LATEST EFFORT TO CUT INHERITANCE TAX GENERATES NEW OPPONENTS

LINCOLN — State Sen. Rob Clements of Elmwood has pushed during his eight years in office to eliminate the state’s inheritance tax, maintaining that it’s an unfair and outdated tax after death that only five states still impose.

But his latest proposal, while tending to mollify one longtime opponent, inspired a new group of business and government entities to object during a 2 1/2-hour public hearing on Wednesday at the Capitol. Representatives of data centers, renewable energy projects, Nebraska’s two largest counties, and the Nebraska Chamber of Commerce opposed Clements’ Legislative Bill 468.

Representatives of Douglas and Lancaster Counties said both would be forced to raise local property taxes to cover funding lost under the bill. “We do not like inheritance tax, but we dislike property tax more,” said Lori Pirsch, budget and finance director for Douglas County.

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SCHOOL CELLPHONE BAN ADVANCES TO FULL LEGISLATURE, FIRST OF PILLEN'S 2025 PRIORITIES

LINCOLN — The first of Gov. Jim Pillen’s 2025 legislative priorities advanced Thursday to the full Nebraska Legislature: banning most student cellphones in public K-12 schools. The Legislature’s Education Committee voted 7-0, with one member absent, to advance Legislative Bill 140 from State Sen. Rita Sanders of Bellevue, which was introduced at Pillen’s request.

As amended by the committee, the bill would ban student use of electronic communication devices, such as cellphones, on school grounds or while they are attending a “school instructional function,” such as field trips. However, it would leave school districts wide latitude of when and where they could authorize student cellphone use.

Should the bill pass, all of Nebraska’s 245 school districts would need to adopt device-related policies to conform to the law by the start of school this fall. The bill doesn’t apply to private schools. Enforcement and possible disciplinary action for violating the policies, if any, would be up to individual school districts.

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FORTENBERRY CASE OVER: JUDGE LETS CHARGES DROP WITH PREJUDICE

LINCOLN- A federal judge this week agreed with Trump administration prosecutors that the campaign finance-related felony charges filed against former Nebraska Republican U.S. Rep. Jeff Fortenberry should be dropped with prejudice. That means the same charges cannot be filed again.

Federal District Judge Trevor McFadden signed the order proposed by the Justice Department late Wednesday, which had reversed course under the new management of President Donald Trump. Trump, a Republican, has publicly complained about Fortenberry’s prosecution, saying he was mistreated.

The Justice Department investigation of Fortenberry’s 2016 fundraiser in southern California began under Trump. Prosecutors under former President Joe Biden’s Justice Department had obtained a conviction of Fortenberry for lying to federal agents and trying to conceal his knowledge of foreign campaign funds raised illegally in 2016 for his congressional campaign.

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NEBRASKA SUPREME COURT TO WEIGH PART OF HANDGUN RESTRICTIONS LAWSUIT AGAINST LINCOLN

LINCOLN- The Nebraska Supreme Court has agreed to weigh in on whether a group of gun owners needs to run afoul of Lincoln weapons ordinances and an executive order by Mayor Leirion Gaylor Baird before suing the city for enacting them. The Nebraska Firearms Owners Association, with help from the now-Texas-based Liberty Justice Center, sued the Cities of Lincoln and Omaha in December 2023, claiming in separate lawsuits that the cities had overstepped their legal authority to regulate guns under state law.

Both lawsuits make similar but slightly different arguments based on the passage of Legislative Bill 77 from 2023, then-State Sen. Tom Brewer’s law legalizing concealed carry of handguns without a permit or state-mandated training. A section of that law curbed the authority of cities governed by home-rule charters to restrict guns more stringently than the state. Both Omaha and Lincoln had used that bit of local control in the past to regulate guns and gang violence.

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NEBRASKA PRENATAL PLUS PROGRAM, NEW MEDICAID REIMBURSEMENTS TAKE EFFECT

LINCOLN- Medicaid-eligible pregnant mothers in Nebraska officially have access to new reimbursements for various prenatal services to help prevent low birth weights, preterm births, and adverse birth outcomes. The Nebraska Department of Health and Human Services announced Wednesday the full implementation of the Nebraska Prenatal Plus Program. The law, passed 45-0 in Legislative Bill 857 of 2024, was led by State Sen. George Dungan of Lincoln.

Prenatal Plus mirrors similar successful programs in Colorado and Florida and is designed for at-risk mothers, as identified by their prenatal health care provider. Dungan said the program has been a long time coming and will benefit many people. He encouraged his colleagues to continue supporting the program, including its annual report on the number of mothers served, services offered and birth outcomes for each mother served.

