Nebraska Pulse Political Blog

News and Views about Politics in the Great State of Nebraska

Nebraska Tanning Salons Fear Future Under Obama Care Tanning Tax

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There’s a clause within the massive health care reform bill that will have a direct impact on the tanning salon industry. A 10 percent tax for indoor tanning services will take effect July 1 to help pay for the health risks associated with tanning.

A La Vista salon owner said running her shop is tough enough without adding an additional tax to her prices.

“I have a feeling it’s going to hurt and it’s really scary to me,” said Annette Ryan.

She said higher prices means her business would suffer.

“I don’t think you can pick on one industry alone,” Ryan said. “If you’re going to say tanning causes cancer, what about all the chemicals that are in fast food?”

Ryan said her business also has its health benefits.

“Customers tell me they’re here for eczema, arthritis, psoriasis, acne or season affective disorder, so it definitely benefits people,” she said.

As far as tanners are concerned, they said they don’t think the added tax or the health risks will keep them from the tanning beds.

“You put yourself at risk in anything you do. If you do anything you’re always putting yourself at risk. You get on the road you put yourself at risk. You wake up you put yourself at risk. It’s doesn’t make a difference,” said Matt Lee.

“I tried to quit for a long time, but then decided I like it and that I’m willing to pay for it,” said Tara Galvis. “If it’s going to be taxed, it’s just another part of life. Another thing they’re going to tax.”

Ryan said she and other tanning salon owners are joining together to form the Nebraska Indoor Tanning Association. They hope to have a stronger voice in government and avoid future taxes on their industry.

Nebraska to Challenge Obama Care in Court

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NPtelegraph.com reports that “Nebraska will join a challenge to the new health care reform bill,” as “Attorney General Jon Bruning said he will join attorneys general from at least eight other states on a lawsuit to be filed Tuesday in Florida.”

According to the story, “the group contends the bill is unconstitutional, particularly its requirement for all Americans to have health insurance.”

The article notes that Gov. Dave Heineman supports the lawsuit and “is very concerned about the effects of Medicare cuts, increased taxes and the increase of insurance premiums on Nebraskans.”

Unicameral Moves to Regulate Personal Injury Installment Payment Advances

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Nebraska lawmakers want to regulate a relatively new industry that lends money to people who are injured and awaiting money from settlements.

They gave first-round approval Tuesday to a bill (LB1094) that would do so.

It would require the companies to register with the state, post bonds, allow people to cancel contracts with them during a five-day window and clearly show how much is being charged, among other things.

The companies lend money to people who are injured and sometimes desperate for money because they can’t work.

If the injured receive financial settlements for their injuries, the companies then get a percentage of the settlements that Sen. Steve Lathrop of Omaha said sometimes are equivalent to charging 30 percent to 40 percent interest.

Nebraska Senator Rich Pahl Returns to the Unicameral After Illness

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Nebraska Senator Rich PahlSaying he has gained a new perspective on life, State Sen. Rich Pahls returned to the Nebraska Legislature on Tuesday.

Pahls, of Omaha, has been absent from the Legislature since Jan. 28.

He spent almost a month at a Lincoln hospital, including nearly two weeks in intensive care, because of an autoimmune disorder.

“I’ve found a new way of looking at life and looking at people,” he told colleagues Tuesday. “Hopefully I will treat people better.”
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Pahls said he is on the road to recovery but does not have his strength back completely. While speaking, he was noticeably short of breath.

He said he is undergoing dialysis three times a week.

Pahls, 66, is the chairman of the Legislature’s Banking, Commerce and Insurance Committee and is in his second term in the Legislature. He represents District 31.

Nebraska Hospitals Suffer Under Obama Care

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KRVN.com reports that Scottsbluff’s Regional West Medical Center President Dr. Todd Sorensen “says the biggest immediate impact of the federal health care bill on medical providers will be regulatory costs.”

According to the story, Dr. Sorensen told KNEB News the hospital already has to deal with 150,000 pages of Medicare regulations and the bill passed Sunday will add another thirty to fifty thousand pages of regulations the hospital will have to spend money to deal with.”

The article notes that “Sorensen says at least 20% of the hospital’s annual expenses, or $30 million, goes to dealing with regulations.”

Dr. Sorensen told KNEB that while supporters of the bill say it will lead to savings, he is skeptical that such savings will be realized.

Senator Greg Adams Visits Public Affairs Council

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Nebraska Senator Greg AdamsState Senator Greg Adams of York spoke Tuesday morning to about 40 business & organization representatives at the State Chamber’s Public Affairs Council meeting.

Senator Adams is chairman of the Legislature’s Education Committee, as well as a member of the tax-writing Revenue Committee.

At yesterday’s meeting, Senator Adams spoke about the state’s budget challenges and how they could impact state aid to education.

He also addressed issues related to community colleges, the state’s P-16 Initiative, and the learning community of Douglas and Sarpy counties.

The State Chamber’s Public Affairs Council meets every Tuesday morning during the legislative session to discuss legislation and issues of interest to the Nebraska business community. Membership is open to all member firms with registered lobbyists.

Adjustments Made in Nebraska 2010 Budget

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Unicameral Update reports that “adjustments were made” to Nebraska’s 2010 budget package during second-round debate late last week.

The article notes that “the mainline bill” would “balance the state’s budget with cash fund transfers and an additional 2% across-the-board cut to agencies.”

According to the story, state senators “voted 35-0 to adopt the amendment before advancing the bill to final reading on a voice vote.”

Rural Economy Rises, but Still less than 1/2 of Nebraska Economy

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The AP reports that “a new survey of rural bankers in 11 Midwest and Plains states (including Nebraska) shows continued weakness in the agriculture industry, but it also signs of improvement.”

According to the story, the overall index for the most Rural Mainstreet economic report “rose to 47.4 in March from February’s 36.6″ — “more than double last March’s reading of 18.7.”

A score below 50 suggests the economy will contract in the next few months, the AP notes. According to Creighton University professor and economist Ernie Goss, “The Rural Mainstreet economy continues to lose jobs at an annualized rate of roughly 2%.”

Big Government Policies Risk U.S. AAA Credit Rating

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Bloomberg.com reports, “The bond market is saying that it’s safer to lend to Warren Buffett than Barack Obama,” as data compiled by Bloomberg shows “the $2.59 trillion of Treasury Department sales since the start of 2009 have created a glut as the budget deficit swelled to a post-World War II-record 10% of the economy.”

The national debt has suddenly “raised concerns whether the U.S. deserves its AAA credit rating.”

Bloomberg reports that “last year’s $2.1 trillion in borrowing by the government exceeded the $1.08 trillion issued by investment-grade companies, the biggest gap ever.”

One expert said the “last time he can recall that a corporate bond yield traded below Treasuries” was in the mid-1980s.

Nebraska Challenges EPA Greenhouse Gas Regulation

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The AP reports, “Nebraska has joined several other states in filing a challenge to the EPA’s finding that greenhouse gases are great enough to threaten public health and should face restrictions.”

According to the news service, “Nebraska and 11 other states have followed suit,” as Nebraska Attorney General Jon Bruning “says the EPA has no authority to impose such strict emissions regulations,” which he says would “hamper Nebraska’s agriculture industry and small businesses.”