A Knox County farmer who was featured in a New York Times article last week will be among those attending a workshop Wednesday evening just north of O’Neill that will include discussion of a consumption tax.
Jeff Uhlir of rural Verdigre said he plans to attend the workshop called, “How Does a Bill Become a Law?” Uhlir appeared in a Nov. 23 article by the New York Times that detailed how he still is on the family farm of 151 years, but rural economics, including high property taxes, threaten their family’s farming future.
The workshop is being put on by two groups, Nebraskans for Founders’ Values and Politics Uncorked. It will be on Wednesday, Dec. 1, from 7 to 8:45 p.m. at Jason Schindler Flying, which is at 87541 Highway 281, just off Highway 281, north of O’Neill.
Uhlir said the way Nebraska has become reliant on property taxes — especially to support education — is taxing him out of business.
Uhlir, who routinely has testified in Lincoln on property tax bills, said he hopes that new legislation can be passed to move away from reliance on property taxes in Nebraska.
He said part of the problem in Knox County is it is a large county with a population of 8,200 people. Much of it is rural, with lots of absentee landowners, he said.
An absentee landowner across the road paid $5,000 an acre for land that is worth $1,200 to $1,400 an acre. With property tax valuation based on land sales and soil classifications in Nebraska, Uhlir said his valuations would go up significantly.
“I don’t how we are going to survive the next land valuation,” Uhlir said.
Another absentee landowner bought 38 acres in Knox County and paid more than $3,800 for that land. He said the land is purchased as a tax write-off and doesn’t need to generate any money for the owners.
“Everything these guys do will cost us money,” he said. “They don’t live here and shop the small businesses or pay the local sales taxes. It’s all kind of a mess.”
Uhlir said the workshop would feature Sen. Mike Hilgers of Lincoln, speaker of the Nebraska Legislature, who will discuss, “Understanding the Legislative Process.”
Also speaking will be Mark Bonkiewicz on the consumption tax, which will be explained. A bill authorizing it is expected to be introduced in the Nebraska Legislature next session.
“We need something to level the playing field,” Uhlir said.
Under many consumption tax proposals, taxes on property, income, sales, inheritance and estate taxes would be replaced with a tax on new goods and services.
Last May, state senators voted 23-19 in favor of the consumption tax measure — two votes short of the 25 needed to advance it past first round. The proposed constitutional amendment would have given voters the chance to approve the idea in the 2022 general election.
Critics said the proposal would have a litany of unintended consequences on businesses. Local governments also opposed it, saying it would cut into their revenue.
Supporters said it is simpler and would give taxpayers more control over how much they pay because it would be based on their purchases.
To register for the event, contact Marilyn Asher of Nebraskans for Founders’ Values at 402-660-2313 or Jason Schindler of Politics Uncorked at 402-961-9499.
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