Legislature tees up key property tax vote for Tuesday
By Fred Knapp 
, Senior Reporter/Producer Nebraska Public Media
Aug. 12, 2024, 5 p.m. ·
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The Nebraska Legislature moved Monday toward a potentially crucial vote Tuesday on a plan to reduce property taxes.
The Legislature’s Revenue Committee voted 6-1 Monday to send the latest version of the property tax reduction plan sought by Gov. Jim Pillen to the full Legislature for debate. The latest version eliminates several key tax increases that were supposed to help the state pay for school costs that are currently paid by local property taxes.
Among the proposals eliminated from the bill are taxes on ag and business machinery and equipment purchases. Also the maximum school levy, currently at $1.05 per $100 of value, would be lowered more slowly. Instead of dropping to 25 cents next year, it would drop to 40, then 35, then 30.
Pillen had said his plan to have the state take over school operating costs right away and reduce that levy to zero would have cut the average property taxpayers bill in half. Sen. Lou Ann Linehan, chair of the Revenue Committee, was asked what the reduction would be under the new plan.
“So the average person this year, if (we) pass this, next year when they get their property tax bill, it will be less, I don't know the exact amount,” she said.
More from the Legislature's special session:
Senators continue thrashing around on taxes
Special session debate: Should there even be a special session?
Legislature considers budget cuts in special session
Scaled-down version of property tax cuts proposed
Marijuana, municipal aid proposed for property tax relief
Education Committee considers school funding changes
Sen. Jana Hughes, who had championed a plan to phase in a reduction in the levy, was pleased with that aspect, while reserving judgment about the overall plan.
“I don't have an opinion yet, until I look at it, although I'm happy that we're starting to realize we have to incrementally do this,” she said.
Linehan also said she doesn’t know if she has the 33 votes needed to overcome a filibuster and advance the bill, but thinks she has about 31 right now.
Speaker John Arch said he will schedule the bill for debate Tuesday, and he intends to let it continue until a vote is taken.