Retirement Systems

Update to firefighter retirement changes advanced

Lawmakers gave first-round approval Jan. 31 to a measure intended to refine changes approved last session to the retirement contribution rates for certain Nebraska firefighters.

Sen. Mike Jacobson
Sen. Mike Jacobson

Nebraska law classifies cities based on population. First class cities are those with a population between 5,001 and 100,000.

Under LB108, beginning March 1, 2025, firefighters in an absolute coverage group — those who contribute to both the state’s firefighter retirement system and Social Security — would contribute 6.5% of their salary if they are employed by a city with more than 60,000 residents that is located in a county with a population of more than 100,000.

A qualifying city would contribute a sum equal to 13% of such firefighter’s salary to the retirement system.

North Platte Sen. Mike Jacobson, sponsor of LB108, said the measure would correct a provision in a bill passed last session that changed contribution rates for firefighters and municipalities in first class cities. The current proposal would impact only the city of Bellevue and full-time firefighters working there, he said.

Jacobson said an attempt in the 2024 bill to accommodate the desire of Bellevue to maintain contribution rates that existed prior to the measure’s passage inadvertently resulted in them being opted out of an offset included in the bill.

“The unintended result is that cities such as Bellevue are now subject to the higher contribution rates established by [that bill] without the benefit of the offset,” Jacobson said. “This oversight has created an undue financial burden on Bellevue firefighters, since they are contributing more than intended and taking home less pay.”

LB108 advanced to the second round of debate on a 35-0 vote.

Bookmark and Share
Share