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Krusin' the Capitol

By Nebraska State Senator Lowen Kruse

2004
Week 10
March 12, 2004

Hi

Quick update on the budget. Revenue Comm. refuses to take up the governor's offer to sign for $120 million added revenue. We have plugged in a figure of $160 m. liability for the low level waste lawsuit in the next biennium (July, 2005 to June, 2007). Bottom line: we are $194 m. out of balance on July 1, 2005.

The only recourse that is feasible (well, we could just shut down prisons) is to cut aid to K-12 schools by $50 m. a year. That of course is simply a shift to property tax, which I insist is a tax increase. This week I will move to place income taxes back to the 1997 rates for two years, which gives us $70 m. If the economy improves by $60 m., which is our conservative figure, we have the $120 m. the governor says is necessary and we protect property tax from another hit. Enough on $$.

Our Supreme Court Chief Justice, Judge Hendry (who grew up in this district), came before us recently to state he could no longer meet the constitutional requirements for courts and probation because of the budget cuts. One part of his increased expense is to provide interpreters in court. We sighed, thinking "more Latino problem." Not. Several courts have bilingual staff for Spanish.

Nebraska courts had to hire interpreters for 28 languages in 2003. O my. Nearly as tough as in the frontier days, when there were entire villages in Nebraska with no use of the English language. Here are our languages: Albanian, Arabic, Bosnian, Cantonese, Chinese, Croatian, Czech, Dinka, Farsi, French, German, Korean, Kurdish, Laotian, Mandarin, Mayan, Micronesian, Nuer, Persian, Polish, Russian, Serbian, Sign (for deaf), Somali, Spanish, Sudanese, Thai, Vietnamese.

We could pass a law that no foreigner can break the law. I smile when someone says how pure our state has been in speaking English. The first minutes of the Nebraska legislature were in German.

What is the biggest challenge for Nebraska's future? Economic development, hands down. The increased revenue allows us to meet increased health expenses, to deal with addiction expenses, to improve educational funding, etc. We have done well. It is cyclical. Business people repeatedly tell us the best investment to produce econ. dev. is education of our own people. President Smith, now in his final year at the University, stated to the regents that: ".....the university is a primary driver not only of this state's economy, but of its culture and quality of life." Try measuring that!

An improved "775" (tax incentive plan) would help. Incentives bring business activity and employment, but the business community has stonewalled review and improvements. Hopefully, the petition drive to overturn it will bring some action instead of cancellation. So far, very little action.

If we do not start funding K-12 schools so they can truly educate new immigrants we are placing ourselves in a financial hole. Then, if we do not get the new low income youth into training past high school, we are missing a big investment return. We cut the colleges and universities, raise tuition over 20%, freeze tuition aid funds -- kicking ourselves back down the steps which lead toward a stronger economy.

The legislature's casino petition is stalled, but will probably move. Two realities we have been dealing with remain. 1. Over 90% of Nebraskans say, "Let us vote on it." 2. There is no evidence that Nebraskans realize a casino will be a net loser in public dollars, causing taxes to go up. I'll be gone by then, but I'll take bets that we will add that deficit to property taxes when it comes. Argh.

We advanced 55 bills on Thursday. The humorous side of getting action on your favorite (stalled) bill is to amend it into someone else's which is alive and wiggling. This week we had a health bill which received several (non-controversial) amendments. I told a lobbyist we had a plan on the floor to have 25 senators amend to this bill. That way, on the next round the original ho-hum bill is guaranteed enough votes to pass.

Keep Wiggling,

Lowen

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