AT ANNUAL BERKSHIRE MEETING, WARREN BUFFETT SAYS 'BUSINESS IS NOW VERY GOOD' AFTER PANDEMIC

OMAHA- As Warren Buffett sat at Berkshire Hathaway's virtual annual meeting from Los Angeles, he and Charlie Munger spent almost four hours answering questions from climate change to income tax rates all the while being the first meeting not held in Omaha in almost 50 years. They were joined by Ajit Jain and Greg Abel, the vice chairmen of the many companies Berkshire operates. Buffett said he wanted to give exposure to the two men as they are likely to be considered as CEO when he steps down.

Looking to the future, he was pressed hard about climate change and how that will impact Berkshire. He said the company has already taken steps to support wind and solar energy and has supported efforts to get those industries into population centers.  

The conversation then switched to Biden's proposal to raise corporate tax rates from 21% to 28%. Buffett responded simply by saying he did not want to comment but even if he did, he does not speak for all of Berkshire. In the past though, Buffett has criticized the US tax system for not taxing wealthy people more. Munger replied, “I don’t think it would be the end of the world. We’ll adjust to the tax rate, whatever it is.”

Read the full article HERE

NEWCOMER BECKIUS BEATS CHRISTENSEN, JOINS INCUMBENTS SHOBE, WASHINGTON ON LINCOLN CITY COUNCIL

LINCOLN- The Lincoln City Council gained another Democrat Tuesday with Tom Beckius beating two-term Republican Roy Christensen. Incumbent Sändra Washington received the most votes, followed by Beckius then incumbent Bennie Shobe. 

Late Tuesday, Christensen said, “I’m grateful for the opportunity I’ve had to serve for eight years, I suspect my life will be a little simpler now.” He also said that Democrats have 6,200 more absentee permanent absentee ballots, making them much more likely to vote and giving democrats the edge. With many Democrats voting early, a democrat sweep was found: Washington, Beckius, Shobe, all democrats won the 3 seats, followed by Republicans Christensen and Mary Hilton. 

33,604 early ballots were returned and 18,937 people voted in person, putting voter turnout at 29%. 

The three at-large seats represent the entire city. The winners will join four council members who represent equally populated districts. Members are paid $24,000 for what is considered a part-time job.

Read the full article HERE

NEBRASKA REVENUE FORECAST RAISED BY $90 MILLION FOR FISCAL YEAR, LOWERED OR HELD EVEN FOR FUTURE

LINCOLN- During their spring meeting in the Capitol on Thursday, the Nebraska Economic Forecasting Board increased its forecast of tax revenue by $90 million for the fiscal year ending June 30, while reducing the forecast for the next two years by $5 million, and holding projections for FY22-23 even.

The updated forecast also means a sizeable boost to the new property tax program, which offers income tax credits to property owners to offset part of their school property taxes. Lawmakers set aside $125 million for the first year of the program, which Nebraskans can claim when they file their 2020 income taxes. If actual tax revenue meets projections, a law passed last year would earmark $358.7 million for the new credits in each of the next two fiscal years. The law determines the amount of tax credits based on the growth of tax revenue. The credit total remains flat when revenue grows at 3.5% or less.

Both the governor and the Legislature use revenue projections issued by the forecasting board when setting the budget. The board will meet again in October to update its current numbers. Board members generally expressed optimism on the state’s economic future, despite ongoing disruptions from the pandemic and a large number of unknown factors.

“There’s some magic, some moxie somewhere in Nebraska that continues to outperform the national models,” said John Kuehn of Heartwell.

