Nebraska lawmakers reached a compromise Thursday that allowed the state’s main budget bill to move forward after weeks of disagreement over school choice scholarships and child care funding. The Nebraska Legislature voted 34 to 7 to advance Legislative Bill 1071 from second-round debate on its third attempt, clearing a key hurdle in the process of finalizing the state budget.
The breakthrough came after senators agreed to remove both the proposed $3.5 million school choice scholarship funding and provisions related to expanding eligibility for child care subsidies. Appropriations Committee Chair Senator Robert Clements of Elmwood introduced the amendment eliminating the two contentious items, which lawmakers described as necessary to secure enough votes to move the bill forward.
The budget measure had previously stalled twice during debate when senators failed to reach the 33 votes required to end discussion, a procedural step known as cloture. Disagreements centered on whether state funds should help families pay for private school tuition and whether to maintain expanded income eligibility for child care assistance.
Under the current law, families earning up to 185 percent of the federal poverty level qualify for child care assistance, but without the proposed changes and funding, eligibility is expected to drop back to 130 percent later this year. Lawmakers also adjusted related funding transfers to help reduce the state’s projected budget shortfall.
State officials say Nebraska began the legislative session facing a deficit that grew to about $646 million, largely due to lower-than-expected tax revenue. Through spending cuts and shifting funds, lawmakers have reduced the remaining deficit to roughly $40 million, with additional revenue proposals still under consideration.
Both major budget bills now move closer to final approval and will be scheduled for a final vote in the coming days before being sent to Governor Jim Pillen for consideration.
Comments