Erdman Edition: 100th Legislature, 1st Session Adjourns

The first session of the 100th Legislature adjourned on May 31, 2007. Here are a few of the highlights from this session.

LB 701 expands the water management tools available to the state and natural resource districts in response to the last several years of drought and the state's compact with Kansas. The bill also steps up funding for programs aimed at bringing both surface and groundwater consumption in line with water supply. To accomplish that goal, a combination of funding sources will be used including a significant amount of state funds.

LB 368, my priority bill, which creates a new business model known as a limited cooperative was signed by the Governor on May 16, 2007. This business model will be a significant economic development tool for agriculture and rural areas. It combines the traditional cooperative elements of patron ownership, control and distribution of profits with features that enhance the ability of cooperatives to attract investment capital for value added ventures. Nebraska has seen great opportunities develop in our state specifically in renewable fuels, but we are missing out on local ownership without this model.

Another bill I introduced, LB 516, provides funding to assist the Agriculture Committee in developing policy responses due to the recent federal court decisions that Nebraska's corporate farming restrictions (I-300) are unconstitutional. It was signed by the Governor on May 24, 2007. On behalf of the Agriculture Committee, I have simultaneously introduced LR 93, an interim study resolution directing the Committee to examine the matter in depth and study the implications arising from the court decisions. The real work will occur over the interim as the committee seeks to engage the public and solicits expertise in legal, economic and other areas to arrive at a new direction for agriculture. If you would like to be a part of this opportunity, please let my office know.

LB 367, the major tax relief bill this session, and LB 342, which restructures the funding of community colleges, will provide needed property tax relief. In addition to property tax relief, LB 367 repeals the state estate tax for individuals dying on or after January 1, 2007, eliminates the sales tax on construction labor, and repeals the marriage penalty under the state income tax code. LB 367 alone is the largest tax relief ever passed in Nebraska and that doesn't include the additional property tax relief most Nebraskans, especially western Nebraskans, will experience with LB 342.

The two most controversial educational bills this year address the Omaha area and Class I schools. LB 641 reunites Omaha Public Schools into one district and continues the learning community with Douglas and Sarpy County Schools. After last session when LB 1024 passed, many metro school administrators were involved in restructuring the learning community in a form that they felt was acceptable in order to avoid the flood of litigation that occurred after the bill was passed last year.

LB 658 provided a process for forming Class I schools in response to the repeal of LB 126 last November. However, under the bill it would have been nearly impossible for a Class I to be formed. Class I schools would be prohibited from hiring teachers as well as other restrictions that failed to give Class I's meaningful autonomy. During the debate many alternatives were offered, but none were accepted and the final version contained many provisions that were identical to those rejected in LB 126. I voted against LB 658, and the Governor vetoed the bill on May 31, 2007. The motion to override failed. I am hopeful that we can now come together as a state to find a solution in the same spirit that the citizens in the Omaha metro area did this year for their schools.

During the interim there are many opportunities to be involved with studies and other issues. If you would like to be involved or have issues that you need assistance with the state, please contact me, toll free at 1-866-800-7445, by writing to: State Capitol, District 47, PO Box 94604, Lincoln, NE 68509, or by email at perdman@leg.ne.gov.

It is an honor to represent you in the Nebraska Legislature and I thank you for your willingness to read these columns this session.