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Payments to benefit communities, schools

Payments to benefit communities, schools

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Money and grants

PLATTSMOUTH – It’s spring again with birds chirping, flowers in bloom, and payments in lieu of tax being distributed.

Every year around this time, the Omaha Public Power District and the Nebraska Public Power District distribute payments in lieu of tax to the counties, communities and school districts in their respective service areas.

That includes Cass County in which both OPPD and NPPD have customers.

This year, the county received $277,106 from OPPD, and $354,044 from NPPD, according to Cynthia Fenton, county treasurer.

“Anytime you get it that is always good news,” she said. “It’s a fair sum for the school districts, for everybody.”

In lieu of tax payment amounts are based on 5 percent of OPPD’s and NPPD’s gross revenues from the previous year’s retail electricity sales in incorporated cities and towns, and they take the place of property taxes, according to Fenton.

The funds from OPPD and NPPD will be distributed to the communities/villages and school districts they serve in the county, along with the county itself, for needed services and improvements, she said.

Among those served by OPPD are Alvo, Murdock, Elmwood, Eagle, Louisville, Weeping Water, South Bend, Avoca, Manley and Cedar Creek. NPPD serves Plattsmouth, Nehawka, Union and Murray.

The money will be distributed based on the levies by the respective entities. The higher the levy, the more that entity will receive, Fenton said,

In addition to in lieu of tax payments, these utility firms also pay general sales taxes, gasoline taxes, motor vehicle license fees and permit fees like any other business.

“We hope these funds help lighten the financial burden for counties throughout our service territory, particularly with the past year’s challenges due to COVID-19,” said OPPD Board Chair Amanda Bogner.

“Payments in lieu of tax benefit schools and other governmental agencies throughout the communities we serve. And, that’s very gratifying.”


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