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Audit reveals $12.8 million in improper child care billings to Nebraska DHHS

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Audit reveals .8 million in improper child care billings to Nebraska DHHS


LINCOLN, Neb.  A state audit released Tuesday alleges that the Nebraska Department of Health and Human Services paid millions of dollars in improper billings.

State Auditor Mike Foley investigated the spending records of the department’s child care subsidy program.

Over nine months from late 2023 to early 2024, the program paid out $93 million to child care providers.

The discrepancies and potential fraud add up to $12.8 million of those costs.

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SEE ALSO: Nebraska auditor finds up to $1.5 million in ‘flagrant abuses’ in DHHS program

Foley said taxpayers are being billed for services that were never provided.

For example, the audit says child care centers billed for 210 children on Thanksgiving Day in 2023, when they weren’t open.

“When you claim that you cared for a child, and the child is in school on a federal holiday, and the taxpayers is going to have to pay for this, that’s not fair for the taxpayers,” he said.

Foley said the heart of the problem is that day care providers can submit their billing electronically, and the system issues a payment with little to no human oversight.  

“It’s just very easy for the provider to get payment for the services. They know that there’s not a lot of oversight, not a lot of watchdogging, this kind of stuff,” Foley said, “They get away with it a little bit sometimes, and then they say, ‘That was pretty easy; let’s try a bit more.’ And the problem gets larger and larger.” 

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Foley is encouraging DHHS to review these payments before they process them.  

DHHS said it agrees with the audit and will make improvements.





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FAFSA participation increases among Nebraska high school seniors

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FAFSA participation increases among Nebraska high school seniors


New data shows Nebraska high school seniors are completing the FAFSA at higher rates following a new state requirement. Education leaders say the increase could help more students access financial aid and plan for life after graduation.



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Nebraska Court of Appeals upholds conviction of Grand Island man in sexual assault case

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Nebraska Court of Appeals upholds conviction of Grand Island man in sexual assault case


The Nebraska Court of Appeals has affirmed the conviction and sentencing of a Grand Island man charged with sexually assaulting a minor.

Cory Gilmore was sentenced in June to 36 to 48 years in prison on two counts of first-degree sexual assault. Court records said he was initially charged with first-degree sexual assault of a child, first-degree sexual assault and third-degree sexual assault of a child, but pleaded no contest to the two sexual assault counts as part of a plea deal.

According to an arrest affidavit, a report of a possible sexual assault came into the child abuse hotline that Gilmore sexually assaulted a minor girl when he was intoxicated.

A Grand Island police officer later interviewed the girl – who is younger than 19 years old – who said she was sexually assaulted by Gilmore from early 2021 to December 2023.

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In his appeal, Gilmore claimed the District Court abused its discretion by imposing an excessive sentence. He also claimed his trial counsel was ineffective in failing to take the deposition of the alleged victim and failing to move to withdraw Gilmore’s plea before sentencing.

In its ruling, the Court of Appeals denied Gilmore’s claim of ineffective trial counsel. In his appeal, Gilmore said that at sentencing, he notified his counsel that he wished to withdraw his no-contest plea as he didn’t want to plead guilty or to say he did something he didn’t do.

The Court of Appeals said that at no point did Gilmore inform the District Court that he wished to withdraw his plea and that the District Court asked him if he made his plea “knowingly and voluntarily.”

The Court of Appeals also said in its order that at Gilmore’s sentencing hearing, the District Court looked at Gilmore’s risk to reoffend, his criminal history and the fact that he “showed no remorse for the trauma he has inflicted” in imposing its sentencing. The Court of Appeals said this was appropriate and that his sentencing was not excessive.



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Nebraska collects $200k in child support from gambling winnings

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Nebraska collects 0k in child support from gambling winnings


LINCOLN, Neb. (KOLN) – The Nebraska Department of Health and Human Services has collected more than $200,000 from gambling winnings to go toward child support arrears just three months after implementing the program.

The Gambling Winnings Setoff for Outstanding Debt Act was approved through the passage of Legislative Bill 1317 and signed by Gov. Jim Pillen in 2024.

“This program ensures funds are being used to help support kids across Nebraska,” said Gov. Pillen. “Parents have an obligation to their children, and we’re guaranteeing their well-being by collecting these winnings.”

The collections began Sept. 2, 2025. The act requires gaming operators to withhold a portion of winnings from individuals who have an unpaid debt with the state and remit the funds to the Department of Revenue.

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From there, the collected funds are distributed to various agencies, including DOR, Department of Labor, Department of Motor Vehicles, and DHHS.

Within the first 13 weeks, $529,091.47 was dispersed to these agencies, with DHHS receiving $215,852.98 for the Child Support Enforcement Program.

“By administering these dollars directly to families, the Child Support Enforcement Program is setting our state’s children up for success,” said Shannon Grotrian, director of the Office of Economic Assistance. “It’s making an immediate impact on their livelihoods and making sure they have what they need to grow and thrive.”

For more information on Nebraska’s Child Support Program, visit the DHHS website.

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