State patrol changes delayed, school retirement bill advanced

A measure on final reading that would gradually reduce contribution rates to the School Employees Retirement System based on its actuarial funding level was returned to select file April 28 to delay implementation of changes to the State Patrol Retirement System.

LB645, introduced by Sen. Beau Ballard of Lincoln at the request of Gov. Jim Pillen, would require different contribution levels from school plan participants, employers and the state, contingent on the funded ratio on the actuarial value of assets in the previous year.

The measure was amended on select file April 24 to include provisions of Lincoln Sen. Eliot Bostar’s LB76, which would make changes to the Nebraska State Patrol Retirement System. The provisions would increase survivor benefits under the plan from 75% of a plan member’s benefit to 100% of a plan member’s benefit.

Ballard offered a successful motion to return LB645 from final reading to consider an amendment to delay implementation of those changes until July 1, 2027.

The state’s fiscal landscape changed after a meeting of the Nebraska Economic Forecasting Advisory Board last week, Ballard said, and pushing off the State Patrol changes in LB645 until the next biennium would save approximately $3 million in state general funds.

Bostar said he “reluctantly” supported the amendment as the best of “bad options.” He said the altered fiscal outlook left lawmakers in a difficult position.

“Unfortunately, we won’t be able to implement [this] as soon as a lot of us would like,” Bostar said.

Sen. Danielle Conrad of Lincoln also supported the amendment, but questioned legislators’ priorities. She said many other proposals with far greater fiscal impact are “flying through” the lawmaking process this session.

“If … surviving spouses of the hardworking men and women who literally put their lives on the line in our State Patrol can’t have access to a full and dignified retirement program, what does that say about our priorities?” Conrad said.

Ballard said stakeholders are committed to working together going forward to make sure that State Patrol members are taken care of in relation to their retirement plan benefits.

Following the 41-0 adoption of the Ballard amendment, senators advanced LB645 to final reading by voice vote.