LB 264 — Provide, change, and eliminate transfers from the Cash Reserve Fund and various other funds and change, terminate, and eliminate various statutory programs

 TheThe State Treasurer shall transfer $250,000$1,850,000 from the MotorProfessional Carrierand DivisionOccupational Credentialing Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,850,000$2,000,000 from the Professional-4- andLB264 OccupationalLB264 Credentialing2025 CashTransportation Infrastructure Bank Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000 from the Transportation Infrastructure Bank Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

-10- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Sec.

62.

63.62.

63.

 The State Treasurer shall transfer $2,000,000 from the Racetrack Gaming Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

Sec.

The State Treasurer shall transfer $2,000,000$1,000,000 from the RacetrackCarrier GamingEnforcement Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$250,000 from the CarrierNebraska EnforcementState Patrol Vehicle Replacement Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $250,000$500,000 from the Nebraska StatePublic PatrolSafety VehicleCommunication ReplacementSystem Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $500,000$1,500,000 from the NebraskaCivic Publicand SafetyCommunity CommunicationCenter SystemFinancing Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,500,000$500,000 from the -11-State ER77Energy ER77Cash LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Civic and Community Center Financing Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

 TheThe State Treasurer shall transfer $500,000$3,250,000 from the StateGovernor's EnergyEmergency Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $3,250,000$200,000 from the Governor'sEngineering EmergencyPlan Review Cash Fund to the General Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $200,000$3,000,000 from the EngineeringNebraska PlanEnvironmental ReviewTrust Cash Fund to the GeneralWater Resources Cash Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $3,000,000$8,000,000 from the Nebraska Environmental Trust Fund to the Water ResourcesSustainability Cash Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $8,000,000$2,000,000 from the Nebraska Environmental Trust Fund to the Nebraska Soil and Water SustainabilityConservation Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $2,000,000 from the NebraskaWorkforce EnvironmentalDevelopment TrustProgram Cash Fund to the Nebraska SoilOpportunity andGrant Water -12- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Conservation Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000$250,000 from the WorkforceMarijuana Developmentand ProgramControlled Substances Tax Administration Cash Fund to the NebraskaDepartment Opportunityof GrantRevenue Property Assessment Division Cash Fund on or after Julythe 1,operative 2025,date of this section, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $250,000$3,000,000 from the MarijuanaCommunity andCollege ControlledGap SubstancesAssistance TaxProgram Administration Cash Fund to the DepartmentEducation ofFuture Revenue Property Assessment Division Cash Fund on or after theJuly operative1, date2025, of this section, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department -5- LB264 LB264 2025 of Administrative Services.

The State Treasurer shall transfer $3,000,000$1,700,000 from the CommunityNebraska CollegeEducation GapImprovement Assistance Program Fund to the Education Future Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,700,000$1,000,000 from the NebraskaCertification Education Improvement Fund to the Education Future Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$100,000 from the CertificationTuition Recovery Cash Fund to the Education Future Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $100,000 from the TuitionPrivate RecoveryPostsecondary Career Schools Cash Fund to the Education Future Fund on or after July -13- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $100,000$800,000 from the PrivateState PostsecondaryDepartment Careerof SchoolsEducation Cash Fund to the Education Future Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

 TheThe State Treasurer shall transfer $800,000$50,000 from the StateExpanded DepartmentLearning ofOpportunity EducationGrant Cash Fund to the Education Future Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $50,000$50,000,000 from the ExpandedNebraska LearningTobacco OpportunitySettlement GrantTrust Fund to the EducationNebraska FutureTransformational Project Fund on or after July 1, 2025, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The The State Treasurer shall transfer $50,000,000 from the Nebraska Tobacco Settlement Trust Fund to the Nebraska Transformational Project Fund on or after July 1, 2025,2026, but before June 30, 2026,2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $50,000,000$1,250,000 from the Nebraska TobaccoLitter SettlementReduction Trustand Recycling Fund to the NebraskaGeneral Transformational Project Fund on or after July 1, 2026,2025, but before June 30, 2027,2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000$1,250,000 from the Nebraska EnvironmentalLitter TrustReduction and Recycling Fund to the NebraskaGeneral Soil and Water Conservation Fund on or after July 1, 2026, but before June 30, 2027, on -14- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000 from the DepartmentNebraska ofEnvironmental RevenueTrust Enforcement Fund to the GeneralNebraska Soil and Water Conservation Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $500,000$2,000,000 from the CharitableDepartment Gamingof OperationsRevenue Enforcement Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,500,000$500,000 from the VehicleCharitable TitleGaming andOperations Registration System Replacement and Maintenance Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$1,500,000 from the MotorVehicle CarrierTitle Servicesand Registration System Replacement and Maintenance Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $250,000$1,000,000 from the DepartmentMotor ofCarrier MotorServices VehiclesSystem IgnitionReplacement Interlockand Maintenance Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $5,000,000$250,000 from the EconomicDepartment Recoveryof ContingencyMotor Vehicles Ignition Interlock Fund to the StateGeneral Park Cash Revolving Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in -15- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000$5,000,000 from the StateEconomic VisitorsRecovery PromotionContingency Cash Fund to the GeneralState Park Cash Revolving Fund on or after -6- LB264 LB264 2025 July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $3,000,000$2,000,000 from the ImagiNEState NebraskaVisitors RevolvingPromotion LoanCash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$3,000,000 from the RecordsImagiNE ManagementNebraska CashRevolving Loan Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

 TheThe State Treasurer shall transfer $375,000$2,000,000 from the StateRecords DepartmentManagement of Education Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $750,000$375,000 from the State Department of BankingEducation andCash FinanceFund Settlementto Cashthe General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $375,000$750,000 from the MechanicalDepartment Safetyof InspectionBanking and Finance Settlement Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the -16- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Department of Administrative Services.

