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LB 534

Provide for payment of claims against the state

109th Legislature (2025-2026) Introduced by Kathleen Kauth

LB 534 directs specific General Fund, State Insurance Fund, and Workers’ Comp payments to settle named claims against the state and allows writing off approved accounts.

Approved by Governor on May 21, 2025
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WeVote Research Nonpartisan
Bill Summary · LB 534

Summary — LB 534 (2025)

Title: Provide for payment of claims against the state
Introduced: Jan. 22, 2025 (Sen. Kathleen Kauth) — Approved by Governor May 21, 2025 (emergency clause)

Purpose / Intent

LB 534 authorizes specific appropriations to pay a set of settlements, indemnification awards, worker’s compensation awards, and tort claim payments against the State of Nebraska. It also authorizes certain state agencies to write off accounts approved by the State Claims Board. The bill includes an emergency clause so the act took effect on approval.

Key provisions and dollar amounts

The bill is organized into sections that appropriate funds from the General Fund, the State Insurance Fund, and the Workers’ Compensation Claims Revolving Fund to pay named claims. Major items include:

  • Section 1 — State settlements (paid from the General Fund; Program 536, Agency 65) — Total: $1,195,691.75

    • Notable payments: Nebraska Press Advertising Service — $348,654.28; Line-of-duty claim for Ross Bartlett — $280,932.50 (to Tina Bartlett); Follett Corporation — $134,046.00; Line-of-duty claim for Christopher Marcello — $250,000.00; Johnson County — $182,058.97.

  • Section 2 — Indemnification claims (General Fund; Program 592, Agency 65) — Total: $827,500.00

    • Notable payments: Estate of Kevin C. Carter — $395,000.00; Rachel Ritke — $162,500.00; Gerald Krolikowski — $185,000.00; Amy Eidenmiller — $85,000.00.

  • Section 3 — Workers’ compensation claims (Workers’ Compensation Claims Revolving Fund; Program 593, Agency 65) — Total: $1,260,000.00

    • Examples: Matthew Nicholas — $275,000; Jessica Bock — $215,000; Maureen Scanlon — $250,000; Janice Myers — $175,000; Bobby Green Jr. — $150,000; several smaller awards.

  • Section 4 — Tort claims (State Insurance Fund; Program 594, Agency 65) — Total: $1,396,627.29

    • Examples: Claim 2022-21941 (Rembolt Ludtke trust) — $950,000; Claim 2021-21220 (Friedman Law trust) — $375,000; multiple smaller claims and insurer payments.

  • Section 5 — Administrative mechanics: Director of Administrative Services to draw warrants; no warrant to be delivered until a receipt and full release in favor of the State is filed by each beneficiary. Warrants paid from the named funds.

  • Section 6 (committee materials) — Agencies (Veterans’ Affairs, DMV, NDOT, Labor, Environment & Energy, DHHS) requested authority to write off State Claims Board‑approved accounts totaling $1,767,570.24 (as reported in committee materials).

Who is affected

  • Direct beneficiaries: named individuals, estates, law firms, counties, and insurers listed in the bill.
  • State finances: appropriations reduce the balances of the General Fund, the State Insurance Fund, and the Workers’ Compensation Claims Revolving Fund.
  • State agencies: Director of Administrative Services and Agency 65 (administrative programs that process payments) execute payments and require releases.

Procedural / timeline notes

  • Advanced from Business & Labor Committee with AM1243 (4/29/2025). AM1243 was adopted; other amendments were filed but not adopted/considered.
  • Passed final reading May 15, 2025 (49–0–0) with an emergency clause; presented to the Governor May 15; approved May 21, 2025 — became law immediately upon approval.

Additional context

  • Payments listed are intended to resolve specific settled claims (Attorney General settlements, State Claims Board approvals, or court judgments) and the director’s delivery of funds is conditioned on receipt/releases to protect the state from further liability.

Compiled from official sources — confirm details with the bill’s official record.

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