Reviewing the 2021 Legislative Session
The 2021 Legislative Session at the Unicameral is in the books, with this year’s 90-day session concluding after day 84 on May 27. The legislature completed the main task of the session—enacting a $9.7B two-year state budget—and also tackled several other big issues over the course of the past five months.
The Lincoln Chamber was pleased to see several important issues enacted in this year’s session. Overall, senators enacted important legislation related to social security tax relief, tax relief for military retirement income, minor revisions to the ImagiNE Nebraska Act, statewide broadband expansion, “cliff effect” fixes for the Supplemental Nutrition Assistance Program and childcare assistance for needy families. In total, an estimated $1.7B in property tax relief will be delivered over the next biennium.
We extend a special thanks to Diane Temme Stinton, CEO of TMCO in Lincoln and Lincoln Chamber Board member, for her testimony on behalf of herself, the Lincoln Chamber and State Chamber in support of LB 531, which is directed at promoting quality childcare and early childhood education programs in Nebraska via a nonrefundable income tax credit for qualifying contributions.
The Chamber worked with numerous entities including veterans groups, state senators and others to advocate for the passage of LB 387, which would exempt 100 percent of military retiree benefits from state income tax. We extend a special thank you to Captain Todd Heyne (US Navy Retired), now with ALLO Communications, for testifying for the Chamber as well as local Valvoline Instant Oil Change owner and airline pilot, Chris Stokes, testified on his own behalf at the legislative bill hearing. Both are members of and key contributors to our Military Affairs Committee.
The $1.9T American Rescue Plan Act (ARPA) signed by President Biden on March 11, will provide more than $1.5B in assistance to the State of Nebraska through various tax provisions, direct aid to individuals, current program enhancements directed to stabilizing small business and event venues and direct programmatic assistance to schools and local governments.
The Lincoln Chamber of Commerce, Greater Omaha Chamber and Nebraska Chamber of Commerce & Industry public policy and economic development staff have been working since before passage of ARPA on a list of recovery and relief proposals similar to those developed for the federal CARES Act assistance.
Some of the legislation the Lincoln Chamber has supported this session, including Senator Anna Wishart’s LB 598, Small Business Stabilization Grant Program Act; Senator Adam Morfeld’s LB 272, Apprenticeship Training Program Tax Credit and LB 629, Grants for Entities Affected by Event Cancellations; and Senator Eliot Bostar’s LB 391, Customized Job Training Cash Fund, could possibly be further enhanced with funds from ARPA.
It is likely that affordable housing efforts, like those being undertaken by the South of Downtown Community Development Organization and others across Lincoln and across the state, should be boosted with ARPA funds. Airport infrastructure capital investments also should be considered.
Redrawing of legislative and other statewide political boundaries is to be determined later this year, likely in a mid-to-late September special session. This issue has already been contentious and shown both a political and rural/urban split that will make it very difficult to find consensus.
For more information, visit lcoc.com or give us a call at 402-436-2350