|Lincoln, Neb. – This afternoon, LB461 stalled in the Nebraska Legislature. This legislation prioritized income tax cuts supported by special interests in both Nebraska and nationally. Nebraskans have been very clear that they want property tax reform, but LB461 does not provide the meaningful relief needed to remove the burden that high and increasing property taxes.
“LB461 prioritizes income tax relief over property tax relief and the proposal failed because it had misplaced priorities,” said Mark Fahleson, Chairman of Reform for Nebraska’s Future. “Talking to Nebraskans across the state, it is clear that property tax reform is the top priority to be tackled this legislative session. LB461 refused to provide the relief legislator’s constituents have asked for and we applaud them for listening to their constituents today.”
This legislation provided $10 of income tax relief for every $1 of property tax relief. Considering that 62 percent of Nebraskans identified property tax reform as their top priority in a recent poll compared to just 14 percent for income tax relief, LB461 ran against the will of the Nebraskan people.
“Many members of the Nebraska Legislature ran for office saying that if elected, they would lead by providing property tax reform,” Fahleson added. “The current legislative session is just another opportunity to deliver results for the Nebraskan people yet they appear to be squandering another chance to provide the relief that is needed. There is still time to provide a solution that will fix the property tax problem once and for all and we encourage Senators to act.”
Over the past decade, Nebraskans have seen 60 percent increases in property taxes. Such increases are unsustainable for current property owners and jeopardize Nebraska’s priorities now and into the future without reform. LB461 provided minimal relief for agriculture property owners, but left commercial and residential property owners out of any potential benefits from the bill. Home owners alone saw increases of 35 percent in property taxes over the past decade, far outpacing wages and inflation.