The Legislature adjourned Sine Die (Latin for “without a future date specified”) last Thursday, May 27, and with it, the first regular session of the 107th Legislature came to a close. This week’s column will begin a multi-week review of the session’s highlights.

This year’s budget is easily the most impactful piece of legislation passed this session. The biennial budget is always a key part of our long sessions, and our Appropriations Committee and full Legislature were able to pass a fiscally-responsible budget that benefits the entire state, including our district. A large part of this budget puts a record $1.7 billion towards property tax relief in this biennium. The budget also increased and restructured funding to our Nebraska State Colleges, which will greatly benefit Peru State College. Last, but not least, the budget put $725 million dollars in Nebraska’s reserve fund for financial stability. The budget was signed by Governor Ricketts on April 26.

Besides the budget, many solid bills were passed by the Legislature in this session. The bills range from property tax reform, cutting taxes for our citizens, and funding broadband infrastructure across our state. 

High property taxes are the biggest hurdle to Nebraska’s long-term growth. Apart from giving more money to the Property Tax Credit Fund, the first session of the 107th Legislature worked to address our property tax system. LB 2, introduced by Senator Briese, will change the valuation of ag land for the purposes of school district taxes levied to pay school bonds. This bill will shift the cost of school bonds away from owners of farm and ranch land. Also, Senator Ben Hansen introduced a “truth in taxation” bill, LB 644, which will require certain political subdivisions to hold a joint public hearing before increasing their property tax requests. These political subdivisions will also have to notify affected taxpayers of any scheduled hearing. With the approval of LB 644 on May 24, political subdivisions will be required to provide additional transparency for property taxpayers across our state.

Also in the realm of taxes, two bills were signed into law that cut taxes for many Nebraskans. LB 387 was introduced by Senator Brewer and will exempt 100% of military retirement pay from taxes. This makes Nebraska an attractive living option to those that have served our country in the military. LB 387 was signed by the governor on May 25. Senator Lindstrom introduced LB 64, which will phase out Nebraska’s tax on Social Security income by 2030. LB 64 was passed toward the end of session.

The 107th Legislature also invested a record amount in expanding rural internet access through LB 388, which was signed into law on May 26. Under LB 388, the Public Service Commission will administer grants to fund qualifying broadband development projects in under-served areas. This bill appropriates $20 million annually beginning this upcoming fiscal year to the Public Service Commission for the grants. Improving broadband access and reliability in rural Nebraska is a critically important factor to growing our economy. 

It’s been the privilege of my lifetime to serve you, District 1, and I’m looking forward to continuing to work for you and our region as a whole. Please stay tuned as I schedule my traditional series of town hall discussions across District 1 to wrap-up the 2021 session and hear your priorities for 2022. During the interim, my columns will be sent out every other week, rather than weekly. 

As always, I welcome your input on issues important to you. Follow along on my Facebook and Twitter pages, both entitled “Senator Julie Slama” for more updates, or contact me directly at Senator Julie Slama, District 1 State Capitol, PO Box 94604, Lincoln NE 68509-4604; telephone: 402-471-2733; email: jslama@leg.ne.gov.