1996 - LB 1114 - Imposed levy limits on all local governments to limit the total property tax rate (excluding exceptions) to $2.24 per $100 of taxable value beginning in 1998 and $2.13 when fully implemented in 2001. Exceptions were for bonded debt, grandfathered building fund projects for schools, grandfathered capital lease purchases, and voter-approved overrides. Another crucial change was the concept of allocated levies, wherein counties were responsible for allocating levy authority to dozens of small, miscellaneous governments within the 45 cent limit of the county.

The levy limits for Community Colleges were eight cents per $100 of taxable value for fiscal years 1998-99 through 2000-01 and four cents thereafter.

1997 - LB 269 - (1) Changed the levy limit for Community Colleges from eight cents through 2000-01 and four cents thereafter to eight cents through 1999-2000 and seven cents thereafter, (2) created a new equalization formula for funding Community Colleges that makes up for any difference between the maximum levy times the valuation for the area and 40 percent of the total spending allowed to the area, and for any difference between operational aid and 40 percent of total spending allowed for the area, (3) provided for levy allocation by municipalities for Community Redevelopment Authorities, city airport authorities and other entities created by cities, and (4) divided municipalities into three different size groupings for purposes of the equalization formula provided in LB 1177 (1996).

LB 271 - Eliminated the property tax on motor vehicles and replaced it with a uniform, statewide tax and fee system. The fee is a nominal amount, generally between $5 and $30 and the proceeds are distributed to cities and counties based on the distribution of Highway Trust Fund dollars. The motor vehicle tax is determined from a table that assigns a higher tax if the MSRP of the vehicle when new is larger and declines with the age of the motor vehicle itself. The schedule was designed seeking a reduction in taxes on motor vehicles of about $15 million from the previous year property tax amounts but the actual proceeds turned out to be $30 million less.

1998 - LR 45 CA placed four separate constitutional amendments on the 1998 general election ballot as follows: (1) strike the requirement that motor vehicle taxes be distributed to local governments in proportion to property taxes levied, (2) provide for the merger or consolidation of cities and counties, (3) limit the property tax exemption for government property to property used for a public purpose, and (4) strike all references to townships in the Constitution. The first three amendments succeeded while the fourth failed.

1999 - LB 142 - Implemented part of LR 45 CA by providing that the proceeds from the motor vehicle tax be distributed 60 percent to the school district where the vehicle is registered, 22 percent to the county and 18 percent to the city except in Douglas County where the city-county shares are reversed.

LB 881 - Used the Cash Reserve Fund to provide for specific property tax relief programs. For 1999, $30 million was distributed to Community Colleges based on valuation. For 2000, $35 million (later reduced to $25 million) was used for a direct credit against real estate taxes. The $30 million additional distribution to Community Colleges was also repeated in 2000 using General Funds. Finally, in 2001, $35 million was transferred to the General Fund to help finance the additional school aid needed to fund the reduction in the levy limit for schools from $1.10 per $100 of taxable value to $1.00.