NEBRASKA DHHS AND ADVOCATES DISAGREE ON HOW IMPLEMENTATION WILL GO

Nebraska is implementing new Medicaid work requirements today, making it one of the first states to put the federal policy into effect ahead of a 2027 national deadline. Most Medicaid expansion enrollees ages 19 to 64 will need to work, volunteer, attend school, or participate in a work program for at least 80 hours per month—or meet income requirements—to maintain coverage. State officials say many recipients will qualify through existing data or exemptions.

The Nebraska Department of Health and Human Services says it is prepared for the rollout and has conducted outreach, but advocates warn the system could still create confusion and administrative barriers that lead some eligible people to lose coverage. Critics also argue that the added reporting requirements could disproportionately affect vulnerable populations and strain rural health care systems.

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PILLEN HEARS INCENTIVE PLEAS FOR OMAHA SOCCER DEVELOPMENTS

LINCOLN — Gov. Jim Pillen is weighing whether to support state tax incentives for two major Omaha soccer projects, including a proposed downtown Union Omaha stadium and upgrades to Tranquility Park. During a State Capitol hearing, Pillen pressed developers and city officials on how much private investment and new tax revenue the projects would generate, signaling a more open but still cautious stance toward the proposals.

The projects are seeking assistance through the state’s Sports Arena Facility Financing Assistance Act, which allows developers to use future sales tax revenue from surrounding areas to help fund construction costs. Supporters, including Omaha city officials and business leaders, argue the developments would boost tourism, retail growth, and urban redevelopment, while critics continue to question the use of public incentives for sports facilities.

Pillen has not committed to supporting either proposal, saying each project must be evaluated on whether it delivers clear benefits for taxpayers and avoids diverting existing state revenue. The incentive board is expected to make decisions on pending applications in the coming weeks.

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NU REGENTS APPROVE $600M STADIUM RENOVATION WHILE CUTTING UNK ACADEMIC PROGRAMS AMID BUDGET PRESSURES

LINCOLN — The University of Nebraska Board of Regents recently approved two major higher education decisions affecting the state system: a $600 million renovation of Memorial Stadium and a set of academic program cuts at the University of Nebraska at Kearney (UNK). The stadium project, known as the “Big Red Rebuild,” will modernize Memorial Stadium with upgraded seating, concourses, and amenities while preserving its historic structure. Officials say the project will be funded through private donations and bonds, with completion targeted for 2028. 

At the same time, regents finalized a separate round of cost-cutting measures at UNK, eliminating four degree programs as part of a broader $4.5 million budget reduction. The cuts were approved after officials cited low enrollment and systemwide financial pressures, with university leaders saying affected students will be supported through to graduation. 

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REPORT SAYS LEGALIZING ONLINE SPORTS BETTING IN NEBRASKA COULD GENERATE $87M OVER 5 YEARS

LINCOLN — A new report says legalizing online sports betting in Nebraska could generate nearly $87 million in state tax revenue over the next five years. The study, commissioned by supporters of a ballot initiative seeking to expand sports gambling, estimates much of the revenue would go toward property tax relief under the state’s current casino tax structure. 

The group behind the proposal, Tax Relief Nebraska, is working to place the issue before voters in 2026 and says signature collection is ahead of schedule. While supporters argue online sports betting could provide a new source of revenue for the state, critics have raised concerns about gambling addiction and whether the promised tax benefits would outweigh the social costs.

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GOV. JIM PILLEN COMPLETES TWO-DAY LONDON TRIP TO PROMOTE NEBRASKA BEEF, ETHANOL

LINCOLN — Gov. Jim Pillen wrapped up a two-day trip to London this week aimed at promoting Nebraska beef, ethanol and energy production opportunities to international trade partners. During the visit, Pillen met with U.S. Embassy officials, British trade representatives and industry leaders to discuss expanding exports and strengthening trade relationships between Nebraska and the United Kingdom. 

The governor also participated in events highlighting Nebraska beef for importers, chefs and food industry executives. Pillen said the trip comes as new trade agreements create additional opportunities for U.S. ethanol and beef exports to the UK, including expanded duty-free access for American products.