The State Treasurer shall transfer $500,000$375,000 from the NebraskaMechanical TrainingSafety andInspection Support Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $12,500,000$500,000 from the DepartmentNebraska ofTraining Motorand VehiclesSupport Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $250,000$12,500,000 from the MotorDepartment Carrierof DivisionMotor Vehicles Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,470,000$250,000 from the HealthMotor andCarrier HumanDivision Services Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$1,470,000 from the ProfessionalHealth and OccupationalHuman CredentialingServices Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $4,500,000$1,000,000 from the TransportationProfessional Infrastructureand BankOccupational Credentialing Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

-17- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Sec.

The State Treasurer shall transfer $2,500,000$4,500,000 from the SurfaceTransportation Water Irrigation Infrastructure Bank Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $500,000$2,500,000 from the NebraskaSurface OutdoorWater RecreationIrrigation DevelopmentInfrastructure Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $2,000,000$500,000 from the RacetrackNebraska GamingOutdoor Recreation Development Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000$2,000,000 from the CarrierRacetrack EnforcementGaming Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $1,000,000 from the Carrier Enforcement Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

-7- LB264 LB264 2025 Sec.

110.

110.111.

111.

The State Treasurer shall transfer $2,000,000 from the -18- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Building Renewal Allocation Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

Sec.

The The State Treasurer shall transfer $1,500,000$2,000,000 from the CivicBuilding andRenewal CommunityAllocation Center Financing Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $500,000$1,500,000 from the StateCivic Energyand CashCommunity Center Financing Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $200,000$500,000 from the EngineeringState PlanEnergy Review Cash Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $3,000,000$200,000 from the MotorEngineering CarrierPlan ServicesReview SystemCash Replacement and Maintenance Fund to the DepartmentGeneral of Motor Vehicles Cash Fund on or after July 1, 2025,2026, but before June 30, 2026,2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $3,000,000 from the Motor Carrier Services System Replacement and Maintenance Fund to the Department of Motor Vehicles Cash Fund on or after July 1, 2026,2025, but before June 30, 2027,2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

-19- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Sec.

The State Treasurer shall transfer $7,500,000$3,000,000 from the DepartmentMotor ofCarrier MotorServices VehiclesSystem CashReplacement and Maintenance Fund to the Operator'sDepartment Licenseof ServicesMotor SystemVehicles ReplacementCash and Maintenance Fund on or after July 1, 2025,2026, but before June 30, 2026,2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $6,000,000$7,500,000 from the Department of Motor Vehicles Cash Fund to the Operator's License Services System Replacement and Maintenance Fund on or after July 1, 2026,2025, but before June 30, 2027,2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer $6,000,000 from the Department of Motor Vehicles Cash Fund to the Operator's License Services System Replacement and Maintenance Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

Sec.

120.

Any money transferred from the Nebraska -20- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Environmental Trust Fund to the Nebraska Soil and Water Conservation Fund shall be expended in accordance with section 81-15,168.

120.121.

(2) Any money in the Financial Institution Assessment Cash Fund fund -8- LB264 LB264 2025 available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

121.122.

-21- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (2) The Charitable Gaming Operations Fund is hereby created.

For purposes of enforcing sections 28-1101 to 28-1117, the authority of the investigators shall be limited to investigating possession of a gambling device, notifying local law enforcement authorities, and reporting suspected violations to the county -22- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 attorney for prosecution.

122.123.

123.124.

Section 13-3315, Revised Statutes Cumulative Supplement, -23- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 2024, is amended to read:

13-3315 The13-3315 The Inland Port Authority Fund is created.

-9- LB264 LB264 2025 Sec.

124.125.

125.126.

The Game and Parks Commission shall administer the fund to provide grants to natural resources districts to assist in completing the Missouri-PacificMissouri- Pacific trail between the cities of -24- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Lincoln and Omaha.

126.127.

(2) For any amount credited to the Water Recreation Enhancement Fund from a source other than a transfer authorized by the Legislature, the -25- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 State Treasurer shall transfer an equal amount from the Water Recreation Enhancement Fund to the Jobs and Economic Development Initiative Fund at the end of the fiscal year in which such funds were credited, on such dates as directed by the budget administrator of the budget division of the Department of Administrative Services to be used pursuant to section 61-405.

127.128.

Preference in -26- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 construction shall be based on existing or potential traffic use by other than local residents.

Any money in the State Recreation Road Fund available for -10- LB264 LB264 2025 investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

128.129.

Transfers shall be initiated each fiscal year by the State -27- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Treasurer following certification of revenue receipts by the Director-Director-State State Engineer from July 1, 2016, through June 2033.

129.130.

130.131.

Section 39-2807, Reissue Revised Statutes of Nebraska, is -28- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 amended to read:

131.132.

132.133.

All fees received pursuant to sections 48-120, 48-120.02, 48-138, -29- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 48-139, 48-145.04, and 48-165 shall be remitted to the State Treasurer for credit to the Compensation Court Cash Fund.

The State Treasurer may receive and credit to the fund any money which may at any time be contributed to the state or the fund by the federal government or any -11- LB264 LB264 2025 agency thereof to which the state may be or become entitled under any act of Congress or otherwise by reason of any payment made from the fund.

133.134.

Any -30- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 money in the Sector Partnership Program Fund fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

134.135.

(3) The committee, in consultation with the executive board, shall commission a nonprofit corporation to provide research, analysis, and -31- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 recommendations to the committee for the development of the study and strategic plan.

135.136.

55-901 (1)55-901 (1) The Military Installation Development and Support Fund is created.

supporting the morale, health, and mental wellness of military members -32- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 and families;

The fund shall consist of transfers authorized by the Legislature and any gifts, grants, or bequests from any -12- LB264 LB264 2025 source, including federal, state, public, and private sources, for such purposes.

136.137.

57-141157-1411 The The Public Service Commission Pipeline Regulation Fund is created.

Any money in the Public Service Commission Pipeline Regulation Fund fund available for investment shall be invested by the -33- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

137.138.

138.139.

-34- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (3) Any money in the Motor Carrier Services System Replacement and Maintenance Fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

139.140.

140.141.

In addition to money credited or remitted to the fund, the fund may also receive reimbursement -13- LB264 LB264 2025 from counties.

