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Environmental groups oppose $8M NET-to‑Water Resources transfer in Appropriations hearing

Nebraska Legislature Appropriations Committee · February 17, 2026

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Summary

Department of Water, Energy & Environment sought an $8 million transfer from the Nebraska Environmental Trust to the Water Resources Cash Fund for water planning and implementation; conservation groups and county officials warned the transfer would supplant voter‑approved NET priorities and reduce competitive grants for habitat, recycling, and weed management.

The Department of Water, Energy and Environment (DWE) told the Appropriations Committee it seeks an $8 million transfer from the Nebraska Environmental Trust (NET) to the Water Resources Cash Fund to support statewide water planning, groundwater and surface water management, and implementation projects. Director Jesse Bradley said the request would be used largely for projects (roughly $6M) and for limited planning/staff support ($2M) that the department says aligns with NET statutory purposes.

The transfer prompted sustained opposition from conservation and environmental groups, county officials and the Friends of the Nebraska Environmental Trust. Testimony from Audubon Great Plains, the Nebraska Wildlife Federation, the Nebraska Recycling Council and others argued NET is voter‑established lottery revenue intended to fund competitive conservation grants and that diverting NET funds to state agency operating needs or state obligations would supplant rather than complement government activity. Witnesses emphasized NET’s competitive process, citizen oversight and the fund’s track record supporting habitat restoration, recycling and weed management across Nebraska. Several witnesses objected to the scale of proposed transfers (an additional $32.7M for Game and Parks in the budget packet was also cited) and warned the transfers would undermine future NET grants and matching leverage for local projects.

Director Bradley and committee members discussed projections, lottery revenue assumptions, and statutory limits; Bradley said DAS staff and NET worked on conservative four‑year projections and that transferred NET funds would be expended on NET‑authorized purposes via the Water Resources Cash Fund. Opponents urged the committee to preserve NET as a competitive grant vehicle rather than use it to fill state budget gaps or finance core agency operations. No committee action was taken at the hearing.