Neb. Rev. Stat. » Chapter 70
Nebraska Revised Statutes

Neb. Rev. Stat. § 70-1010 (2026)

Modification of service areas; application; procedure; suppliers agreements; exception; transfer of customers and facilities; price; how computed; impairment of obligations prohibited

✓ current as of July 2026
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(1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established. The same procedures as to notice, hearing, and decision shall be followed as in the case of an original application. Suppliers shall have authority by agreement to change service areas or customers to be served with the approval of the board. This section shall not apply to agreements referred to in subsection (2) of section 70-1002.

(2) In the event of a proposed transfer of customers and facilities from one supplier to another in accordance with this section or section 70-1008 or 70-1009, the parties shall attempt to agree upon the value of the certified service area and distribution facilities and customers being transferred. If the parties cannot agree upon the value, then the board shall determine the total economic impact on the selling supplier and establish the price accordingly based on, but not limited to, the following guidelines: The supplier acquiring the certified service area, distribution facilities, and customers shall purchase the electric distribution facilities of the supplier located within the affected area, together with the supplier's rights to serve within such area, for cash consideration which shall consist of (a) the current reproduction cost if the facilities being acquired were new, less depreciation computed on a straight-line basis at three percent per year not to exceed seventy percent, plus (b) an amount equal to the nonbetterment cost of constructing any facilities necessary to reintegrate the system of the supplier outside the area being transferred after detaching the portion to be sold, plus (c) an amount equal to two and one-half times the annual revenue received from power sales to existing customers of electric power within the area being transferred, except that for large commercial or industrial customers with peak demands of three hundred kilowatts or greater during the twelve months immediately preceding the date of filing with the board, the multiple shall be five times the net revenue, defined as gross power sales, less costs of wholesale power including facilities rental charges, received from power sales to large commercial or industrial customers with measured demand of three hundred kilowatts or greater during the twelve months immediately preceding the filing with the board for service area modification. After the board has determined the price in accordance with such guidelines, the acquiring supplier may acquire such distribution facilities and customers by payment of the established price within one year of the final order.

(3) Notwithstanding the provisions of sections 70-1008 to 70-1010, no transfer of facilities and customers shall be made or approved by the board if such transfer would impair the obligations of a power supplier to holders of its bonds or mortgages.