The fund shall be used by the Department of Motor Vehicles to carry out its duties as deemed -35- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 necessary by the Director of Motor Vehicles, except that transfers from the fund to the General Fund, the Operator's License Services System Replacement and Maintenance Fund, or the Vehicle Title and Registration System Replacement and Maintenance Cash Fund may be made at the direction of the Legislature.

141.142.

(2) The State Treasurer shall credit to the fund such money as is (a) transferred to the fund by the Legislature, (b) paid to the state as fees, deposits, payments, and repayments relating to the fund, both principal and interest, (c) donated as gifts, bequests, or other contributions to such fund from public or private entities, (d) made available by any department or agency of the United States if so directed by such department or agency, (e) transferred allocated pursuant to section 81-15,175, and (f) received by the state for settlement of claims -36- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 relating to interstate river compacts or decrees.

(c) To the extent funds are not expended pursuant to subdivision (b) of this subsection, the department may conduct a statewide assessment of short-termshort- term and long-term water management activities and funding needs to meet statutory requirements in sections 46-713 to 46-718 and 46-739 and any requirements of an interstate compact or decree or formal state contract or agreement.

(5)(a) Expenditures from the Water Resources Cash Fund may be made to natural resources districts eligible under subsection (3) of this -37- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 section for activities to either achieve a sustainable balance of consumptive water uses or assure compliance with an interstate compact or decree or a formal state contract or agreement and shall require a match of local funding in an amount equal to or greater than forty percent of the total cost of carrying out the eligible activity.

(6) The Department of Natural Resources shall submit electronically an -14- LB264 LB264 2025 annual report to the Legislature no later than October 1 of each year, beginning in the year 2007, that shall detail the use of the Water Resources Cash Fund in the previous year.

and -38- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (b) Details regarding the use and cost of activities carried out by each natural resources district that received funds from the Water Resources Cash Fund.

-39- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (8) The department shall establish a subaccount within the Water Resources Cash Fund for the accounting of all money received as a grant from the Nebraska Environmental Trust Fund as the result of an application made pursuant to subsection (7) of this section.

142.143.

61-222 The61-222 The Water Sustainability Fund is created in the Department of Natural Resources.

The Water Sustainability Fund shall consist of money transferred to the fund by the Legislature, other funds as appropriated by the Legislature, and money donated as gifts, bequests, or other contributions -40- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 from public or private entities.

The State Treasurer shall transfer one hundred seventy-five thousand dollars from the Water Sustainability Fund to the Department of Natural -15- LB264 LB264 2025 Resources Cash Fund on or before June 30, 2021, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

The State Treasurer shall transfer five hundred thousand dollars -41- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 from the Water Sustainability Fund to the General Fund on or before June 30, 2021, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

143.144.

Beginning July 1, 2025, any investment earnings from investment of money in the fund -42- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 shall be credited to the General Fund.

144.145.

Any money in the Jobs and Economic Development -43- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Initiative Fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

Such study shall -16- LB264 LB264 2025 consider all aspects of water quality, water quantity, and water infrastructure, and any other issues necessary to protect the public water supply, including the impact to future water supply opportunities to the impacted communities.

145.146.

Section 66-2308, Revised Statutes Cumulative Supplement, -44- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 2024, is amended to read:

146.147.

Section 68-996, Revised Statutes Cumulative Supplement, 2024, is amended to read:

68-996 (1) The Medicaid Managed Care Excess Profit Fund is created.

The fund shall contain money returned to the State Treasurer pursuant to subdivision (3) of section 68-995.

(2) The fund shall first be used to offset any losses under subdivision (2) of section 68-995 and then to provide for (a) services addressing the health needs of adults and children under the Medical Assistance Act, including filling service gaps, (b) providing system improvements, (c) providing evidence-based early intervention home visitation programs, (d) providing medical respite services, (e) translation and interpretation services, (f) providing coverage for continuous glucose monitors as described in section 68-911, (g) providing other services sustaining access to care, (h) services under the Nebraska Prenatal Plus Program, (i) and providing grants pursuant to the Intergenerational Care Facility Incentive Grant Program, and (j) domestic violence services, as determined by the Legislature.

The fund shall only be used for the purposes described in this section.

(3) Any money in the fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

Beginning October 1, 2024, any investment earnings from investment of money in the fund shall be credited to the General Fund.

Sec.

148.

(a) Eligible acute care hospital means a facility that is not designated as a critical access hospital by the federal Centers for Medicare and Medicaid Services and must satisfactorily demonstrate to the -45- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 eligible entity that it has reached or exceeded eighty percent of available staffed capacity for adult intensive-care-unit beds and acute care inpatient medical-surgical beds;

-17- LB264 LB264 2025 (d) Include regular consultation with the department and representatives of acute care hospitals, skilled nursing facilities, and nursing facilities;

-46- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (8) The pilot program terminates on June 30, 2025.

147.149.

69-131769-1317 (a)(1)(i) (a)(1)(i) (a)(1) Except as otherwise provided in this subdivision, all funds received under the Uniform Disposition of Unclaimed Property Act, including the proceeds from the sale of abandoned property under section 69-1316, shall be deposited by the State Treasurer into the Unclaimed Property Trust Fund from which he or she shall make prompt payment of claims allowed pursuant to the act and payment of any expenses related to unclaimed property.

Before making the deposit he or she shall record the name and last-known address of each person appearing from the holders' reports to be entitled to the abandoned property, the name and last-knownlast- known address of each insured person or annuitant, and with respect to each policy or contract listed in the report of a life insurance corporation, its number, the name of the corporation, and the amount due.

Records concerning the social security number, date of birth, and last-known -47- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 address of an owner shall be treated as confidential and subject to the same confidentiality as tax return information held by the Department of Revenue, except that the Auditor of Public Accounts shall have unrestricted access to such records.

(ii) Information withheld from the general public concerning any aspect of unclaimed property shall only be disclosed to an apparent owner of the property or to the escheat, unclaimed, or abandoned property administrators or officials of another state if that other state accords -48- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 substantially reciprocal privileges to the State Treasurer.

