Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the LB1021 Nameplate Capacity topic
No spam. Unsubscribe anytime.
Nebraska revenue office seeks 3% fee on nameplate capacity tax to fund assessments division
Summary
The Department of Revenue-backed LB1021 would let the department collect a 3% fee on nameplate capacity personal property taxes on wind and solar to fund the Property Assessment Division; counties and county officials urged keeping collection/disbursement local and offered an amendment shifting duties to counties.
Senator Teresa Ibach introduced LB1021 on behalf of the Nebraska Department of Revenue’s Property Assessment Division, which is seeking statutory authority to collect a 3% fee on nameplate capacity personal property taxes paid by wind and solar facilities.
The department’s property tax administrator, Sarah Scott, told the Revenue Committee the division performs billing, assessment, demand letters and levy filings for the nameplate capacity tax and currently provides services to counties without a stable funding source. Scott said LB1021 would allow the division to collect a 3% fee—modeled after existing collection fees for carline and air carrier personal property taxes—to support administrative costs and preserve services counties rely on.
Opponents representing county officials and agricultural interests argued the nameplate capacity tax was created in 2010 (cited in testimony to a 2010 statute) as an excise intended to replace local property taxes, not as a source of state general revenue. John Cannon, executive director of the Nebraska Association of County Officials (NACO), said counties perform collection, disbursement and enforcement functions and circulated an amendment to move more responsibility to counties rather than creating a state cash fund. John Hansen of the Nebraska Farmers Union echoed concerns and supported the county amendment.
Committee members asked whether the fee increases taxes and who bills and collects nameplate capacity taxes. Scott said the 3% fee would not increase taxes; the Department of Revenue bills and collects the tax and then distributes proceeds to counties and other local subdivisions. Scott also noted some counties have been assessing an informal 1% collection fee and that past statutory language lacked clarity about fee authority.
The hearing record includes departmental fiscal estimates and written testimony; the introducer waived a closing statement. The committee closed the LB1021 hearing after in‑person testimony and recorded one neutral online comment.
Next steps: the bill remains at the Revenue Committee for potential amendment and committee action.
