Capitol Updates

Thursday, February 20, 2025

Spread the News! NSEA members may click here to sign up and receive our Capitol Update newsletter to provide you with the latest information on education legislation and funding. You may also forward this to the personal email address of your NSEA colleagues and encourage them to sign up. 

NSEA Legislative Dinner, March 26 – Register Now  

Dine with your senator: This year’s NSEA Legislative Dinner will be at the Champions Club in Lincoln on Wednesday, March 26. The reception will begin at 5 p.m., with dinner at 6:15 p.m. There is no cost; mileage is paid. For those traveling more than 120 miles, substitute costs and sleeping rooms will be available if your senator plans to attend. 

Member Registration: www.nsea.org/2025LegisDinner 

What would six weeks of paid FMLA mean for you?

To All NSEA Members: Share Your Story!  

How would six weeks of paid leave make a difference in your life? Whether it’s caring for a loved one, nurturing a new baby, or recovering from an illness, sharing your thoughts about this issue can help make this paid leave a reality. We need to hear from you in preparation for a hearing on LB440 introduced by Sen. Spivey on behalf of the NSEA!  

I’m inviting NSEA members to join me for a Zoom session on Wednesday, February 26, at 6:00 p.m. to share your thoughts and learn about legislation that will provide six weeks of paid leave, ensuring teachers have the support they need for personal and family health matters. 

If you’re interested in participating, please email Kelsey.Foley@nsea.org by Monday, February 24, to receive the Zoom login information. 

I look forward to hearing your stories. Thank you for your continued membership, and I hope to see you on Zoom! – Sincerely, Tim Royers, NSEA President 

Upcoming Private School Voucher Bills: Call to Action

The Nebraska Legislature is set to hear multiple bills next week that would divert public funds to private education, undermining the state’s commitment to fully funding public K-12 schools. If passed, these proposals would have significant negative impacts on public education, further straining resources and exacerbating educational inequities. We urge all NSEA members to submit online comments in opposition to each of these bills to ensure that Nebraska’s public schools remain strong, equitable, and well-funded. 

LB131 – Expansion of State College Savings Plan for Private K-12 Tuition 

Hearing Date: Thursday, February 27 - Introduced by: Sen. Sorrentino 

LB131 seeks to expand the Nebraska Educational Savings Plan Trust to allow funds to be used for private K-12 tuition. While framed as a way to help families afford private education, this bill primarily benefits wealthier families who can afford to contribute to such savings plans and take advantage of tax incentives. This shift would drain resources away from public schools, worsening funding disparities and limiting educational opportunities for students who rely on Nebraska’s public education system. 

LB427 – Educational Savings Accounts (ESAs) for K-12 Expenses 

Hearing Date: Tuesday, February 25 - Introduced by: Sen. Andersen 

LB427 proposes the creation of educational savings accounts (ESAs) for K-12 students, diverting public education funds into private accounts with minimal oversight. Each account would receive an annual $1,500 payment to cover tuition, textbooks, and other expenses. This bill raises serious concerns about accountability, as there are no strict regulations governing how ESA funds are spent. Public tax dollars should be invested in transparent and accountable public schools, not private accounts with loose spending restrictions. 

LB557 – Option Enrollment Vouchers 

Hearing Date: Tuesday, February 25 - Introduced by: Sen. Armendariz 

LB557 proposes that if a student's option enrollment application is denied by a public school district, the parent or legal guardian could receive a $2,500 educational support payment from the Nebraska Department of Education. This would allow private school parents to flood school districts with option enrollment requests, overwhelming district capacity with the intent of securing a denial and thus receiving a publicly funded voucher for private school tuition. This tactic would divert state resources away from public schools, creating an unfair financial burden and further undermining Nebraska’s public education system. 

LB624 – Revival of State-Funded Voucher Program 

Hearing Date: Monday, February 24 - Introduced by: Sen. Dover 

LB624 attempts to revive the repealed LB1402 (2024) voucher program by redefining its funding as a legislative appropriation, effectively bypassing the will of voters who overwhelmingly rejected state-funded vouchers in November. This bill would appropriate $10 million from the General Fund for private school scholarships, reducing state funds available for public education. By redirecting taxpayer money to private institutions, this bill disregards the democratic decision of Nebraska’s voters and undermines the principle of public education for all. 

