LINCOLN — A bill to help Omaha pay for the federally mandated reconstruction of its sewer system will have to wait until next year.
State Sen. Heath Mello of Omaha said Tuesday that he plans to postpone consideration of Legislative Bill 682.
The measure would have redirected $65 million in state and local sales taxes on local sewer rates to Omaha to help pay for the $1.7 billion sewer project.
Mello said he lacked the 30 votes needed to overcome an expected veto by Gov. Dave Heineman. Mello said delaying the measure until 2012 would give him and other bill supporters more time to educate their fellow lawmakers.
The City of Omaha has been seeking financial help from the state and federal governments to offset steep increases in sewer rates to pay for the project.
Mello has argued that it was unfair for the state to claim the sales taxes paid on increased sewer rates paid by Omaha-area residents. That money, he has said, should be returned to Omaha to help pay for the sewer reconstruction project.
A group of the largest manufacturers and water users in the city has said that sewer-rate increases might force them to downsize their Omaha operations or move.
Contact the writer:
402-473-9584, paul.hammel@owh.com
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