NEARLY 60% OF NEBRASKA'S SMALLER RURAL HOSPITALS OPERATE AT A LOSS, HOSPITAL ASSOCIATION SAYS. PENDING LEGISLATION COULD HELP

LINCOLN- A new survey of Nebraska hospitals showed that about half were operating in the red, and the share was even more dramatic, nearly 60%, for small rural hospitals. Driving that financial picture, says the Nebraska Hospital Association, which released the survey results, are rising workforce and pharmaceutical costs, along with reimbursement coverage gaps from Medicaid and Medicare.

At risk if the trend continues unaddressed are cuts ranging from patient medical programs to staff support services such as child care, hospital representatives said during a news conference. The association and its members are advocating for the adoption of the Hospital Quality Assurance and Access Assessment Act, currently before the Legislature as Legislative Bill 1087.

The bill could lead to up to $1 billion more in federal funds for Nebraska hospitals, said Jeremy Nordquist, president of the Nebraska Hospitals Association. The Nebraska Department of Health and Human Services and the Governor’s Office are working with the association to help obtain the higher reimbursement for Medicaid and Medicare patients, said Nordquist.

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NU SEEKS TO PROTECT ACADEMIC, ATHLETIC FUTURE IN BIG TEN, PLEDGING CLOSER UNL-UNMC TIES

LINCOLN- The University of Nebraska-Lincoln took a significant step toward securing its future in the Big Ten Conference, which would preserve its membership in the academically prestigious group and its access to the highest level of college sports. The University of Nebraska system announced that the National Science Foundation has agreed to let UNL and the University of Nebraska Medical Center combine their annual federal research funding when responding to the foundation’s annual survey of national colleges and universities.

Securing this change addresses a key issue that the Association of American Universities cited in 2011 when it took the unprecedented step of kicking out UNL. Iowa State University resigned from the AAU in 2022 to avoid a similar fate. Leaders at UNL and Iowa State have said some AAU leaders had prioritized medical research over agricultural research when evaluating their academic peers.

The NU Board of Regents has pledged to do all it can to help UNL rejoin the AAU, including boosting research ties between UNL and UNMC in Omaha. Interim NU President Chris Kabourek said reporting research as a single University of Nebraska was “a first step.” He called it “a big deal” and said it “instantly makes Nebraska look more like our peers.” But, he stressed, it is one of many steps needed.

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NEBRASKA ANNOUNCES $234 MILLION IN GRANTS FOR NORTH, SOUTH OMAHA ECONOMIC RECOVERY

OMAHA- On Friday, Gov. Jim Pillen announced awards of $234.4 million in North and South Omaha recovery grants, which will go to a wide assortment of nonprofit developers, community organizations, businesses, and the City of Omaha. Pillen announced the awards before crowds of more than 100 people at events held at Metropolitan Community College and the Livestock Exchange Building.

"These awards represent historic, historic investments for our community," said Pillen. Nebraska Department of Economic Development Director K.C. Belitz said his department anticipates the creation of at least 9,250 jobs from the grants. Omaha Mayor Jean Stothert joined the governor at the podium, praising the grants. So too did Sens. Tony Vargas and Mike McDonnell, who helped spearhead the legislative efforts to create the grants.

Notably, however, Sens. Justin Wayne and Terrell McKinney were not at either event. Both lawmakers issued a statement criticizing Friday's awards. "Today's historic investment of over $234 million in North and South Omaha fell short of the transformative promise envisioned by the Legislature," they wrote, "Over 75% of the funds are being channeled into nonprofit projects with little to not economic development and are already being supported by millionaires."

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NEBRASKA GOP FIGHT WITH DELEGATION SPILLS OVER INTO ITS ENDORSEMENTS, 26 STATE SENATORS OFFER SUPPORT

LINCOLN- For the first time in their elected runs, none of Nebraska's five-member, all-Republican congressional delegation received an endorsement from the Nebraska Republican Party. Instead, the party's State Central Committee endorsed Republican challengers to three of the GOP incumbents: Lt. Col. John Glen Weaver, who is running against Sen. Pete Ricketts; Dan Frei, running against Rep. Don Bacon; and John Walz, running against Rep. Adrian Smith.

The central committee, which released its endorsements on Saturday, did not endorse candidates in the two other congressional races involving Sen. Deb Fischer and Rep. Mike Flood. Nebraska GOP chairman Eric Underwood had no immediate comment on Saturday's endorsements. One Republican attendee, however, said of the endorsements: "You can't win if you don't play."

