What a week we have had of unsettling weather. My thoughts and prayers go out to those who were affected by the tornados that went through Nebraska on April 26th. It was nice to watch Nebraskans rally around one another to help clean up, provide food and water, and even find a location for lost pets to be brought and checked over until their owners could be located.

Governor Jim Pillen issued the following statement in the aftermath of severe thunderstorms and tornadoes that resulted in damage across eastern Nebraska Friday (April 26th) afternoon. “Suzanne and I extend our deepest prayers to all those impacted by today’s storms. I have ordered that state resources be made available to assist with the emergency response and to support local first responders as they assess the damage. Nebraskans are tough, resilient people, and our neighbors and communities will rally around affected families and businesses to assist them. Nebraskans are no strangers to severe weather and, as they have countless times before, Nebraskans will help Nebraskans to rebuild.” (Strimple, Laura and Urlis, Allan. Press Release. “Governor Pillen Reacts to Damaging Storms; Orders State Resource Assistance”. 27 April, 2024. https://shorturl.at/fuCFT)

I would also like to wish all the mothers out there a very Happy Mother’s Day. I hope that you are able to spend time with your children and extended family.

Bill Updates

This week I would like to continue going through the bills included in LB937.

• LB937, introduced by Lincoln Senator Eliot Bostar, a family caregiver is eligible for a non refundable income tax credit equal to 50% of expenses incurred that are directly related to the care for and support of an eligible family member. Total credits are limited to $1.5 million in fiscal year (FY) 2025-26 and FY 2026-27 and $2.5 million in the following years. As amended, LB937 contains provisions of several other bills heard by the Revenue Committee this session.
• LB901, introduced by Senator Lou Ann Linehan of Elkhorn, purchases made by a nonprofit organization are exempt from state sales and use tax if the nonprofit acquired property or contracts to build, improve, or repair property that will be transferred to a nonprofit whose purchases already are exempt.
• LB1084, introduced by Senator Teresa Ibach of Sumner, a Class III shoreline rail company located wholly or partly in Nebraska can apply to the department for a nonrefundable tax credit equal to 50% of its qualified maintenance expenditures during the tax year. The credit amount cannot exceed $1,500 per mile of track.
  Under the amended provisions of LB1184, introduced by Eliot Bostar of Lincoln, Nebraska taxpayers can apply to the Department of Revenue for a one-time, refundable state income tax credit of up to $1,000 to offset the cost of installing a reverse osmosis system at their primary residence if test results show high levels of nitrates, uranium, or certain chemicals in the drinking water.
• The amended provisions of LB1002, sponsored by Plymouth Senator Tom Brandt, set the maximum amount of tax credits available under the Nebraska Biodiesel Tax Credit Act at $1 million in Fiscal Year (FY) 2024-2025 and $1.5 million in the following years.
• LB1047, introduced by Senator Tom Brandt, expands the list of denaturants subject to an excise tax paid by ethanol producers and imposes the tax on 2% of certain agricultural ethyl alcohol sold that is unfit for beverage purposes.
• LB1072, introduced by Senator George Dungan of Lincoln, allows a producer or importer of sustainable aviation fuel to claim a nonrefundable income tax credit based on the number of gallons in all sold or used qualified mixtures.
  (“Tax credits for caregivers, others created”. Unicameral Update. 18 April, 2024. http://update.legislature.ne.gov/?p=36526)

LB126, introduced by Omaha Senator Jen Day, allows current homestead exemption recipients to remain eligible for an exemption if a valuation increase pushes the value of their homestead above the allowed maximum. For homesteads valued at or above the maximum value, the exempt amount will not be reduced and the homestead will remain eligible for an exemption for the current year if it received an exemption in the previous year, was valued below the maximum value in the previous year, and is not ineligible for an exemption for any reason other than exceeding the maximum value by at least $20,000. The exception does not apply if the valuation increase is due to improvements to the homestead. Two other bills were amended into LB126 by a Revenue Committee Amendment on Select File.

• Provisions of LB1151, introduced by Norfolk Senator Robert Dover, updates the definition of “occupy” under the homestead exemption program. Under LB126, a departure from a property for health or legal reasons does not disqualify an owner from receiving an exemption so long as they demonstrate an intention to return to the property.
• LB1019, introduced by Bellevue Senator Rick Holdcroft, requires county assessors or county clerks to correct the assessment and tax rolls after a final order of the Tax Equalization and Review Commission (TERC).

(“Homestead exemption changes approved”. Unicameral Update. 18 April, 2024. http://update.legislature.ne.gov/?p=36520)

As always, I invite you to let me know your thoughts, ideas, concerns, or suggestions by calling my office at (402) 471-2716 or emailing me at jalbrecht@leg.ne.gov.