This past weekend (May 2-3) was the National Fallen Firefighters Memorial Weekend, when our nation honors the brave volunteer and career firefighters who have sacrificed their lives in the line of duty. We give special reverence to those we have lost over the past year.

Last weekend has special meaning this year because of the brave men and women who have dedicated significant time and resources to fighting fires in our own backyards. The last couple of months have highlighted the importance of our local volunteer fire departments, which fought multiple wildfires spreading at unprecedented rates, consuming thousands of acres of grass and anything in their path. It is hard to fully understand the commitment our volunteers give to protect our lives and property. Words cannot express our appreciation. But please accept our sincere THANK YOU!

May 1 also marked the beginning of National Beef Month. On Thursday, U.S. Senator Pete Ricketts introduced a resolution to designate May 2026 as Beef Month in America. Senator Deb Fischer cosponsored the resolution, along with Senators from Kansas, Oklahoma, Missouri, and Minnesota.

“Nebraska is the beef state. Last year, we led the nation with over $1.75 billion in beef exports. We lead the nation in commercial cattle slaughter with over 6 million head. And we have the top three beef-producing counties in the nation,” said Senator Ricketts. “Nebraska’s ranchers are the best in the world. They’ve shown it this year in response to this spring’s devastating fires across the state. I am confident they will rebuild and I’m grateful to honor them in the month of May.”

I echo Senator Ricketts’ remarks. The Nebraska Sandhills are a national treasure and are maintained because of the sustainable practices employed every day by Nebraska’s professional ranchers. Their management practices ensure that the Sandhills will last forever while producing the world’s best beef. I am so grateful to have a significant portion of the Sandhills in my District, and the opportunity to represent some of the finest people in the state. They embody our Nebraska traits of hard work and family values.

In closing my article this week, I want to recognize the value of our local newspapers throughout District 42. Print media has been under significant pressure over the past few years as an increasing number of readers are getting their news from social media (the source of all truth (NOT)). Meanwhile, the cost of delivery and materials has increased. But if we truly want to get accurate local news along with pictures of our youth and significant events, newspapers need to be in the mix.

Newspapers don’t develop content on their own. It takes publishers, editors, and local reporters to bring it all together. At the most recent state newspaper awards, many were won by local professionals. Todd VonKampen with the North Platte Telegraph won first place for his investigative report on the Perkins County Canal project. Marcia Hora with Creative Printers, who publishes the Thomas County and Logan County papers, was recognized for over 50 years with the papers. The North Platte Bulletin also won several awards, including some§ for its founder and regular reporter, George Lauby. Each of these individuals works tirelessly to facilitate local news and discourse. I hope we can find ways to continue supporting local reporting, including those who pursue new ventures, as George did with the Bulletin. It is clear our lives would be less fulfilled without them.

It is a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

With the legislative session over, it’s time to turn our attention to the election and the agenda for next year. Since my election in 2022, I have served on the Banking, Commerce, and Insurance Committee and, for the last two years, as its chairman. One of the high points for me during this time was the passage of LB1087, a bill I sponsored that allowed Nebraska hospitals to access nearly $1 billion for Medicaid reimbursements. The timing of this funding was a lifeline to many rural hospitals that were contemplating closure. I appreciate the Governor’s support, who agreed to participate in the program because it had no strings attached. I also appreciate the support of my colleagues in the Legislature who voted for the bill, and Congressman Mike Flood, who helped us with the federal red tape to get the program approved by CMS just prior to the passage of LB1 at the federal level. The program would have been in jeopardy if the timing were different. I can tell you firsthand that rural health care is critically important. Attracting and retaining workers and retirees to our area depends on access to quality health care.

