8-K

                UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   ----------

                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

         Date of Report (Date of Earliest Event Reported): July 12, 2006
                                                           -------------

                                    NIC INC.
                                    --------
             (Exact name of registrant as specified in its charter)


         Colorado                   000-26621                  52-2077581
         --------                   ---------                  ----------
(State or other jurisdiction       (Commission              (I.R.S. Employer
     of incorporation               File Number)            Identification No.)
     or organization)

                           10540 South Ridgeview Road
                              Olathe, Kansas 66061
                              --------------------
          (Address of principal executive offices, including zip code)


                                 (877) 234-3468
                                 --------------
              (Registrant's telephone number, including area code)





ITEM 7.01      REGULATION FD DISCLOSURE

On July 12, 2006, NIC Inc. issued a press release announcing that the state of
Indiana has signed a new long-term contract with Indiana Interactive, a
subsidiary of NIC Inc., to develop and maintain its official eGovernment portal
(www.IN.gov). The contract includes an initial four-year term and renewal
options that run through June 2014. A copy of the press release is furnished
with this report on Form 8-K as Exhibit 99.


ITEM 9.01      FINANCIAL STATEMENTS AND EXHIBITS

(c) Exhibits

99 - Press release issued by NIC Inc. dated July 12, 2006, announcing that the
state of Indiana has signed a new long-term contract with Indiana Interactive, a
subsidiary of NIC Inc., to develop and maintain its official eGovernment portal
(www.IN.gov).


                                      -2-



                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.




                                       NIC Inc.

Date: July 12, 2006                    /s/ Stephen M. Kovzan
                                       ---------------------
                                       Stephen M. Kovzan
                                       Vice President, Financial Operations
                                       Chief Accounting Officer


                                      -3-

EX-99

                                                                      EXHIBIT 99


             Indiana Signs New eGovernment Portal Contract with NIC


    INDIANAPOLIS--(BUSINESS WIRE)--July 12, 2006--The state of Indiana
has signed a new long-term contract with Indiana Interactive to
develop and maintain its official eGovernment portal (www.IN.gov). The
contract includes an initial four-year term and renewal options that
run through June 2014. Indianapolis-based Indiana Interactive is a
wholly owned subsidiary of eGovernment firm NIC (Nasdaq: EGOV).
    The new contract is based on a funding model that includes
recurring fixed monthly fees for baseline services and both
transaction- and project-based pricing for variable services. The
initial four-year contract has a baseline value of $18 million and a
potential value of $44 million through the deployment of variable
services.
    "We are excited about the tremendous upside potential this
contract provides and are eager to continue developing innovative
solutions for the state of Indiana," said Jeff Fraser, NIC's Chief
Executive Officer. "I believe that our success in Indiana will
generate new growth opportunities in states that want to work with NIC
but have been unable to initiate self-funded procurements as quickly
as they would like. No other provider can match our capabilities or
the results we deliver."
    Indiana Interactive signed its original contract with the state of
Indiana in July 1995. After fulfilling the original contract term and
all available extensions, the state issued a competitive bid for
eGovernment portal services in February 2006.

    Second Quarter 2006 Outlook

    NIC reaffirms its second quarter 2006 guidance and expects total
revenues of $17.7 - $18.1 million, portal revenues of $17.2 - $17.5
million, and software and services revenues of $0.5 - $0.6 million.
The Company also anticipates operating income between $4.4 - $4.6
million and net income of $2.7 - $2.9 million.
    Full-year 2006 guidance is also unchanged. The Company expects
total revenues of $66.8 - $67.7 million, portal revenues of $66.3 -
$66.9 million, and software and services revenues of $0.5 - $0.8
million. The Company also expects operating income between $15.1 -
$15.6 million and net income of $9.5 - $9.8 million.
    The Company will provide additional context and answer investor
questions about market dynamics and performance metrics during its
second quarter earnings announcement on July 27, 2006.

    About IN.gov

    www.IN.gov is the official Web portal for the state of Indiana.
IN.gov's services are developed and maintained by Indiana Interactive,
a wholly owned subsidiary of eGovernment firm NIC (Nasdaq: EGOV).

    About NIC

    NIC manages more eGovernment services than any provider in the
world. The company helps government communicate more effectively with
citizens and businesses by putting essential services online. NIC
provides eGovernment solutions for 2,200 state and local agencies that
serve more than 60 million people in the United States. Additional
information is available at www.nicusa.com.

    CONTACT: NIC
             Chris Neff, 435-645-8898
             cneff@nicusa.com