Governor Pillen Calls for Overhaul of School Funding Formula After Overpayments Affect Omaha Public Schools

Nebraska Governor Jim Pillen has called for the end of the state’s TEEOSA school funding formula. This follows an error by the Nebraska Department of Education that resulted in millions of dollars in overpayments to school districts. Omaha Public Schools is one of the districts affected and will receive less funding in the 2026-2027 school year to address the $30 million overpayment.

Governor Pillen said the TEEOSA formula is too complex and that lawmakers have not reformed it. He stated that the current system makes budgeting difficult for local school boards. Pillen called for a simpler and more transparent funding method that could also lower property taxes. He urged lawmakers to make changes to support Nebraska’s students and communities…

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