The Legislature gave first-round approval to both bills introduced on behalf of Governor Ricketts, containing his plan for property tax relief. However, the bills have been completely rewritten through the amendment process.
LB 959, as amended by committee amendments, eliminates the minimum levy penalty which reduces state aid to districts with levies less than .95 cents, removes the levy criteria from the averaging adjustment calculation, and caps the special levy school districts can use to address health, safety and accessibility problems in school buildings at 3 cents, down from 5.2 cents. LB 959 will allow a number of school districts to reduce their levy and will also provide more state aid to some districts that depend heavily on property taxes to fund their schools.
