Welcome to NPERS!
Welcome to NPERS!


        





Legislative Information

 

Link to Nebraska Legislature Website

Link to Nebraska Legislature Webcam


Committee on Nebraska Retirement Systems

  Sen. Mark Kolterman Chairperson
  Sen. Mike Groene
  Sen. Rick Kolowski
  Sen. Brett Lindstrom
  Sen. Kate Bolz
  Sen. John Stinner

Retirement Laws

  County 23-2301 through 23-2334
  Judges 24-701 through 24-714
  Domestic Relations Order 42-1101 through 42-1113
  Investment Council 72-1237 through 72-1269
  School 79-901 through 79-977.03
  Patrol 81-2014 through 81-2040
  State 84-1301 through 84-1333
  PERB/DCP 84-1501 through 84-1513

Legislative Archives

  105th Legislature - See Below
  104th Legislature - 2015/2016
  103rd Legislature - 2013/2014
  102nd Legislature - 2011/2012
  101st Legislature - 2009/2010
  100th Legislature - 2007/2008
  99th Legislature - 2005/2006
  98th Legislature - 2003/2004

105th Legislature

2017 Legislation (As of 2/15/2017)

Please Note: The legislative descriptions below are not intended to serve as a comprehensive explanation of proposed legislation. Links to the introduced legislation are provided for individuals who wish to review the full content of each bill.

Bill # Description Status
LB 31
School

Further defines service credit in the School Plan. Jury duty shall be included as service credit when the member is paid full compensation by the employer. Adds language limiting service credit to the statutory definitions.

For employees hired on or after July 1, 2017 , used sick and vacation leave must be leave accrued by the member in order to be counted as service credit. "Sick Leave Bank" or donated leave used by a member would not be eligible for service credit.

Would remove the language allowing employers to pay for purchases of service under the 12-month preretirement provision. The bill would require these purchases be paid in full by the employee.

Referred to Retirement Committee

Hearing scheduled 2/27/17

LB 32
All Plans

Would remove language to provide tax advice in the State and County Plans.

Allows Counties to make quarterly, semiannual, or annual payments to individuals receiving a prior service annuity.

Placed on General File

Hearing conducted 1/24/17

LB 169
All Plans

Would exempt retirement benefits from NE State taxes.

Referred to Retirement Committee

Hearing conducted 2/10/17

LB 219
Judges, School, Patrol, and State/County Cash Balance

State & County Cash Balance
Currently, State and County Cash Balance annuity rates are determined using the 1994 Group Annuity Mortality Table. This bill would allow the use of updated mortality factors. Provisions would apply to Cash Balance members hired after January 1, 2018; or terminated members rehired on or after January 1, 2018, who have taken a distribution or refund from their account.

Clarifies that the Public Employees Retirement Board may make adjustments to the Cash Balance annuity rate based on a recommendation from the plan actuary after completion of an actuarial experience study, a benefit adequacy study, or a plan valuation.

School/Judges/State Patrol
Currently, annuity rates are determined using the 1994 Group Annuity Mortality Table and an 8% annuity rate. This bill would allow the use of updated mortality factors and allow the Public Employees Retirement Board (PERB) to adjust the annuity rate. Adjustments to mortality tables and annuity rates "shall be recommended by the actuary and approved by the PERB following an actuarial experience study, a benefit adequacy study, or a plan valuation." These provisions would apply to members hired after July 1, 2017; or terminated members rehired on or after July 1, 2017, who have taken a retirement benefit or refund of their account.

Referred to Retirement Committee

Hearing conducted 1/31/17

LB 278
School, State/County

State & County
The bill clarifies disability as "…an inability to engage in any a substantially gainful activity by reason of any medically determinable physical or mental impairment which began while the member was a participant in the plan and which was initially diagnosed or which became disabling while the member was an active participant in the plan and can be expected to result in death or be of a long-continued and indefinite duration."

The bill also allows the Public Employees Retirement Board (PERB) to waive the requirement for a medical exam for disability retirement if the PERB determines "…extraordinary circumstances exist which preclude substantial gainful activity by the member. Such circumstances shall include hospice placement or similar confinement for a terminal illness or injury."

School
The bill would modify the application time frame for disability retirement. Under current law, work related disability applications may be made within five years of termination, and non-work related applications within one year. LB 278 would require all disability applications be made within one year of termination of employment.

In addition, the bill would allow the retirement board to require any disability beneficiary who has not attained age of fifty-five to undergo a medical examination at the expense of the board once each year. If any disability beneficiary refuses to undergo such an examination, the disability retirement benefit may be discontinued by the board.

Referred to Retirement Committee

Hearing conducted 2/3/17

LB 412
All Plans

This bill would require the Nebraska State Investment Officer to:

  • "Determine the extent to which state funds are invested in companies or funds which derive a substantial portion of their revenue from extraction or combustion of fossil fuels."
  • "Review the extent to which state funds are invested in companies or funds which derive a substantial portion of their revenue from clean energy and opportunities for investment in clean energy investment."
  • "Report on the volatility and risk associated with identified fossil fuel investments."
  • "Begin the process of clean energy investment to the extent it is consistent with prudent investment strategies."
  • "Provide a status report to the Governor and to the Clerk of the Legislature no later than December 15, 2017."

Referred to Retirement Committee

Hearing scheduled 2/21/17

LB 413
State Patrol & Judges

Would increase the filing time for retirement applications from 90 to 120 days prior to effective date of retirement.

Clarifies language relating to supplemental cost-of-living payments.

