This legislative resolution from the Nebraska Legislature urges the U.S. Congress and President to fully fund the Individuals with Disabilities Education Act (IDEA). The bill directly affects children with disabilities in Nebraska and their families by calling for federal financial support that has historically been underfunded. It highlights that since 1975, the federal government has only provided 40% of the authorized funding for special education, leaving state and local schools to cover the remaining costs. The resolution requests that federal authorities enact legislation to meet the full funding mandate, thereby reducing the financial burden on Nebraska schools and taxpayers.
LB 1208 requires Nebraska public school districts to allocate at least 50% of their general fund budget toward teacher salaries and benefits for the 2026-27 school year and all subsequent years. This directly affects all local school districts by mandating a specific spending threshold for educator compensation. The key provision, found in Section 2 of the bill, sets this 50% minimum for teacher-related expenditures within the total general fund budget. The bill amends the Tax Equity and Educational Opportunities Support Act to establish this requirement and repeals the original section of the law.
LB 1257 changes Nebraska's tax structure by ending certain sales tax exemptions (like for agricultural machinery) and requiring sales and use taxes on previously exempt services. It also eliminates the School District Property Tax Relief Act, modifies limits on how much school districts can collect in property taxes, and provides additional state funding for schools through the Tax Equity and Educational Opportunities Support Act. These changes directly affect businesses selling services (now subject to tax) and school districts (losing tax relief but receiving new state aid). The bill aims to increase state revenue while adjusting school funding mechanisms.
Nebraska's LB 1260 changes how motor vehicle tax revenue is distributed, directly affecting counties, local school systems, and cities/villages. It increases the percentage counties retain from 1% to 2% after July 1, 2028, and adjusts allocations: for example, school systems receive 60% before 2028 but 48% after, with a new quarterly "motor vehicle tax supplement" (48.8% of allocated funds) paid directly to schools starting October 2028. The bill also revises tax schedules based on vehicle age and modifies funding formulas under the Tax Equity and Educational Opportunities Support Act. These changes aim to update revenue distribution mechanisms while maintaining school funding through the supplement.
LB 1038 changes how Nebraska school districts can raise funds through property taxes and modifies property tax credits. It eliminates certain property tax credits for homeowners and adjusts school district levy limits, allowing districts more flexibility in setting local tax rates. The bill redirects tax revenue streams, increasing funding for the Education Future Property Tax Credit Cash Fund (from 70% to 40% for cash device taxes) and modifying how General Fund transfers support schools. These changes directly affect school districts (by altering their tax-raising authority) and property taxpayers (through eliminated credits).
LB 306 modifies school residency rules to clarify admission for non-resident students, military families, and students in residential settings. It requires all Nebraska school districts to maintain a centralized financial database and mandates public and private colleges to report funding from "foreign adversarial sources" to the Coordinating Commission for Postsecondary Education. The bill also updates scholarship programs (Nebraska Career Scholarship Act and Door to College Scholarship Act) and adjusts governance for the Nebraska State Colleges Board. These changes aim to increase transparency in school funding and foreign financial influences on higher education.
This bill creates a new "military impact funding" mechanism for Nebraska school districts serving children of active-duty military members. Districts receive state funds calculated by comparing per-pupil federal impact aid (from the Elementary and Secondary Education Act) to per-pupil local tax levies, with the difference paid for each enrolled military-connected child. This funding is added to the state's school finance formula starting in the 2025-26 school year. It directly affects districts that received federal impact aid in the prior year and provide free education to military-connected students.
Nebraska bill LB 389 eliminates the ability of educational service units (ESUs) to collect local property taxes for funding. Instead, it requires the state to provide direct funding to ESUs according to specified formulas. This change affects ESUs and the school districts that previously contributed to ESU budgets through local tax levies. The bill modifies existing tax levy limits for school districts and ESUs to remove their authority to raise funds via property taxes, shifting responsibility to state appropriations.
LB 498 updates Nebraska's school funding formula under the Tax Equity and Educational Opportunities Support Act. It changes foundation aid calculations: for school years 2023-24 and 2024-25, aid is $1,500 per formula student, but starting 2025-26, it will increase annually based on the Consumer Price Index. The bill also revises certification deadlines for school funding (moving the key date to March 1 annually) and reduces the portion of foundation aid counted toward school budgets from 100% to 60% for 2025-26 and later. These changes directly affect all Nebraska public school districts receiving state foundation aid.
Nebraska's LB 500 creates a 21-member School Financing Review Commission to examine and recommend improvements to public school funding. The commission includes education officials, legislators, school board members, teachers, and diverse community representatives from across the state. It will review alternatives to property tax reliance (like income or sales tax components), funding for pre-K, career programs, and student needs (including poverty and limited English proficiency), and infrastructure costs. The commission must submit a preliminary report by November 2025 and a final report with recommendations by December 2025, followed by annual reports on funding adequacy starting in 2028. This bill directly affects all Nebraska public elementary and secondary schools and their students.
