Home Local News NEBRASKA BUDGET SHORTFALL NOT AS BAD AS PREDICTED

NEBRASKA BUDGET SHORTFALL NOT AS BAD AS PREDICTED

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Nebraska’s state revenue shortfall isn’t quite as severe as previously thought, but lawmakers will still face a tight budget when they reconvene for a new session in January.

New estimates released Thursday show that lawmakers will have to fix a projected $95.1 million shortfall in their upcoming two-year budget.

Earlier estimates pegged the shortfall at roughly $232.6 million.
The state is projected to collect nearly $10 billion during that period.

Legislative Fiscal Office Director Tom Bergquist says the change was largely driven by the formulas that determine K-12 school aid and federal Medicaid funding.

New calculations from both formulas reduced the amount of money the state will have to contribute for schools and Medicaid recipients.