NEBRASKA CITY - Taxes and budget surpluses are at the forefront of the Nebraska Legislature's 2022 session.

Lawmakers returned to the Unicameral for the new session earlier this week. And, one of the first big issues on the docket involves how best to handle the state's $400 million budget surplus. That's in addition to federal money still kept in the state budget.

Governor Pete Ricketts Thursday said he would like the money to be given back to taxpayers. Speaking on KMA's "Morning Line" program Friday morning, State Senator Julie Slama says she favors a two-pronged approach to returning the money back to residents.

"I would like to see the Nebraska money go back to the Nebraska taxpayers," said Slama. "And, that federal money go towards one-time spending projects--investments that don't increase our year-over-year spending, because the feds have made it very clear this is one-off money."

There is no shortage in Slama's mind of potential projects that the money could be used for.

"I know the 'Star Wars committee' is looking at expanding our outdoor recreational opportunities--I like that," she said. "I would also like to see those resources go towards rural economic development, expanding broadband access, investing in our main streets, and rural workforce housing."

There is still a need for improved broadband services throughout rural parts of the state, Slama added.

"My new husband is an attorney," said Slama. "He works from our home in rural Sterling. He's learned firsthand just how difficult it can be to run and operate your own business when you don't have access to fast, reliable internet. And, that's just a microcosm of experiences across the board in rural Nebraska."

Other Nebraska lawmakers have proposed tackling property and income tax relief in tandem with a review of the state's tax exemption, but Slama is not convinced that a major overhaul of Nebraska's tax structure will take place this session.

"I'd like to see a more structural overhaul of the tax system," she said. "However, I think in this session, we're going to look at more one-off tax relief reimbursements or other approaches that don't necessarily increase the spending lid and thus necessitate any kind of increase in balancing out."

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