Budget package clears second round

Lawmakers gave second-round approval May 14 to the eight bills comprising the state’s $7.8 billion budget package. The state budget is structured on a two-year basis, with the budget enacted during legislative sessions held in odd-numbered years.

Among the amendments considered on select file was a change to LB195, offered by Omaha Sen. Ernie Chambers, which would increase funding to the Nebraska Commission on Indian Affairs by $18,000 per year in fiscal years 2013-14 and 2014-15.

The commission does important work for Nebraska’s Native peoples, Chambers said, with minimal funding and assistance from the state. Additional funding would help support their mission, he said.

“It will create, in that office, the opportunity to do a bit more than is being done now,” Chambers said.

Lincoln Sen. Bill Avery supported the amendment, saying the commission underwent severe budget cuts during the recent recession and long has been understaffed.

“That agency is run by some of the most competent people in state government,” he said.

The amendment was adopted 36-0. Following adoption of a technical amendment on a 39-0 vote, LB195 advanced to final reading by voice vote.

Lincoln Sen. Colby Coash offered an amendment to LB199, a bill that would make various cash fund transfers. The amendment would incorporate provisions of LB504, originally introduced by Coash, which would expand the commission’s ability to utilize the agency’s Designated Collection Fund.

Coash said the fund was established by the Legislature in 2010 to address alcohol issues near Whiteclay, Nebraska. However, he said, the law was crafted so narrowly that the commission has not been able to utilize the funds.

Under the amendment, a political subdivision would be redefined to mean a city, village or county within a 60-mile radius of an Indian reservation or a tribal government that owns land within the 60-mile radius. Current law defines a political subdivision as a city, village or county within 30 miles of a census designated place.

“Those very narrow parameters assured that only … Whiteclay could apply for those funds,” Coash said. “These limitations on this fund have proven to be too limiting.”

The amendment also would:
• expand grant eligibility to include nonprofit corporations;
• remove the requirement that a political subdivision’s application receive a public hearing;
• add education to the list of items for which a political subdivision may use the funds; and
• allow the commission to use funds directly for economic development, education, health care and law enforcement if no applicants are approved.

Mello said the Appropriations Committee normally opposes changes to the budget package, but that the Coash amendment did not monetarily alter LB199.

“It has no fiscal impact on the budget at all,” he said. “It simply provides flexibility to the Indian Commission.”

Following adoption of the Coash amendment 37-0, senators adopted a technical amendment on a 38-0 vote and advanced the bill to final reading by voice vote.

Fullerton Sen. Annette Dubas offered an amendment to LB194 that would require the Legislative Council to contract for an independent study on whether the state should purchase a plane and, if so, which plane would best fit the state’s needs.

Senators amended the bill on general file to remove funding for the purchase of a 2001 King Air and to require the state Department of Aeronautics to contract for a study of the issue.

Dubas said the Legislature is the best choice to provide oversight for the study because it is the entity responsible for appropriating any funds that would be spent to purchase a plane.

Hoskins Sen. Dave Bloomfield supported the amendment, saying Nebraska has many options that should be explored fully.

“Let’s get the study done, let’s decide whether or not the state needs to own a plane and then let’s follow where the study leads,” he said.

Sen. Scott Price of Bellevue expressed concern about not providing funds in this budget cycle to purchase the plane, saying he felt “hoodwinked.” Price said several senators had thought that funds for the plane could be appropriated now and used later this year based on the results of an independent study.

“I am concerned that we are being told that we have no ability to put dollars towards a program and have that acted on,” he said.

Mello explained that the Legislature cannot, in this circumstance, appropriate funds to a state agency and stipulate at a future date how it may be spent. He said lawmakers must wait until next year to take action on the results of the study.

“That’s the only way you can do this without crossing the separation of powers issue,” Mello said.

The Dubas amendment was adopted 25-0 and the bill advanced by voice vote.

Also advanced to final reading were:
• LB196, which would provide for the $12,000 annual salaries of Nebraska’s 49 state senators;
• LB197, which would fund salaries and benefits for judges and constitutional officers;
• LB198, which would fund capital construction projects and property acquisition;
• LB200, which would provide transfers from the cash reserve; and
• LB536, which would approve claims against the state.