There is a bill in the Legislature that will close a loophole and will keep YOU in charge of your tax dollars and how local government can bond.
LB 132 closes a loophole in the Joint Public Agency Act, which currently gives Joint Public Agencies (JPA) broad authority to bond with little oversight. The bill also increases transparency.
In Lincoln we have JPA’s that oversees the Pinnacle Bank Arena and also our new jail.
The Nebraska State Legislature passed the Joint Public Agency Act in 1999 with the goal of encouraging local governmental units to cooperate with other governmental units to make the most efficient use of taxing authority and powers to best serve the needs and development of local communities.
The Act allows public agencies to create a separate political subdivision, Joint Public Agency or JPA, by contract. JPA’s are governed by a board and capable of exercising any power and performing any service which at least one of its participating public agencies is authorized to perform.
A loophole in the JPA Act allows JPA’s to issue general obligation bonds, bonds paid out of the general tax levy, without a public hearing and with very little oversight.
For example, if a city or a school district wished to issue general obligation bonds to build new facilities their governing boards would hold a public hearing, and vote to send the bonds to the ballot and the community would vote on the bond issue. If the same city and school district formed a JPA to issue bonds the JPA board could simply vote to approve and publish notice after, yes after the fact.
As a result of this loophole, government agencies can form JPA’s simply to gain access to more tax revenues and avoid a vote of the people. Instead of the JPA act enabling more efficient government, this loophole encourages spending and bureaucracy.
LB 132 closes the loophole by making JPA’s follow the same bond issuance procedures as their participating public agencies. Therefore, it returns JPAs to their intended purpose of facilitating cooperation and enabling government to more efficiently serve Nebraskans. For these reasons LIBA asks for your support of LB 132.
For more information please contact me or Ann Post, Legal Counsel for LIBA at 402-466-3419 or apost@liba.org. If you would like to join the Lincoln Independent Business Association, feel free to call anytime. We also have an individual membership that is only $100 for non-business owners. I would be happy to discuss ways for you to become involved in legislation that affects Lincoln.
by Coby Mach, President & CEO
Lincoln Independent Business Association
402-466-3419
www.liba.org
LIBA New Members
Red Dirt Running Company
Red Dirt Running Company of Lincoln is a specialty run store that will serve all of your running and fitness needs. Red Dirt Running Company is committed to providing you with customer service that is centered around you. Our mission is to provide you with the best experience whether it is proper fitting, product knowledge, or training recommendations. If you’re a runner, walker, or simply like to go to the gym we want to make sure that you have the proper footwear for you. Our knowledgeable staff is here to help you on an individual basis to assist you in your pursuit of your fitness goals.
For more information about Red Dirt Running Company of Lincoln, please call (402) 432-0402, email loriborer@reddirtrunning.com, or find us on Facebook at Red Dirt Running Company – Lincoln. Make sure to check out our new website at www.reddirtrunninglincoln.com.
The Alternative Board (TAB)
The Alternative Board (TAB) is a locally owned, exclusive, membership-based organization that helps business owners achieve more profitability, productivity and personal fulfillment. Being a member of TAB means you have your own personal Board of Directors; a proven support system of other Lincoln based business owners providing objective, quality advice, who are not in competition with you, who respect your confidentiality, and who have faced challenges and opportunities similar to those you face. To learn more about how The Alternative Board (TAB) can make a bottom line difference in your business, call Terry at (402) 213-9009, email terry@tablincoln.com, or visit TAB’s website at www.TABLincoln.com.
LIBA studies and promotes these types of issues that are important to businesses and our community. If you have an interest in joining LIBA, please call me at 466-3419. LIBA membership is not restricted to just businesses. We also have “individual” memberships for those who want to help influence our local government decisions.