Tension has existed between the state party and its top elected officials since Nebraska GOP leadership changed hands in the summer of 2022. John Glen Weaver, following the announcement, said it felt great to have active Republicans from across the state back his bid. "People here are passionate about saving our country," said Weaver, "It's not like a bunch of crazy people who got together in a room."

Following the announcement of the Nebraska GOP's endorsements, 26 Republican state senators signed a letter endorsing Ricketts, Fischer, Smith, Flood, and Bacon. "We, State Senators of Nebraska, endorse our current federal incumbents for re-election in 2024," they wrote. "The only message in the letter is unity," said Sen. Rob Dover of the letter. Dover, whom Ricketts appointed to the Legislature in 2022, said the purpose of the letter was not to take a shot at those who think differently of Nebraska's federal delegation.

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PILLEN RALLIES ABORTION OPPONENTS AT NEBRASKA WALK FOR LIFE TO FIGHT AGAINST ABORTION BALLOT INITIATIVE

LINCOLN- Thousands of Nebraska abortion opponents marched on Saturday from the Nebraska State Capitol to the University of Nebraska-Lincoln for the annual Walk for Life. Gov. Pillen, alongside all five members of Nebraska's congressional delegation, attended the march, focusing much of their attention on a potential ballot initiative to enshrine abortion in the State Constitution.

"Not all of us agree on everything," Pillen told the crowd, "But we have to be together...to win the ballot...to make sure that we save as many babies growing in mothers' wombs as possible." Pillen finished by saying that people trying to end abortion in the state need to do a better job connecting with people on a one-to-one level.

Sandy Danek, of Nebraska Right to Life, told the crowd that many Nebraskans don't understand how much of the work the anti-abortion movement's work the proposed constitutional amendment could erase. She said the amendment would allow abortions up to 22 to 24 weeks gestational age, with the possibility for a doctor to decide if an abortion is necessary past that point. "We have to form a coalition," Danek said, "like we have never done before."

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OPPOSITION LINES UP, AS IN THE PAST, TO THE PROPOSED ELIMINATION OF TAX BREAKS

LINCOLN- This year, as has been the case several times in the past, a new round of opposition is stirring over Gov. Jim Pillen's call to eliminate sales tax exemptions, and possibly increase the state sales tax by one-cent, in order to shift an additional $1 billion in taxes off property and onto state income and sales tax.

Others have grumbled over the governor's proposal to sweep $274 million from excess cash reserves, which are built up by things like hunting fees, telephone bills, and probationers, to aid his ambitious goal of reducing property taxes by 40%. Normally, discussions about tax policy in the Nebraska lobbyist are pretty calm, but, according to Walt Radcliffe, a Lincoln-based lobbyist, things have changed.

"But the governor has aimed a loaded gun at many people, taxwise. And they're going to speak out," he said. Debate over Pillen's proposals is set to begin this week in the Legislature's Appropriations and Revenue Committees. Sen. Lou Ann Linehan said she's heard a handful of the complaints, but defended the governor's proposals. "We have to tackle this problem," she said, "Everyone's going to have to give a little bit."

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VARGAS AMONG FIRST WAVE OF DEMOCRATIC CONGRESSIONAL CHALLENGERS DRAWING NATIONAL INTEREST

OMAHA- An experienced candidate capable of raising funds and a vulnerable Republican representing a House district that voted for Joe Biden in 2020 has raised the profile of Nebraska’s 2nd District with national Democrats. the Democratic Congressional Campaign Committee put the Omaha-area congressional race in its top 17 “Red to Blue” races for national donors to follow as the party tries to flip control of the House.

The label signals that the DCCC sees State Sen. Tony Vargas of Omaha among the Democratic candidates who are most capable of beating a Republican incumbent. U.S. Rep. Don Bacon first faces a primary battle with Omaha businessman Dan Frei. Typically, the first wave of targeted races receive more interest from national donors and outside groups.

Vargas said he is excited the work of his campaign staff and volunteers is being recognized. He said many of his supporters will be energized by his race being identified as one of the best chances for Democrats to pick up a seat. He said his team is focused on talking to Democrats, Republicans and nonpartisan voters who are fed up with the status quo, inflation and a Congress that gets little done.

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NEW UNO REPORT SAYS NEBRASKA COULD AVOID BUILDING A SECOND NEW PRISON, REDUCE OVERCROWDING

LINCOLN- A new report on Nebraska’s prison overcrowding says the state could alleviate crowding, and possibly avoid building a second, pricey new prison, by handling short-term inmates differently. The report recommended that inmates with sentences of less than a year — so-called “short timers” — shouldn’t be sent to prison, but instead serve their time in a county jail or some other alternative.

