Tuesday was a long day spent discussing four bills. We began the day with the second round of debate for LB873, which now contains four critical tax cuts for Nebraska families. First, LB873 accelerates the phase-out of Nebraska’s social security income tax from 10 years to 5 years. This is a huge win for our seniors on fixed incomes.

Second, the bill lowers certain personal and corporate income tax rates to 5.84%, down from the current rate of 6.84%.

Third, LB873 incorporates modifications to the refundable income tax credit in LB1107, the historic property tax relief package passed in 2020, needed due to strong revenues coming into the State. In 2021, this income tax credit will be equal to 25% of the amount of school district-related property tax paid. LB873 allows the credit to continue to grow at a reasonable rate over the next several years.

Finally, LB873 creates a new refundable income tax credit for community college-related property taxes paid, similar to the LB1107 provisions for local public-school taxes.

All told, this entire tax package is expected to amount to $900 million annually by Fiscal Year 2027-2028. This is real tax savings for hard-working Nebraska families!

Next, we considered a veto override for LB1073, a bill to compel the Governor to accept the remaining federal dollars available to Nebraska for rental assistance. The motion to override fell one vote short of passage.

We then moved on to debate LR264CA, which proposes to place a constitutional amendment on the ballot to eliminate property, income, and corporate (“EPIC”) taxes in favor of a consumption tax. This new tax would be charged on all new goods and service purchases that are not business inputs, including food, medical services, prescriptions, new vehicles, new homes, interest on loans and savings accounts, etc. Although there would be a carve-out for certain business expenses and would include a so-called “prebate” to help offset new taxes on the poor, the consumption tax is largely untested and would be a radical change from the tax system used in the U.S.

The consumption tax is an intriguing concept, and I remain open to new ways to reduce property taxes. However, there seem to be many questions yet to be answered, including what checks and balances will be in place to ensure necessary funding for rural communities and public services such as schools, first responders, courthouses, and infrastructure. Local control is important to Nebraskans and the EPIC consumption tax would place all of the funding power with a single state taxing authority. In the end, I was not able to get acceptable answers to my questions. We need to see the entire process before deciding whether these radical changes are right for Nebraska.

After several hours of debate, LR264CA obtained only 19 of the 25 votes necessary to advance the bill to the next round.

The rest of the day was spent listening to more debate on LB920, the criminal justice system reform bill, which will come to a vote Wednesday morning. I remain opposed to this bill without the elimination of certain provisions that I believe pose a risk to public safety.

After voting on LB920, we will move on to an important debate on LB933, the Human Life Protection Bill. The bill is certain to be filibustered, and I hope the Unicameral will use this debate time to iron out some important details of the bill so we can gain the votes necessary to pass this important pro-life legislation.

It should also be noted that the Governor returned vetoes on Tuesday for a few line items in the budget. Of note, to reduce the provider rate increase for health care providers from the proposed 15% increase down to the original 8% increase. In my mind, this is unacceptable. I will be voting, with what I think will be the majority, to override the veto and restore funding.

As always, my door is open to constituents, and I would love to hear from you at mjacobson@leg.ne.gov or 402-471-2729. It is an honor to represent you and District 42 at the Nebraska Legislature.

The Nebraska Unicameral worked into the evening hours this week and I expect there will be many more late nights ahead. Long days are typical at the end of the short session, but there is a lot of important work to be done as a result of filibusters that ate up valuable time earlier in the session. Rest assured, I will be there to represent you on every vote, no matter how late.

This week, we gave second-round approval to the three bills compromising the mid-biennium budget adjustment package (LB1011, LB1012, and LB1013). Many Nebraskans may not know that, by law, the State must balance the budget – without borrowing money to make ends meet. I appreciate the self-restraint this requires on the part of the state government, along with recent efforts to curb state spending.

Both the budget, and a proposal to implement critical tax cuts for all Nebraskans, have been slowed or stalled by a faction within the Legislature that wants to block a $175 million appropriation to partially fund a new state prison unless a criminal justice reform bill can also be passed. Although I agree that we need to implement policies that reduce recidivism, holding our state’s budget hostage is irresponsible.

It is worth noting that LB1013 contains funding for the North Platte/Hershey Rail Park project – which will be a boon for tourism in Lincoln County and the surrounding areas. I will continue to vote in favor of the budget package when it has its final round of debate on Tuesday.

On Friday afternoon, I voted with 27 of my colleagues to advance pro-life bill LB933 to General File. I was disappointed the Judiciary Committee chose not to advance this important legislation to the floor for debate. However, a majority of the Unicameral agreed the bill should be pulled from the committee and be considered.

