With Day 26 of Nebraska’s legislative session behind us, we are moving closer to the halfway point of this 60-day session. This week will further clarify the remaining floor agenda, with deadlines taking place for selection of senator and committee priority bills and Speaker priority requests. At some point soon, bills not designated as a priority or included in a priority package will be unlikely to make it to the finish line this year.
The Appropriations Committee began public hearings earlier this month on Governor Pillen’s preliminary budget recommendations. In January, Governor Pillen rolled out a mid-biennium budget proposal for the 2025–27 cycle addressing a projected $471 million budget shortfall. The Governor’s plan includes $495 million in spending cuts across state government, including deep reductions in the Department of Health and Human Services to help close gaps. He’s also proposing cuts to some special education reimbursements and reductions in certain cash fund allocations, while directing small increases to things like school funding formula aid and workforce development programs.
The Governor’s budget approach has drawn sharp criticism at recent legislative hearings, with testifiers concerned about the proposed budget’s reliance on sweeping cash funds and transfers to balance the budget, arguing these one-time fixes mask deeper structural issues and could underfund critical programs like health care services and early childhood supports. The budget will continue to be a central focus of negotiations as the session continues.
First Five Nebraska Priority Legislation
FFN has several priority bills this session that have already had committee hearings or are scheduled for hearings soon.
- LB721 (Quick) – Helps intergenerational care facilities, including for-profit facilities serving Medicaid residents, receive grant funding to help cover expansion costs. The Health and Human Services Committee has moved LB721 to General File on a unanimous vote. This bill has been placed on Tuesday’s agenda, and the Legislature may debate it soon. Read FFN’s LB721 Policy Brief | Read FFN’s LB721 hearing testimony
- LB773 (Dungan) – Removes the sunset date from the Prenatal Plus program, extends the program to cover 60 days postpartum and ensures that reporting on the efficacy of the program continues until 2034. The Health and Human Services Committee heard LB773 on February 5, and FFN is working to ensure the bill moves to General File. Read FFN’s LB773 Policy Brief | Read FFN’s LB773 hearing testimony
- LB891 (Hansen) – Addresses several administrative burdens identified by child care providers that impact staffing needs and program viability, including delays in processing federally required fingerprint-based background checks. The Health and Human Services Committee had a January 28 hearing on this bill and FFN is working to ensure it moves to General File. Read FFN’s LB891 Policy Brief | Read FFN’s LB891 hearing testimony
- LB903 (Storer) – Allows case managers to refer families to home visiting services if they have a child under age 2 and helps ensure home visiting programs are able to draw down federal funding to support young families and sustain programs. The Health and Human Services Committee has advanced this bill to General File with a unanimous vote. Committee amendment AM1869 modifies the bill to adjust the age for referral to children under age 3. This bill has been placed on Tuesday’s agenda and the Legislature may debate the bill soon. Read FFN’s LB903 Policy Brief | Read FFN’s LB903 hearing testimony
- LR296 (Hallstrom) – This Resolution encourages Congress and the President to reimburse all family child care homes participating in the Child and Adult Care Food Program at the higher Tier 1 level and provide additional reimbursement for all meals and supplements. This bill has been referred to the Health and Human Services Committee and a hearing is scheduled for February 25.
Legislative Watchlist: Follow the full list of bills we’re tracking on our website.
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