All Roll Calls
Yes: 631 • No: 8
NebraskaLB1135109th Legislature 1st and 2nd SessionslegislatureWALLET
Adopt the Service Contract Reporting Act, authorize municipalities to contract regarding parking facilities, change provisions of the Community Development Law, the Nebraska Municipal Land Bank Act, and the Property Assessed Clean Energy Act, and provide for the sale of certain waterworks, sewer systems, and water systems to Indian tribes
Sponsored By: Urban Affairs Committee
Signed by Governor
Urban Affairs Committee
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Bill Overview
Analyzed Economic Effects
8 provisions identified: 1 benefits, 1 costs, 6 mixed.
Cities can create land banks statewide
Any city or village can form a land bank by ordinance to return vacant or tax‑delinquent property to use. Boards must have an odd number of voting members with at least seven, and most must live in the creating city. Boards should include people with expertise in areas like banking, real estate, rentals, and affordable housing. In multi‑city land banks, removals need a two‑thirds vote and allow a hearing. Land banks must report to their city after meetings or at least quarterly and file a detailed annual report by March 1. The law repeals earlier sections and replaces them with this updated framework.
Stronger redevelopment bonds, new taxpayer liens
Redevelopment authorities can issue conduit revenue bonds and pledge up to 100% of the project’s excess property tax growth to repay them. They may use taxpayer agreements that limit assessment challenges or guarantee bond payments. If such an agreement creates a property tax lien, it is treated like property taxes and can come before a mortgage and be enforced the same way. Conduit bonds are not general obligations of the authority. Bonds and their interest are exempt from Nebraska taxes. Creditors can still foreclose or enforce taxpayer agreements and mortgages despite general levy protections on authority property.
Cities may sell water systems to tribes
A city or village can sell or transfer a waterworks, sewer, or water system to an Indian tribe when all conditions are met. The system must operate entirely within that tribe’s lands, and the tribe’s headquarters must be in the city or village. Voters in the city or village must approve the sale at an election. An Indian tribe is one recognized by federal law or acknowledged by the state as of January 1, 2026.
Limits and rules for land bank property
Land banks face caps on how many parcels they can hold, based on city size. They cannot own property outside the borders of the city or cities that created them. They generally cannot buy commercial parcels unless vacant at least three years or the owner ignored a nuisance order. They may lease property for up to 12 months, with exceptions for existing longer leases or certain nonprofit/private agreements, and may form partnerships or joint ventures. A land bank cannot hold property for a nonprofit or private group longer than one year without a binding community benefits agreement that includes local groups. For residential property (outside the largest cities), land banks must advertise it for 90 days and may include a buy‑back clause if construction does not start on time.
Longer blight label, new housing targets
An “extremely blighted” area stays designated for at least 25 years from the city’s resolution date, unless removed by law. In metropolitan cities, certain low‑income housing can count as related to a plan even if built outside the project area, including homes within 600 yards of a public streetcar and single‑family or condo homes for people below area median income, when they support the plan. The city and authority must try each year to direct at least 30% of plan housing funds to single‑family homes and prioritize projects that serve the lowest‑income residents the longest. Cities must also report each year by December 1 on each plan, including approval dates, effective tax‑division dates, and project boundaries.
Faster liens on delinquent PACE assessments
For non‑single‑family properties, when a PACE annual assessment is delinquent, the city must record a lien within 14 days. If a third‑party lender financed the project, the 14‑day clock starts after the lender notifies the city. The city must certify the amount to the county treasurer. The lien is treated like a special assessment and is collected like property taxes.
Cities can contract out parking services
First‑ and second‑class cities and villages may hire private groups or other governments to run parking. Third parties may issue and process tickets, collect fines, maintain equipment, and run payment systems. The city keeps final say on appeals and sets or approves all rates, charges, and fines. Contracts can last up to 30 years in first‑class cities and up to 10 years in second‑class cities or villages, including renewals.
Public reporting of big service contracts
The law creates statewide reporting for large government service contracts. Covered cities, counties, and state agencies must file by March 1 each year, starting in 2028. Reports list each contractor, service type, total dollars, and totals by ZIP code, plus steps to boost awards in low‑award areas. Contracts are reportable at $70,000 before Jan 1, 2029; $90,000 from Jan 1, 2029 through Dec 31, 2033; and $110,000 on or after Jan 1, 2034. The state posts a combined report by April 1 each year. If a required city or county does not file, the State Treasurer suspends its state aid until it files. Because of an emergency clause, these rules take effect immediately, with first reports due in 2028.
