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LEGISLATURE OF NEBRASKA
ONE HUNDRED NINTH LEGISLATURE
SECOND SESSION
LEGISLATIVE BILL 1116
Introduced by Ibach, 44.
Read first time January 16, 2026
Committee: Revenue
A BILL FOR AN ACT relating to the Sports Arena Facility Financing1
Assistance Act; to amend section 13-3105, Reissue Revised Statutes2
of Nebraska, section 13-3108, Revised Statutes Cumulative3
Supplement, 2024, and sections 13-3103 and 13-3106, Revised Statutes4
Supplement, 2025; to change provisions relating to limitations on5
state assistance, public hearings, and application approvals; to6
harmonize provisions; to repeal the original sections; and to7
declare an emergency. 8
Be it enacted by the people of the State of Nebraska,9
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Section 1. Section 13-3103, Revised Statutes Supplement, 2025, is1
amended to read: 2
13-3103 (1) Any applicant may apply to the board for state3
assistance if (a) the applicant has acquired, constructed, improved, or4
equipped an eligible sports arena facility, (b) the applicant has5
approved a revenue bond issue or a general obligation bond issue to6
acquire, construct, improve, or equip an eligible sports arena facility,7
(c) the applicant has adopted a resolution authorizing the applicant to8
pursue a general obligation bond issue to acquire, construct, improve, or9
equip an eligible sports arena facility, (d) a building permit has been10
issued within the applicant's jurisdiction for an eligible sports arena11
facility that is a privately owned concert venue, (e) a building permit12
has been issued or construction has been completed within the applicant's13
jurisdiction for an eligible sports arena facility that is a privately14
owned sports complex, or (f) each coapplicant described in subdivision15
(1)(b) of section 13-3102 has adopted a resolution authorizing either the16
political subdivision or the nonprofit corporation to pursue financing or17
bonds to acquire, construct, improve, or equip an eligible sports arena18
facility for the purposes set forth in subdivision (4)(b) of this section19
13-3103. 20
(2) Except as provided in subsections (3) and (4) of this section,21
the state assistance shall only be used by the applicant to pay back22
amounts expended or borrowed through one or more issues of bonds to be23
expended by the applicant to acquire, construct, improve, or equip the24
publicly owned eligible sports arena facility and to acquire, construct,25
improve, or equip publicly owned nearby parking facilities.26
(3) For an eligible sports arena facility that is a privately owned27
concert venue, the state assistance shall only be used by the applicant28
(a) to pay back amounts expended or borrowed through one or more issues29
of bonds to be expended by the applicant to acquire, construct, improve,30
or equip a nearby parking facility or (b) to promote arts and cultural31
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events which are open to or made available to the general public.1
(4) For an eligible sports arena facility that is a privately owned2
sports complex, the state assistance shall only be used by the applicant:3
(a) To pay back amounts expended or borrowed through one or more4
issues of bonds to be expended by the applicant to acquire, construct,5
improve, or equip one or more public infrastructure projects, as defined6
in section 77-27,142, related to a privately owned sports complex;7
(b) To lease all or a portion of such privately owned sports complex8
for the governmental use of the political subdivision. For purposes of9
this subdivision, lease means any contractual lease agreement between the10
coapplicants described in subdivision (1)(b) of section 13-3102 for the11
use of an eligible sports arena facility at fair market rental value for12
a term not to exceed twenty years; 13
(c) To promote sporting events which are open to or made available14
to the general public; or 15
(d) To pay back amounts expended or borrowed through one or more16
debt issues to be expended by the nonprofit corporation coapplicant to17
acquire, construct, improve, or equip a privately owned sports complex,18
subject to voter approval as provided in section 13-3110.19
(5)(a) No more than ten years of funding for promotion of the arts20
and cultural events shall be paid by state assistance received pursuant21
to section 13-3108. 22
(b) No more than ten years of funding for promotion of sporting23
events shall be paid by state assistance received pursuant to section24
13-3108. 25
(c) No more than ten five years of funding for a sports complex26
located in a city of the second class or village shall be paid by state27
assistance received pursuant to section 13-3108. 28
(6) For any application for state assistance for a large public29
stadium approved on or after July 19, 2024, up to one hundred percent of30
the final cost of the project may be funded by state assistance received31
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pursuant to section 13-3108. 1
Sec. 2. Section 13-3105, Reissue Revised Statutes of Nebraska, is2
amended to read: 3
13-3105 (1) Within thirty days after completing the board's review4
of an application under subsection (4) of After reviewing an application5
submitted under section 13-3104, the board shall hold a public hearing on6
the application. 7
(2) The board shall give notice of the time, place, and purpose of8
the public hearing by publication three times in a newspaper of general9
