Joe Jordan | Nebraska Watchdog
Republican Governor Dave Heineman’s grand plan to cut the state’s income tax has run into its first major political opponent.
In an exclusive on camera interview (see video below) with Nebraska Watchdog, Omaha’s Democratic Mayor Jim Suttle says in recent days he’s heard from businesses and individuals worried the governor’s plan will backfire and eventually cost them more.
The governor’s plan—backed by all four of Suttle’s mayoral opponents— would replace the individual and corporate income taxes with $2.4 billion in sales taxes on manufacturing, farming and other areas that are currently exempt. Food would remain tax free.
“The consequences are that the middle class, those that are on fixed incomes and poor citizens of our community are the ones that are ultimately going to pay for the policy changes that are on the table right now by the governor,” said Suttle.
Heineman takes his plan to the Legislature’s Revenue Committee Wednesday where he will testify at a public hearing.
Suttle tells Nebraska Watchdog he will not testify in person but the administration will make its opposition clear.
Following Nebraska Watchdog’s interview the Omaha Chamber of Commerce announced it “cannot support” the governor’s tax plan as currently drafted and is taking a neutral position.
What are the numbers behind the mayor’s decision? Is there a tax cut he’d support? Take a look, beginning with Suttle’s new hard line against the governor.