen. von Gillern said the media blitz against LB 388 falsely alleged that the bill would impose a sales tax on food. LB 388 would have added a sales tax on pop and candy, but not other food. Sen. Linehan emphatically stated, “They are lying. We are not taxing food and it’s disingenuous to say we are.” LB 388 also would have imposed a sales tax on veterinarian services for pets (not livestock), lottery tickets, storage services, and dry cleaning.

The bill would have imposed a 20% tax on vaping products, a 25% tax on CBD and hemp products, raised the cigarette tax from 64 cents to $1, and imposed a 7.5% tax on digital advertising services provided by businesses with gross revenues greater than $1 billion.

LB 388 also would have frontloaded tax credits passed in 2020 in LB 1107 so taxpayers automatically would receive the benefit without having to apply for a refund on their income tax. Revenue collected from the new or increased taxes would have replaced the existing property JUNE 2024

tax relief program with new school property tax credits which would have been on the parcel’s property tax statement.

Since the Legislature adjourned sine die on April 18, Gov. Pillen has been holding numerous town hall meetings on property tax reform in municipalities across the state emphasizing it is “time that we have transformational change in our tax code” which he said should be solved with a “broad tax base and low tax rate.” By the end of June, Gov. Pillen will have led at least 26 town hall meetings advocating for the state to take on more or all of the cost for funding the 244 public school districts in Nebraska.

On June 24, Gov. Pillen stated during his monthly statewide radio call-in show that his evolving property tax reform proposal will include provisions to totally fund K-12 public schools with state revenue; about 60% of all property taxes funds K-12 public schools. (The Governor’s initial goal with LB 388 was to reduce property taxes by 40%.) In 2023, the Legislature at the urging of the Governor provided significant property tax relief, including taking over the funding of community colleges.

The Governor also indicated during his radio call-in show that his property tax relief proposal will broaden the state tax base by ending some sales tax exemptions and increasing sales tax on other items like alcohol, cigarettes, vaping products, etc. The Governor underscored the importance of providing additional property tax

relief since in 2023 Nebraskans paid $3.7 billion in income taxes, $2.3 billion in sales taxes, and $5.3 billion was levied in property taxes and received by political subdivisions. It should be noted that not all $5.3 billion was paid by property taxpayers due to homestead exemptions and other tax credits; only about $4 billion of the $5.3 billion was actually paid by property taxpayers.

During the radio call-in show, a caller asked Gov. Pillen to comment on increasing valuations and tax levies. The Governor responded that valuations really are not the issue because individuals want their valuations to go up (to secure loans, etc.); he said “the hard core reality” is that political subdivisions fail to lower their levies going against the current spirit of the law. From FY22 to FY23, the total valuation increased by 11.44% while the taxes levied during this time frame increased by 5.7% to $5.3 billion.

Notwithstanding the Special Session, the League staff is looking forward to meetings with members of the League Larger and Smaller Cities Legislative Committees on Sept.

13, Oct. 2, and Nov. 1 to prepare for the 2025 legislative session. Interim study hearings on numerous issues of importance to municipalities as well as meetings with legislative staff, state agency directors, and others are ongoing. Thanks to the many city and village officials who dedicate time to participate in League meetings and assist the League staff in advocating for important municipal priorities! 

Read more!

Doing the People’s Work: Property Tax Reform Column by Gov. Jim Pillen See page 6 5

SAVE THE DATE

al Conference League Annu Oct. 2-4, 2024

A photo from one of Governor Pillen's town hall meetings on property taxes in Nebraska.

Photo shared courtesy of the Governor’s Office.

Doing the People’s Work:

Property Tax Reform O

ver the past few weeks, Nebraskans across the state have begun receiving their property valuation notices. The common reaction to those statements can be summed up in one word -- outrage. One Nebraskan recently interviewed for a news story had the perfect reaction to the question “what goes through your head when viewing your property tax valuations?”

Her response: “I can’t say that on TV.” She is not alone. Countless Nebraskans are in disbelief when they see the recent increases in their home values.

Double digit increases in valuations year over year is not something we should accept.

However, special interest groups have intimidated and paralyzed our Legislature.

In the 2024 Preliminary Property Tax Valuation estimates, 57 out of 93 counties had double digit valuation increases. The largest increase was 28% in Boone County.

Out of our three largest counties, Douglas saw an 8% increase, Sarpy 11%, and Lancaster had a 5% increase.

Unfortunately, when valuations increase, Gov. Jim Pillen you inevitably pay more in property taxes.

Period. That’s because we have a spending problem here in Nebraska.

It’s time we have transformational change in our tax code. It’s time that we stop taxing Nebraskans out of their homes. We can solve this problem with a broad tax base and low tax rate. This will reduce the burden on homeowners, ranchers, and farmers and put more of a tax burden on the special interests that have received a free ride for the past 60 years.

I vow to do everything in my power as your Governor to cut your property taxes. To any state senator reading this – clear your schedule from July 26 to August 15. We have the people’s work to do.  6

NEBRASKA MUNICIPAL REVIEW

2024

LEGISLATIVE

SESSION IN REVIEW

A recap of bills and changes of interest to municipalities

BY CHRISTY ABRAHAM, LEGAL COUNSEL, LNM

T

he Nebraska Legislature adjourned sine die on April 18, 2024. The 2025 session is scheduled to begin on Jan. 8, 2025.

During the 2024 session, 597 bills were introduced.

There were 820 bills introduced during the first session for a combined total of 1,417 bills for the 108th legislative biennium. An additional 75 “A” bills (appropriations bills) were introduced this session. One hundred ninety-six bills were approved by the Governor in 2024. Included in those bills are the provisions of an additional 195 bills. The Governor vetoed two bills (LB 25 and LB 307) and the Legislature did not override either of them. There were 11 constitutional amendments introduced but none of them passed the Legislature.

This article lists some of the bills enacted by the Legislature that may be of interest to municipal officials.

LB 43

Introduced by Sen. Sanders

Hundreds of bills were introduced in the 2024 legislative session that the League of Nebraska Municipalities supported, opposed, or monitored according to prior directives or policies of the League Executive Board. The bills that the League Executive Board directed to be introduced on behalf of the League and the bills that the Board voted to support are marked with a [League]. The Executive Board met before the 2024 legislative session to review recommendations of the League Larger and Smaller Cities Legislative Committees and met during the legislative session.

Legislation enacted in 2024 becomes effective three calendar months after the end of the legislative session unless the bill has an emergency clause or a different operative date. Unless otherwise noted, bills enacted in the 2024 legislative session take effect July 19, 2024.

