LINCOLN- A compromise reached on Wednesday night approved a bill that requires the mass mailing of postcard notices when a property tax increase is proposed. The measure has been hailed as increasing transparency for taxpayers when an increase in property tax is being considered. Opponents on the other hand complained that mailing postcards would be expensive and unfair in instances of inflation and growth force an increase.

LB644 says postcard mailings to taxpayers would only be required when proposed growth in property taxes is higher than 2% plus local growth in property valuation. The need for a postcard is based on the amount of property taxes collected, not the tax levy. The bill also includes a notice of public hearing in the county newspaper.

The "2% plus growth" language was modeled after a proposal, backed by Gov. Pete Ricketts, that would have limited increases in property taxes by 3% plus growth. But that proposal died in the face of a filibuster.

The original bill, drafted by Sen. Ben Hansen, would have required postcards to be sent with any increase. Discussions showed that this could cost Douglas County alone $500,000. So, lawmakers compromised and removed objections by cities, counties and school districts.

The bill advanced to final reading on a voice vote.

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