That’s a Wrap
The 105th Legislature, 1st session came to an end much as it started, with plenty of crossed arms and entrenched feet. A lengthy rules debate over the number of votes needed for a filibuster occupied much of the first two months of session before a compromise was finally reached. A “gang of 27” that held up the rules in the early part of session joined back up again at the end to force budget cuts that progressives considered draconian because of their impact on vulnerable people. However, nestled between the periods of deep political polarization, Coalition members had much to cheer and much to breathe sighs of relief over in a session that may be remembered as much for what didn’t happen as what did. Following are just some of the most significant highlights of the session.
Budget and Taxes
Based on ever-worsening revenue shortfalls, budget cuts were inevitable this session. Coalition members worked throughout the session to protect funding for our state’s children and families. In the end, the Governor line-item vetoed an additional $56.5 million out of the budget, aimed at low-income Nebraskans with developmental disabilities and mental health problems, child welfare and probation services. The Legislature couldn’t find the 30 votes needed for an override.
The Omaha World Herald has a piece about how the Governor’s heavy spending in legislative races in 2016 paid off for him in the veto override votes. Keep a watch on continued budget battles as the Governor may call a special session later this year if revenue continues to fall below projections.
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Early Sine Die
In a surprising announcement last week, Speaker Scheer said the legislative session will adjourn Sine Die May 23, rather than June 2 as scheduled. All priority bills will make it to the floor for debate before the Legislature adjourns.
Budget Veto and Revenue Forecast
The Legislature advanced its budget on Final Read last week, but only after some of the body’s most conservative members came close to forcing a government shutdown. The bill needed 33 votes on Final Reading because an emergency clause was necessary to avoid a gap between budget cycles. The Legislature is on watch for vetoes from the Governor. He has already vetoed one item that appropriated $11 million for a new heating and air conditioning system in the Capitol. The Governor says sufficient funding is available to keep the project on schedule. The Lincoln Journal Star reports that the Governor is ready to “slash” the budget, so expect big battles this week.
Revenue numbers continue to come in below projections with April showing a $55.5 million shortfall. But Appropriations Committee members say this poses no immediate problems with the budget package the Legislature just passed.
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The Power of the Purse
Last week served as a preview of the future budget battle for the biennium budget as the state grapples with a $900 million revenue shortfall.
State Senators expressed their grievances last week over the Governor’s deficit budget cuts (cuts he wants to make to the current year budget that was already approved), before ultimately advancing them to Select File (the second round of debate before Final Reading). Senator Bob Krist and others criticized the Governor for withholding appropriations to state agencies. Others also criticized the Governor for not calling the Legislature into a special session to address the deficit cuts.
The Nebraska Constitution gives the Legislature the “power of the purse.” The Legislature was able to make significant changes to the Governor’s proposals, including protection of funds to support people with developmental disabilities and funds to reduce prison overcrowding.
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