AS SHORTFALL LOOMS, NEW FORECASTING BOARD MEMBERS APPOINTED

LINCOLN— Gov. Jim Pillen has replaced three members of Nebraska’s nine-person Economic Forecasting Advisory Board, appointing former State Sens. Lou Ann Linehan and Tom Briese, along with accountant Tim Wilson. It is the first time in the board’s 40-year history that a governor has replaced a third of its members at once. The changes come as Nebraska is projected to face a $208 million deficit in 2027, after two years of budget gaps of at least $200 million. Linehan and Briese were influential supporters of income tax cuts that will lower Nebraska’s top individual and corporate rates to 3.99% by next year. 

The appointments have raised concerns from Sen. George Dungan, former Gov. Bob Kerrey and others who worry the forecasting process could become more political. The board was created in 1984 specifically after concerns that the previous forecasting system was subject to political influence. Pillen’s office defended the appointments, saying the new members bring valuable experience, while Linehan and Briese said they will base their forecasts on facts and data rather than political considerations.  

The board’s October forecast will be especially important because it will help determine the size of Nebraska’s projected budget shortfall and shape the next state budget. The board has overestimated revenues in each of the past two fiscal years, while Pillen has previously criticized aspects of its forecasts. Linehan, one of the new members, said she is not yet convinced Nebraska actually has a budget problem and will wait to see whether the projections materialize.

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