One of the most important issues facing all Nebraskans continues to be the unsustainable rise in property taxes. To address this issue, we need to understand who sets your property taxes and, from there, focus on solutions. Keep in mind that the state has no authority to charge property taxes. State tax revenues primarily come from sales taxes and income taxes. Counties are allowed to charge property taxes and receive inheritance taxes. Cities charge property taxes and can charge a sales tax up to 2% with voter approval. Public schools charge property taxes and lead all other taxing authorities to account for over 50% of your property tax bill. A variety of other political subdivisions also have the authority to assess property taxes and do so at a lower rate. For this reason, it is important to pay attention to what candidates for school board, city council, county commissioner, and other local entities say about their focus on protecting the property taxpayer.

As elected officials, we are asked to balance providing for our constituents’ needs with the obligation to limit taxes. I have often been asked what I am doing to lower property taxes. First, I remind those who ask that the Legislature has no direct impact on your property taxes, but can take steps to reduce them or at least reduce the rate of the increase. During my time in the Legislature, we have taken operating expenses for community colleges off the property tax rolls by absorbing that expense by the state. Today, that accounts for nearly $300 million in reduced property tax expenses.

The Legislature has also increased the amount of the Tier II property tax credit that appears on your property tax statement each year. In total, the state has now offset nearly $1.7 billion in property taxes from these credits. And of course, the state provides funding for public schools through the TEEOSA formula. This includes providing all public schools with $1,500 dollars per student (“foundation aid”), in addition to any other subsidies that might be available to a district under the formula. Despite a significant funding commitment by the state to property tax relief, locally assessed property taxes continue to rise and place significant burdens on many taxpayers.

Given the state’s own budget battles, there is limited capacity to provide additional property tax relief in the current fiscal environment. As a result, the only tool available to the state is to cap the taxes that local political subdivisions can levy. The challenge will always be finding the right limits. It is challenging to legislate for every situation, and there is a significant difference between the needs of urban and rural communities. For example, the Omaha Public School District has 53,000 students while the McPherson Public School District has 53 students. The cost per pupil is over $45,000 per student for McPherson, while the OPS cost per student is around $11,000. But the mill levy in the McPherson County School District is significantly lower than in surrounding school districts because of the limited services required and the district’s land value. With so many levers that can be pulled, it is very hard to set up a fair statewide system that accounts for all variables when funding local services.

The answer to the property tax challenge really lies with making well-thought-out strategic cost reductions. Controlling overhead and limiting administrative costs are the first places to look for public schools. Teacher salaries and teaching staff are likely the last place to look. For local governments, it is important to determine which services are truly essential and to find the most cost-effective way to provide them. Conservative budgeting and spending are imperative to keep property taxes low. It will be imperative for money-conscious taxpayers to know who they are electing for every race in the upcoming election cycle.

It is a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

This past Friday marked the 60^th and final day of the 109^th Legislature. Generally, Day 60 is reserved for ceremonial activities that include an address by the Governor and the Speaker, plus farewell comments from the departing Senators in the second year of the biennium. However, the Governor decided to veto five bills, so bill sponsors had to consider whether to file a motion to override. Ultimately, override motions were filed for four of the five bills, but the Legislature voted to uphold the vetoes on all four bills.

Some criticized upholding the vetoes given that all of the bills made it through three rounds of debate and in some cases passed on Final Reading unanimously. One bill even appeared on the consent calendar. However, it’s worth nothing that, for most bills, the bulk of debate takes place in committee and during General File debate unless there are amendments filed on Select File. Final Reading tends to only draw significant debate if the bill was already controversial.

This year, the Legislature ultimately agreed with the concerns raised by the Governor in his veto letters for each of the bills. For some, there were suggestions that only portions of the bill were problematic, so I would expect they will be resurrected in a modified form next year. And for the maternity/paternity leave bill, the Governor said his administration would make an administrative change to enact some of the provisions in the bill.

We will be losing 13 Senators after this year, including Speaker John Arch and Appropriations Committee Chair Rob Clements. We are losing most of the Senators to term limits, although a couple have decided not to seek re-election. I remain convinced that allowing Senators to serve three four-year terms, instead of just two, would bring more stability to the Legislature. Not only would it allow us to keep more seasoned leaders, but it would also promote more institutional knowledge among both staff and Senators.