Copies of the bills can be found on the Legislature’s website at http://nebraskalegislature.gov/.

Requires courts to review appeals from contested cases de novo on the record and not defer to the state agency’s interpretation of the statute, rule, or regulation. The Standing Committee Amendment to LB 43 contains the provisions of several additional bills: LB 277 (Brewer) adopts the “First Freedom Act” requiring that state action, which includes municipalities, “cannot substantially burden a person’s right to the exercise of religion unless it is demonstrated that applying the burden to that person’s exercise of religion in this particular instance is essential to further a compelling governmental interest and is the least restrictive means of furthering that compelling governmental interest”; LB 297 (Sanders) adopts the Personal Privacy Protection Act that prohibits state and local government entities from: requiring individuals or nonprofit organizations to provide personal information; publicizing personal information; or requesting a contractor or grantee to provide a list of nonprofit organizations that the contractor or grantee has given financial or nonfinancial support; LB 366 (Conrad) makes several changes to the public records statutes. First, it makes a distinction between residents and nonresidents and provides that nonresidents may be charged for all staff time, including attorney’s fees, for fulfilling public records requests. For residents, including news media, the cost of producing copies of public records cannot include the first eight cumulative hours of staff time. The bill also provides that for

JUNE 2024

Continued on page 7 8

7

LB 43

Introduced by Sen. Sanders

residents, there can be no charge for the services of an attorney, or any other person, to review the requested public records seeking a legal basis to withhold the records from the public; LB 650 (McDonnell) amends the public records statutes to allow records relating to “the nature, location, or function of cybersecurity by the State of Nebraska or any of its political subdivisions” to be withheld from the public; LB 637 (Albrecht) amends the Open Meetings Act to provide that except for closed sessions, “a public body shall allow members of the public an opportunity to speak at each meeting.” (Provisions of LB 297 are operative on January 1, 2025, provisions of LB 650 are effective on March 28, 2024, all other provisions are effective on July 19, 2024)

LB 61

Removes some of the barriers on municipalities, counties, and public power districts from leasing publicly owned fiber-optic facilities. Subject to certain limitations, public entities can lease fiber-optic technology when broadband is not available to a location by fiber-optic technology, cable modem, or hybrid fiber-coaxial technology at speeds of at least 100 megabits per second for downloading and at least 20 megabits per second for uploading. [League]

LB 257

Changes the statutes relating to cemeteries to provide cities, villages, and counties a process to revest lots purchased for internment or burial in a cemetery owned by the local government if no one has been buried in the lot for at least 30 years. The bill outlines notice proceedings that allow the owner of an abandoned lot the opportunity to file a valid claim disputing the lot has been abandoned. The bill allows the governing body to bring an action in district court to restore the cemetery lot to the city, village, or county if no valid claim by an owner is filed. [League]

LB 287

As originally introduced, this bill amended the Joint Public Agency Act. The Standing Committee Amendment eliminated the original provisions of the bill and added the provisions of several other bills, including: LB 47 (Dorn) authorizes rural fire districts to prominently post notice of their meetings in three conspicuous places; LB 513 (Brewer) [League] provides that a governing body of a risk management pool and any advisory committee of that body “may hold more than one-half of its meetings by virtual conferencing if such organization holds at least one meeting each calendar year that is not by virtual conferencing.” LB 513 also includes provisions relating to proof of publication requirements and how to address the situation when a newspaper refuses, neglects or is unable to timely publish notice of a public meeting. LB 302 (Linehan) amends the Nebraska Political Accountability and Disclosure Act to remove references to “city or village” and replaces it with the broader term “political subdivisions.” The bill also provides that certain public employees must prepare and submit a written statement disclosing certain conflicts of interest or potential conflicts; LB 514 (Brewer) [League] is the annual omnibus elections cleanup bill and includes updates for remonstrance petitions for cities of the first class. (Provisions of LB 47 and LB 513 are effective on April 17, 2024, all other provisions are effective on July 19, 2024)

LB 304

Requires political subdivisions, including municipalities, to publicly disclose on their website membership dues paid annually to any association or organization, and fees paid for lobbying services. If a municipality does not have a website, the information must be made available upon request to any member of the public at the office of the municipality.

LB 600

Creates the Municipality Infrastructure Act administered by the Department of Economic Development.

Cities of the first class, second class, or villages with a redevelopment plan approved under the Community Development Law are eligible to apply for grants to assist in funding infrastructure including water and sewer systems, roads, bridges, and other site development activities. Five million dollars has been appropriated for this program. (Effective on April 17, 2024) [League]

LB 685

Changes provisions relating to the Mechanical Amusement Device Tax Act. Beginning July 1, 2025, any distributor or operator of a cash device must pay a tax of five percent on the net operating revenue for each cash device in operation. Twenty-five percent of the tax is remitted to the county treasurer of the county in which the cash device is located to be distributed to counties and municipalities. If the cash device is located within a municipality, one-half of the 25% is distributed to the county and one-half is distributed to the municipality in which the cash device is located. The bill prohibits a political subdivision from levying or imposing any tax on mechanical amusement devices in addition to the taxes imposed by the Mechanical Amusement Device Tax Act.

Introduced by Sen. Brandt

Introduced by Sen. Lowe

Introduced by Sen. Brewer

Introduced by Sen. Linehan

Introduced by Sen. Lippincott

Introduced by Sen. Lowe

8

NEBRASKA MUNICIPAL REVIEW

LB 686

Introduced by Sen. Walz

LB 840

Introduced by Sen. McKinney

Changes several provisions relating to firefighters employed by a city of the first class. With an amendment, the bill changes the definition of salary to include overtime, call-back, and call-in pay, but excludes clothing allowances. Firefighter contributions are increased for all firefighters from 6.5% to 12.7% over a two-year period. The city contribution increases from 13% to 15% over two years. In cities whose firefighters are covered by social security, the bill provides an offset of the required retirement contribution for both cities and firefighters. This offset does not apply to the City of Bellevue or their firefighters. A spouse who is receiving the death-in-the-line-of-duty benefit is allowed to receive any amount remaining in the deceased firefighter’s retirement account upon remarriage if there are no minor children. Pooling is allowed when two or more cities by written agreement and approval by the retirement committee of each city, agree to pool investments and administration of plan benefits using an interlocal agreement that expressly states that the city is not be liable for ongoing management of pooled investments or any liability relating to management.

Also, certain city funds are not eligible for use for pooling agreements or the operation of pooling agreements.

