LINCOLN, Neb. (AP) — Nebraska lawmakers gave initial approval Tuesday to a state budget bill that includes $53.5 million to lay the groundwork for a canal project to divert water out of Colorado, plus millions of dollars for other projects around the state.

The budget measure advanced through the first of three votes, 39-4, despite protests from some lawmakers who said the state isn’t doing enough for parts of Nebraska that need it most.

The bill would dig into the state’s $1.3 billion cash reserve for a variety of projects, including $30 million for a rural workforce housing grant program, $100 million for recreational water projects, $8.3 million to finish a bike trail between Lincoln and Omaha and $30 million for work at Offutt Air Force Base, among other spending.

The canal project is one of the top priorities identified by legislative leaders and Gov. Pete Ricketts as a way to preserve Nebraska’s long-term water supply from the Platte River. Critics have questioned the need for the project, which would allow Nebraska to divert water out of the South Platte River in northeast Colorado.

Nebraska has also received $1.04 billion in federal pandemic relief that must be spent by 2026.

Sen. Justin Wayne, of Omaha, took issue with what he considered a lack of funding for north Omaha, a historically Black area of the city with a large amount of poverty and the state’s highest unemployment rate.

Under the recommendations of the Legislature’s budget-writing Appropriations Committee, north Omaha would be guaranteed $50 million in federal pandemic money for housing and $60 million for an industrial site near Eppley Airfield, the state’s largest airport, which is in Wayne’s district. It’s possible, though not guaranteed, that the district could qualify for other federal pandemic assistance.

Wayne has proposed $450 million to promote economic development in north Omaha.

Wayne argued that lawmakers are trying to steer too much of Nebraska’s state and federal money into projects that benefit wealthier residents. He pointed to a proposal to create a massive lake between Lincoln and Omaha and proposed upgrades at Offutt Air Force Base that wouldn’t be closed to the general public.

“You want to defend that?” Wayne said. “Don’t come to my community and say that, because they’ll call B.S.”

Sen. Anna Wishart, a member of the Appropriations Committee, said she considered helping north Omaha a big priority, but warned lawmakers not to spend too much money.

“We should absolutely be leaving this session with a healthy cash reserve,” said Wishart, of Lincoln.