1996 Nebraska State Statutes - NEBRASKA DEPARTMENT OF 

                                               ECONOMIC DEVELOPMENT



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                          MAXINE MOUL, Director

                          P.O. Box 94666

                          301 Centennial Mall South

                          Lincoln, NE  68509-4666

                          Phone:  (402) 471-3111

                                  (800) 426-6505

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Terms, defined.

                81-1201.01.      As  used  in  sections  81-1201.01  to

           81-1201.22, unless the context otherwise requires:

                     (1) Commission  shall  mean  the  Economic  Development

           Commission;

                     (2)  Community  Development  Block Grant shall mean the

           grants  distributed  pursuant  to  the  Housing   and   Community

           Development Act of 1974 as amended by the Housing and Urban-Rural

           Recovery Act of 1983;

                     (3)  Department  shall  mean the Department of Economic

           Development;

                     (4)  Director  shall  mean  the  Director  of  Economic

           Development;

                     (5)  Economic  articulation  shall mean the creation of

           economic activities which will provide inputs to and markets  for

           other businesses in the state;

                     (6)   Educational  institutions  shall  mean  nonprofit

           public and private colleges, community colleges, state  colleges,

           and universities in the state; and

                     (7)   Value-adding  industry  shall  mean  an  economic

           enterprise that adds value through  processing,  fabrication,  or

           other means to goods or services.



Department   of   Economic   Development;   Economic  Development

           Commission; created; purpose; duties.

                81-1201.02.   There  is  hereby  created  an  executive

           department  of  state government to be known as the Department of

           Economic Development and a commission to be known as the Economic

           Development Commission.  The purpose of the  department  and  the

           commission  shall  be  to maintain and develop the economy of the

           state to provide opportunities for the people which will  enhance

           and  expand  the  quality of their lives.  The department and the

           commission shall promote the:

                     (1)  Expansion   of   personal   income   through   the

           development of business and employment opportunities which afford

           sufficient  compensation to ensure an adequate standard of living

           for the people of the state;

                     (2) Development of an economy that contributes  to  and

           enhances the environmental quality of the state;

                     (3) Development of a stable economy within the state;

                     (4)  Development  of  economic health and opportunities

           throughout the communities and counties of the state;

                     (5) Development of  an  economy  which  is  capable  of

           providing  the  necessary  revenue  for  state  government, local

           governments, and other political subdivisions of the state and in

           this way  minimize the tax burden faced by all taxpayers  of  the

           state; and

                     (6)  Structuring  of  the department and its staff as a

           nonpolitical,   professionally   managed   division   of    state

           government.



Director of Economic Development; appointment; duties; personnel.

                81-1201.03.     The  chief  executive  officer  of  the

           department shall be the  Director  of  Economic  Development  who

           shall be appointed by the Governor with the consent of a majority

           of the Legislature.  The director shall administer the affairs of

           the  department  and shall serve at the pleasure of the Governor.

           The director shall have equal rank with the heads of other  state

           departments, and his or her salary shall be fixed by the Governor

           with  the  advice of the commission.  The director shall employ a

           deputy  director  with  significant  and  extensive  professional

           experience  in  the  field of economic development.  The director

           shall  employ  division  directors  and  such  other  assistants,

           professional  staff,  and  other  employees  as  he  or she deems

           necessary  to  effectively  carry  out  sections  81-1201.01   to

           81-1201.20 within the appropriations the Legislature provides.

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                 ECONOMIC DEVELOPMENT COMMISSION



Commission; members; qualifications; chairperson; coordination.

                81-1201.04.    The  commission  shall  consist  of nine

           voting members appointed by the Governor.  The chairperson of the

           commission shall be one of the nine appointed members  and  shall

           be  chosen  by  the  commission.   Each congressional district in

           Nebraska shall be represented by three members, and the  Governor

           shall solicit nominations for appointments to the commission from

           recognized  economic development groups in Nebraska.  The members

           of  the  commission  shall  be  representative,  to  the   extent

           possible,  of  the  various  geographic areas of the state and of

           both the urban and rural population.  The director shall serve as

           an ad hoc nonvoting member of the commission.  In appointing  the

           members,   the  Governor  shall  seek  to  create  a  broad-based

           commission representative of the Nebraska economy.    To  achieve

           this   objective   the   Governor  shall  consider  persons  with

           backgrounds in the following areas:

                     (1) Production agriculture;

                     (2) Manufacturing;

                     (3) Transportation and communications;

                     (4) Travel and tourism; and

                     (5) Insurance.

                     The commission and department are encouraged to involve

           other essential groups in the work of the commission,  including,

           but   not  limited  to,  the  (a)  University  of  Nebraska,  (b)

           Department  of  Agriculture,  (c)  State   Energy   Office,   (d)

           educational  institutions,  (e)  Department  of  Labor,  and  (f)

           Nebraska Investment Finance Authority.  No more than five  voting

           members  of  the  commission  shall  belong to the same political

           party.



Commission; members; terms; vacancy; expenses.

                81-1201.05.   Members of the commission shall serve for

           terms  of  six  years,  except  that  of  the  members  initially

           appointed  one  member  from each congressional district shall be

           appointed for a term of two years, one member for a term of  four

           years,  and one member for a term of six years.  Members shall be

           limited to two consecutive terms.   The director shall  serve  on

           the  commission  for  the  term  of  his  or  her  appointment as

           director.   If a vacancy occurs, the  Governor  shall  appoint  a

           representative   of   the  same  congressional  district,  within

           forty-five working days after the date  the  vacancy  occurs,  to

           finish  the  unexpired  term  of the member.   The members of the

           commission shall serve without compensation but may be reimbursed

           for their actual and necessary expenses as provided  in  sections

           81-1174  to 81-1177 for state employees.  The Governor shall make

           the initial appointments within sixty days after July 17, 1986.



Commission; meetings; staff.

                81-1201.06.    The  commission shall meet at least four

           times a year, with at least one meeting each calendar quarter, at

           the  call  of  the  director  or  four  voting  members  of   the

           commission.    The  staff and support for the commission shall be

           provided by the department.



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                 DEPARTMENT DIVISIONS, COMMITTEES, PROGRAMS:



Department;   divisions,   program,   and   commission;  advisory

           committees and programs; authorized.

                81-1201.07.   The department may  have  the  divisions,

           program,  and  commission  listed  in  this section to aid in the

           discharge of  its  duties  but  shall  not  be  limited  to  such

           divisions,  program,  and  commission:  (1)  An Existing Business

           Assistance Division; (2) a Business Recruitment Division;  (3)  a

           Travel   and   Tourism   Division;  (4)  a  Community  and  Rural

           Development Division; (5) a  Community  Development  Block  Grant

           Program;  and  (6) a Rural Development Commission. Each division,

           program, and commission, when deemed appropriate by the director,

           is encouraged to establish advisory committees  and  programs  to

           insure public participation and input.