Some pointed to “cautionary notes,” including sharp increases in housing prices and in the cost of various goods and services and shortages of various items. They said workers continue to be in short supply, with about 25,000 people who have yet to return to the labor market since the start of the pandemic. The decreased outlook for the next fiscal year however means that members will have to adjust spending priorities to meet the new amount. To review the General Fund status with the new outlook, and to see the impact that pending tax and spending bills may have therein, please click HERE

Read the full article by clicking HERE

GOV. RICKETTS CRITICIZES 20 SENATORS WHO VOTED NO OR DIDN'T VOTE ON TAX LID PROPOSAL

LINCOLN- Gov. Pete Ricketts criticized a group of 20 state senators who either voted 'no' or sat out on the vote to limit the growth in property taxes. Ricketts had called for a 3% limit on property tax increases by local schools, cities, counties and other local governments. 

“They are the roadblock that stands between getting the people of Nebraska the property tax relief they desperately need,” Ricketts said in a press release.

The state legislature failed to get the 33 votes necessary to halt a filibuster and advance LB408, the bill Ricketts sponsored. Despite many attempts to amend the bill, 408 died Thursday night. U.S. Sen. Deb Fischer R-Neb. critiqued the senators who sat out the vote, saying during her time in the legislature, “we voted. we did not pass on votes. we were accountable to our constituents." 

Opponents of the measure argued that local officials are meant to run the schools, cities and counties, not state legislators. LB408 was considered by many to be one of the most controversial bills of the 2021 session.

Read the full article by clicking HERE

NEBRASKA'S POPULATION GREW 7.4% DURING PAST DECADE, MOVING STATE UP TO 37TH LARGEST IN RANKINGS

OMAHA- Nebraska saw steady population growth over the past decade, helping the state preserve its three seats in Congress and pass West Virginia to become the country's 37th largest state. Nebraska's official headcount is 1,961,504 and was on pace with the national growth rate since 2010. This is the first time the state has moved up in rankings since 1900. Iowa only saw a 4.7% growth rate but will keep its 4 congressional seats. 

West Virginia was one of seven states to lose seats. Also losing seats were California, Illinois, Michigan, New York, Ohio and Pennsylvania. Texas gained two seats, while Colorado, Montana, Florida, North Carolina and Oregon gained one each.

Read the full article by clicking HERE

GOV. RICKETTS SIGNS BUDGET WITH NO VETOES, CALLS FOR MORE TAX RELIEF IN NEBRASKA

LINCOLN- As the governor signed the budget into law on Monday, he called for more tax relief. He issued no vetoes on the $9.7 billion which he praised for controlling spending and increasing property tax relief. 

“As the Legislature continues their work, there are additional opportunities to deliver significant tax relief,” he said in a statement. “I look forward to working with senators to deliver even more relief for the people of Nebraska.”

The budget is leaving lawmakers with $206 million but is able to change. A state panel will meet to update the official revenue forecasts for the two-year period. Without endorsing any particular measure, Ricketts urged more tax relief which will be discussed at length in the legislature this week. 

Through some one-time factors, the state was able to keep spending growth lower than usual. Some of those factors include higher federal match for Medicaid, lower school aid and federal pandemic relief dollars. The governor also noted that the budget funds the state school aid formula and expands his career scholarships program to those attending private schools. He is also excited that the budget includes $15 million to kick off the process of creating a new state prison. Lawmakers set aside $100 million for a new prison but emphasized that construction will not be starting this year. 

Read the full article by clicking HERE

NEBRASKA LAWMAKERS OVERCOME OPPOSITION, ADVANCE AMENDED TAX BILL

LINCOLN- On a 41-1 vote, lawmakers advanced a bill that seeks to lower corporate income tax rates and gives credit to families grieving a stillborn child and allows 529 college savings plan funds to be used for apprenticeship programs. 

A controversial aspect of LB432 was removed which would have granted a 100% tax exemption to multinational corporations on income they transfer to off-shore tax shelters and would have reversed an effort by President Trump to make companies pay taxes on income they earned in the U.S. Nebraska was the only state that is taxing 100% of newly taxed income (GILTI tax). Another move that helped the bill pass was that Sen. Stinner promised to amend the cut in corporate tax so that it happens in small steps over several years. 