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DISASTER RESPONDERS SAY ENDING FEMA WOULD MOVE TASKS AND COSTS TO STATES, LOCAL GOVERNMENTS

LINCOLN- President Donald Trump’s call to possibly eliminate the Federal Emergency Management Agency has Nebraska officials waiting and worrying, with two former disaster response officials saying that doing away with FEMA would leave a void that would prove difficult to fill. “If they do away with FEMA, Nebraska would be in a world of hurt,” said Al Berndt, a former assistant director who managed the Nebraska Emergency Management Agency on a day-to-day basis for 14 years until 2014. “We just didn’t have the people to do what FEMA does.”

That sentiment was echoed by Dave Maurstad, a former Nebraska lieutenant governor who went on to serve 15 years as a top FEMA administrator, visiting dozens of disaster sites, from Hurricane Katrina to the tornado that ripped through Joplin, Missouri. Maurstad, who retired in July, said it’s certainly appropriate to review FEMA and see if federal disaster response might be streamlined. But, he said, with the increase in severity and frequency of natural catastrophes such as floods, hurricanes, and wildfires, someone has to coordinate the response of the 27 federal agencies that provide help.

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LAWMAKERS ADVANCE BILL ALLOWING LODGING TAXES TO SUPPORT LINCOLN CONVENTION CENTER

LINCOLN- State lawmakers advanced a measure Wednesday that would give the Lancaster County Board authority to use lodging tax dollars for improvements on a future convention center in downtown Lincoln. The bill (LB116) from Lincoln Sen. Beau Ballard also would enact limits for where turnback taxes — sales tax revenue collected from businesses near a convention center used to pay down debt — could be collected in the state.

Ballard, who co-sponsored the bill with Lincoln Sens. Carolyn Bosn and Eliot Bostar, said the legislation was brought on behalf of Lancaster County, which wanted clarity on how it could use funds under its discretion. A member of Assemble Lincoln, the committee charged with selecting a site for the new convention center, Ballard said lodging tax dollars could be used to purchase new technology or other equipment to "future-proof" the facility.

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NEBRASKA TEACHERS WORRY BILL COULD NEGATIVELY IMPACT STATE RETIREMENT PLAN

LINCOLN- Hundreds of teachers from across the state flooded Nebraska senators’ email inboxes and voicemails this week in response to a recently introduced bill that would decrease how much the state contributes to the school employees' retirement fund. The bill (LB645), introduced by Sen. Beau Ballard of Lincoln at the request of Gov. Jim Pillen, would cut back the state’s contribution to the statewide pension fund for school employees and allow the state to determine how much it contributes based on the health of the fund.

Tim Royers, president of the Nebraska State Education Association, said the state teachers union and several senators, including Sen. Danielle Conrad of Lincoln, have been “inundated” with calls and emails from Nebraska educators voicing their concerns about the bill. “I have heard from scores of teachers — hundreds of teachers — all across Nebraska, in small districts, in rural districts and large metro districts, both current and retired, who are rightly concerned about this proposal,” Conrad said at a news conference Tuesday morning.

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AS GOP AGAIN SEEKS TAX DOLLARS FOR PRIVATE SCHOOLS, NEBRASKA TEACHERS WON'T 'JUST PLAY DEFENSE'

LINCOLN- As a group of Republican lawmakers pledged their support Tuesday for the revival of the state-funded private school scholarship concept Nebraska voters rejected in November, the state's largest teachers union offered an alternative path forward. Rather than funnel state funds into private schools through a tax credit program, Nebraska State Education Association President Tim Royers and a group of Democratic lawmakers lobbied Tuesday for the state to instead invest in public school teachers.

The dueling camps laid out their disparate visions for how state lawmakers should invest in education at separate news conferences Tuesday in Lincoln, where Republicans rallied alongside scores of private grade school students in the Capitol Rotunda in support of legislation that would redirect state dollars to private schools hours after Democrats spotlighted proposals that would boost public school teacher compensation and support.

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BILLS AIM TO AID NEBRASKA MENTAL HEALTH PROVIDERS, SLOW AGGRESSIVE AUDITS

LINCOLN- A bill introduced in the Legislature aims to make it harder for state-hired insurance companies to aggressively audit therapists providing mental health help to low-income Nebraskans. That bill and a related one, both introduced by Sen. John Fredrickson, a Democrat from Omaha, followed a Flatwater Free Press investigation into the audits, which sometimes resulted in the insurance companies demanding tens of thousands of dollars back. Several therapists told FFP that the audits had prompted them to drop Medicaid patients.

