FOR IMMEDIATE RELEASE
Contact: Rhonda Porter: 402-391-2273, Dave Nabity: 402-618-6759

Nabity Says Heineman Tax Package Not Enough
Calls Proposal “Token Leadership”

(Omaha, NE—December, 5, 2005) Gubernatorial candidate Dave Nabity today responded to Governor Dave Heineman’s announced tax package with a statement saying Nebraska’s taxes are too high compared to other states, and Heineman’s proposal amounts to only a token tax reduction.

“For over two years now, I have been promoting the need for Nebraska to become more competitive with neighboring states like South Dakota, Wyoming and Colorado, and high-growth southern states like Florida, Texas, Arizona and Nevada,” Nabity said.

“If Nebraska is to survive in the 21st Century and be able to compete for new economic development and jobs, and survive competition from foreign countries, we must lower the tax burden on our citizens.

“Nebraska’s income tax is way too high and the Governor’s reduction of only 3% is all form and no substance. It is like his budget review process in the first session of his administration. He found only 1/10th of 1% to cut from the budget--basically a token cut.

“I appreciate that the Governor is joining me in wanting to bring tax relief. However, with the exception of eliminating the “labor tax”, which is an idea I called for two years ago, his plan is primarily ceremonial.

“For Nebraska to be competitive, we must eliminate the death tax (which he did not address), and income taxes need to drop by 50%. I would propose a 3.5% -- 4% flat income tax. Property taxes need to be reduced by 20%, and the auto tax needs to drop significantly, if not be eliminated all together.

“The only way to accomplish these benchmarks is to cut spending, and the Governor did not address any strategy to modernize and streamline the way we do business in this state, so we can find the money to bring substantive tax relief.

“His approach to lowering property taxes is another shell game, where you cut taxes on one level and turn around and collect taxes to cover it on another.

“Nebraska has been poorly served too many years by this type of political pandering. Now, the Governor can say he has offered tax relief to compete with my ideas for transforming the state, but all he has done is nibble around the edges. It’s a non-starter, it’s not enough to make Nebraska competitive, and if the economic forecasts turn the other direction, his plan is dead.

“The only way to bring responsible and defensible tax relief to the citizens of Nebraska is to first shrink the size of government and find the money to lower taxes, then introduce a flat income tax much lower than what we have, and then grow the economy by making the tax environment less punitive and streamlining operations, so Nebraska is easier to do business with.

“That is the only way to transform Nebraska into the Jewel of the Midwest. The Governor’s strategy is all politics without content and doesn’t even come close to going far enough to modernize our great state.”

Nabity is available for interview upon request at the number above.

Dave Nabity for Governor
9140 West Dodge, Suite 100
Omaha, NE 68114
(402) 391-2273
www.davenabity.com