Neb. Admin. Code § 350-15-003.02 — Real and personal property, leased or unleased, being used to carry out responsibilities co nferred by law, with or without compensation, is deemed used for a public purpose under these regulations

Duties and responsibilities sufficient to meet the definition of public purpose may be conferred by federal or state constitution, statute, or case law or legally promulgated federal or state regulation. 003.03 Unleased real and personal property owned by the state and its governmental subdivisions, which is not being used or developed for use for a public purpose, shall be subject to property tax es unless one of the following conditions is met: 003.03A A payment in lieu of taxes, pursuant to REG -15-006, is being paid for public safety, rescue, and emergency services and road or street construction or maintenance services to all governmental units providing such services to the property; or 003.03B Other specific provisions of law prohibit taxation of such property. 003.04 Real and personal property of the state and its governmental subdivisions that is leased to a private party for a public purpose shall be exempt from property taxes if such lease is at fair market value. 003.05 Real and personal property of the state and its governmental subdivisions that is leased to a private party for any purpose other than a public purpose shall be subj ect to property taxes as if the property was owned by the lessee. Public purpose shall not include leasing of property to a private party unless the lease of the property is for a public purpose and at fair market value or unless otherwise specifically pr ovided for by law. 003.06 When the assessor or county board of equalization determines the use of property pursuant to this regulation, the dominant or primary use of property shall be considered, such that any incidental use for other purposes shall not effect the tax status of the property. For the purposes of this regulation, property obtained by a political subdivision due to failure to pay taxes or special assessments that is held by the political subdivision for sale at an amount less than or equal to the tax or special assessment liability plus interest, shall be deemed used for a public purpose. 003.07 In cases where it is determined that the property, when considered as a whole, is not used entirely for a public purpose, but the property has se parate and distinct use portions, an exemption from taxes for the portion used for a public purpose shall be allowed. When a parcel of governmentally owned property is used for several purposes simultaneously, the determination of taxable status should be based on the predominant use of the property. The predominant use of the property is the primary or dominant use. Nebraska Department of Revenue Title 350, Chapter 15, Rev. 3/15/09 Property Assessment Division Property Owned by the State and Governmental Subdivisions 5 For example, if land adjacent to a publicly owned airport is required for a buffer zone for public safety purposes but is also leased for agricultural purposes, the predominant use of the parcel is as a buffer zone and its agricultural use is incidental in nature and the property is exempt. 003.07A In the analysis of such mixed use properties, a number of factors may be included in determining the predominant use of the property, including: 003.07A(1) Whether the use of the property assists the government entity in meeting a long term or ongoing purpose; 003.07A(2) Whether the governmental entity has spent significant money in making th e property ready for its public purpose use in comparison with any revenue generated by its nonpublic use; and 003.07A(3) Whether the public purpose use is ongoing throughout the year as opposed to the seasonal nature of its nonpublic use.