LINCOLN–The Revenue Committee at the Nebraska Legislature heard multiple property tax bills Feb. 27, including one that would change the amount of relief under the property tax credit act. Multiple individuals including Gov. Pete Ricketts testified in support of the bill.
LB 303 was introduced by committee member Sen. Brett Lindstrom of Omaha at Ricketts’ request. Another bill, LR 8CA, was introduced by chair Sen. Lou Ann Linehan of Elkhorn, also at the request of Ricketts, and would limit the total amount of property tax revenue that may be raised by political subdivisions.
Other bills heard at the meeting included LB 506, introduced by committee member Sen. Tom Briese of Albion, and LB 482, which was introduced by Sen. Steve Erdman of Bayard. LB 506 would adopt the property tax request limitation act, while LB 482 would provide for an adjustment to the assessed value of destroyed real property.
Lindstrom said LB 303 would increase the amount that is currently allocated to the property tax credit fund from $224 million to a statutory floor of $275. He said this would not impose a tax shift from other sources of revenue.
“We all know property tax is probably the number-one issue that we hear about, not only in the rural areas, but in the residential areas,” Lindstrom said. “[Ricketts] is definitely committed to bringing property tax relief, and having those conversations with the members of the committee, I do believe that this is a hearing in which we allow the opportunity to work together and get along.”
Ricketts said the property tax credit relief fund has been the sole conduit for direct property tax relief in Nebraska, and working with senators, it has already been increased by 60 percent. This bill would increase it by another 23 percent.
A household with a valuation of $100,000 would increase the tax relief from $86 to $106, and $103 to $127 on ag lands, Ricketts said.
“The idea here is to be able to guarantee that property tax relief to our citizens,” he said.
Ricketts said the bill would bring certainty to taxpayers, but the issue of property tax won’t be solved by this bill alone.
“I really look forward to the opportunity to be able to continue to discuss how we can bring property tax relief to our taxpayers,” he said.