LINCOLN - In his latest legislative column, State Sen. Bob Hallstrom discussed the state budget, workforce housing funds,  the Kratom Consumer Protection Act and an inheritance tax setback.

He said lawmakers addressed a projected budget deficit with cash reserves, but failed to advance a bill to reduce inheritance taxes. Hallstrom said LB468 would have reduced inheritance tax by 24 percent and replaced lost revenue to counties with increased fees and a nameplate tax.

Hallstrom’s amendment to reinstate $8 million to the rural workforce housing fund was adopted.

His bills to extend the duration of protection orders and establish the Kratom Consumer Protection Act were passed.

Here is the senator’s column:

The Legislature finished its work on the state budget for the 2025-2027 Biennium last week, and now we have approximately three weeks left in the 2025 Legislative Session. We are currently scheduled to adjourn and complete session activities on Monday, June 9.

FLOOR ACTION

The Legislature addressed a projected $262 million budget deficit by redirecting money from various state agency cash funds into the General Fund. Following first-round approval of LB261, the biennial budget, the Legislature also advanced LB264, which will draw approximately $132 million from the state's “rainy day” fund. This leaves almost $700 million remaining in the Cash Reserve.

LB468, a bill to reduce inheritance taxes, failed to advance on Select File, coming up two votes short of advancing. The bill would have reduced the total amount of inheritance taxes that Nebraska counties collect by 24% and replace the lost revenues with increased county fees, transfer a portion of the Securities Cash Fund and an increase in the Nameplate Capacity Tax. Nebraska is one of only five states that still collects inheritance taxes.

I introduced an amendment to LB 264 with the aim of reinstating $8 million that was proposed to be removed from the Rural and Middle-Income Workforce Housing Fund Provisions. Adequate workforce housing is crucial to retaining individuals to our state to fill job openings. The amendment was adopted.

My bill LB 80 passed on Final Reading. LB 80 streamlines existing statutes pertaining to domestic abuse, sexual assault, and harassment protection orders by consolidating them under a single act, the Protection Orders Act, and extends the initial duration of a protection order from one year to two years at the discretion of the judge.

Another bill of mine, LB230, the Kratom Consumer Protection Act, was also passed on Final Reading. LB230 establishes the Kratom Consumer Protect Act. Under this legislation, only safe kratom products may be sold, and such products must comply with federal and state manufacturing, packaging, and labeling requirements.

LB 89, the Stand With Women Act, advanced to Final Reading. The bill establishes legislative intent that males are biologically different than females, that those biological differences impact athletic performance, and provides guidelines for athletic competition.

 I welcome your input on issues of interest and importance to you. I encourage you to follow along on my Facebook page designated as Senator Bob Hallstrom, for updates on legislation and District 1 activities. Please feel free to contact me directly at Senator Bob Hallstrom, District 1 State Capitol, PO Box 94604, Lincoln, NE 68509; Telephone (402)471-2733; or email me at [email protected].