This bill amends section 77-27,139.03 of the Reissue Revised Statutes of Nebraska, focusing on the calculation of state aid to municipalities. The key change involves the method of determining the average property tax levy for operational purposes, which will now be based on the prior year's Certificate of Taxes Levied certified to the Property Tax Administrator, as opposed to relying on information provided by the Auditor of Public Accounts regarding bond and nonbond tax request amounts from municipal budgets. This shift aims to streamline the process and ensure that the Department of Revenue has the necessary data to calculate state aid more efficiently.

Additionally, the bill outlines the formula for distributing state aid from the Municipal Equalization Fund, specifying that municipalities will receive aid based on their population and property tax levies, with provisions for reductions if a municipality's tax levy is below the average. It also includes a mechanism for prorating aid if the fund's total is insufficient to meet the calculated needs of all municipalities. The original section 77-27,139.03 is repealed as part of this legislative update.