Posted April 16th, 2018 No Comments
NE Legislature Wraps Up

The 105th Nebraska Legislature is wrapping up its work on April 18th.  The 105th was made up of two sessions including a 90 day session in 2017 and a 60 day session in 2018.  The Legislature faced a $900 million budget shortfall in 2017 and falling tax revenues in 2018 weighed on lawmakers.  Both sessions had their share of infighting over rules, procedure, and hot issues like property taxes.  In 2017, credit unions saw several successes including:

Bills Passed:

LB 454 – Passed and signed by the Governor.  The bill allows credit unions to opt-out of licensing loan officers with the Department of Banking & Finance.  We successfully amended LB 454 to vehicle bill LB 140e.

LB 375 – Passed and signed by the Governor.  The bill makes technical updates to the State Credit Union Act including fixed assets, joint member accounts, chapter application approval, purchasing other financial institutions, and eliminates outdated provisions.

LB 140e – Passed and Signed by the Governor.  The 146 page bill updates Chapter 8, the Nebraska Banking Act.  The League participated in a working group over the summer and fall in 2016 which also included the Department of Banking & Finance, the Community Bankers Association, the Nebraska Bankers Association and Senators’ Scheer, Lindstrom, and Williams.

LB 196 – Passed and Signed by the Governor.  The bill provides state chartered credit unions parity with federally chartered credit unions.  We successfully amended LB 196 to vehicle bill LB 140e.

LB 263 – Passed and Signed by the Governor.  The bill would create a new Automated Services Program for auto dealers that would allow participating dealers to electronically file registration, title and lien data to the DMV.  It would also allow dealers to collect fees including notation of lien, certificate of title, registration, motor vehicle taxes & fees, and sales tax.  Also, allows for changes without printing certificate of title including legal name change, removal of name with consent of all owners and lienholders, and adding an additional owner with consent of all owners and lienholders.

LB 757 Passed and Signed by the Governor. The bill eliminates fees consumers pay to freeze, lift a freeze or temporarily lift a security freeze. Provides requirements for individuals and commercial entities to protect consumers sensitive personal information. Exempts any organization that complies with Gramm-Leach-Bliley Act.

LB 811 – Passed and Signed by the Governor.  The bill would add prohibited uses of scanning devices and encoding machines to unlawfully obtaining payment card information.

LB 812 – Passed and Signed by the Governor.  The bill provides the “wild card” or parity provision for state chartered credit unions to have the same rights, powers, privileges and immunities as federally chartered credit unions.

Other legislative bills that League lobbyists advocated for the passage of included:

LB 263 – Passed and Signed by the Governor.  The bill would create a new Automated Services Program for auto dealers that would allow participating dealers to electronically file registration, title and lien data to the DMV.  It would also allow dealers to collect fees including notation of lien, certificate of title, registration, motor vehicle taxes & fees, and sales tax.  Also, allows for changes without printing certificate of title including legal name change, removal of name with consent of all owners and lienholders, and adding an additional owner with consent of all owners and lienholders.

LB 496 – Advanced to Select File.  The bill aims to address housing shortages found in many communities across the State to allow workforce housing projects to be eligible for TIF.

LB 518 – Passed and Signed by the Governor.  The bill creates grants to assist with the workforce housing shortage in rural and underserved communities.  The Department of Economic Development would administer the grant program.

 

Bills that the League lobbied against included:

Opposed:

LB 52 – The “Modern Tax” bill would levy a 5.5% tax on the interest paid on qualified loans including but not limited to auto, home, and personal loans.  The Banking Committee has taken no action on the bill.

LB 313 – Would increase sales tax rate to a maximum of 8.5%.  The Committee has taken no action on the bill.

LB 559 – Would prohibit the collection of interchange fees on the sales tax portion of all electronic transactions in the State.  Following strong opposition at the public hearing, the sponsors of the bill asked that no action be taken on the bill.

LB 1016 – Adopts the Money Transmitters Fee Act and provide income tax credits. The bill would place fees on any money transmission to another state or foreign country. Fees would be $5 or 3% of the transaction if it’s more than $166.66. Taxpayers would be allowed a nonrefundable tax credit for fees paid.  The bill stalled in Committee.

The 106th Nebraska Legislature will convene in January 2019 with some new faces due to term limits and the upcoming 2018 Elections.

Leave a Comment

Reply

Events Calendar
April Edition

MISSION STATEMENT


The mission of the Nebraska Credit Union League & Affiliates is to protect, promote and perpetuate the credit union movement in Nebraska.
What's Inside
Archives