Property Tax Reduction Plan in Peril as Business Coalition Fights Back

As the Legislature prepares for a final vote on Gov. Jim Pillen’s property tax reduction plan tomorrow/Thursday, a coalition of primarily business groups is strongly opposing the proposal. The group, which consists of grocers, broadcasters, convenience stores, and others, has written a letter to the governor expressing their concerns. They believe that the plan would result in significant cost increases for businesses and would also impact the average Nebraska family by increasing their expenses.

The bill in question would require sales tax to be applied to items that are currently exempt, such as pop, candy, and veterinary services for pets. The revenue generated from these taxes would be used to support schools in an effort to reduce property taxes by approximately 22 percent, according to Pillen’s budget office. However, opponents argue that this will only lead to higher costs for businesses and consumers alike.

Last week, senators voted 28-14 to move the bill forward. However, if opponents choose to filibuster, a total of 33 votes would be needed to overcome it. The fate of the bill remains uncertain as it moves towards its final vote. Business groups continue to urge lawmakers to reconsider the proposal and find alternative solutions that won’t burden businesses and families with additional costs.