Omnibus retirement bill approved

A bill that makes numerous changes to the state’s retirement plans received final approval May 18.

LB415, introduced by Seward Sen. Mark Kolterman, creates a new “Rule of 85” with a minimum retirement age of 60 for new school employees. The change applies only to employees hired on or after July 1, 2018. Under the rule, an employee may retire at age 60 if their age plus their years of creditable service equal 85 or higher.

Also included are provisions of six additional measures introduced by Kolterman that make changes to the various state retirement plans, including:
LB31, which makes changes in the school employees retirement plan related to creditable service;
LB32, which changes the frequency and method of calculation of county prior service annuity payments in the County Employees Retirement Act;
LB110, which eliminates the obligation of political subdivisions to file annual reports on defined contribution plans after Dec. 31, 2017, and delete the requirement for the Public Employees Retirement Board to design and provide the annual reporting form;
LB278, which clarifies the definition of disability in the county, state and school plans;
LB413, which makes technical and clean-up changes to the judges and state patrol retirement plans; and
LB532, which makes changes regarding military service in the judges and state patrol plans.

Also included are provisions of LB219, introduced by the Nebraska Retirement Systems Committee, which make changes related to authorized benefit elections and actuarial assumptions.

The bill passed 48-0 and takes effect immediately.