This week was the last week of this 90 day session. We finished business on Thursday, June 1st. It has been a long session, but much has been accomplished. It has been an honor to serve you and be able to deliver many historical bills for Nebraska.

Flag Day is coming up on Wednesday, June 14, 2023. Many Americans celebrate Flag Day by displaying the Red, White and Blue in front of homes and businesses. The day commemorates the adoption of the Stars and Stripes as the official flag of the United States. (“Flag Day Celebrated–June 14, 1777”. May 31, 2023. https://rb.gy/u93d1)

Bill Updates

•  Budget Overrides–On Wednesday, May 31st, we spent most of the day debating the Governor’s line item vetos on the budget we passed May 18th. Over the course of the day, we only voted to override the Governor’s veto on granting additional funds for the state auditor.
• LB583–Provide for foundation aid and special education supplemental aid under the Tax Equity and Educational Opportunities Support Act (TEEOSA)–This bill was brought to the floor by Senator Rita Sanders on behalf of the Governor’s office. LB583 would invest in Nebraska’s kids through the following mechanisms:
  o It inserts $1,500 per student foundational aid within the TEEOSA formula;
  o It expands State funding for special education by filling the gap between existing federal and State support and 80% of a district’s anticipated expenditures for special education. This function is outside of the TEEOSA formula.
  o Every School District in the State of Nebraska will be receiving some funding by the state. Special education funding will reach 80%. We are investing in every student in Nebraska.
  This bill passed on Final Reading with an Emergency Clause and was signed into law by Governor Pillen on Wednesday, May 31, 2023.

News from the Governor’s office

•  On Tuesday, May 30th, Governor Jim Pillen signed LB753 (Opportunity Scholarships Act)–the first school choice bill in Nebraska’s history to be signed into law. Governor Pillen was joined at the event by state senators, school choice advocacy representatives, and students. “This legislation is a historic step forward for the state of Nebraska,” said Governor Pillen. “Our kids are our future, and we all believe that every Nebraska kid should have the opportunity to have their educational needs met, whether they live in Omaha or Scottsbluff. This law ensures that we are funding students, not systems.” LB753 commits $25 million in tax credits for scholarships to kids across Nebraska with priority for scholarships going to kids who live in poverty, foster care, experience bullying, harassment, or other victimizing behaviors, or have a parent or guardian serving in the military. With the Governor’s signature, Nebraska joins 48 other states offering school choice. (“Governor Pillen Signs Historic School Choice Bill”. May 30, 2023. https://governor.nebraska.gov/press/governor-pillen-signs-historic-school-choice-bill)
• On Wednesday, May 31st, Governor Pillen signed LB754 and LB243 into law. Among the provisions of LB754: a reduction of individual and business income tax rates to 3.99% tax year 2027; acceleration of a tax exemption for Social Security benefits at 100% effective beginning January 1, 2024, and allows a child tax credit for individuals at or under $75,000 annual income and a child care tax credit for individuals at or under $150,000 annual income. LB243 increases the amount of relief granted under the Property Tax Credit Act and establishes a cap of 3.0% annually on how much school districts can increase property tax requests–with some exceptions. Both bills contain emergency clauses which means they went into effect as soon as Governor Pillen signed them.
• On Thursday, June 1st, Governor Pillen signed LB562 into law. This bill was amended by the Agriculture Committee. In the committee amendment, retailers will be incentivized to increase the blender rate of ethanol from the current average of 9.7% up to 14% in the next 5 years. If a new fueling station is built in that time frame, or an upgrade is made to 80% of the facility, then half the pumps would need to be E15 compatible. Incentives are in the form of tax credits to retailers, and are based on gallons sold and cents per gallon; they can choose to pass that along to the consumer or put it back into the business to cover costs. Either way, it flows back into the Nebraska economy, boosts ethanol consumption and production, and provides an enhanced market for corn; while producing a more environmentally friendly fuel and giving consumers more options.
  Also included in LB562 is Senator Brandt’s beginning farmer program at a $2 million funding level. It is intended to help those just starting out in agriculture with tax exemptions and credits, and also to owners who rent assets to beginning farmers and ranchers. (Senator Dorn “Weekly Update”. May 12, 2023. http://news.legislature.ne.gov/dist30/)

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