LB633 – Option Enrollment Tuition Accounts 

Hearing Date: Tuesday, February 25 - Introduced by: Sen. Hansen 

LB633 provides state-funded scholarships for students whose applications for public school option enrollment were denied. Administered by the State Board of Education, the program deposits funds into scholarship accounts, covering private school tuition and other qualified education expenses. The scholarship amount equals the previous year’s per-pupil cost in public schools, with additional funding for students with disabilities. Parents must agree not to enroll their child in public school and to use the funds only for approved expenses. Funds are revoked if the student re-enrolls in public school, moves out of state, or graduates. The bill does not grant the state additional control over private schools accepting scholarship students. 

Take Action: Submit Your Opposition Comments 

Each of these bills threatens to divert public funds away from Nebraska’s public K-12 schools, increasing inequities and reducing resources for students who depend on public education. We urge all NSEA members to submit online comments in opposition to these bills before their scheduled hearings. Your voice is essential in protecting the integrity and future of public education in Nebraska. To submit your opposition comments, visit the Nebraska Legislature’s website and find the hearing schedule for each bill. Stand with public education and make your voice heard! Together, we can ensure that Nebraska’s public schools remain strong, well-funded, and accessible to all. 

AG Hilgers Assures NSEA: Section 504 Not at Risk

Recently, NSEA members have expressed concerns about a lawsuit filed this past fall, Texas v. Becerra. Nebraska is currently one of 17 states involved in the suit. While the primary focus is on challenging rules issued by the Biden administration, the lawsuit also raises questions about the constitutionality of Section 504 of the Rehabilitation Act. Thousands of students across the state rely on 504 plans, making the prospect of Section 504 being deemed unconstitutional concerning. 

To address these concerns, NSEA President Tim Royers and NSEA Director of Government Relations Jason Hayes, along with representatives from the school boards and administrators’ associations, met with Nebraska Attorney General Hilgers to discuss the issue.  

Attorney General Hilgers made several commitments to us. He explained that the complaint is not targeting Section 504 funding, and he cited a status report from the states filed last night, that clarifies that is not the intent. He also stated that Nebraska will not join any request during the proceedings that challenges the constitutionality of Section 504. He also assured us that he would not seek any relief that would seek to restrain the disbursement of federal funds dedicated to disability programs or otherwise prevent the allocation of spending to those programs. 

NSEA will continue to monitor the situation and remains committed to preserving and expanding services for students with disabilities. 

Protecting Nebraska Educators' Retirement Security

LB645, introduced by Senator Beau Ballard of Lincoln at the request of Governor Jim Pillen, originally proposed eliminating the state’s 2% contribution to the statewide school employees’ retirement plan and the Omaha School Employees Retirement System (OSERS). However, after discussions between Senator Ballard, Governor Pillen, and NSEA’s Government Relations team, AM248 has been introduced to revise LB645, providing a more balanced approach.  

The amendment adjusts both the state’s contributions and employee retirement contributions based on the funding status of the plan. If adopted, beginning January 1, 2026, employee contributions will adjust based on the fund’s actuarial funded ratio: if the fund is less than 96% funded, employees will continue contributing 9.78%, but if it is 96% or higher funded, employee contributions will decrease to 7.28%. Under the new proposal, school districts would continue contributing 9.88% of compensation.  

The state's transfers to the School Retirement Fund would also be adjusted. Beginning July 1, 2025, these state transfers would depend on the fund’s actuarial status: if the fund is less than 96% funded, the state will continue contributing 2%; if it is between 96% and 100% funded, the contribution will decrease to 0.7%; and if it exceeds 100%, no state transfer will be required. 

These changes have several implications. Employee contributions will decrease if the plan maintains a healthy financial status, employers will continue supporting employee contributions, and the state's obligations will be linked to the retirement fund’s financial status, incentivizing stable long-term funding. The NSEA Government Relations team will keep you informed about an ongoing actuarial study that will assess the long-term viability of AM248. Depending on the study’s findings, further benefits may be introduced if they do not compromise the sustainability of the statewide school employees’ retirement plan. 

It is important to note that AM248 does not apply to OSERS. Due to its lower funding status, OSERS will need to continue building reserves before similar contribution reductions can be considered. 

The State of Nebraska is facing a $432 million budget shortfall, and Governor Pillen and Senator Ballard originally sought to balance the budget by eliminating the state’s contribution to school employees' pensions. This proposal was met with strong opposition from NSEA and educators across the state, as it would have destabilized the retirement system and jeopardized educators’ financial futures.  

Your strong advocacy and hundreds of emails and phone calls to state senators have had a resounding positive impact. By staying engaged and voicing support for policies that protect retirement security, Nebraska educators can continue to ensure a stable financial future for themselves and future generations. 

