DAVID CITY, Neb. – The governor visited David City on Thursday pushing a property tax bill that is a hot topic of debate among the state legislature.
Gov. Pete Ricketts mentioned the importance of keeping young people in the state, cutting regulatory red tape and of course property tax relief, which he has said before is his biggest priority.
Property tax bill LB 947 that gives a refundable income tax credit to ag land and homeowners, begins by refunding two percent of property taxes paid, then steadily increasing that number to 20 percent by 2027.
Ricketts thinks the state, which has cut spending drastically due to a budget shortfall, can afford the tax cuts.
“We manage the tax relief within the growth of the government. So if you look over a 20-30 year period our revenues grow on average about 4.5% to 5.5%. Well this would be less than one percent of that, dedicated to tax relief,” says Ricketts.
According to the Omaha World-Herald, the tax plan would reduce state revenues by $590 million by 2030. Ricketts says that the state’s budget can handle that and at some point the state needs to go all-in on giving Nebraskans major relief.
“So the folks that say ‘oh we can’t possibly do this’ well then how else are we going to deliver tax relief? The only way to deliver tax relief was committing to it and then managing it within the budget,” says Ricketts.
Ricketts did not mention his upcoming bid for re-election later this year at the Rotary Club meeting. He did say to NCN that he’s going to campaign on what he already has done in his three-plus years as governor.
“It’s going to be based on the record we’ve done, this tax bill is important but we’ve done other things regarding property tax relief as well as running state government better, doing a better job of providing our services, controlling spending, these are all things on why I would like to have another term as governor,” says Ricketts.