AGP Executive Report

Food Safety: The FDA upgraded a voluntary recall of Alfredo sauce sold in 41 states to a Class I, highest-risk category, citing possible Salmonella contamination tied to a dry milk powder ingredient; the recall covers 913 cases distributed mainly to food service. Nebraska Economy & Jobs: The NFIB Small Business Optimism Index fell to 95.3 in May, with Nebraska owners citing taxes and inflation as top pressures and reporting fewer job openings they can’t fill. Agriculture Watch: USDA market updates showed grain prices largely steady while cattle rebounded, even as New World screwworm cases were confirmed in New Mexico and Texas—raising livestock risk concerns for the region. Local Governance & Growth: A Nebraska-focused discussion on data center rules highlighted how local property taxes could shift if large projects expand the tax base, with residents pushing for clearer local oversight. Business Deals: RNDC agreed to sell its Arkansas operations to Moon Distributors, with no immediate changes promised for customers or suppliers. Policy & Health: Final Medicaid work requirement rules are out, leaving states and enrollees scrambling over compliance and the risk of losing coverage for administrative reasons.

Medicaid Work Rules: CMS has issued final federal rules requiring many Medicaid enrollees to prove they’re working or in qualifying activities, with states scrambling to update systems and avoid coverage losses from paperwork hurdles. Food Safety: The FDA upgraded a voluntary recall of 913 cases of Alfredo sauce to a Class I, highest-risk level after a supplier’s dry milk powder raised potential salmonella concerns, with distribution reported across 41 states including Nebraska. Small Business Watch: The NFIB Small Business Optimism Index fell in May, while uncertainty rose—Nebraska’s director cited taxes and inflation as key pressures on local job creators. Ag Markets: USDA reports left grain markets mostly flat, while cattle prices rebounded amid renewed screwworm concerns. Nebraska Higher Ed Costs: UNL tuition could rise again under a proposed regents budget, with resident and nonresident per-credit increases outlined. AI Policy Fight: After Trump urged states to hold off on AI regulation, some states are moving ahead with more targeted laws covering real-world uses like employers and child-facing chatbots. Local Business/Community: Bennington approved development and infrastructure items, including a TIF-backed redevelopment plan expected to start in November.

Nebraska Higher Ed: The University of Nebraska-Lincoln is weighing a proposed 4% tuition jump for 2026-27, with resident undergrads up $12 per credit hour and nonresidents up $40, expected to add $22 million systemwide. State Policy & Courts: A coalition of 26 state attorneys general is urging a federal judge in Nebraska to let enforcement move forward on the Parental Rights in Social Media Act, which would require age verification and bar under-18 accounts without parental permission. Local Development: Bennington’s city council approved multiple development and infrastructure items, including a redevelopment plan for Prairie Ridge Townhomes with a TIF revenue bond and a final plat for Morgan Ridge Replat 3. Energy & Consumer Costs: Gas prices are easing nationally and in California, with AAA reporting the U.S. average down again as crude stays below $100 a barrel. Food Safety: The FDA issued a Class I recall for Alfredo sauce tied to a potentially salmonella-contaminated dry milk powder ingredient. Ag & Industry: JBS announced it will close two U.S. facilities as beef consumption shifts, including a plant in Pennsylvania and a value-added operation in Memphis.

Meatpacking Shake-Up: JBS says it will close two U.S. facilities—one in Souderton, Pennsylvania (WARN notice for Aug. 14, affecting 1,485 workers) and a value-added plant in Memphis—shifting production to other sites as it modernizes and expands prepared foods. Higher Costs for Students: University of Nebraska-Lincoln tuition could rise again under a proposed regents budget: +$12 per credit hour for resident undergrads and +$40 for nonresidents (about a 4% increase for many graduate/professional programs), expected to add $22 million systemwide. EVs vs. Insurance Bills: An Insurify report finds EVs cost notably more to insure than comparable gas cars on average ($3,159 vs. $2,218 annually), with big state-to-state swings—Nebraska is cited as a place where the gap is smaller. Rural Housing Moves: The Southeast Nebraska Development District launched a “house lift” program with Clatonia to physically move older homes from communities facing demolition into places needing housing. Nebraska Politics & Ballot Access: Independent U.S. Senate candidate Dan Osborn says he turned in about 12,700 petition signatures to qualify for the 2026 ballot.