I certainly started the session with some trepidation and skepticism about how productive it would be. However, in the end, I was satisfied with our ability to take a $631 million projected deficit and reduce it to a $6 million projected surplus while keeping our income tax decreases in place and maintaining the funding for the Perkins County Canal and the new state prison. We were also able to increase the property tax credit to a total of $1.6 billion per year. This was possible by reducing cash funds and making structural changes in state spending. Going forward, state spending is projected to increase by 2.5% per year, but we will need to continue to pursue greater savings if revenues fail to grow at a faster pace in order to balance the budget.

Like in business, the state budget is an estimate of spending based on estimated revenue. The Legislature relies on the most recent revenue estimates from the Nebraska Economic Forecasting Board available at the time. The Department of Revenue then reports the actual revenue receipts each month and compares them to the forecasting estimate. For March, state revenues were $78 million under the forecast; when paired with the $6 million surplus in the budget, we are currently operating with a $72 million “deficit.” However, keep in mind that the revenues are actual revenues as opposed to accruals.

The amount of receipts and tax renewals often fluctuates month-to-month, particularly this time of year when individuals are filing their taxes, and payments and refunds may not be processed at the same time. With that said, if the timing of expenditures is different than forecasts, the net revenues will fall behind. This year, most taxpayers are filing their income tax returns earlier because they are getting refunds. If you are not getting a refund, but instead paying tax, you will likely not file until April. As a result, refunds in the month of March are likely higher than forecast due to early filing, and tax revenues are lower because they are not coming in until the month of April. If so, the revenue shortfall will likely change positively in the next month or two. We will know more as the year goes on, just as we did in 2025. Either way, we will begin a new biennium budget process when we reconvene in 2027.

It is a privilege to represent you in the Nebraska Legislature. I look forward to hearing from you regarding issues that are important to you as we begin the interim. Please continue to reach out at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

Last Friday marked Day 59 of the 60-day session. We will return this Friday for Day 60. Since all the Final Reading bills were completed this past Friday, the only business remaining on Day 60 will be any veto overrides, a few congratulatory resolutions, closing remarks from the Governor, departing remarks from term–limited Senators, and closing remarks from Speaker Arch.

I am very pleased that, although many Senator’s priority bills did not get scheduled, I was able to pass every bill I wanted to move this session. The last two bills were passed on Friday.LB525, my ag data privacy bill, passed with all 49 senators voting in favor. LB838, one of the Banking Committee’s priority bills, passed with 46 yes votes.

I was also pleased that LB1187, the brand bill, passed with my amendment AM3037 as amended with AM3068. Although the original LB1187 was a bill adjusting fee caps, it was replaced by my “white copy” amendment and the subsequent AM3068,which simply made technical adjustments. For those who want to review the final bill, visit the Legislature’s website at nebraskalegislature.gov, look up LB1187, and read the Final Reading copy. It is the final bill. The final vote was 39 in favor, 9 opposed, and 1 present not voting. Senator Hardin filed a conflict of interest statement to be able to vote PNV.

Although the brand bill is not perfect, I am confident that this issue is now in the rear-view mirror and will not be back anytime soon. The final version expanded the Brand Committee from five members to seven, to now include a representative that owns or operates a feedyard located inside the brand inspection area and one who owns or operates a sale barn located within the brand inspection area. There will be one representative from each of four districts across the state based on the approximate cattle population. The fifth district will be represented by someone outside the brand area. The reason for this fifth district is because the brand laws allow brand inspectors to search throughout the whole state to find lost or stolen cattle. Each of the four other area representatives must live within the district and be primarily engaged in raising cattle. The Governor will appoint the members, who are then confirmed by the Legislature. Two other ex officio members are the Secretary of State and the Director of the Department of Agriculture. The board will elect a chair and vice chair and appoint an Executive Director.