Community  Development  Block  Grant  Program Advisory Committee;

           membership.

                81-1201.08.  (1) The department shall have an  advisory

           committee  to  provide  regular  consultation  to  the  Community

           Development Block Grant Program.

                     (2) The members  of  the  Community  Development  Block

           Grant  Program  Advisory  Committee  shall  be  appointed  by the

           commission upon the recommendation of the  department  and  shall

           be:

                     (a)  Two  municipal  officials from cities of the first

           class which are nonentitlement cities as defined in  the  Housing

           and Community Development Act of 1974, as amended.  One municipal

           official  shall  be  an elected official.  One municipal official

           shall be an appointed official.   The municipal  officials  shall

           reside in different congressional districts;

                     (b)  Two  municipal officials from cities of the second

           class.  One municipal official shall be an elected official.  One

           municipal official shall be an appointed official.  The municipal

           officials shall reside in different congressional districts;

                     (c)  Two  municipal  officials  from  villages.     One

           municipal  official  shall be an elected official.  One municipal

           official shall be an appointed official.  The municipal officials

           shall reside in different congressional districts;

                     (d)  Two  elected  county  officials  who   reside   in

           different congressional districts;

                     (e)  One  staff member from a development district or a

           regional council;

                     (f)  One  staff  member  from  the  Governor's   Policy

           Research Office;

                     (g)   One   staff  member  from  the  community  action

           corporations; and

                     (h) One registered professional engineer.

                     (3) The commission shall adopt a selection process  for

           the remaining advisory committees and the committee members shall

           be  selected according to such process by the commission upon the

           recommendation of the department.



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Department;    develop   and   implement   economic   development

           strategies; considerations.

                81-1201.09.  The department shall develop and implement

           economic development strategies to:

                     (1)  Facilitate  the  maintenance  and   expansion   of

           existing   enterprises  and  the  creation  of  new  value-adding

           industries, including those involved in selling  to  non-Nebraska

           markets;

                     (2) Promote economic articulation within the economy of

           the state;

                     (3) Promote productivity among value-adding industries;

                     (4) Promote economic diversification within the economy

           of the state; and

                     (5)  Maintain  and  revitalize  economically distressed

           areas.

                     In developing these  strategies  the  department  shall

           consider  the  special economic needs of women and minorities and

           pursue policies which are consistent with  Nebraska  policies  to

           protect and enhance the environmental quality of the state.



Department;   long-term  strategy;  performance  review;  duties;

           Performance Review Revolving Fund; created; use; investment.

                81-1201.10.  The department shall:

                     (1)  Create  and  keep  current  a  comprehensive   and

           long-term  strategy for economic development.  The strategy shall

           address and be consistent with the general purposes and duties of

           the department.   The strategy shall  consider:  (a)  The  entire

           state;  (b)  economic  regions  within  the  state;  and  (c) the

           operating divisions, program, and commission  listed  in  section

           81-1201.07; and

                     (2)  Develop  an  independent  program  of  performance

           review  of  the  activities  of  the   department,   departmental

           divisions, the Community Development Block Grant Program, and the

           Rural  Development Commission.  The review shall include, but not

           be  limited  to:  (a)  An  assessment  of  the  impact   of   the

           department's programs corresponding to the strategic plans of the

           department,  departmental  divisions,  the  Community Development

           Block Grant Program, and the Rural Development Commission; (b)  a

           comparative assessment of the relative impact of the department's

           programs  with  similar  programs  in  other  states;  and  (c) a

           comparative assessment of the department's  programs'  impact  on

           different  parts  of the state.  The review shall be completed or

           updated at least once every three years.

                     The  Performance  Review  Revolving  Fund   is   hereby

           created.    The  money  in  the  fund  shall be used to employ an

           independent firm experienced  in  doing  performance  reviews  as

           prescribed  in  this  subdivision to do performance reviews.  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.



Department;   lead   agency;   clearinghouse;   staff   services;

           coordination; status report; duties.

                81-1201.11.  The department shall:

                     (1) Serve as the lead  state  agency  in  the  area  of

           economic  development.  The department shall develop a program to

           promote coordination and cooperation within state government  and

           with  institutions  of higher education, local governments, other

           political subdivisions of the state, and the private sector;

                     (2) Serve as a clearinghouse for information, data, and

           other materials which may be helpful or  necessary  to  the  full

           development  of  the  state's economy, which may be relevant with

           regard to the possibilities of future  development  in  Nebraska,

           and  which  will  be  of  use to local governments, the Governor,

           other state agencies, and the Legislature  in  discharging  their

           responsibilities.    The  department  shall  develop a program to

           ensure cooperation between  state  agencies,  the  University  of

           Nebraska, and other entities with related economic information;

                     (3)  Provide staff services when, in the opinion of the

           director, such services are  necessary  and  appropriate  in  the

           areas  of  economic  development  to  cities  of the first class,

           second class, and villages on a contractual basis when the  terms

           of such contracts can be mutually accepted;

                     (4)  Assist the Governor in coordinating the efforts of

           local governments to develop mutual and cooperative solutions  to

           their common problems; and

                     (5)  Prepare annually a status report on the activities

           and impacts of the department  and  its  programs.    The  status

           report  shall be submitted to the Governor and the Legislature on

           the first working day of October of each year.



Department; plans, contracts, funds; tax credit program; duties.

                81-1201.12.  The department shall:

                     (1)  Submit  and  adopt all necessary plans, enter into

           contracts, and accept gifts, grants, and federal funds; and

                     (2) Administer the tax credit  program  established  by

           the Community Development Assistance Act and adopt and promulgate

           rules and regulations pursuant to such act.



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Travel and Tourism Division; duties; awarding of contracts.

                81-1201.13.    The  Travel  and  Tourism Division shall

           develop a program to provide promotional services  and  technical

           assistance  to  local  governments  and  industry  members and to

           ensure the protection and development  of  Nebraska's  attraction

           resources.    The  department shall have an advisory committee to

           provide regular consultation to the Travel and Tourism Division.

                     All advertising contracts  awarded  by  the  department

           concerning travel and tourism shall be based on competitive bids.

