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LEGISLATIVE BILL 815
Approved by the Governor April 14, 2026
Introduced by Brandt, 32; Dorn, 30; Ibach, 44; Jacobson, 42; Murman, 38.
A BILL FOR AN ACT relating to fuels; to amend sections 66-726, 66-1331,
66-1332, 66-1333, 66-1337, 66-1338, and 66-1340, Reissue Revised Statutes
of Nebraska, and sections 66-489, 66-739, 66-1334, 66-1335, and 66-1521,
Revised Statutes Cumulative Supplement, 2024; to provide for a tax on
certain diesel fuels; to change provisions relating to refunds for motor
fuel taxes; to change provisions relating to the Motor Fuel Tax
Enforcement and Collection Cash Fund; to change and eliminate provisions
of the Ethanol Development Act; to provide, change, and eliminate
definitions; to change provisions relating to the petroleum release
remedial action fee; to eliminate the Ethanol Production Incentive Cash
Fund; to harmonize provisions; to provide operative dates; to repeal the
original sections; and to outright repeal sections 66-1342, 66-1344.01,
66-1345, 66-1345.05, and 66-1348, Reissue Revised Statutes of Nebraska,
and section 66-1344, Revised Statutes Supplement, 2025.
Be it enacted by the people of the State of Nebraska,
Section 1. Section 66-489, Revised Statutes Cumulative Supplement, 2024,
is amended to read:
66-489 (1)(a) At the time of filing the return required by section 66-488,
such producer, supplier, distributor, wholesaler, or importer shall, in
addition to the tax imposed pursuant to sections 66-489.02, 66-4,140, 66-4,145,
and 66-4,146 and in addition to the other taxes provided for by law, pay a tax
in an amount set in subdivision (b) of this subsection upon all motor fuels as
shown by such return, except that there shall be no tax on the motor fuels
reported if (i) the required taxes on the motor fuels have been paid, (ii) the
motor fuels have been sold to a licensed exporter exclusively for resale or use
in another state, (iii) the motor fuels have been sold from a Nebraska barge
line terminal, pipeline terminal, refinery, or ethanol or biodiesel facility,
including motor fuels stored offsite in bulk, by a licensed producer or
supplier to a licensed distributor, (iv) the motor fuels have been sold by a
licensed distributor or licensed importer to a licensed distributor or to a
licensed wholesaler and the seller acquired ownership of the motor fuels
directly from a licensed producer or supplier at or from a refinery, barge,
barge line, pipeline terminal, or ethanol or biodiesel facility, including
motor fuels stored offsite in bulk, in this state or was the first importer of
such fuel into this state, or (v) as otherwise provided in this section. Such
producer, supplier, distributor, wholesaler, or importer shall remit such tax
to the department.
(b) The tax shall be:
(i) Seven and one-half cents per gallon through December 31, 2015;
(ii) Eight cents per gallon beginning on January 1, 2016, through December
31, 2016;
(iii) Eight and one-half cents per gallon beginning on January 1, 2017,
through December 31, 2017;
(iv) Nine cents per gallon beginning on January 1, 2018, through December
31, 2018; and
(v) Nine and one-half cents per gallon beginning on January 1, 2019.
(2)(a) As part of filing the return required by section 66-488, each
producer of ethanol shall, in addition to other taxes imposed by the motor fuel
laws, pay an excise tax of one and one-quarter cents per gallon on:
(i) Gasoline, natural gasoline, or any other gasoline component,
including, but not limited to, any gasoline component produced from biomass
feedstock, purchased for use as a denaturant by the producer at an ethanol
facility; and
(ii) Two percent of agricultural ethyl alcohol sold that is unfit for
beverage purposes and does not meet the American Society for Testing and
Materials D4806 standards.
(b) All taxes, interest, and penalties collected under this subsection
shall be remitted to the State Treasurer for credit to the Agricultural Alcohol
Fuel Tax Fund.
