COMMITTEE REPRIMANDS HALLORAN FOR WORKPLACE HARASSMENT VIOLATIONS

LINCOLN- On Wednesday, the nine-member Executive Board of the Nebraska Legislature, which acts as the main human resources arm of the institution, voted unanimously to release the results of a formal investigation into the action of Sen. Steve Halloran, who on March 18th inserted the name of several senators into a reading of a graphic rape scene.

The Board also voted 8-1 to formally reprimand Halloran in an internal letter rather than advance Sen. Machaela Cavanaugh's LR355, which called for the Legislature to formally censure Halloran. The eight proponent lawmakers, including Speaker John Arch, said they "formally deplore" Halloran's "unacceptable conduct."

Sen. John Lowe, vice chair of the Executive Board, was the lone 'no' vote. Last week, Lowe, alongside eight other senators, called for LR355 to be dismissed or ignored. Halloran, who is term-limited, said he felt he was being "raked over the coals" on the legislative floor, and argued that a formal censure would "chill" his free speech.

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SLAMA EFFORT TO REVIVE WINNER-TAKE-ALL LIKELY LOST FOR 2024 PRESIDENTIAL RACE

LINCOLN- On Wednesday, a failed attempt to force a floor vote on making Nebraska award all five of its Electoral College votes to the presidential winner of the statewide popular vote signaled dimming prospects this year for the change, which was called for by Gov. Jim Pillen and former Pres. Donald Trump.

Sen. Julie Slama forced discussion on the topic after trying to amend winner-take-all into LB1300, an unrelated bill from Sen. Eliot Bostar. Slama contended that her Republican colleagues did not truly want to vote on the issue of winner-take-all, and instead only sought to energize voters and donors with the issue.

Bostar challenged the germaneness of the amendment, arguing that the bipartisan nature of LB1300, a package of Republican and Democratic bills, would be destroyed if it were to pass. A handful of senators also opposed the change, referencing Trump's tweet calling for the change. "This is about a tweet," said Sen. Machaela Cavanaugh, "We are allowing ourselves to be governed by a tweet."

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GOV. PILLEN SIGNS 'FISCALLY SOUND' BUDGET PACKAGE WITHOUT SINGLE VETO

LINCOLN- On Tuesday, Gov. Jim Pillen announced that he had signed both bills in the state budget adjustment package while praising the Legislature's Appropriations Committee. He credited the committee with sending him a "fiscally sound" budget that funds the school aid formula and makes several changes to the current budget.

"This budget reflects the conservative values of Nebraskans," Pillen said of the proposals. Combined, both budget bills provide for an average increase in state spending of 2.7% over the two-year budget period, up from the 2.3% approved last year. The bills also include the transfer of around $230 million from various cash funds to support Pillen's property tax reduction plan.

However, the fate of Pillen's property tax proposal remains unclear. The biggest spending increase in the budget package resulted from a higher-than-expected calculation of state aid to schools for next year. School aid had been projected to drop $28 million for the 2024-25 school year, but actually increased by $65 million once actual spending figures were considered.

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PILLEN CALLS FOR LEGISLATURE TO REINSTATE 'WINNER-TAKE-ALL' ELECTORAL SYSTEM, TRUMP ASSENTS

LINCOLN- On Tuesday, Gov. Jim Pillen called for the state Legislature to pass a measure introduced this year to switch Nebraska to a 'winner-takes-all' electoral system, a change that would bring the state in line with much of the country. Only Maine and Nebraska assign Electoral College votes by district, with two most often going to Republicans and one going to a Democrat.

"It would bring Nebraska into line with 48 of our fellow states, better reflect the founders' intent, and ensure our state speaks with one unified voice in presidential elections," Pillen argued, "I call upon fellow Republicans in the Legislature to pass this bill to my desk so I can sign it into law." The Nebraska Freedom Coalition, a conservative group, lauded Pillen's announcement, adding that the group believes the proposal will appear in the Legislature "very soon."

Shortly after Pillen's call for the change, former Pres. Donald Trump also lauded Pillen for his support of a 'winner-take-all' system. "Governor Jim Pillen of Nebraska, a very smart and popular Governor, who has done some really great things, came out today with a very strong letter in support of returning Nebraska's Electoral Votes to a Winner-Tale-All System," wrote Trump on Truth Social, "Thank you Governor for you bold leadership."