I am hopeful that, going forward, the Brand Committee will self-govern and that any future changes to the brand law will result from a request from the Committee, should it need any statutorychanges. There is a huge divide within the cattle industry. There is significant mistrust between the Brand Committee and the feed yards they audit. One of the Committee’s highest priorities going forward is to restore that trust. I believe the Brand Committee has already taken steps to change its procedures to begin that process, but nothing happens overnight. The Brand Committee has a very difficult job; I hope everyone can work together going forward to make the changes succeed.

Agriculture is Nebraska’s largest industry, and cattle production is the largest part. There are many challenges facing producers today that go far beyond brand. The low cow numbers, the closure of the Tyson processing plant in Lexington, and fires have all impacted the industry. One thing I am sure of is that we will get through this, even if it’s challenging. Having the brand issue settled will help.

It continues to be a privilege to represent you in the Nebraska Legislature. I look forward to hearing from you regarding issues that are important to you, particularly as I’m able to be in the District more over the interim. I can also be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

We have reached the final full week of the second half of the 109th Legislature. After this week, we are scheduled to return on Friday, April 17, to vote on any final legislation or veto overrides. If the Governor indicates that he will not veto any bills, Day 60 may not be necessary.

A week ago, I attended the Hershey Volunteer Fire Department’s annual spaghetti fundraiser. It is my understanding that it was a record turnout of nearly 800. I had the opportunity to spend time with local volunteer firefighter Amada Snide and the President and immediate Past President of the Nebraska State Volunteer Firefighters Association. We had the opportunity to discuss LB400, which was pending before the Nebraska Legislature. We discussed why the bill would hurt the budgets of local rural fire departments if passed, and why I would be leading a filibuster to stop it. I care deeply about the work our firefighters do to protect us. I especially appreciate the work our volunteer firefighters and EMTs do to keep us safe. Supporting a huge unfunded mandate by the state would do more harm to local departments and their slim budgets. The strong attendance at this event indicates how local communities will help financially support our volunteers. THANK YOU for all you do!

I also participated in the ceremony to elevate Jayden McDermott, Landon Gilbert, and Jordan Redden to the rank of Eagle Scout. It is so refreshing to know that organizations like the Boy Scouts of America continue thriving to help foster the values that our country was founded on. The accomplishments of these three individuals set a fine example for others to aspire to. Congratulations to these young men.

The highlight of last week in the Legislature was the culmination of a two-year-long debate over the brand law in Nebraska. It began last year with Senator Ibach’s LB646, which would have exempted registered feedlots (RFL’s) from brand inspection, audits, and fees. That bill was significantly modified, but was passed over before a vote was taken on Final Reading. This year, Senator Ben Hansen introduced LB1258. The bill would have immediately eliminated the Brand Committee and made all inspections voluntary. Senator Barry DeKay introduced LB1187, which would have simply increased fee caps and allowed for a surcharge for travel, as requested by the Brand Committee.

The Legislature’s Agriculture Committee ultimately advanced LB1187, but with a committee amendment that made significant changes to the brand law. Proposed changes included reducing the required audits, exempting dairy heifer developments from inspections and audits, completely changing the board, and allowing cattle to be moved anywhere in the state for grazing and temporary care with no inspection when there wasn’t a transfer of ownership. I joined Senator Tanya Storer in opposing both Senator Hansen’s bill and the committee amendment to LB1187.

Once it was clear that LB1187 with the committee amendment was going to be scheduled for debate this year, I spent the prior weekend and most of Tuesday afternoon negotiating with all the parties to find an acceptable path forward. This resulted in me filing AM3037, an amendment to LB1187 that replaced the committee amendment and the underlying bill’s provisions. LB1187 passed the first round debate on a vote of 37-1-7 with AM3037 attached, essentially becoming the new bill. The bill will move to the final two rounds of debate this week and should be signed by the Governor.

It has been a collaborative effort by many to get the brand bill to the finish line. I agree with Senator Storer’s statement that we hope not to be re-addressing this issue again anytime soon. This issue has divided both the industry and the Legislature. We expect the Brand Committee to do its part by making further regulatory changes and only coming to the Legislature for needs they recommend.