(3)(a) Motor fuels, methanol, and all blending agents or fuel expanders
shall be exempt from the taxes imposed by this section and sections 66-489.02,
66-4,105, 66-4,140, 66-4,145, and 66-4,146, when the fuels are used for buses
equipped to carry more than seven persons for hire and engaged entirely in the
transportation of passengers for hire within municipalities or within a radius
of six miles thereof.
(b) The owner or agent of any bus equipped to carry more than seven
persons for hire and engaged entirely in the transportation of passengers for
hire within municipalities, or within a radius of six miles thereof, in lieu of
the excise tax provided for in this section, shall pay an equalization fee of a
sum equal to twice the amount of the registration fee applicable to such
vehicle under the laws of this state. Such equalization fee shall be paid in
the same manner as the registration fee and be disbursed and allocated as
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registration fees.
(c) Nothing in this section shall be construed as permitting motor fuels
to be sold tax exempt. The department shall refund tax paid on motor fuels used
in buses deemed exempt by this section.
(4) Gasoline, natural gasoline, or any other gasoline component,
including, but not limited to, any gasoline component produced from biomass
feedstock, purchased for use as a denaturant by a producer at an ethanol
facility as defined in section 66-1333 shall be exempt from the motor fuels tax
imposed by subsection (1) of this section as well as the tax imposed pursuant
to sections 66-489.02, 66-4,140, 66-4,145, and 66-4,146.
(5) Unless otherwise provided by an agreement entered into between the
State of Nebraska and the governing body of any federally recognized Indian
tribe within the State of Nebraska, motor fuels purchased on a Nebraska Indian
reservation where the purchaser is a Native American who resides on the
reservation shall be exempt from the motor fuels tax imposed by this section as
well as the tax imposed pursuant to sections 66-489.02, 66-4,140, 66-4,145, and
66-4,146.
(6) Motor fuels purchased for use by the United States Government or its
agencies shall be exempt from the motor fuels tax imposed by this section as
well as the tax imposed pursuant to sections 66-489.02, 66-4,140, 66-4,145, and
66-4,146.
(7)(a) Except as otherwise provided in subdivision (b) of this subsection,
in (7) In the case of diesel fuel, there shall be no tax on the motor fuels
reported if (i) (a) the diesel fuel has been indelibly dyed and chemically
marked in accordance with regulations issued by the Secretary of the Treasury
of the United States under 26 U.S.C. 4082 or (ii) (b) the diesel fuel contains
a concentration of sulphur in excess of five-hundredths percent by weight or
fails to meet a cetane index minimum of forty and has been indelibly dyed in
accordance with regulations promulgated by the Administrator of the United
States Environmental Protection Agency pursuant to 42 U.S.C. 7545.
(b) Beginning on October 1, 2026, a one-quarter of one cent tax per gallon
shall be imposed on diesel fuel that (i) has been indelibly dyed and chemically
marked in accordance with the regulations issued by the Secretary of the
Treasury of the United States or (ii) contains a concentration of sulphur in
excess of five-hundredths percent by weight or fails to meet a cetane index
minimum of forty and has been indelibly dyed in accordance with the regulations
promulgated by the Administrator of the United States Environmental Protection
Agency.
(c) The first one hundred forty thousand dollars of taxes collected under
this subsection each fiscal year shall be remitted to the State Treasurer for
credit to the Motor Fuel Tax Enforcement and Collection Cash Fund, and all
remaining taxes collected under this subsection each fiscal year shall be
remitted to the State Treasurer for credit to the Agricultural Alcohol Fuel Tax
Fund.
Sec. 2. Section 66-726, Reissue Revised Statutes of Nebraska, is amended
to read:
66-726 (1) The department may adjust all errors in payment, refund tax
paid on motor fuel destroyed, refund tax overpaid on motor fuel, and refund an
amount equal to the per-gallon tax imposed by this state on sales of motor fuel
on which tax was paid in this state but which was sold in a state other than
Nebraska.
(2)(a) Motor fuels shall be exempt from the taxes imposed by sections
66-489, 66-489.02, 66-4,105, 66-4,140, 66-4,145, and 66-4,146 when the fuels
are used for agricultural, quarrying, industrial, or other nonhighway use.