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PILLEN TAX PLAN LIMPS FORWARD AFTER SPONSOR AGREES TO REMOVE SALES TAX INCREASE

LINCOLN- On Tuesday, Gov. Pillen's property tax reduction plan limped forward in the Legislature after Sen. Lou Ann Linehan, its sponsor, agreed to strip out a proposed 1-cent increase in state sales tax. The bill advanced from its first round of debate on a 28-12 vote. Sen. Linehan acknowledged that the proposal would not pass if she had decided to keep the sales tax increase in the proposal.

The proposed increase was met with fiery opposition from conservative groups, business organizations, and several Democrats in the Legislature. LB388 is designed to shift $650 million off local property taxes and onto new and increased sales taces, resulting in a 30% reduction in property taxes.

Gov. Pillen's policy research director, Kenny Zoeller, said that his boss has a goal of providing more than $600 million in property tax relief, but that it's up to the Legislature to get there. "However we get there, he's open to," said Zoeller of Pillen's preference. Pillen later told the press that is "open to any avenues of funding this historic property tax cut."

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NEBRASKA CASINO EXEC: ONLINE SPORTS GAMBLING WON'T BE ON NOVEMBER BALLOT

LINCOLN- Nebraska voters won't have the chance to legalize online sports gambling this year after a coalition of the nation's biggest sportsbooks opted not to back a ballot initiative campaign aimed at changing the state's constitution to allow online and mobile sports betting. The petition drive was expected to cost $5-7 million.

FanDuel, DraftKings, BetMGM and Caesars had partnered with Ho-Chunk Inc., the economic development arm of the Winnebago Tribe of Nebraska, to commission a public opinion poll in February gauging Nebraskans' appetite for legalized online sports gambling as the coalition considered launching a petition drive to put a constitutional amendment on November's ballot.

February's poll showed that 57% of respondents signaled support for the constitutional amendment, said Lance Morgan, the CEO of Ho-Chunk, the parent company of WarHorse Gaming. "If you're at 57 (percent support), it creates some possibility that you could lose unless you really were to put substantial resources into it," Morgan said. Morgan noted that they were "late to the party" this election cycle.

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NEBRASKA WOULD FUND PRIVATE K-12 SCHOLARSHIPS, REGARDLESS OF BALLOT MEASURE, UNDER NEW PROPOSAL

LINCOLN- Sen. Lou Ann Linehan says she knows that the state tax credit for funding students attending private K-12 schools risks being rejected by voters in November. That's why she and other supporters of the school choice law drafted several bills this year to preserve the heart of the program regardless of the election outcome.

Each proposal would offset the cost of a private K-12 education with state tax dollars. Recently, Linehan settled on LB1402 as this session’s vehicle for the changes. She originally designed the bill to shift the scholarship program created by the Opportunity Scholarships Act to the State Treasurer’s Office and away from nonprofit scholarship-granting groups.

Public school advocates call Linehan’s push an effort to stifle voters’ voices. The advocates contend Nebraskans don’t want public funds spent on private schools, whether through a tax credit or directly. They say the latest amendment would start a voucher program that could cut into state funding for public schools or other priorities even faster than the Opportunity Scholarships Act.

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PARAPROFESSIONALS TO GET FREE TUITION TO BECOME TEACHERS IN NEW PROGRAM

LINCOLN- Paraprofessionals in three Nebraska districts are getting the chance to become classroom teachers through the Nebraska Teacher Apprenticeship Program, which lawmakers created last year after the passage of LB705. The program, which lawmakers funded with a $1 million allocation, is meant to address Nebraska's pressing teacher shortages.

At the start of the 2023-24 school year, the state had at least 908 teacher positions left either vacant or filled by an unqualified employee, a stark increase from the 769 reported the year prior. The Nebraska Department of Education, which received the allocation, is set to pilot the program in three districts that already have para-to-teacher programs. "We didn't want to start directly from scratch," said David Jespersen, department spokesman.