In the end, AM3037 preserved the integrity of the brand (ownership verification process), reduced fees for RFLs in the brand inspection area (who do not need the protections that the brand offers), and kept the inspection/audit process in place, along with reasonable fees to support the costs associated with carrying out the system. This was a huge win for cow/calf producers when you consider the proposed alternatives. Reaching a negotiated agreement that everyone can live with was imperative for the industry. I appreciate everyone’s efforts to reach this agreement. Special thanks to Senator Storer for her tenacity and guidance along the way.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

Monday, March 30, marks Day 52 of the 60-day session. The Legislature will meet for four days this week and four days the week of April 5. We may then return on April 17 for Day 60 to discuss any veto overrides or pass any final pieces of legislation. Bills must “layover” a day between Select File and Final Reading, and it is unusual for a bill to be heard on General File and Select File on the same day since it needs to be reviewed by revisors between rounds of debate. As a result, a bill must be heard on General File by next Tuesday to have enough time to pass through the legislative process. Any bill that does not pass this year will be indefinitely postponed once the Legislature adjourns. We will start with a clean slate of new bills next year, which is also the start of the next biennium.

Given the short time remaining in session, we will go late every night this week to try to get through as many bills as possible. This is the part of the session that I don’t look forward to. Everyone is getting limited sleep, and patience always runs thin. When we hold late-night debates, some bills move very quickly if they have little opposition. However, controversial bills get more contentious than normal. Staying focused on the goal is important. Most of my bills are moving and should get to the finish line as long as we don’t get bogged down in significant filibusters.

One possible filibuster on the horizon is on the brand bill, LB1187. The Agriculture Committee has continued to make changes to the bill that not only modify the fee structures but also change the makeup of the brand committee, how often audits are conducted, and who is subject to audits and inspections. These proposed changes will be met with strong opposition from many who are following his bill, and further amendments will likely be needed on the floor to avoid a filibuster at each stage of debate going forward. I wouldn’t be surprised if the Speaker asked Chair DeKay to show there are 33 votes for cloture before allowing debate to continue. Failure to show 33 votes will likely cause the Speaker to pass over the bill. Senator Storer and I have an amendment that we believe would remove most of the objections to the bill and make us comfortable standing down on opposing the bill. I think everyone wants something to pass this year, but the current proposal from the Agriculture Committee goes too far.

Last week, my priority bill, LB525, was heard and advanced from General File with little debate. The bill creates the first-of-its-kind ag data privacy protection for agricultural producers. The bill has strong support from the ag community and should easily pass this year.

After two failed attempts, LB1071, the mid-biennium budget adjustment bill, also advanced to Select File to join LB1072, the fund transfer bill. Both bills are postured to pass the next two rounds of debate and be signed by the Governor. The principal balance of the Perkins County Canal was preserved, along with the planned income tax cuts approved by previous Legislatures. Property tax credit provisions already in place will also make their scheduled increase again this year.

Closer to home, I am hopeful that the weather forecasts are correct and we get some much-needed moisture. Getting the new fires extinguished and preventing additional fires from starting will be huge. We will also need rain to green up the pastures and start rehabilitating burned areas. I cannot say enough how proud I am of our volunteer firefighters, EMS, law enforcement, and everyone who stepped up to contain the fires and limit the damage. I want to thank everyone again for donating hay, supplies, and hauling services to keep our cattlemen going. The extent of the losses is undetermined at this point, but will be massive. God bless everyone impacted.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

Monday, March 23, marks Day 48 of the 60-day session. The Legislature will meet for four days each of the next three weeks, and then could return on April 17 for Day 60 to discuss any remaining veto overrides. This schedule leaves little time to debate all the remaining priority bills, especially those being considered for the first time.

The Speaker has scheduled five bills to start Monday’s session that are “consent calendar” bills. To qualify for the consent calendar, a bill must have had no opposition testimony, been unanimously voted out of committee, and not create a new program. These bills generally have strong support and garner very little debate. Debate on consent calendar bills is also limited to no more than 15 minutes before a vote is taken. Only one committee amendment is allowed for the bill to move forward.