CALL TO ACTION: NSEA encourages all members to take action in response to these legislative changes. Educators should contact Senator Ballard and thank him for introducing AM248 as a more balanced alternative to LB645. Additionally, members should urge the Retirement Committee to support AM248, particularly the reduction in employee contribution rates when the plan is financially strong.  

Sen. Beau Ballard, Chair, Lincoln bballard@leg.ne.gov 

Sen. Tony Sorrentino, Omaha tsorrentino@leg.ne.gov 

Sen. Robert Clements, Elmwood rclements@leg.ne.gov 

Sen. Danielle Conrad, Lincoln dconrad@leg.ne.gov 

Sen. Brian Hardin, Gering bhardin@leg.ne.gov 

Sen. Margo Juarez, Omaha mjuarez@leg.ne.gov 

Committee Hearings Scheduled Next Week

Committee hearings are a crucial component of the legislative process, offering lawmakers an avenue to directly engage with educators, parents, and other stakeholders regarding the potential consequences of proposed legislation. Your voice holds significant influence in shaping the outcome of these bills. We will keep you informed about the scheduling of hearings throughout the session. Unless otherwise indicated, all hearings commence promptly at 1:30 p.m. and will be live streamed on NET. For your convenience, you can watch the hearings online here. 

Monday, February 24, 2025 

LB122 (Meyer) Require display of the state and national motto in schools 

NSEA Position: Neutral (submit online comments by 2/24/25 at 8:00am) 

LB213 (Holdcroft) Require State Board of Education adopt content standards on human embryology 

NSEA Position: Monitor (submit online comments by 2/24/25 at 8:00am) 

LB258 (Raybould) Change provisions relating to the minimum wage under the Wage and Hour Act 

NSEA Position: Oppose (submit online comments by 2/24/25 at 8:00am) 

LB426 (Andersen) Authorize an American flag education program 

NSEA Position: Monitor (submit online comments by 2/24/25 at 8:00am) 

LB549 (Lippincott) Allow a school board to employ a chaplain 

NSEA Position: Oppose (submit online comments by 2/24/25 at 8:00am) 

LB624 (Dover) Appropriate funds to the State Treasurer for education scholarships 

NSEA Position: Oppose (submit online comments by 2/24/25 at 8:00am) 

LB691 (Murman) Require schools to display the Ten Commandments in school buildings 

NSEA Position: Oppose (submit online comments by 2/24/25 at 8:00am) 

Tuesday, February 25, 2025 

LB14 (M. Cavanaugh) Adopt the Hunger-Free Schools Act 

NSEA Position: Support (submit online comments by 2/25/25 at 8:00am) 

LB307 (Ibach) State intent regarding appropriations for tuition waivers 

NSEA Position: Support (submit online comments by 2/25/25 at 8:00am) 

LB427 (Andersen) Require State Treasurer establish an ESA for students in private schools 

NSEA Position: Oppose (submit online comments by 2/25/25 at 8:00am) 

LB557 (Armendariz) Provide funding for private schools to students denied option enrollment 

NSEA Position: Oppose (submit online comments by 2/25/25 at 8:00am) 

LB633 (Hansen) Create the Nebraska Option Enrollment Tuition Account Program 

NSEA Position: Oppose (submit online comments by 2/25/25 at 8:00am) 

LB678 (Hardin) Appropriations to the Board of Trustees of the Nebraska State Colleges 

NSEA Position: Support (submit online comments by 2/25/25 at 8:00am) 

Wednesday, February 26, 2025

LB81 (Hardin) Change tax credit provisions under the Nebraska Property Tax Incentive Act 

NSEA Position: Monitor (submit online comments by 2/26/25 at 8:00am) 

LB495 (Hansen) Change provisions to community colleges in the Property Tax Request Act 

NSEA Position: Monitor (submit online comments by 2/26/25 at 8:00am) 

Thursday, February 27, 2025

LB131 (Sorrentino) Include K-12 private schools in the educational savings plan 

NSEA Position: Oppose (submit online comments by 2/27/25 at 8:00am) 

LB173 (Prokop) Appropriate funds for aid to community colleges and state intent 

NSEA Position: Support (submit online comments by 2/27/25 at 8:00am) 

LB424 (Andersen) Limit increases in property tax bills 

NSEA Position: Monitor (submit online comments by 2/27/25 at 8:00am) 

LB463 (Ballard) Require school districts to develop a cardiac emergency response plan 

NSEA Position: Neutral (submit online comments by 2/27/25 at 8:00am) 

 

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