Challenging Eminent Domain Appraisals in Nebraska: A Guide for Property Owners

When the Nebraska Department of Transportation decides to widen a highway, or a local municipality needs land for a new water treatment plant, they use the power of eminent domain to force you to sell your property. Being told you must surrender your family farm or commercial real estate is devastating. While you usually cannot stop the government from taking the land if it is for a valid public use, both the US Constitution and Nebraska law guarantee that you must receive 'just compensation.'

Unfortunately, the government's initial offer is almost always a lowball figure designed to save taxpayer money. They will send an appraiser who works for them, looking out for their best interests, not yours. When negotiations fail, eminent domain proceedings are initiated under Neb. Rev. Stat. § 76-704, while Neb. Rev. Stat. § 76-706 directs the county judge to appoint three disinterested freeholders to the County Board of Appraisers. By challenging the valuation before this board and potentially appealing to the District Court, you can aggressively fight for the true market value of your land, including complex 'severance damages' if they only take a portion of your property.

Step-by-Step Guide to Fighting Eminent Domain in Nebraska

Whether you are facing condemnation by a utility company in Grand Island, the city council in Omaha, or the state highway department near Lincoln, the eminent domain process follows strict statutory rules. Here is how to fight back.

Step 1: The Initial Government Offer and Negotiation

Before the government can file a condemnation lawsuit, they are required by law to negotiate with you in good faith. They will present a written offer based on their appraiser's report. Never accept this first offer without consulting an attorney. You should immediately hire an independent, state-certified appraiser to determine the 'highest and best use' of your property. If the government's appraiser valued your farmland as dirt, but it is located directly in the path of suburban development, the true value is exponentially higher.

Step 2: The County Board of Appraisers Hearing

If you reject the offer, the government files a condemnation petition. The local County Judge at the Lancaster County Court, Lincoln (or your respective county) will appoint three disinterested freeholders (local property owners) to serve as the County Board of Appraisers. A hearing will be held where your attorney and the government's attorney will present competing appraisals. The Board will then inspect the property and issue an official award of damages.

Step 3: Proving Severance Damages for Partial Takings

Often, the government does not want your whole farm; they just want a 50-foot strip across the front for a road. This is a 'partial taking.' You must be compensated not just for the strip they took, but for the damage done to the rest of your property. This is called 'severance damages.' For example, in Walkenhorst v. State, Dept. of Roads, 253 Neb. 986 (NE Supreme Court 1998), the courts affirmed that if a new highway cuts your farm in half, making it impossible to maneuver massive tractors, the remaining land loses massive value. Your lawyer will fight fiercely for severance damages at the Board hearing.

Step 4: Appealing to the District Court

If the County Board of Appraisers issues an award that is still too low, you have 30 days under Neb. Rev. Stat. § 76-715 to file a formal appeal. Because Nebraska does not utilize a standardized preprinted form for condemnation appeals, your attorney will draft an individualized Notice of Appeal and post an appeal bond with the County Judge pursuant to Neb. Rev. Stat. § 76-716 to transfer the proceeding to the local District Court, such as the Douglas County District Court, Omaha. The case then proceeds to a full civil jury trial. A jury of your peers-not government bureaucrats-will listen to the expert appraisers and decide the final compensation amount.

Step 5: Forcing the Government to Pay Your Lawyer

Fighting the government sounds expensive, but Nebraska law provides an incredible shield for property owners. Under Neb. Rev. Stat. § 76-720, if you appeal to the District Court and the final jury verdict exceeds the Board of Appraisers' award by at least 15%, the court may award you a reasonable sum for attorney fees and expenses necessarily incurred for not more than two expert witnesses. However, as affirmed in In re SID No. 384 of Douglas County, 259 Neb. 351 (NE Supreme Court 2000), this statutory recovery does not include fees or appraisal costs incurred prior to appealing to the District Court. This rule holds the condemning agency accountable while helping property owners secure skilled representation.

How Much Does it Cost in Nebraska?

Eminent domain cases are uniquely structured so that property owners can afford to fight for their constitutional rights.

How Long Does the Process Take?

Eminent domain moves on the government's schedule. The County Board of Appraisers usually holds their hearing and issues an award within 30 to 60 days of the condemnation petition being filed. If you accept the Board's award, you get paid quickly. However, if you appeal to the District Court for a jury trial, the discovery process involving expert witnesses can drag the case out for 12 to 18 months.

Frequently Asked Questions (FAQ)