The measure received 30 votes of support on Tuesday, 7 more than the idea on Monday night. 

Read the full article by clicking HERE

PANDEMIC BRINGS 'UNPRECEDENTED' UNEMPLOYMENT FRAUD; NEBRASKA BEEFS UP SECURITY

LINCOLN- The state labor commissioner reported Monday that the unemployment system has battled fraud at an 'unprecedented level' during the pandemic. Commissioner John Albin assured lawmakers that Nebraska added more security measures which have been more successful than the national average in detecting and preventing fraudulent claims. Nebraska's average fraud rate is at 2.43% whereas the national rate sits at 4.35% (these rates only looking at traditional unemployment, not pandemic relief). 

“Nebraska, and all states for that matter, has had to continually evolve its fraud response,” he said. “The type of fraud and the brazenness of the attacks had never previously been experienced at this level in unemployment systems.”

Bellevue Senators Carol Blood and Jen Day wrote a letter to the commissioner asking him to estimate the dollar amount of losses and how this can be prevented going forward. In the response, Albin said it is speculative to estimate the scope of fraudulent claims. 

The Nebraska Department of Labor identified $89.2 million worth of 'overpayments' in 2020 or 2.2% of the total pay out from all state and federal unemployment programs. $62.5 million of those overpayments have been recovered so far. Albin continued on to say the federal coronavirus relief legislation 'created a system designed for fraud'. PUA benefits were the most common fraud because the claims were not able to be cross-checked against the state and national directory of new hires. Identity theft also increased drastically during the pandemic. 

In December, the state began requiring two factor authentication for claims but it is still possible to get around those blocks. 

“The fraudsters are really good with their criminal activities,” he said. “It’ll be a battle throughout the end of these federal programs.” 

Read the full article by clicking HERE

NEBRASKA'S PRIVATE, PAROCHIAL SCHOOL BACKERS TRY AND FAIL AGAIN ON SCHOLARSHIP TAX CREDITS

LINCOLN- The latest attempt to use state tax breaks to help more low-income students attend private and parochial schools failed in the face of a filibuster Wednesday. The measure fell four votes short of ending the filibuster on LB364. Introduced by Sen. Lou Ann Linehan, LB364 would provide tax credits to people or businesses that donate to a designated private or parochial school scholarship fund. The vote came after eight hours of debate that ranged from comparing private and public schools to constitutional law and the best ways to help children of color living in poverty. 

Sen. Linehan says this bill would help give more educational choices to Nebraskans. "In America, a child's opportunity for education should not depend on income or zip code," she said. She went on to say one of her biggest concerns is the gap achievement in scores between students of color and White students. She believes the chance to attend private or parochial schools could help students improve academic performance. 

Sen. Justin Wayne agreed with Sen. Linehan, saying education is key to the American promise many people in his district have been sold. 

Sen. Terrell McKinney on the other hand opposed the bill, although he did say his constituents were about 50-50. He noted that people in his district have faced racism and discrimination when they choose private and parochial schools. Sen. McKinney went on to say that living in poverty will not be erased if the child goes to a private school. He gave the example that a scholarship can't make up for going to bed hungry or not having decent shoes. Sen. Machaela Cavanaugh agreed saying more children would benefit from better food assistance programs or housing subsidies. 

"This is a bill that is a gift to the wealthy under the pretense of helping the poor," said Sen. Megan Hunt of Omaha.

Read the full article by clicking HERE

NEBRASKA LAWMAKERS' COMPROMISE PUTS STAMP OF APPROVAL ON 'POSTCARD BILL'

LINCOLN- A compromise reached on Wednesday night approved a bill that requires the mass mailing of postcard notices when a property tax increase is proposed. The measure has been hailed as increasing transparency for taxpayers when an increase in property tax is being considered. Opponents on the other hand complained that mailing postcards would be expensive and unfair in instances of inflation and growth force an increase. 

