WEDNESDAY: Wind energy Tight state budget may mean fewer new bills
LINCOLN — In a different year, Speaker of the Legislature Mike Flood would push for money to tear down the crumbling, pigeon-infested buildings on the Norfolk Regional Center campus.
In a different year, State Sen. Abbie Cornett of Bellevue would continue her quest to make military retirement pay exempt from the Nebraska income tax.
Neither senator plans to introduce such ideas in the 2010 legislative session, which will open Jan. 6.
Not when there is virtually no wiggle room in the two-year budget and when lawmakers will be lucky to go home in April without having to make budget cuts.
“It's going to be a tight year,” Cornett said. “I had a number of bills that I was looking at that I'm not introducing because I'm not comfortable introducing something with a fiscal note,” which means that the legislation would cost money.
She was among several senators who said they will have their eyes on the bottom line as they determine the number and kind of bills they offer.
As a result, the Legislature will probably have fewer proposals to consider.
Joanne Pepperl, the state revisor of statutes, said bill-drafting requests were down more than 10 percent through Monday.
“I think everybody understands that there's no money,” said Sen. Rich Pahls of Omaha. “If you don't have any money, it does cut down on the ideas people do come up with.”
Lawmakers wrapped up a special session in November in which they closed a $334 million gap in the state's two-year, $6.9 billion budget.
Another round of budget-cutting could be required after the state forecasting board meets at the end of February. Lawmakers use the board's projections of state revenue in setting the budget.
Analysts predict a slow economic recovery and say state governments will face budget difficulties even after the overall economy starts to rebound.
The forecasting board could lower revenue projections if its members were to decide that the outlook was worse than they anticipated when they last met in October.
Nebraska's financial situation already has cut into the number of budget requests that state agencies submitted to Gov. Dave Heineman.
Only nine of 77 agencies put in for budget changes, and most had no impact on the state's bottom line. Added together, the changes actually would save about $11 million.
Lawmakers could pay for new or expanded programs by shifting funds from an existing program, tapping the state's cash reserve or proposing new or increased taxes.
Finding 25 votes for any of those three options would be an uphill struggle, with tax increases the steepest hill to overcome.
“Raising taxes is your last resort option,” Cornett said. “I am not supporting any tax increases.”
Despite the budget concerns, Flood anticipates no shortage of issues and debate in the Legislature. Most of the biggest controversies each year involve little or no money.
It's too early to tell whether the session can be cut short, as it was this year, Flood said.
“I anticipate we'll have plenty to do. We'll leave when our work's done or after 60 (legislative) days, whichever comes sooner.”
Contact the writer:
402-473-9583, martha.stoddard@owh.com
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