Nebraska Politics: Brinker Harding filed his personal finance disclosure more than 10 months late, a move Democrats say should trigger scrutiny in the race to replace Don Bacon in Nebraska’s 2nd District. U.S. Senate Race: Independent Dan Osborn says he submitted about 12,700 petition signatures to get on the Nov. ballot, pitching a coalition around working-class issues like Social Security, costs, and corporate consolidation. Campaign Trail: Sen. Ted Cruz rallied in Lincoln for Pete Ricketts, warning the Senate race is “tied” and accusing Democrats of trying to “deceive” voters. Health Care Accountability: A federal court entered a $3.4 million False Claims Act judgment against Oshkosh pharmacist Joan Kicken over alleged Medicaid billing fraud. Ag & Markets: Cattle futures slid on news of JBS plant closings, keeping traders on edge amid fears of more shutdowns. Local Economy & Jobs: Zipline Brewing abruptly shut down its taproom and ended brewing operations, leaving about 20 people without jobs. Rural Housing: The Southeast Nebraska Development District launched a “house lift” program with Clatonia, moving older homes to communities that need housing. Energy & Growth: Omaha-area data center regulation drew public attention at a town hall, as residents weigh power and infrastructure impacts.

College Sports & Local Economy: UNC baseball is set to open its College World Series run in Omaha against Ole Miss, with the Tar Heels chasing a first Omaha dogpile since earlier CWS trips. Healthcare Compliance: DOJ and HHS highlighted multiple False Claims Act settlements tied to health care fraud, including a lab kickback case involving Medicare/Medicaid/TRICARE claims. Utility Rates: Black Hills Corp. filed a Colorado rate review seeking $26.7 million in new annual revenue to recover costs for grid reliability investments. Labor & Community Impact: Aurora, Neb., voted to enter contract talks with EMS Unlimited, a move that could reshape how EMS responders and the volunteer fire department coordinate. Meatpacking Capacity: JBS announced closures of two processing facilities, adding pressure to an already volatile U.S. meatpacking labor and capacity landscape. Local Business & Deals: Inszone Insurance Services announced it is buying Omaha’s Sommelier Insurance Group, expanding its commercial insurance footprint. Energy & Agriculture Policy: Lawmakers are debating year-round E15 sales, a potential boost for corn demand that could complicate soybean economics.

Medicaid Work Rules: CMS has issued final regulations requiring many Medicaid enrollees to prove they’re working or doing approved activities, but states say they’re scrambling to update systems and keep people from losing coverage over paperwork hurdles. Data Center Transparency: Nebraska lawmakers Terrell McKinney and Ashlei Spivey held a community event on LB 1111, pushing for more disclosure on data center developers, electricity demand, and impacts as Nebraska already hosts 30+ facilities. COVID Testing Settlement: Nebraska is among states getting money back as GS Labs faces a multistate settlement over overpriced, delayed COVID-19 tests, with restitution payments to affected residents. Small Business Support: The SBA Nebraska District Office is continuing free June workshops and one-on-one help for entrepreneurs on finance, marketing, and AI. Energy & Land Access: Nebraska Game and Parks is expanding its Open Fields and Waters program, paying landowners to allow public hunting and fishing access. Wildfire Watch: A Panhandle wildfire has burned about 23,000 acres with evacuations and low containment as drought and wind complicate firefighting. Local Business Closure: Zipline Brewing in Lincoln is shutting down its taproom and ending brewing, shifting to a restaurant-only model.

Medicaid Shake-Up: New Medicaid work rules and guidance are leaving seriously ill Nebraskans and other recipients worried about losing coverage, with states still trying to interpret exemptions. Rural Broadband Costs: Starlink raised prices for rural customers, including a Nebraska family facing a 44% jump—raising questions about what happens when alternatives are limited. COVID Testing Settlement: Nebraska Attorney General Mike Hilgers announced a $4.87M multistate settlement with GS Labs over overpriced COVID tests and delayed results, including administrative-fee claims. Foster Youth Savings Accounts: First Lady Melania Trump launched “Fostering the Future Accounts,” letting states open $1,000 investment accounts for eligible foster children, with Nebraska listed among participating states. Insurance Expansion in Omaha: Inszone Insurance Services acquired Sommelier Insurance Group, expanding its Omaha footprint and adding commercial expertise. Local Business Growth: Bish’s RV is expanding Omaha operations to a new centralized facility, boosting sales, service, and parts capacity. Agribusiness & Trade: Husker Harvest Days 2026 registration opened in Grand Island with new live equipment demos, including corn stalk baling, tub grinders, and feed mixers. Cybersecurity: Rep. Don Bacon says his Signal account was compromised via social engineering tied to Russian-linked actors. Energy & Infrastructure: Grant City Council approved electric and water rate increases, effective later this year.

