Utilities Section
Newsletter League of Nebraska Municipalities
May 2024
Legislature impacts municipal utilities and public works departments By Lash Chaffin, Utilities Section Director The 2024 Legislature adopted numerous bills that will affect municipal utilities and public works departments. LB 1317 contained a number of provisions related to electric vehicle charging stations. • Private entities that are not public power entities will be authorized to charge by the kilowatt hour for electric vehicle charging station. This is required in order to receive federal funding for electric vehicle charging stations; • The establishment of an excise tax that will begin on Jan. 1, 2028, of three cents per kilowatt hour on the electric energy used to charge the battery of a motor vehicle at a commercial electric vehicle charging station, and a sales tax exemption operative on Jan. 1, 2025, for electric energy when stored, used, or consumed by a motor vehicle and the electricity is subject to the excise tax; • A registration fee for plug-in hybrid electric vehicles of $75; • Strict limits on public power development, ownership and operation until Jan. 1, 2028; • Effective on Jan. 1, 2028, a public power electric supplier has broader authority to develop, own, maintain, or operate a direct-current, fast-charging station outside of 10 miles of a 206 S 13th Street, Suite 800 Lincoln, NE 68508 (402) 476-2829 Fax (402) 476-7052
privately owned direct-current fast-charging station that is already in commercial operation or has a pending building permit and interconnection request to the electric supplier, on Jan. 1, 2028; and • A public power electric supplier that operates a direct-current, fast-charging station shall have rates, tolls, rents, and charges that are fair, reasonable, and nondiscriminatory, and available to all direct current, fast-charging station operators in the electric supplier's service territory for the purpose of operating directcurrent, fast-charging stations. LB 61 removes some of the barriers on public entities such as municipalities, counties, and power districts from leasing publicly owned fiber-optic facilities. Public entities such as municipalities, counties, and power districts can lease fiberoptic technology subject to fewer limitations when broadband is not available to a location by fiberoptic technology, cable modem or hybrid fiber-coaxial technology, and at speeds of at least 100 megabits per second for downloading and at least 20 megabits per second for uploading with a latency
ĖĔĖĘ ; $,Z; a,q Z ZZ,HB sufficient to support real-time, interactive applications. Terrestrial fixed wireless technology is not considered broadband for purposes of this law. Thus, if a location is served by terrestrial fixed wireless technology, then the public entity can lease publicly owned fiber optic technology with fewer limitations. • Public entities such as municipalities and power districts will be limited in their ability to lease fiber-optic technology to a location if there is an “enforceable commitment” between the State of Nebraska or the federal government which the internet service provider receives a grant of federal or state funds in exchange for the internet service provider deploying broadband service infrastructure to one or more locations at speeds of at least 100 megabits per second for downloading and at least 20 megabits per second. • The lease rate must fall withing a “safe harbor range” set by the Public Service Commission. The current safe harbor range is $20 per strand, per mile to $200 per Continued on page 2 Lash Chaffin Utilities Section Director Jackson Sash Utilities Field Representative