-18- LB264 LB264 2025 (c) Before making any deposit to the credit of the permanent school fund, the Capitol Restoration Cash Fund, or the General Fund, the State Treasurer may deduct any costs related to unclaimed property and place such funds in the Unclaimed Property Cash Fund.

148.150.

and -49- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (c) Qualified labor training organization means any job training service provider headquartered in the State of Nebraska with a demonstrated history of providing workforce training relevant to the skilled labor necessary for the removal and replacement of lead service lines.

(b) Repaying debt incurred for any loan received by the metropolitan utilities district for the purpose of replacing lead service lines, including any loan or loans under the federal Drinking Water State Revolving Fund or any other loan incurred specifically for the purpose of -50- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 removing lead service lines;

149.151.

150.152.

71-7611 (1)71-7611 (1) The Nebraska Health Care Cash Fund is created.

The State Treasurer shall transfer (a) sixty million three hundred thousand dollars on or before July 15, 2014, (b) sixty million three hundred fifty -51- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 thousand dollars on or before July 15, 2015, (c) sixty million three hundred fifty thousand dollars on or before July 15, 2016, (d) sixty million seven hundred thousand dollars on or before July 15, 2017, (e) five hundred thousand dollars on or before May 15, 2018, (f) sixty-one million six hundred thousand dollars on or before July 15, 2018, (g) sixty-two million dollars on or before July 15, 2019, (h) sixty-one million four hundred fifty thousand dollars on or before July 15, 2020, (i) sixty-six million two hundred thousand dollars on or before July 15, 2022, (j) fifty-six million seven hundred thousand dollars on or before July 15, 2023, (k) fifty-four million dollars on or before July 15, 2024, and (l) fifty-nine fifty-four million one hundred fifty thousand dollars on or before July 1, -19- LB264 LB264 2025 2025, and (m) sixty million one hundred fifty thousand dollars on or before every July 15 thereafter from the Nebraska Medicaid Intergovernmental Trust Fund and the Nebraska Tobacco Settlement Trust Fund to the Nebraska Health Care Cash Fund, except that such amount shall be reduced by the amount of the unobligated balance in the Nebraska Health Care Cash Fund at the time the transfer is made.

-52- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Except as otherwise provided in subsections (5) and (6) of this section, it is the intent of the Legislature that no additional programs are funded through the Nebraska Health Care Cash Fund until funding for all programs with an appropriation from the fund during FY2012-13 are restored to their FY2012-13 levels.

Transfers from the Nebraska Health Care Cash Fund in this subsection shall be contingent upon receipt of any matching funds from private or other sources, up to fifteen million dollars, certified by the budget administrator of the budget division of the Department of Administrative -53- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Services.

151.153.

152.154.

153.155.

Money shall be appropriated from the fund to state agencies for making payments on projects as determined by the Legislature, including, but not limited to, purchases of land, structural improvements to land, acquisition of buildings, construction of buildings, including architectural and engineering costs, replacement of or major repairs to structural improvements to land or buildings, additions to existing structures, remodeling of buildings, and acquisition of equipment and -54- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 furnishings of new or remodeled buildings.

Any money in the Nebraska Capital Construction Fund available for investment shall be invested by the state investment officer -20- LB264 LB264 2025 pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

154.156.

(2)(a) The Capitol Restoration Cash Fund shall be used to finance projects for the restoration, preservation, and enhancement of the State Capitol and its courtyards and grounds, to purchase and conserve items to -55- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 be added to the Nebraska Capitol Collections housed in the State Capitol, to produce promotional material concerning the State Capitol, its grounds, and the Nebraska State Capitol Environs District, and to pay the expenditures for a project manager for the Capitol Heating, Ventilation, and Air Conditioning Systems Replacement Project until such time as the project is completed, except that transfers may be made from the fund to the General Fund at the direction of the Legislature.

155.157.

156.158.

75-1101 (1) For purposes of this section, 211 Information and Referral Network means a statewide information and referral network -56- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 providing information to the public regarding disaster and emergency response and health and human services provided by public and private entities throughout the state.

157.159.

Section 76-3219, Reissue Revised Statutes of Nebraska, is -57- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 amended to read:

76-3219-21- TheLB264 LB264 2025 76-3219 The board shall collect all fees and other revenue pursuant to the Nebraska Appraisal Management Company Registration Act and shall remit such fees and revenue to the State Treasurer for credit to the Appraisal Management Company Fund, which is hereby created.

158.160.

77-2911 The77-2911 The Nebraska Job Creation and Mainstreet Revitalization Fund is created.

159.161.

77-4025 (1)77-4025 (1) There is hereby created a cash fund in the Department of Revenue to be known as the Tobacco Products Administration Cash Fund.

All revenue collected or received by the Tax Commissioner from the license fees, certification fees, and taxes imposed by the Tobacco Products Tax Act shall be remitted to the State Treasurer for credit to the Tobacco Products Administration Cash Fund, except that all such revenue relating -58- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 to electronic nicotine delivery systems shall be remitted to the State Treasurer for credit to the General Fund.

(4) Any money in the Tobacco Products Administration Cash Fund available for investment shall be invested by the state investment -59- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

160.162.

77-4310.0377-4310.03 There There is hereby created the Marijuana and Controlled Substances Tax Administration Cash Fund.

161.163.

The Legislature further finds that many communities in Nebraska lack the infrastructure, including broadband access, necessary to provide high-high-paying paying jobs for residents.

(2) The Department of Economic Development shall establish and administer a revolving loan program for workforce training and infrastructure development -22- LB264 LB264 2025 expenses to be incurred by applicants for -60- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 incentives under the ImagiNE Nebraska Act.

(5) If a taxpayer with an agreement under the ImagiNE Nebraska Act obtains a loan under this section and fails to attain the required minimum number of new employees, minimum compensation, and minimum -61- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 required cumulative investment necessary for that taxpayer to earn a credit, the principal and interest of the loan shall be considered an underpayment of tax and may be recovered by the Department of Revenue.

