Legislators approve budget bill

Nebraska lawmakers overrode two vetoes pertaining to the University of Nebraska on Tuesday, meaning NU will see a 4.7 percent reduction in its state appropriation in 2003-2004.

UNMC’s share of the 4.7 percent reduction is approximately $4 million. Of that number, $2 million was announced earlier this spring as part of the first phase of the campus’s plan to address the shortfall. Campus announcements regarding further reductions will be made subsequent to the final actions the University of Nebraska Board of Regents on June 7.

“Although it could have been worse, the university certainly took its fair share of the cuts,” UNMC Chancellor Harold M. Maurer, M.D., said. “However, we will continue to thrive as a campus. As I indicated last week, I’m very grateful to members of the legislative body who analyzed all of the available options and their potential impact, and ultimately chose higher education as a priority.”

Last week, the Legislature passed a two-year budget with more than $400 million in cuts and more than $300 million in state tax increases. Gov. Mike Johanns rejected the bills on Monday, but lawmakers voted to override those vetoes on Tuesday.

Needing 30 votes to successfully override the bills, legislators voted 37-11 to override the veto of the two-year, $5.4 billion budget (LB407) and 37-12 to override the bill (LB 759) that extends increases in income, sales and cigarette taxes.

Two years ago, legislators passed a two-year budget bill that appropriated $443.6 million to the University of Nebraska for 2002-03. Through a series of regular and special session actions, that amount was ultimately reduced to $412.5 million. For the 2003-2004 year, the appropriation will be $393.1 million, representing the 4.7 percent cut. Prior to the 2003 session, Johanns had recommended a 10 percent appropriations reduction for the university.

The cuts to the budget are intensified because of unavoidable cost increases, such as increases in utilities, postage, insurance and library subscriptions, said John Adams, assistant vice chancellor for budget and strategic planning. University-wide, those increases are expected to amount to $11.4 million.