circulation in the area where the political subdivision submitting the10
application is located. Such publication shall be not less than ten days11
prior to the hearing. The notice shall describe generally the project for12
which state assistance has been requested. The applicant shall pay the13
cost of the notice. 14
(3) At the public hearing, representatives of the applicant and any15
other interested persons may appear and present evidence and argument in16
support of or in opposition to the application or neutral testimony. The17
board may seek expert testimony and may require testimony of persons whom18
the board desires to comment on the application. The board may accept19
additional evidence after conclusion of the public hearing.20
Sec. 3. Section 13-3106, Revised Statutes Supplement, 2025, is21
amended to read: 22
13-3106 (1) After consideration of the application and the evidence,23
the board shall determine whether or not to approve the application. For24
applications submitted on or after the effective date of this act, the25
board shall make its determination within thirty days after the public26
hearing held pursuant to section 13-3105. For applications submitted27
prior to the effective date of this act, the board shall make its28
determination within thirty days after the public hearing held pursuant29
to section 13-3105 or within thirty days after the effective date of this30
act, whichever period is later. The application shall be approved unless31
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the board finds that the project described in the application is1
ineligible or that state assistance in not in the best interest of the2
state. if the board finds that the project described in the application3
is eligible and that state assistance is in the best interest of the4
state, the application shall be approved, except that:5
(2) (a) An approval of an application submitted because of the6
requirement in subdivision (1)(c) of section 13-3103 is a temporary7
approval. If the general obligation bond issue is subsequently approved8
by the voters of the political subdivision, the approval by the board9
becomes permanent. If the general obligation bond issue is not approved10
by such voters, the temporary approval shall become void. ; and11
(3) (b) An approval of an application submitted because of the12
requirement in subdivision (1)(f) of section 13-3103 is a temporary13
approval. If a building permit for the eligible sports arena facility is14
issued within twenty-four months of the temporary approval, the approval15
by the board becomes permanent. If a building permit is not issued within16
twenty-four months of the temporary approval, the temporary approval17
shall become void. 18
(4) (2) In determining whether state assistance is in the best19
interest of the state, the board may shall consider the fiscal and20
economic capacity of the applicant to finance the local share of the21
project. 22
(5) (3) A majority of the board members constitutes a quorum for the23
purpose of conducting business. All actions of the board shall be by a24
majority vote of all the board members present at the board meeting , one25
of whom must be the Governor. 26
Sec. 4. Section 13-3108, Revised Statutes Cumulative Supplement,27
2024, is amended to read: 28
13-3108 (1) The Sports Arena Facility Support Fund is created. Any29
money in the fund available for investment shall be invested by the state30
investment officer pursuant to the Nebraska Capital Expansion Act and the31
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Nebraska State Funds Investment Act. 1
(2)(a) Upon receiving the certification described in subsection (3)2
of section 13-3107, the State Treasurer shall transfer the amount3
certified to the fund. 4
(b) Upon receiving the quarterly certification described in5
subsection (4) of section 13-3107, the State Treasurer shall transfer the6
amount certified to the fund. 7
(3)(a) It is the intent of the Legislature to appropriate from the8
fund money to be distributed as provided in subsections (4) and (5) of9
this section to any political subdivision for which an application for10
state assistance under the Sports Arena Facility Financing Assistance Act11
has been approved an amount not to exceed: 12
(i) For any eligible sports arena facility that is not a sports13
complex located in a city of the second class or village, seventy percent14
of the (A) state sales tax revenue collected by retailers doing business15
at eligible sports arena facilities on sales at such facilities, (B)16
state sales tax revenue collected on primary and secondary box office17
sales of admissions to such facilities, and (C) new state sales tax18
revenue collected by nearby retailers and sourced under sections19
77-2703.01 to 77-2703.04 to the program area; or 20
(ii) For any eligible sports arena facility that is a sports complex21
located in a city of the second class or village, twenty-five percent of22
the (A) state sales tax revenue collected by retailers doing business at23
eligible sports arena facilities on sales at such facilities, (B) state24
sales tax revenue collected on primary and secondary box office sales of25
admissions to such facilities, and (C) new state sales tax revenue26
collected by nearby retailers and sourced under sections 77-2703.01 to27
77-2703.04 to the program area. 28
(b) The amount to be appropriated for distribution as state29
assistance to a political subdivision under this subsection for any one30