Notes of Decisions
Cited in 7 cases, 1967–2018 · leading case: City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993).
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City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993). · cites it 25× “The Dawson County Public Power District (Dawson) appeals from an order of the Nebraska Power Review Board (Board) which determined the total economic impact of transferring an electrical service area from Dawson to the City of Lexington (Lexington) under the provisions of Neb.…”
Dawson Cnty. Pub. Power Dist. v. City of North Platte, 599 N.W.2d 218 (Neb. 1999). · cites it 18× “The PRB determined that North Platte did not have to compensate the power district under Neb. Rev. Stat. § 70-1010 (Reissue 1996) for revenue that might have been generated by a potential electric customer in the power district’s service area who had not yet begun purchasing…”
In re Application of City of Neligh, 299 Neb. 517 (Neb. 2018). · cites it 27× “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or - 519 - Nebraska Supreme Court A dvance Sheets 299 Nebraska R eports IN RE APPLICATION OF CITY OF NELIGH Cite as…”
City of Lincoln v. Norris Pub. Power Dist., 500 N.W.2d 183 (Neb. 1993). · cites it 4× “Section 70-1010(1) specifies, in relevant part: The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
City of Neligh v. Elkhorn Rural Pub. Power Dist. (In Re City of Neligh), 299 Neb. 517 (Neb. 2018). · cites it 27× “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
City of Grand Island v. S. Nebraska Rural Pub. Power Dist., 527 N.W.2d 864 (Neb. 1995). · cites it 8× “Southern argues that even though it had no facilities or customers located within the portion of property annexed by the City, under Neb. Rev. Stat. § 70-1010 (2) (Reissue 1990), it is *449 entitled to compensation for the taking of its loss of right to serve within such area.”
City of Schuyler v. Cornhusker Pub. Power Dist., 150 N.W.2d 588 (Neb. 1967). · cites it 2× “A service area is subject to modification at any time by the procedure prescribed in section 70-1010, R. R. S. 1943. Modification may be accomplished by agreement, with the approval of the board, or upon the application of a supplier after notice and hearing.”
— Neb. Rev. Stat. § 70-1010(1) — 1 case
City of Lincoln v. Norris Pub. Power Dist., 500 N.W.2d 183 (Neb. 1993). “Section 70-1010(1) specifies, in relevant part: The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
— Neb. Rev. Stat. § 70-1010(2) — 5 cases
City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993). “The Dawson County Public Power District (Dawson) appeals from an order of the Nebraska Power Review Board (Board) which determined the total economic impact of transferring an electrical service area from Dawson to the City of Lexington (Lexington) under the provisions of Neb.…”
City of Grand Island v. S. Nebraska Rural Pub. Power Dist., 527 N.W.2d 864 (Neb. 1995). “Southern argues that even though it had no facilities or customers located within the portion of property annexed by the City, under Neb. Rev. Stat. § 70-1010 (2) (Reissue 1990), it is *449 entitled to compensation for the taking of its loss of right to serve within such area.”
In re Application of City of Neligh, 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or - 519 - Nebraska Supreme Court A dvance Sheets 299 Nebraska R eports IN RE APPLICATION OF CITY OF NELIGH Cite as…”
City of Neligh v. Elkhorn Rural Pub. Power Dist. (In Re City of Neligh), 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
Dawson Cnty. Pub. Power Dist. v. City of North Platte, 599 N.W.2d 218 (Neb. 1999). “The PRB determined that North Platte did not have to compensate the power district under Neb. Rev. Stat. § 70-1010 (Reissue 1996) for revenue that might have been generated by a potential electric customer in the power district’s service area who had not yet begun purchasing…”
— Neb. Rev. Stat. § 70-1010(2)(a) — 3 cases
City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993). “The Dawson County Public Power District (Dawson) appeals from an order of the Nebraska Power Review Board (Board) which determined the total economic impact of transferring an electrical service area from Dawson to the City of Lexington (Lexington) under the provisions of Neb.…”
In re Application of City of Neligh, 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or - 519 - Nebraska Supreme Court A dvance Sheets 299 Nebraska R eports IN RE APPLICATION OF CITY OF NELIGH Cite as…”
City of Neligh v. Elkhorn Rural Pub. Power Dist. (In Re City of Neligh), 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
— Neb. Rev. Stat. § 70-1010(2)(b) — 2 cases
In re Application of City of Neligh, 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or - 519 - Nebraska Supreme Court A dvance Sheets 299 Nebraska R eports IN RE APPLICATION OF CITY OF NELIGH Cite as…”
City of Neligh v. Elkhorn Rural Pub. Power Dist. (In Re City of Neligh), 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
— Neb. Rev. Stat. § 70-1010(2)(c) — 4 cases
City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993). “The Dawson County Public Power District (Dawson) appeals from an order of the Nebraska Power Review Board (Board) which determined the total economic impact of transferring an electrical service area from Dawson to the City of Lexington (Lexington) under the provisions of Neb.…”
Dawson Cnty. Pub. Power Dist. v. City of North Platte, 599 N.W.2d 218 (Neb. 1999). “The PRB determined that North Platte did not have to compensate the power district under Neb. Rev. Stat. § 70-1010 (Reissue 1996) for revenue that might have been generated by a potential electric customer in the power district’s service area who had not yet begun purchasing…”
In re Application of City of Neligh, 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or - 519 - Nebraska Supreme Court A dvance Sheets 299 Nebraska R eports IN RE APPLICATION OF CITY OF NELIGH Cite as…”
City of Neligh v. Elkhorn Rural Pub. Power Dist. (In Re City of Neligh), 299 Neb. 517 (Neb. 2018). “Neb. Rev. Stat. § 70-1010 (Reissue 2009) further provides: (1) The board shall have authority upon application by a supplier at any time to modify service areas or customers to be served as previously established.”
— Neb. Rev. Stat. § 70-1010(a) — 1 case
City of Lexington v. Dawson Cnty. Pub. Power Dist., 504 N.W.2d 532 (Neb. 1993). “The Dawson County Public Power District (Dawson) appeals from an order of the Nebraska Power Review Board (Board) which determined the total economic impact of transferring an electrical service area from Dawson to the City of Lexington (Lexington) under the provisions of Neb.…”
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