State aid to counties for certain federal judgments authorized

Lawmakers gave final approval May 20 to a bill that provides state general funds to counties to pay certain federal judgments.

Sen. Myron Dorn
Sen. Myron Dorn

LB103, sponsored by Sen. Myron Dorn of Adams, appropriates $2 million in general funds in fiscal year 2021-22 and FY2022-23 to any county that has a judgment against it from a federal court of more than $25 million if the total cost of the judgment exceeds 20 percent of the county’s annual budget.

An eligible county must set its property tax levy at the maximum for each year that it receives aid under the bill and any state funds received may be used only for payment of a qualifying judgment.

The bill passed 44-3.

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