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Nebraska Arts Council approves FY25 budget report, moves to seek deficit relief
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Summary
The Nebraska Arts Council approved its FY25 budget report and several administrative items, voted to submit a budget deficit request to the legislature to cover rising health costs and a creative‑district shortfall, and approved an administrative amendment to redirect $25,000 in school‑bus grants from NACDC to NAC after NEA guideline changes.
The Nebraska Arts Council approved its fiscal‑year 2025 budget report and took multiple administrative steps to respond to uncertainty in state and federal funding. At the meeting held in Norfolk at the Norfolk Art Center, the board voted to adopt the FY25 budget report as of July 31 and agreed to submit a formal deficit budget request to the legislature to seek reimbursement for increased health‑care costs and an unpaid creative‑district appropriation.
David Wright moved to approve the FY25 budget report and Janet Goranson seconded the motion; the measure passed on roll‑call vote. Council staff reported FY24 closed with a modest underspend (approximately 3 percent) that has been carried as encumbrances for salaries and other obligations. Staff detailed year‑to‑date expenditures by program and the federal carryover amounts that will be applied in FY25.
Board members discussed the option to submit a deficit request asking the legislature to cover a $29,446 increase in health costs and the $1 million that was not appropriated for creative districts last year. Zachary Chee moved to authorize filing the deficit request and Jeanne Salerno seconded; the board carried the motion after discussion with staff and the council's budget analyst.
Separately, the board voted to amend a previously approved grant to move $25,000 in school‑bus grants from NAC Development Corporation (NACDC) to the Nebraska Arts Council (NAC). Staff explained that recent NEA guidance and a two‑year federal performance period mean administering those specific reimbursements through NAC rather than NACDC is advisable; the board approved the amendment.
The board also held a brief executive session and then voted on a personnel matter discussed in that closed session: a motion to authorize a bonus for the executive director in the amounts discussed during executive session carried with a mix of 'Yes' and 'No' roll‑call votes. The meeting concluded with an adjournment and a reminder that the next board meeting will be virtual on Dec. 9.
What happens next: staff will file the deficit request with the legislature and consult with the council’s lobbyist and government‑relations committee about strategy; the amended NAC/NACDC grant will be implemented to permit school‑bus grants to proceed under NAC.

