SID No. 67 v. State, 309 Neb. 600

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 and closed two direct access points from Normandy Hills, rerouting traffic via a longer frontage-road route.
SID 67 sued the State (NDOT) and Sarpy County in inverse condemnation, alleging the closures damaged its streets and claiming ownership of the roads by dedication.
County-appointed appraisers found $0 in damages; SID 67 sought district court review. NDOT and Sarpy County moved to dismiss for lack of standing/failure to state a claim.
The district court dismissed on the pleadings, finding SID 67 was not the real party in interest because it lacked ownership/private-property status; the Nebraska Supreme Court affirmed.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether SID 67 is the real party in interest and may bring an inverse condemnation action against the State	SID 67: it owns the subdivision roads (by dedication) and thus may recover for a taking/damage	NDOT & Sarpy County: SID 67 is a political subdivision, not a “person” owning “private property,” so it lacks standing	Court: SID 67 lacks standing; political subdivisions hold property at the Legislature’s pleasure and cannot assert inverse-condemnation claims against their parent State; dismissal affirmed
Whether the district court erred by refusing to consider extrinsic evidence (plat) when resolving standing	SID 67: ownership is a factual question requiring consideration of the plat; dismissal should have been treated as summary judgment	Defendants: motions were facial challenges to jurisdiction; court properly considered only the pleadings	Court: motions were facial; plaintiff bore burden to plead standing; court properly limited review to pleadings; no error

S.I.D. No. 95 v. City of Omaha, 221 Neb. 272 (1985) (held sanitary and improvement districts are political subdivisions and cannot assert constitutional takings claims against the State)
Rock Cty. v. Spire, 235 Neb. 434 (1990) (county is not a “person” under Neb. Const. art. I, § 21 and cannot claim compensation under the federal takings clause when the State reclaims public property)
United States v. 50 Acres of Land, 469 U.S. 24 (1984) (federal takings of state-owned property can require compensation because state and federal governments are separate sovereigns)
Knick v. Township of Scott, Pennsylvania, 139 S. Ct. 2162 (2019) (recognition of landowner’s ability to pursue inverse condemnation claims under the Constitution)
City of Millard v. City of Omaha, 185 Neb. 617 (1970) (articulates principle that municipal corporations and similar subdivisions hold powers and property subject to the State’s plenary authority)