LAWMAKERS DIVIDED ON INFLUENCE OF NEWEST NEBRASKA ECONOMIC FORECASTING BOARD PILLEN APPOINTEES

LINCOLN— Gov. Jim Pillen’s recent appointments to the Nebraska Economic Forecasting Advisory Board are drawing debate ahead of the board’s Oct. 30 meeting, when it will update revenue projections and determine the scale of Nebraska’s projected budget shortfall. Pillen appointed former state Sens. Tom Briese and Lou Ann Linehan, both of whom previously supported major income and property tax measures backed by the governor. Former Appropriations Committee Chair John Stinner and State Sen. Machaela Cavanaugh have questioned whether the appointments could make the board more political, while Briese, Linehan and other lawmakers maintain that the new members will independently evaluate the economic data.  

The forecasting board was created in 1984 to reduce political influence over state revenue projections and consists of four gubernatorial and five legislative appointees. Each member independently estimates revenues from major tax sources before the board reaches a consensus requiring at least five votes. Nebraska currently faces an estimated $208 million shortfall through June 2027, which could grow to nearly $847 million by July 2029 under existing projections. Supporters of the appointments argue that Briese and Linehan are only two of nine members and cannot independently change the forecast, while critics remain concerned that their previous involvement in tax policy could influence the process.   

The Oct. 30 forecast will come just days before the Nov. 3 general election and will help shape the Legislature’s budget debate when lawmakers return in 2027. Although the Legislature is not legally required to use the board’s forecast when writing the budget, lawmakers have historically relied on it. Despite disagreements surrounding the appointments and the causes of Nebraska’s budget situation, officials on multiple sides emphasized that producing an accurate and credible revenue forecast is essential for determining how the state addresses its upcoming budget gap.

Click HERE for the full article