The bill contains the provisions of LB 197 (McDonnell) that amends the definition of eligible employees that may participate in a section 218 referendum under the Social Security Act by removing the prohibition of firefighters participating in such a referendum.

Adopts the Poverty Elimination Action Plan Act. With the Standing Committee Amendment to the bill, Omaha and Lincoln are the only cities required to establish and adopt a five-year poverty elimination action plan. Lincoln and Omaha are required to submit a copy of the plan to the Urban Affairs Committee by July 1, 2025. For each odd-numbered year thereafter, Lincoln and Omaha are required to submit a report to the Urban Affairs Committee detailing their efforts to eliminate poverty. Also included in the committee amendment is LB 881 (Sen. Ballard) [League] that changes the Middle Income Workforce Housing Act to change the definition of urban community to include an area that is within a county in which a city of the primary class is located, and in counties with a population greater than 100,000 inhabitants that do not contain a city of the metropolitan class.

LB 874

Makes several changes regarding childcare licensing and childcare facilities. Also included in the bill is the requirement that each municipality submit to the Urban Affairs Committee of the Legislature all fire and building safety codes, fire and building safety permits, and health department and sanitation ordinances, zoning, and regulations relating to childcare facilities for review once every five years.

LB 1118

Changes the law to require that appointed officials in cities of the second class can only be removed by the mayor with the consent of the city council. This language makes the law consistent with cities of the first class and villages. [League]

LB 1197

Amends the Sports Arena Facility Financing Assistance Act to add privately owned sports complex to the definition of an eligible sports arena facility. For a privately owned sports complex, state “turnback taxes” can only be used to pay back bonds to acquire or construct public infrastructure, lease the complex for governmental use of a political subdivision, or promote sporting events open to the public. State turnback taxes can also be used to pay back funds expended by a nonprofit corporation to acquire and construct a privately owned sports complex subject to voter approval and the bill outlines the process for a municipality to place such an issue on the ballot. The bill expands the definition of political subdivision to include school districts, community colleges and joint entities formed under the Interlocal Cooperation Act which include a city, village, or county.

Other provisions of the bill include changes to the definition of program area and the length of funding for certain projects. The bill includes the provisions of LB 1251 (Linehan) [League] which also amends the Sports Arena Facility Financing Assistance Act by creating different requirements for a sports complex located in a city of the second class or village. Some of those changes include allowing for smaller projects, expanding the program area to include the corporate limits of the city or village, and changing how the state turnback taxes are generated and for how long.

LB 1300

Adopts the Pacific Conflict Stress Test Act and the Foreign Adversary Contracting Prohibition Act. The Standing Committee Amendment added the provisions of LB 1358 (McDonnell) that prohibits Omaha and Lincoln from increasing the salaries of the mayor or city council members in excess of inflation plus one percent. The city councils of these two cities can raise salaries in excess of this limit only with a public hearing, a two-thirds vote of the council, and approval of the voters in that city.

LB 1317

Introduced as a shell bill aimed to reduce property taxes, LB 1317 became the vehicle for more than a dozen tax bills ranging in topics from gambling winnings offsetting outstanding debt, the Tax Equalization and Review Commission, rent-restricted housing projects, and inheritance taxes. Bills of particular interest to municipalities amended into this bill include: LB 1374 (Linehan) which adopts the Good Life District

Introduced by Sen. Bostar

Introduced by Sen. McKinney

Introduced by Sen. von Gillern

Introduced by Sen. Bostar

Introduced by Sen. Linehan

JUNE 2024

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LB 1317

Introduced by Sen. Linehan

LB 1335

Introduced by Sen. Moser

LB 1344

Introduced by Sen. Wayne

Economic Development Act. This Act allows municipalities, upon the approval of voters, to establish a good life district economic development program for any area of the municipality that is included in a good life district. A municipality can appropriate local sources of revenue to assist in the development of the good life district. It also amends the Good Life Transformational Projects Act by changing project eligibility, allowing adjustment of district boundaries, outlining the processes of removing areas from the district, and changing investment thresholds that must be met; LB 622 (McDonnell) amends the Sports Arena Facility Financing Assistance Act to allow state turnback taxes for large public stadiums which are open-air facilities with outdoor fields used for competitive sports located in Omaha; LB 1093 (Bostar) amends the First Responder and Recruitment Retention Act to redefine and expand the definition of law enforcement officer, to further define firefighters, law enforcement officers, and their dependents who are eligible for tuition reimbursement, and mandate reporting requirements regarding the program for the Department of Revenue. For first responders who die as a result of an event in the line of duty, their employers cannot cancel any health insurance policy covering a spouse or dependent of the first responder for at least 12 months; LB 1217 (Bostar) adds property tax exemptions for nursing and assisted living facilities; LB 1218 (Bostar) changes provisions relating to electric vehicle charging stations, including authorizing private entities that are not public power entities to charge by the kilowatt hour for an electric vehicle charging station, establishing an excise tax and a sales tax exemption, requiring a registration fee for plug-in hybrid electric vehicles of $75, and limiting public power development, ownership and operation until January 1, 2028 but after that date broadening the authority for a public power electric supplier to develop and own fast-charging stations in certain circumstances.

Amends Nebraska law to be consistent with federal law on when a state agency, political subdivision, or their contractor needs to strictly comply with the Nongame and Endangered Species Act. Some of the changes include: retaining the requirement that initial state agency decisions creating new transportation infrastructure or increasing the area of transportation infrastructure are subject to the current process of review and mitigation for threatened and endangered species; exempting subsequent state agency actions related to transportation infrastructure from the current review process and mitigation for threatened and endangered species; requiring the Department of Transportation to consider the impacts of its decisions on all threatened and endangered species as it relates to its primary purposes for transportation infrastructure; and expressly declaring that public roads including associated right-of-way are man-made structures and are not critical habitat.

Renames and changes the Community Development Assistance Act to the Creating High Impact Economic Future Act. Under the Act, community betterment organizations, which includes municipalities performing eligible activities, may apply to have programs or projects certified for tax credit status. The bill also amends the Good Life Transformational Projects Act to limit the number of good life districts being created statewide to five, with no more than one good life district being created in Douglas County, and excluding any good life district created within an inland port district. It also makes changes to which projects are eligible and not eligible under the Good Life Transformational Projects Act. Finally, the bill changes provisions of the Nebraska Innovation iHub Act, including adding inland port districts as an area eligible to be designated as an iHub.