Short timers now represent over 50% of new state prison admissions. Because of their short sentences, they have little opportunity for rehabilitation programming or work release, according to the report from the Nebraska Center for Justice Research at the University of Nebraska at Omaha. The report suggest that this approach may prevent the need to build an additional prison in all.

Whether or not Nebraska needs to build two new prisons, as a consultant a year ago projected would be necessary, has loomed large as an issue for state lawmakers. Right now, planning is underway for a 1,500-bed, $370 million replacement for the aging Nebraska State Penitentiary, to be built on the north edge of Lincoln. But a year ago, prison consultants said another 1,500 prison beds would be needed by 2030, based on current trends of incarceration.

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PROPOSAL TO FORCE NE TO ACCEPT $18M IN FEDERAL FOOD FUNDS FOR KIDS DRAWS NO OPPONENTS AT HEARING

LINCOLN- At age 55, Dr. Karla Lester said, she is just now able to talk publicly about her childhood shame: hunger. Speaking to a legislative committee, the Lincoln pediatrician was among 17 proponents who urged lawmakers to adopt a proposal — against Gov. Jim Pillen’s wishes — that would require Nebraska to participate in the national Summer EBT food program for kids.

The program, which would provide an estimated $18 million in grocery-buying federal funds to about 150,000 low-income Nebraska youths, has become a high-profile hot potato. Pillen has objected to the state joining the program, saying he did not “believe in welfare.” Sen. Jen Day of Gretna, who introduced Legislative Bill 952, told the Health and Human Services Committee that the Summer Electronic Benefits Transfer program would cost Nebraska about $400,000 to administer annually.

State Sen. Ray Aguilar of Grand Island has made the bill his priority, so it will have a better chance of reaching full legislative debate. No one spoke against the proposal, though four letters of opposition were submitted electronically. Another 153 people sent letters of support. Thus far, 35 states, the District of Columbia and 10 tribes and U.S. territories have opted into Summer EBT.

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GOVERNOR PILLEN TO TRAVEL TO TEXAS FOR BORDER SECURITY UPDATE

LINCOLN- Gov. Jim Pillen and Maj. Gen. Craig Strong of the Nebraska National Guard are traveling to Texas on Sunday for a security update on the situation at the southern border, according to a news release from the governor's office. Pillen and Strong will join Texas Gov. Greg Abbott for a 2:30 p.m. news conference at Shelby Park in Eagle Pass, Texas, following the security briefing.

“The mission to secure the border is critical to the security of Nebraskans as well as all Americans,” Pillen said in the release. Pillen expressed the need for Nebraska’s continued support of "Operation Lone Star" and said he would assess additional resources Nebraska could offer to "secure the border."

Nebraska’s previous support of border security involved deploying drone operators from the State Patrol to assist in surveillance last year, and sending more than 60 members of the Nebraska National Guard to aid Texas authorities in illegal border crossings last summer. Gov. Pillen recently posted a video of himself in Texas receiving a briefing on the status of the border.

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PROPOSAL TO REQUIRE TWO-PERSON CREWS ON TRAINS IN NEBRASKA DEAD FOR THE YEAR

LINCOLN — A filibuster stretching over three days derailed a proposal Friday to require two-person crews on trains operated by major railroads in Nebraska.

State Sen. Mike Jacobson of North Platte — a major railroad center in the state — brought the proposal. He was able to advance it to floor debate in the State Legislature for the first time after years of trying by other senators. But supporters failed to garner the needed 33 votes Friday to halt a filibuster and advance Legislative Bill 31. The vote was 24-19 to invoke cloture.

Opponents argued that lawmakers were interfering in what is a matter for labor negotiations and federal regulation and that Nebraska ought to wait for the feds to act on the controversial issue pitting labor unions against management. Sen. Julie Slama of Dunbar said such a bill interfered with interstate commerce, and Omaha Sen. Kathleen Kauth said there’s no proof that two-man crews reduce derailments. Several countries, she added, have safely switched to one-person train crews. Another opponent of the bill, Sen. Lou Ann Linehan of Elkhorn, pointed out that Union Pacific is one of the state’s top employers and a top payer of property taxes.

The federal government might soon weigh in on this issue. A ruling from the Federal Railroad Administration is pending on a proposal to require two crew members except “for those operations that do not pose significant safety risks to railroad employees, the public, or the environment.”