Sponsors & Cosponsors
Sponsor
Urban Affairs Committee
Affiliation unavailable
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
legislature vote • 4/10/2026
Final Reading
Yes: 48 • No: 1
legislature vote • 4/1/2026
Vote
Yes: 36 • No: 0 • Other: 13
legislature vote • 4/1/2026
Vote
Yes: 38 • No: 1 • Other: 10
legislature vote • 4/1/2026
Vote
Yes: 32 • No: 1 • Other: 16
legislature vote • 4/1/2026
Vote
Yes: 43 • No: 0 • Other: 6
legislature vote • 4/1/2026
Vote
Yes: 37 • No: 0 • Other: 12
legislature vote • 3/17/2026
Vote
Yes: 43 • No: 1 • Other: 5
legislature vote • 3/17/2026
Vote
Yes: 42 • No: 1 • Other: 6
legislature vote • 3/17/2026
Vote
Yes: 42 • No: 0 • Other: 7
legislature vote • Unknown
Vote
Yes: 43 • No: 0 • Other: 6
legislature vote • Unknown
Vote
Yes: 42 • No: 0 • Other: 7
legislature vote • Unknown
Vote
Yes: 38 • No: 1 • Other: 10
legislature vote • Unknown
Vote
Yes: 32 • No: 1 • Other: 16
legislature vote • Unknown
Vote
Yes: 42 • No: 1 • Other: 6
legislature vote • Unknown
Vote
Yes: 36 • No: 0 • Other: 13
legislature vote • Unknown
Vote
Yes: 37 • No: 0 • Other: 12
Actions Timeline
Provisions/portions of LB1250 amended into LB1135 by AM3059
4/17/2026legislatureProvisions/portions of LB1168 amended into LB1135 by AM2460
4/17/2026legislatureProvisions/portions of LB1163 amended into LB1135 by AM2460
4/17/2026legislatureProvisions/portions of LB799 amended into LB1135 by AM2460
4/17/2026legislatureProvisions/portions of LB842 amended into LB1135 by AM2460
4/17/2026legislatureProvisions/portions of LB811 amended into LB1135 by AM2821
4/17/2026legislaturePresented to Governor on April 10, 2026
4/17/2026legislatureApproved by Governor on April 14, 2026
4/14/2026legislaturePresident/Speaker signed
4/10/2026legislaturePassed on Final Reading with Emergency Clause 48-1-0
4/10/2026legislatureDispensing of reading at large approved
4/10/2026legislatureEnrollment and Review ST84 recorded
4/7/2026legislatureEnrollment and Review ST84 filed
4/7/2026legislaturePlaced on Final Reading with ST84
4/7/2026legislatureAdvanced to Enrollment and Review for Engrossment
4/1/2026legislatureGuereca AM3059 adopted
4/1/2026legislatureGuereca AM3059 filed
4/1/2026legislatureMcKinney AM2993 adopted
4/1/2026legislatureMcKinney AM2862 adopted
4/1/2026legislatureMotion to overrule Chair withdrawn
4/1/2026legislatureSpivey AM2872 not germane
4/1/2026legislatureMcKinney AM2925 withdrawn
4/1/2026legislatureDover AM2821 adopted
4/1/2026legislatureDover FA1148 adopted
4/1/2026legislatureDover FA1148 to AM2821 filed
4/1/2026legislature
Bill Text
Introduced
1/20/2026
Enrolled / Slip Law
Final / Enacted
Related Bills
LB1165A, Appropriation Bill
LB1165, Adopt the Grow the Good Life Act, provide an income tax credit, change provisions relating to the Convention Center Facility Financing Assistance Act, the ImagiNE Nebraska Act, the Nebraska Advantage Act, and the Site and Building Development Act, and create grant programs to help employers retain or attract employees and to assist cities of the first class impacted by private entity closure or downsizing
LB1126, Adopt the Infrastructure Development Investment Program Act and change and eliminate provisions relating to the Rural Road Improvement District Act, the Political Subdivisions Construction Alternatives Act, the Transportation Innovation Act, the Motor Vehicle Safety Responsibility Act, the Nebraska Rules of the Road, intrastate medicaid nonemergency medical transportation services, and wireless service surcharges
LB1126A, Appropriation Bill
LB1087, Create the Nebraska-Ireland Commission
LB1114, Adopt the Community Improvement District Act and the New Taxpayer Recruitment Grant Act, authorize community improvement districts to levy property taxes, and change provisions related to the Community Development Law, the Municipal Inland Port Authority Act, extraterritorial jurisdiction, sanitary and improvement districts, housing authorities, housing agencies, the Nebraska Housing Agency Act, and the Local Option Municipal Economic Development Act