LINCOLN, Neb. (AP) — A major reorganization of Nebraska’s environmental and water management structure will move forward after state lawmakers gave final approval Wednesday to a bill merging two key state agencies.

The proposal, LB317, introduced by Sen. Tom Brandt of Plymouth at the request of Gov. Jim Pillen, combines the Department of Natural Resources and the Department of Environment and Energy into a new entity: the Department of Water, Energy and Environment. The merger takes effect July 1.

Under the new structure, the current director of the Department of Environment and Energy will lead the consolidated agency. The existing Department of Natural Resources will become the Division of Water, led by a newly established Chief Water Officer who will report directly to the DWEE director. The Chief Water Officer will be appointed by the governor and must be confirmed by the Legislature.

Supporters of the merger say it will streamline state operations, improve coordination of water and environmental policy, and enhance responsiveness to natural resource challenges across Nebraska.

“This merger reflects a forward-thinking approach to managing Nebraska’s most critical resources,” Brandt said during debate.

LB317 passed on a 34-12 vote and takes effect immediately, allowing time for the administrative transition ahead of the July 1 implementation.

Critics of the bill raised concerns about potential disruptions to ongoing water projects and oversight, but proponents said clear leadership roles within the new agency will preserve continuity and accountability.

The creation of the Department of Water, Energy and Environment marks one of the most significant restructurings of state environmental governance in recent years.