LB933, introduced by Sen. Joni Albrecht, would be “triggered” if the U.S. Supreme Court overturns Roe v. Wade or the U.S. Constitution or federal law is amended to give control over abortions to individual states. If one of the triggering actions occurs, LB933 would prohibit both medical and chemical abortions and subject physicians violating the law to a felony charge.

I believe pro-life protections are critical to protect the most vulnerable among us – the unborn. I was proud co-sponsor this legislation and to share my and my wife’s personal story with fertility issues and now as adoptive parents. I was also touched to hear many others share their own experiences with this very personal issue. Although this bill’s future is still uncertain, I look forward to championing this issue in the future.

I continue to hear from many of my constituents about another bill I’ve co-sponsored, Sen. Tom Brewer’s constitutional carry bill, LB773. This bill has cleared the first round of debate and I look forward to continuing the fight in support of the Second Amendment later in the session.

With 12 days left, we still have many important priorities yet to debate, including more opportunities to cut taxes. As always, my door is always open to constituents and I would love to hear from you at mjacobson@leg.ne.gov or 402-471-2729. It is an honor to represent you and District 42 at the Nebraska Legislature.

Last week, the Legislature advanced two of the three budget bills, with the third expected to advance on Tuesday. Tuesday’s bill, LB1013, includes appropriations for $53.5 million for the Perkins County Canal Project Fund and $50 million to the North Platte/Hershey Rail Park via the Nebraska Rail Projects Funds. Keeping this funding in place will be a high priority.

So far, each of the budget bills has been filibustered, with debate focused primarily on the overcrowded state prison system and whether to appropriate $175 million to build a new prison without taking steps to ease prison overcrowding. Proposed reforms include reduced sentences for some offenses, limiting the ability to increase sentences, and assisting more inmates with qualifying for parole. In the end, it seems clear that a new and larger prison is needed, and I remain a strong “law and order” legislator. I invite your input on this issue.

We expect to begin the initial round of debate on LB1014, which contains the Appropriations Committee priorities for $1.04 billion in federal American Rescue Plan Act (ARPA) funds. I am happy to report that the committee amendment to LB1014 will include $20 million for the Sustainable Beef project. Proponents have worked hard to get this funding included and now need to ensure that the bill gets to the finish line in its current form.

Other taxing and spending bills are also likely to appear on next week’s agendas. LB825 is Senator Lindstrom’s priority bill and a bill I have co-sponsored. LB825 would eliminate the taxation of Social Security income over the next five years. I have also co-sponsored Senator Linehan’s priority bill (LB939) to reduce the maximum individual income tax rate on income over $66,360 for joint filers from 6.84% to 5.84% by 2025.

The filibuster delays are eating up valuable time as only 15 working days remain in this 60-day session, and we must pass the budget by Day 50 (March 29). We may be meeting as late as midnight on Thursday night to accommodate this goal.

I truly appreciate the support coming from so many in the District as I focus on getting bills that are important to you to the finish line. Please feel free to reach out to me in the remaining few weeks if you have questions or input at mjacobson@leg.ne.gov or 402-471-2729. I am your State Senator, and your opinion matters!

I am writing at the end of my second full week in the Legislature and with 20 session days remaining in the Unicameral’s short session. Although it has been fast paced, I am excited to have been able to help get several bills that are important to the 42nd District closer to the finish line.

I am proud to say I cast my “YES” vote to advance LB773 (constitutional carry of firearms) to Select File. The bill was sponsored by Senator Tom Brewer and co-sponsored by 22 Senators, including myself. This commonsense bill will allow citizens to carry “concealed” without a permit, just as citizens are now allowed to carry “open” without a permit. Permits would still be required for concealed carry across state lines and the bill makes no changes to “gun-free zones” in statute today.

The next two weeks will largely focus on the proposed budget, Appropriations Committee recommendations on allocation of the $1.04 billion from the federal American Rescue Plan Act (ARPA), and other taxing and spending bills. I anticipate that LB825 (phasing out taxation of Social Security benefits) and LB939 (changing individual and corporate income tax rates) could be considered during this time. Both bills have advanced past the first round of debate.

I was pleased to see the Appropriations Committee include LB788 funding for the Rail Park, plus an additional $50 million to prefund amounts due in future years. This funding would put the North Platte/Hershey Rail Park project in a strong position. Fighting to keep these funds in the budget will be one of my top priorities.

