Bill > LB242

This bill makes several significant changes to property tax and municipal taxation in Nebraska. The legislation modifies the Property Tax Growth Limitation Act by redefining how political subdivisions can calculate and increase their property tax request authority, including introducing new exceptions for increasing tax requests such as budgeting for substance abuse prevention, behavioral health, opioid use prevention, and matching state and federal grants. The bill allows political subdivisions to convert their accumulated unused restricted funds authority into unused property tax request authority, with certain limitations. It also changes provisions related to municipal occupation taxes, specifically removing previous requirements for voter approval of new or increased occupation taxes for certain municipalities. Additionally, the bill updates property tax statements to more clearly indicate taxes related to public safety services and modifies the School District Property Tax Relief Act by adjusting the total amount of relief granted each year and allowing counties to retain 1% of disbursed funds for administrative costs. The changes are intended to provide more flexibility for local governments in budgeting and taxation while attempting to provide some property tax relief to residents.

Budget and Finance

https://nebraskalegislature.gov/bills/view_bill.php?DocumentID=59253