SENATORS BACK INCREASED OVERSIGHT ON NO-BID STATE CONTRACTS

LINCOLN - Lawmakers are on the cusp of passing a bill requiring state offices to turn over no-bid contracts to the State Auditor's office. On Thursday, the Legislature overwhelmingly backed an amendment from Sen. Bob Andersen of La Vista requiring any sole-source or emergency contract to be turned over to the auditor within three days of its approval.

State officials or agencies would also be required to provide the auditor's office with the justification for why the contract was sought outside of the normal bidding process, Andersen said.  Andersen's amendment attaches a bill (LB997) he introduced this year to another bill (LB1048) from Speaker John Arch that was ready to move from the second to the third of three rounds of debate late in the 60-day session.

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BUDGET BILLS PASS WITH WORK STILL NEEDED TO FILL PROJECTED DEFICIT

LINCOLN — Lawmakers passed the final adjustments to Nebraska’s two-year budget Wednesday, with several revenue-raising bills passing later that morning that will help fill the state’s projected deficit. The Nebraska Legislature passed Legislative Bills 1071 and 1072 on separate 35-13 votes.

Both bills now go to Gov. Jim Pillen’s desk to be considered for line-item vetoes before being finalized. Pillen congratulated lawmakers Wednesday for passing the budget, saying the overall package “reflects incredible progress for common sense fiscal conservatism.”

 Combined, both budget bills include a collection of cuts, changes and cash transfers expected to bring the deficit down to roughly $38 million, with several revenue-generating bills passing shortly after that lawmakers have said they hope to use to close the gap.

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"TIME IS NOT OUR FRIEND"; SENATOR BREAK BEFORE FINAL WEEK OF THE SESSION

LINCOLN - Senators have a lot to do and not much time to do it before the end of the 60-day session arrives likely on Friday, April 10th. Speaker John Arch said time — or the lack thereof — will dictate which bills come to the floor for debate by the full 49-member body in the remaining days of the session.

"Time is not our friend at this point," Arch told senators during a floor announcement on Monday outlining the remainder of the session. Arch, who as speaker sets the daily agenda, said his job is "a delicate balancing act" of ensuring bills that have already started to move get across the finish line while considering other bills that may be able to pass this year.

Arch said if Pillen's office communicates that no vetoes are planned, the Legislature could adjourn before Day 60. That decision will be made next week, he said.

Agenda for the final week: 

Monday

• Recess Day, Legislature not in session

Tuesday

• Select File. 

• Last day for Governor Pillen to return (by midnight) any budget bill vetoes

Wednesday

• Select File (final day for bills to move to Final Reading)

• Final Reading 

Thursday

• Layover day for bills advanced to final reading on Wednesday

• Final Reading & Rules Debate

Friday

• Final Reading

• Possible adjournment Sine Die 

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DISABILITY PANEL URGES PAUSE ON NEW MEDICAID ASSESSMENT TOOL

LINCOLN - The Nebraska Department of Health and Human Services adopted a new tool last year to assess the needs of people with developmental disabilities seeking a Medicaid waiver allowing them to remain in their homes. In July, the state began using interRAI, which it said could be deployed for multiple purposes to cut down on administrative costs and reduce the number of assessments for people who receive Medicaid funding.

The comprehensive assessment accounts for an individual’s medical history, lifestyle, existing needs and supports, producing a number called a case-mix index that tells the state which of five funding tiers the individual requires for care. But the rollout of interRAI has resulted in a “significant redistribution” of funding tiers in its first few months of use, according to a committee that advises the state on issues facing people with disabilities.

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MORRILL FIRE, NEBRASKA'S LARGEST EVER WILDFIRE, NOW FULLY CONTAINED

VALENTINE - The largest wildfire in Nebraska’s history is now fully contained.The 642,029-acre Morrill Fire in the Nebraska Panhandle reached 100% containment Tuesday night — nearly two weeks after that fire and three other wildfires in the state broke out on March 12. The Morrill Fire is the second fire that has been fully contained. Earlier this week, the more than 17,000-acre Anderson Bridge Fire southwest of Valentine in Cherry County reached full containment.