Much of the work of the Legislature and the League staff during the 2024 was spent on addressing Gov. Jim Pillen’s goal of reducing property taxes by 40%. Although a compromise was ultimately not adopted by the Legislature before they adjourned, the Governor has indicated a special session may be convened at the end of July to continue the work on property tax reduction and caps on local governments.

Before the Legislature reconvenes in January 2025, the League will be working on various interim studies that have been introduced and referred to legislative standing committees.

Some of the topics include public records requests, affordable 10

housing, clean drinking water, childcare, broadband, and assisted-living facility reimbursement rates.

The League’s most effective and important lobbyists are municipal officials, elected and appointed. Thanks once again to all the municipal officials who reached out to their Senators to discuss issues vital to municipalities. It is working in partnership with our municipal officials that legislative victories are won. The League is ever grateful to municipalities for their time and commitment to these issues.  NEBRASKA MUNICIPAL REVIEW

Municipal accounting AND finance conference 202 delegates, representing 146 municipalities were among the attendees at this year’s conference

BY ASHLEY WOLFE, MARKETING

M

& COMMUNICATIONS DIRECTOR, LNM

unicipal officials from across the State of Nebraska made the trek to Lincoln to attend the 2024 Municipal Accounting and Finance Conference June 12-14. There was an increase in attendance over the previous year and sessions were held on a wide variety of topics—each containing multiple takeaways for each delegate to take back to their municipality.

The training kicked off on Wednesday with an optional preconference session on Labor Relations and Personnel Management. Attorneys Sydney Huss and Maddie Hasley reviewed some changes to the Department of Labor’s Final Overtime Rule and provided updates on laws and regulations pertinent to the employment of seasonal workers.

Some of the other topics included: affordable housing, budget laws and how to effectively track and share information, grants opportunities, legislative updates, multiple sessions diving into the “EPIC Option” and how to effectively educate on what the proposed constitutional amendments could mean, including the loss of local control.

The next League conference will be the Annual Conference scheduled for Oct. 2-4, 2024 at the Cornhusker Mariott Hotel in Lincoln. We hope to see you then!  Continued on page 12

1.)

3.)

2.)

JUNE 2024

4.)

1.) Sandra Schendt, Clerk/Treasurer of Nelson, shared her thoughts during the session titled, Best Practices for Tracking Expenditures to Stay Within Your Municipal Budget. 2.) Becky Erdkamp, Clerk/Treasurer of Exeter and 2024-25 Chairperson of the MAFC Planning Committee presents Brandi Kloepping, Clerk/Treasurer of Cozad and Past Chairperson, with a plaque for her service. 3.) Deb VanMatre, League President and Mayor of Gibbon, welcomes conference attendees. 4.) Many important topics were covered at this year's conference, generating many questions from the audience. Photos by Ashley Wolfe / LNM.

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Attendees of the Municipal Accounting and Finance Conference were provided a wide-variety of sessions to choose from. Some of the topics covered included changes in legislation following the last legislative session, tips for recognizing AI generated images, and many topics regarding budgets. Photos by Ashley Wolfe/LNM.

Above: Jeff Hofaker, City Administrator of Sutton; Melissa Harrell, City Administrator of Wahoo; and Layne Groseth, City Administrator of North Platte; share tips for educating on the municipal impact of the proposed constitutional amendments related to the “EPIC Option.” Right: Twenty-one sponsors contributed to making the conference a success! Thanks to all of you.

Maddie Hasley Cline Williams

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John Turner & Nate Volker NIFA

Karen Barrett Nebraska Department of Revenue

David Dudley

Baylor Evnen Wolfe & Tannehill

NEBRASKA MUNICIPAL REVIEW

Thank you to all of the conference sponsors! * Ameritas Retirement Plans

* JEO Consulting Group, Inc.

* NPAIT

* AMGL CPAs & Advisors

* Johnson Service Company

Olsson

Burbach Aquatics

* League Association of Risk Management (LARM)

Piper Sandler & Co.

* Creative Sites

* League Insurance Government Health Team (LIGHT)

Professional Choice Recovery, Inc.

* D.A. Davidson & Co. * DSG Supply * gWorks HOA Solutions Inc.

* Nebraska CLASS * Nebraska Energy Federal Credit Union * Northland Securities, Inc.

Lanette Doane honored by the League and LARM for years dedicated servant leadership

I

n addition to the conference, the League and LARM recognized Lanette Doane, former Village Clerk of Ansley for 40 years, who also served as Deputy Clerk for three years. Gibbon Mayor Deb VanMatre, League President and LARM Board Member, presented Lanette with an engraved clock to express appreciation for the extraordinary amount of time she has dedicated to the Village of Ansley, the League and LARM. Lanette was elected to the LARM Board on March 21, 2018. She served as the Vice-Chair in 2021 and 2022 and then as LARM Board Chair in 2023. As a member of the League Smaller Cities Legislative Committee, Lanette helped review and develop countless legislative proposals.

Additionally, Lanette also has served as Vice Chair and Chair of the Municipal Accounting and Finance Conference Committee. Her exceptional leadership led to 27 years of service in the Nebraska Municipal Clerks’ Association—including serving on many committees. She was awarded the NMCA Outstanding Clerk Award in 2015 and 2022.

Lanette’s drive for serving others runs deep. She has been a member of her Area Clerks’ Association for over 27 years—serving as President, ViceJUNE 2024

* Sparq Data Solutions * Viking Industrial Painting

* Denotes a display table

Building a better future in NEBRASKA with a strong Public Finance Partner D.A. Davidson & Co. is committed to strengthening the infrastructure and enriching the lives of people in our communities throughout Nebraska and across the nation.

Lanette Doane, former Village Clerk of Ansley, was honored by the League and LARM for more than 40 ytears of service in her role with the Village of Ansley.

Photo by Ashley Wolfe/LNM

President, and Secretary-Treasurer. She also has been a member of the Institute of Municipal Clerks for 22 years. Additionally, Lanette has served for decades in her community—on the school board; serving as Music Director and Lector at St. Joseph Catholic School; she started and organized the School Veterans’ Day Program for many years, and took the reins and organized innumerable community festivals and events.

Thank you again to Lanette for her years of service and continuing to train the new Clerk for the Village of Ansley, Michelle Nelson. We wish you the very best in retirement! 

Our bankers specialize in: • Bond Anticipation Notes • Paving Bonds • Water and Sewer Bonds • General Obligation Bonds • Utility System Revenue Bonds • Lease-Purchase Financing Call:

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dadavidson.com

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Main gym - before and after

Century-old Cass County schoolhouse gets new life in $16M project boosted by historic tax credits

New life

BY CINDY GONZALEZ THE NEBRASKA EXAMINER

Photos provided by Alley Poyner Macchietto Architecture.