162.164.

or (b) Completing an approved program of equivalent professional -62- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 education in a designated endorsement area that is provided by an accredited public school.

163.165.

-23- LB264 LB264 2025 The State Treasurer shall disburse such amounts in the fund as are available and considered incident to the administration and operation of the State Department of Education.

All disbursements for the State Department -63- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 of Education Cash Fund shall be made upon vouchers issued by the State Department of Education and warrants drawn by the Director of Administrative Services.

164.166.

165.167.

79-1142 (1)79-1142 (1) Level I services refers to services provided to children with disabilities who require an aggregate of not more than three hours per week of special education services and support services and includes all administrative, diagnostic, consultative, and vocational-adjustment counselor services.

-64- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (b) (2) The total allowable reimbursable cost for support services shall not exceed a percentage, established by the State Board of Education, of the school district's or approved cooperative's total allowable reimbursable cost for all special education programs and support services.

(4) The department shall make the reimbursement payments (4)(a) The payments shall be made by the department to the school district of residence, cooperative of school districts, or educational service unit -65- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 each school fiscal year in a minimum of seven payments between the fifth and twentieth day of each month beginning in December.

(5) Residential settings described in subdivision (10)(c) of section -24- LB264 LB264 2025 79-215 shall be reimbursed for the educational services, including special education services and support services, in an amount determined pursuant to the average per pupil cost of the service agency.

Reimbursements pursuant to this section shall be made from funds set aside for such purpose within sixty days after receipt of a reimbursement request submitted in the manner required by the department and including any documentation required by the department for educational services that have been provided, except that if there are not any funds available for the remainder of the state fiscal year for such reimbursements, the -66- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 reimbursement shall occur within thirty days after the beginning of the immediately following state fiscal year.

166.168.

(a) Nonreimbursable expenditure means an expenditure included within -67- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 the total allowable excess cost for all special education programs and support services as submitted to the department on or before the first October 31 following the school fiscal year in which the expenditure occurred that is later determined to be nonreimbursable as a special education program or support services expenditure;

167.169.

-68-79-2510 ER77(1) ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 79-2510 (1) The Expanded Learning Opportunity Grant Fund is created.

168.170.

-25- LB264 LB264 2025 (2) For fiscal years 2024-25 through 2028-29, the money available to be used for education pursuant to subdivision (3)(b) of section 9-812 shall be transferred as follows:

-69- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (f) One percent to the Door to College Scholarship Fund;

-70- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (c) For fiscal year 2023-24, the Nebraska Education Improvement Fund shall be allocated as follows:

(6)(a) On or before September 20, 2022, and on or before each -71- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 September 20 thereafter, (i) any department or agency receiving a transfer or acting as the administrator for a fund receiving a transfer pursuant to subsection (2) or (4) of this section, (ii) any recipient or subsequent recipient of money from any such fund, and (iii) any service contractor responsible for managing any portion of any such fund or any money disbursed from any such fund on behalf of any entity shall prepare and submit an annual report to the Auditor of Public Accounts in a manner prescribed by the auditor for the immediately preceding July 1 through June 30 fiscal year detailing information regarding the use of such fund or such money.

-26- LB264 LB264 2025 (c) For purposes of this subsection, recipient, subsequent recipient, or service contractor means a nonprofit entity that expends funds transferred pursuant to subsection (2) or (4) of this section to carry out a state program or function, but does not include an individual who is a direct beneficiary of such a program or function.

169.171.

-72- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 81-179 (1) There is hereby created under the control of the Governor, for allocation to building renewal projects of the various agencies, a fund to be known as the Building Renewal Allocation Fund.

(6) The State Treasurer shall transfer two hundred thousand dollars -73- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 from the Building Renewal Allocation Fund to the General Fund on or after June 15, 2019, but before June 30, 2019, on such date as directed by the budget administrator of the budget division of the Department of Administrative Services.

170.172.

81-302 The81-302 The Department of Banking and Finance Settlement Cash Fund is created.

171.173.

Section 81-407, Reissue Revised Statutes of Nebraska, is -74- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 amended to read:

172.174.

-27- LB264 LB264 2025 81-8,239.02 The following separate permanent revolving funds are established in the state treasury for use under the Risk Management Program according to the purposes for which each fund is established:

The fund may receive deposits from -75- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 assessments against state agencies to provide property coverage as directed by the Risk Manager.

Such claims shall include payments for awards, settlements, and associated costs, including appeal bonds and reasonable costs and attorney's fees associated with a required appearance by agency legal counsel or other legal counsel hired, with prior approval of the Attorney General, to represent the agency, -76- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 official, or employee before any tribunal.

(c) A claim for reasonable costs and attorney's fees described in subdivision (b) of this subsection shall be paid from the State Self-Self-Insured Insured Liability Fund if such claim results from the inability of the Attorney General to represent an agency, official, or employee due to a conflict of interest.

173.175.

81-1210.0481-1210.04 (1) (1) The Intern Nebraska Cash Fund is created.

(2) The Department of Economic Development, or any entity with which the department contracts for such purpose, may use up to five percent of -77- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 any appropriation to carry out sections 81-1210.01 to 81-1210.03 for administrative services.

174.176.

Except as otherwise provided in this section, the The department shall use the entirety of the fund to award a grant to a city of the metropolitan class to carry out lead-based paint hazard control on owner-owner-occupied occupied properties, contingent upon -28- LB264 LB264 2025 formal notification by the United States Department of Housing and Urban Development that it intends to award a grant to a city of the metropolitan class to carry out the federal Residential Lead-Based Paint Hazard Reduction Act of 1992, 42 U.S.C.

175.177.

The Department of Economic Development shall administer the fund to provide a grant to a community college serving a city of the metropolitan class to partner with a four-year public university serving a city of the metropolitan class to offer microcredentials to support education -78- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 expansion, curricula development, and staff hires to meet demand for microchip fabrication and microelectronics manufacturing in the state in conjunction with the Creating Helpful Incentives to Produce Semiconductors (CHIPS) for America Act, Public Law 116-283.

