PROPOSED MERGER OF NATURAL RESOURCES, ENVIRONMENTAL DEPARTMENTS ADVANCES

LINCOLN- Gov. Jim Pillen’s goal to merge two state departments into a new Department of Water, Energy and Environment advanced through its first round of legislative floor debates Wednesday despite some senators casting doubts about the benefits it would bring to Nebraska. Legislative Bill 317 would combine the Department of Natural Resources and the Department of Environment and Energy to unify efforts to enhance water quantity and water quality, according to Pillen.

State Sen. Tom Brandt of Plymouth introduced the bill on behalf of the governor. Brandt touted the merger as a measure for efficiency, improving education efforts, permitting processes, and collaboration between water planning and state investments in water infrastructure projects. The merger also unifies various administrative functions, Brandt said, saying the state will not eliminate jobs immediately, but some roles will cease when the people in them retire or leave the department. 

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LAB-GROWN MEAT BAN MOVES FORWARD IN LEGISLATURE

LINCOLN- A bill banning lab-grown meat from Nebraska advanced Monday to a second round in the statehouse after a two-hour debate. Legislative Bill 246 advanced 33-4. Nebraska would join a handful of states that have introduced legislation banning cell-derived meat. The bill was introduced at the request of Gov. Jim Pillen, who owns a major hog operation based in Columbus. Several lawmakers expressed concerns over the safety of lab-grown meat, while others called the bill a waste of time.

The proposed law doesn’t ban alternative-meat products like Impossible Burger, which is made entirely from plants. The cell-derived meat it targets is produced from animal cells, enabling the cells to multiply and differentiate into muscle, fat, and connective tissue without slaughtering animals. The bill would ban the production, import, distribution, promotion, display, or sale of any cultivated-protein food in the state.

If passed, Nebraska would be the fourth state to implement a ban on lab-grown meat. Mississippi is expected to be the third once its governor signs the measure into law. Florida and Alabama have banned cultivating and selling meat grown in laboratories in recent years. Bill author State Sen. Barry DeKay of Niobrara said the bill aims to protect the Nebraska meat industry and consumers from “adulterated food’s effects.”

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SEN. IBACH WINS ROUND OF RURAL DISPUTE OVER FEEDLOT BILL

LINCOLN- A bill to exempt feedlots from Nebraska branding and inspection fees is headed to the second round of legislative debate after Wednesday’s 26-2 vote. After hours of debate, State Sen. Teresa Ibach of Sumner, in west-central Nebraska, amended Legislative Bill 646 to cap the amount the Brand Committee can charge feedlots and seek to exempt feedlots in the state’s brand inspection area from paying branding-related fees. It would replace them with a one-time payment of $1,000 to apply for feedlots to get an exempt status. The bill also exempts dairy cattle.

Ibach said she is open to additional amendments to her priority bill regarding the language of the fee structure and other technical issues lawmakers might have. She faced opposition from State Sen. Tanya Storer of Whitman, a freshman rural lawmaker from north-central Nebraska, who proposed an amendment to essentially kill the bill—an effort that failed Wednesday while urban lawmakers chose not to weigh in.

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LAWMAKERS TASKED WITH DEFINING QUALIFYING CONDITIONS FOR MEDICAL CANNABIS

LINCOLN- The path forward for a medical cannabis bill in the Nebraska Legislature appears more uncertain after a committee chair tasked his members with deciding what medical conditions would qualify for access in the state and which forms of medical cannabis would be allowed. State Sen. Rick Holdcroft of Bellevue, chair of the Legislature’s General Affairs Committee, described that task to his seven fellow committee members Wednesday. He provided them lists to choose a handful from the “debilitating medical conditions” approved in neighboring Iowa, as well as what he said were the 42 conditions approved across the 38 other states with medical cannabis laws.

Legislative Bill 677, from State Sen. Ben Hansen of Blair, an effort aiming to flesh out a state regulatory scheme for medical cannabis, already faced an uphill climb to get out of committee among conservatives. Hansen, a Republican with a more Libertarian bent, said he still hopes to get his bill out of committee as “clean and popular as we can.” Some advocates who championed the 2024 ballot measure say their support of the bill could be in jeopardy if Holdcroft’s more limited approach is taken up

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DESPITE FILIBUSTER, BILL ADVANCES THAT'S AIMED AT LESSENING MINIMUM WAGE INCREASES

LINCOLN- A controversial bill to dilute Nebraska’s phased minimum wage increases cleared the first round of floor debate Tuesday after a two-day filibuster. Legislative Bill 258 is Democratic State Sen. Jane Raybould of Lincoln’s top priority for the 2025 session. The bill would reduce the annual cost-of-living increases to up to 1.5% per year, and freeze the minimum wage at $13.50 per hour for workers ages 14 and 15. The bill earned just enough votes to pass a filibuster-ending cloture motion, with a 33-16 vote.