A

basketball court was resurrected in this town’s old high school, though the hoop today is more for show than sport and is likely to become the backdrop for a trendy coffee bar.

Chalkboards remain in what once were the chemistry and math rooms, now apartments.

Look-alike book lockers line the main hallway, along with a vintage trophy case stuffed with Plattsmouth Blue Devils athletic relics.

With a boost from public incentives, including state historic tax credits, the former Plattsmouth High School built more than a century ago is now fully transformed into an apartment building that has been brimming since March with residents.

In May, History Nebraska’s historic preservation office welcomed local, state and federal officials to a “Rehab Roadshow” that celebrated

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Nebraska historic tax credit: More than 100 completed projects have benefited from the state historic tax credit program between 2015 and 2023. Others are underway.

Nearly $200 million in qualified investments were made during that time, with $33.2 million in tax credits issued leveraging those investments.

Source: History Nebraska State Historic Preservation Office

NEBRASKA MUNICIPAL REVIEW

the nearly $16 million project.

In addition to the 25 units in the rehabbed schoolhouse, which were responsible for the bulk of the cost, the price tag includes a 15-unit, newly constructed apartment structure nearby.

The event was intended to highlight economic development tools that are available — and at least one that is at risk — to restore and reuse Nebraska landmarks.

Heart of the community

To the group of about two dozen, Plattsmouth Mayor Paul Lambert spoke about how important rescuing the 106-year-old school, now called the Lofts on Main, was to the community of about 6,500.

The project not only fires up nostalgia, he said, but also adds workforce housing vital to new employers that have moved to the area in recent years.

“This building is in the heart of the community,” Lambert said, noting emotional ties to many, including his wife and siblings. “If I had torn this down, I would have had to leave home.”

He said the structure was falling apart after sitting vacant for numerous years. Another school facility had replaced it back in 1976, he said, and the property was used only off and on after that for a couple of decades.

It was at the point of demolition, Lambert said, when the RMDX development team came forward.

He said the city agreed to contribute about $1 million over a 10-year period in local incentives that typically go to encourage business development, not residential.

Living unit space - before and after

The project not only fires up nostalgia, but also adds ”workforce housing vital to new employers that have moved to the area in recent years.

”

- Paul Lambert, Plattsmouth Mayor

Filling gaps

RMDX’s Ryan Durant and Michael Sothan, historic tax credit coordinator at History Nebraska, said federal and state historic tax credit programs as well as a state tax abatement program and low-income housing tax credits filled financial gaps and made the project feasible.

But, said Sothan, the state historic tax credit program created in 2015 to incentivize the rehab and reuse of historic structures faces challenges.

The Nebraska Legislature, when reauthorizing the program last year, set the program’s annual allowable credits to offset tax liability at $2 million. It was once $15 million a year, said Sothan.

The good news, he said, is that the program has a reserve of historic tax credits built up of about $55 million.

Continued on page 16 / See Plattsmouth

JUNE 2024

15

Public corridor - before and after

“It could be wiped out in one year, three years, it certainly won’t last more than five years,” Sothan said.

He said that without a change in legislation, the program in the long run would not be able to sustain the current demand for credits. That could slow down or ward off projects to preserve historically significant buildings, which typically are pricey ventures.

“It creates some uncertainty,” Sothan said. “We do have some time.”

Sothan said the Legislature last year took positive steps in other aspects, including lifting the state income tax credit ceiling for a qualified rehab project from $1 million per project to $2 million.

Things you wouldn’t build today

The Rehab Roadshow, he said, is intended to encourage continuation of restoration projects boosted by state historic tax credits. Among the guests at the Lofts on highlighted restored features such as the lower floor basketball Main event was Elmwood State Sen. Rob Clements, court, student locker rooms, a boiler room-turned apartment, chair of the Legislature’s Appropriations Committee. the original auditorium and stage that serves as a community History Nebraska plans to take its roadshow this year to gathering space.

Norfolk and Red Cloud, where it will feature restoration Each apartment dwelling is unique, said Durant, and has a distinct personality. But vintage pictures, tin ceilings, wooden projects in those towns.

Participation in the historic tax credit program requires staircase railings and other decor tie together to provide the developers to preserve character-defining features — schoolhouse feel. which was not easy with the decaying structure, said Abby “There are some really neat things you wouldn’t build today,” Hegemann of Alley Poyner Macchietto Architecture. he said. “It’s fun.”  “It was a challenge,” she said, during a tour that Source – The Nebraska Examiner. Read more at www.nebraskaexaminer.com 16

NEBRASKA MUNICIPAL REVIEW

Columbus Mayor Jim Bulkley, left, Councilmen Ron Schilling and J. Prent Roth, along with Public Works Director Chuck Sliva pose for a photo during a recent Morning Brew Community Chats session in the Columbus Public Library. Photo provided by the City of Columbus.

Morning

brew

City of Columbus gets creative to increase public engagement and awareness

BY MATT LINDBERG,

COMMUNICATIONS MANAGER, CITY OF COLUMBUS

T

he City of Columbus has continued its quest to better engage the public by launching its “Morning Brew Community Chats” sessions this year.

“We love hearing from and interacting with the citizens of Columbus, but wanted to provide an informal setting where they could talk with elected officials and staff,” City Administrator Tara Vasicek said. “We thought what better way than to invite the public to its community building bright and early to visit with them over a cup coffee?”

Each session, elected officials and city staff members rotate as “hosts” of the event, giving residents a chance to come ask questions, converse, and enjoy a cup of coffee.

The city initially started with two sessions on the second and fourth Friday of each month, but attendance wasn’t as high as hoped despite some good conversations with residents. Listening to public feedback, the city then pivoted to hosting the coffee chats the last Saturday of the month in the public library.

Continued on page 27 / See Coffee

JUNE 2024

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USDA Rural Development:

Still the American Dream!

D

id you know that June is National Homeownership Month? During June, awareness is raised about the benefits of owning a home and the importance of making homeownership more attainable for Americans. It celebrates the value that owning a home brings to families, communities, and neighborhoods across America, and encourages others to achieve the American dream of homeownership. USDA Rural Development has programs to assist residents of rural Nebraska communities become homeowners. The big “WOW” factor about these programs is that you can purchase a home with no downpayment and if you qualify under the income guidelines, subsidy may be available to help you stretch your borrowing power and buy more home than you may have thought. That is especially helpful in today’s challenging housing market with higher interest rates and higher housing prices. But don’t give up hope, if you live in a rural community, there may be a way.