COMPLAINTS RISE ABOUT SOUTH, NORTH OMAHA GRANT PROCESS AS FRIDAY ANNOUNCEMENT APPROACHES

OMAHA- Dozens of North and South Omaha groups are expected to be awarded a chunk of up to $234 million in state funds on Friday for a variety of economic development projects. Gov. Jim Pillen and Omaha Mayor Jean Stothert are among the officials poised to announce the recipients of the grants.

However, even before the winners are publicized, complaints have sprung up over the Department of Economic Development's application scoring process, which was used to determine which organizations would be awarded grants. Bob Pelshaw of the Pelshaw group believes that the Department erred in scoring his application and at one point appeared to mistake his project for someone else's.

After reviewing his proposal, the Department ultimately offered Pelshaw $50,000, far below the nearly $10 million he had asked for to launch The Hub in South Omaha, prompting the organizations to file a complaint with the State Ombudsman's Office. In the filing, Pelshaw asked the ombudsman for help in urging the Department to "correct the glaring and intentional errors and fairly rescore our projects using all of the correct inputs. "

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CONTROVERSIAL GUNS TO BE LOCKED AWAY AT RACING AND GAMING COMMISSION UNTIL TRAINING, PROTOCOLS ADOPTED

LINCOLN- Semi-automatic firearms purchased recently by the Nebraska Racing and Gaming Commission will be locked away until proper training and procedures for their use can be adopted, according to a representative from the commission. Shane Greckel, vice chairman of the commission, said the gambling-centered agency had also explored whether they should return the ten Sig Sauer MPX rifles.

However, according to Greckel, the agency would have to pay a 30% "restocking" fee, which made that option, in the commission's eyes, too expensive. The guns cost the commission $30,350, which the agency had portrayed as necessary to respond to any "active shooter" incidents that might occur at the state's new casinos.

The purchase of the firearms raised concerns after it was unveiled that not all commissioners were aware of the situation, only learning about the purchase after it had broken into the news. Investigators for the commission, who would utilize the firearms, argued that the purchase was necessary to "meet force with force" in active shooter situations.

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REP. MIKE FLOOD FILES TO RUN AGAIN FOR U.S. HOUSE

LINCOLN- On Wednesday, U.S. Rep. Mike Flood filed to run for re-election just one day after drawing a Democratic challenger in the form of State Sen. Carol Blood. Flood previously won the 1st District seat in a 2022 special election held after former Rep. Jeff Fortenberry resigned following three felony convictions.

Flood won a first full term in November 2022, beating then-State Sen. Patty Pansing Brooks both times. He has spent much of his time in Congress discussing taxes, spending, and cryptocurrency, with a more recent focus, in line with the National GOP Caucus, on border security. Flood's Democratic critics argue that he has been straying too far from what they described as his more middle-ground approach.

"In Congress, I've kept my promises to Nebraskans by standing against government overreach, cutting $2.1 trillion from the federal budget, and voting for a comprehensive border security package," Flood said in a campaign statement announcing his re-election bid. Blood, who represents eastern Sarpy County in the Nebraska Legislature, is set to formally announce her bid on Saturday.

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UNL ECONOMIC INDICATOR SHOWS STRONG GROWTH IN DECEMBER

LINCOLN- An index produced and released by the University of Nebraska-Lincoln indicated that Nebraska had its best economic performance in December compared to the previous nine months. "The increase in the leading indicator suggests that the Nebraska economy will grow at a moderate pace in the first half of 2024," said Eric Thompson, director of the Bureau of Business Research.

The indicator, which is designed to predict economic activity six months into Nebraska's future, has six different components. Three of those components improved significantly in December, according to Thompson. These included an increase in air travel, increased sales and employment, and a decrease in the value of the U.S. dollar, which was advantageous for the state.

"An increase in leisure travel implies that households feel confident about their jobs and income, while an increase in business travel suggests that firms are coordinating new activity with customers and suppliers," said Thompson.

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BILL WOULD BAR NEBRASKA SCHOOLS FROM USING COLLECTIONS AGENCIES TO PURSUE SCHOOL LUNCH DEBT

LINCOLN- As the federal government waivers that made school lunches free during the COVID pandemic end, unpaid meal debt in Nebraska has skyrocketed from $2.8 million in 2020 to $14.8 million in 2022. However, many of those who find themselves in debt are from families just outside the threshold to qualify for free and reduced lunches.

To recoup losses, school districts across the state have used a wide variety of strategies, including turning families over to debt collection agencies. In response to this, Sen. Danielle Conrad introduced LB855, which would prohibit school districts from using such agencies to pursue unpaid meal debt, and from charging interest, assessing fees, or placing any other penalties on those families.

