Nebraska lawmakers adjourn 2025 legislative session, look ahead to future budget changes
State senators join together after adjourning for the year at the end of the 2025 legislative session. Not pictured: State Sens. Christy Armendariz of Omaha, Myron Dorn of Adams, Rob Dover of Norfolk and Glen Meyer of Pender. June 2, 2025. (Zach Wendling/Nebraska Examiner)
LINCOLN — Nebraska lawmakers ended the 2025 legislative session Monday, celebrating a balanced budget achieved over a major projected deficit and the passage of more than 200 bills.
Speaker John Arch of La Vista, marking the end to the 89-day session, thanked his colleagues for their work, and centered them on what he has already identified as the 'biggest challenge' for 2026, the same as in 2025: the state budget.
He said fiscal numbers often change in the two-year budget cycle, and 'there is considerable uncertainty in the world that could make accurately predicting our fiscal future more difficult.'
Lawmakers are projected to end the next two fiscal years, through mid-2027, at a $4.15 million surplus. Lawmakers are facing a projected $129.1 million hole in the following two fiscal years, from mid-2027 through mid-2029, which future lawmakers will need to address.
Just five months ago, lawmakers faced a $432 million projected deficit for the 2025-27 fiscal years, which had grown by the time the budget passed in May.
'There is always more work to do and more opportunity to make Nebraska an even better state in which to live our lives and build our dreams,' Arch said in his closing address. 'It was hard work this session, but you proved that you can do the hard work. Next session will be no different.'
Arch told senators to pay attention to fiscal dynamics in Washington, D.C., which could fall back on Nebraska, and to the next state revenue forecast this Oct. 31, on Halloween.
Multiple state senators have noted congressional talks on Medicaid and SNAP (Supplemental Nutrition Assistance Program) benefits could pass costs back on to Nebraska.
Gov. Jim Pillen and Arch agreed that budget adjustments for the 2025-27 fiscal years 'will be a priority' in 2026. That agreement came after Pillen unsuccessfully tried to line-item veto multiple items from the state's budget bills. Lawmakers rejected the vetoes as not having been properly filed with the Legislature, and Pillen ultimately withdrew his vetoes.
As of this time, neither Pillen nor lawmakers have announced plans for a 2025 special session.
A total of 204 bills passed this session, according to a count by the Legislature. Arch said 113 more bills were amended into those bills that have or will soon become law. Most bills that do not have a set date to take effect will become law Sept. 3, three months after adjournment.
Pillen has committed to not vetoing any of the bills sent to him before Monday.
Arch said senators requested more than 1,600 amendments and 845 fiscal notes during the session. While 715 bills, 18 constitutional amendments and six more policy-based resolutions were introduced this session, Arch said 374 more proposals were drafted but not introduced.
Any legislation not passed in 2025 will return in 2026, such as slowing down voter-approved annual increases to the state minimum wage, increasing paid family and medical leave for teachers, requiring health care facilities to cremate or dispose of aborted fetal remains or creating second chance relief for certain state offenders.
Arch told his colleagues to consider over the next seven months what they want to bring to the 2026 table, including what issues are most important to constituents and the state generally.
'Think about how we're going to work together as a diverse group of individuals,' Arch said, 'with differing opinions, different life experiences, but with a common goal of building consensus and crafting a policy that even makes this state of Nebraska better and better.'
Lawmakers will reconvene Jan. 7, 2026, and stay for up to 60 legislative days, or around mid-April.
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