LEGISLATURE DEADLOCKS ON PROPERTY TAXES, BUSINESS INCENTIVES

LINCOLN - A last-ditch effort to provide substantial property tax relief stalled on Wednesday, triggering a long-threatened refusal to enact a new state business development tax incentives program to succeed the plan that will expire at the end of the year.

After debate on the much-amended tax bill concluded with insufficient support available to overcome an anticipated filibuster by its opponents, the bill's proponents trapped the business incentives package in a similar position following extensive debate. Neither measure was subjected to a vote.

In the wake of the deadlock, Speaker Jim Scheer of Norfolk said he will wait to see if proponents of the two major proposals are able to negotiate some sort of compromise agreement to unlock the logjam before considering whether to attempt to step in himself.

Rural senators had signaled earlier this session that they were prepared to take the business tax incentives proposal hostage if senators did not agree on a substantial property tax reduction plan.

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