News Updates

Today, a new amendment was filed to LB170 which is the current proposal to forward the elimination of numerous sales tax exemptions and increase various “sin taxes” in order to fund additional revenue for property tax relief. The bill is expected to be debated next Monday and a coalition is already working to oppose it.

Nebraska lawmakers gave second-round approval Monday to a series of budget bills for the next two years, moving one stage away from closing a projected deficit of more than half-a-billion dollars.

As I predicted in my last update, the budget process has been messy. As senators were checking in for the day last Tuesday, a few of us were in the Rotunda checking our phones for any new amendments being filed. That’s when the “Murder Sheet” was distributed to senators - only moments before it was debated. Many of you got texts and emails from me to alert you to what was happening, but I thought it would be helpful now for the rest of you to understand just how unusual this approach has been to setting the budget.

It’s crunch time for state lawmakers to rightsize Nebraska’s budget, by no later than May 15. Senators since November are considering a nearly $850 million combined in new revenue streams, less state spending and loose funding in the state’s couch cushions.

Senators will start their week with a budget briefing at 8:30AM tomorrow, and they will begin debate once they gather in the Chamber around 9:00 am. The Speaker has eight legislative days designated for budget debate. It has been decades since a budget took that long to make it through the process. If it does take that long, it will only leave a handful of days to get everything else done, which does not bode well for the remaining priority bills.

As disaster preparation season approaches, the IRS emphasizes the importance of safeguarding tax and financial information.

Interest in accounting careers has increased among Hispanic, Asian American Pacific Islander (AAPI), and white students since 2021, according to the latest Expanding the Accounting Profession Pipeline report by the Center for Audit Quality and Edge Research.

The perceptions held by high school and early college students about accounting are trending in a positive direction, positioning the profession for an opportunity to continue strengthening the talent pipeline.

Lawmakers gave wide final approval Wednesday to two measures designed to shrink the state’s looming budget deficit by $136 million.

Proposal would replace lost county revenue but would lose the state money as lawmakers push to balance budget.

Nebraska’s educational savings accounts designed to help pay for public or private college expenses could expand to cover private K-12 tuition, in line with federal law, beginning in 2029.

The Legislature has just one constitutionally required job – pass a balanced budget. That job just got exponentially more difficult on Friday when the Nebraska Economic Forecasting Advisory Board met and predicted that the state will be an additional $190 million in the red for our current fiscal year. They also estimate that in fiscal year 2025-2026 revenue will be down by an additional $100 million, and fiscal year 2026-2027 it will drop $90 million more.

Here's what's happening...

The Nebraska Examiner is launching a new resource to break down election margins by legislative and congressional districts for state, federal and ballot measure races in recent years.

In his annual letter to shareholders, JPMorgan Chase chief executive Jamie Dimon has expressed concerns about the impact of U.S. tariffs and the global trade war on economic growth. He said: "The economy is facing considerable turbulence . . . with the potential positives of tax reform and deregulation and the potential negatives of tariffs and 'trade wars.'" Mr. Dimon raised the risk of a U.S. and global recession to 60% following the recent trade barriers introduced by President Donald Trump. He warned that tariffs could undermine economic confidence and investments, commenting: "The quicker this issue is resolved, the better because some of the negative effects increase cumulatively over time." He also highlighted the uncertainty surrounding interest rates and the potential derailment of expectations for modest U.S. growth.

As a much-needed four-day break from the Capitol comes to an end, the Legislature readies itself for more debate on some hot topics.

Last week marked the last week of hearings and half-day floor debate. It also ended a multi-day filibuster against LB415, which makes changes to the Nebraska Healthy Families and Workplaces Act (paid sick leave initiative) passed by voters in November 2024.

"We need to come up with that money for those people that we passed over," says State Sen. Brian Hardin of Gering.

Tax credits to offset property taxes owed to local K-12 school districts are now automatically applied, but Nebraskans still need to file for income tax credits for community colleges for additional relief each year.

Last week was one of those times when we ask ourselves why we live in Nebraska. It was 80 degrees on Monday and Wednesday there was a historic blizzard that knocked out power for thousands that live in the eastern part of the state.