Let’s take a look at how one woman in a rural community made that dream come true for her and her children.

Homeownership, it can be difficult to achieve in a challenging economy, especially for those of limited means, but it is not impossible. Jaimee Souksan made the dream come true for her family of three when she purchased a single-family home in Gordon, Nebraska with the help of USDA Rural Development.

Jaimee and her two children lived with her parents for two years while she searched for a place to call home. She was approved for a 502 loan through USDA’s Single-Family Housing Programs and purchased a picturesque two-bedroom, one-bath home with a lush green lawn, the perfect place to raise her kids.

The family can be seen loving their new space with their pup, roasting Photo provided by USDA RD marshmallows, and enjoying the security of having their own home.

Rural Development provided the 502 Single-Family Housing loan and High Plains Community Development Corporation provided closing cost assistance. This was a packaged application from Little Dixie Community Action Agency on behalf of High Plains CDC. Providing these affordable homeownership opportunities promotes prosperity, which in turn creates thriving communities and improves the quality of life in rural areas. Let us take a look and see if we may be able to help you to achieve your American Dream!  Programs for Homebuyers include: Single Family Housing Direct Loans: Funds may be used to buy, build, repair, renovate or relocate a modest home in rural communities (towns of 20,000 or less in population) Income limits apply. This is a 33-year loan with an interest rate for June of 4.75% (subject to change).

Interest rates when modified by payment assistance can be as low as 1%. No downpayment is typically required however applicants with assets higher than the asset limits may be required to use a portion of those assets. Applications may be provided year-round, based on availability of funding. These loans are made directly by USDA Rural Development in Nebraska, and you may contact us per the above contact information to get started.

Single Family Housing Guaranteed Loans: Funds may be used to purchase, build, rehabilitate, improve, or relocate a dwelling in an eligible rural area with 100% financing. This program provides a 90% loan note guarantee to approved lenders to reduce the risk of extending 100% loans to eligible rural homebuyers, so again, no money down for those who qualify. This is a 30-year loan with the interest rate negotiated with the approved lender. Income limits also apply but are higher than for the Direct Program.

You may find a list of approved lenders at the following website: https://www.rd.usda.gov/resources/lenders

To learn more about the USDA Rural Development home loan programs, find more information on the website, www.rurdev.usda.gov/ne; or by contacting the SingleFamily Housing team at 402-437-5551 Option 1, or email: SM.RD.NE.SFHQST@usda.gov.

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NEBRASKA MUNICIPAL REVIEW

JUNE 2024

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Years of Safety: Nebraska 811 and the State’s One Call Law

Preventing damages with free locate requests and outreach

BY NEBRASKA 811 STAFF

2024 marks the 30th anniversary of Nebraska instating the One-Call Notification System Act – better known as the “one-call law” – which requires anyone who plans to dig, whether they’re a professional excavator at the job site or a homeowner planting a tree, to contact Nebraska 811 at least two full business days before they break ground. The one call law revolutionized how the state approaches underground utility damage prevention, reducing the number of accidentrelated injuries and deaths, utility outages, and vital infrastructure repair costs.

Today, this law remains as important as ever with the abundant installations of fiberoptic cable happening across the state, and Nebraska 811, formerly Diggers Hotline of Nebraska, is prepared to continue helping with its free service, and partnership with publicly-owned utilities and public outreach efforts. Continue reading to learn more about how these three actions play important roles in reducing utility damages.

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Free Locate Requests Anyone can submit a locate request – it’s free, simple, and can be done over the phone by calling 8-1-1 or online at Nebraska811.com. The one call law requires all excavators – including non-professionals – to submit their locate request at least two full business days before they break ground.

During the two full business day wait, facility operators will either send locators to the dig site to mark any underground utilities – typically using flags or paint – or confirm the area is “clear” of their lines. Once all facility operators on the ticket have responded, the excavator may observe the marks and begin to dig with care.

Wondering how an excavator can assist in making the dig process as efficient as possible? White lining or pre-marking the excavation area NEBRASKA MUNICIPAL REVIEW

with white flags or paint sets a project up for faster, more efficient locates. By clearly defining the area of excavation, white lining allows locators to perform the locate more efficiently and helps eliminate potential confusion during the marking process.

Partnering with Publicly-Owned Utilities Nebraska 811 partners with the state’s publicly-owned utilities to minimize downtime of vital utility resources, avoid costly infrastructure repair, and keep excavators – and those around them – safe. In order to accomplish this, all publicly-owned utilities in Nebraska are required to be a member of Nebraska 811. These facility operators participate in the 811 process by providing regular updates to their notification area maps and basemaps, respond to locate requests, and provide electronic documentation by the stated time on tickets. Each member is also responsible for knowing its role and obligations under the state’s one call law.

Continued on page 22 / See Nebraska 811

Over 49 million homeowners will put themselves at risk this year by not contacting 811 before digging.* Whether you’re an excavator or a facility operator, keep yourself and those around you safe by helping to increase awareness about the importance of contacing 811 before digging. *According to a February 2023 survey of American homeowners.

Find us online

JUNE 2024

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Nebraska 811 Continued from page 21

Public Outreach & Education In addition to maintaining the operation of the 811 process, Nebraska 811 plays a significant role in educating Nebraskans about the importance of safe digging through outreach efforts aimed at professional excavators, homeowners, facility operators, and the general public. Locating an underground line prior to digging is vitally important in reducing damages, injuries, and other negative consequences that could result from damaging utility lines, and that’s why continuing to spread awareness about underground utility safety is so important.

Nebraska 811 shares safe digging education on its website and @NE1Call on social media, at community events, through trainings and safety meetings, and more. If you’d like to have Nebraska 811 hold an in-person or virtual safety meeting in your area for local excavators and/or facility operators, visit Nebraska811.com/Resources/ Education-and-Training-Center for more information.

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No matter your role in excavation, safety is in your hands – every dig, every time.

That’s why it’s so important for all stakeholders to understand their responsibilities under Nebraska’s one call law. For more information, request a safety training in your area, or to submit a locate request, visit us online at Nebraska811.com. 

NEBRASKA MUNICIPAL REVIEW

GET A QUOTE AND JOIN TODAY! The League Insurance Government Health Team (LIGHT) helps hundreds of its members throughout Nebraska obtain affordable health insurance coverage.

Plan and Network Choices With seven plan options and three networks to choose from, you’re sure to find one that meets your group’s coverage and benefit needs.