My LB525 is also scheduled for Monday. LB525 is my personal priority bill that creates the first-of-its-kind Ag data privacy protection for agricultural producers. The bill has strong support from the ag community and should pass with limited debate. I did allow Senator Bostar to add his AI bill to help him get it across the finish line. Getting this bill scheduled is huge, given the limited time remaining in the session.

The Agriculture Committee held a hearing this past week on AM2503, which changes fees and surcharges under the Brand Law. This amendment would be added to and replace the introduced version of LB1187. AM1187 was prioritized by Senator Dorn and will be the only viable brand bill this year. The committee is expected to meet on Monday in executive session to consider approval of AM2503 or any additional changes. This amendment is very controversial and, unless there is a compromise that all parties can agree to, the bill will remain controversial and have a hard time getting scheduled by the Speaker since it would likely be filibustered through all stages of debate. However, if a compromise can be reached, the bill would certainly be scheduled since it could get approved with little debate, and we could dispose of an issue that has taken multiple years to resolve. It will be up to the Agriculture Committee to make the right decision.

Last week was dominated by debate over the budget. After all the debate over many issues, the one issue that stands in the way of a final budget vote is the issue of stopgap funding for opportunity scholarships for low-income students. The question is whether the Legislature should fund one year, approximately $3.5 million, of these scholarships to fill the gap between now and when the federal tax credits take effect. This was included in the original budget proposal but was pulled at the last minute by the Appropriations Committee chair because the votes were not there to get cloture on the budget if it was included. In the end, several conservative Senators pushed back by not voting for cloture because it was not included, and the cloture vote failed with only 19 “yes” votes.

There were various reasons for senators voting the way they did on the budget, but opportunity scholarships played the biggest role. The Speaker and I have visited, and he will bring the budget bill (LB1071) back this week once a path forward is negotiated. In the end, I will vote in favor of the budget regardless of how these negotiations turn out. The Legislature has one responsibility: to pass a balanced budget.

Finally, I want to express my ongoing gratitude to all of the firefighters and first responders, paid and volunteer, who are working on the wildfires in Nebraska. It is also so heartwarming to see the outpouring of donations to those affected by the fires, especially for our ag producers. Our resiliency and sense of community are what make us Nebraskans, and we will be dealing with the impacts of these fires for months and years to come.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

As we begin the week with 17 legislative days remaining, the two budget bills, LB1071 (main budget bill) and LB1072 (fund transfer bill), both passed the first round of debate with several unresolved issues. Expect significant floor debate as we move to Select File. I fully anticipate that we will reach an agreement on a balanced final budget without wiping out our rainy day fund. But this next year needs to go much better than the last, as it relates to budget challenges.

There is limited room for big holes in the budget going forward. With that said, there have been proposals floated to slow the income tax cuts, flatten the property tax relief funding, and make other tax changes. I prefer to take steps to raise taxes – or slow tax reductions – only when it is clear we need to. Meanwhile, I prefer to trim as much fat as possible and evaluate where we need to go from there. It is easy to raise taxes when times get tough; it is hard to make real cuts. I have been asking political subdivisions to lower property taxes by cutting expenses; it would be hypocritical of me not to do the same.

As we fight about the budget in Lincoln, there are many in other parts of the state fighting a different battle. Last week, three major fires broke out in our part of the state. As of now, these fires are still burning and have already done incredible physical and economic damage, in addition to loss of life. In addition to the loss of human life, the number of cattle and newborn calves lost in the fires has yet to be tallied. With the ongoing windy and dry conditions, it is difficult to know how long it will take to contain the fires and how long the affected areas will need to fully recover. It will take at least a year for pastures to be fit for grazing again. Between current hay supplies lost, along with the summer grazing and haying damaged, the cost to producers is overwhelming. Given the limited options for producers short of feed, they will need to make hard choices about their remaining herd size. At a time when cow prices are at all-time highs, this disaster cannot have happened at a worse time.