The bill itself earned a 32-17 vote, with Sen. Stanley Clouse of Kearney shifting his vote to no. The bill will now advance to its second of three rounds of debate, with its fate still uncertain. In addition to changing the cost of living increases and the youth wage, LB 258 would also set a 90-day training wage at $13.50 an hour. Raybould noted this is higher than Nebraska’s current minimum training wage, which is set at $5.45 an hour — 75% of the federal minimum wage.

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'THE STATE'S NOT BROKE': STATE TREASURER TALKS ABOUT THE STATE'S SPENDING

OMAHA- Nebraska State Treasurer Tom Briese had an update on tackling the state’s current $200 million shortfall. "We have to remember, the state’s not broke," Briese said. "We have a cash reserve of about $900 million."

Briese explores ways to enhance state government efficiency, the push for further property tax relief, and his view on a new bill proposing a 57% pay raise for all state constitutional officers. He promoted the idea of running the government like a business to the furthest possible extent.

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LAWMAKERS REVERSE COURSE ON PLANNED NU CUTS DUE TO FEDERAL DOLLARS LOST

LINCOLN- The Legislature’s budget-writing Appropriations Committee indicated it will give the University of Nebraska a small bump in state aid after initially considering a 2% cut to the higher education system. On Tuesday, the committee discussed increasing NU’s state appropriations by 1.25% for the 2025-26 fiscal year, boosting state support for the university by $8.7 million next year to roughly $708 million total.

During an executive session open to the media, committee members said deep cuts to NU’s federal funding had led them to reverse course on Gov. Jim Pillen’s recommendation to cut $14.3 million from the university’s budget next year. However, the nine-member committee ultimately postponed a vote to set NU’s biennial budget in order to gather more information about the details of an agreement struck between Pillen and NU administrators.

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MEASURE TO LET NEBRASKANS VOTE ON LEGALIZING ONLINE SPORTS BETTING IN 2026 ADVANCES FROM COMMITTEE

LINCOLN- The Nebraska Legislature is likely to debate whether to let voters weigh in on whether to legalize mobile sports betting next year after a legislative committee advanced the proposal. Legislative Resolution 20CA, from State Sen. Eliot Bostar of Lincoln, seeks to allow authorized gaming operators at licensed racetracks in the state to offer online sports betting. Bettors would need to be in Nebraska at the time the wager is placed, and revenue would be directed toward property tax relief. Bostar has estimated $32 million in annual tax revenue.

The General Affairs Committee voted 6-2 to advance Bostar’s resolution, with many telling the Nebraska Examiner they did so to be “proactive” and put lawmakers in the driver’s seat. Opponents argued the Legislature shouldn’t do the “bidding” of gambling lobbyists and that LR 20CA and proposals like it are a “direct threat” to Nebraska families.

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COMMITTEE ADVANCES BILL WITH 57% SALARY HIKES FOR CONSTITUTIONAL OFFICERS, EXCEPT GOVERNOR

LINCOLN- A legislative committee has narrowly advanced a bill that would provide all Nebraska constitutional officers, except the governor, a roughly 57% salary raise effective in 2027. Legislative Bill 345, introduced by the Government, Military and Veterans Affairs Committee, includes no specific dollar amounts as introduced. However, the committee unanimously adopted an amendment to the bill, advanced in a 5-1 vote, offering the raises effective Jan. 7, 2027, if passed by the full Legislature and signed into law by the governor.

The changes would affect the following salaries:

• Attorney general, from $95,000 to $149,000.

• Secretary of state, from $85,000 to $133,000.

• Auditor of public accounts, from $85,000 to $133,000.

• State treasurer, from $85,000 to $133,000.

• Lieutenant governor, from $75,000 to $118,000.

• Five members of the Public Service Commission, from $75,000 to $118,000 each.

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MEDICAL CANNABIS BILL AWAITS AMENDMENT AS POSSIBLE GREEN LIGHT TO FULL LEGISLATURE

LINCOLN- The legislative committee mulling how to help implement Nebraska’s voter-led medical cannabis laws awaits an amendment before lawmakers vote on whether to advance the bill. Legislative Bill 677, from State Sen. Ben Hansen of Blair, seeks to help carry out the overwhelming voter approval to legalize and regulate medical cannabis in the state last fall. His bill would create a regulatory structure for licensing and detail how patients or caregivers could become registered to obtain up to 5 ounces of physician-recommended cannabis at one time.

State Sen. Rick Holdcroft of Bellevue, chair of the Legislature’s General Affairs Committee, said last week that he and seven other committee members were awaiting a final amendment that could help the currently deadlocked committee decide whether to advance the bill. Sen. Hansen has said one key change in his amendment would be tracking medical cannabis through the state’s prescription drug monitoring program, similar to the process for opioids. At least nine states use a local prescription drug monitoring program to carry out local medicinal cannabis laws.

