§ 13-2610. Convention Center Support Fund; created; use; investment; distribution to certain areas; development fund; committee; duties; report; recipient; report; location requirements; recapture of funding; enforcement.

(1) Upon the annual certification under section 13-2609, the State Treasurer shall transfer after the audit the amount certified to the Convention Center Support Fund. The Convention Center Support Fund is created. Transfers may be made from the fund to the General Fund at the direction of the Legislature. Any money in the Convention Center Support 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)(a) It is the intent of the Legislature to appropriate from the fund to any political subdivision for which an application for state assistance under the Convention Center Facility Financing Assistance Act has been approved (i) an annual amount not to exceed seventy percent of the state sales tax revenue collected by retailers and operators doing business at such facilities on sales at such facilities, state sales tax revenue collected on primary and secondary box office sales of admissions to such facilities, and state sales tax revenue collected by associated hotels and nearby retailers and (ii) an aggregate amount of not more than the maximum aggregate appropriation. State assistance shall not be used for an operating subsidy. (b) It is further the intent of the Legislature to appropriate from the fund to any city of the metropolitan class for which an application for state assistance under the Convention Center Facility Financing Assistance Act has been approved an amount not to exceed the amount of money transferred to the fund pursuant to subdivision (9)(a) of section 13-3108. (3)(a) Ten percent of the funds appropriated to a city of the metropolitan class under subdivision (2)(a) of this section and all of the funds appropriated to a city of the metropolitan class under subdivision (2)(b) of this section shall be equally distributed to areas with a high concentration of poverty. Fifty-five percent of such funds shall be used to showcase important historical aspects of such areas or areas within close geographic proximity of the area with a high concentration of poverty and to assist with the reduction of street and gang violence in such areas. Forty-five percent of such funds shall be used to assist with small business and entrepreneurship growth in such areas. (b) Each area with a high concentration of poverty that has been distributed funds under subdivision (3)(a) of this section shall establish a development fund and form a committee which shall identify and research potential projects to be completed in the area with a high concentration of poverty or in an area within close geographic proximity of such area if the project would have a significant or demonstrable impact on such area and make final determinations on the use of the funds received for such projects. (c) A committee formed under subdivision (3)(b) of this section shall include the following members: (i) The member of the city council whose district includes a majority of the census tracts which each contain a percentage of persons below the poverty line of greater than thirty percent, as determined by the most recent American Community Survey 5-Year Estimate, within the area with a high concentration of poverty; (ii) The commissioner of the county whose district includes a majority of the census tracts which each contain a percentage of persons below the poverty line of greater than thirty percent, as determined by the most recent American Community Survey 5-Year Estimate, within the area with a high concentration of poverty; (iii) Two residents of the area with a high concentration of poverty, appointed by the two members of the committee described in subdivisions (3)(c)(i) and (ii) of this section. Such resident members shall be appointed for four-year terms. Each time a resident member is to be appointed pursuant to this subdivision, the committee shall solicit applications from interested individuals by posting notice of the open position on the city's website and on the city's official social media accounts, if any, and by publishing the notice in a legal newspaper in or of general circulation in the area with a high concentration of poverty. Applications may be submitted to either of the committee members described in subdivisions (3)(c)(i) and (ii) of this section. Prior to making any appointment, the committee shall hold a public hearing in the area with a high concentration of poverty. Notice of the hearing shall be provided, at least seven days prior to the hearing, by posting the notice on the city's website and on the city's official social media accounts, if any, and by publishing the notice in a legal newspaper in or of general circulation in the area with a high concentration of poverty; and (iv) The member of the Legislature whose district includes a majority of the census tracts which each contain a percentage of persons below the poverty line of greater than thirty percent, as determined by the most recent American Community Survey 5-Year Estimate, within the area with a high concentration of poverty. The member described in this subdivision shall be a nonvoting member of the committee. (d) A committee formed under subdivision (3)(b) of this section shall solicit project ideas from the public and shall hold a public hearing in the area with a high concentration of poverty. Notice of a proposed hearing shall be provided in accordance with the procedures for notice of a public hearing pursuant to section 18-2115.01. The committee shall research potential projects and make the final determination regarding the annual distribution of funding to such projects. (e) For any committee formed under subdivision (3)(b) of this section: (i) The two committee members described in subdivisions (3)(c)(i) and (ii) of this section shall share joint responsibility of all committee operations and meetings. Applications for funding may be submitted to either of such members; and (ii) All applications, reports, and other records of the committee shall be accessible to any member of the committee. (f) Each recipient of funding from a committee formed under subdivision (3)(b) of this