A month after taking office, Gov. Jim Pillen stepped to the mic, flanked by lawmakers and leaders from Nebraska nonprofits, and announced an initiative close to his heart: State money to support mentorship programs.
Now, three years later, that Pillen-pitched initiative has awarded $11.6 million in taxpayer dollars — nearly 80% of the total awarded funding — to one nonprofit: TeamMates Mentoring. The remainder has gone to 16 other nonprofits.
State leaders said the grant program, READ Nebraska, aimed to use mentorship to boost lagging reading skills among elementary school students. TeamMates, the nonprofit founded by Pillen’s former coach, Husker football legend Tom Osborne, was well-positioned to accomplish that goal.
“Through READ Nebraska, thousands of mentors are equipping students with reading skills that are foundational to academic and career success,” said Maureen Larsen, director of the Department of Economic Development, which distributes the grants. “This investment in our kids, reading and mentoring will make a generational difference.”
The money has been distributed based on organizations’ number of mentors.
But the overall picture raises questions about the program and bias, said Gavin Geis, executive director of government watchdog organization Common Cause Nebraska.
Osborne supported Pillen’s run for governor. Pillen was actively involved with TeamMates, though his tenure on its board ended when he became governor, according to TeamMates’ CEO. Earlier this month, Pillen called for legislation that would allow Osborne to be inducted into the state Hall of Fame during his lifetime.
Osborne, who said he still mentors through TeamMates, said the organization’s school-based model shows great results in outcomes like graduation rates.
“I think Jim saw the results of mentoring … and I think his assumption was that this would be savings to the state in many ways, and it would be cost effective,” Osborne said.
The state dollars seem to have dramatically boosted TeamMates’ bottom line, with grants as big as the nonprofit’s typical annual revenue, according to a Flatwater Free Press review of recent tax filings.
For the average Nebraskan, Geis said, $12 million is an astronomical sum. Government leaders should slow down, he said, and think about perception.
“They just charge ahead,” Geis said. “And this is where we end up.”
Coach and player
Osborne and his wife, Nancy Osborne, founded TeamMates in 1991, when the coach recruited 22 of his football players to mentor seventh and eighth grade boys in Lincoln, according to the nonprofit’s most recent annual report.
That report now touts that TeamMates is the biggest school-based mentoring program in the country with 186 chapters across six states — 140 of them in Nebraska.
Pillen got involved with the organization 30 years ago, according to his spokesperson.
“Gov. Pillen has had the privilege of knowing Tom Osborne and having him as a mentor from the time the Governor played football for the Huskers, and throughout his time in veterinary school and the Governor’s business career,” Laura Strimple wrote in an email.
Osborne endorsed Pillen’s run for governor in 2022, appeared with him on the campaign trail and contributed at least $11,500 to his campaign.
Pillen served on TeamMates’ boards for “a number of years,” according to Strimple, and provided office space when it launched its chapter in Pillen’s hometown of Columbus. He resigned his position when he became governor, Strimple said, adding that his family continues to support the organization.
Pillen hasn’t attended any meetings or been involved in TeamMates’ “operational or governance decisions” since taking office in 2023, according to DeMoine Adams, its CEO.
“The organization has always been and still remains fully independent and mission-driven,” he wrote in an email.
As part of his first budget proposal after taking office, Pillen included $5 million for a competitive grant program to encourage mentorship in schools.
Senators obliged, passing a two-year budget that allotted $9.8 million out of the state’s general fund for the program, dubbed READ Nebraska.
Influx of cash
In its first year, the state awarded TeamMates $4.2 million — nearly 86% of READ Nebraska grant money. The rest was spread across 10 other organizations.
In 2024, the state awarded TeamMates $3.8 million. Its 2025 award was $3.7 million.
In its most recent publicly available tax filings, which don’t cover the last year and a half, TeamMates reported annual revenues ranging from about $3.7 million to $4.4 million.
Adams did not provide an answer when asked what percentage of the organization’s revenue has come from the READ Nebraska grants since 2023.
It’s also not yet clear whether the organization will be able to use the full sum. The state approves expenses before TeamMates uses the grant money.
The state doesn’t always approve. For example, it did not approve a $1,035 request for an “air cannon to launch swag,” nor $1,305 for flower centerpieces, according to reimbursement requests obtained by public records request. Those records show DED noted a need for additional documentation or clarification in several cases.
Adams said TeamMates is working with DED to provide eligible expenses, and that they will follow DED’s lead if they ultimately can’t use it all.
Other organizations received an average of about $188,000 in READ Nebraska grants in the same timeframe that TeamMates got its $11.6 million.
According to the Department of Economic Development, awards are determined based on the number of mentors working in the organization. TeamMates reported 6,448 active matches in Nebraska in fall 2023, according to emails obtained via a public records request.
“I think people need to understand this is allocated on a per capita basis,” Osborne said. “It wasn’t saying, ‘Well, we’re going to give TeamMates way more than anybody else, just because it’s TeamMates.’”
Geis, with Common Cause Nebraska, said the imbalance makes the program appear broken.