"I just think it's wrong from a moral perspective," Conrad told the Legislature's Education Committee on Tuesday. "It stays on their credit report, it impacts their ability to rent, it impacts their ability to pursue other productive areas in their lives," continued Conrad, "and it really spirals and spirals and spirals and spirals."

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SCHOOLS OPPOSE BILL REQUIRING NEBRASKA VOTERS TO APPROVE SPENDING FUNDS FOR MAINTENANCE PROJECTS

LINCOLN- A bill that would require school districts to seek voter approval before spending more than $250,000 from the special building fund,LB1063 introduced by Sen. Steve Halloran, received wide opposition from education leaders during a hearing on Tuesday. Halloran argued that the bill would promote accountability, transparency, and "appropriate use of the special building fund," which he said has been abused by some school districts.

"I think it's necessary to have a bill acknowledging the fact that we shouldn't be using the special building fund without, at some level, approval of the voters," Halloran said. Despite this, school board members and administrators from across the state said the measure would hamper local control and potentially increase costs for taxpayers.

Scott Wieskamp, director of operations for Lincoln Public Schools, said the district would need to seek voter approval to complete even routine annual maintenance work on its 81 facilities if the bill passed. Ashland-Greenwood Public Schools board member Suzanna Sapp said voters have already empowered their local school boards to make tough decisions on how best to spend resources in the district's best interests.

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POVERTY ELIMINATION IS GOAL OF PROPOSAL AIRED BEFORE NEBRASKA LEGISLATURE

LINCOLN- The Poverty Elimination Act, introduced to the Nebraska Legislature by Sen. Terrell McKinney through LB840, aims to urge cities in the state to create a five-year anti-poverty plan. The bill received resounding support from the body during a legislative hearing on Tuesday, but a few opponents worried such an undertaking would be too expensive for smaller towns.

The North Omaha lawmaker, in testimony to the Legislature's Urban Affairs Committee, said he grew up poor. "It wasn't easy," he told committee members. But, McKinney said he hoped a mandate such as LB840 would help to establish a more concerted, purposeful strategy to spare thousands of Nebraska youth from a similar economic journey.

Lynn Rex, executive director of the League of Nebraska Municipalities who was among the opponents of the bill, said her objection was not a sign that poverty elimination was not important. Rather, Rex argued that such poverty elimination endeavors would require a consultant and adequate staffing, which might prove a financial struggle for smaller cities and towns.

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BILL TO HELP ECONOMIC DEVELOPMENT PROJECTS IN SMALLER CITIES ADVANCES, DESPITE QUESTION ABOUT FUNDING

LINCOLN- An amended form of last year's LB600, an economic development bill designed to help cities such as Grand Island and Ralston, moved forward on Tuesday despite concerns over the bill's $10 million fiscal impact. The measure was touted as a way to help Grand Island extend sewer and water infrastructure to the site of the former Cornhusker Ammunition Plant, thereby making the area more attractive to new businesses.

If passed, LB600 would allow communities with less than 100,000 inhabitants to obtain state grants of up to $5 million for infrastructure projects. However, communities must first demonstrate to the state the benefits of the proposed projects and provide a 25% financial match. While state lawmakers voted 41-0 to advance the bill, Sen. Rob Clements questions whether the initial $10 million in state funding for grants would even be available.

"Today, I'm not in support of that funding," Clements said during debate, "We'll see how we are in budgeting close to the end of the session." LB600, introduced by Sen. Loren Lippincott, would transfer the $10 million out of the state's cash reserve fund and into a "municipality infrastructure fund" administered by the Department of Economic Development.

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NEW SENATOR TRIES AGAIN TO MAKE TEXTING WHILE DRIVING A PRIMARY OFFENSE

LINCOLN- A record-high 19 Nebraskans lost their lives in distracted driving crashes in 2020, and a state legislative committee was urged on Tuesday to do something about it. However, based on the response from members of the Legislature's Transportation and Telecommunications Committee, one step to do that, making texting while driving a primary offense, faces a tough road, as in past years.

"Where do you draw the line?," asked Sen. Mike Moser, who chairs the committee. What would a law enforcement officer have to witness, how could you prove someone was texting, and why not go after other forms of distraction were among the questions aired at the hearing. These questions have helped to derail several past legislative attempts to make texting while driving a primary offense.

Currently, texting while driving in Nebraska is a secondary offense, for which a driver can be ticketed only if stopped for another infraction or involved in an accident. To change this, Sen. Loren Lippincott introduced LB1033, stating to the committee that Nebraska ought to join the growing number of states that are cracking down on cell phone use.

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