Affordable Plan Options

Available Network Options

Offering your employees much-needed protection against the high cost of medical care:

With several networks available, you have easy access to quality providers:

• Three PPO options • Four HSA-eligible high deductible options • Prescription drug coverage

• NEtwork BLUE (Statewide) • Premier Select BlueChoice (Regional) • Blueprint Health (Regional) • Out-of-state network availability

Enrollment Options Single: Covers the employee only Employee and spouse: Covers the employee and their spouse

Employee and children: Covers the employee

and their eligible dependent children, but does not provide coverage for the spouse

Family: Covers the employee and eligible dependents including a spouse

RECEIVE DEDUCTIBLE AND OUT-OF-POCKET CREDIT FROM YOUR CURRENT VALID GROUP PLAN WHEN YOU SWITCH!

LET’S GET STARTED Contact your current local Agent/Broker Or contact

Dennis Maggart Executive Vice President P: 913-378-9841 or 816-718-0335 Dennis@McInnesGroup.com

Jane Limbach Account Manager P: 913-378-9840 Jane@McInnesGroup.com Blue Cross and Blue Shield of Nebraska is an Independent Licensee of the Blue Cross and Blue Shield Association. 60-025-58 (01-17-23)

JUNE 2024

23

LARM

Breaking it down

Road safety

BY DIANE BECKER COMMUNICATIONS/MARKETING DIRECTOR, LARM

A

s of April 15, 2024, there were 71 traffic fatalities for the year in Nebraska, a 29% increase over the same period in 2023. The causes are not surprising – speeding, drunk driving, lack of seatbelt use, and distracted driving were some of the reasons for the fatal accidents. You can take steps to increase your chance of avoiding or surviving a vehicle accident.

You’re breaking the law if you speed, drive drunk, or are not wearing a seatbelt, but people still think they can drive if they’re just a little buzzed, are only five miles over the speed limit, or are going just a short distance. They’re wrong. The first step to preventing an accident is to diligently obey the law.

It’s been proven that wearing a seat belt is one of the most effective ways to prevent injury and/or death in a crash. The National Highway Traffic Safety Administration estimates that wearing a seatbelt reduces the risk of death among frontseat occupants by 45 percent. In 2020, in 77.6% of the vehicle accidents in which there was a fatality, the victim was not wearing a seatbelt.

It’s the law to buckle up, and wearing a seatbelt could save your life whether you drive 200 miles or two blocks. It’s been proven that most crashes happen within 25 miles from work or home.

Distracted driving is the cause of many serious accidents as drivers who are looking at their phones are slow to react to unexpected conditions such as black ice or another vehicle pulling out, slowing down, or stopping ahead of them. According to the Nebraska Department of Transportation, from 2010 to 2021, incidences of accidents occurring because of distracted driving

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increased by 31.7% with 14,018 injuries and 119 fatalities as a result. Texting while driving is said to increase the risk of a crash by 23 times. Sending or reading a text takes your eyes off the road for approximately five seconds. Driving 55 miles per hour is equivalent to driving the length of a football field with your eyes closed.

Put the phone down. If you need to call or text, change your destination on GPS, look up nearby gas stations, or use your phone for any reason, pull over in a public parking area off the side of the roadway. Set up your destination and listening options before you start driving.

Obey the law. Buckle up. Put your phone down. Doing so will greatly increase the probability of arriving safely at your destination. 

For a printable PDF that can be placed in municipal workspaces, email diane.becker@larmpool.org.

NEBRASKA MUNICIPAL REVIEW

JUNE 2024

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New art

Lied Center installs quilt-inspired mural honoring Lincoln

BY ELIZABETH DIAMOND LINCOLN JOURNAL STAR

A colorful, quilt-inspired mural of Abraham Lincoln was installed at the Lied Center for Performing Arts recently.

The mural depicting the 16th U.S. President and namesake of Nebraska's capital is located on the west side of the Lied Center at North 11th and Q Streets on the University of Nebraska-Lincoln City Campus.

Measuring 15 feet wide and 20 feet high, the poster-like mural was created about two years ago by artist and quilter McKenzie Phelps. It's based on “Lincoln,” a quilt held at the International Quilt Museum on UNL's East Campus.

A team from the Lux Center for the Arts installed the mural, the 12th it's created in the past three years.

“Public art enriches the fabric of our city, contributing to Lincoln’s status as the quality-of-life capital of the country,” Lincoln Mayor Leirion Gaylor Baird said in a news release. “We invite residents and visitors alike to enjoy this vibrant mural that celebrates Lincoln’s heritage and namesake.”

New York-based quilt artist Kimberly Soper created the quilt “Lincoln” in 2016, basing the design on a pop-art portrait of Lincoln created by artist Ihsan Ekaputra.

Portraits like Ekaputra’s pop-art rendition of Lincoln are known as Wedha’s Pop Art Portraits, a genre named after Indonesian 26

NEBRASKA MUNICIPAL REVIEW

Volunteers put on adhesive to seal a mural of Abraham Lincoln on the west wall of the Lied Center for Performing arts. The mural painted by McKenzie Phelps is a representation of the quilt "Lincoln" by Kim Soper in the permanent collection of the International Quilt Museum in Lincoln. Photos by Mark Moore / Lied Center for Performing Arts.

artist Wedha Abdul Rasyid who is credited with popularizing and potentially one of the most iconic new pieces of public the style. art for Lincoln, Nebraska,” Lied Center Executive Director “I first saw Soper’s quilt at a quilting event in Birmingham, Bill Stephan said. “Celebrating one of our nation’s greatest England, and was immediately struck by the brilliant color used presidents and our city’s namesake is the Lied Center’s throughout the piece — I knew it was the perfect quilt for the honor. The new work will bring beauty to the 11th Street museum’s collection,” said Leslie Levy, executive director of entrance to campus and the entry to the Carson Theater at the International Quilt Museum. “We are thrilled to share this the Lied Center. We are excited to not only have world-class incredible art with the City of Lincoln.” performances at the Lied, but also have a world-class mural The quilt came to the museum in 2019 after winning the People’s that was made possible thanks to project partners including Choice and First Place Improvisation awards at the Modern Quilt the International Quilt Museum, the Lux Center for the Guild’s annual QuiltCon in 2017.

Arts, and Visit Lincoln.”  “The Lied Center is proud to be showcasing one of the biggest Reprinted with permission.

Coffee Continued from page 17

“Outreach and engagement are essential components to communicating effectively. We (the City) are constantly trying to better communicate with our citizens and Morning Brews Community Chats is just our newest attempt,” Mayor Bulkley said. “Many people can be intimidated speaking in front of a group, such as at a council meeting. The format that we are setting up with the Morning Brews Community Chats is being laid out to minimize this and make for a comfortable environment.”