176.178.

177.179.

Funds in the Customized Job Training Cash Fund shall be used for (1) general administrative costs of awarding job training reimbursement grants under -79- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 the Customized Job Training Act, as such act existed prior to the operative date of this section, and (2) job training reimbursement grants.

178.

Section 81-1230, Reissue Revised Statutes of Nebraska, is amended to read:

81-1230 (1) The Rural Workforce Housing Investment Fund is created.

Funding for the grant program described in section 81-1229 shall come from the Rural Workforce Housing Investment Fund.

The Rural Workforce Housing Investment Fund may include revenue from appropriations from the Legislature, grants, private contributions, and other sources.

In addition, the State Treasurer shall make a one-time transfer of seven million three hundred thousand dollars on or before October 1, 2017, from the Affordable Housing Trust Fund to the Rural Workforce Housing Investment Fund.

Transfers may be made from the fund to the General Fund at the direction of the Legislature.

Any money in the Rural Workforce Housing Investment Fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

(2) The department shall administer the Rural Workforce Housing Investment Fund and may seek additional private or nonstate funds to use in the grant program, including, but not limited to, contributions from the Nebraska Investment Finance Authority and other interested parties.

(3) Interest earned by the department on grant funds shall be applied to the grant program.

(4) If a nonprofit development organization fails to engage in the initial qualified activity within twenty-four months after receiving initial grant funding, the nonprofit development organization shall -80- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 return the grant funds to the department for credit to the General Fund.

(5) If a nonprofit development organization fails to allocate any remaining initial grant funding on a qualified activity within twenty- four months after engaging in the initial qualified activity, the nonprofit development organization shall return such unallocated grant funds to the department for credit to the Rural Workforce Housing Investment Fund.

(6) Beginning July 1, 2027, any funds held by the department in the Rural Workforce Housing Investment Fund shall be transferred to the General Fund.

Sec.

179.

Section 81-1239, Reissue Revised Statutes of Nebraska, is amended to read:

81-1239 (1) The Middle Income Workforce Housing Investment Fund is created.

Funding for the grant program described in section 81-1238 shall come from the Middle Income Workforce Housing Investment Fund.

The Middle Income Workforce Housing Investment Fund may include revenue from appropriations from the Legislature, grants, private contributions, and other sources.

Transfers may be made from the fund to the General Fund at the direction of the Legislature.

Any money in the Middle Income Workforce Housing Investment Fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

(2) The department shall establish a subaccount within the Middle Income Workforce Housing Investment Fund that shall be used to fund affordable housing and related land parcel preparation activities under the Economic Recovery Act as described in subdivisions (4)(d) and (e) of section 81-12,241.

(3) The department shall administer the Middle Income Workforce Housing Investment Fund and may seek additional private or nonstate funds to use in the grant program, including, but not limited to, contributions from the Nebraska Investment Finance Authority and other interested -81- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 parties.

(4) Interest earned by the department on grant funds shall be applied to the grant program.

(5) If a nonprofit development organization, or a recipient of subaccount funds described in subsection (2) of this section, fails to engage in a qualified activity within twenty-four months after receiving initial grant funding, the nonprofit development organization or recipient of subaccount funds shall return the grant proceeds to the department for credit to the General Fund.

(6) Beginning July 1, 2029, any funds held by the department in the Middle Income Workforce Housing Investment Fund shall be transferred to the General Fund.

Sec.

or (2) Equipment that is (a) purchased after the date of application, -82- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (b) owned by the applicant, (c) located at the qualified location, and (d) used to carry out the project.

(2) Private dollars does not include any direct or indirect funding from -29- LB264 LB264 2025 any federal, state, or local government.

The Except to the extent required for a project to be included in the program described in Title VII, Subtitle C, section 740 of Public Law 116-92, the award made for a qualified location may not be used for athletic or recreational purposes, except -83- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 that a qualified location may contain space, totaling less than ten percent of the facility square footage at the project, that may be used for food service or for exercise or recreational purposes as is commonly used for the health and well-being of employees, students, and patients.

Approval of the project may be subject to other federal, state, and local government -84- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 approvals needed to complete the project and subject to obtaining the funding, financing, and donations needed for the project;

Agreements may be executed with regard to any complete application filed on or before January 31, 2026 December 31, 2025.

The director, on behalf of the State of Nebraska, shall agree to allow the applicant to receive the matching funds allowed in the -85- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Nebraska Transformational Projects Act, subject to appropriation of such funds by the Legislature.

-30- LB264 LB264 2025 (b) The type of documentation the applicant will need to document its investment and receipt of private dollars under the act;

and -86- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (h) A requirement that the applicant update the director annually, with its timetable or in the manner specified by the director, on any changes in plans or circumstances which it reasonably expects will affect the investment or expected donations for the project.

-87- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (2) The purchase of any property which was previously owned by the applicant or a related entity.

-88--31- ER77 ER77 LB264 LB264 MMM2025 - 05/09/2025 MMM - 05/09/2025 81-12,186 (1) The right to matching funds prescribed in section 81-12,185 shall be established by filing the forms required by the director.

Section 81-12,187, Reissue Revised Statutes of Nebraska, -89- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 is amended to read:

81-12,18781-12,187 (1) (1) The project applicant must receive make an investment of one billion six hundred million dollars at the project, of which at least one billion dollars shall come from federal funding, before the end of the transformational period.

If, based upon total investment expended, the applicant is not entitled to receive the maximum of fifty million dollars in matching -90- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 funds in any given year, the balance of matching funds shall be carried forward and available for distribution in future years as provided in section 81-12,185.

(4) No information shall be provided in the report or in supplemental -32- LB264 LB264 2025 information that is protected by state or federal confidentiality laws.

Section 81-12,193, Reissue Revised Statutes of Nebraska, -91- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 is amended to read:

81-12,224 The Shovel-Ready Capital Recovery and Investment Fund is -92- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 created.

