NE LB242

Expands the definition of "allowable growth" for property tax calculations to include changes in real property use, increases in excess valuation from tax increment financing (TIF) redevelopment projects, and accumulated TIF excess valuation as of July 1, 2025

Adds three new exceptions allowing political subdivisions to increase property tax request authority: taxes budgeted for substance abuse/behavioral health/opioid prevention, taxes for matching state and federal grants, and taxes to replace revenue streams eliminated by legislative action

Allows political subdivisions to convert accumulated unused restricted funds authority (existing as of June 30, 2025) into unused property tax request authority, capped at 5% of total 2024 property taxes levied

Requires property tax statements to clearly indicate the levy rate and amount of property taxes funding public safety services for each political subdivision, regardless of whether claimed as an exception

Authorizes counties to retain 1% of School District Property Tax Relief Act disbursements for administrative costs, and changes the property tax credit calculation from prior year to current year school district taxes levied