Nebraska2026Did Not Pass

LB1021

Changes to the Nameplate Capacity Tax for Renewable Energy

Last scannedAug 25, 2026, 3:18 AM

In one sentence

This bill sets a tax rate of $3,518 per megawatt on renewable energy facilities and outlines how that money is collected by the state and shared with local community colleges and taxing entities.

Requires owners to pay an annual tax based on the total nameplate capacity of their facility at a rate of $3,518 per megawatt.
Exempts facilities owned or operated by federal or state government agencies, public power districts, municipalities, electric membership associations, cooperatives, and customer-generators from paying this tax.
Directs the Department of Revenue to collect the tax and keep 3% for administrative costs before sending the rest to county treasurers within thirty days.
Mandates that counties distribute 5% of the revenue to local community colleges and share the remainder with other eligible local taxing entities based on their previous property tax levies.
Sets a penalty of 5% per quarter for late reports or unpaid taxes, up to a maximum fine of $10,000.

Owners of renewable energy generation facilities that are not owned by government agencies, cooperatives, electric membership associations, or customer-generators.
The Nebraska Department of Revenue and the Tax Commissioner who collect and enforce the tax.
County treasurers responsible for distributing funds to local areas.
Community colleges and other eligible local taxing entities in counties where these facilities operate.

The bill text does not specify the exact dollar amounts of total revenue expected to be collected.
It is unclear how many facilities will qualify for exemptions versus those required to pay based on current ownership data.
While penalties are set, interest rates for delinquent payments depend on a separate statute that may change over time.

Plain language

Nameplate capacity: The total maximum amount of electricity a facility can produce, measured in megawatts, used to calculate the tax.
Renewable energy generation facility: A plant or structure that creates power using wind, solar, biomass, or landfill gas as fuel sources.
Local taxing entities: Government groups like school districts or cities that would have received property tax revenue from the facility if it were not exempt.

Official record

Source attached

Change provisions related to penalties, proceeds, and distributed revenue of the nameplate capacity tax

Official activity