Budget proposal includes 2.3% spending increase

 


The Appropriations Committee advanced its finalized recommendations for the Fiscal Year 2023-2024 and 2024-2025 biennial budget to the full legislature. This proposal calls for an average increase of 2.3% in spending over the next two fiscal years. The main differences between the governor's proposal and the Appropriations Committee proposal are that lawmakers included an additional $80 million to increase both (A) the reimbursement rates for providers of Medicaid services by 3% this year and 2% next year and (B) the budget request of the University of Nebraska System by 2.5%; the latter represents a compromise between Gov. Pillen and NU President Ted Carter. The former would provide additional funding for nursing homes, hospitals and medical clinics to maintain services and raise salaries to keep and attract workers. This money is needed in rural areas to ensure nursing homes, assisted living facilities and hospitals can keep their doors open.

Additional highlights in the budget include final funding for a new $366 million prison as a replacement for the Nebraska State Penitentiary. As a Judiciary Committee member, I had the opportunity to tour the facility earlier this year. The NSP first opened in 1869 with various additions and improvements made throughout the years. Although there are parts of the prison that are in relatively good shape, it is clear to me that the NSP has serious deficiencies.

"re is a lack of dedicated gramming space, blind spots and manually operated doors that place officers at greater risk of attack, and continual infrastructure prob- lems with the HVAC, electrical and water systems. The cost of refurbishing the NSP is getting close to the cost of building a new prison and I believe it would be more appropriate to build a facility that incorporates up-to- date standards for programming, safety and security. The budget is set for debate the first week of May.

The legislature also took up LB 626 on Select File. This bill would adopt the Nebraska Heart- beat Act and restrict abortion

to when a fetal heartbeat is first detected, thereby reducing the current 20-week abortion time window to about six weeks. This bill included exceptions for rape, incest, sexual assault, medical emergencies and in vitro fertilzation or another assisted reproductive technology. An amendment to change from a six-week

ban to a 12-week ban was offered but not considered for a vote. LB 626 was filibustered for four hours until a motion for cloture was filed. The cloture vote to cease debate was unsuccessful, meaning this bill is likely done for the year. As a co-sponsor of LB 626, I was disappointed that it was filibustered and did not advance.

ethanol was also a topic of discussion this week. LB 562, by Sen. Dorn, would require gas stations in the state to offer gasoline blended with up to 15% ethanol from at least 50% of its pumps. The bill contains exemptions for businesses that would need to spend more than $15,000 to make the changes and those who sell low amounts of fuel per year, among other provisions.

The governor would have the authority to grant a waiver in times of E-15 shortages. The director of agriculture would have the authority to grant waivers to individual retail locations if there is incompatible fuel storage and dispensing infrastructure at that

location, excessive cost to modify

the site to be in compliance, or sales of less than 300,000 gallons annually. This bill would help boost Nebraska's agriculture industry, give drivers more choices at the pump, create jobs, reduce the price of gas and keep Nebraska ethanol competitive with other states. Per the Nebraska ethanol Board, ethanol plants like those in Plainview, Atkinson and Jackson, represent a $4.5 billion economic impact in the state and provide direct full-time employment for more than 1,400 Nebraskans. LB 562 was advanced to Select File on a 32-1 vote.

Additionally, the legislature elected Sen. Moser, of Columbus, as chair of the Transportation and Telecommunications Committee in a three-way race to replace Senator Geist, who resigned. I was elected vice chair of the committee by my fellow committee members.

Feel free to call my office any- time at 402-471-2801 or email me at [email protected]. My mailing address is: Senator Barry DeKay, District #40, P.O. Box 94604, Stat Capital, Lincoln, NE 68509.

 

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