LB156 LB156
2021 2021
LEGISLATIVE BILL 156
Approved by the Governor May 24, 2021
Introduced by Wayne, 13; Hansen, M., 26; Groene, 42; Hunt, 8.
A BILL FOR AN ACT relating to economic development; to amend sections 81-12,148
and 81-12,150, Reissue Revised Statutes of Nebraska, and sections
81-12,146, 81-12,147, and 81-12,149, Revised Statutes Cumulative Supplement, 2020; to adopt the Municipal Inland Port Authority Act; to state legislative intent for the transfer of funds; to change provisions relating to use of the Site and Building Development Fund and provide powers and duties for the Department of Economic Development; to harmonize provisions; to provide a duty for the Revisor of Statutes; and to repeal the original sections.
Be it enacted by the people of the State of Nebraska,
Section 1. Sections 1 to 13 of this act shall be known and may be cited as the Municipal Inland Port Authority Act.
Sec. 2. The Legislature finds and declares as follows:
(1) Nebraska is ideally situated as a potential industrial and logistical hub for multiple industries across the rest of the country. The state is home to major railroads and trucking firms, and is within a two-day drive to major cities on the east coast, west coast, Mexico, and Canada;
(2) Increasingly, major companies looking to locate their headquarters or
expand operations seek large shovel-ready commercial and industrial sites,
commonly referred to as mega sites;
(3) Nebraska currently lacks the economic development tools necessary to
acquire and develop large shovel-ready commercial and industrial sites, and the creation of one or more inland port authorities in Nebraska could serve as a mechanism to develop such sites; and
(4) In addition to the development of large shovel-ready commercial and industrial sites, the creation of one or more inland port authorities could serve as a regional merging point for multi-modal transportation and distribution of goods to and from ports and other locations in other regions.
Sec. 3. For purposes of the Municipal Inland Port Authority Act:
(1) Board means the board of commissioners of an inland port authority;
(2) City means any city of the metropolitan class, city of the primary class, or city of the first class which contains an area eligible to be designated as an inland port district;
(3) Direct financial benefit means any form of financial benefit that accrues to an individual directly, including compensation, commission, or any other form of a payment or increase of money, or an increase in the value of a business or property. Direct financial benefit does not include a financial benefit that accrues to the public generally;
(4) Family member means a spouse, parent, sibling, child, or grandchild;
(5) Inland port authority means an authority created by a city, county, or
a city and one or more counties under the Municipal Inland Port Authority Act to manage an inland port district;
(6) Inland port district means an area within the corporate boundaries or
extraterritorial zoning jurisdiction or both of a city, within the boundaries of one or more counties, or within both the corporate boundaries or
extraterritorial zoning jurisdiction or both of a city and the boundaries of
one or more counties, and which meets at least two of the following criteria:
(a) Is located within one mile of a navigable river or other navigable waterway;
(b) Is located within one mile of a major rail line;
(c) Is located within two miles of any portion of the federally designated National System of Interstate and Defense Highways or any other four-lane divided highway; or
(d) Is located within two miles of a major airport;
(7) Intermodal facility means a hub or other facility for trade combining any combination of rail, barge, trucking, air cargo, or other transportation services;
(8) Major airport means an airport with commercial service as defined by
the Federal Aviation Administration; and
(9) Major rail line means a rail line that is accessible to a Class I
railroad as defined by the federal Surface Transportation Board.
Sec. 4. (1) Any city which encompasses an area greater than three hundred acres eligible to be designated as an inland port district may propose to
create an inland port authority by ordinance, subject to the cap on the total number of inland port districts provided in subsection (4) of this section. In determining whether to propose the creation of an inland port authority, the city shall consider the following criteria:
(a) The desirability and economic feasibility of locating an inland port district within the corporate boundaries, extraterritorial zoning jurisdiction,
or both of the city;
(b) The technical and economic capability of the city and any other public and private entities to plan and carry out development within the proposed
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inland port district;
(c) The strategic location of the proposed inland port district in
proximity to existing and potential transportation infrastructure that is
conducive to facilitating regional, national, and international trade and the businesses and facilities that promote and complement such trade;
(d) The potential impact that development of the proposed inland port district will have on the immediate area; and
(e) The regional and statewide economic impact of development of the proposed inland port district.