81-12,23881-12,238 Sections Sections 81-12,238 to 81-12,243 81-12,244 shall be known and may be cited as the Economic Recovery Act.

81-12,243 (1)81-12,243 (1) The Economic Recovery Contingency Fund is created.

(2) The Department of Economic Development may review the projects -93- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 listed in the coordination plan and the appendices by the Economic Recovery Special Committee of the Legislature dated January 10, 2023, and shall prioritize the use of the fund on projects listed in the coordination plan followed by the projects in the appendices.

Any cash fund estimates for administrative costs related to the -33- LB264 LB264 2025 Economic Recovery Act provided by the Department of Economic Development in a budget request report pursuant to section 81-132 shall be considered an obligation of the fund.Economic Recovery Contingency Fund.

Any transfer of money from the Economic Recovery Contingency Fund authorized by the Legislature and scheduled to occur after July 31, 2026, shall be considered an obligation of the fund.Economic Recovery Contingency Fund.

(6) The State Treasurer shall transfer seven million dollars from -94- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 the Economic Recovery Contingency Fund to the Museum Construction and Maintenance Fund on or after January 1, 2026, but before June 30, 2026, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

-95- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (2) (3) The department shall, beginning July 1, 2022, through July 15, 2022, allow a qualified public or private entity to apply for a grant using funds received from the federal Coronavirus Capital Projects Fund under the federal American Rescue Plan Act of 2021.

-96- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 81-1558 There is hereby created within the state treasury a fund to be known as the Nebraska Litter Reduction and Recycling Fund.

The fund shall -34- LB264 LB264 2025 be maintained in the state accounting system as a cash fund.

Any money in the fund available for investment shall be invested by the state investment -97- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 officer pursuant to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment Act.

Section 81-2004.08, Reissue Revised Statutes of Nebraska, -98- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 is amended to read:

The fund shall be expended to promote the history of Nebraska on -99- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 the Internet, to support history education for children in Nebraska, and for costs directly related to the administration of the fund.

It is the intent of the Legislature that these funds remain in the Prison Overcrowding Contingency Fund until sufficient -35- LB264 LB264 2025 details are provided to the Legislature regarding plans to reduce prison overcrowding, except that (1) the fund may be used for purposes of a study of inmate classification within the Department of Correctional Services and (2) transfers may be made to the General Fund or the Vocational and Life Skills Programming Fund at the direction of the Legislature.

(2) The State Treasurer shall transfer funds from the Cash Reserve Fund to the General Fund upon certification by the Director of -100- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Administrative Services that the current cash balance in the General Fund is inadequate to meet current obligations.

(8) The State Treasurer shall transfer three million dollars from the Cash Reserve Fund to the Risk Loss Trust on or before June 30, 2024, -101- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

(14) The State Treasurer shall transfer seventy million dollars from the Cash Reserve Fund to the Shovel-Ready Capital Recovery and Investment -102- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 Fund on or after July 1, 2023, but before June 30, 2024, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

(15) The State Treasurer shall transfer two million dollars from the Cash Reserve Fund to the Site and Building Development Fund on or after July 1, 2023, but before June 30, 2024, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of -36- LB264 LB264 2025 Administrative Services.

(7) (20) The State Treasurer shall transfer four million dollars from the Cash Reserve Fund to the General Fund on or after July 1, 2024, but before June 30, 2025, on such dates and in such amounts as directed -103- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 by the budget administrator of the budget division of the Department of Administrative Services.

(9) (26) The State Treasurer shall transfer three million five hundred thousand dollars from the Cash Reserve Fund to the Health and Human Services Cash Fund on or after July 1, 2024, but on or before June -104- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 30, 2025, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

(14) The State Treasurer shall transfer one hundred thousand dollars from the Cash Reserve Fund to the Self-Insured Liability Fund on or before June 30, -37- LB264 LB264 2025 2025, on such dates and in such amounts as directed by -105- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 the budget administrator of the budget division of the Department of Administrative Services.

(16) The State Treasurer shall transfer one hundred forty-twoforty-seven million dollars from the Cash Reserve Fund to the General Fund on or after July 1, 2026, but before June 30, 2027, on such dates and in such amounts as directed by the budget administrator of the budget division of the Department of Administrative Services.

802, as amended, (b) the first twelve million dollars of any interest earned -106- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 on or after July 1, 2024, and on or before June 30, 2025 2026, from the investment of money in the Perkins County Canal Project Fund pursuant to section 61-305, and (c) the first five million dollars of any interest earned on or after July 1, 2024, and on or before June 30, 2025 2026, from the investment of money in the Nebraska Capital Construction Fund from transfers credited to such fund that are designated for the construction of a new state prison pursuant to section 72-1001;

802, as amended, (b) any interest earned after the first nineteen million dollars of interest earned on or after July 1, 2024, and on or before June 30, 2025 2026, from the investment of money in the Perkins County Canal Project Fund pursuant to section 61-305, and (c) any interest earned after the first five million dollars of interest earned on or after July 1, 2024, and on or before June 30, 2025 2026, from the investment of money in the Nebraska Capital Construction Fund from transfers credited to such fund that are designated for the construction -107- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 of a new state prison pursuant to section 72-1001.

85-164385-1643 (1) (1) The Private Postsecondary Career Schools Cash Fund is created.

-38- LB264 LB264 2025 (j) Change of name or location, twenty-five dollars;

-108- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 (a) Certificate of approval to recruit, five hundred dollars annually;

Any money in the Tuition Recovery Cash Fund fund available for investment shall be invested by the state investment officer pursuant to the Nebraska Capital Expansion Act and the Nebraska -109- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 State Funds Investment Act.

(3) Each community college may use up to ten percent of any money received from the fund to defray the costs of direct staff support -110- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 services, including, but not limited to, marketing, outreach, applications, interviews, and assessments.

86-324 (1)86-324 (1) The Nebraska Telecommunications Universal Service Fund is hereby created.

Such regulations shall apply only to the extent of any telecommunications services -39- LB264 LB264 2025 or offerings made by an eligible telecommunications company which are eligible for support by the fund.