section shall submit an itemized report to such committee on the use of such funds. A recipient shall not be eligible to receive funding for more than three consecutive years unless such recipient is able to justify continued funding based on the following criteria: (i) The number of people served by the project; (ii) The relevance and scale of the project; (iii) The desirability of the social or environmental outcomes of the project and how such outcomes will be achievable and measurable; (iv) The economic impact on the area with a high concentration of poverty; and (v) The recipient's sustainability plan. (g)(i) Each recipient of funding from a committee formed under subdivision (3)(b) of this section shall maintain its principal place of business or primary operations within the area with a high concentration of poverty for a period of not less than three years following the receipt of such funding. (ii) If an entity fails to maintain its principal place of business or primary operations within the area with a high concentration of poverty for the three-year period required under subdivision (3)(g)(i) of this section, the county in which the recipient is located may recapture the funding received by the recipient. (iii) The amount of funding subject to recapture shall be determined on a pro rata basis based on the portion of the three-year period during which the recipient failed to remain in compliance with subdivision (3)(g)(i) of this section. (iv) Any funding recaptured by a county pursuant to this subdivision (3)(g) shall be returned to the Convention Center Support Fund or to an applicable development fund administered by the county, as determined by the county. (v) A county may, by resolution, establish policies, procedures, and contractual conditions necessary to enforce this subdivision (3)(g), including notice requirements, repayment schedules, and documentation standards. (vi) The recapture of funding pursuant to this subdivision (3)(g) shall be in addition to and shall not preempt any other remedies available to a county under law or contract. (h) On or before July 1, 2022, and on or before July 1 of each year thereafter, a committee formed under subdivision (3)(b) of this section shall electronically submit a report to the Legislature which includes: (i) A description of the projects that were funded during the most recently completed calendar year; (ii) A description of where such projects were located; (iii) A description of the outcomes of such projects; and (iv) A ten-year strategic plan on how the committee plans to meet the goals described in subdivision (3)(a) of this section. (i) For purposes of this subsection, an area with a high concentration of poverty means an area within the corporate limits of a city of the metropolitan class consisting of one or more contiguous census tracts, as determined by the most recent American Community Survey 5-Year Estimate, which contain a percentage of persons below the poverty line of greater than thirty percent, and all census tracts contiguous to such tract or tracts. (4)(a) Ten percent of the funds appropriated to a city of the primary class under subdivision (2)(a) of this section may, if the city determines by consent of the city council that such funds are not currently needed for the purposes described in section 13-2604, be used as follows: (i) For investment in the construction of qualified low-income housing projects as defined in 26 U.S.C. 42, including qualified projects receiving Nebraska affordable housing tax credits under the Affordable Housing Tax Credit Act; or (ii) If there are no such qualified low-income housing projects as defined in 26 U.S.C. 42 being constructed or expected to be constructed within the political subdivision, for investment in areas with a high concentration of poverty to assist with low-income housing needs. (b) For purposes of this subsection, an area with a high concentration of poverty means an area within the corporate limits of a city of the primary class consisting of one or more contiguous census tracts, as determined by the most recent American Community Survey 5-Year Estimate, which contain a percentage of persons below the poverty line of greater than thirty percent, and all census tracts contiguous to such tract or tracts, as determined by the most recent American Community Survey 5-Year Estimate. (5) State assistance to the political subdivision shall no longer be available (a) upon the retirement of the bonds issued to acquire, construct, improve, repair, replace, or equip all of the political subdivision's facilities approved for state assistance under the Convention Center Facility Financing Assistance Act or any subsequent bonds that refunded the original issue or (b) when state assistance reaches the amount determined under subdivision (2)(a) of this section, whichever comes first. (6) The remaining thirty percent of state sales tax revenue collected by retailers and operators doing business at such facilities on sales at such facilities, state sales tax revenue collected on primary and secondary box office sales of admissions to such facilities, and state sales tax revenue collected by associated hotels and nearby retailers, shall be appropriated by the Legislature to the Civic and Community Center Financing Fund. Upon the annual certification required pursuant to section 13-2609 and following the transfer to the Convention Center Support Fund required pursuant to subsection (1) of this section, the State Treasurer shall transfer an amount equal to the remaining thirty percent from the Convention Center Support Fund to the Civic and Community Center Financing Fund. (7) Any municipality that has applied for and received a grant of assistance under the Civic and Community Center Financing Act may not receive state assistance under the Convention Center Facility Financing Assistance Act. History: Laws 1999, LB 382, § 10; Laws 2007, LB551, § 6; Laws 2008, LB754, § 1; Laws 2009, LB63, § 1; Laws 2010, LB975, § 1; Laws 2011, LB297, § 1; Laws 2015, LB661, § 28; Laws 2016, LB884, § 4; Laws 2018, LB874, § 1; Laws 2021, LB39, § 1; Laws 2021, LB479, § 1; Laws 2022, LB927, § 3; Laws 2023, LB727, § 21; Laws 2025, LB116, § 4; Laws 2025, LB355, § 2; Laws 2026, LB852, § 1.