LINCOLN- On Tuesday, the Nebraska Legislature's Appropriations Committee voted to advance a new proposed state budget that calls for an average increase of 2.3% in spending over the next two fiscal years, despite Gov. Pillen's recommendation of 1.5%. Although the proposals from Gov. Pillen and the Appropriations Committee differ only slightly, the new proposed budget includes an additional $80 million to increase rates for providers of Medicaid services.

On top of that, the recommended budget from the Appropriations Committee includes a budget increase for the University of Nebraska of 2.5%, up from Gov. Pillen's 2%. Additionally, the new budget would also provide raises for state employees, which were negotiated by a state labor union, of 7% in the first fiscal year and 5% in the second. "We're providing for the state's needs," said Sen. Rob Clements, chairman of the Appropriations Committee.

Clements outlined that the 2.5% increase in the University of Nebraska's budget was created out of a compromise between the governor's 2% increase and the 3% request from the University. However, Clements also stated that he wasn't sure if Gov. Pillen would accept this increase, and believes a veto is still on the table.

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