(c) May withhold all or a portion of the funds to be distributed -111- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 from any telecommunications company failing to continue compliance with the commission's orders or regulations;

(f) Shall require an audit of information provided by a -112- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 telecommunications company to be performed by a third-party certified public accountant for purposes of calculating universal service fund payments to such telecommunications company.

(b) The State Treasurer shall transfer one million two hundred seventy-fiveseventy- five thousand dollars on July 1, 2023, from the earnings on the Nebraska Telecommunications Universal Service Fund to the 211 Cash Fund.

86-102886-1028 (1) (1) The 911 Service System Fund is created.

The fund shall be used for the costs of administering the fund, for the purposes -113- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 specified in section 86-465 unless otherwise directed by federal law with respect to any federal funds, and for the purposes specified in the 911 Service System Act.

The commission is not required to provide funding from the 911 Service -40- LB264 LB264 2025 System Fund to more than one public safety answering point in any county.

(4) The State Treasurer shall transfer any money in the Enhanced Wireless 911 Fund on July 1, 2018, to the 911 Service System Fund.

Sections 155157 and 213 of this act become operative on July 1, 2025.

Original sections 2-1577, 37-351, 39-2803, 39-2807, 48-1,116, 48-3405, 50-501, 57-1411, 60-3,201, 71-7608, 76-3219, 77-2911, 77-4310.03, 79-810, 79-1064, 79-1119, 79-1142, 79-1145, 79-2510, 79-3501, -114- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 81-179, 81-302, 81-407, 81-8,239.02, 81-1210.04, 81-1211, 81-1213.02, 81-1213.05, 81-1216, 81-1230, 81-1239, 81-12,174, 81-12,176, 81-12,177, 81-12,178, 81-12,182, 81-12,183, 81-12,184, 81-12,185, 81-12,186, 81-12,187, 81-12,189, 81-12,191, 81-12,193, 81-12,224, 81-12,238, 81-12,243, 81-12,245, 81-1329, 81-1558, 81-15,174, 81-15,300, 81-2004.07, 81-2004.08, 82-139, 83-973, 84-612, 84-622, 85-1643, 85-1654, 85-2009, 86-324, and 86-1028, Reissue Revised Statutes of Nebraska, and sections 8-604, 9-1,101, 9-1107, 13-3315, 37-1017, 37-1804, 39-1390, 39-2806, 46-1,164, 55-901, 60-3,201.01, 60-1505, 60-1513, 61-218, 61-222, 61-305, 61-405, 66-2308, 68-996, 68-1010, 69-1317, 71-5328, 71-7611, 72-232.02, 72-820, 72-1001, 72-2211, 75-1101, 77-4025, and 77-6841, Revised Statutes Cumulative Supplement, 2024, are repealed.

Sections 81-829.06, 81-829.07, 81-829.08, 81-829.09, 81-829.10, 81-829.11, 81-1214, 81-1215, 81-1217, 81-1218, 81-1219, 81-12,232, 81-12,233, 81-12,234, 81-12,235, 81-12,236, 81-12,237, and 81-12,244, Reissue Revised Statutes of Nebraska.

2.-41-

On page 1, strike beginning with "sections" in line 1 through line 23 and insert "sections 2-1577, 37-351, 39-2803, 39-2807, 48-1,116, 48-3405, 50-501, 57-1411, 60-3,201, 71-7608, 72-2401, 76-3219, 77-2911, 77-4310.03, 79-810, 79-1064, 79-1119, 79-1142, 79-1145, 79-2510, 79-3501, 81-179, 81-302, 81-407, 81-8,239.02, 81-1210.04, 81-1211, 81-1213.02, 81-1213.05, 81-1216, 81-1230, 81-1239, 81-12,174, 81-12,176, 81-12,177, 81-12,178, 81-12,182, 81-12,183, 81-12,184, 81-12,185, 81-12,186, 81-12,187, 81-12,189, 81-12,191, 81-12,193, 81-12,224, 81-12,238, 81-12,243, 81-12,245, 81-1329, 81-1558, 81-15,174, 81-15,300, 81-2004.07, 81-2004.08, 82-139, 83-973, 84-612, 84-622, 85-1643, 85-1654, 85-2009, 86-324, and 86-1028, Reissue Revised Statutes of Nebraska, and sections 8-604, 9-1,101, 9-1107, 13-3315, 37-1017, 37-1804, 39-1390, 39-2806, -115- ER77 ER77 LB264 LB264 MMM - 05/09/2025 MMM - 05/09/2025 46-1,164, 55-901, 60-3,201.01, 60-1505, 60-1513, 61-218, 61-222, 61-305, 61-405, 66-2308, 68-1010, 69-1317, 71-5328, 71-7611, 72-232.02, 72-820, 72-1001, 72-2211, 75-1101, 77-4025, and 77-6841, Revised Statutes Cumulative Supplement, 2024;

to provide for, change, and eliminate provisions relating to investment earnings, transfers, and uses of funds;

to change provisions relating to the Mayhew Cabin, the Ferguson House, expenses for special education programs and support services, and the Nebraska Transformational Projects Act;

to provide for termination of the Economic Opportunity Program, the Biotechnology Development Cash Fund, a pilot program regarding patients with complex health needs;

to eliminate the Customized Job Training Act, the Nebraska Nonprofit Security Grant Program Act, the Small Business Assistance Act, and provisions relating to funds for broadband infrastructure projects;

to eliminate obsolete provisions;

to harmonize provisions;

to provide operative dates;

to repeal the original sections;

to outright repeal sections 81-829.06, 81-829.07, 81-829.08, 81-829.09, 81-829.10, 81-829.11, 81-1214, 81-1215, 81-1217, 81-1218, 81-1219, 81-12,232, 81-12,233, 81-12,234, 81-12,235, 81-12,236, 81-12,237, and 81-12,244, Reissue Revised Statutes of Nebraska;

and to declare an emergency.".

3. On page 2, strike lines 1 through 14.

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