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FAMILY URGES LEGISLATURE TO PRESERVE DETAILED READING, DYSLEXIA DATA IN SCHOOLS

LINCOLN- A legislative bill seeking to “clean up” and “simplify” reports in the Nebraska Department of Education received pushback to not weaken reporting on dyslexia and reading. Legislative Bill 671, by State Sen. Dave Murman of Glenvil on behalf of the Education Department, intends to streamline and consolidate existing reports on option enrollment (to collect both accepted and denied applications) and reading deficiencies, including dyslexia (to remove some specific data requirements).

The bill also would eliminate an intended “high-need” retention grant of $5,000 for teachers who become qualified to teach dual credit K-12 courses. Brian Halstead, deputy commissioner for the Education Department, described LB 671 as the usual “clean up” or “technical amendment” bill repealing outdated laws.

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BILL TO PLUG 'MISSING YEAR' OF PROPERTY TAX RELIEF FOR SCHOOLS ON PAUSE FOR NOW

LINCOLN- The effort to plug a “hole” left behind from Nebraska’s 2024 special session on property taxes — a “missing year” of tax relief — will likely not move forward this year. State Sen. Brian Hardin of Gering, the sponsor of Legislative Bill 81, confirmed the status of his bill this week. If passed, LB 81 seeks to extend the previous refundable income tax credit for school property taxes paid the previous year for one more year. 

That program ended with the passage of a bill during the special session that ended in August. LB 81’s goal is to capture relief for the roughly 85% of Nebraska taxpayers who pay property taxes in arrears, such as property taxes assessed in December 2023 but paid throughout 2024. Hardin said State Sen. Brad von Gillern of the Elkhorn area, chair of the Revenue Committee, has opted to keep LB 81 in committee and not “exec” on it, the step toward voting whether to advance the bill.

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HOUSING ADVOCATES CONVERGE AT STATE CAPITOL, HEAR GRIM UPDATE ON AFFORDABLE HOUSING EFFORTS

LINCOLN- Habitat for Humanity of Omaha calls it the “equity promise.” It’s new, and essentially a “pay-it-forward” pact in which the nonprofit’s homebuyer clients who receive downpayment and other assistance agree to certain resale restrictions designed to keep a house affordable for generations to come. A problem Habitat saw in crafting the promise last year, however, was that property taxes owed by the homeowner could be thrown out of whack. 

Enter 2024 legislation pushed by State Sen. Eliot Bostar of Lincoln, which is now law and allows such sales-restricted houses a property tax break via a special method that “stabilizes” values in recognition of limited marketability. “It’s a huge, huge deal for the people it fits,” said Amanda Brewer, CEO of Omaha Habitat. “This is ensuring that there are affordable places where people can own a home in Omaha for the next 50 years.”

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BILL ALLOWING LAWSUITS AFTER CHILD SEX ASSAULTS AT SCHOOL COULD BE NARROWED

LINCOLN- The ongoing legislative fight to allow lawsuits against Nebraska schools for alleged negligence in cases of child sexual assault faces a tough road in 2025, as indicated by a Wednesday hearing. Legislative Bill 156, by State Sen. Danielle Conrad of Lincoln, was the result of months of work to find “the most narrow approach possible” to revive a successful measure that passed 28-17 on the last day of the 2024 legislative session. Gov. Jim Pillen vetoed the bill after lawmakers had adjourned, arguing the measure was too broad and would unfairly burden taxpayers. Lawmakers had no opportunity to respond.

Conrad said LB 156, and a second proposal that mirrors the 2024 bill, represent a “promise” to a Lincoln family to keep fighting for the issue. The issue revolves around “sovereign immunity” and tort claims, or the idea that the government should be insulated from certain lawsuits and liabilities, in effect guarding taxpayer dollars. Pillen said he vetoed the measure, stating it would “substantially erode” decades-old sovereign immunity protections and was too broad.

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INCOME TAX CREDITS AVAILBLE FOR NEBRASKA COMMUNITY COLLEGES' PROPERTY TAXES, MUST BE REQUESTED

LINCOLN — Tax credits to offset property taxes owed to local K-12 school districts are now automatically applied. However, Nebraskans still need to file for income tax credits for community colleges for additional relief each year.

State lawmakers opted to “front-load” the tax credits for property taxes paid to K-12 schools in August, beginning with tax statements that went out in December, lowering property tax obligations. But Nebraskans seeking similar relief on property taxes paid last year to community colleges — before the state largely took over funding them — still need to take the extra step of requesting a refund via their tax returns by April 15. 

This includes the last round of general fund community college property taxes, as well as capital improvements or bonds assessed in December 2023 that most taxpayers paid throughout 2024. 

