Firefighters' stalemate continues; services tax introduced for Pillen

Jan. 21, 2026, 4 p.m. ·

The Nebraska Legislature in debate Wednesday (Fred Knapp/Nebraska Public Media News)
The Nebraska Legislature in debate Wednesday (Fred Knapp/Nebraska Public Media News)

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The Legislature remained deadlocked Wednesday over the issue of workers compensation for firefighters with cancer. Meanwhile, legislation was introduced for Gov. Jim Pillen to tax dozens of services, from motor vehicle repairs to nail care.

It was the second day of debate on Sen. Dave Wordekemper’s proposal (LB400) to make firefighters presumptively eligible for workers compensation benefits if they are diagnosed with cancer. Currently, Wordekemper says, those claims are automatically denied, leaving it up to the firefighter to prove the claim.

“This is the ‘Don't Ask, Don't Tell’ policy of workers' compensation. The carrier doesn't ask the question. They just deny the claim based on the fact that the medical record doesn't address causation because they never asked anyone to address it. So now the firefighter has to hire a lawyer, obtain medical expert opinions and provide their cancer as work-related, all while undergoing chemotherapy and trying to keep their job,” he said.

Sen. Mike Jacobson opposed the proposal, saying it would raise costs for Nebraska municipalities. He also objected to supporters of the bill claiming that opponents were “turning their back” on firefighters.

“Every year this legislature passes legislation to help firefighters. The Promise Act at the university -- $21 million a year cost to the university to be able to allow free tuition for the kids of EMS workers -- every year they're asking for something. Can you please tell me, when will there be enough? When will it be enough? And you do your job, just like all the rest of us do,” Jacobson said.

During the debate, there were several test votes on postponing or killing the bill. None of them attracted enough votes to succeed. But on none of them did supporters show they had the 33 votes that would be needed to advance the bill in the face of a filibuster against it.

Sen. Mike Moser suggested that was a recipe for a continued stalemate over the bill.

“I think the best thing to do would be to pass it over and try to bring it back, otherwise it's headed for a slow and painful death after eight hours,” he said.

The eight hours refers to the time limit usually given for first-round debate on bills before there can be an attempt to cut off debate. Currently, it looks like the Legislature could reach that point on Friday.

Also Wednesday, Sen. Dave Murman introduced a proposal (LB1244) for Gov. Jim Pillen that would subject dozens of services to the state sales tax. Among services that would be taxed are motor vehicle repairs, laundry and dry cleaning, animal grooming, charter flights, debt collection, lobbying, dating services, nail care and escort services.

Pillen has long advocated expanding the sales tax in order to lower property taxes, but the idea has run into strong resistance from opponents who call it regressive. In a telephone town hall Tuesday, the governor asserted the need for such a tax shift, adding “We’ll get a small piece of it this year, but we need more time.” Murman said the proposal would modernize the state’s tax system to reflect the shift to more of a service economy.

And, Sen. Kathleen Kauth introduced a bill (LB1174) that would impose a 2 percent tax on remittances sent by people in Nebraska to other countries. That’s a common practice among many immigrant workers to support their families back home. Kauth explained her thinking.

“People who are coming here and earning money -- the hope is that they're spending it here. So when money is leaving the state, we're tacking a fee onto it for leaving the state, out of the country,” she said.

Kauth estimated her bill could raise $20 million a year.