Selected paraprofessionals will be able to enroll in undergraduate teacher education programs for free. While such programs have existed in the past, one key difference under the apprenticeship program is the ability for paraprofessionals to receive college credit while already working in the classroom with a supervising teacher.

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ADVOCATES FOR THE DEVELOPMENTALLY DISABLED REACT CAUTIOUSLY TO ANNOUNCED END OF 'WAIT LIST'

LINCOLN- Last week, Gov. Pillen announced that the state was eliminating the Developmental Disabilities Registry to "better support Nebraskans with intellectual and developmental disabilities." Advocates for the developmentally disabled reacted cautiously to the elimination of the Registry, which they saw as a long-running 'wait list' for state services.

During a press conference in Omaha, Pillen called the change "a breakthrough way to reimagine how services are offered" while saving taxpayer dollars. "This is the first time in Nebraska history the DD Registry will be eliminated," he said, "which is a huge step forward to ensure all Nebraskans have the opportunity to live the Good Life."

Edison McDonald, executive director of the Arc of Nebraska, said he was skeptical about the change. "This could just be some paper shuffling. There potentially is something good in here, but it will take some work with stakeholders to figure that out," he said. However, McDonald said everyone wants to see the wait list eliminated, but questioned what kind of services will be offered in the future.

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BILL ADVANCED TO FINANCE DEVELOPMENT OF 'GOOD LIFE' RETAIL DISTRICTS WITH LITTLE DEBATE

LINCOLN- State lawmakers gave first-round approval to a measure that would allow communities, by a public vote, to provide a generous tax benefit for unique retail developments. There was very little mention, however, of the “Good Life District Economic Development Act” during the debate over LB1317, a combination of several bills advanced from the Revenue Committee.

Instead, most of the discussion focused on one of the aspects of LB1317 that dealt with installing electric-vehicle charging stations. It has generated a fight between service stations and public power over fair competition and who should be allowed to build the stations. Sen. Brad von Gillern, a co-sponsor of the bill, said he will introduce an amendment during second-round debate to resolve some remaining issues surrounding the Good Life Districts.

Already, the state has OK’d two potential districts, one at Nebraska Crossing near Gretna and another at 192nd Street and West Dodge Road in Omaha called Avenue One. Bellevue and Grand Island are also seeking Good Life District designations. To qualify, a development must cost at least $500 million, attract new-to-market retailers, like Crate & Barrel and IKEA, lure 600,000 visitors a year and generate at least 20% of its sales from out-of-state shoppers.

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BATHROOM, SPORTS TEAM RESTRICTIONS FALL SHORT IN LEGISLATURE

LINCOLN- Sen. Kathleen Kauth fell two votes short of advancing a proposal that would define K-12 school bathrooms and sporting teams as male or female based on students’ sex at birth. LB575 fell 31-15, after two conservative lawmakers who originally signed on to the bill when it was introduced last year did not vote for the measure: State Sens. Tom Brandt of Plymouth and Merv Riepe of Ralston.

Riepe, who had said his vote would be a “mystery” until the very end, condemned Friday’s last-minute effort on a bill that was advanced to the floor just one day prior, while Brandt questioned how the bill’s policies would be enforced and paid for. With the failed vote, the bill is effectively dead for the year. Speaker John Arch said there is not enough time to try to combine bills, which could have been a next step to give LB575 another chance on a different bill in the final week.

Kauth said the measure will return in 2025 and could include restrictions on collegiate athletics. Kauth said her bill was about protecting women’s sports and protecting the dignity and privacy of all school-aged children in the most intimate places. “Women and girls are going to start refusing to participate in sports knowing that the deck is stacked against them,” Kauth said.

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FIRST STEPS TO BUILD NEW PRISON IN NORTHEAST LINCOLN SAIL THROUGH

LINCOLN- On Wednesday, the first steps necessary to build a new prison in northeast Lincoln were approved with little drama. The Lincoln-Lancaster County Planning Commission voted unanimously to recommend the approval of zoning, annexation, and three other administrative changes on city-owned land in northeast Lincoln.

The Lincoln City Council is scheduled to hear those proposals on April 15, as well as one seeking to initiate a land swap agreement with the state. The low-key hearing held to approve these changes was a stark contrast to last summer's announcement by state officials that they'd bought roughly 305 acres of land in northeast Lincoln to build a prison.