I cannot begin to sufficiently acknowledge the overwhelming effort displayed by all the firefighters, law enforcement, and other emergency responders who have stepped up to take on this enormous challenge. It is still amazing to me that we have volunteers who are willing to donate their time and risk their lives to protect people and property. It is also heartwarming to see that departments from across the state are sending people and equipment to assist with the effort. Even the Omaha Fire Department and Lincoln Fire and Rescue have decided to deploy personnel and equipment to the area to provide additional assistance. This is a rare step and speaks to the culture of Nebraska. I am glad to see that kind of cooperation from those in the urban areas of the state.

I’d like to remind the public that one of the best ways we can help those responding to these fires is to heed evacuation orders, barricades, and other directions from emergency personnel. I know many people are anxious to see the extent of the damage firsthand or may be hesitant to leave their homes; however, we create more risk for responders when the public gets in the way. That also goes for elected officials like me who need to stay away from the front lines unless we can use that presence to bring help. I am staying up to date on the status of the damage and will remain available to help when I can.

On a more positive note, I am happy to congratulate Jeff and Shae Caldwell of North Platte on being named the 2025 Champion of Small Business by the Nebraska Business Development Center. Jeff and Shae have been leaders in North Platte for several years, developing businesses that have made a huge impact on the area economy. This is especially impressive when you consider that Shae has been battling cancer and yet is still focused on how she can make a difference in building the local economy. I also want to thank them for allowing my legislative aide, Tori, to sit with them at the awards ceremony in my place. She told me she felt like a celebrity sitting with them, which is no surprise given their warm personalities. Thank you, Jeff and Shae, for making a difference.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

I want to begin my article this week by paying tribute to Sergeant 1^st Class Noah Tietjens of Bellevue, Nebraska, who lost his life while serving his country when he was killed in an unmanned drone attack at the Port of Shuaiba in Kuwait. Five others also lost their lives during that attack. This is a reminder of why we can never spend enough time honoring our active-duty military and veterans and thanking them for their service. We forget that our military men and women literally put their lives on the line to protect our freedoms and our safety here in the United States. Thank you again to Sgt. Tietjens, all those who served our country, and their families! You deserve our respect and our support.

Monday will mark Day 40 of the 60-day session and the beginning of legislative debate on the two budget bills. The Appropriations Committee distributed its budget proposal, which is short by anywhere from $125 to $ 140 million based on the most recent Economic Forecasting Board projections. This deficit will need to be reconciled on the floor of the Legislature over the next ten legislative days.

Everyone has their own ideas as to how to solve our budget challenges, but the real question that separates the two general solutions is a matter of philosophy: Do you determine the amount of spending needed and solve for the revenue? Or, do you determine what revenue is available and solve for the spending cuts? This seems simple, but a disagreement over approach has divided Senators into two camps that may struggle to reach an agreement.

I fall more in the camp of finding more cuts. Some have suggested we should pause the existing policies decreasing our income tax rate. However, history has shown us that when we temporarily pause tax reductions, the pause generally becomes permanent, since there is always a place to spend any revenue on the table. I was prepared to vote to increase the cigarette (and vape) tax because our current tax is well below most states and is a huge contributor to medical costs. Our state Medicaid costs will increase by $71 million from last year alone; the tax increase proposed would have brought in nearly $50 million annually. I am a believer that linking revenue sources to revenue users is good. Why should nonsmokers pay for the medical costs of smokers and vapers?

I am also a firm supporter of preserving funding for the Perkins County Canal and the prison, and I support keeping the state income tax competitive with neighboring states. I am likewise firmly committed to keeping our property tax relief funds in place. I would support certain sales tax exemption repeals if they were for nonessential and non-business input expenses. This would include pop and candy.

