Nebraska Tax-Payment Proposal Fails to Advance
LINCOLN, Neb. (AP) -- A bill that would have used Nebraska's tax system as a kind of investment vehicle to build roads has failed to advance in the Legislature.
Lawmakers voted 22-15 for the bill on Monday, three votes short of the minimum it needed to advance.
The measure by Sen. Paul Schumacher would have given state taxpayers the option to pay more up-front, in exchange for an inflation-adjusted credit that they could use to lower their future tax liability.
Schumacher argued that the bill would generate more up-front cash for roads projects, which are cheaper now than in the future.
Opponents said that the bill would disrupt the state budget. Some argued that it was a back door-attempt to allow bonding, which the state constitution prohibits.