(2) Any city and one or more counties in which a city of the metropolitan class, city of the primary class, or city of the first class is located, or in
which the extraterritorial zoning jurisdiction of such city is located, which encompass an area greater than three hundred acres eligible to be designated as
an inland port district may enter into an agreement pursuant to the Interlocal Cooperation Act to propose joint creation of an inland port authority, subject to the cap on the total number of inland port districts provided in subsection
(4) of this section. In determining whether to propose the creation of an inland port authority, the city and counties shall consider the following criteria:
(a) The desirability and economic feasibility of locating an inland port district within the corporate boundaries or extraterritorial zoning jurisdiction or both of the city, or within both the corporate boundaries or
extraterritorial zoning jurisdiction or both of a city and the boundaries of
one or more counties;
(b) The technical and economic capability of the city and county or
counties and any other public and private entities to plan and carry out development within the proposed inland port district;
(c) The strategic location of the proposed inland port district in
proximity to existing and potential transportation infrastructure that is
conducive to facilitating regional, national, and international trade and the businesses and facilities that promote and complement such trade;
(d) The potential impact that development of the proposed inland port district will have on the immediate area; and
(e) The regional and statewide economic impact of development of the proposed inland port district.
(3) Any county with a population greater than twenty thousand inhabitants according to the most recent federal census or the most recent revised certified count by the United States Bureau of the Census which encompasses an
area greater than three hundred acres eligible to be designated as an inland port district may propose to create an inland port authority by resolution,
subject to the cap on the total number of inland port districts provided in
subsection (4) of this section. In determining whether to propose the creation of an inland port authority, the county shall consider the following criteria:
(a) The desirability and economic feasibility of locating an inland port district within the county;
(b) The technical and economic capability of the county and any other public or private entities to plan and carry out development within the proposed inland port district;
(c) The strategic location of the proposed inland port district in
proximity to existing and potential transportation infrastructure that is
conducive to facilitating regional, national, and international trade and the businesses and facilities that promote and complement such trade;
(d) The potential impact that development of the proposed inland port district will have on the immediate area; and
(e) The regional and statewide economic impact of development of the proposed inland port district.
(4) No more than five inland port districts may be designated statewide.
No inland port authority shall designate more than one inland port district,
and no inland port authority may be created without also designating an inland port district.
(5) Following the adoption of an ordinance, resolution, or execution of an agreement pursuant to the Interlocal Cooperation Act proposing creation of an inland port authority, the city clerk or county clerk shall transmit a copy of
such ordinance, resolution, or agreement to the Department of Economic Development. Upon receipt of such ordinance, resolution, or agreement, the department shall evaluate the proposed inland port authority to determine whether the proposal meets the criteria in subsection (1), (2), or (3) of this section, whichever is applicable. Upon a determination that the proposed inland port authority sufficiently meets such criteria, the Director of Economic Development shall certify to the city clerk or county clerk whether the proposed creation of such inland port authority exceeds the cap on the total number of inland port districts pursuant to subsection (4) of this section. If the proposed inland port authority sufficiently meets such criteria and does not exceed such cap, the inland port authority shall be deemed created. If the proposed inland port authority does not sufficiently meet such criteria or
exceeds such cap, the city shall repeal such ordinance, the county shall repeal such resolution, or the city and county or counties shall rescind such agreement and the proposed inland port authority shall not be created.
Sec. 5. (1) The city council of any city which has created an inland port authority pursuant to subsection (1) of section 4 of this act shall designate what areas within the corporate limits, extraterritorial zoning jurisdiction,
or both of the city shall comprise the inland port district, subject to the limitations of the Municipal Inland Port Authority Act. The boundaries of any
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inland port district shall be filed with the city clerk and shall become effective upon approval of the city council. The city council may from time to
time enlarge or reduce the area comprising any inland port district, except that such district shall not be reduced to an area less than three hundred acres. Any change of boundaries shall be filed with the city clerk and become effective upon such filing.
(2) The city council of any city and county board or boards of any county or counties which have created an inland port authority pursuant to subsection
(2) of section 4 of this act shall designate what areas within the corporate limits, extraterritorial zoning jurisdiction, or both of the city or within the county or counties shall comprise the inland port district, subject to the limitations of the Municipal Inland Port Authority Act. The boundaries of any inland port district shall be filed with the city clerk and the county clerk or
clerks and shall become effective upon approval of the city council and the county board or boards. The city council and the county board or boards may from time to time enlarge or reduce the area comprising any inland port district, except that such district shall not be reduced to an area less than three hundred acres. Any change of boundaries shall be filed with the city clerk and the county clerk or clerks and become effective upon such filing.
