Cornhusker State News

Governor Jim Pillen has reiterated his call for property tax reform in Nebraska, describing the issue as a crisis that must be addressed during the upcoming 60-day legislative session. Speaking on the Platte Institute’s Nebraskanomics podcast with host Jim Vokal, Pillen also discussed eliminating the state’s inheritance tax.

“Our property taxes are among the highest in the nation. This crisis is hurting every Nebraskan – from young people who dream of owning a home to seniors who fear losing theirs,” said Gov. Pillen.

Pillen pointed to several reforms he believes are necessary, including reducing government spending, setting hard caps on local spending, decreasing tax cuts and exemptions, and broadening Nebraska’s sales tax base. He said these measures would help ensure discretionary rather than mandated increases in property taxes.

“For decades, the Legislature has allowed lobbyists and special interests to create loopholes and carveouts in our sales tax code that have shifted the burden of schools and local government to property taxpayers,” said the Governor. “To remain competitive, we must fix this imbalance, eliminate special tax carveouts for industries with the best lobbyists, and broaden our sales tax base.”

He suggested that having the state take over operational costs for K-12 public education could significantly reduce reliance on property taxes—a strategy similar to how Nebraska already funds community colleges.

Pillen called on state senators to work with him to find solutions instead of relying on ballot initiatives: “Gov. Pillen said he’s once again asking state senators to partner with him in identifying viable solutions, rather than leaving the issue to be determined through a ballot initiative process.”

The full interview is available through major streaming platforms.