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Business and Labor Committee hears annual claims bill asking Legislature to approve state settlements and write‑offs

2696115 · March 18, 2025
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Summary

LB534 (claims bill) compiles settlements and agency write‑offs requiring legislative appropriation or review, including tort settlements, workers' compensation settlements and agency debt write‑offs; the Department of Administrative Services and Attorney General outlined claims, and agencies explained uncollectible debt categories.

The Business and Labor Committee heard LB534, the Legislature’s annual claims bill, which requests legislative review and appropriation for several settlements and agency debt write‑offs arising from tort, workers' compensation and miscellaneous claims against the state.

Thomas Helget, legal counsel to the committee, and Sarah Skinner, interim state risk manager, explained the claims process: tort and miscellaneous claims follow administrative filing and agency investigation, and settlements above statutory thresholds require state‑level review and, where necessary, legislative appropriation. The bill aggregates claims that exceed the statutory review threshold and includes multiple categories: indemnification settlements (employment discrimination and federal civil suits), workers' compensation settlements already approved by the Workers' Compensation Court, automobile‑related tort settlements to be paid from the State Insurance Fund, and a set of agency debt write‑offs (debts agencies have pursued but…

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