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Nebraska lawmakers advance new tax breaks for farmers and ranchers

Nebraska lawmakers have advanced a bill that would cut property taxes for the state’s farmers and ranchers by lowering ag land values to 50 percent to pay for school bonds.

Curt Friesen, a Republican from Henderson, says the bill levels the playing field. “This is a rural issue where they have that vote and you’re totally outnumbered by the urban population and yet the dollars come from the minority of people who own land in that district who may not even have an opportunity to vote,” he told his colleagues on the floor of the Unicameral Wednesday morning.                                                                 

Kearney Republican State Senator John Lowe says he’s not supporting the bill even though he supports lowering property taxes. “Because I made a promise to my constituents that I wouldn’t raise taxes on anyone. Though this will bring down taxes for some, it will cause others to pay more in taxes.”

Several senators agreed LB 2 would provide more relief but didn’t support amendments that would have grown the property tax credit fund by 3 percent each year since a similar bill accomplished that last year.

LB 2 doesn’t affect valuations for general fund purposes for local governments.

The bill needs to pass two more floor debates before moving to Governor Pete Rickett’s desk.