Columbus Mayor Jim Bulkley said he hopes people will continue to attend the sessions when they can so they can engage city officials.

“We cannot address your concerns if we do not know about your concerns,” Bulkley said, noting city council meetings can be intimidating to people so the coffee chats might make it easier for residents to voice their concerns. “Communication is a two-way process.”  JUNE 2024

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THE LEGAL CORNER

New federal salary threshold approved

by U.S. Department of Labor

BY TARA A. STINGLEY, SYDNEY M. HUSS, & MADELINE C. HASLEY, CLINE WILLIAMS WRIGHT JOHNSON & OLDFATHER, L.L.P. *

Tara A. Stingley

Sydney M. Huss

Madeline C. Hasley

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O

n April 23, 2024, the U.S. Department of Labor (DOL) announced an increase to the Fair Labor Standards Act’s (FLSA) salary-level threshold for the “white-collar” exemptions to overtime requirements. The DOL’s final rule expands overtime pay protections to over four million workers by changing the FLSA’s exemptions to overtime eligibility.

Public employers are not exempted from the DOL’s final rule. Accordingly, public employers should begin evaluating appropriate measures to comply with the final rule, should it take effect.

I. The Current Standard Subject to certain exemptions, the FLSA requires covered employers to pay at least minimum wage to employees and overtime to those who work more than 40 hours per week.i Currently, to be exempt from overtime under the FLSA’s executive, administrative, and professional exemptions, an employee must be paid a salary of at least $684 per week and meet certain duties tests.ii If the employee is paid less than $684 per week, is not paid on a salary basis, or does not meet the applicable duties test, the employee must be paid one and one-half times their regular hourly rate for hours worked in excess of 40 hours in a workweek, unless an exception applies, such as a valid compensatory time off plan.iii II. The DOL’s Final Rule Under the DOL’s final rule, the salary threshold for the FLSA’s executive, administrative, and professional exemptions will increase in two phases: • On July 1, 2024, the salary threshold will increase from $684 per week ($35,568 per year) to $844 per week ($43,888 per year).iv • On January 1, 2025, the salary threshold will increase again, to $1,128 per week ($58,656 per year). v In addition, the DOL’s final rule increases the total annual compensation requirement for highly compensated employees: • On July 1, 2024, the annual compensation threshold will increase from $107,432 per year to $132,964 per year. vi • On January 1, 2025, the annual compensation requirement will increase again to $151,164 per year. vii The DOL has set forth a schedule for automatic increases to the salary threshold every three years, after the initial update on July 1, 2024, to allow for predictable updates. viii The DOL has not released the updated rates for 2027, but it has indicated that it will use methodologies in place at the time of the dates. ix NEBRASKA MUNICIPAL REVIEW

III. What Remains Unchanged As expected, the DOL’s final rule did not amend the duties test under the FLSA. Regardless of the changes to the salary threshold, an employee still must meet both the duties and pay requirements of an exemption in order to be properly classified as exempt under the FLSA. x IV. Effective Date of the Final Rule The DOL announced that the first phase of the final rule will take effect on July 1, 2024. xi The rates scheduled to take effect on July 1, 2024, use the existing 2019 methodology. xii The rates scheduled to take effect January 1, 2025, the second phase, use updated methodology. xiii According to the DOL: The delayed applicability date will allow employers six additional months beyond the proposed 60-day effective date in which to evaluate employees who will be affected by the new standard salary level methodology and the new [highly compensated employee] compensation level methodology and make any adjustments. xiv V. The Road Ahead As expected, the DOL’s final rule has already faced legal challenges in court. As of early June 2024, two lawsuits have been filed in the Eastern District of Texas challenging the final rule. Most recently, on June 3, 2024, the Texas Attorney General filed suit seeking a temporary restraining order requesting the court enjoin implementation of the final rule.

These legal challenges look similar to those raised in 2016, when a comparable rule was announced under the Obama Administration to increase the FLSA’s salary threshold.

Given the final rule’s looming effective date and the uncertainty of litigation,

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Continued on page 30 / See Legal

JUNE 2024

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Legal Continued from page 29

employers are put in a difficult position in preparing to comply with the new rule.

Regardless of pending litigation, employers must consider what is necessary to comply with the new rule, should it take effect. Employers first should evaluate the nature of their current workforce, particularly their exempt employees. Salaries for employees currently classified as exempt may need to be increased to align with the final rule. Where salary increases are not feasible or practicable, employees may need to be reclassified as nonexempt.

Reclassification decisions will need to be evaluated carefully to consider how best to communicate changes to impacted employees.

These types of decision can be complicated and will depend on a variety of factors. Employers should work closely with counsel on changes that need to occur and to monitor legal developments related to the DOL’s final rule.

Editor’s Note: This article is not intended to provide legal advice to its readers.

Rather, this article is intended to alert readers to new and developing issues.

Readers are urged to consult their own legal counsel or the author of this article if they wish to obtain a specific legal opinion regarding their particular circumstances. The authors of this article, Tara A. Stingley, Sydney M. Huss, and Madeline C. Hasley, can be contacted at Cline Williams Wright Johnson & Oldfather, L.L.P., tstingley@clinewilliams.com, shuss@clinewilliams.com, mhasley@clinewilliams.com, or www.clinewilliams.com. * Special thanks to Carmella A. Monico for her assistance in the research and preparation of this article.

End notes 29 U.S.C. § 207(a)(1). ii 29 C.F.R. §§ 541.100(a)(1), .200(a)(1), .300(a)(1). iii 29 U.S.C. § 207(a)(1). See also 29 U.S.C. § 207(o) (stating that “[e]mployees of a public agency . . . may receive . . . compensatory time off at a rate of not less than one and one-half hours for each hour of employment for which overtime compensation is required by this section.” (emphasis added)); Tara A. Stingley & Sydney M. Huss, Time or money: Providing compensatory time off in lieu of overtime pay, NEBRASKA MUNICIPAL REVIEW, Sept. 2023, at 16, available at https://www.lonm.org/news/publication-links/nebraskamunicipal-review.html. iv Defining and Delimiting the Exemptions for Executive, Administrative, i

Professional, Outside Sales, and Computer Employees, 89 F.R. 32842 (proposed Sept. 2023) (to be codified at 29 C.F.R. pt. 541). v Id. vi Id. vii Id. viii Id. ix Id. x Id. xi Id. xii Id. xiii Id. xiv Id.

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