Governor’s Office Comments on Allotment Process
Taylor Gage, 402-471-1970
Eric Maher, 402-471-1974
LINCOLN – Today, Governor Pete Ricketts’ State Budget Director Gerry Oligmueller responded to a legal analysis regarding the allotment process and the way state agencies receive budgeted appropriations.
“We appreciate the concern of healthcare advocates with regard to Nebraska’s budget challenges. The State Budget Director has the statutory responsibility to make allotments in accordance with Nebraska Revised Statute 81-1113(5), which states that the Budget Division, ‘shall, following passage of legislative appropriations, be responsible for the administration of the approved budget through budgetary allotments.’ There is no requirement about timing or amount of the allotments. It has been longstanding state accounting practice that annual appropriations are allotted under this statute in equal quarterly allocations.”
“Understanding the economic trends, the Governor’s administration worked to preserve the opportunity for the Legislature to execute its constitutional duty to balance the budget. In anticipation of possible changes to the Fiscal Year 2016-2017 budget, allotments were made at 24 percent in the first quarter, 24 percent in the second quarter, and 23 percent in the third quarter, rather than the customary 25 percent per quarter. If the Legislature does not make adjustments to the budget, the appropriation will be fully allotted with 29 percent of the annual appropriation being allotted in the fourth quarter.”