PREPARED BY: John Wiemer
LB 69 DATE PREPARED: July 31, 2024
PHONE: 402-471-0051
Revision: 00
FISCAL NOTE
LEGISLATIVE FISCAL ANALYST ESTIMATE
ESTIMATE OF FISCAL IMPACT – STATE AGENCIES (See narrative for political subdivision estimates)
FY 2024-25 FY 2025-26
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS $337,000,000
CASH FUNDS ($340,000,000) ($337,000,000)
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS ($340,000,000) $0
Any Fiscal Notes received from state agencies and political subdivisions are attached following the Legislative Fiscal Analyst Estimate.
Under LB 69, the 70% of the casino gaming tax would be credited to a fund named the Property Tax Assistance Cash Fun d under the
bill. The Property Tax Assistance Cash Fund would be the new name of the Property Tax Credit Cash Fund per the bill.
The bill would change the 40% of the 5% tax of the net operating revenue for each cash device to go to the Property Tax Assistance
Cash Fund, as well.
The Property Tax Credit Act would be renamed as the Property Tax Assistance Act and the purpose for the Act would be to provide
property tax relief for property taxes levied against homesteads.
Under the bill, for tax year 2025, all homesteads in the state would be assessed for taxation the same as other property , except that
there would be exempt from taxation of a homestead a dollar amount equal to a percentage of the assessed value of the homestead.
Such percentage would be applied statewide and would be determined annually by the Property Tax Administrator based on
appropriations to the Property Tax Assistance Cash Fund. For tax year, 2025, an owner of a homestead would file an application for the
homestead exemption. For tax year 2026 and subsequent tax year s, if an owner has been granted the homestead exemption provided
in this bill, no reapplication need be filed for succeeding years, in which case the county assessor would determine whet her the
claimant qualifies for the homestead exempti on in such succeeding years as though a claim were made. Sections 77-3501 to 77-3529
and Laws 2024, LB 126, section 3, would apply to the homestead exemption provided in this bill. Reimbursement to counties for the
homestead exemption would be made from the Property Tax Assistance Cash Fund.
The State Treasurer would transfer from the General Fund to the Property Tax Assistance Cash Fund $90 million by August 1, 2025.
The Legislature would have the power to transfer funds from the Property Tax Assista nce Cash Fund to the General Fund.
We estimate an increase to General Fund revenue in FY26 of $337 million as the $90 million transfer under the bill is $337 million less
than the $427 million currently planned to be transferred to the Property Tax Credit Fund (would be renamed to Property Tax
Assistance Cash Fund) for FY26 under the bill. The $90 million is also $340 million less than the $430 million currently estimated to be
expended from that fund in FY26 so the Cash Fund expenditure reduction for FY26 is $340 million. For FY27 and after, there is no
additional General Fund transfer to the Prope rty Tax Assistance Cash Fund under the bill. Thus, the casino gaming and cash device tax
credited to the Property Tax Assistance Cash F und would be expended for the homestead relief provided in this bill.
Additionally, we estimate the existing homestead exemption program not being affected under this bill with the homestead exemptions
under this bill adding to the current program.
Please complete ALL (5) blanks in the first three lines. 2024
LB
(1) 69 FISCAL NOTE
State Agency OR Political Subdivision Name:
(2)
NE Racing & Gaming Commission
Prepared by:
(3) Rita Pracht Date Prepared:
(4)
7/29/24 Phone:
(5)
531-310-4536
ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION
FY 2024-25 FY 2025-26
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS
CASH FUNDS
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS
Explanation of Estimate:
No fiscal impact
_____________________________________________________________________________________________________ _
BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE
Personal Services:
POSITION TITLE
NUMBER OF POSITIONS
24-25 25-26
2024-25
EXPENDITURES
2025-26
EXPENDITURES
Benefits………………………………...……
Operating…………………………...……….
Travel……………………… ………………..
Capital outlay…………………...…………..
Aid……………………………………… …...
Capital improvements……………………...
TOTAL……………………………… .....