(3) The county board of any county which has created an inland port authority pursuant to subsection (3) of section 4 of this act shall designate what areas within the county shall comprise the inland port district, subject to the limitations of the Municipal Inland Port Authority Act. The boundaries of any inland port district shall be filed with the county clerk and shall become effective upon approval of the county board. The county board may from time to time enlarge or reduce the area comprising any inland port district,
except that such district shall not be reduced to an area less than three hundred acres. Any change of boundaries shall be filed with the county clerk and become effective upon such filing.
Sec. 6. (1) An inland port authority shall have the power to:
(a) Plan, facilitate, and develop the inland port district in conjunction with the city, the county or counties, and other public and private entities,
including the development of publicly-owned infrastructure and improvements within the inland port district;
(b) Engage in marketing and business recruitment activities and efforts to
encourage and facilitate development of the inland port district;
(c) Apply for and take all other necessary actions for the establishment of a foreign trade zone, as provided under federal law, within the inland port district;
(d) Issue and sell revenue bonds as provided in section 8 of this act;
(e) Acquire, own, lease, sell, or otherwise dispose of interest in and to
any real property and improvements located thereon, and in any personal property, and construct buildings and other structures necessary to fulfill the purposes of the inland port authority;
(f) Acquire rights-of-way and property of any kind or nature within the inland port district necessary for its purposes by purchase or negotiation;
(g) Enter into lease agreements for real or personal property, either as
lessee or lessor;
(h) Sue and be sued in its own name;
(i) Enter into contracts and other instruments necessary, incidental, or convenient to the performance of its duties and the exercise of its powers,
including, but not limited to, agreements under the Interlocal Cooperation Act with the city, the county or counties, or any other political subdivision of
this or any other state;
(j) Borrow money from private lenders, from the state, or from the federal government as may be necessary for the operation and work of the inland port authority;
(k) Accept appropriations, including funds transferred by the Legislature pursuant to section 81-12,146, contributions, gifts, grants, or loans from the United States, the State of Nebraska, political subdivisions, or other public and private agencies, individuals, partnerships, or corporations;
(l) Employ such managerial, engineering, legal, technical, clerical,
accounting, advertising, administrative, or other assistance as may be deemed advisable, or to contract with independent contractors for any such assistance;
(m) Adopt, alter, or repeal its own bylaws, rules, and regulations governing the manner in which its business may be transacted, except that such bylaws, rules, and regulations shall not exceed the powers granted to the inland port authority by the Municipal Inland Port Authority Act;
(n) Enter into agreements with private operators or public entities for the joint development, redevelopment, reclamation, and other uses of property within the inland port district;
(o) Own and operate an intermodal facility and other publicly-owned infrastructure and improvements within the boundaries of the inland port district; and
(p) Establish and charge fees to businesses and customers utilizing the services offered by the inland port authority within the inland port district as required for the proper maintenance, development, operation, and administration of the inland port authority.
(2) An inland port authority shall neither possess nor exercise the power of eminent domain.
Sec. 7. The State of Nebraska and any municipality, county, or other political subdivision of the state may, in its discretion, with or without consideration, transfer or cause to be transferred to any inland port authority
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or place in its possession or control, by lease or other contract or agreement,
either for a limited period or in fee, any real property within its inland port district. Nothing in this section shall in any way impair, alter, or change any obligations of such entities, contractual or otherwise, existing prior to the effective date of this act.
Sec. 8. (1) An inland port authority created under the Municipal Inland Port Authority Act may issue and sell revenue bonds necessary to provide sufficient funds for achieving its purposes, including the construction of
intermodal facilities, buildings, and infrastructure and the financing of port improvement projects, except that such authority shall not issue or sell general obligation bonds. An inland port authority may pledge any revenue derived from the sale or lease of property of such authority to the payment of
such revenue bonds.
(2) The State of Nebraska shall not be liable for any bonds of any inland port authority. Any such bonds shall not be a debt of the state and shall contain on the faces thereof a statement to such effect.
(3) No commissioner of any board of any inland port authority or any other authorized person executing inland port authority bonds shall be personally liable on such bonds or be subject to any personal liability or accountability by reason of the issuance thereof.
Sec. 9. No inland port authority shall be required to pay any taxes or
any assessments whatsoever to the State of Nebraska or to any political subdivision of the state, except for assessments under the Nebraska Workers'
Compensation Act and any combined tax due or payments in lieu of contributions as required under the Employment Security Law. The bonds of every inland port authority and the income therefrom shall, at all times, be exempt from any taxes and any assessments, except for inheritance and gift taxes and taxes on
transfers.
Sec. 10. (1) An inland port authority shall be administered by the board which shall consist of:
(a)