Nebraska governor seeks shift to sales taxes to ease high property taxes. Not everyone is on board

LINCOLN, Neb. (AP) — Nebraska Gov. Jim Pillen has announced a broad tax plan for an upcoming special legislative session that would cut property taxes on average in half — including for his own home and family farm in eastern Nebraska valued at more than $6 million.

Pillen announced the plan Thursday with the backing of several fellow Republicans in the officially nonpartisan Nebraska Legislature. But not all Republicans are on board, and it remains to be seen if he can get the 33 votes needed to break a filibuster to get it passed.

The proposal, which could be debated after the special session begins July 25, would vastly expand the number of goods and services subject to the state’s 5.5% sales tax to items such as candy, soda and CBD products, and to services like pet grooming, veterinary care and auto repairs. Most groceries and medicine would remain exempt.

Another portion of the plan would see the state foot the estimated $2.6 billion cost of operating K-12 public schools, which are now largely funded through local property taxes. It would also cap the growth of property tax revenue.

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