The state’s second-largest wildfire, the 129,103-acre Cottonwood Fire southeast of North Platte in Lincoln County, is 98% contained. The 35,892-acre Road 203 fire covering the Nebraska National Forest in Thomas County is 95% contained.

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LEGISLATURE ADVANCES COURT FEE INCREASES, OTHER REFORMS IN JUDICIARY COMMITTEE PACKAGE

LINCOLN - A package bill containing a slew of criminal and civil justice reforms — including an increase in civil court case filing fees — won first-round approval at the Legislature on Wednesday. The Judiciary Committee bill (LB935), which bundled eight different measures into a single piece of legislation, sailed through on a 35-4 vote after overcoming choppy waters early in the debate.

The fee increase, introduced as LB1228 by Sen. Rick Holdcroft of Bellevue, assesses a state docket fee for all civil causes of action or traffic misdemeanors or infractions ranging between $16 to $45. It also charges a $10 fee that will be used to create a Case Management Systems Software Cash Fund.

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FIRST ROUND OF APPROVAL GIVEN FOR AG DATA PRIVACY MEASURE

LINCOLN - The Legislature took up a proposal (LB525) introduced by Sen. Mike Jacobson for Gov. Jim Pillen, aimed at protecting data collected by farmers or their equipment. The data include subjects like soil conditions, weather or crop yields. Jacobson said the proposal is needed to respond to the changing landscape of agriculture. And he said he doesn’t want ag equipment manufacturers to profit by reselling farmers’ data.

Jacobson also agreed to use his bill as a vehicle for a proposal (LB1185) by Sen. Eliot Bostar to regulate conversational artificial intelligence. Bostar said his proposal aims to create rules for responsible use of the technology.

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GOVERNOR PRIORITY ON READING NARROWLY ADVANCES TO SECOND ROUND OF CONSIDERATION

LINCOLN — State lawmakers narrowly gave first-round approval Thursday to add more support for students reading below grade level by the end of third grade, up to repeating the grade once.

Legislative Bill 1050, a priority of Gov. Jim Pillen, led by State Sen. Murman, advanced 26-10. It needed at least 25 votes. As originally introduced, it would mirror the so-called “Mississippi Miracle” intended to boost academic performance and require students to be held back in third grade if they were reading below grade level based on a new uniform statewide assessment. State Sen. Margo Juarez, a former Omaha Public Schools school board member, said the bill needed more time and worried retention would increase mental health challenges or the risk of a student dropping out. 

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UNION PACIFIC FOCUSED TAX INCENTIVE BILL ADVANCES

LINCOLN — Nebraska lawmakers debated roughly six hours Tuesday before handily advancing a tax incentives package aimed largely at keeping and growing a Union Pacific Railroad workforce after a planned merger with a railroad giant from another state. LB1165, by Sen. Brad von Gillern on behalf of Gov. Pillen, now moves to a second phase in the lawmaking process. The vote to advance was 38-3, with four legislators present but choosing not to vote.

Several senators said they see the benefits of the bill extending beyond Omaha-based U.P., which is in the process of absorbing another Fortune 500 company, Georgia-based Norfolk Southern.

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BILL ADDRESSING FOREIGN-TRAINED DOCTORS MOVES FORWARD

LINCOLN - A proposal to make it easier for foreign-trained doctors to practice in Nebraska, and another one to protect data collected by farming operations, are advancing in the Legislature. Sen. Merv Riepe, sponsor of the physicians' bill (LB1212), wants to make it easier for foreign-trained doctors to practice in the state. He said current requirements make that difficult in Nebraska.

“Internationally-trained physicians already provide much of the primary care in rural and underserved areas nationally," he said. 

Riepe’s legislation would create new ways for foreign-trained physicians to be licensed to practice in the state, by creating so-called provisional and transitional licenses that could be used for up to six years before getting an unrestricted license.