           Contracts  shall  be  awarded  to  the lowest responsible bidder,

           taking into consideration the best interests of  the  state,  the

           quality  of  performance of the services rendered, the conformity

           with specifications, the purposes for  which  required,  and  the

           time  of  completion, and with the consultation of the Travel and

           Tourism Division Advisory Committee.  In determining  the  lowest

           responsible  bidder, in addition to price, the following elements

           shall  be  given  consideration:  (1)  The   ability,   capacity,

           creativity,  and  skill  of  the  bidder  to perform the contract

           required; (2) the  character,  integrity,  reputation,  judgment,

           experience,  and efficiency of the bidder; (3) whether the bidder

           can perform the contract  within  the  time  specified;  (4)  the

           quality  of  performance  of previous contracts; (5) the previous

           and existing compliance by the bidder with laws relating  to  the

           contract; and (6) such other information as may be secured having

           a  bearing on the decision to award the contract.  The department

           shall advertise for bids for the awarding of contracts concerning

           travel and tourism pursuant to sections 73-101  to  73-105.    At

           least  thirty  working  days shall elapse between the time formal

           bids are advertised for and the time of their opening.  Contracts

           shall be awarded within sixty working days after the bidding  has

           been closed.  Each person submitting

           a  bid  shall,  by  certified  mail,  be  notified as to whom the

           contract was awarded.



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Existing Business Assistance Division; duties.

                81-1201.14.  The primary responsibility of the Existing

           Business  Assistance  Division  shall be to provide assistance to

           in-state businesses.  Such assistance shall encourage the startup

           of new businesses and the retention  and  expansion  of  existing

           businesses.    Emphasis  shall  be placed upon meeting the unique

           needs of small businesses  in  the  state.    Activities  of  the

           division   shall  include,  but  not  be  limited  to,  financial

           packaging,   technical   assistance,   contacts   with   existing

           businesses  regarding  needs,  job  training  assistance,  export

           technical assistance, and assistance to businesses  in  accessing

           new markets.

                     The  division  shall  avoid  duplication  with existing

           programs already in  place  which  assist  small  businesses  and

           entrepreneurs,  and the department and the division shall deliver

           their programs through, to  the  extent  possible,  the  Nebraska

           Small   Business  Development  Centers,  the  Nebraska  Technical

           Assistance Center,  the  Nebraska  Food  Processing  Center,  the

           Nebraska   Investment   Finance  Authority,  the  Small  Business

           Administration of  the  federal  government,  and  other  related

           organizations.



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Business Recruitment Division; duties.

                81-1201.15.  The primary responsibility of the Business

           Recruitment  Division  shall  be the creation of jobs through the

           attraction of business to the state.  The division shall  develop

           a  program  of  assistance  to  local  governments,  chambers  of

           commerce, development organizations, and other entities  involved

           in  attracting  new  value-adding  industries.   Activities shall

           include,  but  not  be  limited   to,   industrial   recruitment,

           marketing,  international  investment  attraction,  and technical

           assistance  to  community  organizations  in  their   recruitment

           efforts.



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Community and Rural Development Division; duties.

                81-1201.16.     The  Community  and  Rural  Development

           Division shall provide  technical  and  financial  assistance  to

           communities  for  the  preparation  of  community-based community

           needs assessment and development strategies.  The division  shall

           develop  a  program to assist communities in finding solutions to

           the problems identified within the community needs assessment.



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Department; administer Community Development Block Grant Program.

                81-1201.18.     The  department  shall  administer  the

           Community Development Block Grant Program.   In addition  to  the

           performance   review  requirements  in  section  81-1201.10,  the

           department shall develop an ongoing  program  of  monitoring  the

           impact  of  grants  on the communities receiving the grants.  The

           monitoring program shall include, but  not  be  limited  to,  the

           following  information:  (1)  The status of the project for which

           such grant was awarded; (2)  the  grant  amount;  (3)  the  local

           government  contribution; (4) the private financial contribution;

           (5) the goals and objectives of the grant; and (6) the impact  of

           the grant relative to the goals and objectives of the grant.  The

           department,  in  consultation  with the advisory committee, shall

           determine community development objectives, state priorities, and

           guidelines  for  the  distribution   of   funds   for   community

           development projects within the Community Development Block Grant

           Program,  which  shall  conform to the objectives as set forth in

           the Housing and Community Development Act of  1974,  as  amended,

           and which shall:

                     (a)  Include  statistical  community  need  factors  as

           selected by the committee; and

                     (b) Require that grant applicants submit evidence of  a

           community  assessment  process  for the project, which assessment

           process the committee shall design.  To the extent possible,  the

           Community  Development  Block Grant funds shall be allocated on a

           need and competitive basis.



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Divisions; avoid duplication.

                81-1201.19.   The divisions shall avoid the duplication

           of existing programs or services and,  to  the  extent  possible,

           shall  use  existing  programs and organizations to implement the

           program and objectives of the division.



Department; adopt rules and regulations.

                81-1201.20.   The department shall adopt and promulgate

           rules  and  regulations  to  carry  out  sections  81-1201.01  to

           81-1201.20.



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Job Training Cash Fund; created; use; investment.

                81-1201.21.    There is hereby created the Job Training

           Cash Fund.   The  fund  shall  be  under  the  direction  of  the

           Department  of Economic Development.  Money may be transferred to

           the fund pursuant to subdivision (b)(4) of section 48-621.    The

           department  shall  use the fund to provide reimbursements for job

           training activities, including employee assessment, preemployment

           training, on-the-job  training,  training  equipment  costs,  and

           other  reasonable  costs related to helping industry and business

           locate or expand  in  Nebraska,  or  to  provide  upgrade  skills

           training  of  the  existing labor force necessary to adapt to new

           technology or the introduction of new product lines.   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.



Administrative Cash Fund; created; use; investment.

                81-1201.22.      (1)   There   is  hereby  created  the

           Administrative Cash Fund to be administered  by  the  department.

           Revenue from the following sources shall be remitted to the State

           Treasurer for credit to the fund:

                     (a)   Fees   charged   for   the   sale  of  department

           publications or subscription to publications;

                     (b)  Fees  charged  for  the  sale  of  Nebraska  items

           promoting economic development of the state, including travel and

           tourism;

                     (c)  Deposits charged for the temporary use of Nebraska

           items promoting economic  development  of  the  state,  including

           travel and tourism;

                     (d)  Fees  charged  for attendance and participation in

           department-sponsored conferences, training  sessions,  and  other

           special events;

                     (e)  Money  collected  from  nondepartment  sources  in

           connection with cooperative funding  of  advertising,  marketing,

           promotional, or consulting activities; and

                     (f)  Money  received  by  the department in the form of

           gifts, grants, reimbursements, or appropriations from any  source

           intended  to  be  used  by  the  department  for carrying out the

           provisions of Chapter 81, article 12.