I am also optimistic that $15 million in ARPA funds will be recommended for the Sustainable Beef project, and I will push for an additional $5 million in general funds be appropriated for the project. Sustainable Beef will be a gamechanger for District 42 and the larger region. They will need every penny to complete the project if construction costs continue to rise.

Input from constituents continues to be a vital part of my decision-making at the Legislature, particularly as our pace picks up in the final third of the session. Beginning Monday, March 14, I will be holding a weekly call with the North Platte Area Chamber and Development Corporation to seek input from area businesses and area residents. If you want to join, please contact the Chamber for times and call-in information. You can also reach out to me at any time at mjacobson@leg.ne.gov or 402-471-2729.

To date, only 50 of the 107 bills prioritized by Senators, Committees, and the Speaker have advanced beyond the first round of debate. We have many important decisions ahead and I continue to strive to represent the interests of you, the people of District 42.

Senator Mike Jacobson

As many of you may now know, I am the newly appointed Nebraska State Senator for District 42.  I am grateful to Governor Pete Ricketts for encouraging me to sit for an interview for the position and his appointment of me on Wednesday, February 23.  I have been focused on delivering results for our district ever since.  My life has changed significantly over the last two weeks and I thank my wife of 46 years, Julie, for her support during this busy time.

For those who know me well, I have been a banker for 42 years and have had a life-long passion for farming and production agriculture.  Since moving to North Platte in 1994, my focus has been about building great business teams and strengthening the community through public service.  Through service on the North Platte Development Corporation, we were able to attract quality jobs to North Platte through the Wal-Mart Food Distribution Center. As chairman of the North Platte Regional Airport Authority, I worked with other community members to secure non-stop jet air service to Denver.  As your State Senator, I will be laser focused on moving legislation that will improve the lives of all residents in District 42.  I have outlined some of the bills that I have co-sponsored and hope to get to the finish line in this short session.

LB 783 was picked up by Senator Mike McDonnell.  This bill would allocate American Rescue Plan Act (ARPA) funds for the proposed Sustainable Beef processing plant in North Platte.  The Governor’s Budget plan asked for $15 million to be allocated to this particular project.  I am pushing to get another $5 million dollars allocated from dollars generated from sources that will be targeted for “one time” uses.  This bill will likely be amended in to a larger bill that appropriates the entire $1.04 billion in ARPA funds allocated to the state of Nebraska.

LB 788 was picked up by Senator Tom Brewer.  This bill would make changes to the Nebraska Rural Projects Act to help provide matching funds to the propose North Platte rail park project.  A special thank you to Gary Person, North Platte Chamber President, for all his hard work in helping to craft this legislation and getting North Platte in a position to receive this funding.

LB 825 was introduced by Senator Lindstrom.  The bill builds on the progress made with Senator Kolterman’s 2021 priority bill (LB 64) to increase exemptions on Social Security income tax in phases to reach total tax exemption by 2025.  LB 825 provides much needed tax relief for seniors on fixed income derived from Social Security and has passed the first of three rounds of debate.

LB 914 was introduced by Senator Bostelman.  The bill requires the Public Service Commission to create and maintain a map of broadband availability in Nebraska.  The map would identify types of internet services available, advertised and reported speeds, number of entities providing service, planned broadband infrastructure projects, and any other information the Commission finds relevant.  This bill will be a resource in closing the broadband gaps in rural Nebraska in the less populated counties.

LB 773 was introduced by Senator Brewer.  This bill would authorize concealed carry without a permit in Nebraska.  Restrictions currently codified within the Concealed Handgun Permit Act relating to the place and manner of concealed carry would be made to apply generally to any person carrying concealed and not only to permit holders.  Penalties remain in place for persons who are prohibited from possessing dangerous weapons.

LB 1065 was picked up by Senator Wayne.  The bill primarily makes improvements to “Micro-TIF” by extending the time for division of taxes, setting standards for expedited review, and allowing for redevelopment of certain vacant lots. It also allows a municipality to declare a portion of an area as substandard and blighted following a study or analysis.  LB 1065 is a good start to make Micro-TIF more workable and I’m ready to continue making improvements to the Micro-TIF laws next year.  LB 1065 has passed the first of three rounds of debate.

Although the information is coming at me a very fast pace, I am ready to learn from my colleagues and constituents so I can play a role in making life better in the 42^nd District.  I look forward to your input and encourage you to reach out at any time at mjacobson@leg.ne.gov or 402-471-2729. It is an honor to represent District 42 at the Nebraska Legislature.

State Senator Mike Jacobson