“This feels worse than it probably is, in the end,” Geis said. “But I think that the perception here is the bigger harm and damage — especially right now, when you look at how people are feeling about governance in general.”
Big Brothers Big Sisters of the Midlands, which got the second-highest total of about $851,000 over three years, has used the money to expand and provide specific “literacy support programming,” according to CEO Nichole Turgeon.
“TeamMates is a statewide mentoring program; as such, they have more volunteer mentors than the other, more localized agencies funded by the READ Nebraska grant, including Big Brothers Big Sisters of the Midlands,” Turgeon said.
She said the program has been “incredibly beneficial,” but did offer one idea for improvement: The grant is currently limited to supporting elementary school students, while middle and high school students could also use the literacy support.
Leadership at the Omaha nonprofit Kids Can Community Center, which received the smallest amount at $19,000 over two years, said considering the number of potential mentees on the waitlist also could help.
“The program, if awarded by capacity-building, could have really helped us support more students who wish to be matched,” said Julie Madsen, mentoring coordinator.
State Sen. Danielle Conrad introduced a bill this session to tweak the program. It wouldn’t make either of those changes, but would expand to include mentorship programs that “promote professional growth” rather than solely targeting reading improvement.
How TeamMates has spent the millions
Since the program started, TeamMates has made about 2,400 new mentoring matches in elementary schools, Adams said. The state money has boosted visibility, improved systems and strengthened local chapters. Matches stay together an average of at least three years, he said — a long-term impact.
“We are deeply grateful for this investment, which is helping TeamMates build meaningful one-to-one relationships and support students in reaching their full potential through mentoring,” Adams said.
According to reimbursement request records, the state has approved a wide array of expenses: More than $900,000 in staff salaries and benefits from the 2023-24 grant alone. Across the first two grants, more than $400,000 has gone to book vending machines and books to fill them. The state has approved other expenses for ads, merchandise and events for mentorship matches — a hockey game, a play — and myriad other costs.
In 2024-25, as of last August it had approved over $468,000 in sponsorships for events ranging from youth basketball to the State Fair and Creighton University sports. It also deemed as eligible a nearly $87,000 payment for apparel from Osborne Family Enterprise(s), a company run by Tom and Nancy Osborne’s son. The department is still reviewing documentation on that request and hasn’t yet approved or denied it, according to DED spokesman Justin Pinkerman.
Lawmakers continued to fund the mentorship program last year, even as they tackled a massive budget shortfall and cut other economic development programs.
The Legislature cut the DED’s general fund budget by $19.3 million, about 43%, between fiscal years 2025 and 2026. The cuts included $5 million a year for a state marketing campaign and $5 million for the state’s Small Business Assistance Grant Program, according to a report from the Legislature’s Fiscal Office. The mentoring grant program now accounts for almost a fifth of the department’s general fund budget.
Strimple, the governor’s spokesperson, said that “we are right sizing all state and federally funded programs to ensure that tax dollars are leveraged appropriately.”
The state’s reading scores are declining, Strimple said, citing the national assessment often called The Nation’s Report Card.
“That is not just a concern, it is a crisis — one the Governor hopes to reverse course on through programs like this and passing legislation that will require students pass a reading assessment before advancing out of the third grade,” she said.
Earlier this month, Pillen announced that he had asked lawmakers to waive a state law requiring a person to be dead for 35 years before being eligible for the state Hall of Fame, an honor that includes having a bronze bust displayed in the Nebraska Capitol. The one-time exemption would extend exclusively to Osborne.
“Our state is indebted to Coach and all the great things he has accomplished during his lifetime,” Pillen said in a press release. “It is time we recognize him appropriately and I’m very pleased that an overwhelming majority of the Legislature agrees and that a bipartisan group is cosponsoring this truly wonderful, unifying bill.”
18 Comments
Needed accountability with this funding. Hopefully this stellar reporting leads to more equity in state funding for nonprofits.
I recently signed up to be a mentor with TeamMates. It’s a great organization, but the focus is NOT on reading at all. The point is for the mentor be a trusted person in the life of the mentee, and encourage their strengths. It is not about helping with homework or reading skills. It makes no sense to me that it would receive so much funding from a program that’s specifically aimed at improving reading. TeamMates is definitely worthy of support and funding, but not like this.
Agreed. I recently became a Teammates mentor. This article makes me want to reconsider, however, I don’t want to let my mentee down. Never have been a fan of Osborne. This imbalance of funding to non-reading programs is truly disgusting
Sorry, the citizens of Nebraska do not need a self-appointed watchdog group from DC, like Common Cause Nebraska, to monitor how grants funded by the State of Nebraska are distributed to Nebraska recipients.
IRS filings from Common Cause (there is no separate Nebraska affiliate) show that the group gets grants totaling $8-10 million a year, with nearly 30% of that going to fundraising! Apparently, Common Cause “Nebraska” is POd that they can’t get grants from the state of Nebraska like TeamMates!
Sorry Common Cause, we don’t need you.
Teammates is a good program. But facilitating reading isn’t a main goal. I’m shocked READ Nebraska put so much into this and not maybe, Lincoln Literacy.