                     (2) Revenue from the  fund  may  be  expended  for  the

           following purposes:

                     (a)  Production  and  distribution  costs of department

           publications;

                     (b) Purchase of items promoting economic development of

           the state, including travel and tourism, intended for sale;

                     (c)  Reimbursement  of  deposits  collected   for   the

           temporary use of promotional items;

                     (d)    Payment    of    costs    in   connection   with

           department-sponsored conferences, training  sessions,  and  other

           special events;

                     (e)   Payment   of  costs  of  advertising,  marketing,

           promotional, or  consulting  activities  in  cooperative  funding

           partnerships with nondepartment organizations; and

                     (f)  Payment  of  costs for which fund revenue has been

           received and  which  are  related  to  department  activities  in

           Chapter 81, article 12.

                     (3)  Any  money  in  the  fund available for investment

           shall be invested by the state  investment  officer  pursuant  to

           sections 72-1237 to 72-1276.



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Wild  West  Arena;  Strategic  Air  Command  Museum;  transfer of

           rights, title, and interest.

                81-1222.01.    The  Game  and   Parks   Commission   is

           authorized  and  directed to assign to the Department of Economic

           Development all its right, title, and  interest  in  and  to  the

           following  described real estate:  The North Half of Lot Sixteen,

           of the subdivision of the Cody Land  and  Cattle  Company  Lands,

           Lincoln  County,  Nebraska, lying north of the north right-of-way

           line of  Drainage  District  No.  1,  Lincoln  County,  Nebraska,

           subject  to  all easements, benefits, and burdens of record, such

           tract of land being more particularly described as follows:

                     Commencing at the Northeast corner of Lot Sixteen, Cody

           Land and Cattle Company Subdivision, thence running west  on  the

           north  line  of  lot  sixteen  a  distance  of one thousand three

           hundred thirty and eight-tenths feet to the northwest  corner  of

           lot sixteen, thence running south on the west line of lot sixteen

           a  distance  of one thousand three hundred and twenty feet to the

           southwest corner of the north one-half  of  lot  sixteen,  thence

           running  east  on  the  south  line  of the north one-half of lot

           sixteen a distance of one thousand three hundred thirty-two  feet

           to  the  southeast  corner  of the north one-half of lot sixteen,

           thence running north on the east line of lot sixteen, a  distance

           of  one  thousand  three  hundred  twenty  feet  to  the point of

           beginning, containing forty  and  thirty-four  hundredths  acres,

           more  or  less;  commonly  referred  to  as  the  Wild West Arena

           effective July 1, 1972.

                     The Game and Parks Commission is further authorized and

           directed to assign to the Department of Economic Development  all

           its  right, title, and interest in and to a certain lease for the

           Strategic Air Command Museum effective July 1, 1972.



Director  of  Economic  Development;  fees;  leases;  collection;

           disposition.

                81-1222.02.  (1) The Director of  Economic  Development

           is  hereby  authorized  to set and collect a fee from persons who

           attend any attraction under the control  or  supervision  of  the

           Department  of  Economic  Development.    All such funds shall be

           deposited in the appropriate department fund  and  used  for  the

           purposes set forth for that fund.

                     (2)  The  Director of Economic Development may contract

           for and lease any property under the control and  supervision  of

           the   Department   of  Economic  Development  to  any  person  or

           organization if such lease is in the best interest of the  state.

           All  funds  collected  from such leases shall be deposited in the

           appropriate department fund and used for the purposes  set  forth

           for that fund.



Wild West Arena; sale or lease; conditions.

                81-1222.03.    The  Department  of Economic Development

           may: (1) Until July 1, 1991, with the  written  approval  of  the

           Governor,  sell  the  property  known  as  the Wild West Arena in

           Lincoln County, Nebraska; or (2) if it is in the best interest of

           the state, lease such property for a term not  to  exceed  twenty

           years.   The lease may contain an option to purchase the property

           at a value to be determined by the department.   Proceeds of  the

           sale or lease shall be deposited in the appropriate fund and used

           for the purposes set forth for the fund.

                     The  legal  description  of the Wild West Arena is: The

           north half of lot sixteen, of the subdivision of  the  Cody  Land

           and  Cattle  Company lands, Lincoln County, Nebraska, lying north

           of the north right-of-way line of  Drainage  District  Number  1,

           Lincoln  County, Nebraska, subject to all easements, benefits and

           burdens of record, such tract of  land  being  more  particularly

           described as follows:

                     Commencing at the northeast corner of lot sixteen, Cody

           Land  and  Cattle Company Subdivision, thence running west on the

           north line of lot  sixteen  a  distance  of  one  thousand  three

           hundred  thirty  and eight-tenths feet to the northwest corner of

           lot sixteen, thence running south on the west line of lot sixteen

           a distance of one thousand three hundred and twenty feet  to  the

           southwest  corner  of  the  north one-half of lot sixteen, thence

           running east on the south line  of  the  north  one-half  of  lot

           sixteen  a distance of one thousand three hundred thirty-two feet

           to the southeast corner of the north  one-half  of  lot  sixteen,

           thence  running  north on the east line of lot sixteen a distance

           of one thousand  three  hundred  twenty  feet  to  the  point  of

           beginning,  containing  forty  and  thirty-four hundredths acres,

           more or less.



*************************************************************************

                        NEBRASKA VISITORS DEVELOPMENT ACT



Act; purposes.

                81-1245.     The  purposes  of  the  Nebraska  Visitors

           Development Act are (1) to create a fund for general  promotional

           activity,  solicitation,  and  an  operating  program  to attract

           visitors to Nebraska and further the use of  travel  and  tourism

           facilities  in  Nebraska,  (2)  to  provide  for a lodging tax on

           hotels for the purpose of establishing a State Visitors Promotion

           Cash Fund, and (3) to authorize the governing body of any  county

           to  appoint  a  visitors  committee  and  impose a lodging tax on

           hotels  for  the  purpose  of  establishing  a  County   Visitors

           Promotion  Fund  and,  in  certain  counties,  a  County Visitors

           Improvement Fund.



Definitions, where found.

                81-1246.     For  purposes  of  the  Nebraska  Visitors

           Development Act,  unless  the  context  otherwise  requires,  the

           definitions found in sections 81-1247 to 81-1251 shall be used.



Hotel, defined.

                81-1247.    Hotel  shall mean any facility in which the

           public may, for a consideration, obtain sleeping  accommodations.

           The   term   shall   include   hotels,   motels,  tourist  homes,

           campgrounds, courts, lodging houses, inns, state-operated hotels,

           and nonprofit hotels, but hotels shall not be defined  so  as  to

           include  hospitals,  sanitariums,  nursing  homes,  chronic  care

           centers, or dormitories or facilities operated by an  educational

           institution and regularly used to house students.



