The State of Nebraska generates the bulk of its tax dollars from the state income tax and the state sales tax. The State derives no funds from taxes on real property.
City of Broken Bow Taxing Policies
Pursuant to Law, the City of Broken Bow derives most of its operating funds from taxes imposed on real estate within the city. The city imposes a levy on real estate based upon its tax requirement and the total assessed value of property, which is forwarded to the County Treasurer for collection. State Law mandated a zero increase in taxes for the 1997-1998 budget year that started October 1, 1997. For the following budget years, State Law will limit the taxing power of the city to 45 cents per $100.00 of assessed valuation.
Tax Structure
Assessed Valuation of Broken Bow (1998): $77,973,980.00
Tax Rate (per $100 valuation)- Agriculture: 0.008301
- Airport: 0.016672
- Bond: 0.274451
- City: 0.707568
- County.272100
- NRD: 0.017970
- School: 1.011630
- Towns: 0.0583135
- Voc. Tech.: 0.80000
- Others: 0.0339315
- Total: 2.29968
State of Nebraska Incentives
- LB 775 provides tax credits for qualifying businesses with major investments, over $30 million, with additions of 30 full time employees.
- LB 270 provides tax credits for qualifying businesses which invest at least $75,000 and increases employment by 2 net employees.
- LB 272 adjusted the method for taxing Nebraska Corporations to a "sales only" formula providing a significant advantage.
- The Community Development Block Grant program assists in funding for economic development efforts.
- The Economic Loan Assistance Program helps provide financial packaging and economic grants for low interest loans for expanding businesses.
City of Broken Bow Tax Incentives
The City of Broken Bow is able to provide tax incentives through the community Redevelopment Authority. The tax increment finance (TIF) funds are available in the areas that have been designated as blighted. For qualifying businesses, this could mean substantial property tax savings for up to 15 years.
