Heineman argued Wednesday that property tax reductions would benefit rural Nebraskans, who have complained for years about the rates on farms and ranchland. Heineman says lowering income taxes would help urban wage earners.
His comments came in the midst of a legislative review of Nebraska's tax system, which has included public hearings in Scottsbluff, North Platte and Norfolk. Additional hearings are scheduled in Lincoln and Omaha.
State government has no direct control over property taxes, which are set at the local level. But Heineman says the state could use Nebraska's property tax credit fund to reduce what property owners have to pay.