Constitution of Nebraska — Article XI

article-xiNebraska Const. Article XIConstitution

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XI-1 Subscription to stock prohibited; exception.

Reissue Revised Statutes of Nebraska

XI-1

Subscription to stock prohibited; exception.

No city, county, town, precinct, municipality, or other subdivision of the state shall ever become a subscriber to the capital stock, or owner of such stock, or any portion or interest therein of any railroad, or private corporation, or association, except that, notwithstanding any other provision of this Constitution, the Legislature may authorize the investment of public endowment funds by any city which is authorized by this Constitution to establish a charter, in the manner required of a prudent investor who shall act with care, skill, and diligence under the prevailing circumstance and in such investments as the governing body of such city, acting in a fiduciary capacity for the exclusive purpose of protecting and benefiting such investment, may determine, subject to such limitations as the Legislature may by statute provide.

Neb. Const. art. XI, sec. 1 (1875);

Transferred in 1907, art. XIa, sec. 1;

Transferred by Constitutional Convention, 1919-1920, art. XI, sec. 1;

Amended 2008, Laws 2007, LR6CA, sec. 1.

This Article and section of the Nebraska Constitution prohibits the deposit of funds by subdivisions of the State of Nebraska in mutual savings and loan associations, whether federal or state chartered, except those funds authorized under Article XV, section 17(2), of the Constitution of Nebraska. Nebraska League of S. & L. Assns. v. Mathes, 201 Neb. 122, 266 N.W.2d 720 (1978).

XI-2 City of 5,000 may frame charter; procedure.

Reissue Revised Statutes of Nebraska

XI-2

City of 5,000 may frame charter; procedure.

Any city having a population of more than five thousand (5000) inhabitants may frame a charter for its own government, consistent with and subject to the constitution and laws of this state, by causing a convention of fifteen freeholders, who shall have been for at least five years qualified electors thereof, to be elected by the qualified voters of said city at any general or special election, whose duty it shall be within four months after such election, to prepare and propose a charter for such city, which charter, when completed, with a prefatory synopsis, shall be signed by the officers and members of the convention, or a majority thereof, and delivered to the clerk of said city, who shall publish the same in full, with his official certification, in the official paper of said city, if there be one, and if there be no official paper, then in at least one newspaper published and in general circulation in said city, three times, and a week apart, and within not less than thirty days after such publication it shall be submitted to the qualified electors of said city at a general or special election, and if a majority of such qualified voters, voting thereon, shall ratify the same, it shall at the end of sixty days thereafter, become the charter of said city, and supersede any existing charter and all amendments thereof. A duplicate certificate shall be made, setting forth the charter proposed and its ratification (together with the vote for and against) and duly certified by the City Clerk, and authenticated by the corporate seal of said city and one copy thereof shall be filed with the Secretary of State and the other deposited among the archives of the city, and shall thereupon become and be the charter of said city, and all amendments of such charter, shall be authenticated in the same manner, and filed with the secretary of state and deposited in the archives of the city.

Neb. Const. (1912);

Adopted 1912, Laws 1911, c. 227, sec. 2, p. 681;

Transferred in 1913, art. XIa, sec. 2;

Transferred by Constitutional Convention, 1919-1920, art. XI, sec. 2.

1. State concern

2. Local concern

3. Miscellaneous

1. State concern

Highway control, which includes traffic control of city streets, is a preeminently state affair that affects the whole state. State v. Albarenga, 313 Neb. 72, 892 N.W.2d 799 (2022).

Where a municipality has constitutionally conferred powers to form a charter and enact ordinances, the state law is the superior law only as to matters of statewide concern. State v. Albarenga, 313 Neb. 72, 892 N.W.2d 799 (2022).

A home rule charter must be consistent with and subject to the Constitution and laws of the state. Retired City Gov. Emp. Club of Omaha v. City of Omaha Emp. Ret. Sys., 199 Neb. 507, 260 N.W.2d 472 (1977); City of Millard v. City of Omaha, 185 Neb. 617, 177 N.W.2d 576 (1970); State ex rel. City of Grand Island v. Johnson, 175 Neb. 498, 122 N.W.2d 240 (1963); Axberg v. City of Lincoln, 141 Neb. 55, 2 N.W.2d 613 (1942).

