§ 86-416 — Service agreement provisions; special tax; procedure

(1) Notwithstanding any other provision of Nebraska law, any city, county, village, public power district, or fire protection district may enter into a service agreement with any joint entity created pursuant to the Interlocal Cooperation Act or any joint public agency created pursuant to the Joint Public Agency Act which owns or operates or proposes to own or operate any public safety communication project for obtaining communication services, including the use or right to use real or personal property included in any such project. This subsection shall not be construed to authorize any service agreements that conflict with the provisions for the sale, lease, or license of dark fiber pursuant to sections 86-574 to 86-578 .
(2) Any such service agreement may provide for the following:
(a) The payment of fixed or variable periodic amounts for service or the right to obtain service, including the use or right to use real or personal property;
(b) That such service agreement may extend for a term of years as determined by the governing body of the city, county, village, public power district, or fire protection district and be binding upon such city, county, village, public power district, or fire protection district over such term of years;
(c) That fixed or variable periodic amounts payable may be determined based upon any of the following factors:
(i) Operating, maintenance, and management expenses, including renewals and replacements for facilities and equipment;
(ii) Amounts payable with respect to debt service on bonds or other obligations, including margins of coverage if deemed appropriate; and
(iii) Amounts necessary to build or maintain operating reserves, capital reserves, and debt service reserves;
(d) That any such service agreement may require payment to be made in the agreed fixed or variable periodic amounts irrespective of whether such public safety communication project or regional communication system is completed or operational and notwithstanding any suspension, interruption, interference, reduction, or curtailment of the services of such project or system; and
(e) Such other provisions as the parties to the service agreement deem appropriate in connection with providing and obtaining public safety communication service, including the acquisition of real and personal property, the construction of facilities, and the operation, maintenance, and management of services, property, and facilities.
(3) In order to provide for the payments due under such service agreement:
(a) Any city, county, village, or fire protection district may provide that payments may be made from a special tax levied for such purpose upon all taxable property within such city, county, village, or fire protection district, if determined appropriate by the governing body by a vote of three-fourths of the members of the governing body, if there are four or more members of such body, or by a vote of two-thirds of the members of the governing body, if there are less than four members of such body. The special tax shall for all purposes of Nebraska law, including limitations upon tax levies, budgets, revenue, and expenditures of public funds, have the same status as a tax levied for the purpose of paying the bonded indebtedness of such city, county, village, or fire protection district; and
(b) Any public power district may pledge the revenue of the district, subject to any existing pledges made for bonded indebtedness or borrowings from the United States or any other party and existing conditions relating to issuance of additional bonds or other indebtedness, and, if deemed appropriate by the governing body, the service agreement may have the status of revenue bond indebtedness issued pursuant to sections 70-631 to 70-635 .

Legislative History

Source: Laws 2002, LB 1211, § 23; Laws 2005, LB 343, § 5; Laws 2024, LB61, § 5. Cross References: Interlocal Cooperation Act, see section 13-801. Joint Public Agency Act, see section 13-2501.