Consideration, defined.

                81-1248.   Consideration shall mean the monetary charge

           for the use of space  in  a  hotel  only  if  the  space  is  one

           ordinarily  used  for  accommodations  and  shall not include the

           charge for any food  or  beverage  served  or  personal  services

           rendered to the occupant of such space.



Occupancy, defined.

                81-1249.    Occupancy shall mean the use or possession,

           or the right to the use or possession, of any space in a hotel if

           the space is one ordinarily used for accommodations  and  if  the

           occupant's  use,  possession,  or  right to the use or possession

           does not exceed a period of thirty days.



Occupant, defined.

                81-1250.    Occupant  shall  mean  anyone  who,  for  a

           consideration, uses, possesses, or has a right to use or  possess

           any  space  in  a  hotel  if the space is one ordinarily used for

           accommodations.



Committee, defined.

                81-1251.    Committee shall mean the visitors committee

           appointed as provided in  section  81-1255  for  the  purpose  of

           advising  the  county  board in administering the County Visitors

           Promotion  Fund  and  the  County   Visitors   Improvement   Fund

           established  pursuant  to  section  81-1255  and carrying out the

           purposes of the Nebraska Visitors Development Act.



State Visitors Promotion Cash Fund; created; uses.

                81-1252.    (1)  There  is  hereby created in the state

           treasury a special  fund  to  be  known  as  the  State  Visitors

           Promotion  Cash  Fund  which  shall  be  under  the Department of

           Economic Development.

                     (2)  The  division  of  travel  and  tourism   in   the

           Department  of Economic Development shall use the proceeds of the

           State  Visitors  Promotion  Cash  Fund  to   generally   promote,

           encourage,  and  attract  visitors  to  and  within  the State of

           Nebraska and enhance the use of  travel  and  tourism  facilities

           within  the state.   The proceeds of the State Visitors Promotion

           Cash Fund shall be in  addition  to  funds  appropriated  to  the

           Department  of  Economic  Development,  division  of  travel  and

           tourism, from the state General Fund.



Hotel; occupancy; sales tax.

                81-1253.    There is hereby imposed an additional sales

           tax of one percent  upon  the  total  consideration  charged  for

           occupancy of any space furnished by any hotel in this state.  The

           proceeds  from  such  tax  shall  be  paid  to the State Visitors

           Promotion Cash Fund.



Hotel; occupancy; county; impose sales tax; when.

                81-1254.    (1)  The  governing  body of any county may

           after a public hearing adopt a resolution to impose an additional

           sales  tax  of  not  to  exceed  two  percent  upon   the   total

           consideration charged for occupancy of any space furnished by any

           hotel if such county has created a County Visitors Promotion Fund

           and  a  visitors  committee  pursuant  to  section 81-1255.   The

           proceeds from such tax shall  be  paid  to  the  County  Visitors

           Promotion Fund.

                     (2)  The governing body of any county with a population

           of more than three  hundred  thousand  inhabitants  may  after  a

           public  hearing  adopt a resolution to impose an additional sales

           tax of not to exceed two percent  upon  the  total  consideration

           charged for occupancy of any space furnished by any hotel if such

           county  has  created  a  County  Visitors  Improvement Fund and a

           visitors committee pursuant to section  81-1255.    The  proceeds

           from  such  tax  shall be paid to the County Visitors Improvement

           Fund.

                     (3) The taxes authorized by this section  shall  be  in

           addition  to  the  tax authorized in section 81-1253 or any other

           sales tax imposed or authorized.



County Visitors Promotion Fund; County Visitors Improvement Fund;

           visitors committee; establishment; purpose.

                81-1255.   The governing body of the county shall after

           a  public  hearing  adopt  a  resolution  establishing  a  County

           Visitors  Promotion  Fund  and  a  visitors committee which shall

           serve  as  an  advisory  committee  to  the   county   board   in

           administering  the proceeds from the taxes provided to the county

           by the Nebraska Visitors Development Act.  The governing body  of

           a  county  with  a population of more than three hundred thousand

           inhabitants may also after a public hearing  adopt  a  resolution

           establishing a County Visitors Improvement Fund.  The proceeds of

           the  County  Visitors  Promotion  Fund shall be used generally to

           promote, encourage, and attract visitors to come  to  the  county

           and use the travel and tourism facilities within the county.  The

           proceeds of the County Visitors Improvement Fund shall be used to

           improve  the  visitor  attractions  and facilities in the county,

           except that no proceeds shall be used to improve  a  facility  in

           which   parimutuel  wagering  is  conducted.    If  the  visitors

           committee determines that the visitor attractions in  the  county

           are  adequate  and  do not require improvement, the committee may

           use the County Visitors Improvement Fund to  promote,  encourage,

           and attract visitors to the county to use the county's travel and

           tourism  facilities.  The committee shall consist of five members

           appointed by the governing body of the county.   Two  members  of

           the committee shall be in the hotel industry.

                     Such   appointees  shall  serve  without  compensation,

           except for  reimbursement  for  necessary  expenses.    Committee

           members  shall  serve for terms of four years, except that two of

           those initially appointed shall be appointed for initial terms of

           two years.  Vacancies shall be filled in the same manner  as  the

           initial  appointments.    The committee shall elect a chairperson

           and vice-chairperson from among its members to serve for terms of

           two years.



Visitors committee; budget.

                81-1256.    The  governing  body  of  the  county shall

           annually set the budget, if any, under which the committee  shall

           operate.



County board; contracts authorized.

                81-1257.    The  county  board  may  contract  with any

           person, firm,  association,  or  corporation  to  carry  out  the

           Nebraska Visitors Development Act.



Tax proceeds; use; visitor attraction, defined.

                81-1258.    (1) Except as provided in subsection (2) of

           this section, none of the proceeds from the taxes provided by the

           Nebraska Visitors Development Act shall be used for any  type  of

           capital construction.

                     (2)  The  County  Visitors  Improvement  Fund  shall be

           administered by the governing body of the county with the  advice

           of  the  visitors committee created in section 81-1255.  The fund

           shall  be  used  to  make  grants  for  expanding  and  improving

           facilities  at  any  existing  visitor  attraction,  acquiring or

           expanding exhibits for existing visitor attractions, or  planning

           or   developing  such  expansions,  improvements,  or  additions.

           Grants shall be available  for  any  visitor  attraction  in  the

           county  owned  by  the  public or any nonprofit organization, the

           primary purpose of which is to operate  the  visitor  attraction,

           except  that  grants  shall  not  be  available  for  any visitor

           attraction where parimutuel wagering is conducted.