The subject of vacation of streets is a matter of statewide concern, and statute controls over city charter. Dell v. City of Lincoln, 170 Neb. 176, 102 N.W.2d 62 (1960).

Home rule charter cities have authority to exercise all powers of local self-government. Mollner v. City of Omaha, 169 Neb. 44, 98 N.W.2d 33 (1959).

Where Legislature has delegated power of eminent domain to municipal corporation, home rule charter provisions must yield thereto. State ex rel. Nelson v. Butler, 145 Neb. 638, 17 N.W.2d 683 (1945).

General law of statewide concern takes precedence over conflicting provision of city home rule charter. Nagle v. City of Grand Island, 144 Neb. 67, 12 N.W.2d 540 (1943).

Statute authorizing municipal university was not violative of constitutional provision permitting cities to adopt home rule charter, as matter is of state concern, and city in accepting privilege acts as political subdivision of state. Carlberg v. Metcalfe, 120 Neb. 481, 234 N.W. 87 (1930).

Resolution of council for employment of technical advisors to prepare zoning ordinance was not subject to referendum provisions of city charter. Schroeder v. Zehrung, 108 Neb. 573, 188 N.W. 237 (1922).

2. Local concern

Home rule charter must be consistent with and subject to Constitution and laws of state. Michelson v. City of Grand Island, 154 Neb. 654, 48 N.W.2d 769 (1951).

Purpose of home rule charter provisions of Constitution is to render cities as nearly independent as possible of state legislation, subject to the general public policy of the state. State ex rel. Fischer v. City of Lincoln, 137 Neb. 97, 288 N.W. 499 (1939).

A city may put into its home rule charter any provisions for its government that it deems proper so long as they do not run contrary to the Constitution or to any general statute. Eppley Hotels Co. v. City of Lincoln, 133 Neb. 550, 276 N.W. 196 (1937).

Provisions of charter adopted by city govern as to matters of local concern, including street improvement, over legislative charter existing prior thereto. Salsbury v. City of Lincoln, 117 Neb. 465, 220 N.W. 827 (1928).

As to matters of local concern, cities are independent of state legislation and general laws yield to charter. Sandell v. City of Omaha, 115 Neb. 861, 215 N.W. 135 (1927).

Amendment to charter, and ordinance thereunder, authorizing city to sell oil and gasoline, was proper function of local government. Mutual Oil Co. v. Zehrung, 11 F.2d 887 (D. Neb. 1925).

3. Miscellaneous

Constitution recognizes that villages and cities are separate and distinct. Hueftle v. Eustis Cemetery Assn., 171 Neb. 293, 106 N.W.2d 400 (1960).

Home rule charter city, upon annexation of adjoining city, continued in force rights, obligations and duties of city annexed. Enyeart v. City of Lincoln, 136 Neb. 146, 285 N.W. 314 (1939).

City ordinance regulating sale of intoxicating liquors, passed by home rule charter city, was not inconsistent with state law. Bodkin v. State, 132 Neb. 535, 272 N.W. 547 (1937).

Charter provision for sale by city of gasoline and oil was valid. Standard Oil Co. v. City of Lincoln, 114 Neb. 243, 207 N.W. 172 (1926).

Charter provision authorizing city to construct, acquire and operate gas and electric plants, and other utilities, did not, by implication, authorize operation of municipal fuel yard. Consumers Coal Co. v. City of Lincoln, 109 Neb. 51, 189 N.W. 643 (1922).

XI-3 Rejection of charter; effect; procedure to frame new charter.

Reissue Revised Statutes of Nebraska

XI-3

Rejection of charter; effect; procedure to frame new charter.

