Bill Changing County Zoning Process Passes

By Gordon Hopkins This week the Nebraska Legislature passed a bill that changes how counties review and approve Conditional Use Permits and Special Exception in counties with zoning regulations. LB (Legislative Bill) 663 was signed into law by Governor Jim Pillen on Tuesday, February 24, 2026, at the Nebraska Dairy Convention and Trade Show in West Point.“This is a huge win for our dairy industry and all livestock development in Nebraska,” said Gov. Pillen. “We are becoming a national leader in dairy growth. If we want to capture more of that economic impact here at home – creating careers, supporting farm families, and strengthening our rural communities -- we must make it easier for producers to expand and invest.” LB 663 creates new requirements for county boards and commissions when considering such permits by: Mandating education hours for certain county officials. Requiring that conditional use permits or special exemptions be considered only on county zoning regulations. Establishing timelines for county commissions to act on permit applications. Upon receiving an application, the planning commission has 30 days to assess its completeness. Once an application is deemed complete, the planning commission must either approve, deny, or forward a recommendation to the county board within 90 days. The county board then has 30 days from receiving the commission's recommendation to review the application.The timelines are strictly enforced with a default approval. If no action is taken within the timeframe, the application is automatically approved.An amendment was added to the final bill to provide county officials with a way to manage application issues. Should information come to light during the 90-day consideration period, which might materially affect the application, officials can require that a new application be submitted. That restarts the clock on the 90-day window that officials have to approve or deny it.LB663 also restricts county boards from requiring additional permits from federal, state, or local agencies as a condition for approving a permit and mandates that granting a conditional use permit must be based solely on existing county zoning regulations. Jefferson County Commissioners, who were already working on updates to zoning regulations, will now have to take the new law into account. At a meeting Tuesday morning, the same day Governor Pillen signed the bill, Commissioner Danielle Schwab said, “Because (LB) 663, went through, I suggest we look at our CUPs (Conditional Use Permits), you know, make sure they're strong on the front end, because we don't have as much time now.”Terry Blas of the Jefferson County Highway Department recommended revising the road-haul agreements, which is an agreement with a developer to ensure roads used during any construction of any facility are returned to the same condition or better by the developer. Commissioners were frustrated at the time it took NextEra Energy, which owns and operates the Steele Flats Wind Farm in Jefferson and Gage Counties and many other wind and solar energy facilities, to repair the roads after the Steele Flats repowering project.Blas said, “We need to look at our road-haul agreements. If we're going to start doing solar and stuff, I think we need to get into them and change them on the time that they fix them (roads). I agree as they're going, instead of waiting till the end and they're done.” SupportersThe bill was introduced by Senator and Cherry County rancher Tanya Storer. After passage, she issued a statement, “This bill brings important reforms to zoning laws that increase clarity, consistency, and accountability in county zoning procedures across Nebraska. The bill requires education for members of county boards and planning commissions in counties with zoning, ensuring officials understand their statutory duties and the proper application of zoning laws. By strengthening knowledge and accountability, LB 663 promotes fair, consistent, and legally sound decision-making at the local level.”Storer added, “LB 663 also clarifies that conditional use permits and special exceptions must be evaluated under county zoning regulations. It establishes clear timelines for both planning commissions and county boards to act, reducing uncertainty and unnecessary delays for applicants. These changes reinforce due process, respect local authority, and provide predictability for landowners and businesses navigating local land-use processes.”The Nebraska Farm Bureau has been a firm supporter of the bill.“Nebraska’s farm and ranch families are committed to this state and to building a strong future for the next generation,” said Bureau President Mark McHargue at the signing. “LB 663 brings much-needed clarity, consistency, and accountability to a zoning process that directly impacts farmers, ranchers, and rural communities. When producers are making major long-term investments, they need clear expectations and reasonable timelines.”Speaking on behalf of Nebraska pork producers, President Walt Traudt said, “This legislation creates a more transparent and predictable livestock siting process, including reasonable timelines for permitting decisions. That certainly allows producers to plan for the future, invest with confidence, and continue supporting responsible growth and economic opportunity in rural communities across Nebraska.” Not Just Ag Producers Supported the BillWhile the focus at the signing was on livestock operations and other agricultural uses in counties with zoning regulations, the bill covers other Conditional Use Permits as well, such as those for energy projects.BairdHolm, LLP, the law firm that represents NextEra Energy, reviews and analyzes proposed legislation that could impact energy projects and supported the bill.David Levy, an attorney for BairdHolm, recently wrote about how the bill would change how zoning boards approve or deny permits, “First, planning commissions and county boards would need to ‘presume’ a conditional use permit applicant ‘will comply with all local, state and federal requirements.’ To overcome that presumption, ‘the party challenging’ the conditional use permit would need to provide factual evidence ‘contrary to the application.’”“Absent ‘factual evidence’ the application does not comply with the zoning regulations, the county ‘board shall approve the application.’ This means counties would need to approve conditional use permit applications that comply with the zoning regulations,” Levy wrote. “LB 663 modifies the burden of proof in a conditional use permit appeal. Under the bill, ‘the appealing party shall have the burden of proving by clear and convincing evidence that such decision (i) was arbitrary, capricious or illegal or (ii) did not adhere to the county’s zoning regulations.’ This change increases the standard from preponderance of the evidence to ‘clear and convincing evidence.’” OppositionThe concerns that some county officials have is that it takes control away from the counties. One vocal opponent of the bill was Gage County Supervisor Emily Haxby, who responded to the Nebraska Farm Bureau’s support on social media by posting, “When you say that LB663 makes the livestock siting process clearer, fairer, and more consistent, that characterization overlooks how zoning and public hearings function in practice. Livestock siting decisions are complex by nature, and no set of regulations can realistically account for every possible scenario. That is precisely why public hearings exist which is to allow for fact-based discussion, local input, and the application of regulations with judgment rather than rigid automation.”“The claim that decisions will be based on ‘facts and existing regulations’ also misses the reality that regulations are intended to be guidelines, not exhaustive checklists. When discretion and public dialogue are constrained by artificial deadlines, the likely outcome is not efficiency, but counties adopting more restrictive, overly prescriptive regulations to protect themselves from automatic approvals. That result undermines flexibility, innovation, and fairness…particularly for producers,” wrote Haxby. “Although the bill states that local control remains intact, meaningful local control requires time for deliberation and public participation. Maintaining open meetings and hearings on paper does not preserve local decision-making if the process is effectively rushed by statutory deadlines that do not align with how county zoning actually works.”Despite the concerns raised, the bill passed final reading, 43-5-1, and will take effect three months after the Legislature adjourns, meaning July of 2026.

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