Week 8 Report

by Andy Pollock and Brent Smoyer

As it moved into the second third of the 90-day session, the Legislature continues to be relatively productive and Senators have not lapsed into the filibuster-laden chaos we’ve seen the past two years. It’s a refreshing change.

The Legislature’s Revenue Committee heard a bill introduced by Sen. Mike Moser of Columbus that would double the state’s funding for expressway construction. Sen. Moser chairs the Transportation & Telecommunications Committee. The Revenue Committee heard the bill because it relates to the amount of sales taxes that are directed to roads’ funding. In 2011, then State Sen. Deb Fischer led a bold and successful effort to redirect one-quarter of 1% of all state sales tax revenues to roads’ construction. This change meant a reduction of the same amount for the State’s General Fund. Proponents of the bills said that the costs of construction have exceeded expectations from 14 years ago, and doubling the cut of sales taxes dedicated to road work is needed. Conservatives on the Revenue Committee, including Sen. Mike Jacobsen of North Platte and Sen. Kathy Kauth of Omaha expressed reservations with the legislation.

The most recently released economic forecast for Nebraska may help Sen. Moser and others pushing legislation that would draw money from the State’s General Fund. At the beginning of the Legislative Session, the forecast was for a $432 million shortfall. The projected shortfall was lowered to just under $200 million when the Nebraska Economic Forecasting Advisory Board released its latest forecast Friday.

Outside the Legislature, the Nebraska Department of Economic Development, headed by K.C. Belitz, awarded over $400,000 in grants intended to recruit workers to Nebraska as part of the “Good Life is Calling” campaign.

The Legislature reconvenes Monday for a shortened week. It will be in recess Friday.