Neb. Education Board Seeks to Make Up Insurance Premium Tax Shortfall

A shortfall in the state’s insurance premium tax receipts has prompted the Nebraska Board of Education to submit a budget deficit request to the legislature that calls for an additional $1.53 million for schools.

Some $1.15 million would go to fill the insurance premium tax shortfall. Those taxes help fund schools. State education officials estimate how much they expect to take in from those taxes before the taxes actually arrive.

This school year, the taxes didn’t meet the state’s October 2007 budget estimate.

The board also asked for $296,000 for transportation of option enrollment students and $191,000 for other unbudgeted costs. Those include payments to terminated employees for unused sick and vacation leave and funding for analysis of state assessments.