                     (3) For purposes of this section and  section  81-1255,

           visitor  attraction  shall  mean  a  defined location open to the

           public, which location is of educational,  cultural,  historical,

           artistic,  or recreational significance or provides entertainment

           or  in  which  are  exhibits,  displays,   or   performances   of

           educational,   cultural,  historic,  artistic,  or  entertainment

           value.



Department of Economic Development; contracts authorized.

                81-1259.    The  Department  of  Economic Development's

           division  of  travel  and  tourism  shall  cooperate  with  other

           departments and agencies of the state and may contract with other

           persons,  including  private  agencies,  to  carry out any of the

           functions and purposes of the Nebraska Visitors Development Act.



Lodging sales tax; collection; enforcement.

                81-1260.    Unless otherwise specifically provided, any

           sales  tax  on  transient  lodging  imposed  under  the  Nebraska

           Visitors Development Act is in addition to that sales tax imposed

           under  the  provisions  of  Chapter  77, article 27, and shall be

           interpreted,  collected,  remitted,  and  enforced  by  the   Tax

           Commissioner under the provisions of such article.



County Visitors Promotion Fund; collection; administrative fee.

                81-1261.   The amount the Tax Commissioner shall remit,

           as taxes collected for a County Visitors Promotion Fund, shall be

           reduced by three percent as an administrative  fee  necessary  to

           defray  the  cost of collecting the tax and the expenses incident

           to such collection.



Tax Commissioner; adopt rules and regulations.

                81-1262.      The  Tax  Commissioner  shall  adopt  and

           promulgate rules and regulations necessary for the administration

           of the Nebraska Visitors Development Act.



Act, how cited.

                81-1263.    Sections  81-1245 to 81-1263 shall be known

           and may be cited as the Nebraska Visitors Development Act.



*************************************************************************

                       VENTURE CAPITAL NETWORK ACT



Act, how cited.

                81-1265.    Sections  81-1265 to 81-1271 shall be known

           and may be cited as the Venture Capital Network Act.



Purpose of act.

                81-1266.    The  purpose of the Venture Capital Network

           Act is to improve  the  dissemination  of  information  regarding

           informal  investment  opportunities  to  potential  investors and

           entrepreneurs  and  thereby  stimulate  the   growth   of   small

           businesses in Nebraska.



Venture Capital Network; established.

                81-1267.  Consistent with the purpose stated in section

           81-1266,  the  Department  of Economic Development is directed to

           establish, from funds appropriated to or otherwise  available  to

           the  department,  the  Venture Capital Network as a clearinghouse

           for information on informal risk capital investment opportunities

           in the fifty thousand to five hundred thousand  dollar  range  in

           Nebraska.



Department; duties.

                81-1268.  The Department of Economic Development shall:

                     (1)  Enter  into service contracts on a competitive bid

           basis   with   public   and   private   agencies,   institutions,

           organizations,  and  individuals  for the purpose of establishing

           and operating the Venture Capital Network;

                     (2) Receive and  approve  contract  proposals  for  the

           purpose of establishing the Venture Capital Network;

                     (3) Solicit the support and contributions of public and

           private agencies, organizations, institutions, and individuals;

                     (4) Accept and administer contributions for the purpose

           of operating the Venture Capital Network; and

                     (5) Advertise and promote the Venture Capital Network.



Venture Capital Network; duties.

                81-1269.  The Venture Capital Network shall:

                     (1)  Solicit,  compile,  profile,  and maintain current

           information describing opportunities for risk capital  investment

           in new or emerging business ventures;

                     (2)  Identify  active  informal  investors  and profile

           their distinguishing investment objectives;

                     (3)  Provide,  for  a   reasonable   fee,   a   timely,

           confidential,   and   objective   referral  system  serving  both

           entrepreneurs and investors; and

                     (4) Maintain statistics on the operation of the Venture

           Capital Network, including the number of  profiled  entrepreneurs

           and investors, referrals, and referrals resulting in investment.



Venture Capital Network; restrictions on functions; applicability

           of securities laws.

                81-1270.    (1)  The  Venture Capital Network shall not

           serve any fiduciary, advisory, or evaluative function  in  making

           referrals.

                     (2)  The  remedies  and causes of action provided under

           the securities laws of the United States and under the Securities

           Act of Nebraska shall apply to any conduct  or  activity  of  the

           Venture Capital Network.



Venture Capital Network; administration.

                81-1271.   The Department of Economic Development shall

           endeavor to locate a sponsor,  which  may  be  a  private  sector

           sponsor or group of sponsors or the Nebraska Business Development

           Center  at  the  University  of  Nebraska  at  Omaha,  to  assume

           administration of the Venture Capital Network.



Act, how cited.

                81-1272.    Sections  81-1272 to 81-1277 shall be known

           and may be cited as the Business Development Partnership Act.



Legislative findings.

                81-1273.  The Legislature finds and declares:

                     (1)  That  the  availability  of  business  development

           services at various geographic  locations  throughout  the  state

           would  result in the retention, expansion, and diversification of

           existing businesses and the creation of new businesses;

                     (2) That the Nebraska Business  Development  Center,  a

           department  of the University of Nebraska at Omaha, shall provide

           business development services through a network of small business

           development centers at Chadron State College, Peru State College,

           the  University  of  Nebraska  at  Kearney,  the  University   of

           Nebraska-Lincoln,  the University of Nebraska at Omaha, and Wayne

           State College;

                     (3) That business development services may be augmented

           through specialized research and technical  assistance  services;

           and

                     (4)  That  the Existing Business Assistance Division of

           the  Department  of  Economic   Development   shall   coordinate,

           administer, and support the delivery of such services.



Business Development Services Program; created; administration.

                81-1274.      There  is  hereby  created  the  Business

           Development Services Program in the Existing Business  Assistance

           Division of the Department of Economic Development.  The division

           shall  be  responsible  for the administration of the program and

           shall have the power and authority to contract  for  services  as

           provided in sections 81-1275 and 81-1276.



Nebraska Business Development Center; duties.