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NEBRASKA BUSINESS LEADERS, GOV. PILLEN STEP UP SUPPORT FOR UNION PACIFIC-LED MERGER

LINCOLN — Nebraska business leaders and Gov. Jim Pillen are ramping up support for the proposed merger between Union Pacific and Norfolk Southern as the rail companies move forward with a renewed federal application. Supporters say the deal would create the nation’s first transcontinental railroad and improve freight transportation for key Nebraska industries, including agriculture and manufacturing.

Pillen said the merger could help farmers move crops more efficiently by reducing delays caused by transfers between rail carriers. The Nebraska Chamber of Commerce and Industry also endorsed the proposal, saying a stronger rail system could boost reliability and economic growth. The merger application now heads to federal regulators for review, though critics in several states have raised concerns about competition and national security.

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LATE EFFORT TO RESTRICT PUBLIC BATHROOMS BY SEX FAILS

LINCOLN — Late-session efforts to restrict public bathrooms to users’ sex at birth and outlaw certain medical care for Nebraska youths with gender dysphoria failed Tuesday and are done for the year.

State Sen. Kathleen Kauth of the Millard area had introduced the measures as Legislative Bill 730, around bathrooms, and LB 732, around puberty blockers and cross-sex hormones. She had selected LB 730 as her 2026 priority bill, increasing the chances that Speaker John Arch of La Vista would schedule it. Arch didn’t, so she sought to find another path for both bills. The deadline to find a vehicle is Thursday, but the last legislative trains left the station Tuesday.

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LAST MINUTE EFFORT TO LET NON-RESIDENTS VOTE IN LINCOLN ELECTIONS DROPPED

LINCOLN — An annual cleanup bill for elections was held up briefly Tuesday by State Sen. Beau Ballard’s proposal to let people living outside of Lincoln’s city limits vote in city elections. 

The Lincoln lawmaker tried to tack a slimed down version of his Legislative Bill 951 onto State Sen. Rita Sanders of Bellevue’s Legislative Bill 1075, an annual update to the state’s election law. After it became clear that Ballard’s proposal wouldn’t be considered before cloture, he withdrew his amendment. Ballard said cities can tell people who live outside their limits what “they can do with their private property” without any say in who serves on the city council or who is the mayor.  

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PROPOSAL TO GUARANTEE STATE EMPLOYEES PARENTAL LEAVE ADVANCES

LINCOLN — A bill to guarantee permanent Nebraska state employees have paid maternity leave received first-round approval in the Legislature on Tuesday. Sen. Dunixi Guereca of Omaha proposed and prioritized Legislative Bill 878 to enshrine in state law the six-week maternity leave guarantee that the Nebraska Association of Public Employees earned in union contract negotiations.

NAPE is the state's largest union, but it doesn't cover the Nebraska State Patrol, state prison security staff and teachers who work for the Department of Correctional Services. Guereca said the state troopers approached him about the maternity leave, asking him to "show that Nebraska supports its public servants."

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REVAMPED BRAND BILL MOVES CLOSER TO LAW

LINCOLN — A proposal to overhaul the state’s Brand Committee and increase cattle inspection fees moved a step closer Wednesday to becoming law. Sen. Barry DeKay’s LB1187, which originally focused on increasing certain brand inspection fees to fund the existing Brand Committee, now would increase the number of Nebraska Brand Committee members from five to seven.

There would be one member from each of five Brand Committee districts, plus one new owner or operator of a cattle feeding operation and one new livestock auction market owner. Both new seats would be appointed by the governor and approved by the Legislature, as are the others. The bill still increases certain brand inspection fees and updates inspection rules. 

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PILLEN SIGNS BUDGET ADJUSTMENTS WITHOUT LINE-ITEM VETOES

LINCOLN — After tough fights to approve adjustments to Nebraska’s two-year budget in the state Legislature, Gov. Jim Pillen signed both budget bills without any vetoes.

