Nebraska Governor Pete Ricketts has gained support from some agricultural groups for his plan to call for the legislature to cap ag land valuations at 3-percent a year. However, Open Sky Policy Institute’s Executive Director Renee Fry says there are problems with the proposal, as it will treat ag land owners differently in various parts of the state.

She says some rural areas may actually see an increase in property tax levies from the tax cap plan.

Fry says it’s important to recognize the problem of skyrocketing ag land values and property taxes and the need for providing funding to schools. She says capping the ag valuation and shifting the funding responsibility won’t solve the problem.

Fry says if the Governor’s ag land valuation cap had been in place this year it would have created a $212 million shortfall for schools, counties and local governments.