Lincoln, NE – Nebraska’s revenue situation continues to gradually improve. According to the latest general fund receipts report from the Nebraska Department of Revenue, net receipts for December were $316 million which is 2.6% above the certified forecast of $308 million. Receipts for the fiscal year are .7% above the certified forecast. This report verifies that Nebraska’s economy is on the upswing, but even with this positive news, there is still a projected $346 million shortfall in the next biennium.
Governor Dave Heineman’s tax relief proposal, LB970, was heard by the Revenue Committee on Thursday, January 26th. The Governor made a rare appearance in front of a Legislative committee in order to testify in favor of the bill. LB970 would lower income tax rates and expand tax brackets. The corporate income tax rate would be reduced from 7.81% to 6.7% which would match the top individual income tax rate. Finally, the bill proposes to eliminate the inheritance tax, which is the tax imposed on beneficiaries. County representatives testified in opposition to the bill because they use the inheritance tax to help fund their budgets or meet special needs without imposing an increase in property tax on their citizens. Let me be clear, I support tax cuts. I also believe we must take a long look at our revenue picture and make certain to balance our budget before making a final decision on this bill. This is a major proposal before the Legislature and I will make sure to continue to provide updates on this bill as the Revenue Committee determines how to proceed.
A bill that will be helpful to residents of District 43, LB473, passed the first round of debate this week. The bill will allow counties to implement management plans for controlling the prairie dog population. The county would also have the ability to inform a landowner there is a prairie dog problem and require the landowner to take action. I have heard from many residents of our area in favor of this bill and I voted to support it.
The Transportation and Telecommunications Committee heard a bill, LB803, that would require a driver involved in an accident that causes property damage or injury/death to furnish the responding officer their information and proof of insurance. A driver who does not have these documents available would be guilty of a Class II misdemeanor. In addition, the offender’s vehicle would be immediately impounded until proof of insurance is furnished. With the increasing number of illegal immigrants in the State of Nebraska, uninsured motorists have become an rising problem. Driving is a privilege not a right, and our laws must be followed for our personal and financial protection. I know of cases where people have been hit by an uninsured driver, and the financial burden it places on law abiding citizens is simply not right.
The Education Committee heard a bill earlier this month that would establish a new accountability structure for teachers and schools. LB870 would authorize the Board of Education to set performance and assessment indicators for students, which would be established by August 1. While schools are currently held accountable for students’ results on content area assessments, this bill would add additional measures including student growth, improvement and graduation rates. Schools would be required to report the data annually.
Another bill in the Education Committee is LB990 which would require all school classrooms to prominently display the United States flag and the State of Nebraska flag. Additionally, all students would be required to say the Pledge of Allegiance during the first class of the school day. The bill’s public hearing will be on February 7th and I look forward to hearing from you on this proposed legislation.
As always, thank you for sharing in our legislative process, and I’ll visit with you again next week.
Deb Fischer
Senator, District 43