The announcement caught city officials by surprise, and even sparked intense backlash by residents living in the area. The land where the prison is to be built currently houses a windmill, which LES will remove under the agreement. A holding lagoon for in-ground liquid biosolids, which was built in the 1980s, also rests on the land.

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A TALE OF COMPETING PROJECTIONS: GOVERNOR'S OFFICE, OPENSKY FIGURES DIFFER

LINCOLN- Nebraskans have been presented with two starkly different projections on whether taxpayers will be paying more of less should Gov. Pillen's proposed property tax plan be adopted. Currently, Pillen is calling for up to a 1-cent hike in sales tax and a newer, higher sales tax on some purchases to offset property taxes.

On Wednesday, Sen. Lou Ann Linehan, the sponsor of the tax plan, and Pillen administration officials held a briefing for legislators. They provided projections that seem to indicate that many Nebraska households would see net tax savings of between $1,036 and $2,137. However, those projections differ significantly from those released by the OpenSky Policy Institute.

OpenSky projected that the top 5% of taxpayers, those with household incomes of more than $252,600, would pay slightly less in overall taxes, while low- and middle-income families will end up paying slightly more than they do now. "Overall, this tax shift makes Nebraska's tax system more regressive," said Rebecca Firestone, executive director of OpenSky.

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LAWMAKERS ADVANCE MURMAN BILL REQUIRING AGE VERIFICATION FOR CERTAIN WEBSITES

LINCOLN- On Wednesday, lawmakers gave first-round approval to Sen. Dave Murman's LB1092, which would require commercial businesses that display a "substantial portion" of material harmful to minors, defined as more than one-third of a website's total material, to have a reasonable age verification method in place.

Murman, chair of the Education Committee, said during debate on a separate proposal relating to obscenity that children have "unfettered access" to "endless hours of unlimited graphic materials." Murman pointed to research conducted by the American Psychological Association as a reason why his bill is important.

In it, researchers found that pornography can lead to increased sexual aggression, relationship problems, and reinforce harmful gender stereotypes. "Every additional step which we put in front of our teens prior to accessing pornography is a second chance to stop and consider what they are accessing," said Murman during debate.

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BUDGET PACKAGE PASSES, LEAVING $20 MILLION FISCAL RECKONING FOR OTHER BILLS

LINCOLN- On Tuesday, the Nebraska Legislature passed its budget adjustment package, despite concerns over cost. Current estimates from the Legislative Fiscal Office show that if every bill currently introduced were to pass, the state's budget would be $272 million in the hole during the next two-year budget period.

"Every bill we pass that has a cost is adding to what we're spending," warned Sen. Tony Vargas during debate over the proposal. Despite concerns, however, Sen. Lou Ann Linehan, chairwoman of the Revenue Committee, expressed confidence that the potential budget crunch could be dealt with through negotiation and compromise. By the end of this week, lawmakers will only have eight days left in the session.

In previous session, lawmakers have met following the passage of the budget to talk through other bills and determine what costs could be scaled back. Sen. Rob Clements, chair of the Appropriations Committee, said he expected a similar process this year. The budget bills passed this week provide for an average increase in state spending of 2.7% over the two-year budget period, up slightly from the 2.3% approved last year

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STATE AUDITOR EXPOSES QUESTIONABLE HANDLING BY DHHS OF TENS OF MILLIONS OF FEDERAL DOLLARS

LINCOLN- According to a newly released statewide audit report, more than $21 million in questionable spending of federal pandemic funds was undertaken by the Nebraska Department of Health and Human Services. State Auditor Mike Foley highlighted several suspect expenditures, including funds used for talent recruitment services for nursing homes.

Foley noted that the examples cited in the audit are "far from comprehensive," and said the mishandling of pandemic dollars is but a small part of ineffective oversight by DHHS. However, Foley said that he has faith that the newly confirmed DHHS CEO Steve Corsi can implement corrective action based on the findings of the audit.

"He inherited an agency with some major issues," said Foley, calling Corsi a "no-nonsense" kind of person. According to a statement released by Corsi responding to the findings, his intention is to correct internal safeguards on monitoring and using tax dollars. "DHHS can and will resolve these issues," he said, "We will do the work and make the changes necessary to ensure tax dollars are spent both wisely and appropriately."

