Palmtag Campaign Criticizes Slama, Says Tax Relief Is 'Too Little, Too Late'

NEBRASKA CITY – The Janet Palmtag for state Legislature campaign sent out a mailer in August questioning the validity of State Sen. Julie Slama’s claim that she has worked hard on property taxes.

A press release says Slama voted no in a previous session on LB294, which included nearly $760 million in property tax relief.

Palmtag:  “When there was still time and debate on the main bill to fix property taxes (LB289), Slama had the opportunity to help bring this to a vote. But when Sen. Tom Briese of Albion, offered a scaled down version of LB289 in LB183, Slama was present and not voting.   Slama owns no property and personally pays zero  in property taxes.”

LB1107 was passed by the Legislature before the closing of the most recent session. It includes tax credits based on property taxes paid to the school district and business tax incentives.

The Palmtag campaign says it is "too little, too late."

Palmtag: “Farmers and ranchers in Nebraska will not pay a single dollar less in property taxes. LB 1107 makes no meaningful structural changes to our property tax system. It’s a shell game with income tax credits.”

The press release says Jenni Benson of the Nebraska State Education Association recognizes the switch.

Benson: “We’re only moving it from property tax. You’re still paying the property tax, you’re just moving it to the income tax as the tax credit.”

The Palmtag campaign also says Sen. Machaela Cavanaugh expects the tax break she will receive from LB 1107 to amount to $150 and Palmtag says Bayard Sen. Steve Erdman said so-called property tax relief only happens if state revenues come.

The Capitol View column written by J.J. Schmidt says the state’s revenue department expects LB1107 to cost the state $4.6 billion over 11 years.

Schmidt: “The measure offers little in the way of offsetting revenue and instead largely banks on speculative revenue projections and one-time funding sources.”

Schmidt said LB 1107 will force lawmakers to cut vital services, including education, to cover the costs.

A News Channel Nebraska report in August said Slama’s Legislative column referred to LB1107 as a “grand compromise.”

The column said the bill recognizes potential future income, if gambling is legalized in November. However, Secretary of State Bob Evnen later announced that he would not place the gambling measure on the ballot.

Slama's column says property tax relief is her top priority and said LB1107 provides a minimum of $375 million in property tax relief.

Palmtag said not only is LB1107 a shell game using tax credits, but it will increase property taxes for some Nebraskans by repealing tax exemptions in the Personal Property Tax Relief Act.