I am concerned that tax payers are giving so much when property tax relief has been requested and the cost of living is getting higher and higher. I support this program but that’s a lot of money going to advertising. There are also many grants from foundations that can be sought. What percent of their budget is from private donations and grants. We are all looking at budgets and this should be assessed. We should not be the payer of first resort.
Property taxes are assessed and collected by local entities like your city, county, and school board, not the state. READ grants are funded by state revenue, largely sales & income taxes.
So, the state funding of the READ program (and thus the grants) has little if anything to do with your property taxes.
Having pointed that out, I think we’d agree that whether it’s property taxes, state income taxes, or state sales taxes, it’s all becoming waaaay too much. Everybody has their favorite local program that “doing so much good” and that many argue should be the recipient of state or local funding, but enough is enough.
As a Teammate, and as an employee of another Lincoln nonprofit, this information is deeply saddening. Our organization also applied for this grant and received a significantly smaller amount. At the time, we did not question the decision, as we were told funding was allocated based on the number of mentors, an area where Teammates clearly excels.
However, reviewing how these funds are being spent is concerning. For example, $31,829.54 was allocated to branded items such as 2,500 conversation starters and 1,500 two-toned ClipSip cups. An additional $44,298.00 was spent on 200 Ogio backpacks and 200 North Face backpacks…not to mention the THOUSANDS more spent on other branded materials.
While branded items may support recruitment efforts, as a Teammates mentor myself, I have never been asked to read with my mentee, offered books, or informed of any meaningful connection to the READ NE initiative. That disconnect is troubling.
As a local nonprofit professional who raises funds with integrity and carefully monitors how every dollar is spent, this is truly disheartening. We owe it to our community, our donors, and MOST importantly, the youth we serve, to do better.
Tom Osborne is a retired coach, educator, and Congressman. He has served Nebraska well. This ears him gratitude, not special treatment.
Sara, I’m a real fan of Teammates, and full disclosure, our law firm represents the organization. Their most current annual report for the year ended June 30, 2025, from their website shows about 40 percent of their total revenue from grants and almost 60 percent from contributions and United Way. The total revenue is not shown. Thanks.
I worked at a Nebraska school district as a TeamMates Facilitator for 3 years, and it’s true that the program matches caring adults with students who need an adult mentor and friend. But the adults and kids only meet 1 hour a week, and they mostly play games or do crafts together to build relationships. None of the mentors I ever matched with kids ever taught reading or read with their students. The program is based upon building positive relationships between kids and mentor adults, but no focus has ever been on reading. Based upon all my experience withTeamMates, it’s not a reading mentorship program.
I find it interesting that the governor is spending lots of energy on property tax deductions which in effect will lower tax dollars going to educate the same population the Teammates program is using tax dollars to improve reading. On the surface it appears to be “ cronyism “ at best, or, at its worst, another case of a politician using tax dollars to support a friend. Where is the state Auditor on this situation?
Excellent reporting.
From the content of the article and the comments, it seems clear the Teammates’ over 6,400 mentors are not functioning with the same goals and requirements as the funding state program READ Nebraska program requires. Whether this is intentional “looking the other way“ by the state agency to comply with Pillen’s personal wishes due to Pillen’s admiration of Osborne, or another alarming occurrence of Pillen’s favoritism (ignoring the laws) coming to light (the $2,5 million no-bid consulting contract), or an indication of something far worse, needs to be explored by the press, and even more significantly by Mr Foley through an audit, or even a legislative investigation.
PS. This is not the same Molly as the January 29 comment.
Thank you for this informative article including the graphs and expense reimbursement requests. Hope there could be follow-up on : Number of Nebraska School Districts served by size (Class A, Class B etc). Number of out of State Districts by location. Number of book vending machines. How can a volunteer and what is expected of mentors?
Thank you so much for this informative article. It took courage to report on this issue in a state where Coach Osborne is so respected. I respect the TeamMates program but like many previous commenters, I don’t think its mission aligns with the grant’s purpose. My thought when I read about all the money being granted to improve reading was why isn’t the money be given to organizations that really know how to teach reading–Nebraska’s schools?
This is troublesome. Teammates is a great program, but in the hour per week the mentors and mentees meet, literacy is NOT the focus. It’s about building stable relationships.
This needs to be further investigated. Literacy non-profits would be a better fit!
If this were really about improving reading, there would be some effort to track data to substantiate the improvement. Clearly there is not.
As many commenters have noted, TeamMates is a respected organization in this state, but as a person who spent many volunteer hours in my sons’ public elementary and middle school libraries where students met with their mentors, I often wondered why the program was scheduled to take students out of their classrooms for an hour during the school day. What were they missing? Maybe more reading practice?
Also, just out of curiosity, I wonder why this program is funded through the Dept. of Economic Development?
Thanks for your great reporting Sara!
Significant dollars being spent on advertising sponsorships to sports teams, like the Supernovas, significant dollars being spent on popcorn, branded mugs and t-shirts, and “Mentoring Matters” books written by Tom Osborne himself. What do these things have to do with improving literacy? Teammates has a multi-million endowment not mentioned in the article.