There are those who take a more “purest” approach to tax policy and are opposed to any new taxes or, conversely, to any specific spending cuts. My hope is that we can rebalance our tax burdens; our property taxes are too high, state income tax reductions should be preserved, and new sales taxes should be imposed to offset reductions in other taxes.

All told, however, rebalancing can only take us so far. We will not be able to tax or cut our way to prosperity. We must grow our tax base. We need more people, more high-paying jobs, and more infrastructure to support growth. The tax base increases when more houses are built, businesses grow, and the population increases. We have approximately two million people who call Nebraska home. If we can grow our population at a faster pace, we can stay ahead of the spending pressures we are facing at all levels of government. Should the Union Pacific merger be approved, and they grow their Omaha employment base by over 500 employees making over $100,000 per year, we would make a huge dent in our needed revenue growth. There is a bill in the Legislature, LB1165, that will incentivize UP executives in the Atlanta office to relocate to Nebraska. I will support this bill because it will cost the state nothing if they don’t meet the thresholds outlined in the legislation, but if they hit the targets, it will pay for itself many times over.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.

When the Legislature reconvenes on Tuesday, we will begin the 36^th day of the 60-day session. We will also begin all-day debate since committee bill hearings ended this past Friday. Even with all-day debate, it will be a challenge to move all the remaining priority bills with only 24 days remaining. The Speaker has reserved ten days to debate the budget bills, which must be approved by Day 50. Given the latest Forecasting Board revenue projections that added another $175 million to the deficit, the final changes to the budget will be difficult and painful.

It is important to understand that the Legislature creates a two-year, biennial budget in the odd-numbered years, and the budget must be balanced. The spending approved must not exceed the amount of revenue projected to be available by the Economic Forecasting Board in their most recent meeting prior to the end of the session. This frequently results in a mid-biennium budget adjustment in the even-numbered years, like what we are working on this year.

Some have asked me how the Legislature could be facing a $471 million deficit (prior to the most recent projection). The answer is simple: the Forecasting Board meets in October of each year to update its projections. These projections include state economic changes, as well as federal changes in tax laws. This year’s projections were negatively impacted by nearly $250 million when the One Big Beautiful Bill was approved by Congress. Keep in mind that our tax code is impacted by the federal tax changes. This means that the tax savings at the federal level also lowered taxes to Nebraska residents at the state level. This is not a bad thing for taxpayers, but it did leave a hole in our budget.

Based on discussions I have had with Senator Clements, who chairs the Appropriations Committee, we will likely need to tap the state’s “rainy day fund” to account for the latest forecast. However, the principal in the Perkins County Canal Fund will remain intact, as well as the prison construction fund. There will also be no changes to the last step down in the state’s income tax rate reductions. There will be additional cuts to various programs supported by many constituents. I have made it clear, however, that I strongly oppose any further reductions to the Veterans’ Assistance Fund. Preserving this fund is one of my highest priorities.

On a positive note, LB525, the Ag Data Privacy Act that I introduced on behalf of the Governor last session, was amended and brought back this year. After making several changes following the interim study this fall, the bill was re-heard by the Banking, Commerce, and Insurance Committee for advancement. The bill was voted out of committee on a vote of 8-0. I really appreciated the strong testimony from the Farm Bureau and the Nebraska Corn Growers Association at the hearing. I have named the bill my personal priority bill this session and expect it to be scheduled for floor debate very soon. This bill is the first of its kind in any state and will likely serve as a model for others to follow. The bill is heavily weighted to crop data, but also includes livestock data privacy. I fully expect changes to be made in future years, but this is a solid start to protecting producer data from others profiting from their personal data without prior permission.

In closing this week, I want to congratulate Kent Miller on a very distinguished 53-year career with the Twin Platte Natural Resources District. Kent has been a strong supporter of conservation programs and has helped shape conservation and water policy throughout the state. But for me, Kent has been a good friend and someone I could always call with any questions about water conservation policy. He will be hard to replace, but I am sure he will remain a phone call away.

It continues to be a privilege to represent you in the Nebraska Legislature, and I look forward to hearing from you regarding issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.