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Bill

LB 1071

Adopt the Infrastructure Improvement and Replacement Assistance Act and provide for a turn back of state sales tax revenue

105th Legislature (2017-2018) Introduced by Brett Lindstrom

Nebraska bill redirecting state sales tax revenue to municipalities for local infrastructure repair and replacement projects.

Indefinitely postponed
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WeVote Research Nonpartisan
Bill Summary · LB 1071

Legislative bill overview

LB 1071 would establish the Infrastructure Improvement and Replacement Assistance Act, which would direct a portion of state sales tax revenue back to local municipalities for infrastructure projects. The bill aims to create a funding mechanism for communities to repair and upgrade public infrastructure without relying solely on local property taxes or bonding.

Why is this important

Infrastructure maintenance and replacement is a critical challenge for municipalities nationwide, as aging systems require significant capital investment. This bill addresses the funding gap by tapping into state revenue sources, potentially providing communities with more flexibility in budgeting for essential projects like roads, water systems, and utilities.

Potential points of contention

  • Revenue allocation concerns: Determining how state sales tax revenue would be distributed among municipalities—whether by population, infrastructure needs, or other metrics—could be contentious and affect which communities benefit most.
  • State budget impact: Turning back sales tax revenue reduces state resources available for other priorities, raising questions about fiscal sustainability and competing state spending needs.
  • Local accountability: Questions about oversight, audit requirements, and how municipalities would be required to prioritize projects could arise, including concerns about political favoritism or inefficient spending at the local level.

Compiled from official sources — confirm details with the bill’s official record.

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