Tax Relief

Lawmakers go report $900 million tax relief package deal

The largest tax relief package in Nebraska history is nearly a done deal. All it needs is the governor’s signature. Lawmakers passed LB 873 on a 43-0 vote Thursday in what was a day full of major decision for senators. Lawmakers also agreed to on a plan to spend more than a billion dollars in federal pandemic relief fundsAnd to override almost all of Gov. Pete Ricketts’ budget vetoes.The day started with Ernie Chambers in the Capitol Rotunda greeting his former colleagues and urging them to override Ricketts’ vetoes.At one point, the governor walked by.”You shouldn’t have done that. I’m here to take you to task,” Chambers told Ricketts. Lawmakers did vote to restore almost all of their budget. It included $52 million to increase Medicaid provider rates for care for vulnerable citizens, and elderly in nursing facilities.” They’re not in “Look at Mullen look at Valentine look at Aprapahoe,” state Sen. John Stinner said. Senators also gave the green light to a $900 million tax relief package. It slashes the top individual and corporate income tax rates to 5.84% in five years; boosts the property tax credit fund; and eliminates the tax on social security income in three years.”This is big progress, and it managed to help all taxpayers, property taxpayers, income taxpayers, great on social security. People can stay her now, stay with their grandkids,” state Sen. Lou Ann Linehan said.Lawmakers also gave final approval to a plan to spend over a billion dollars of federal pandemic recovery money.Much of the funds would go to economic development, housing, and workforce development projects across the state in low income areas hit hardest by the pandemic. All three measures were part of deal cut by lawmakers according to Speaker of the Legislature Mike Hilgers.”We wanted everything to move together and that was one of the keys to be able to get so many votes,” Hilgers said.”I think every single one of those votes got over 40 votes,” Hilgers said. He said this could go down as one of the most impactful days ever in the unicameral.” I hope in 10 years and 20 years we will look back on a day like today , that it was an inflection point and where we changed the trajectory, a little bit of our state in the right direction,” Hilgers said. Hilgers said lawmakers also left nearly $1.4 billion in the cash reserve, should there be an economic downturn. Ricketts applauded lawmakers and did not respond to his vetoes being overridden.”At the end of the day. This is still a great day for Nebraska because of the historic tax relief the legislature passed,” Ricketts said. Final reading on a plan to send hundreds of millions of dollars to boost economic development and housing in North and South Omaha was delayed. The bill’s sponsor, State Sen. Justin Wayne, wanted to adopt a compromise amendment. Hilgers said the measure will come back early next week.”It would have been the cherry on top to pass that and get that to the governor today. But it’s only matter of time,” Hilgers said.Lawmakers have five days left in the session.

The largest tax relief package in Nebraska history is nearly a done deal.

All it needs is the governor’s signature.

Lawmakers passed LB 873 on a 43-0 vote Thursday in what was a day full of major decision for senators.

Lawmakers also agreed to on a plan to spend more than a billion dollars in federal pandemic relief funds

And to override almost all of Gov. Pete Ricketts’ budget vetoes.

The day started with Ernie Chambers in the Capitol Rotunda greeting his former colleagues and urging them to override Ricketts’ vetoes.

At one point, the governor walked by.

“You shouldn’t have done that. I’m here to take you to task,” Chambers told Ricketts.

Lawmakers did vote to restore almost all of their budget.

It included $52 million to increase Medicaid provider rates for care for vulnerable citizens, and elderly in nursing facilities.

“They’re not in a break even situation and they are closing. Look at Mullen look at Valentine look at Aprapahoe,” state Sen. John Stinner said.

Senators also gave the green light to a $900 million tax relief package.

It slashes the top individual and corporate income tax rates to 5.84% in five years; boosts the property tax credit fund; and eliminates the tax on social security income in three years.

“This is big progress, and it managed to help all taxpayers, property taxpayers, income taxpayers, great on social security. People can stay her now, stay with their grandkids,” state Sen. Lou Ann Linehan said.

Lawmakers also gave final approval to a plan to spend over a billion dollars of federal pandemic recovery money.

Much of the funds would go to economic development, housing, and workforce development projects across the state in low income areas hit hardest by the pandemic.

All three measures were part of deal cut by lawmakers according to Speaker of the Legislature Mike Hilgers.

“We wanted everything to move together and that was one of the keys to be able to get so many votes,” Hilgers said.

“I think every single one of those votes got over 40 votes,” Hilgers said.

He said this could go down as one of the most impactful days ever in the unicameral.

“I hope in 10 years and 20 years we will look back on a day like today, that it was an inflection point and where we changed the trajectory, a little bit of our state in the right direction,” Hilgers said.

Hilgers said lawmakers also left nearly $1.4 billion in the cash reserve, should there be an economic downturn.

Ricketts applauded lawmakers and did not respond to his vetoes being overridden.

“At the end of the day. This is still a great day for Nebraska because of the historic tax relief the legislature passed,” Ricketts said.

Final reading on a plan to send hundreds of millions of dollars to boost economic development and housing in North and South Omaha was delayed.

The bill’s sponsor, state Sen. Justin Wayne, wanted to adopt a compromise amendment.

Hilgers said the measure will come back early next week.

“It would have been the cherry on top to pass that and get that to the governor today. But it’s only a matter of time,” Hilgers said.

Lawmakers have five days left in the session.

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