“We want to ensure there’s very clear rules of engagement,” said Fredrickson, who before joining the Legislature was a mental health provider. So “that there’s no mystery around what it means to accept Medicaid.” Medicaid is cheap or free health insurance for Nebraskans who make only enough money to put them at or near the federal poverty line. States and the federal government share the cost. Nebraska is paying three companies $4.25 billion over the next six years to manage its Medicaid services.

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SCOTT DANIGOLE IS NEXT HEAD OF NEBRASKA CAMPAIGN FINANCE AGENCY NADC

LINCOLN- A statehouse veteran, Scott Danigole, has been tapped to lead the agency that enforces political campaign finance laws and lobbying statutes. Danigole, 58, was selected as the next executive director of the Nebraska Accountability and Disclosure Commission on a 6-0 vote at the Commission’s meeting on Friday.

“I’m very excited about moving forward with the commission and continuing to expand on the work that’s been done there,” he said on Monday. Danigole, who has served as a fiscal analyst for the Nebraska Legislature for the past 27 years, said he sought the position to continue to serve the state due to a commitment to ensure “doing the right thing.” Nearly 70 people applied for the position, and four finalists were interviewed by a search committee, which pared the field of candidates to two.

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NEBRASKA THC RETAILERS ASK LAWMAKERS TO REGULATE, NOT OUTLAW, SUBSTANCE

LINCOLN- As Nebraska's attorney general implored lawmakers Wednesday to outlaw the hemp-derived THC products for sale in more than 300 dispensary-type shops statewide, retailers pleaded with senators to regulate the industry instead. The two worldviews clashed at a hearing Wednesday afternoon in front of the Legislature's Judiciary Committee, where Attorney General Mike Hilgers testified for close to an hour in support of a bill (LB316) that seeks to ban hemp products in Nebraska that contain more than 0.3% of any strain of THC.

Introduced by Sen. Kathleen Kauth of Omaha and championed by Hilgers, the bill would close a loophole lawmakers unintentionally created in 2019 when they legalized hemp. The 2019 law required hemp-derived products to contain no more than 0.3% of Delta-9 THC, but placed no limits on the hundreds of other cannabinoids present in hemp, including Delta 8, paving the way for high-inducing flower and edible products to be sold in stores across the state with no regulatory oversight.

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SEN. SPIVEY PITCHES STATE CLIMATE OFFICE TO BETTER RESPOND TO CLIMATE CHANGE

LINCOLN- Nebraska could leverage more federal funds and better coordinate its efforts to combat climate change by creating a dedicated office to focus on that area, a state legislative committee was told Thursday. State Sen. Ashlei Spivey, who represents northeast and northwest Omaha, pitched her plan to create an “Office of Climate Action” to the Legislature’s Natural Resources Committee as a way to help the Nebraska Department of Environment and Energy (NDEE) implement a climate action plan that helped secured a $307 million federal grant for the state last summer.

Spivey, who was elected in November, said the office would act “as a quarterback” to coordinate the state’s climate initiatives and would help Nebraska attract “tens of millions” in additional federal grants, as well as create jobs. Seven other senators — all Democrats in the nonpartisan Unicameral — co-sponsored the measure. “This bill does not impose mandates or regulate behavior,” Spivey said. “It just builds on what the (NDEE) is already doing.”

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STATE'S LARGEST UNION ACCEPTS LABOR CONTRACT AIMED AT LURING 'NEW GENERATION' OF PUBLIC SERVANTS

LINCOLN- The largest labor union representing state government employees has voted to accept a contract with the state that includes pay raises of between 6.5% and up to 19% over two years. Another step in the right direction is a negotiated benefit that allows six weeks of paid maternity leave, up from none before, said Justin Hubly, executive director of the Nebraska Association of Public Employees.

The Nebraska Association of Public Employees, or NAPE/AFSCME, had been in discussions with Gov. Jim Pillen’s negotiators since September, and union members wrapped up a two-week voting period on the current terms Friday. The new contract covers more than 8,000 state employees who provide services in more than 500 jobs at more than 40 state agencies in all 93 counties, according to the union.

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LAWMAKERS HEAR TESTIMONY ON MEASURE TO PREEMPT GOVERNMENT-IMPOSED RENT CONTROL

LINCOLN- Real estate representatives told state lawmakers Wednesday what they feel is coming: attempts by cities in Nebraska to control rent on private property. “It’s not made up that this is a boogeyman,” said Dennis Tierney of the Metro Omaha Property Owners Association. “We’re trying to be proactive.”

Opponents of Nebraska Legislative Bill 266 — which seeks to prohibit cities and counties from enacting local laws that impose rent controls on private housing — called the proposal a solution in search of a problem. “There are currently no political subdivisions in Nebraska seeking to enact rent control policies,” said Erin Feichtinger of the Women’s Fund of Omaha. “We are a long way from rent control, and there is no effort to drive out private landlords from the market.”