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PROTECTIONS FOR DOCTORS WHO RECOMMEND MEDICAL MARIJUANA ADVANCES

LINCOLN — Health care practitioners who want to recommend medical cannabis to Nebraska patients are one step closer to having legal protections for writing the recommendation in the face of some state leaders’ opposition. The Legislature voted 30-7 to advance LB933, from Sen. John Cavanaugh. It would protect medical providers from criminal, civil or disciplinary penalties “solely” for issuing a written recommendation or stating that in their professional judgment, the potential benefits of cannabis outweigh potential harms.

“It would create a step forward and hope and an opportunity for these families who have worked so hard, who have waited so long and would like to be able to have that conversation with their doctors and then potentially get some relief,” Cavanaugh said during debate.

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SENATORS ADVANCE BUDGET BILLS TO FINAL DEBATE FOLLOWING WEEK OF GRIDLOCK

LINCOLN — After two failed attempts at advancing Nebraska’s main budget bill, state lawmakers moved the budget forward Thursday with little fanfare or fuss. Lawmakers advanced Legislative Bill 1071 in a 34-7 vote, moving the bill to its third and final round of floor debate. The state’s second budget bill, LB 1072, was also cleaned up and sent to its final round Thursday, setting the stage for Nebraska’s budget to be sent to Gov. Pillen’s desk next week.

LB 1071 failed to secure the 33 votes needed to overcome a filibuster twice before Thursday. The first attempt at advancing the bill failed 19-10, and the second failed 27-15. Thursday took a different tone toward the budget, as LB 1071 saw little debate and no opposition. Though the bill received more than 33 votes toward advancement, it was the first time this session that a cloture motion wasn’t needed to advance the bill.

It sharply contrasted the tense discussions that made up the budget debates to this point. Thursday’s debate was mostly quiet and sometimes celebratory. It included a standing ovation for Appropriations Committee chair State Sen. Rob Clements of Elmwood and Speaker John Arch of La Vista for their work.

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SENATORS ADVANCE CASH FUND BILL, REDUCING DEFICIT TO $42 MILLION

LINCOLN -  In a 35-12 vote Thursday, the Legislature successfully advanced the cash funds transfer budget bill, reducing the budget deficit by $83.2 million, after failing hours earlier to advance the main budget bill. 

During the second round of debate on the cash funds transfer bill (LB1072), lawmakers approved an amendment put forth by Appropriations Committee chair Sen. Robert Clements of Elmwood, reducing the remaining $125 million deficit to roughly $41.8 million through new or amended cash fund transfers. Clements' amendment reflects some of the work done by the committee between first and second rounds of debate on the bill.  

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HOLLAND CHILDREN'S INSTITUTE POLL SHOWS MOST THINK STATE IS 'ON THE WRONG TRACK'

LINCOLN — About two-thirds of Nebraskans believe the state is on the “wrong track,” according to a poll commissioned by the Omaha-based Holland Children’s Institute. That’s the highest level since the pandemic era’s 2020 poll in the institute’s ongoing series of polls.

About 500 registered voters across the state were surveyed March 4-6. A telling response for Holland officials this year followed the question: Generally speaking, do you think things in Nebraska are headed in the right direction, or do you feel things have gotten off on the wrong track? About 34% answered, “right direction.”

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STATE'S MEDICAL CANNABIS COMMISSION AWAITS PASSAGE OF BUDGET, REGULATORY BILL

LINCOLN — The voter-approved Nebraska Medical Cannabis Commission is banking on the Legislature to pass the state’s first-ever bill related to a medical cannabis program as a key step toward a regulated, functional system.

LB 1071 would give the Nebraska Liquor Control Commission, which houses the Medical Cannabis Commission, an additional $1.38 million this fiscal year ending June 30 and $1 million for the next fiscal year. LB 1235, the regulatory bill for the commission, advanced for the first time in early March,  Nebraskans for Medical Marijuana celebrated, noting the shift by an elected body that had “stood in the way” of a decade of fight from patients, caregivers and advocates. 

