The proposed bill, known as the Aid to Municipalities Act, aims to provide state aid to municipalities in Nebraska through grants designated for infrastructure projects. The bill outlines the types of projects eligible for funding, which include solid waste management facilities, water treatment systems, airports, and mass transit systems, among others. Municipalities can apply for grants by submitting an application to the Department of Economic Development, with a maximum grant amount set at five million dollars. The bill also establishes the Aid to Municipalities Fund to manage these grants and outlines the intent of the Legislature to appropriate fifteen million dollars annually for this purpose.

Additionally, the bill amends existing statutes related to budget limitations for governmental units. It introduces new provisions that require the Auditor of Public Accounts to notify the State Treasurer and the Department of Economic Development if a municipality fails to comply with budget limits, resulting in the suspension of state aid until compliance is achieved. The bill also includes a directive for the Revisor of Statutes to assign the new sections to a specific article in Chapter 18 and repeals the original sections of the statutes that are being amended.

Statutes affected:
Introduced: 13-518, 13-522