Tuesday was the deadline for Pillen to file line-item vetoes on this year’s budget bills, Legislative Bills 1071 and 1072. Budget bills are the only type of legislation that the governor has the power to line-item veto, but Pillen bypassed his opportunity this session, allowing the budget to be finalized without objections. In a written statement, Pillen thanked lawmakers for their work “developing a fiscally conservative bipartisan budget.” The governor noted that the finalized budget package adopted 91% of Pillen’s initial budget recommendations.

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US EDUCATION SECRETARY VISITS NEBRASKA, FOCUSES ON K-12 LITERACY, WORKFORCE NEEDS AS BILL TO HOLD STUDENTS BACK FAILS

WAVERLY— One day after the Legislature failed to advance a bill requiring local school policies addressing literacy and dyslexia, Nebraska officials say literacy isn’t going away as a top goal.

U.S. Education Secretary Linda McMahon joined Nebraska Gov. Jim Pillen for a tour of Hamlow Elementary School in Waverly, the University of Nebraska-Lincoln’s athletic facilities and Southeast Community College’s new welding training facility. The visit is part of McMahon’s “Returning Education to the States Tour,” a mission to visit all 50 states.

Thursday’s visit nearly coincided with a bill in the Legislature to update a 2018 law — the “Nebraska Reading Improvement Act” — and require the State Board of Education and local school boards to update or adopt policies around reading interventions and dyslexia screening. However, lawmakers balked at a suggestion that students be held back in third grade if they couldn’t read. Parents would have been able to opt out under the bill, which fell two votes short.

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BUFFETT-BACKED FOUNDATION PLEDGES MILLIONS FOR NEBRASKA STUDENTS’ FREE SCHOOL LUNCHES

LINCOLN —Nebraska lawmakers advanced a bill to expand free school lunches after securing a major private funding commitment to cover most of the cost. State Sen. Machaela Cavanaugh was tasked with finding outside support for her Hunger-Free Schools Act (LB966), which would extend free meals to students eligible for reduced-price lunches. The Howard G. Buffett Foundation, led by Howard Buffett, agreed to fund the program for public school students for five years, covering the estimated $1.2 million annual cost. The unexpected agreement allowed the bill to advance to its final round of consideration late in the legislative session.

The proposal initially faced skepticism, with some lawmakers doubting private funding could be secured in time. Others raised concerns about excluding private school students and the possibility that the state would eventually bear the program’s cost. In response, an amendment was adopted to include eligible private school students, adding about $55,000 annually in state funding. Despite reservations, supporters emphasized the immediate benefit to roughly 20,000 students, and the bill moved forward with strong support, setting up a final vote.

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CONCERNS OVER A NEBRASKA HOSPITAL SHOW HOW A $50B RURAL HEALTH FUND IS COMING UP SHORT

CREIGHTON, Neb. — Concerns about the future of rural hospitals are mounting as a $50 billion federal rural health fund appears unlikely to address immediate financial struggles, according to a report highlighted by the Flatwater Free Press. The situation is illustrated by Avera Creighton Hospital, a critical access hospital that local residents rely on for life-saving care but that now faces financial pressure. While the federal Rural Health Transformation Program was promoted as a historic investment, critics say it is largely focused on long-term improvements—such as technology, workforce development and telehealth—rather than keeping struggling hospitals open.

Healthcare leaders warn the funding falls far short of need, especially as Medicaid cuts are expected to significantly reduce hospital revenue. Nationwide, rural hospitals are projected to lose far more in funding than the program provides, and only a small portion of Nebraska’s share is directed toward stabilizing at-risk facilities. Critics, including hospital associations, argue that without more direct operational support, rural hospitals could continue to close or scale back services—leaving communities with diminished access to care and making rural healthcare a growing political issue ahead of upcoming elections.

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SENATORS HALT BILL SHIFTING BURDEN OF PROOF FOR FIREFIGHTERS JOB-RELATED CANCERS

LINCOLN— A bill to change how firefighters obtain compensation for job-related cancers stalled in the state’s Unicameral on Monday. It wouldn’t have changed any eligibility for those firefighters, but would have moved the burden of proof to the employer.