Farm Economy Under Strain: Nebraska Farmers Union president John Hansen says the Iran-war-driven jump in energy and fertilizer costs is piling onto tariffs, drought impacts, and delays to the 2026 farm bill—pushing producers into the toughest financial stress since the 1980s. Payments Expansion: ACI Worldwide says Kwik Payments in South Africa has gone live on its payments orchestration platform, signaling more digital commerce growth across Africa. Health Costs & Savings: Henderson State Bank highlights IRS 2027 HSA/HDHP limits—$4,500 self-only and $9,000 family—giving Nebraskans more room to save tax-advantaged for medical expenses. Drought Help for Producers: USDA is offering technical and financial assistance for Nebraska producers hit by drought, including a June 23 webinar. Food Insecurity Pressure: North Omaha food banks report surging demand after SNAP benefit cuts, with Project Hope seeing a spike in first-time clients. Local Business & Community: Neligh is running community workshops and an income survey to set priorities for streets, water, sewer, and facilities. Consumer/Legal: A class action targets Honda Odyssey side airbags that may deploy after rough roads; separate reporting notes a multistate GS Labs COVID test settlement that includes Nebraska.

Federal Cannabis Policy Shift: The DOJ downgraded medical marijuana from Schedule I to Schedule III, opening the door for some federal tax benefits and new research—though recreational cannabis stays Schedule I and states still face a patchwork future. Inflation Watch: U.S. inflation hit 4.2% in May, driven by higher energy costs tied to the Iran conflict, pushing gas and transportation prices up and complicating the Fed’s next moves. COVID Testing Settlement (Nebraska): Nebraska and Iowa are among 18 states in a nearly $5M GS Labs settlement over overpriced, delayed COVID-19 tests; Nebraska’s AG says the deal targets consumer harm from inflated “cash prices” and missed turnaround promises. College Sports & Gambling Fallout: Texas Tech AD Kirby Hocutt backed quarterback Brendan Sorsby’s treatment while the NCAA appeals a court injunction that temporarily lets him play after a betting-related ruling. Retail Tech in Nebraska: B&R Stores will roll out Simbe’s Tally shelf-scanning robots in Lincoln to cut manual inventory work and improve in-store availability. Energy/Infrastructure: Black Hills Corp. updated progress on a 1.8-gigawatt Cheyenne, Wyoming data center project, targeting service in early 2028.

Data Center Water Rules: Lincoln County planners weighed new data center regulations as water limits and a long-running groundwater moratorium collide with fast-growing AI-driven demand. Local Economy & Community: One year after the Glenn Valley Foods immigration raid, Omaha leaders and South Omaha business owners say the fallout still shows up in customer traffic and spending. Public Health & Consumer Safety: A Salmonella outbreak tied to moringa supplements has expanded to 119 cases across 36 states, prompting additional FDA recall updates. Local Government & Safety: Broken Bow moved forward on an e-bike ordinance after public concerns about speed and near misses, while also opening bids for the former Armory property. Agriculture Costs: Reuters reports Iran-linked fuel pressure is pushing diesel to record highs, squeezing grain and soybean growers during critical spring fieldwork. Wildlife Management: Nebraska Game and Parks will consider tighter deer permit limits and other order changes at its June 12 meeting. Consumer Protection: Nebraska’s unclaimed property program gets a reminder push as the state urges residents to check NebraskaLostCash.gov. Community & Health: Kids’ well-being fell in 29 states, with Nebraska among the biggest decliners, according to the Casey Foundation’s Kids Count data.

Nebraska Dairy Growth: Gov. Jim Pillen marked National Dairy Month in Lincoln, pointing to new processing capacity as the key to expanding Nebraska’s dairy herd and keeping more value-added production in-state. Rural Healthcare Leadership: Box Butte General Hospital named Gabriel Behling as CEO, aiming to strengthen rural access as the hospital navigates a leadership transition. State Program Scrutiny: Nebraska State Auditor Mike Foley raised concerns about possible fraud in the WIC program, citing cases where higher-income households reportedly received benefits. Cattle Market Outlook: A Nebraska-focused Beef Industry Exchange webinar will tackle herd rebuilding strategies and what record-high cattle prices and risks could mean for feeder cattle this fall. Local Business & Community: Arapahoe residents launched a worker-owned homecare cooperative to address senior care gaps after the closure of a local nursing home. National Policy Pressure: Nebraska Sen. Pete Ricketts and Sen. Chris Coons introduced a resolution on the U.S.-Philippines alliance, emphasizing economic security and supply-chain challenges. College Sports Integrity Fallout: After a Texas judge reinstated Texas Tech QB Brendan Sorsby’s eligibility, Georgia and Nebraska said they won’t schedule Texas Tech, escalating the backlash over gambling rules.