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LAWMAKERS ADVANCE INLAND PORT BILL THAT SEEKS MORE PUBLIC INPUT IN NORTH OMAHA DEVELOPMENT

LINCOLN- LB164, a modified version of a 2021 law that created inland port districts, was advanced on Tuesday with the intention of garnering more community input for the multimillion-dollar economic development project planned for North Omaha. Before being advanced on a 31-0 vote, the bill was amended to include a transfer of $20 million for an innovation hub in North Omaha.

The bill, as amended, will also create child care grant programs that had been part of another lawmaker's proposal. However, Sens. Terrell McKinney and Justin Wayne said the gist of the proposal is to provide more oversight for the unprecedented amount of funding being diverted to North Omaha.

"If we're going to invest this much into an area, we should have some transparency and oversight to see things through, to make sure they're done properly," said McKinney, referencing the $90 million that lawmakers allocated for a business and industrial park near Eppley Airfield. LB164 lays out rules for who can serve on a nine-member board that will govern the North Omaha inland port authority district.

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IN UNUSUAL MOVE, MAJOR TAX BILL RE-ADVANCED FROM COMMITTEE AFTER CONCERNS RAISED

LINCOLN- Last Thursday, LB388, a major tax relief proposal introduced at the request of Gov. Pillen, was voted out of the Revenue Committee. However, after concerns were raised by Sen. John Cavanaugh over the fact that an actual draft of the bill was not available, it was pulled back into committee.

On Tuesday, Sen. Lou Ann Linehan and the Revenue Committee re-advanced the bill on a 7-1 vote, this time with a 62-page amendment. The new amendment corrected several errors in the original proposal that committee members said appeared during the bill-drafting process. The updated proposal, which would shift funding for K-12 education onto state sales taxes to lower property taxes, is to be debated upon Wednesday.

Several school groups, including Omaha Public Schools, said they are still digesting the content of LB388. Liz Standish, associate superintended of Lincoln Public Schools, said the newest version of the proposal appears to address concerns about the new revenue cap being too restrictive for school districts.

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OMAHA MAYOR JEAN STOTHERT WILL RUN FOR A FOURTH TERM

OMAHA- Mayor Jean Stothert announced this week that she intends to run for a fourth term. She was first elected in 2013, becoming the first female mayor of Nebraska's largest city, and was reelected twice. She had served on the Omaha City Council before she was elected mayor. She acknowledged that the city has "challenges. Every growing city does.”

“We really have a record of progress, determination and success. And together, we do have the momentum to build Omaha into the city of the future," Stothert said. “We are focused on public safety, employment and business growth, investment in our urban core and historic neighborhoods, strong financial management and creating opportunities for everyone.”

The mayor also said that the city's tax levy is at its "lowest rate since 2010" and that hotel occupancy is now at the highest level the city has seen for 16 years. Joining Stothert at her announcement event was Former Nebraska Gov. Dave Heineman. The election for mayor and other city offices is in 2025.

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PILLEN TO SEND NEBRASKA NATIONAL GUARD, STATE TROOPERS TO SOUTHERN BORDER

LINCOLN- As promised, Gov. Jim Pillen will be sending another group of Nebraskans to patrol the southern border. In early April, 35 members of the Nebraska National Guard will deploy for 90 days in Eagle Pass, Texas, in support of counterparts with the Texas National Guard, the Governor’s Office announced this week. Last year, Pillen sent two separate deployments to the southern border.

As he did last year, Pillen defended the deployment as a necessary step to address an “ongoing crisis” at the U.S.-Mexico border.

“Every state is a border state, and what happens along our nation’s southern border affects us right here in Nebraska,” Pillen said in a press release. He said the group will help stop illegal immigration and keep deadly drugs off Nebraska streets.

The deployment is in response to a request from the State of Texas through the Emergency Management Assistance Compact, which is used by states to request assistance from other states in the case of disasters. Major Gen. Craig Strong, the adjutant general of the Nebraska National Guard, said that Nebraska troops are “always ready to respond.”

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