LINCOLN- A highly-paid consultant from the Utah-based service Epiphany Associates projects that Nebraska could save over half a billion dollars in spending if it honed in on system-wide outcomes that benefit the state and delved into more federal and state reserve funds. Their extensive report identified four areas where changes could save money: the child welfare and Medicaid divisions within the Department of Health and Human Services, the Lincoln Regional Center, and the inmate rehabilitation and reentry program within the Department of Corrections.
Half of the projected savings would come from removing financial buffers in state budgets, while the other half would come from reduced indirect costs. Nebraska Governor Jim Pillen has already begun urging state agencies to get rid of unfilled positions and apply for more federal funding to displace state financing. Pillen's spokeswoman Laura Strimple expressed their office's satisfaction with Epiphany Associates' work.
Some state senators have come out and made statements opposing the company's recommendation, noting that their report takes an outdated approach and leaves a few unanswered questions. Epiphany Associates was hired for $10 million over four years to reduce spending and improve spending in the state. These new suggestions to lower state spending are part of Governor Pillen's efforts to reach his goal of reducing local property taxes by 40%.
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