Conroy v. Keith County Bd. of EqualizationAnnotate this Case
For the tax year 2011, the county assessor decided to assess property taxes on parcel of land owned by Central Nebraska Public Power and Irrigation District (Central) but leased to private parties. Central protested the tax assessment, and the Board of Equalization recommended not taxing the land. The Tax Equalization and Review Commission (TERC) affirmed, concluding that the parcels should not be taxed because Central had already made a payment in lieu of tax pursuant to Neb. Const. art. VIII, 11 for the relevant tax year. The Supreme Court (1) affirmed TERC’s finding that Central was not subject to property taxes for tax year 2011 because it had already made a payment in lieu of tax for that year; but (2) vacated the portion of TERC’s order that could be interpreted to mean that a lessee’s property tax obligation is included in Central’s payment in lieu of tax, as the issue of a lessee’s liability was not before TERC.