80,000
Roughly 80,000 children in Nebraska families with low incomes would benefit from the proposed expansion of the federal Child Tax Credit. If approved, a married couple – with one parent earning $32,000 as a nursing assistant and the other parent staying home to take care of their three young children – would gain $975 in the first year.
Census data show the nation’s child poverty rate more than doubled from 2021 to 2022, coinciding with the expiration of the federal expansion of the CTC. This year, 14 states have state-level CTCs in place as further investment in the next generation. Two bills (LBs 294 and 1324) could add Nebraska to the list.
Expansion of the federal CTC is part of a bipartisan agreement that rolls back some corporate tax increases stemming from the 2017 Tax Cuts and Jobs Act.
Read more on federal CTC from Time
29
Nebraska policymakers this year will weigh proposals to achieve the Governor’s goal of reducing revenues from property taxes by 40%. At least 29 states have so-called circuit breakers in place that essentially cap property tax bills to a share of a homeowner’s income and in some cases extend to renters.
Nebraska does not have a circuit breaker on the books but does have a number of homestead exemptions in place to help older adults, qualifying veterans and the disabled to stay in their homes. Several bills introduced this year would add circuit breakers or extend eligibility for homestead exemptions.
Number crunching
- 900: Lincoln Littles, a nonprofit organization, estimates that more than 900 children in Lincoln are currently on waiting lists with child care providers. The group said two child care centers have closed in the city in the past month.
- $1.5 billion: In its first year, the Fair Share Amendment in Massachusetts generated over $1.5 billion to help fund free meals in schools, tuition-free community college and transit system repairs. The amendment created a 4% surtax on incomes over $1 million.
- 60%: States received nearly 60% more federal funding in FY 23 than they did four years ago. But as pandemic-related surplus dollars dry up, and as tax cuts approved in many states set in, several states – including New York, Maryland and California – are facing budget deficits.
We’re hiring
OpenSky is excited to host a State Policy Fellow through the Center on Budget and Policy Priorities for the next two years. This is a great opportunity for an early career professional to conduct serious policy analysis and research in the areas of health care, taxes and education with real-world applications.
The deadline to apply is February 29, and those interested should plan to join an information session on January 25.