Bill > LB494

This bill modifies provisions related to the School District Property Tax Relief Act and transfers of General Fund net receipts, primarily focusing on how surplus state revenues are allocated to property tax relief and the state's Cash Reserve Fund. Under the new provisions, the Tax Commissioner will calculate two different amounts of General Fund net receipts at the end of each fiscal year: one comparing actual to estimated receipts, and another comparing actual receipts to 103% of the previous year's receipts. Depending on the calculation results, surplus funds will be transferred either to the Cash Reserve Fund or the School District Property Tax Relief Credit Fund. For fiscal year 2024-25, $750 million will be transferred to the School District Property Tax Relief Credit Fund, and beginning in fiscal year 2025-26, the Legislature intends to transfer sufficient funds to provide property tax relief. The bill also clarifies that property tax credits will appear directly on property tax statements and will be credited against school district taxes, with the total relief amount increasing by 3% annually after 2030. Additionally, if extra money is transferred to the School District Property Tax Relief Credit Fund through the new calculation method, that amount will be added to the minimum property tax relief for the corresponding tax year. The bill takes effect immediately upon passage, treating it as an emergency measure.

Budget and Finance

https://nebraskalegislature.gov/bills/view_bill.php?DocumentID=59530