(b) The department shall refund tax paid on motor fuels used for an exempt
purpose. The purchaser of tax-paid motor fuels used for an exempt purpose shall
file a claim for refund with the department on forms prescribed by the
department and shall provide such documentation and maintain such records as
the department reasonably requires to substantiate that the fuels were used for
exempt purposes.
(c) The refund claim shall include: (i) The name of claimant; (ii) the
make, horsepower, and other mechanical description of machinery in which the
motor fuels were used; (iii) a statement as to the source or place of business
where such motor fuels, used solely for agricultural, quarrying, industrial, or
other nonhighway uses, were acquired; that no part of such motor fuels were
used in propelling licensed motor vehicles; and that the motor fuels for which
refund of the tax thereon is claimed were used solely for agricultural,
quarrying, industrial, or other nonhighway uses; and (iv) any other information
deemed necessary by the department.
(d) The department shall deduct (i) from each claim for refund of tax paid
on purchases of motor vehicle fuels under this subsection two and one-quarter
cents per gallon through December 31, 2004, and commencing January 1, 2010, and
three and one-half cents per gallon commencing January 1, 2005, through
December 31, 2009, of the tax paid and (ii) from each claim for refund of tax
paid on purchases of diesel fuel under this subsection one cent per gallon of
the tax paid.
(e) The department shall transmit monthly to the State Treasurer a report
of the number of gallons of motor vehicle fuel for which refunds have been
approved under this subsection. Through December 31, 2004, and commencing
January 1, 2010, the State Treasurer shall thereupon transfer from the Highway
Trust Fund to the Agricultural Alcohol Fuel Tax Fund one and one-quarter cents
per gallon approved for refund, and commencing January 1, 2005, through
December 31, 2009, the State Treasurer shall thereupon transfer from the
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Highway Trust Fund (a) to the Ethanol Production Incentive Cash Fund one and
one-quarter cents per gallon approved for refund and (b) to the Agricultural
Alcohol Fuel Tax Fund one and one-quarter cents per gallon approved for refund.
(3) No refund shall be allowed unless a claim is filed setting forth the
circumstances by reason of which refund should be allowed. Such claim shall be
filed with the department within three years from the date of the payment of
the tax.
(4) In each calendar year, no claim for refund related to motor vehicle
fuel, diesel fuel, aircraft fuel, or compressed fuel can be for an amount less
than twenty-five dollars.
(5) The department shall administer and enforce this section. The
department may call to its aid when necessary any member of the Nebraska State
Patrol, any police officer, any county attorney, or the Attorney General. The
employees of the department are empowered to stop and inspect motor vehicles,
to inspect premises, and temporarily to impound motor vehicles or motor fuels
when necessary to administer this section.
(6) The department may adopt and promulgate such rules and regulations as
are necessary for the prompt and effective enforcement of this section.
(7) Any claimant for refund of motor fuels tax under this section who is
unable to produce the original copy of any invoice to substantiate the refund
for the reason that the same has been lost, mutilated, or destroyed may make
proof of his or her claim by affidavit and such other evidence as may be
required by the department, and if such claim is verified by investigation,
such claim may be allowed.
(8) The changes made to this section by Laws 2004, LB 983, apply to motor
fuels purchased during any tax year ending or deemed to end on or after January
1, 2005, under the Internal Revenue Code.
Sec. 3. Section 66-739, Revised Statutes Cumulative Supplement, 2024, is
amended to read:
66-739 There is hereby created the Motor Fuel Tax Enforcement and
Collection Cash Fund. Such fund shall consist of appropriations to the fund and
money transferred to it pursuant to sections section 39-2215 and 66-489. The
fund shall be used exclusively for the costs of the Department of Revenue in
carrying out its duties under the Compressed Fuel Tax Act, the Petroleum
Release Remedial Action Act, the State Aeronautics Act, and sections 66-482 to
66-4,149, 66-501 to 66-531, and 66-712 to 66-736 and other related costs for
the Department of Agriculture and the Nebraska State Patrol, except that
transfers may be made from the fund to the General Fund at the direction of the
Legislature. Any money in the Motor Fuel Tax Enforcement and Collection Cash
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.
