Nebraska Gov. Jim Pillen Orders 5% Agency Budget Cuts and a Hiring Freeze

LINCOLN — Nebraska Governor Jim Pillen has sent a memo to state agencies, boards and commissions calling for further spending restraint, including a 5% reduction in agency budgets and a freeze on creating new positions or filling vacancies without approval from the state budget office. The governor's office said the measures follow $307 million more in state tax refunds than anticipated in fiscal year 2026, which ended June 30, with tax receipts coming in below projections in March, April and May and a current expected deficit of $172 million. Lawmakers had closed a $646 million budget hole in their most recent session.
The memo directs agency leaders to eliminate redundant processes, services and aid programs, reduce their agencies' physical footprint and consolidate teams. All state entities must provide monthly cash flow projections and prepare for downward adjustments to appropriations in the current fiscal year and in fiscal years 2028 and 2029. The hiring freeze does not apply to law enforcement or corrections positions, and agencies must submit their spending-reduction plans by the end of the month.
"I am pleased with the progress we have made, but I'm not satisfied," Pillen said in a news release. He has previously sought spending cuts to provide more property tax relief to Nebraska residents.
Sources: Office of the Nebraska Governor; Nebraska Public Media
Published by GSM · USA (original Chinese edition)
Photo: 内布拉斯加州议会大厦内部,Lincoln。Nebraska State Capitol interior, Lincoln. Photo: Wikimedia Commons