                81-1275.    The  Existing  Business Assistance Division

           shall contract with the Nebraska Business Development  Center  to

           administer, manage, and deliver regional small business services,

           and the Nebraska Business Development Center shall:

                     (1) Provide such services as close as possible to small

           businesses  through  a  network  of  small  business  development

           centers located in Omaha, Lincoln, Kearney, Wayne, North  Platte,

           Scottsbluff  or Gering, Chadron, Peru, and such other communities

           as the Existing  Business  Assistance  Division  shall  determine

           based  on  the  applications  of  communities  desiring to be the

           location of a small business development center.  In  determining

           the  location of small business development centers, the division

           shall consider several factors, including, but  not  limited  to:

           (a)   Preexisting   small   business   development  centers;  (b)

           geographic accessibility; and  (c)  existing  resources  such  as

           building  space  and  office  equipment  or  the willingness of a

           community to provide  some  or  all  of  those  resources.    The

           division shall prescribe the form of the application for location

           of  a  small  business  development  center  and take all actions

           necessary in the processing of such applications;

                     (2) Integrate activities funded  through  the  Business

           Development  Partnership  Act  with  those  funded  by the United

           States  Small  Business  Administration  or  any  other   program

           supporting the Nebraska small business development centers;

                     (3)  Furnish  one-to-one individual counseling to small

           businesses;

                     (4)  Assist  in  technology  transfer,  research,   and

           coupling from existing sources to small businesses;

                     (5)  Maintain  current  information concerning federal,

           state, and local regulations that  affect  small  businesses  and

           counsel small business on methods of compliance;

                     (6)  Coordinate and conduct research into technical and

           general small business problems for  which  there  are  no  ready

           solutions;

                     (7)  Provide  and maintain a comprehensive library that

           contains current information and statistical data needed by small

           businesses;

                     (8)  Maintain   a   working   relationship   and   open

           communications  with  the  financial  and investment communities,

           legal associations, local and regional private  consultants,  and

           local  and  regional  small  business  groups and associations in

           order to help address the various needs  of  the  small  business

           community;

                     (9)  Conduct  indepth  surveys for local small business

           groups in order to  develop  general  information  regarding  the

           local economy and general small business strengths and weaknesses

           in the locality; and

                     (10)   Provide   other   services   as   determined  in

           consultation with the Existing Business Assistance Division.



Existing Business Assistance Division; contracts; authorized.

                81-1276.  The Existing Business Assistance Division may

           contract  with any postsecondary institution of higher education,

           community organization, governmental agency  or  entity,  or  any

           other profit or nonprofit entity to provide specialized research,

           technology  development assistance, technology transfer services,

           financial  packaging  or  leveraging  services,  human  resources

           development  services,  or such other specialized services as the

           division deems necessary if preference is given to entities based

           in or operating in Nebraska.



Existing Business Assistance Division; contracts; reports.

                81-1277.    The  Existing  Business Assistance Division

           shall require, as a condition  of  contracts  awarded  under  the

           Business  Development  Services  Program,  satisfactory quarterly

           reports from recipients  describing  services  provided,  clients

           served,  and expenditures.   The division shall provide an annual

           report to the Legislature which describes services provided under

           the Business Development Partnership Act, analyzes the impact  of

           the  services,  makes recommendations regarding the services, and

           evaluates the performance of service deliverers.



*************************************************************************

                    AGRICULTURAL PRODUCTS RESEARCH FUND



Nebraska    Agricultural   Products   Research   Fund;   created;

           investment.

                81-1278.  There is hereby created for the  use  of  the

           Department  of  Economic  Development  a fund, to be known as the

           Nebraska Agricultural Products Research Fund, to consist  of  any

           funds  appropriated  by the Legislature and any funds received by

           gift or from the federal government to be used  for  the  purpose

           provided in section 81-1279.  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.



Fund; use.

                81-1279.    The  proceeds  of the Nebraska Agricultural

           Products Research Fund and any funds received by gift or from the

           federal government to be used for the purpose  provided  in  this

           section   shall   be  expended  by  the  Department  of  Economic

           Development for research and development of new, additional,  and

           improved  uses for agricultural products and for the promotion of

           industrialization of products developed  by  the  expenditure  of

           such  funds.   The department may, within the limits of the funds

           available  to  it,  coordinate  and  expedite  activities  toward

           research  with the Institute of Agriculture and Natural Resources

           of the University of Nebraska.



Fund; patents; powers of director; royalties.

                81-1280.    The  Director  of  Economic Development may

           acquire title on behalf of the State of Nebraska  to  any  patent

           resulting  from  research  projects  conducted  with funds of the

           Nebraska Agricultural Products Research Fund.  The director, with

           the approval of the Governor, may  grant  licenses  or  otherwise

           dispose  of  a  patent as he or she deems to be most favorable to

           the State of Nebraska.   Any royalties or  other  income  derived

           from  the  licensing, sale, or use of a patent shall be paid into

           the fund to be used for the purposes of the fund.



*************************************************************************

                             HOUSING PROGRAMS



Comprehensive   housing   affordability   strategy;  established;

           contents; advisory committee; powers and duties.

                81-1281.  (1) The Department  of  Economic  Development

           shall  establish  a comprehensive housing affordability strategy.

           The strategy shall identify  needs,  consider  issues,  and  make

           recommendations    regarding   housing   affordability,   housing

           availability,  housing  accessibility,  and  housing  quality  in

           Nebraska.    The  department  shall  submit  the  strategy to the

           Governor and the Clerk of the Legislature by October 1, 1991.

                     (2) The department shall establish a  housing  advisory

           committee consisting of individuals and representatives of groups

           involved  with  housing  issues  in  Nebraska  to assist with the

           establishment of the strategy.   The department shall  work  with

           the  Governor's  Policy Research Office, the Department of Social

           Services, the Department of Public Institutions,  the  Department

           of  Health,  the  Department of Banking and Finance, the Nebraska

           Investment Finance Authority, and any  other  public  or  private

           agency involved in addressing housing needs in Nebraska.

                     (3) The strategy shall:

                     (a)  Describe  the  state's estimated housing needs for

           the ensuing five-year period and  the  need  for  assistance  for

           different  types  of  tenure  and  for  different  categories  of

           residents    such    as    very-low-income,    low-income,    and

           moderate-income  persons,  the  elderly,  single  persons,  large

           families,  residents  of   nonmetropolitan   areas,   and   other

           categories determined to be appropriate by the committee;

                     (b)  Describe  the nature and extent of homelessness in

           the state, providing an estimate of the special needs of  various

           categories  of  persons  who  are  homeless  or  threatened  with

           homelessness and a description of the strategy  for  (i)  helping

           low-income  families  avoid  homelessness,  (ii)  addressing  the

           emergency shelter and transitional housing needs of the homeless,

           including an inventory of facilities and services that meet  such

           needs  in  Nebraska,  and (iii) helping homeless persons make the

           transition to permanent housing;

                     (c) Describe significant characteristics of the housing

           market;

                     (d)  Explain  whether  the  cost  of  housing  or   the

           incentives to develop, maintain, or improve affordable housing in

           Nebraska  are affected by public policies, including tax policies

           affecting land and  other  property,  land-use  controls,  zoning

           ordinances,  building codes, fees and charges, growth limits, and

           policies that affect the return on residential investment;

                     (e)  Explain  the  institutional  structure,  including

           private    industry,    nonprofit   organizations,   and   public

           institutions through which the state will carry out the strategy,

           assessing the strengths and gaps and describing what will be done

           to overcome any gaps;

                     (f) Describe the means of coordination and  cooperation

           among  the units of state and local government in the development

           and implementation of the strategy;

                     (g) Establish standards and procedures  for  monitoring

           housing activities undertaken because of the strategy; and

                     (h)   Include  any  other  information  on  housing  in

           Nebraska  deemed  relevant  by   the   Department   of   Economic

           Development or the committee.



