Weekly Legislative Report for April 13, 2018 HAPPENINGS IN THE NEBRASKA LEGISLATURE THIS WEEK This week was a short one for lawmakers only working Monday through Wednesday as they wind down the 2018 Legislative Session. Senators will return to Lincoln on Wednesday of this coming week to complete the 60th and final day of this year’s session. As you recall a group of senators worked last weekend to try and come to a compromise on a tax relief package but were not able to find enough common ground to bring forth a bill. Speaker Scheer had optimism that some form of a compromise could be found and listed the three bills that had various forms of tax relief that were advanced from committee on Monday, April 9 agenda. The three bills, plus one appropriations companion bill included: LB640 (Groene) - Change provisions of the Property Tax Credit Act and provide school district property tax relief. LB947 (Smith) - Adopt the Nebraska Property Tax Cuts and Opportunities Act, change income tax rates, and eliminate certain exemptions and credits. LB947A (Smith) - Appropriation Bill. LB1103 (Friesen) - Provide a minimum amount of state aid for each school district. Since no progress was made at the weekend meetings on tax relief, Speaker Scheer skipped over all four bills when they reached that section of the agenda. Having not addressed the issue of property tax relief during the Legislative Session prompted a group of thirteen senators, led by Senator Brewer (Gordon), to have the Secretary of State poll the members of the Legislature to see if they wish to call a special session. In addition to Senator Brewer, the letter was also signed by Senators Steve Erdman of Bayard, Steve Halloran of Hastings, Tom Briese of Albion, Mike Groene of North Platte, Bruce Bostelman of Brainard, Curt Friesen of Henderson, Justin Wayne of Omaha, John Lowe of Kearney, Tyson Larson of O'Neill, Joni Albrecht of Thurston, John Murante of Gretna and Dan Hughes of Venango. If the poll garners another 20 senators - 33 needed in total - that feel a special session to address property taxes is meet, then the decision to hold a special session must be made by April 23. Speaker Scheer said that senators should expect to convene in late April. He has also stated that while he understands the request by those signing onto the initial request, he will not sign on to make the request of a special session. Other Action Taken in The Legislature This Week Bills passed on Final Reading and Sent to the Governor: LB1089 - Change provisions relating to confidential tax information, refundable income tax credits, and homestead exemptions was passed on Final Reading by a 48-0 vote and sent to Governor Ricketts for his action. Before Its passage, AM2806 (Smith) was adopted by a vote count of 42-0 adding the following language to allow the continuation of the use of 1031 exchanges for purposes of computing one’s Nebraska personal property tax liability. AM2806 - “For purchases of depreciable personal property occurring on or after January 1, 2018, and before January 1, 2020, if there is an election to expense the depreciable property under section 179 of the code and similar personal property is traded in as part of the payment for the newly acquired property, the Nebraska adjusted basis shall be the remaining net book value of the property traded in, plus the additional amount that was paid by the taxpayer for the newly acquired property.” LB994, was passed on Wednesday by a vote count of 48-0 and was sent to Governor Ricketts as well. LB994 creates the Rural Broadband Task Force whose purpose is study alternatives for deployment to underserved or unserved areas such as reverse auction programs, public-private partnerships, and funding for competitive deployment. Also, broadband services are defined as high-speed telecommunications capability at a minimum speed of 25 megabits per second down and 3 megabits per second up that enables users to originate and receive high-quality voice, data, and video telecommunications using any technology. In addition, all 32 Consent Calendar bills were advanced from Final Reading and sent to Governor Ricketts for his action. He has five days, excluding Sundays, to either sign or veto them, or allow them to become law without his signature. Bills advanced to Final Reading and listed on Wednesday, April 18’s Legislative Agenda: LB1120, which makes changes to provisions of the Nebraska Liquor Control Act and music licensing provisions was advanced to Final Reading by a voice vote and contains the following changes: • The ability of the Liquor Control Commission to regulate bottle clubs, since they allow the consumption of alcohol (BYOB) and thus will allow law enforcement to enter these facilities to do a compliance check. • Reallocates the shipping licenses fees, correcting an error from a couple years back in how the funds are distributed. The issue here was that the craft brewers were getting more than just the