LINCOLN - Nebraska lawmakers set aside $3 million to expand support for domestic violence survivors, but the funds may never reach the providers who urgently need them. That’s because the state tapped a volatile funding source that now lacks sufficient money to cover all of the programs legislators approved.

The $3 million was earmarked from the Medicaid Managed Care Excess Profit Fund, a pot of money made up of surplus profits from the state’s Medicaid managed care insurers. But the fund’s revenue has significantly declined in recent years, and it’s now over-committed, with projected expenditures exceeding available dollars. Because the fund is stretched thin and lacks clear legislative direction on prioritizing spending, officials have not distributed the money to domestic violence service providers — leaving advocates and lawmakers uncertain if it will ever materialize.

Advocates warn the funding gap comes at a critical time, as demand for domestic violence services across Nebraska continues to rise. Providers have already cut shelter capacity and laid off staff due to previous funding shortfalls, and without the promised $3 million, they may struggle to meet survivor needs. Lawmakers and advocates are now reassessing how to secure stable financing for these services, as well as for other programs also affected by the shortfall in the Excess Profit Fund.

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