1. Nebraska Water Infrastructure Funding and Financing Programs
Jesse Bradley – Assistant Director

2. Nebraska Department of Natural Resources (NeDNR)
Director appointed by the Governor
Administers a variety of funds
Agency Funds
NRC Funds
Provides administrative staff support to the Natural Resources Commission (NRC)
NRC budget is part of the NeDNR budget

3. Natural Resources Commission (NRC)
27 Members
13 elected by NRD board members residing in a particular river basin to represent that basin
14 appointed by the Governor to represent various interest groups set out in statute

4. Funds Administered by NeDNR:
NeDNR Director
Water Resources Cash Fund
Critical Infrastructure Facilities Cash Fund
Funds obligated by NRC:
Small Watershed Flood Control
Resources Development
Water Sustainability
Natural Resources Water Quality
Nebraska Soil and Water Conservation

5. Water Resources Cash Fund
Administering Agency: NeDNR Fund Purpose: Reduce consumptive use, enhance streamflow, increase groundwater recharge Funding Type: Cost-share grant (60% state/40% NRD) Revenue Source: General fund and Nebraska Environmental Trust (NET) lottery proceeds ($3.3M general fund/$3.3M NET) Example(s): Canal rehabilitation, groundwater recharge diversions, water right buyouts

6. Critical Infrastructure Facilities Cash Fund
Fund Oversight: NeDNR
Fund Purpose: Offset NRD costs related to soil and water improvements that protect and enhance critical infrastructure including military installations, transportation routes and water treatment facilities
Funding Type: Grant (no cost share)
Revenue Source: State general fund. One-time funding of $13.7 M
Project Example(s): Levee construction and rehabilitation

7. Small Watersheds Flood Control Fund
Fund Oversight: NRC
Fund Purpose: To purchase land rights related to the construction of PL-566 watershed structures
Funding Type: Revolving Fund (proceeds of any land sales return to this fund)
Revenue Source: State General Fund. All funding was removed in Prior to that it maintained a minimum balance of $1 million.
Project Example(s): Over 1,000 small watershed flood reduction structures have been built.

8. Resources Development Fund
Fund Oversight: NRC
Fund Purpose: Flood reduction, aquifer recharge, wildlife and water-related infrastructure improvements
Funding Type: Grant or loan (Cost share required, % varies by project)
Revenue Source: State general fund. No longer funded. Received $3.14 M annually.
Project Example(s): Environmental restoration, flood reduction, public access to water, aquifer recharge, and soil and erosion reduction

9. Water Sustainability Fund
Fund Oversight: NRC
Fund Purpose: Variety of purposes set out in statute relating to water
Funding Type: Grants or loans (Cost share required, 60% state/40% sponsor)
Revenue Source: State general fund. Receives $11 M annually.
Project Example: Groundwater aquifer mapping, recharge, management, modeling, supply and quality enhancements, surface water delivery efficiency improvements, irrigation water use efficiency improvements and buyouts, municipal uses, water quality improvement projects

10. Natural Resources Water Quality Fund
Fund Oversight: NRC
Fund Purpose: Provide state funds to NRDs for water quality programs
Funding Type: Distributions twice a year to NRDs
Revenue Source: Cash fund comprised of receipts of portions of certain fees levied by the Nebraska Department of Agriculture for pesticide registration and applicator licenses. Currently $1 M.
Project Example(s): Education and information programs, administration of groundwater management areas

11. Nebraska Soil and Water Conservation Fund
Fund Oversight: NRC
Fund Purpose: Provide financial assistance to private landowners for installation of soil and water conservation practices
Funding Type: Reimbursement to private landowners of up to 75% cost share
Revenue Source: State General Fund, currently $1.7 M
Project Example(s): Terraces, windbreaks, irrigation water management

12. Natural Resources Districts
Locally elected boards
Authorities include:
erosion prevention & control
flood prevention & control
soil conservation
water supply for any beneficial uses
development, management, utilization, & conservation of groundwater & surface water
pollution control
solid waste disposal & drainage
drainage improvement & channel rectification
development & management of fish & wildlife habitat
development & management of recreational & park facilities
forestry and range management

13. NRD Funding: Property tax levies General levy Groundwater levy
Bonding (specific to PMRNRD for flood control)
Occupation Tax

14. NRD Boards
Administering Agency: NRD Board Fund Purpose: Support for implementing various authorities/ Groundwater management
Funding Type: Property tax levies (up to 4.5 cents per $100 of valuation and 1 cent per $100 of valuation). Average for FY (2.23 cents and 0.61 cents) for a total of $~75M system wide.
* Total NRD disbursements were ~$234 M
Revenue Source: Property taxes within the district
Example(s): Support water management, soil conservation, forestry and range management, flood protection, and rural water operations

15. NRD Boards Administering Agency: NRD Board Fund Purpose:
Acquisition of surface water or ground water rights, acquisition of canals and other works, including reservoirs, vegetation management, including, and augmentation of river flows. Bonding authority for flood protection and water quality enhancement (PMRNRD)
Funding Type: Occupation tax (up to $10 per irrigated acre) and bonding authority 67 cents per $100 valuation)
Revenue Source: Taxes on irrigation users ($12.2 M) and on residents of the PMRNRD ($4.5 M)
Example(s): N-CORPE and Rock Creek augmentation projects and flood control structures in the PMRNRD

16. Nebraska Environmental Trust
Administering Agency: Nebraska Environmental Trust Board (Governor Appointed)
Fund Purpose: Conserve, enhance, and restore natural environments in Nebraska
Funding Type: Competitive grants (no cost-share required but bonus provided)
Revenue Source: Lottery proceeds (~$20 M annually)
Example(s): Habitat creation (wetland restoration), hydrologic studies and research, recycling, environmental easements, EPA 319 program projects.
NeDNR ($3.3 M annually)

17. NDEQ - Responsibilities for
Water Quality
Land Quality
Air Quality
Budget – Source of Funds:
44.2% Federal Grants
50.3% Fees/Cash
5.5% State Tax Dollars
Spent on:
48.3% Aid
51.7% Operations

18. INFRASTRUCTURE Finance
CW State Revolving Fund
DW State Revolving Fund

19. Repaid SRF Loan money becomes “state” money
Wastewater and Drinking Water Construction Loans Subsidies:
Loan Forgiveness
Small Town Grant
Planning Grant

20. Watershed Improvement – Federal Clean Water Act Section 319 (nonpoint source) grants used with State funds detailed earlier as match – 60% federal, 40% non-federal
Nebraska Soil and Water
Conservation Funds
Nebraska Environmental Trust
Nebraska Sustainability Funds
Local Natural Resources
Districts (NRDs) funds

21. 301 Centennial Mall South, 4th Floor
PO Box 94676
Lincoln, NE