SID No. 67 v. State
309 Neb. 600
| Neb. | 2021Background
- Sanitary and Improvement District No. 67 (SID 67) is a Nebraska political subdivision that maintained streets in the Normandy Hills subdivision near Highway 75.
- In 2003–2004, NDOT and Sarpy County reconstructed Highway 75, permanently blocking two direct subdivision access points and rerouting traffic via a longer frontage-road route.
- SID 67 filed a county-court petition for inverse condemnation, alleging the rerouting damaged its property (streets) and asserting ownership of the roads by a 1972 plat dedication.
- County-appointed appraisers found $0 damages; SID 67 sought review in district court, where NDOT and Sarpy County moved to dismiss for lack of standing and failure to state a claim.
- The district court dismissed on the pleadings for lack of standing (real party in interest), finding the dedication conveyed the roads to the public; SID 67 appealed.
- The Nebraska Supreme Court treated the motions as a facial jurisdictional challenge (no extra-pleading evidence) and affirmed dismissal, holding SID 67—being a political subdivision—was not a “person” owning private property for purposes of inverse condemnation against the State.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the court erred by refusing to admit evidence on ownership when ruling on dismissal | SID 67: ownership of roads is a factual question (plat dedication); court should treat motion as factual/summary-judgment and consider the plat | NDOT & Sarpy County: dismissal was a facial jurisdictional challenge filed at pleading stage; no outside evidence required or allowed | Held: facial challenge — no evidentiary hearing; district court correctly limited review to pleadings and did not err in excluding extraneous evidence |
| Whether SID 67 is the real party in interest and can bring inverse condemnation against the State | SID 67: it owns the streets (by dedication) and suffered a taking/damage, therefore entitled to compensation | NDOT & Sarpy County: SID 67 is a political subdivision, not a “person” with private property; political subdivisions cannot assert takings claims against their creating sovereign | Held: SID 67 lacks standing as the real party in interest; political subdivisions hold property by legislative grace and are not persons owning private property for inverse condemnation against the State; dismissal affirmed |
Key Cases Cited
- S.I.D. No. 95 v. City of Omaha, 221 Neb. 272, 376 N.W.2d 767 (1985) (SIDs are political subdivisions and cannot assert inverse-condemnation claims against the State)
- Rock Cty. v. Spire, 235 Neb. 434, 455 N.W.2d 763 (1990) (county is not a “person” entitled to Takings Clause compensation; public entities hold property for public use)
- Knick v. Township of Scott, Pennsylvania, 139 S. Ct. 2162 (2019) (explains modern inverse condemnation doctrine and that takings claims can be brought directly in court)
- United States v. 50 Acres of Land, 469 U.S. 24 (1984) (federal government must compensate when it takes state-held private property; distinguishes intersovereign takings)
- City of Millard v. City of Omaha, 185 Neb. 617, 177 N.W.2d 576 (1970) (municipal corporations are political subdivisions whose powers and property are subject to state control)