Referred to Retirement Committee

Hearing conducted 2/3/17

LB 414
Judges

This bill would change how the Judges Plan is funded. Effective July 1, 2017, the portion of court fees currently appropriated to the retirement fund would be diverted to the general fund. Each July 1st an annual employer matching contribution (of a currently undesignated percentage of member compensation) would then be remitted to the Judges’ retirement fund.

Referred to Retirement Committee

Hearing conducted 2/10/17

LB 415
State Patrol, School, County, & State

School, State Patrol, County & State
Members who accept an early retirement incentive must incur a three year break in service prior to providing service in any capacity for any employer participating in the County, State, State Patrol, or School (including Omaha) Retirement Plans.

A member who qualified for and took retirement distributions from the plan and is subsequently employed or reemployed by any employer participating in the County, State, State Patrol, or School (including Omaha) Retirement Plans will not be eligible for vesting credit for their prior employment, and will be required to accrue 10 years of service to vest. They will not be eligible for retirement benefits under disability provisions.

State, County, & State Patrol
New language stipulates a termination has not occurred if a member enters into an employer-employee relationship in any capacity, with any employer participating in the plan, prior to a 120-day break in service. In any capacity would include temporary, part-time, voluntary, or substitute service.

New language also adds additional employers to termination and break in service requirements. Members would not be classified as terminated if they provide service which qualifies them for participation in the State Patrol, State, or School (including Omaha) Retirement Plans prior to a 120-day break in service.

Effective July 1, 2017, a retired member who is hired or rehired in any capacity by an employer participating in the School (Including Omaha), State Patrol, County, or State Retirement Plans, shall "certify under oath or affirmation that, prior to retirement, he or she did not have a prearranged agreement to work after retirement with any such employer."

School
New language stipulates a member cannot enter into an employer-employee relationship in any capacity, with an employer participating in the plan, prior to a 180-day break in service. In any capacity would include, but not be limited to, temporary, part-time, voluntary, or substitute service. In addition, the 180-day reemployment provisions would be expanded to include employment at Omaha Public Schools, and employers/agencies participating in the State, County, and State Patrol Retirement Plans.

Effective July 1, 2017, a retired member shall also certify under oath that, prior to retirement, there was no prearranged agreement to commence employment in any capacity with an employer participating in the Class V School (Omaha), County, State Patrol, or State Retirement Plans.

Members hired on or after July 1, 2017, would not be eligible for the "Rule of 85" early retirement and would instead fall under "Rule of 90" provisions. Under the Rule of 90, these members would qualify for unreduced benefits starting at age 60 if their attained age plus creditable service equals 90 or greater. This provision would also apply to participants who have taken a refund or retirement benefit and returned to membership (as a new employee) on or after July 1, 2017.

All employers participating in the plan must provide notification to the State Department of Education of all terminations of employment, hires, and rehires. Notification must be made within 15 calendar days. The State Department of Education shall forward this information to NPERS within 15 calendar days of receipt from the employer. Employers shall also be required to fulfill requests from the Public Employees Retirement Board such information as the board deems necessary which shall include, but not be limited to, certification by the employer and member that, prior to the member's retirement, there was no prearranged agreement to return to work in any capacity, including, but not limited to, acceptance of employment under a personal services contract as an independent contractor, as a consultant, or with a private leasing company, a temporary staffing agency, or any other company.

Patrol
The employer involved in the termination of employment and the officer shall certify under oath or affirmation that, prior to the officer's retirement, there was no prearranged agreement to return to work in any capacity, including, but not limited to, acceptance of employment under a personal services contract as an independent contractor, as a consultant, or with a private leasing company, a temporary staffing agency, or any other company.

Referred to Retirement Committee

Hearing scheduled 2/27/17

LB 532
All Plans

Would change military service credit provisions. Changes would only apply to military service that falls within the definition of military service per the Uniformed Services and Reemployment Rights Act of 1994 (USERRA).

Allows the Public Employees Retirement Board to adopt and promulgate rules and regulations to carry out these provisions including, but not limited to, notification of military service, acceptable methods of payment, determining the compensation upon which the contributions must be made, and the documentation required to substantiate that the individual was reemployed pursuant to USERRA regulations.

State & County
Would change provisions for military service rendered on or after January 1, 2018 . Under the new language, members who are reemployed after qualified military service will be granted vesting and benefit credit for the period of military service. The employer shall be responsible for funding military service benefits including member and employer contributions, and any additional actuarial costs to the plan.

School, Judges, & Patrol
Members who are reemployed after qualified military service will be granted vesting and benefit credit for the period of military service. The employer shall be responsible for funding military service benefits including member and employer contributions, and any additional actuarial costs to the plan.

Referred to Retirement Committee

Hearing conducted 2/13/17

LB 548
School

Would merge Omaha Public School Retirement (OSERS) into the Nebraska Public School Plan effective July 1, 2020. Requires NPERS use the current OSERS benefit and contribution structures for all active, deferred, inactive, disabled, and retirement members of the OSERS plan. Transfers all assets, rights, liabilities, and obligations of OSERS obligations to the School Plan. Requires the Retirement Systems Committee of the Legislature to contract with an actuary to provide an analysis that will identify the additional contribution to be made each year for additional funding that would have been required under OSERS to achieve the same funding ratio as the School Plan. Omaha Public School employees first hired on or after July 1, 2020, would participate in the School Plan provisions.

Referred to Retirement Committee

Hearing scheduled 2/23/17




© NPERS 2001 All Rights Reserved    Terms of Use    Online Privacy & Security Policy    Nebraska State Home Page