Under current law, the income tax credits for property taxes paid to community colleges are set to be available each year, but must be filed for one year after payment.

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PILLEN APPOINTS 'NEBRASKA WATER QUALITY, QUANTITY TASK FORCE’ AS HE EYES AGENCY MERGER

LINCOLN — Nebraska Gov. Jim Pillen has officially appointed a new “Water Quality and Quantity Task Force” as he seeks to merge two state agencies that oversee water resources.

Pillen’s office announced the initial appointment of seven members to the task force and a first meeting of the group earlier in the day, according to a news release Wednesday evening. The first meeting was not open to the public or announced ahead of time. The governor’s office is still working out whether some future meetings will be public.

In the coming weeks, Pillen has promised to appoint more members and is eyeing a group of about 20 to 25 people who will focus on water quality and quantity but also education. Pillen promised to create the group when he testified on Legislative Bill 317 last month, which was introduced at his request. That bill seeks to fold the Nebraska Department of Natural Resources into the Nebraska Department of Environment and Energy.

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U.S. REP. DON BACON, IN TELE-TOWN HALL, SAYS HOUSE GOP, DOGE NOT THREATS TO SOCIAL PROGRAMS

LINCOLN — U.S. Rep. Don Bacon, R-Neb., reassured his constituents Tuesday that Elon Musk’s Department of Government Efficiency and the House GOP budget are not threats to the stability of the social programs they rely on or the federal agencies that provide benefits like Social Security and Medicaid.

Bacon also said he and a bipartisan group of House lawmakers are prepared to push back against Trump administration efforts to privatize key government functions such as the U.S. Postal Service. He said he would press DOGE and the administration to be more thoughtful in cutting government spending. 

Bacon, a retired Air Force brigadier general, also called on President Donald Trump and his national security team to take accountability for accidentally sharing war plans with a journalist using a consumer-grade cell phone app, Signal.

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BILL MOVES FORWARD, BUT WITH RESISTANCE, TO EXPAND BOUNDARIES FOR NORTH OMAHA BUSINESS PARK

LINCOLN- A bill aimed at enlarging the area where a long-awaited North Omaha business park could be developed advanced Tuesday to its final reading in the Nebraska Legislature. However, Legislative Bill 290, introduced by State Sen. Terrell McKinney of North Omaha, faced continued resistance led by State Sen. Bob Andersen of Sarpy County.

McKinney told the lawmaking body that he was asking for flexibility on the boundaries because there are problems with the top two locations identified by the development team awarded the $90 million in state funds to prepare the industrial site. McKinney’s bill would drop a requirement that the park be located within two miles of a major airport, instead allowing it to be within the broader boundaries of the Omaha Inland Port Authority.

McKinney also chairs the board that oversees the Port Authority. Its jurisdiction, members said, is roughly 3,000 acres, although not all of that is buildable property. The $90 million for a business park was part of the Economic Recovery Act approved by the Legislature in 2022 and updated in 2023. The act, which included other elements, was championed by McKinney and then-Sen. Justin Wayne of Omaha.

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LAWMAKER WANTS TO RESHAPE HIGHER ED WITH DEI, TENURE BANS

LINCOLN- Several University of Nebraska-Lincoln and University of Nebraska at Omaha students expressed concerns Monday about a pair of bills that aim to reshape higher education in the state. “Our university system should be something we invest in,” said UNL student Carter Grier, representing the Association of Students of the University of Nebraska. “Not something we undermine.”

College students, faculty, and some university officials testified against Legislative Bills 551 and 552 during an afternoon hearing of the Education Committee. The proposed legislation, filed by State Sen. Loren Lippincott of Central City, would ban diversity, equity, and inclusion offices (LB 552) and dismantle tenure for faculty members (LB 551). Tenure provides a layer of protection for college faculty members from being dismissed and is often seen as a safeguard of academic freedom.

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LINCOLN SENATORS CLASH OVER SCHOOL RETIREMENT BILL, AS SCHOOL LEADERS WEIGH IN

LINCOLN- Two Lincoln state senators clashed Friday at a hearing over a governor-backed priority to reconsider what to do with Nebraska retirement plans once they are fully funded, starting with schools. The proposal in question, Legislative Bill 645 by State Sen. Beau Ballard of Lincoln, seeks to lower annual contribution rates to the statewide school retirement plan for eligible teachers and school employees, excluding those in the Omaha Public Schools, who have a separate retirement plan.

The initial bill, introduced at Gov. Jim Pillen’s request, had received broad condemnation from the Nebraska State Education Association and teachers statewide before the latest amendment that shifted the NSEA to neutral because it would lower employee payroll deductions, increasing take-home pay. State Sen. Danielle Conrad of Lincoln, the current Legislature’s longest-serving lawmaker in her 11th year, repeatedly asked Ballard if lawmakers should pause given “great risk and significant economic volatility.”

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