Senators spent three hours Monday morning debating LB 400, which would have changed the burden of proof for workers’ compensation when a firefighter gets cancer — presuming any cancer they’re diagnosed with is work-related until proven otherwise. The bill fell short of cloture, meaning that it is unlikely to be considered again this session, especially with only 4 remaining days left in the 2026 session. 

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REVAMPED BRAND BILL MOVES FORWARD AFTER COMPROMISE

LINCOLN — Nebraska lawmakers backed a revamped proposal to overhaul the state’s Brand Committee and raise cattle inspection fees using new language that several senators viewed as a “compromise.”

Sen. Barry DeKay’s LB187 was originally focused on increasing certain brand inspection fees to fund the existing Brand Committee, but lawmakers overwhelmingly supported an amendment from the Legislature’s Agriculture Committee. The Brand Committee investigates cattle theft and verifies ownership through brand inspection when cattle are bought, sold, or moved within or beyond the branding zone or area set in state law. Nebraska’s brand law applies mandatory inspections to cattle owners in the western two-thirds of the state.

Ranchers and the Legislature’s Ag Committee have heard for years about disagreements between feeders and some feedlot owners inside and beyond the brand zone. 

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BILL PROVIDING FREE SCHOOL LUNCH FOR MORE STUDENTS ADVANCES

LINCOLN - A bill to make more Nebraska students from low-income families eligible for free school lunches won first-round approval from lawmakers on Thursday.

The Legislature advanced the Hunger-Free Schools Act (LB966) from Omaha Sen. Machaela Cavanaugh to the second round of debate on a 32-7 vote. Thursday marked Day 55 of the 60-day session. It was the final day for bills to be considered on the first of three rounds of debate. Currently, students from families who earn between 130% and 185% of the federal poverty level, or roughly $5,000 per month for a family of 4, qualify for reduced-price school meals.

Cavanaugh's bill, which was prioritized by Omaha Sen. Megan Hunt, would allow the roughly 27,000 students at Nebraska's public and private schools who qualify for reduced-cost lunches to get those meals for free.

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CAPITOL SECURITY BILL MOVES FORWARD WITH TWEAKS

LINCOLN — Nebraska lawmakers advanced a slightly tweaked bill to enhance security protocols around the Capitol. 

LB1237, from the Legislature’s Executive Board, passed 36-3 after it was amended to restrict a narrower list of weapons that would not be allowed on Capitol grounds without prior approval. 

The amendment from State Sen. Ben Hansen of Blair to tighten the list was approved 35-1. Hansen said the amendment focuses on prohibiting “the most dangerous items while avoiding an overly broad ban that would affect non-lethal defense tools, along with common everyday carry items many Nebraskans have for legitimate purposes.”

People who hold concealed-carry permits will be allowed to carry firearms in the Capitol. This was added after concerns were raised by Second Amendment advocates during the original bill’s public hearing.

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MEASURE TO GUARD ENVIRONMENTAL TRUST FALTERS AFTER LOSING KEY SUPPORT

LINCOLN —Thursday marked a turning point in Nebraska's 2026 legislative session: any bill that hasn't already been brought to the floor for debate stands no chance of making it through the body and onto Gov. Jim Pillen's desk. LR298CA now shares that fate with several other senator priority bills, despite it being scheduled for debate on Thursday morning.

Sen. Tom Brandt, who introduced the measure, said he had the votes as of yesterday, but this morning, a couple of defections dropped the tally below the crucial 33-vote threshold. The body adjourned early without debate.

"To be fair to everyone in this situation with their priorities, we will be passing over LR298CA," Speaker John Arch said.

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FIRST MEDICAL CANNABIS LAW PASSES, FUNDING NEW COMMISSION

LINCOLN. — Nebraska lawmakers have approved a bill to fund and expand the authority of the state’s Medical Cannabis Commission, marking the first time in state history that a bill relating to medical cannabis has passed.

LB1235, introduced by the General Affairs Committee on behalf of the Nebraska Medical Cannabis Commission, provides the commission with its own funding stream and additional tools to carry out its work. Sen. Rick Holdcroft, chair of the committee, said the bill addresses basic operational needs that had limited the commission’s ability to function.

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