Baker says transfer will hurt West

Nebraska Sen. Tom Baker is continuing to stick to his guns when it comes to protecting rural Nebraska from funding cuts.

Baker told a group of 10 members of the McCook Legislative Committee he will not support a proposal to transfer money from either the highway maintenance fund or the Universal Services Fund, a fund used to subsidize rural telephone service, to the state's general fund.

Marie Owen, executive director of the McCook Chamber of Commerce told Baker: "If highway money is transferred it will be Western Nebraska that suffers."

"I will stand up for these funds and make the case that they are dedicated funds," Baker told the committee in his weekly telephone call.

"I don't like these impulsive ideas coming out of committee," Baker said. "This would be a complete change of policy."

Baker also said that he would not support LB2CA, a bill which would legalize casinos on lands owned by the Omaha, Winnebago, Santee Sioux and Ponca Indian tribes in northeast Nebraska.

Five additional casinos operated or approved by the state would be allowed within two miles of casinos in bordering states. The tribes could choose to forego operating a casino on the reservation and instead run one in the two-mile zone. They could not do both.

The bill is not something that should be addressed in special session, Baker said.

While he doesn't support gambling in Nebraska, Baker said that if it is in the state, he wants to make sure it benefits the entire state. "I cannot support the amendment because it doesn't do anything for Western Nebraska. It has to be opened up statewide," he said.

As for the changes to Johann's Medicaid cuts being proposed, Baker said he will not support them.

As Medicaid stands today a family of four making a total of $58,096 a year is eligible for full Medicaid benefits. That includes first dollar coverage on all medical, dental and eye care treatment.

"We're simply trying to lower that to $47,677 for a typical family of four. I don't consider someone making $47,677 to be poor. But that's the cut we're proposing."

With one in seven -- more than 230,000 Nebraskans -- on Medicaid, the cost of the program is going to "break the state," Baker said.

"It's increasing 15 percent every year and picking up speed."

"Nebraska is one of the easiest state's to get Medicaid. There is no asset test, no residency requirements. On its current course it will consume the entire state budget in 10 years."

Baker warned educators Brent McMurtrey, Superintendent of Republican Valley Schools, Bryan Regier, band instructor at McCook High School and McCook Community College, and Duane Tappe director of Educational Services Unit 15 to "be prepared to roll with the punches" during the 2003-2004 budget talks. While Gov. Mike Johanns has promised school districts there will be no changes made to K-12 funding during this special session, lawmakers will be looking at new ways to fund the program.

"Buckle down your seatbelt and get your helmet on for next year," Baker told the group.

Baker told the group that he thinks a report released in July by the Economic Forecasting Board did not take into consideration the effect the drought may have on tax receipts for the state.

"If tax receipts continue to fall, we could be back in special session again this fall," he said.

The state is expected to receive a report on July tax receipts later this week.

Baker expects the special session to continue through Thursday of next week and will be available for a telephone conference call at the McCook Chamber of Commerce office at 8 a.m.

Should the special session end before that time, which Baker said is highly unlikely, he will be available to visit with committee members in person.