Convenience Retail Expansion: Nebraska-based Pump & Pantry says it will acquire 21 Hy-Vee Fast & Fresh standalone stores across Iowa, Nebraska and Minnesota, with the deal expected to close in July; several locations include Starbucks and Smokey Row coffee. Public Health & Safety: Omaha officials are using wastewater surveillance during the College World Series to spot emerging pathogens early and alert health providers if something shows up. Energy Infrastructure Policy: Gov. Jim Pillen signed LB1261, allowing large energy projects (1,000 megawatts or more) to build their own generation facilities if they secure a power purchase agreement with local public power and get approval from the Nebraska Power Review Board. Medicaid Pressure: A new federal Medicaid law cuts about $1 trillion over a decade and adds work-reporting requirements starting in 2027, putting coverage at risk for millions—Nebraska already moved ahead with earlier work rules. Antitrust/Legal: Nebraska Attorney General Mike Ford filed a brief in the Meta antitrust case, arguing against Meta’s monopoly claims. Local Economy Watch: Gas prices in Nebraska fell week over week, averaging $3.97 per gallon, according to GasBuddy.

E-Verify Rule: Federal agencies proposed requiring E-Verify participation for recipients and subrecipients of federal grants, with a July 13 comment deadline—raising compliance stakes for employers tied to federal money. Retail Deal: Nebraska-based Pump & Pantry agreed to buy 21 Hy-Vee Fast & Fresh convenience stores across Iowa, Nebraska and Minnesota, with rebranding and coffee partnerships planned after a July close. Wastewater Financing: EPA approved a $40 million WIFIA loan for South Sioux City’s wastewater expansion, aiming to cut operating costs and keep treatment local, with biogas sales to offset future rates. Public Health Tech: Omaha health officials are using wastewater surveillance to monitor pathogens during the College World Series, sending samples to the Nebraska Public Health Lab for molecular testing. Energy Watch: A new nuclear-power possibility is drawing attention in Nebraska, with utilities studying potential sites including a Gage County community. Workforce & Health Costs: A $3.2 million grant launched a rural hospital program to pool purchasing power for cheaper generics, targeting drug shortages that hit small hospitals hardest. Food Supply Policy: SNAP access is under pressure as millions lose benefits and more are expected to face cuts tied to work requirements. Business Leadership: Joseph Young is set to return as president and CEO of the Nebraska Chamber of Commerce & Industry after recent leadership turnover.

Data Center Pushback: Nebraska lawmakers and counties are moving to regulate or pause data center development as communities across the Heartland cite water and power strain, with one Illinois county adopting a one-year moratorium after residents packed hearings to “Protect Our Water.” Fuel Costs: Summer boating plans are getting squeezed by higher fuel prices tied to the Iran war, with regular gas still up sharply year over year and diesel rising even faster. Ogallala Water Worry: Farmers are increasingly alarmed as the nation’s largest groundwater system faces rapid depletion, raising the question of what comes next for irrigation-dependent agriculture. Food Inflation Ahead: A new inflation wave is expected to hit grocery stores as tariffs, weather disruptions, and a shrinking cattle herd keep pressure on prices into 2027. Nebraska Drought Relief: The SBA opened low-interest disaster loans for drought losses, including Nebraska counties, to help small businesses and nonprofits cover working capital needs. AI Infrastructure Water Plan: Google says it will replenish more water than it uses at data centers by 2030, as backlash grows over AI’s local resource demands. Medicaid Work Requirements: The Trump administration’s Medicaid work rules are forcing states to rework systems, threatening coverage for millions as enforcement ramps up.

Ag Policy Fight: Congress is weighing a farm bill change that would block states from regulating livestock raising, aimed at California’s Proposition 12 and its limits on gestation crates and other confinement practices—raising new questions for Nebraska producers selling into different state standards. Data Center Pressure: Lincoln County commissioners will again consider a moratorium on data center development, citing worries that zoning rules may not protect water, electricity, and public safety as projects target central and western Nebraska. Nebraska Ag Privacy: Gov. Pillen and ag leaders celebrated LB 525, a first-in-the-nation law setting rules for collecting and using agricultural data to protect farmers’ privacy. Energy & Water: Google says it will replenish more water than it uses at U.S. data centers by 2030, as communities push back on AI infrastructure’s strain on local supplies. Tribal Legal Challenge: Nine tribes, including Nebraska groups, sued to stop exploratory graphite drilling near a sacred Black Hills site, arguing federal agencies violated law by approving work near Pe’Sla.