Nebraska Bills

LB 702 would establish the Neighborhood Empowerment Act, creating a program to provide direct grants to Nebraska neighborhood associations for community projects. Eligible associations could apply for up to $5 million annually (subject to funding) to fund initiatives like park upgrades, safety improvements, local business support, or community events - excluding salaries or political activities. Applicants must demonstrate resident participation and submit annual reports on fund usage and community impact. The program prioritizes historically underserved communities and requires unused funds to be returned to the state treasury.

LB 638 amends Nebraska's Nitrogen Reduction Incentive Act by eliminating all provisions for incentive payments to farmers and removing the legislative intent behind the program. It modifies the Nitrogen Reduction Incentive Cash Fund to adjust grant administration and changes the program's termination date from December 31, 2030, to December 31, 2029. The bill repeals the original sections governing annual payment caps ($5 million/year), minimum per-acre payments ($10/acre), and fertilizer reduction targets. This effectively dismantles the financial structure of the program while keeping the framework for future administration open.

LB 164, the Urban Development Incentive Act, creates a state grant program to support small and emerging developers in economically distressed areas of Nebraska. The bill provides funding for affordable commercial space development, rehabilitation, and sustainability features, with grants covering up to 20% of project costs (max $3.5 million per project) and specific categories for financing help, job training, and green building certification. It directly affects small developers (under 50 employees, <$5M revenue) working in areas meeting federal census criteria for high unemployment (≥150% state average) and poverty (≥20%). The program requires community engagement documentation and annual reporting to the Legislature on grant usage and job creation.

LB 31 requires Nebraska school districts to adopt policies governing the use of student monitoring and tracking technology (like digital hall passes, cameras, or anti-vaping devices) by May 2026. It mandates schools to inventory all such tools, disclose vendor details, costs, data practices, and privacy protections, and allow parents to opt their children out. The bill also requires schools to explain data sharing with law enforcement and ensure accommodations for students with disabilities. These policies must be posted online and align with a model policy developed by the State Board of Education by December 2025.

Nebraska's LB 61 requires the Department of Health and Human Services to submit a federal waiver amendment specifically adjusting reimbursement rates for memory care services under the state's Medicaid home and community-based services program. This change directly affects Medicaid beneficiaries receiving memory care (typically elderly or disabled individuals with dementia or similar conditions) and the providers offering those services. The bill mandates the department file this waiver amendment with federal authorities to secure updated funding rates for memory care, rather than creating new coverage. It does not establish new benefits or funding but modifies existing reimbursement structures for a specific service category. The requirement is procedural, focusing on adjusting payment rates through a federal waiver process.

This bill creates the Nebraska Council on Economic Education Cash Fund to support economic education programs at the University of Nebraska. It requires a $2.5 million transfer from the State Settlement Cash Fund to this new fund by July 1, 2025, for use by the University of Nebraska's Board of Regents. The bill specifies that these funds are intended for fiscal years 2025-26 and 2026-27, with $300,000 allocated annually for economic education expenses. It repeals the original section of law it amends and declares an emergency to expedite the transfer. The bill does not change public policy but establishes a dedicated funding mechanism for university-based economic education.

LB 502 amends Nebraska's Farm Labor Contractors Act to add a penalty for seed corn producers and farm labor contractors who violate specific licensing and operational rules. It establishes a Class IV misdemeanor penalty (the least severe criminal classification in Nebraska) for these violations, replacing the previous penalty structure. The bill directly affects seed corn producers and farm labor contractors operating in Nebraska who fail to comply with licensing requirements or other provisions under Section 48-1715. The amendment repeals the original Section 48-1714 while creating the new penalty framework.

LB 633 creates the Nebraska Option Enrollment Tuition Account Program for families whose children's applications for the enrollment option program are rejected by school districts. It requires school districts to provide written reasons for rejections - including specific disability-related service gaps - and establishes a process for parents to decline appeals and request tuition funds. The program provides eligible families with funds equal to the adjusted average per-pupil cost (plus disability-specific supplements for students with qualifying disabilities) to cover private school expenses at accredited institutions. Parents must agree to not enroll the child in public school and use funds only for approved education costs, with access to funds lost if the child reenrolls in public school or fails to comply with program rules. The bill also mandates annual reporting by school districts on rejected applications to the State Board of Education.

LB 427 would create state-funded savings accounts for Nebraska students in kindergarten through 12th grade attending approved public, private, denominational, or parochial schools. Starting July 1, 2026, each eligible student would receive $1,500 annually from a new "Student Savings Account Support Fund" to cover qualified expenses like tuition, textbooks, and educational therapies. Funds cannot be used for transportation, food, clothing, or basic supplies. Accounts follow students if they switch schools within Nebraska and terminate upon graduation or loss of eligibility.

LB 307 allocates specific state funds to Nebraska's public colleges and universities for existing tuition waiver programs benefiting first responders and their dependents. It sets aside designated amounts from the General Fund for fiscal years 2025-26 and 2026-27 for Nebraska State Colleges (Program 48) and the University of Nebraska (Program 781), funding waivers under the First Responders Recruitment Act, In the Line of Duty Dependent Education Act, and related statutes. The bill declares an emergency, meaning it takes effect immediately upon approval. This is a funding measure for established programs, not a new policy change.

LB 679 allows Nebraska counties to sell multiple parcels of real property with unpaid taxes through negotiated bulk sales to a single buyer, rather than requiring public auctions for each parcel. County boards can set terms for these sales (including reasonable administrative fees) and include them on tax certificates, replacing the previous public auction process for such properties. The bill also updates notice requirements for tax sales, modifies how attorney fees are awarded in foreclosure cases, and aligns related tax sale provisions. This primarily affects counties managing tax sales, property owners with delinquent taxes, and potential buyers of distressed properties.

LB 354 prohibits cities of the first class (like Omaha) from receiving state aid from Nebraska's Municipal Equalization Fund. The bill amends the existing law to explicitly exclude these large cities from eligibility, removing them from the formula used to calculate state aid. Under the current system, aid is based on property tax levies and population, but this bill ensures first-class cities receive no aid under this program. The change directly affects the funding of Nebraska's largest municipalities, eliminating a specific source of state revenue for them.