LINCOLN — Nebraska Governor Jim Pillen has ordered that about $20 million in unused property tax relief funds and higher-than-expected casino revenues be returned to taxpayers.
Through an executive order issued Monday, Pillen instructed Nebraska Property Tax Administrator Sarah Scott to distribute the full amount as additional tax credits in the coming months. He said the move ensures “Nebraskans receive the full amount of property tax relief possible,” calling it a common-sense decision to cut through bureaucracy and get money back to families.
The order boosts the state’s property tax relief investment to $77 million more than last year. Before the change, lawmakers had allocated $422 million for the Property Tax Credit Cash Fund and $780 million for the School District Property Tax Credit Fund. Pillen’s office did not specify how the extra $20 million will be divided between the two.
The governor noted that recent increases in revenue and unused funds had delayed full disbursement, preventing taxpayers from seeing the maximum benefit.
Property taxes in Nebraska remain a pressing issue. While statewide levies dropped by $6 million last year—the first decrease in 26 years—rates are expected to climb again next year. Pillen has criticized “ideological beliefs and special interest groups” for blocking long-term reforms, and he warned that citizens may turn to ballot initiatives in 2026 to seek deeper cuts or even elimination of property taxes.
Lawmakers recently created a commission to study school financing, with its first recommendations due in December. Pillen said the state must keep pushing to resolve what he called Nebraska’s “crippling property tax crisis.”
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