State lawmakers got an earful from people opposed to Governor Dave Heineman's plan to transfer some funds from fee-supported agencies into the general fund.

The first week of the special legislative session has come to an end but it's only the beginning of a long battle ahead...
State senators in the appropriations committee heard testimony from some farmers and producers fighting to hold on to their funds...

"You aren't touching reserves I'm told. Well what in the world would you call raiding a cash reserve in a department," said Larry Sitzman who opposes using the funds to balance a projected $334 million revenue shortfall.

Governor Dave Heineman proposes taking nearly $750,000n from crop checkoff funds to help deal with the deficit.
Some think that places an unfair burden on producers, as checkoff fees are paid when farmers sell their crops.

Tom kohmetscher, agribusiness association
"In this case, it will result in a direct tax increase in farmers in Nebraska," said Tom Kohmetscher, Agribusiness Association.

The money from the fees is used for education, research and to promote crops throughout the state and in foreign markets.

"Those funds are generated for that specific purpose and they should be used for that specific purpose," said Michael Kelsey, Executive Vice President of Nebraska Cattlemen.

Some told state senators that marketing and foreign development could suffer if fees are taken and state boards could too.

"You've all heard of H1N1. Now if it hits a swine farm in this state, who's going to be able to respond if you take the cash funds from BAI and they don't have the inspectors to go out and test, certify, verify and institute movement control," said Sitzman.

Senators want them to know they're being heard.

"We fully expected that there was going to be a lot of concern out there. When you're cutting this amount of budget, there's going to be that concern," said the Appropriations Committee Chair, Senator Lavon Heidemann.

He said any cuts will be painful.

The Appropriations Committee will start deciding where to make specific cuts next Tuesday, after the committe has heard testimony from all state agencies.