*************************************************************************

                          RURAL DEVELOPMENT COMMISSION



Rural Development Commission; created; administration.

                81-1282.  There is hereby created the Rural Development

           Commission.  The commission shall advocate and recommend programs

           that  foster  community  sustainability  and economic development

           initiatives in rural  areas  of  Nebraska.    For  administrative

           purposes,  the  commission  and  its executive director and staff

           shall be within the Department  of  Economic  Development.    The

           Director  of  Economic  Development,  in  consultation  with  the

           chairperson  and  vice-chairperson  of  the   commission,   shall

           supervise  the  hiring  of the executive director using the state

           personnel hiring process.  The Director of Economic  Development,

           in consultation with the chairperson and vice-chairperson and the

           executive  director,  may employ personnel necessary to carry out

           the  powers  and  duties  of  the  commission.    The  Lieutenant

           Governor,  the  Governor's Policy Research Office, the Department

           of Economic Development, the Department of Agriculture, and other

           state agencies may provide administrative and  technical  support

           under the direct supervision of the Governor.  The commission may

           secure cooperation and assistance of other appropriate government

           and private-sector entities specifically for rural programs.



Rural Development Commission; members; terms; meetings; expenses.

                81-1283.    (1)  The Rural Development Commission shall

           consist of nineteen members who represent a wide range  of  rural

           Nebraska  interests.    The  Governor  with  the  advice  of  the

           commission shall appoint the members of the  commission  and  the

           chairperson   and   vice-chairperson   of   the  commission.  The

           appointments  may  include  representation  from  nonmetropolitan

           Nebraska     residents,    business,    agriculture,    nonprofit

           organizations, federal, state, and local  government,  Nebraska's

           Indian  tribes,  and  other  groups  as  necessary to conduct the

           business of the commission.   The  Governor  shall  consider  and

           attempt  to  balance  representation  based  on  political  party

           affiliation, gender, race, age, community size, and the different

           geographical areas of Nebraska when making appointments.

                     (2) The terms  of  the  initial  members  shall  be  as

           follows:    Six  members  shall  serve  for one-year terms; seven

           members shall serve for two-year  terms,  including  the  members

           designated  as chairperson and vice-chairperson; and four members

           shall serve for three-year terms. Thereafter members shall  serve

           for  terms  of  two  years.    The  Governor shall appoint two ex

           officio, nonvoting members  from  the  Legislature  for  two-year

           terms.    Members other than the chairperson and vice-chairperson

           may not serve more than three consecutive two-year terms.

                     (3) The commission  shall  meet  at  the  call  of  the

           chairperson or a majority of the voting members.  The chairperson

           shall  call  such  meetings  as he or she determines necessary to

           fulfill the duties of the commission.  A quorum shall be one-half

           of the voting members.

                     (4) The members of the commission shall  be  reimbursed

           for  their  actual and necessary expenses as provided in sections

           81-1174 to 81-1177 and pursuant to policies of the commission.



Rural Development Commission; duties.

                81-1284.  The Rural Development Commission shall:

                     (1)  Focus  attention  on and increase awareness of the

           opportunities and needs of rural Nebraskans;

                     (2) Advocate for rural Nebraska by proposing  solutions

           to rural challenges;

                     (3)  Strengthen  community sustainability and growth in

           rural Nebraska through increased community-based wealth creation,

           expanded economic opportunity, and improved quality of life;

                     (4) Stimulate rural development innovation  and  foster

           information transfer to, from, and within rural Nebraska;

                     (5) Encourage and support continuity, coordination, and

           cooperation  among  national,  state,  multicommunity,  and local

           rural development initiatives and service providers;

                     (6) Ensure  that  rural  Nebraskans  are  afforded  the

           opportunity to determine rural Nebraska's development agenda;

                     (7)  Serve  as  an advisory body to the Governor, state

           agencies, and the Legislature on rural development issues;

                     (8) Establish an  information  clearinghouse  on  rural

           challenges  and  needs,  development services, model initiatives,

           available resources, and service providers;

                     (9)  Foster  community-based  development   initiatives

           through multicommunity partnerships;

                     (10)  Support  strategic  planning and research for and

           evaluation  of  rural   development   initiatives   and   service

           providers; and

                     (11)  Serve  as  Nebraska's  rural  development council

           within the  meaning  of  the  Presidential  Initiative  on  Rural

           America  by  providing  inventories,  reports,  assessments,  and

           implementation plans as appropriate.



Rural Development Commission; powers.

                81-1285.  The Rural Development Commission may:

                     (1)  Appoint nonvoting members, obtain advisors, create

           task forces composed of noncommission members, or engage in other

           appropriate activities necessary in completing  the  commission's

           duties;

                     (2)    Issue   reports,   recommendations,   or   other

           communications as deemed necessary  by  the  chairperson  of  the

           commission;

                     (3) Adopt operating procedures and guidelines; and

                     (4) Engage in other activities relevant and appropriate

           to its purpose, duties, and powers.

                     In  addition,  the  commission, with the concurrence of

           the Department of Economic Development, shall have the  power  to

           receive  or  apply  for and receive gifts, grants, contributions,

           and other funds from the federal  government,  private  agencies,

           affiliated  associations,  and  individuals  and to contract with

           public and private groups to conduct its business.



Rural Development Commission; report.

                81-1286.    On  or before February 15 of each year, the

           executive director of  the  Rural  Development  Commission  shall

           transmit  to  the  Governor  and  the Clerk of the Legislature an

           annual report  which  includes  a  summary  of  the  commission's

           activities,  recommendations for future rural development action,

           and an accounting of the source and use of funds disbursed during

           the previous fiscal year.



Rural Development Cash Fund; created; use; investment.

                81-1287.  There is hereby created the Rural Development

           Cash  Fund  which  shall  be  used  by the Department of Economic

           Development for the  purpose  of  sections  81-1282  to  81-1286.

           Money  deposited  in  the  fund shall include any monetary gifts,

           grants, and donations, proceeds from contracts for services,  and

           reimbursements  of expenses.  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.