Sec. 4. Section 66-1331, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1331 The Legislature finds that Nebraska should continue its existing
programs to encourage processing, market development, promotion, distribution,
and research on products derived from grain, ethanol, or ethanol components,
coproducts, and products derived from ethanol or ethanol coproducts or
byproducts to provide for:
(1) Expanded use of Nebraska agricultural products;
(2) Efficient and less-polluting energy sources and reserves which will
make Nebraska less energy dependent, improve air quality reduce atmospheric
carbon monoxide levels, and retain Nebraska dollars in the Nebraska economy to
achieve a multiplier effect thereby generating additional jobs and tax income
to the state rather than the export of Nebraska dollars;
(3) Development of protein products which will be more efficiently stored
and marketed domestically and internationally to encourage greater processing
of Nebraska ethanol, ethanol coproducts, and products derived from ethanol or
ethanol coproducts to foreign nations rather than the present method of simple
export of unprocessed grain products;
(4) New and enhanced Alternative local outlets for Nebraska agricultural
products which can be leveraged by Nebraska agricultural producers to
facilitate strengthened demand and drive greater economic prosperity in rural
communities. New and enhanced particularly utilized in times of depressed grain
prices so as to give Nebraskans greater control of their crop marketing
procedures rather than have crop marketing procedures too dependent upon
federal agencies, major grain exporters, and foreign purchasers. Local outlets
may include ethanol plants, agricultural production facilities, or other
facilities related to the processing, marketing, or distributing distribution
of ethanol, ethanol coproducts, or products derived from ethanol or ethanol
components, coproducts , or byproducts;
(5) Collaboration Cooperation with private industry to support existing
ethanol establish ethanol-related production facilities in Nebraska and
establish new facilities producing ethanol, ethanol coproducts, or products
derived from ethanol or ethanol coproducts to strengthen and create demand for
Nebraska agricultural products;
(6) Promotion and market development, in collaboration cooperation with
private industry, of ethanol , ethanol coproducts, or products derived from
ethanol or ethanol components, coproducts , or byproducts; and
(7) Sponsorship of research and development of industrial and commercial
uses for agricultural ethanol, ethanol coproducts, and products derived from
ethanol or ethanol coproducts and for byproducts resulting from the
manufacturing of agricultural ethanol in order to enhance economic feasibility
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and marketing potential of such products and processes.
Sec. 5. Section 66-1332, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1332 It is hereby declared to be the public policy of the State of
Nebraska to safeguard the health, prosperity, and general welfare of its
residents by developing, protecting, and maintaining a leading position in
ethanol production and the processing of agricultural products into ethanol,
ethanol coproducts, or products derived from ethanol or ethanol coproducts that
improve air quality, strengthen energy security, increase demand for
agricultural products, provide consumer choice, and displace products produced
from petroleum. The Nebraska Ethanol Board shall be the state agency for such
purpose. The Legislature also recognizes the need for a statewide approach to
identify and attract agricultural processing opportunities that support the
Nebraska ethanol industry, the need to participate in programs of research,
education, market development, and promotion of ethanol, ethanol coproducts, or
products derived from ethanol or ethanol coproducts, and the need to provide
subject matter expertise related to policy and regulatory affairs for ethanol,
ethanol coproducts, or products derived from ethanol or ethanol coproducts. It
is hereby declared to be the public policy of the state that, in order to
safeguard life, health, property, and public welfare of its citizens, the
production, sale, and use of motor fuel and the pollution caused by certain
components of motor fuel are matters affecting the public interest and that a
statewide emphasis on the production and use of motor fuel containing
agricultural ethyl alcohol as a substitute for polluting components is
necessary for the reduction of pollution and will further serve as an incentive
for the agricultural economy in this state. The Legislature further recognizes
that a fuel crisis is pending in the nation and that the development of an
additional source of fuel will provide an energy and environmental benefit to
the citizens of this state and to the future economic growth of Nebraska.
