Retirement Systems

Retirement bill amended, advanced

An omnibus retirement systems measure was amended to incorporate an additional bill and given second-round approval April 6.

Sen. Mike McDonnell
Sen. Mike McDonnell

LB103, sponsored by Sen. Mike McDonnell of Omaha, would make technical changes to a bill passed in 2022 that codified retirement practices and rules for certified teachers covered by the State Code Agency Teachers Association contract who previously or subsequently are employed by a school district, educational service unit or any other state agency.

The bill was amended on general file to include provisions of LB104 and LB105, also sponsored by McDonnell.

LB104 would change the state, county, judges, school and state patrol retirement plans by raising the age from 72 to 73 for required minimum distributions in order to align with recently passed federal legislation. The RMD age would increase to 75 beginning in 2033.

LB105 would change various retirement plans to align with federal legislation that changed the definition of military service to include preparations for military service, rest and recovery after military service and state active service.

During select file debate, McDonnell offered an amendment to add provisions of his LB160 to the proposal.

Under the amendment, adopted 28-0, the supplemental retirement benefit rate for counties that participate in the County Employees Retirement Plan would increase from 1 to 2 percent of compensation in counties with a population of 85,000 or less. The rate in counties with a population greater than 85,000 would increase from 2 to 3 percent.

McDonnell said the change would apply to all Nebraska counties except Douglas and Lancaster, which do not participate in the county plan. The increase would help create a retirement plan for county sheriffs and deputies that is competitive with other law enforcement agencies, he said.

Lincoln Sen. Danielle Conrad supported the amendment, saying the change could help law enforcement recruitment and retention efforts.

Following adoption of an additional technical amendment, senators advanced LB103 to final reading by voice vote.

Bookmark and Share