As we move closer to reconvening at the Legislature, Nebraska also moves towards economic recovery. Our state continues to lead the country, even in the midst of COVID-19. In June, Nebraska posted the lowest unemployment rate in the Nation, showing once again the amazing work ethic of Nebraska residents and their commitment to a strong recovery of our State.

Speaking of unemployment, the extra $600 per week for those collecting unemployment benefits is set to expire July 31. Also, beginning the benefit week of July 12, 2020, performing and reporting work search activities are once again required for those claiming benefits unless the claimant has an employer-confirmed recall date within 112 days of their layoff, is in approved training, a union member with a hiring hall, or in a short-time compensation program.

Kudos to Walmart South Sioux City that has actively participated in reaching the goal of Walmart’s Veterans Welcome Home Commitment to hire 250,000 veteran associates since its Memorial Day 2013 launch. Nebraska helped reach the goal with 2,200 veteran hires and 421 veteran associate promotions in the state. I am proud that District 17 played a part in this honorable effort.

Working from home the last few months has involved more than a few frustrating moments without adequate Internet service. This last week, I directly experienced the need for improved broadband and internet access for those of us in District 17. The gap in adequate rural access to broadband has become even more apparent with increased use of Internet by so many working from and staying at home during the pandemic. Never having left my mind, rural broadband access is once again at the forefront. I serve on the Transportation and Telecommunications Committee. In February, the Committee designated LB992 as one of our two priority bills. LB992 proposes the Broadband Internet Service Infrastructure Act and makes changes recommended by the Rural Broadband Task Force to improve access. The changes in part provide a process enabling broadband to expand service by running over existing electric easements to the rural communities throughout Nebraska. I am looking forward to discussing LB992 during these next 17 days of the Session.

Looking ahead to reconvening July 20, property tax relief remains a focal point for me and many of my colleagues. There has been hard work since January to try to bring tax relief to individual, commercial, and agricultural landowners. Many senators have worked tirelessly to make LB1106 a better bill. Reports have indicated that there is still a struggle to get the 33 votes needed to pass LB1106. My thanks to Senator Groene for outlining the following changes being proposed in the most recent amendment to LB1106:
1. Agriculture, horticultural & special valuations within the TEEOSA formula adjusted to 52%; residential, commercial/industrial & centrally assessed property adjusted to 83%
2. Taxable property valuations for school districts: 55% for agriculture, horticultural & special valuations; 87% for residential, commercial/industrial & centrally assessed property.
3. Acceptable ranges for property valuations by Counties adjusted to 49-55% for agricultural, horticultural, & special valuations; 79-87% for residential, commercial/industrial & centrally assessed property.
4. Foundation Aid, currently set at 2.23% of local income taxes to each school district from the State, under LB1106 in its currently proposed amendment would replace the Income Tax Rebate with 15% of net income, corporate, sales & use tax collections divided by statewide K-12 fall membership. Foundation Aid cannot be less than 15% of a school district’s basic funding.
5. Base limitation on budget growth. Adjust from 2.5% Basic Allowable Growth Rate of expenditures, which has averaged 1.48% to 2.0% maximum allowable growth in expenditures.
6. Budget authority, currently allowed to accrue unused budget authority year over year may access a maximum of 2.5% of additional budget authority annually. This would continue after 2020-21, however, would include a one-time reset of all school districts’ unused budget authority back to current year expenditures. To eliminate budget authority hoarding, the 2.5% cap would be eliminated and districts that use the year over year budget method would be allowed to set base-year maximum expenditures at 110
% of the most recent 2-year budget.
7. Maximum levy of $1.05 per $100 valuation adjusted.

In summary, the State pays a larger percentage of educational costs for Nebraska’s children and the school districts restrain spending growth. At the center of the proposal is a plan to reduce local reliance on property tax revenues.

Naturally, the changes noted above, along with a few others may change,. As the amendment is currently proposed, District 17 taxpayers and schools will benefit from its passage.
What is certain is that enough is enough. We need to do what is best for the children, the taxpayers, and the State. As we look toward reconvening on July 20, I am challenging my colleagues in the Legislature to join hands across the aisle and to take care of this issue that the people of Nebraska have already waited 40 years for us to fix. Enough is enough. The time is now. In the infamous words of John F. Kennedy, “If not us, who? If not now, when?”

As always, I invite you to let me know your thoughts, ideas, concerns, or suggestions by contacting me at jalbrecht@leg.ne.gov or by calling my office at 402.471.2716.