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BILL LINKED TO MASSIVE GOOGLE DATA CENTER PROPOSAL MOVES FORWARD

LINCOLN — Nebraska lawmakers gave first-round approval to a bill backed by Gov. Jim Pillen that may lay the foundation for a massive data center in southeastern Nebraska powered by a new natural gas power plant.

LB1261 would allow private companies to build large-scale power plants and partner with Nebraska's public power system. This would supply major power users and possibly supplement the public power grid. Pillen pushed the proposal, and State Sen. Barry DeKay of Niobrara is carrying it in the Legislature. DeKay's introduction of the bill did not mention a specific project. He instead described growing power needs that features like AI and data centers help drive.

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BRAND BILL AMENDMENT FACES SHARP OPPOSITION AT LEGISLATIVE HEARING

LINCOLN — While Nebraska state lawmakers are trying to balance the budget, Niobrara State Sen. Barry DeKay held an Agriculture Committee hearing on an amendment to his LB1187 that would change the makeup of the state’s Brand Committee.

The latest amendment from DeKay, AM2503, would replace all of his original bill, LB1187. If the amendment is approved, it would keep the adjustments to the inspection fees for the brand committee, but it would increase the number of people on the Brand Committee from five to seven members. It also would change the makeup of the committee to make sure it includes three people active in the cattle industry, one from each Brand Committee district. And also, “two owners or operators of a cattle feeding operation…one owner or operator of a livestock auction market that primarily sells cattle,” plus one “purebred cattle breeder.”

Every testifier opposed the amendment Thursday, as rural areas in the state deal with wildfires. No one showed up to support the change. 

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SECOND KEARNEY YRTC STAFFER ARRESTED ON ALLEGATIONS OF SEXUAL ABUSE

KEARNEY - A second employee is facing criminal charges in connection with sexual abuse allegations at the state-run youth center in Kearney. Katrina Fewkes, 44, was arrested Tuesday after being charged with second-degree sexual abuse of a protected individual, a felony that carries a maximum of three years in prison and $10,000 fine.

Her arrest came nearly five months after the state Department of Health and Human Services, which runs four youth centers, internally concluded there was no systemic problem at Kearney. A retired juvenile court judge called it “shocking” that DHHS hadn’t acknowledged a systemic problem, while a current judge questioned the department’s conclusion. 

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INSIDE THE BUDGET: WHY THE STATE FACES A DEFICIT AFTER A $1 BILLION SURPLUS

LINCOLN — Within the last two years, the outlook of Nebraska’s financial health has taken a U-turn from having a near $2 billion surplus to now facing a structural deficit that could last years. Lawmakers are in the midst of debating proposed budget adjustments to fill a projected deficit that grew to $646 million. Last year, the Legislature formed the two-year budget and filled a separate deficit.

Combining both years, lawmakers will have dealt with a total shortfall of well over $1 billion this budget cycle, using mostly cash fund sweeps and spending cuts.

Budget observers in Nebraska identified a pair of major contributors to the problem — increased spending on property tax relief eating state dollars and income tax cuts reducing the revenues the state collects.

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WILDFIRES: PILLEN, OFFICIALS GIVE UPDATE ON FIREFIGHTING EFFORT IN STATE HISTORY

OGALLALA — Nebraska is still dealing with the largest wildfire in the state’s history and a handful of other sizable fires burning at the same time. More than 700,000 acres have burned so far across the four major active fires around the state, according to disaster response officials. The Morrill Fire, which spans Keith, Arthur, Grant, Garden and Morrill Counties in western and west-central Nebraska, is by itself the largest wildfire in state history, covering 572,804 acres. The Morrill fire was 18% contained as of late Monday.

“There’s no question, Mother Nature’s throwing a doozy at us, but I’m betting the farm … we win, and we win big time,” Nebraska Gov. Jim Pillen said.

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