Nebraska Legislature Bill LB1367

Nebraska 2023-2024 Regular Session

• Introduced: 1/17/24
• Refer: 1/18/24
• Failed: 4/18/24

Caption

Adopt the Property Tax Circuit Breaker Act

Impact

If passed, LB1367 would significantly alter the landscape of property tax regulations within the state. By introducing a circuit breaker mechanism, the bill aims to ensure that property taxes do not become a financial strain on low-income families. This would likely lead to a decrease in property tax revenue for local governments before any adjustments in spending are made. Nonetheless, advocates for the bill argue that it would ultimately enhance homeowners' financial security and reduce the risk of foreclosure due to unaffordable tax payments.

Summary

LB1367, known as the Property Tax Circuit Breaker Act, is designed to assist low-income residents in alleviating the burden of rising property taxes. The bill proposes the implementation of a circuit breaker that would provide financial relief to households whose property tax payments exceed a certain percentage of their income. This legislative effort reflects growing concerns about property tax affordability in the state, especially as housing costs continue to rise disproportionately for vulnerable populations.

Contention

The proposal has sparked considerable debate among lawmakers. Supporters praise the bill for addressing the pressing issue of housing affordability and providing necessary relief to those most affected by onerous property tax burdens. However, critics express concerns about the financial implications for state and local budgets, fearing that it could lead to reduced funding for essential public services. Moreover, some are worried that the bill's criteria may not adequately capture all residents who require assistance, potentially leaving many struggling homeowners without support.