Sec. 6. Section 66-1333, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1333 For purposes of the Ethanol Development Act, unless the context
otherwise requires:
(1) Agricultural production facility or ethanol facility means a plant or
facility related to the processing, marketing, or distribution of ethanol,
ethanol coproducts, any products derived from ethanol or ethanol grain
components, coproducts, or grain byproducts;
(2) Board means the Nebraska Ethanol Board;
(3) Ethanol producer means a person who devotes at least fifty percent of
his or her professional time to ethanol production or business operations at an
ethanol facility in Nebraska;
(4) (3) Grain means wheat, corn, and grain sorghum; and
(5) (4) Name plate design capacity means the original designed capacity of
an ethanol or agricultural production facility. Capacity may be specified as
bushels of grain processed or mass or volume of ethanol, ethanol coproducts, or
products derived from ethanol or ethanol coproducts produced ground or gallons
of ethanol produced per year. ; and
(5) Related parties means any two or more individuals, firms,
partnerships, limited liability companies, companies, agencies, associations,
or corporations which are members of the same unitary group or are any persons
who are considered to be related persons under the Internal Revenue Code.
Sec. 7. Section 66-1334, Revised Statutes Cumulative Supplement, 2024, is
amended to read:
66-1334 (1) The Agricultural Alcohol Fuel Tax Fund is hereby created. The
fund shall be administered by the board. The fund shall contain (a) money
credited transfers made pursuant to section 66-489 66-726, (b) all sums of
money received from fees resulting from any conference or event held by the
board, (c) gifts, grants, and contributions made by public or private entities,
and (d) transfers as authorized by the Legislature. 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.
(2) The fund shall be used for the following purposes:
(a) Establishment, in collaboration with cooperation of private industry,
of procedures and processes necessary to the manufacture and marketing of
ethanol, ethanol coproducts, and products derived from ethanol or ethanol
coproducts fuel containing agricultural ethyl alcohol;
(b) Establishment and enhancement of procedures for entering blended fuel
into the marketplace by private enterprise;
(c) Implementation Analysis of the marketing process and testing of
marketing and education procedures and programs to increase assure acceptance
and awareness in the private marketplace of ethanol, ethanol coproducts, and
products derived from ethanol or ethanol coproducts blended fuel and byproducts
resulting from the manufacturing process;
(d) Collaboration Cooperation with private industry to establish ethanol
or agricultural production facilities privately owned agricultural ethyl
alcohol manufacturing plants in Nebraska to supply demand for ethanol, ethanol
coproducts, and products derived from ethanol or ethanol coproducts blended
fuel;
(e) Sponsoring research and development of industrial and commercial uses
for ethanol, ethanol coproducts, and products derived from ethanol or ethanol
coproducts agricultural ethyl alcohol and for byproducts resulting from the
manufacturing process;
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(f) Promotion of state and national air quality improvement programs and
influencing federal legislation that requires or encourages the use of fuels
oxygenated by the inclusion of ethanol agricultural ethyl alcohol or fuels
derived from ethanol its derivatives;
(g) Promotion of the use of ethanol and fuels derived from ethanol
renewable agricultural ethyl alcohol as a partial replacement for imported oil
and for the energy and economic security of the nation;
(h) Participation in development and passage of state and national
legislation dealing with research, development, and promotion of United States
production of fuels oxygenated by the inclusion of ethanol agricultural ethyl
alcohol or its derivatives, access to potential markets, tax incentives,
imports of foreign-produced fuel, and related concerns that may develop in the
future; and
(i) As the board may otherwise direct to fulfill the goals set forth under
the Ethanol Development Act, including monitoring contracts for ethanol program
commitments and solicitation of federal funds.