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NSEA, LAWMAKERS OUTLINE 2025 PRIORITIES AFTER SURVEY OF NEARLY 10,000 NEBRASKA TEACHERS

LINCOLN- The Nebraska State Education Association sought to rally support Tuesday for a package of legislation designed after a survey of nearly 10,000 teachers statewide. Tim Royers, president of the state teacher’s union, joined with seven lawmakers to unveil the top 2025 priorities for the NSEA. The proposals generally seek to increase state support for teachers, such as retention bonuses, stipends for student teachers, reimbursements for school supplies, and paid family and medical leave.

The eight bills presented Tuesday were introduced by State Sens. Margo Juarez of Omaha, Jason Prokop of Lincoln, George Dungan of Lincoln, Ashlei Spivey of Omaha, and Danielle Conrad of Lincoln. All are Democrats in the officially nonpartisan Legislature. Royers said the legislation is part of NSEA’s goal to ensure all Nebraska children get to receive a great public education, which he said often depends on highly qualified teachers.

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TWICE-A-YEAR CLOCK SWITCHING COULD END UNDER THREE NEBRASKA PROPOSALS

LINCOLN- Nebraskans tired of switching their clocks twice each year, in March and November, could have three legislative proposals to choose from this year to inch toward ending the practice. State Sens. Megan Hunt of Omaha, Dave Murman of Glenvil, and Danielle Conrad of Lincoln have introduced proposals to help end the time switch, which the senators said they, like many Nebraskans, are generally over with.

Hunt’s Legislative Bill 34 would provide for year-round daylight saving time, maintaining the period between March and November to preserve sunlight later in the day — between the second Sunday in March (“spring ahead”) and the first Sunday in November (“fall back”). Murman’s LB 302 would provide for year-round standard time, the current position of the clocks in the colder fall and winter months when the sun rises earlier.

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NEBRASKA WOULD REV UP ROLE IN CURBING UNDOCUMENTED WORKERS UNDER BILL TARGETING EMPLOYERS

LINCOLN- Nebraska would step up its role against illegal immigration under a newly proposed state law requiring businesses with at least 25 workers to use an online system aimed at ferreting out undocumented workers. State Sen. Kathleen Kauth of Omaha, under Legislative Bill 532, wants to create graduated state penalties, including suspension of a business license, for employers that don’t partake in the E-Verify program to check an applicant’s eligibility to work and that knowingly hire people unauthorized to work in the United States.

Furthermore, the measure calls upon the Nebraska Department of Labor to develop and carry out random audit inspections and expose violators using a public-facing database. “We’re saying that every business should be doing this,” Kauth, chair of the Legislature’s Business and Labor Committee, said of the electronic verification. “I want them to do the right thing.”

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CHIEF JUSTICE FUNKE'S FIRST 'STATE OF THE JUDICIARY' LAUDS PROBATION SERVICES, CALLS FOR MORE FUNDS

LINCOLN- In his first annual address to lawmakers Tuesday, Nebraska’s new Supreme Court chief justice called for more funding for court areas such as language interpreters, cybersecurity, veterans’ courts, and an “archaic” case document filing and management system. Chief Justice Jeffrey Funke, in his “State of the Judiciary” address, praised several parts of the state court system, saying its probation services for adults and juveniles are considered national models.

Successes of the Judicial Branch are impaired, Funke said, by funding holes in integral areas including the “JUSTICE” system that manages cases for judges, attorneys, staff, and the public. The Nebraska City native, elevated to the post in October, called for financial support from the Legislature to augment a $1.7 million grant aimed at creating “JUSTICE 2.0.” He said modernization will enable judges, attorneys, court staff, and the public to navigate cases more efficiently.

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NEBRASKANS LARGELY TELL LAWMAKERS TO SCRAP WINNER-TAKE-ALL PLAN: 'IT'S OK TO BE BETTER'

LINCOLN- Nebraskans filled the halls of the state Capitol Thursday afternoon, most of them there to oppose two proposals to restore a winner-take-all model for the state's future presidential elections. The Nebraska Legislature's Government, Military and Veterans Committee hosted a lengthy public hearing Thursday on Legislative Bill 3 and Legislative Resolution 24CA. Both would reinstate winner-take-all as the system Nebraska uses to award all five of its electoral votes to the presidential candidate who wins the state's popular vote, albeit by different processes.

The state is currently one of two that allocates some of its Electoral College votes by congressional district, which has meant three Democratic presidential candidates have won a single Nebraska Electoral College vote in recent years. Dozens of testifiers packed into the hearing room — enough people showed up that an overflow room itself overflowed and spilled out into a line outside of the room.

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