Nebraska lawmakers fail to reach agreement on tax plan

LINCOLN, Neb. (AP) -- A last-ditch effort to reduce property taxes has stalled in the Nebraska Legislature after key senators failed to reach an agreement before their deadline.

Seven lawmakers met over the weekend to try to find a plan that would win enough support to pass, but remained divided over the best approach.

Speaker of the Legislature Jim Scheer convened the group last week in hopes of bringing lawmakers to a compromise. One major sticking point was funding for K-12 education, a major driver of property taxes.

The impasse is likely to give momentum to a statewide ballot measure that would use more than $1 billion in state revenue to lower property tax bills. Some conservatives, including Gov. Pete Ricketts, have said the ballot measure could require major tax increases to compensate.