Bill > LB354

This bill proposes to modify the state aid distribution from the Municipal Equalization Fund by explicitly prohibiting cities of the first class from receiving any financial support through this fund. Currently, municipalities receive state aid calculated based on a complex formula that considers the average property tax levy, population, and certified valuation. Under the existing law, municipalities could receive aid if a specific calculation produces a positive number, but this bill would add an additional restriction preventing cities of the first class (typically the largest cities in Nebraska) from qualifying for such aid, regardless of the calculation's result. The bill would amend Section 77-27,139.03 of the Reissue Revised Statutes of Nebraska to insert language that excludes first-class cities from Municipal Equalization Fund eligibility, effectively reducing state financial support for these larger urban areas. The proposed change would also repeal the original section of the statute, ensuring that the new provisions take precedence.

Budget and Finance

https://nebraskalegislature.gov/bills/view_bill.php?DocumentID=59065