Sec. 8. Section 66-1335, Revised Statutes Cumulative Supplement, 2024, is
amended to read:
66-1335 (1) The Nebraska Ethanol Board is hereby established. The board
shall consist of nine seven members to be appointed by the Governor with the
approval of a majority of the Legislature. The Governor shall make the initial
appointments within thirty days after September 1, 1993.
(2)(a) Four members shall be actually engaged in farming in this state,
one in general farming and one each in the production of corn, wheat, and
sorghum.
(b)(i) Until August 31, 2026, one One member shall be actively engaged in
business in this state.
(ii) Beginning September 1, 2026, the member under this subdivision (2)(b)
shall be an ethanol producer in this state. If the member under this
subdivision (2)(b) is an ethanol producer on August 31, 2026, then such member
may serve as the member under this subdivision (2)(b) for the remainder of the
term without reappointment by the Governor. If the member under this
subdivision (2)(b) is not an ethanol producer on August 31, 2026, the Governor
shall appoint a new member that is an ethanol producer to serve as the member
under this subdivision (2)(b) for the remainder of the term within thirty days
after September 1, 2026.
(c) One member shall represent labor interests in this state.
(d) One member shall represent Nebraska petroleum marketers in this state.
(e) Two members shall be ethanol producers in this state, and such members
shall be in addition to the member that is an ethanol producer under
subdivision (2)(b) of this section. The Governor shall make the initial
appointments of such members within thirty days after September 1, 2026.
(3) (2) Members shall be appointed for terms of four years, except that
the initial terms of the two initial appointees under subdivision (2)(e) of
this section shall expire on August 31, 2028, for one of such members and on
August 31, 2029, for the other of such members the terms of the member
representing labor interests and the member engaged in general farming shall
expire on August 31, 1994, the terms of the member engaged in sorghum
production and the member engaged in wheat production shall expire on August
31, 1995, the term of the member representing petroleum marketers shall expire
on August 31, 1996, and the terms of the member engaged in business and the
member engaged in corn production shall expire on August 31, 1997. A member
shall serve until a successor is appointed and qualified. Not more than five
four members shall be members of the same political party.
(4) (3) A vacancy on the board shall exist in the event of death,
disability, resignation, or removal for cause of a member. Any vacancy on the
board arising other than from the expiration of a term shall be filled by
appointment for the unexpired portion of the term. An appointment to fill a
vacancy shall be made by the Governor with the approval of a majority of the
Legislature, and any person so appointed shall have the same qualifications as
the person whom he or she succeeds.
(5) (4) The board shall meet at least once annually.
(6) (5) The members shall be reimbursed for expenses as provided in
sections 81-1174 to 81-1177. The members shall receive twenty-five dollars for
each day while engaged in the performance of board duties.
Sec. 9. Section 66-1337, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1337 The board may rent office space and employ such personnel as may
be necessary for the performance of its duties. The board may employ the
services of experts and consultants and expend funds necessary to acquire title
to commodities pursuant to section 66-1340, to promote air quality improvement
programs , or to otherwise carry out the board's duties under the Ethanol
Development Act.
Sec. 10. Section 66-1338, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1338 The board may appropriate funds and become a member of any
national ethanol promotion or trade organization that is necessary or
advantageous for the carrying out of the duties of the board under the Ethanol
Development Act group.
Sec. 11. Section 66-1340, Reissue Revised Statutes of Nebraska, is amended
to read:
66-1340 The board may accept gifts, donations, money, and services ,
including in-kind resources such as grain owned by the Commodity Credit
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Corporation and the United States Department of Agriculture. The board may take
title to the Commodity Credit Corporation's inventories and use such
commodities to carry out the Ethanol Development Act. The board may accept
commodities in connection with section 1024 of the Food Security Act of 1985 or
in connection with any other section of state or federal law.