LB644 says postcard mailings to taxpayers would only be required when proposed growth in property taxes is higher than 2% plus local growth in property valuation. The need for a postcard is based on the amount of property taxes collected, not the tax levy. The bill also includes a notice of public hearing in the county newspaper. 

The "2% plus growth" language was modeled after a proposal, backed by Gov. Pete Ricketts, that would have limited increases in property taxes by 3% plus growth. But that proposal died in the face of a filibuster.

The original bill, drafted by Sen. Ben Hansen, would have required postcards to be sent with any increase. Discussions showed that this could cost Douglas County alone $500,000. So, lawmakers compromised and removed objections by cities, counties and school districts. 

The bill advanced to final reading on a voice vote. 

Read the full article by clicking HERE

COVID PANDEMIC DELAYED DEVELOPMENT OF LEGISLATIVE RELATIONSHIPS, NEBRASKA STATE SENATORS SAY

LINCOLN- The relationships that normally help shape legislation were delayed or reduced amidst the pandemic, two state senators told a Lincoln Chamber of Commerce briefing. 

"It placed freshmen senators in a really tough position," two-term Sen. Brett Lindstrom of Omaha said, because they had to wait to develop the personal relationships that can be a key factor in achieving legislative success.

First term Sen. Eliot Bostar said there were some legislators he did not speak to for the first few months. "Everyone has something to teach me," Bostar said. Beyond freshman senators, second-term and beyond senators missed the opportunity to step into the Rotunda and speak with their colleagues, lobbyists and representatives from various organizations as they do in a normal session.

In instances such as LB64, it is a two-term issue. Without the typical conversations being had, new senators are at a disadvantage in debate with the issue. 

Read the full article by clicking HERE

LEGISLATURE CONSIDERS STUDY OF PLATTE RIVER FLOODING, HIKE IN NON-RESIDENT PARK FEES

LINCOLN- In a 42-2 vote of approval for a $2 million study of mitigating flooding and enhancing economic development along the Lower Platte River, Lake McConaughy and Lewis and Clark Lake. Sen. Mike McDonnell proposed the study, which in an amendment adopted Thursday, will be called the "STAR WARS" committee, or the “Statewide Tourism and Recreational Water Access and Resource Sustainability Special Committee.”

McDonnell believed the study was needed because of the $3.4 billion in flood damage along major rivers in 2019. He went on to say that these damages could have been reduced with better levees and other controls. 

The two 'no' votes, Sen. Moser and Sen. Albrecht, said that state entities are already doing flood control studies and this would turn into just another study shelved and ignored. Other senators had a problem with the high cost of the study.

“Maybe we should call it ‘Noah’s ark,’” Moser said, rather than STAR WARS. “It’s down to earth. That’s where the problem is.”

Speaker Hilgers pledged to discuss all changes wanted for this bill before it heads to second round debate.

Also included in debate is a bill that would allow an increase in non-resident state park entry permits from $45 to $60. Sen. Hughes says the increase in revenue will help control Lake McConaughy on big holiday weekends, often said to be overcrowded and dangerous. 

Read the full article by clicking HERE

COMPLAINT ALLEGES LANCASTER COUNTY SHERIFF MUST DISCLOSE WHO PAID FOR CHALLENGE TO MEDICAL MARIJUANA INITIATIVE

LINCOLN- A complaint has been filed by a Lincoln attorney against Lancaster County Sheriff Terry Wagner for not reporting the benefactor of his legal challenge against the medical marijuana petition drive last year. Nebraska Families for Medical Cannabis asked the Nebraska Accountability and Disclosure Commission to review whether or not state law has been broken by not disclosing who paid for the legal fees of the challenge. 

Nebraska law requires elected officials to report any gift over $100 on a Statement of Financial Interests which is filed annually. Wagner challenged the ballot initiative because the measure appeared to violate the single-subject rule. Wagner maintains that he is unaware of who paid for the challenge even though his name was listed on the lawsuit. The attorney who led the challenge says it would violate attorney-client privilege to disclose the benefactor. 

