Proposed Nebraska property tax cap stalls amid fierce resistance

Nebraska News

Lawmakers in the Legislative Chamber recite the Pledge of Allegiance in Lincoln, Neb., Monday, July 20, 2020. Nebraska lawmakers resumed their session after a four-month pause triggered by the coronavirus pandemic. They still have major issues to address, including a property tax package and an upgrade of Nebraska’s biggest tax incentive program, but all of that may be overshadowed by the pandemic’s impact on tax revenue. (AP Photo/Nati Harnik)

OMAHA, Neb. (AP) — A proposal to cap Nebraska property tax increases at 3% stalled in the Legislature amid fierce opposition from allies of local governments, who cast it as an attack on local control.

Supporters of the bill fell four votes short of the 33 needed to overcome a filibuster.

The measure would have applied to school districts, counties, community colleges and other local governments that collect property taxes. Local governments could have continued to collect extra tax revenue stemming from the natural rise in home values, and the measure would have expired in 2027.

Property taxes are a perennial issue in the Legislature even though they’re levied by local governments and not the state.

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