Sec. 12. Section 66-1521, Revised Statutes Cumulative Supplement, 2024, is
amended to read:
66-1521 (1) A petroleum release remedial action fee is hereby imposed upon
the producer, refiner, importer, distributor, wholesaler, or supplier who
engages in the sale, distribution, delivery, and use of petroleum within this
state, except that the fee shall not be imposed on petroleum that is exported
or . The fee shall also be imposed on diesel fuel which is indelibly dyed. The
amount of the fee shall be nine-tenths of one cent per gallon on motor vehicle
fuel as defined in section 66-482 and six-tenths three-tenths of one cent per
gallon on diesel fuel as defined in section 66-482. The amount of the fee shall
be used first for payment of claims approved by the State Claims Board pursuant
to section 66-1531; second, up to three million dollars of the fee per year
shall be used for reimbursement of owners and operators under the Petroleum
Release Remedial Action Act for investigations of releases ordered pursuant to
section 81-15,124; and third, the remainder of the fee shall be used for any
other purpose authorized by section 66-1519. The fee shall be paid by all
producers, refiners, importers, distributors, wholesalers, and suppliers
subject to the fee by filing a monthly return on or before the twentieth day of
the calendar month following the monthly period to which it relates. The
pertinent provisions, specifically including penalty provisions, of the motor
fuel laws as defined in section 66-712 shall apply to the administration and
collection of the fee except for the treatment given refunds. There shall be a
refund allowed on any fee paid on petroleum which was taxed and then exported,
destroyed, or purchased for use by the United States Government or its
agencies. The department may also adjust for all errors in the payment of the
fee. In each calendar year, no claim for refund related to the fee can be for
an amount less than ten dollars.
(2) No producer, refiner, importer, distributor, wholesaler, or supplier
shall engage in the sale, distribution, delivery, or use of petroleum in this
state without having first obtained a petroleum release remedial action
license. Application for a license shall be made to the Department of Revenue
upon a form prepared and furnished by the Department of Revenue. If the
applicant is an individual, the application shall include the applicant's
social security number. Failure to obtain a license prior to engaging in the
sale, distribution, delivery, or use of petroleum shall be a Class IV
misdemeanor. The Department of Revenue may suspend or cancel the license of any
producer, refiner, importer, distributor, wholesaler, or supplier who fails to
pay the fee imposed by subsection (1) of this section in the same manner as
licenses are suspended or canceled pursuant to section 66-720.
(3) The Department of Revenue may adopt and promulgate rules and
regulations necessary to carry out this section.
(4) The Department of Revenue shall deduct and withhold from the petroleum
release remedial action fee collected pursuant to this section an amount
sufficient to reimburse the direct costs of collecting and administering the
petroleum release remedial action fee. Such costs shall not exceed one hundred
fifty thousand dollars for each fiscal year. The one hundred fifty thousand
dollars shall be prorated, based on the number of months the fee is collected,
whenever the fee is collected for only a portion of a year. The amount deducted
and withheld for costs shall be deposited in the Petroleum Release Remedial
Action Collection Fund which is hereby created. The Petroleum Release Remedial
Action Collection Fund shall be appropriated to the Department of Revenue,
except that transfers may be made from the fund to the General Fund at the
direction of the Legislature. Any money in the Petroleum Release Remedial
Action Collection 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.
(5) The Department of Revenue shall collect the fee imposed by subsection
(1) of this section.
Sec. 13. Sections 1, 2, 3, 7, 12, and 15 of this act become operative on
October 1, 2026. The other sections of this act become operative on their
effective date.
Sec. 14. Original sections 66-1331, 66-1332, 66-1333, 66-1337, 66-1338,
and 66-1340, Reissue Revised Statutes of Nebraska, and section 66-1335, Revised
Statutes Cumulative Supplement, 2024, are repealed.
Sec. 15. Original section 66-726, Reissue Revised Statutes of Nebraska,
and sections 66-489, 66-739, 66-1334, and 66-1521, Revised Statutes Cumulative
Supplement, 2024, are repealed.
Sec. 16. The following sections are outright repealed: Sections 66-1342,
66-1344.01, 66-1345, 66-1345.05, and 66-1348, Reissue Revised Statutes of
Nebraska, and section 66-1344, Revised Statutes Supplement, 2025.
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