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Legislative Update – April 24, 2017
Senator Roy Baker – District 30
Day 70 of the first session of the Unicameral is the day the new state budget for the next two years is presented to the Legislature. Monday morning was day 70. Senator John Stinner, the Chairman of the Appropriations Committee, held a budget briefing for senators and staff. By now Nebraskans know the state is facing a significant reduction in state revenue to the tune of $1 billion. The Appropriations Committee has worked for the last three months to hammer out the details of addressing this shortfall and still ensure the state can meet its financial obligations. The debate will begin this week.
The financial downturn can be largely attributed to revenue growth of just .3% in FY 15-16 and 1.3% in the FY 16-17. These are the third lowest back to back revenue growth years over the past 36 years. Not only was revenue growth low, it also occurred very quickly.
The state is required to have a 3% minimum reserve, basically a savings account. The legislature tends to keep a higher reserve, usually 7%, for instances when the revenue falls short. The Nebraska Economic and Forecast Advisory Board (NEFAB) meets four times per year and runs calculations to determine projected growth or reductions in state revenues. In the summer of 2016 the NEFAB reduced its projections of revenue growth, meaning the projected revenue fell short of expectations. This board will meet again on April 26 and provide new projections. It is important to remember that General Fund revenue growth is cyclic and there are highs and lows. The job of NEFAB is to help predict those highs and lows. The average growth in revenue over the past 35 years is 4.9%. The Board forecast for 2017-18 equated to a 1.3% growth.
The Appropriations Committee average spending growth in the budget package is 1%. The committee prioritized a few funding areas believed to be essential to a solid budget. Increases in state funding were given to priority areas which include: corrections, equalization aid to schools, provider rates for behavior health and developmental disabilities, children’s health insurance fund, and special education to name a few. Areas cut were: aid to Universities and State Colleges, various programs in the Health and Human Services system, Medicaid, aid to local governments, and public health aid, among others.
For a more detailed review of the state budget, go to: http://www.nebraskalegislature.gov/pdf/reports/fiscal/2017proposed.pdf
A major issue that will be debated on Monday is LB 595 introduced by Senator Mike Groene of North Platte. LB 595 would provide for the use of physical force or physical restraint or removal from a classroom in response to student behavior. I believe Senator Groene had good intentions with the bill and is trying to improve it with his amendment. We all want a safe learning environment in our classrooms. State law already gives guidance to teachers, administrators and school boards on the appropriate steps to take when dealing with a student who may pose a risk to themselves, other students, teachers or school property. Existing law allows a teacher or administrator to use physical contact short of corporal punishment to the degree necessary to preserve safety, order and control in the school environment.
There are legal issues created by LB 595. Section 504 of the Rehabilitation Act of 1973 requires accommodations for students with disabilities in accessing educational programs. LB 595 contradicts federal enforcement actions and civil rights with respect to seclusion and restraint of vulnerable children and may be discriminatory on its face.
There are practical concerns as well. The bill would allow a teacher to ban a student from a classroom. However, in small rural school districts there may be only one section of an elementary grade level, or there may be only one section of a particular course in any size of school.
I have an amendment that replaces the bill and reflects a court decision already on the books that allows a teacher to defend oneself and others in the classroom. If this amendment is adopted, I would have no objections to the bill.
To close, I will cover the budget and the proposed tax reductions in more detail in the next newsletter as our debate on these issues unfolds. If you would like to contact me, my phone number is 402-471-2620. My email address is email@example.com. You can find information on bills and access NET television’s livestream of the Legislature at www.nebraskalegislature.gov.