NEW COVID CASES IN NEBRASKA LOWEST SINCE JULY; DOUGLAS COUNTY HITS VACCINE MILESTONE

OMAHA- Nebraska's COVID-19 cases were down last week to a level seen last summer. Douglas County recorded 572 cases last week, down 21% from the week prior. That figure is a number last seen in August. This is just another step in the right direction after another week of the lowest death rates due to COVID-10 since July. The state was down 29% in cases from the week before. 

Now, the state is turning to staying ahead of variants through continuing vaccinations. The Douglas County Health Department has administered over half a million doses of the vaccine. 46% of residents 16 and older are vaccinated and 58% have received their first dose. 

In Omaha, the areas with the highest percentage of residents vaccinated are Elkhorn and Bennington with the lowest being in North and South Omaha. Adi Pour said she is happy to see urban Nebraskans being so eager to get vaccinated while rural Nebraskans seem to be more hesitant. 

The state is able and ready for the 12 to 15 age range to start to be vaccinated as soon as possible. At around the same time, Omaha's mask mandate will be lifted. Pour said although the city could have gone an extra month with a mandate, she is comfortable in saying that with the vaccination trends being as high as they are, personal responsibility to wear a mask will be enough. She went on to say, if needed, the City Council can adopt an emergency mask mandate.

Nebraska has administered 1,450,275 doses of the vaccine as of Monday, May 3rd. 

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SARPY COUNTY BREAKS GROUND ON NEW JAIL, WHICH WILL OFFER MORE MENTAL HEALTH SERVICES

PAPILLION- Officials broke ground Monday at the site of the new jail in Sarpy County. The jail plans to have ample room to house inmates and offer more services to help treat those inmates suffering with mental health. The building will open in late 2022 or early 2023 and will increase the number of beds for inmates and include a behavioral health unit that helps with drug and alcohol dependency rehabilitation. 

“Not only will it be a state-of-the-art, modern facility, but it’s going to allow us to provide services and programs to people that we’ve never been able to provide before,” said Don Kelly, chairman of the County Board.

The county has been working on a plan to address overcrowding in their area. The jail in Sarpy, built in 1989 was only build to house 150 inmates but currently houses around 200. County officials partnered with UNMC to establish the state's first forensic psychiatry fellowship. Around 25% of inmates will benefit from services given by a psychiatrist that will assess and treat inmates with mental illnesses. The behavioral health unit will have 20 beds for men and eight for women and will be separate from the rest of the inmate population. 

Bonds will cover about $45.1 million while the American Rescue Plan Act, coming from President Biden's $1.9 trillion COVID-19 relief package will cover $18.1 million, and $16.7 million will come from the county's inheritance tax funds. 

“We want the county to be very proud of this facility,” Chris Pesek said.

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NEBRASKA LAWMAKERS NIX PROPOSAL TO GIVE MORE STATE AID TO RURAL SCHOOL DISTRICTS

LINCOLN- A proposal that would have funneled millions in additional state funds to rural schools was shot down Tuesday by the Legislature. The bill fell two votes short of what is needed to advance. Sen. Curt Friesen, the introducer of the bill, said the measure would provide extra state aid that would escalate to $130 million after three years to dozens of rural school districts that currently receive little to no "equalization" aid. 

Under current statute, school districts receive "equalization" aid from the state when financial needs exceed resources in a district. Prices for farm and ranch property have risen sharply, which forces school districts to no longer qualify for equalization aid because their resources (land) are sufficient via property taxes. Friesen said the current formula only allows for 84 out of the 244 districts to receive any aid-- most of which are urban. 

LB454 would adopt the School Property Tax Stabilization Act and change the valuation of agricultural land, or "unequalized" school districts that do not receive aid would split $65 million in year one, $95 million in year two, and $130 million in year three. This would also give rural taxpayers a property tax decrease due to increased funding. 

Senators questioned how the state would afford this, saying its distribution of state funds would be challenged in court. Sen. Lou Ann Linehan, Revenue Committee chairwoman said that all areas of the state deserve property tax relief and that the answer to the issue is more complicated than increasing funding for rural schools. 

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SOUTH CAROLINA BILL TO ALLOW FIRING SQUAD AS MEANS OF EXECUTION IS POISED TO BECOME LAW

COLUMBIA, S.C.- Frustrated by the lack of drugs available to carry out lethal injections in their state, South Carolina lawmakers are on the cusp of a controversial solution: forcing death row inmates to face the electric chair or firing squad when lethal injection is not possible.

A bill proposing that change, approved by the State House this week, appears almost certain to become law in the next few days, and is being lauded by Republicans, including Gov. Henry McMaster, who have been vexed by pharmaceutical companies’ refusal to sell states the drugs needed to carry out lethal injections. The lack of drugs, they say, is a key reason South Carolina has not executed anyone in 10 years.

Opponents are appalled by the bill, which would make South Carolina the fourth state — along with Mississippi, Oklahoma and Utah — in which death by firing squad is an option for the condemned. South Carolina is among 24 states where the death penalty remains law. In the past 16 years, 11 states have rescinded capital punishment, including Virginia, which in March became the first Southern state to do so. Governors have also imposed death penalty moratoriums in California, Oregon and Pennsylvania. 

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OPPD PROPOSES RECOGNIZING 'SCIENTIFIC CONSENSUS' OF HUMANS' ROLE IN CLIMATE CHANGE

OMAHA- In a position that stands in contrast to the Nebraska Legislature, the Omaha Public Power District board is proposing to acknowledge humans' role in climate change. 

The board is considering the following proposed strategic directive: “The OPPD Board of Directors recognizes the scientific consensus that climate change is occurring and that greenhouse gas emissions, including carbon dioxide, from human activity contribute to climate change impacts.”

In the previous legislative session, the Legislature rejected a state climate plan with many opponents calling climate change a hoax. Eric Williams, who leads the board committee that drafted the proposal said he hopes other power entities follow suit. 

Mike Cavanaugh, the board's longest serving member said he will vote against the statement in its current form. Williams said the proposal is simply a statement to show people why OPPD is moving to decarbonize its footprint. OPPD set a zero carbon emissions goal for 2050 a few years ago. Lincoln Electric System has committed to a 100% net reduction in carbon emissions by 2040. 

The electric power sector is responsible for 40% of greenhouse gas emissions globally. Recent issues caused by severe weather for OPPD have been the February freeze of this year and the flooding from the past few years.

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GOV. RICKETTS DEFENDS NEW MEDIA CREDENTIALING PROCESS AS 'NEUTRAL'

LINCOLN- Gov. Ricketts pushed back in a press meeting Wednesday as his new media credentialing policy continues to be called unconstitutional and a potential pretext to exclude media outlets that don't share his same views. Many different media groups have called on the governor to revise the policy. Ricketts said the application for approval included only 'neutral' questions. 

“Folks, at the end of the day it’s only a dozen questions. It probably takes less than 10 minutes to fill out. It’s not that big of a deal,” the governor said.

This state has never had a credentialing process in place before a North Omaha community news website had been denied access to media briefings. The reasoning behind this decision was that the website is an 'advocacy' group that was founded by 'liberal donors'. The application includes questions about how the organization is financed, if there is a clear distinction between editorials and news and if there is immense pressure from interest groups. According to critics, these questions are not neutral and would not hold up in court. 

Media Nebraska and Ricketts are in talks about a new credentialing process. 

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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.”

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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.

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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

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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.

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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.

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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. 

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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. 

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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.” 

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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.

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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. 

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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. 

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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. 

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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."

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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.

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