February 6, 2025
Sen. R. Brad von Gillern, Chairperson
Sen. Teresa Ibach
Sen. Mike Jacobson, Vice Chairperson
Sen. Kathleen Kauth
Sen. Eliot Bostar
Sen. Dave Murman
Sen. George Dungan
Sen. Tony Sorrentino
Good afternoon, Senators and members of the Revenue Committee. My name is Kathy Danek spelled K-a-t-h-y D-a-n-e-k, and I am testifying today in stern opposition to LB509 on behalf of the Lincoln Public Schools, NASB, and NCSA. I am the Vice President of the Lincoln Public Schools Board of Education, having proudly served for over two decades, and a standing member of the NASB Legislative Committee.
First, let’s begin with the most obvious and glaringly apparent fact, which is that the mere proposal of this legislation, is simply a tired retread and monotonous repeat cycle of prior tax credit voucher schemes and is flatly insulting to the will of the people. It flies in the face of the popular vote and the democratic process. It is not exactly ancient history: in November’s general election, Nebraska voters resoundingly repealed LB1402 through Referendum Measure 435. Nebraska voters have spoken candidly, plainly, and clearly: we do not support state-funded private school scholarship programs.
Second, for an elected body professing to value fiscal conservatism, we should acknowledge that a bill that would have the state on the hook for in excess of an additional $25 million annually in income tax credits, this proposal flies in the face of our fiduciary responsibility. We should be very cautious about additional state expenditures when facing a substantial budget deficit as we currently are. The fact that the bill contains a multiplier effect in the out years that magnifies the $25M per annum commitment is even more reckless. It is glaringly apparent that these sorts of tax credit proposals disproportionately benefit a statistically few students while dramatically eroding the revenue base available of public funds to support public education, and the needs of the vast majority of Nebraska’s school children.
A not-unrelated point that should not escape the attention of policymakers is the fact that a tax credit is money-ahead-preferential to a tax deduction. Donors can give money to private schools now for additional scholarships etc, if they are truly passionate about it, they wouldn’t need a tax credit above and beyond every other entity to do so. Why is this favorable status being preferentially applied to this select group of high-dollar donors?
Our nonprofit sector partners and friends who provide so much in the way of reliable and supportive programming to assist the efficacy of public education and the livability of our communities are damaged by a biased and tiered taxation system you institute if advancing 509.
The reality is that these so-called “scholarships” are not actually equitably applied, neither needs nor merit-based and they would divert public funds to private schools under the guise of helping families access so-called better yet mostly unaccountable education systems. I pose a rhetorical question: do private and parochial schools accept and commit to serving and supporting the needs of all students? No, they do not. These tax credit schemes ultimately harm public education, lack accountability, and disproportionately benefit wealthier families and private interests rather than the students most in need. We serve all students gladly, inclusively, and every day.
Rather than funding private schools with public money under the guise of choice, Nebraska should continue to invest in strengthening our public school and the multitude of great options available in our public school systems (LPS rarely denies option enrollment applications including those for special needs students).
In conclusion, we urge you to oppose LB509 and to indefinitely postpone this bill.
Sincerely,
Kathy Danek
Board of Education Vice-President
for Lincoln Public Schools
402-464-8549