beer license fees to promote the craft beer industry. Basically, a fair amount of the license fees from wine shippers were being allocated to craft beer promotion, when it was the intention that wine fees be used for Nebraska winery promotion. • Allows an increase in the size of growlers to 64ozs (currently 32ozs). • Will allow someone applying for a liquor license for the first time to have the ability to appeal to the Liquor Control Commission (LCC). Under current law, only those applying for a license renewal and a subsequent denial are allowed an appeal to the LCC. Retains the language that was advanced by the General Affairs Committee pertaining to music licensing fees changing the “late fee” to a “fine” and being a fine by the Nebraska Constitution the funds will be directed to school funding. LB989, a bill to authorize automated-driving-system-equipped vehicles, automated driving systems, and driverless-capable vehicles as prescribed was placed on Final Reading on Wednesday of this week and appears on April 18th’s agenda. To view the entire Legislative Agenda for Wednesday, April 18th click here. The 60th Legislative Day, April 18, convenes at 1:00pm and has 22 bills on Final Reading on the agenda. It is expected that this will take a couple of hours to complete and then will be followed Sine Die Ceremonies, which includes Governor Ricketts addressing the Legislature. There is a section on agenda for “MOTION(S) TO OVERRIDE GUBERNATORIAL VETO(ES)”, but there is not anticipated to be any request made. This only applies to bills that have already been sent to the Governor. Any bills passed on the 60th day and if voted by the Governor will not see any opportunity for an override attempt, as lawmakers will not be meeting after such a veto would take place. Priority Bills of Interest Updated To view a listing of all 2018 Senator, Committee and Speaker Priority Bills. You may also view them by going to the Nebraska Legislature’s website https://nebraskalegislature.gov and click on “Priority Bills”. Bill Prioritized Number Introducer Status One liner Senator Watermeier LB44 Senator Final Reading – Adopt the Remote Seller Sales Tax Watermeier Failed to get Collection Act Cloture votes Senator Stinner LB98 Senator General File Extend certain levy authority for Friesen natural resources districts. Cloture Vote failed 27-14 (needed 33) on March 7th. Senator Pansing LB158 Senator General File – Change provisions relating to Brooks Pansing Failed to get appointment of counsel for juveniles Brooks Cloture votes Senator Lowe LB389 Senator General File Adopt the Small Wireless Facilities Friesen Had 3hrs of floor Act debate 4/4/2018, will need proof of 33 votes to return to the agenda, which is doubtful Agriculture LB477 Senator General File Prohibit certain unlawful acts as Committee McCollister prescribed relating to the Weights and Measures Act Senator Baker LB710 Senator Signed Change provisions relating to civil Baker 2/28/2018 claims of four thousand dollars or less Speaker Scheer LB714 Howard Presented to the Provide a procedure for judicial Governor emancipation of a minor 4/11/2018 Speaker Scheer LB741 Lindstrom Presented to the Change provisions relating to real Governor property appraisers 4/6/2018 Banking, Commerce LB750 Senator Signed Change provisions relating to and Insurance Williams 3/21/2018 mortgage licensing, recording of real Committee property instruments, and rights and duties of secured creditors Senator Morfeld LB757 Senator Signed Change provisions of the Credit Morfeld 2/28/2018 Report Protection Act and the Financial Data Protection and Consumer Notification of Data Security Breach Act of 2006 Natural Resources LB758 Senator Signed Provide for voluntary payments in Committee Hughes 2/28/2018 lieu of taxes on water augmentation project lands as prescribed Appropriations LB775 Senator Signed Adopt the State Park System Committee Stinner 3/21/2018 Construction Alternatives Act Education LB778 Senator General File Require voter approval for school Committee Groene Cloture Vote district building fund levies Failed 3/22/2018 Senator Erdman LB829 Senator In Committee Adopt the Property Tax Relief Act Erdman Speaker Scheer LB901 Bostelman Presented to the Require Director of Aeronautics to Governor consult with the Military Department 4/11/2018 in certain structure permitting decisions General Affairs LB921 Senator General File Create a licensing exception under Committee Lowe Has had 3hrs of the State Electrical Act for certain floor debate, farm building construction Needs proof of 33 votes to comeback. Speaker Scheer LB923 Morfeld Presented to the Provide immunity for certain law Governor enforcement employees 4/11/2018 administering naloxone and change provisions relating to immunity for persons reporting or experiencing alcohol overdoses Senator Smith LB947 Senator General File Adopt the Nebraska Property Tax Smith Stalled after Cuts and Opportunities Act, change 3hrs of debate.