"We are not going to rest until justice has been served on the sheriff," Trish Peterson, executive director for Nebraska Families for Medical Cannabis said. "No one is above the law, not even him."

Read the full article by clicking HERE

SOCIAL SECURITY STATE INCOME TAX EXEMPTION SAILS AHEAD

LINCOLN- The legislature gave LB64 a commanding 47-0 first round approval to totally phase out state income taxation of Social Security income over a 10-year period, which would reduce state revenue by more than $130 million a year once fully implemented. A large concern of lawmakers is that the loss of revenue could limit prospects for additional property tax reduction. 

Other lawmakers suggested a change in which Nebraskans at lower-income levels would be taken care of. Sen. Brewer's bill, LB237 would tie Social Security tax exemptions to the level of a taxpayer's income with a cap on eligibility set at $95,000 for a married couple and $80,000 for a single taxpayer. 

"Give relief to those who need it (and not) up to a cost that we can't manage," Brewer said.

Head of the Revenue Committee, Lou Ann Linehan says Nebraska is not competitive with neighboring states when it comes to tax policy which is a factor in Nebraskans moving to southern states upon retirement. 

The fiscal impact remains the largest issue with this bill especially considering the impact when the measure would be fully implemented. Retirees with incomes of more than $114,000 a year would receive two-thirds of the tax cut benefits if the bill is fully implemented, according to a study by OpenSky Policy Institute, which opposes the measure.

Read the full article by clicking HERE

COVID-19 VACCINATION PACE SLOWING DOWN IN LINCOLN, STATEWIDE

LINCOLN- The pace of local COVID-19 vaccinations has slowed considerably since the peak a couple of weeks ago. 5,500 Lancaster County residents got a first vaccine dose last week as compared to 15,000 the week prior. For second doses, the number was at 11,500 down from 24,600 a week earlier. Lancaster County is no different from the rest of the state as 93,284 vaccines were given last week and 211,057 were given the week before. 

This past week also noted the first time less than 100,000 doses were administered. Now, 46% of Lancaster County residents over 16 are fully vaccinated and 66% have received a first dose. Many places are also now switching from mass clinics to smaller, more-targeted clinics as well. In the upcoming weeks, vaccination plans will lead vaccinations to parochial and high schools. The goal is to have elementary school students begin vaccinations before the fall school semester. 

"The best way to get back to normal, as many people hope and wish for, is to get vaccinated," LPS superintendent said.

There has not been a COVID-19 related death in the county since April 19. 

Read the full article by clicking HERE

NEBRASKA LEGISLATURE ADVANCES AIR POLLUTION STUDY IN STATE'S CLASSROOMS

LINCOLN- LB630 introduced by Sen. Eliot Bostar is legislation designed to launch a study of the impact that installation of commercial air filters would have on both academic and behavioral performance in Nebraska classrooms. The measure gained 41-2 first-round approval Tuesday. Sen. Bostar says there is evidence that air pollution has a detrimental effect on the development of children's brains along with damage to lungs which leads to an overall negative impact on classroom performance. 

The bill saw little opposition from both sides of the aisle, with many noting that this is a pilot project that could lead to new solutions to problems. 

Air pollution in classrooms is “stunting our children’s brains and damages our children’s lung functions,” Bostar said.

A committee amendment that would require the Department of Education to include the University of Nebraska in the study as a consultant is being considered as well. 

Read the full article by clicking HERE

PLAN TO SPEND $40 MILLION ON BROADBAND EXPANSION IN NEBRASKA ADVANCES

LINCOLN- Lawmakers gave a thumbs-up Tuesday to Gov. Pete Ricketts' plan to spend $40 million on expanding high-speed rural internet services. LB388 advanced on a 44-0 vote after an amendment that would have allowed cities and towns to enter the broadband services market was rejected. Sen. Justin Wayne of Omaha had introduced the amendment, saying that broadband should be considered a critical need that broadband companies have not stepped up to serve the entire state. Proponents of the amendment said that these companies continue to be allowed to not serve the entire state because of federal and state money collected from cellphones and landlines. Large parts of the state lack broadband service which only hurts the state's economic development. 