year after the tenth year shall not exceed the highest such amount31
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appropriated under subdivision (3)(a) of this section during any one year1
of the first ten years of such appropriation. If seventy percent of the2
state sales tax revenue as described in subdivision (3)(a) of this3
section exceeds the amount to be appropriated under this subdivision,4
such excess funds shall be transferred to the General Fund. This5
subdivision does not apply to any eligible sports arena facility that is6
a sports complex located in a city of the second class or village.7
(4) The amount certified under subsection (3) of section 13-31078
shall be distributed as state assistance on or before April 15, 2014.9
(5) Beginning in 2014, quarterly distributions and associated10
transfers of state assistance shall be made. Such quarterly distributions11
and transfers shall be based on the certifications provided under12
subsection (4) of section 13-3107 and shall occur within fifteen days13
after receipt of such certification. 14
(6)(a) Except as provided in subdivision (6)(b) of this section, the15
total amount of state assistance approved for an eligible sports arena16
facility shall not exceed one hundred million dollars.17
(b) For any eligible sports arena facility that is a large public18
stadium: 19
(i) The total amount of state assistance approved for such facility20
shall not exceed twenty-five million dollars; 21
(ii) The amount of state assistance approved for such facility for22
any year shall not exceed one million two hundred fifty thousand dollars;23
and 24
(iii) No state assistance for any large public stadium shall be paid25
until after July 1, 2027. 26
(7)(a) Except as provided in subdivisions (b), (c), and (d) of this27
subsection, state assistance to the political subdivision shall no longer28
be available upon the retirement of the bonds issued to acquire,29
construct, improve, or equip the facility or any subsequent bonds that30
refunded the original issue or when state assistance reaches the amount31
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determined under subdivision (6)(a) of this section, whichever comes1
first. 2
(b) If the state assistance will be used to provide funding for3
promotion of the arts and cultural events or for promotion of sporting4
events, such state assistance to the political subdivision shall no5
longer be available after ten years of funding or when state assistance6
reaches the amount determined under subdivision (6)(a) of this section,7
whichever comes first. 8
(c) If the state assistance will be used to provide funding for a9
sports complex located in a city of the second class or village, such10
state assistance to the political subdivision shall no longer be11
available after ten five years of funding or when state assistance12
reaches the amount determined under subdivision (6)(a) of this section,13
whichever comes first. 14
(d) If the state assistance will be used to provide funding for a15
large public stadium, such state assistance to the political subdivision16
shall no longer be available after twenty years of funding or when state17
assistance reaches the amount determined under subdivision (6)(b)(i) of18
this section, whichever comes first. 19
(8) State assistance shall not be used for an operating subsidy for20
any publicly owned eligible sports arena facility or nearby parking21
facility. 22
(9) The thirty percent of state sales tax revenue remaining after23
the appropriation and transfer in subdivision (3)(a)(i) of this section24
shall be appropriated by the Legislature and transferred quarterly as25
follows: 26
(a) If the revenue relates to an eligible sports arena facility that27
is a sports complex and that is approved for state assistance under28
section 13-3106 on or after May 26, 2021, eighty-three percent of such29
revenue shall be transferred to the Support the Arts Cash Fund and30
seventeen percent of such revenue shall be transferred to the Convention31
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Center Support Fund; and 1
(b) If the revenue relates to any other eligible sports arena2
facility, such revenue shall be transferred to the Civic and Community3
Center Financing Fund. 4
(10) The seventy-five percent of state sales tax revenue remaining5
after the appropriation and transfer in subdivision (3)(a)(ii) of this6
section shall be distributed in accordance with section 77-27,132.7
(11) Except as provided in subsection (12) of this section for a8
city of the primary class, any municipality that has applied for and9
received a grant of assistance under the Civic and Community Center10
Financing Act shall not receive state assistance under the Sports Arena11
Facility Financing Assistance Act for the same project for which the12
grant was awarded under the Civic and Community Center Financing Act.13
(12) A city of the primary class shall not be eligible to receive a14
grant of assistance from the Civic and Community Center Financing Act if15
the city has applied for and received a grant of assistance under the16
Sports Arena Facility Financing Assistance Act. 17
Sec. 5. Original section 13-3105, Reissue Revised Statutes of18
Nebraska, section 13-3108, Revised Statutes Cumulative Supplement, 2024,19
and sections 13-3103 and 13-3106, Revised Statutes Supplement, 2025, are20
repealed. 21
Sec. 6. Since an emergency exists, this act takes effect when22
passed and approved according to law. 23
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