Natural Resources Committee
February 5, 2025
Committee Chair: Sen. Brandt | Bills Heard: 3 | Full Transcript (PDF)
LB489: Clarify transmission line regulation authority of Nebraska Power Review Board
Introduced by: Sen. Brandt | Testimony: 1 proponents, 2 opponents, 2 neutral | Read bill text (PDF)
Sen. Brandt seeks to close a loophole allowing out-of-state utilities to build transmission lines in Nebraska without state oversight. LB489 would give the Nebraska Power Review Board jurisdiction over all transmission lines above a certain voltage threshold, regardless of whether they serve Nebraska customers. The bill targets a 2024 situation where Black Hills Energy began constructing a 7-mile transmission line in the Nebraska Panhandle without PRB approval because it only serves Wyoming customers.
Why it matters: Nebraska's public power system depends on coordinated transmission planning. Without this fix, private companies could build major infrastructure across the state with minimal state review, potentially creating conflicts with FERC authority and duplicating existing lines.
What they're saying: - Proponents: "This loophole was found to exist as long as the line ends in another state and does not supply power to Nebraska customers," said Robin Spady of OPPD. The fix "will strengthen the integrity of Nebraska's public power transmission system." - Opponents: Nick Wagner of Black Hills Energy warned the bill is "overly broad" and raises "significant legal/jurisdictional concerns" with federal authority. David Levy, representing renewable developers, flagged an unintended consequence: the bill would prohibit private companies from building generation tie lines connecting wind and solar farms to the grid—a standard practice that benefits the public system.
By the numbers: 1 proponent, 2 opponents, 2 neutral testifiers; 4 online proponent comments, 1 opponent, 1 neutral.
What's next: No vote taken. Sen. Brandt said the committee will work with all parties on amendments addressing the voltage threshold, grandfather clause language, and generation tie line exemptions before bringing a revised version back to committee.
Committee sentiment: Supportive: Sen. Hughes, Sen. Raybould Unclear: Sen. Clouse
Sentiment estimated from questions and comments — not stated positions.
LB593: Update gasoline specifications to align with ASTM D4814 standards
Introduced by: Sen. Moser | Testimony: 1 proponents, 0 opponents, 1 neutral | Read bill text (PDF)
Sen. Moser's bill updates Nebraska's gasoline standards to match federal specifications modernized for the first time in decades. LB593 adopts the latest ASTM D4814 standard for automotive fuel, replacing volatility and temperature requirements based on 1950s-1970s data with current benchmarks from 1996-2015. Most states automatically adopt such updates, but Nebraska must legislate the change.
Why it matters: Outdated fuel specifications can force refineries into costly compliance measures. The update allows more efficient operations and slightly higher fuel volumes without affecting how vehicles perform—a technical fix that keeps Nebraska competitive with neighboring states already moving forward.
What they're saying: - Proponents: "These changes are based on temperature data from across the country from 1996 to 2015," said Mike Karbo of the American Petroleum Institute. The update is "technical in nature" and will "allow more efficient refinery operations" without consumer impact. South Dakota completed its rulemaking in November; Iowa finalizes on February 12.
By the numbers: 1 proponent, 0 opponents, 1 neutral online comment.
What's next: No vote taken. Sen. Moser waived closing remarks. The bill appears to have broad support as a technical alignment with national standards.
Committee sentiment: Supportive: Sen. Brandt Unclear: Sen. Clouse
Sentiment estimated from questions and comments — not stated positions.
LB413: Allow public power districts to differentiate rates based on objective criteria for large loads
Introduced by: Sen. Clouse | Testimony: 1 proponents, 0 opponents, 1 neutral | Read bill text (PDF)
Sen. Clouse seeks to give public power districts more flexibility in setting rates for massive new industrial loads that don't fit existing schedules. LB413 would allow utilities to differentiate rates based on objective criteria—load size, load factor, firm vs. non-firm service, technology risk, and service commitment length—while maintaining the requirement that rates remain fair, reasonable, and nondiscriminatory. The bill targets a real problem: data centers, biofuels plants, and crypto operations are arriving with unprecedented power demands that don't match traditional rate classes.
Why it matters: Nebraska's public power system has served the state well with standardized rates, but unprecedented load growth is forcing utilities to choose between squeezing new customers into ill-fitting rate classes or leaving money on the table. Without flexibility, utilities risk cost-shifting to existing ratepayers or losing economic development opportunities.
What they're saying: - Proponents: "We have 49 different rates today," said John McClure of NPPD. "The purpose of this list was to add a little more framework in the statutes to make it clear" that differentiation based on objective criteria is permissible. Rates remain "fair, reasonable and nondiscriminatory" and are set through transparent public processes. - Skeptics: Sen. Hughes asked bluntly: "Do we need this?" NPPD already has 49 rates and can justify new ones under existing law. Renewable Fuels Nebraska and the Ag Leaders Working Group urged clear statutory definitions of terms like "objective criteria" to prevent an uneven playing field.
By the numbers: 1 proponent (NPPD), 0 opponents, 1 neutral testifier; 0 proponent online comments, 2 opponents, 0 neutral.
What's next: No vote taken. Sen. Clouse said more work is coming to clarify the criteria and address concerns about fairness and transparency. The bill faces questions about whether it's necessary and whether definitions should be added to statute.
Committee sentiment: Supportive: Sen. Conrad, Sen. Moser, Sen. DeKay Skeptical: Sen. Brandt, Sen. Raybould, Sen. Hughes
Sentiment estimated from questions and comments — not stated positions.
Session Notes
Committee Chair Sen. Brandt opened the hearing with procedural instructions regarding testifier sheets, the five-minute light system, and written position comment deadlines (8 a.m. day of hearing via nebraskalegislature.gov). Sen. Juarez was absent. Legal counsel Cyndi Lamm and committee clerk Sally Schultz assisted. Pages were Emma Jones (UNL junior) and Kathryn (UNL junior, environmental studies major). The committee heard three bills: LB489 (transmission line regulation), LB593 (gasoline specifications), and LB413 (rate differentiation for large loads). No votes were taken on any bills. Sen. Brandt requested the committee remain after the hearing for a brief meeting.
Generated by NE Wire Service | Source: Nebraska Legislature Transcribers Office This is an AI-generated summary. Verify all claims against the official transcript.