Business and Labor Committee

April 29, 2025

Committee Chair: Sen. Kathleen Kauth | Bills Heard: 1 | Full Transcript (PDF)

LB534: Settlement of claims against the state

Introduced by: Sen. Kathleen Kauth | Testimony: 1 proponents, 0 opponents, 0 neutral | Read bill text (PDF)

Nebraska Legislature approves $4.4 million in state liability claims, including two Line of Duty death settlements. The Business and Labor Committee heard testimony on LB534 with AM491, which authorizes payment of 11 newly settled claims against the state, ranging from workers' compensation injuries to a wrongful death case stemming from state custody.

Why it matters: The bill represents routine but significant annual appropriations for state liability. Most workers' compensation claims are funded through a revolving fund supported by agency assessments rather than general revenue, limiting impact on the state's budget deficit.

What they're saying: - Phoebe Lurz, Assistant Attorney General: The amendment includes two Line of Duty death claims totaling $530,932.50 and a $445,000 settlement in a wrongful death case involving the Department of Correctional Services. - Sen. Jane Raybould asked whether the $4.4 million represents an unanticipated cost, noting these claims should already have budget placeholders. Lurz confirmed the Legislature typically anticipates "seven-figure" payouts annually.

By the numbers: - 11 new claims added via amendment - $4,434,645.87 total appropriation for fiscal 2025 - $1,195,000 in workers' compensation settlements (six claims) - $445,000 wrongful death indemnification settlement

What's next: No vote was taken during the hearing. Sen. Kauth waived her closing statement. The bill advances to the next stage of the legislative process with no opposition testimony recorded.

Committee sentiment:   Supportive: Sen. Teresa Ibach, Sen. Jane Raybould

Sentiment estimated from questions and comments — not stated positions.

Session Notes

Committee Chair Kauth opened the hearing with standard procedural instructions regarding testifier sheets, sign-on sheets, time limits via light system, and cell phone policies. Five committee members were present: Sen. Terrell McKinney (District 11), Sen. Teresa Ibach (District 44), Sen. Tony Sorrentino (District 39, Vice Chair), Sen. Dan McKeon (District 41), and Sen. Jane Raybould (District 28). Only one testifier appeared. No written position letters were submitted for the record. Sen. Kauth waived her closing statement.

Generated by NE Wire Service | Source: Nebraska Legislature Transcribers Office This is an AI-generated summary. Verify all claims against the official transcript.