But if said charter be rejected, then within six months thereafter, the mayor and council or governing authorities of said city may call a special election at which fifteen members of a new charter convention shall be elected to be called and held as above in such city, and they shall proceed as above to frame a charter which shall in like manner and to the like end be published and submitted to a vote of said voters for their approval or rejection. If again rejected, the procedure herein designated may be repeated until a charter is finally approved by a majority of those voting thereon, and certified (together with the vote for and against) to the secretary of state as aforesaid, and a copy thereof deposited in the archives of the city, whereupon it shall become the charter of said city. Members of each of said charter conventions shall be elected at large, and they shall complete their labors within sixty days after their respective election. The charter shall make proper provision for continuing, amending or repealing the ordinances of the city.

Neb. Const. (1912);

Adopted 1912, Laws 1911, c. 227, sec. 3, p. 682;

Transferred in 1913, art. XIa, sec. 3;

Transferred by Constitutional Convention, 1919-1920, art. XI, sec. 3.

Amendment to charter, and ordinance thereunder, authorizing sale of oil and gasoline by city, was not in violation of this article. Mutual Oil Co. v. Zehrung, 11 F.2d 887 (D. Neb. 1925).

XI-4 Charter; amendment; charter convention.

Reissue Revised Statutes of Nebraska

XI-4

Charter; amendment; charter convention.

Such charter so ratified and adopted may be amended, or a charter convention called, by a proposal therefor made by the law-making body of such city or by the qualified electors in number not less than five per cent of the next preceding gubernatorial vote in such city, by petition filed with the council or governing authorities. The council or governing authorities shall submit the same to a vote of the qualified electors at the next general or special election not held within thirty days after such petition is filed. In submitting any such charter or charter amendments, any alternative article or section may be presented for the choice of the voters and may be voted on separately without prejudice to others. Whenever the question of a charter convention is carried by a majority of those voting thereon, a charter convention shall be called through a special election ordinance, and the same shall be constituted and held and the proposed charter submitted to a vote of the qualified electors, approved or rejected, as provided in Section two hereof. The City Clerk of said city shall publish with his official certification, for three times, a week apart in the official paper in said city, if there be one, and if there be no official paper, then in at least one newspaper, published and in general circulation in said city, the full text of any charter or charter amendment to be voted on at any general or special election.

No charter or charter amendment adopted under the provisions of this amendment shall be amended or repealed except by electoral vote. And no such charter or charter amendment shall diminish the tax rate for state purposes fixed by act of the Legislature, or interfere in any wise with the collection of state taxes.

Neb. Const. (1912);

Adopted 1912, Laws 1911, c. 227, sec. 4, p. 682;

Transferred in 1913, art. XIa, sec. 4;

Transferred by Constitutional Convention, 1919-1920, art. XI, sec. 4.

Provision prohibiting amendment or repeal of home rule charter except by electoral vote intended as restriction on powers of municipality and not as restriction on powers of Legislature in annexation matters. City of Millard v. City of Omaha, 185 Neb. 617, 177 N.W.2d 576 (1970).

Publication of home rule charter amendment, to be voted upon at election, was sufficient. Sandell v. City of Omaha, 115 Neb. 861, 215 N.W. 135 (1927).

Amendment to charter, and ordinance thereunder, authorizing city to sell oil and gasoline, was valid. Mutual Oil Co. v. Zehrung, 11 F.2d 887 (D. Neb. 1925).

XI-5 Charter of city of 100,000; home rule charter authorized.

Reissue Revised Statutes of Nebraska

XI-5

Charter of city of 100,000; home rule charter authorized.

The charter of any city having a population of more than one hundred thousand inhabitants may be adopted as the home rule charter of such city by a majority vote of the qualified electors of such city voting upon the question, and when so adopted may thereafter be changed or amended as provided in Section 4 of this article, subject to the Constitution and laws of the state.

Neb. Const. art. XIa, sec. 5 (1920);

Adopted 1920, Constitutional Convention, 1919-1920, No. 33;

Transferred by Constitutional Convention, 1919-1920, art. XI, sec. 5.

1. Home rule charter

2. State concern

3. Local concern

4. Miscellaneous

1. Home rule charter

The city tax authorized by section 23-2611(5), R.S.Supp.,1971, does not contravene the Omaha city charter adopted hereunder. Dwyer v. Omaha-Douglas Public Building Commission, 188 Neb. 30, 195 N.W.2d 236 (1972).