80,000 Nebraskans lack internet that delivers adequate service placing the state 48th in terms of access, price and speed.

LB388 would put $20 million per year into grans for projects that will help increase access to broadband. Projects in areas with less than 25/3 speeds that have no projects planned or projects that will take over 24 months to complete will be prioritized. The bill would also direct the federal Rescue Act into the program which enacted $7 billion nationwide for the effort. 

Read the full article by clicking HERE

US SUPREME COURT HEARS HIGH-STAKES ARGUMENTS IN BIOFUELS CASE AFFECTING IOWA, NEBRASKA

WASHINGTON, D.C.- Hollyfrontier Cheyenne Refining LLC v. Renewable Fuels Association was heard in front of the U.S. Supreme Court on Tuesday and will hold large implications for Iowa and Nebraska. The case addresses questions over whether small refineries can request exemptions from the Renewable Fuel Standard. 

Iowa and Nebraska are the top producers of ethanol made with corn. Iowa is the top producer of biodiesel, made with soy beans. The standard sets the amount of biofuels that must be blended into gasoline and diesel. 

Nebraska Attorney General Doug Peterson and Iowa Attorney General led an effort of eight states to file an amicus brief with the Supreme Court supporting the Renewable Fuels Association. The association argues that exemptions should not be granted in cases where they haven't been in place continuously. In 2020, The Court of Appeals ruled that the EPA issued exemptions to refineries that did not qualify. These same refineries are arguing that they will face financial ruin if they are forced to buy ethanol and biodiesel at the levels demanded by Congress. 

“Simply put, if Congress wanted to adopt the generally available exemption petitioners advocate, it would not have enacted the scheme it did here,” Christopher Michel, Department of Justice said. “That scheme does not doom small refineries to failure. The vast majority of small refineries, including the petitioners’, have successfully complied with the RFS in many prior years.”

Read the full article by clicking HERE

KAY ORR ENDORSES JIM PILLEN FOR NEBRASKA GOVERNOR

LINCOLN- Former Gov. Kay Orr (1987-1991) is endorsing Republican gubernatorial candidate Jim Pillen. She described him as, "a principled conservative who will preserve our values and defend our way of life." She announced her endorsement in a TV advertisement mounted by the Pillen campaign. 

Jim Pillen is a Columbus pig farmer and University of Nebraska regent. Charles Herbster, farmer and owner of Conklin Co. has also announced his entry into the race.

"Jim has what it takes to keep our state moving in the right direction," Orr said. "Nobody will fight harder for Nebraska."

Read the full article by clicking HERE

SEN. ELIOT BOSTAR DIGGING IN DEEP AS LINCOLN'S NEWEST SENATOR

LINCOLN- Lincoln's newest senator, Eliot Bostar, has found himself at the center of the property tax debate. Sen. Bostar is succeeding Sen. Kate Bolz, who has term-limited out of office. As a member of the Revenue Committee, he is uniquely positioned to give Lincoln a voice in the decades-old debate. He is the sole Democrat on the Revenue Committee and the other committee he serves on, Banking, Commerce and Insurance. 

"You always have to be willing to work to find common ground," Bostar said, while recognizing that "sometimes that may be a frustrating journey."

Years in which redistricting comes around creates a different environment in the legislature in which party affiliation becomes particularly strong. Bostar's priorities include health care, economic development, education and environmental issues.

"Every bill gets a hearing, everyone can come and share their thoughts, the ability to bring forward an idea that will be heard in a public forum is incredible," Bostar said. "We should really be proud of this."

Read the full article by clicking HERE