Home rule charters of Omaha of 1922 and 1956 were adopted pursuant to this section. Wolf v. City of Omaha, 177 Neb. 545, 129 N.W.2d 501 (1964).

Under this section, Omaha adopted as its home rule charter the provisions of Chapter 116, Laws of 1921. Belitz v. City of Omaha, 172 Neb. 36, 108 N.W.2d 421 (1961); Papke v. City of Omaha, 152 Neb. 491, 41 N.W.2d 751 (1950); Roncka v. Fogarty, 152 Neb. 467, 41 N.W.2d 745 (1950); Ash v. City of Omaha, 152 Neb. 393, 41 N.W.2d 386 (1950).

Omaha home rule charter of 1956 completely superseded home rule charter of 1922. Mollner v. City of Omaha, 169 Neb. 44, 98 N.W.2d 33 (1959).

Metropolitan city of Omaha adopted legislative act in toto as its home rule charter. Reid v. City of Omaha, 150 Neb. 286, 34 N.W.2d 375 (1948).

Home rule charter amendment changing pension and retirement benefits did not deprive policemen of vested rights. Lickert v. City of Omaha, 144 Neb. 75, 12 N.W.2d 644 (1944).

Adoption of home rule charter does not, of itself, give a city jurisdiction over a street railway save in matters of strictly municipal concern. Omaha & C. B. St. Ry. Co. v. City of Omaha, 125 Neb. 825, 252 N.W. 407 (1934).

Publication of proposed charter amendment, to be submitted at election, was sufficient. Sandell v. City of Omaha, 115 Neb. 861, 215 N.W. 135 (1927).

2. State concern

Highway control, which includes traffic control of city streets, is a preeminently state affair that affects the whole state. State v. Albarenga, 313 Neb. 72, 892 N.W.2d 799 (2022).

Where a municipality has constitutionally conferred powers to form a charter and enact ordinances, the state law is the superior law only as to matters of statewide concern. State v. Albarenga, 313 Neb. 72, 892 N.W.2d 799 (2022).

Labor relations and practices were matters of statewide concern, and take precedence over any provisions in home rule charter. Midwest Employers Council, Inc. v. City of Omaha, 177 Neb. 877, 131 N.W.2d 609 (1964).

Statutes on eminent domain procedure control over city charter. Van Patten v. City of Omaha, 167 Neb. 741, 94 N.W.2d 664 (1959).

Parking Authority Law was a matter of statewide concern and not subject to home rule charter. Omaha Parking Authority v. City of Omaha, 163 Neb. 97, 77 N.W.2d 862 (1956).

A municipal corporation has only such powers as are expressly conferred upon it in matters of strictly municipal concern, and in cities which adopt a home rule charter state legislation is not excluded on subjects pertaining to state affairs. State ex rel. Hunter v. The Araho, 137 Neb. 389, 289 N.W. 545 (1940).

Omaha charter is subject to limits of Constitution and laws of state. World Realty Co. v. City of Omaha, 113 Neb. 396, 203 N.W. 574 (1925).

3. Local concern

The purpose of this section is to render a city adopting a home rule charter independent of state legislation as to all subjects which are of strictly municipal concern. State ex rel. City of Omaha v. Lynch, 181 Neb. 810, 151 N.W.2d 278 (1967).

Purpose of home rule charter provisions of Constitution is to render cities as nearly independent as possible of state legislation, subject to the general public policy of the state. State ex rel. Fischer v. City of Lincoln, 137 Neb. 97, 288 N.W. 499 (1939).

4. Miscellaneous

Constitution recognizes that villages and cities are separate and distinct. Hueftle v. Eustis Cemetery Assn., 171 Neb. 293, 106 N.W.2d 400 (1960).

Purpose of home rule charter provisions of Constitution is to render cities as nearly independent as possible of state legislation, subject to the general public policy of the state. State ex rel. Fischer v. City of Lincoln, 137 Neb. 97, 288 N.W. 499 (1939).

Publication of proposed charter amendment, to be submitted at election, was sufficient. Sandell v. City of Omaha, 115 Neb. 861, 215 N.W. 135 (1927).

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