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--- version:Introduced+++ version:(document, no version)@@ -1,403 +1,179 @@-LEGISLATURE OF NEBRASKA-ONE HUNDRED NINTH LEGISLATURE-FIRST SESSION-LEGISLATIVE BILL 76+NEBRASKA LEGISLATURE-Introduced by Bostar, 29.-Read first time January 09, 2025-Committee: Nebraska Retirement Systems-A BILL FOR AN ACT relating to the Nebraska State Patrol Retirement Act;1-to amend sections 81-2026, 81-2027.08, and 81-2027.09, Reissue2-Revised Statutes of Nebraska; to change provisions of the Nebraska3-State Patrol Retirement System relating to benefits provided upon4-the death of an officer and annual benefit adjustment calculations5-as prescribed; to repeal the original sections; and to declare an6-emergency. 7-Be it enacted by the people of the State of Nebraska,8-LB76-2025-LB76-2025--1--Section 1. Section 81-2026, Reissue Revised Statutes of Nebraska, is1-amended to read: 2-81-2026 (1)(a) Any officer qualified for an annuity as provided in3-section 81-2025 for reasons other than disability shall be entitled to4-receive a monthly annuity for the remainder of the officer's life. The5-annuity payments shall continue until the end of the calendar month in6-which the officer dies. The amount of the annuity shall be a percentage7-of the officer's final average monthly compensation. For retirement on or8-after the fifty-fifth birthday of the member or on or after the fiftieth9-birthday of a member who has been in the employ of the state for twenty-10-five years, as calculated in section 81-2033, the percentage shall be11-three percent multiplied by the number of years of creditable service, as12-calculated in section 81-2033, except that the percentage shall never be13-greater than seventy-five percent. 14-(b) For retirement pursuant to subsection (2) of section 81-2025 on15-or after the fiftieth birthday of the member but prior to the fifty-fifth16-birthday of the member who has been in the employ of the state for less17-than twenty-five years, as calculated in section 81-2033, the annuity18-which would apply if the member were age fifty-five at the date of19-retirement shall be reduced by five-ninths of one percent for each month20-by which the early retirement date precedes age fifty-five or for each21-month by which the early retirement date precedes the date upon which the22-member has served for twenty-five years, whichever is earlier. Any23-officer who has completed thirty years of creditable service with the24-Nebraska State Patrol shall have retirement benefits computed as if the25-officer had reached age fifty-five. 26-(c) For purposes of this computation: 27-(i) For an officer who became a member prior to July 1, 2016, final28-average monthly compensation means the sum of the officer's total29-compensation during the three twelve-month periods of service as an30-officer in which compensation was the greatest divided by thirty-six and:31-LB76-2025-LB76-2025--2--(A) For any officer employed on or before January 4, 1979, the1-officer's total compensation includes payments received for unused2-vacation and sick leave accumulated during the final three years of3-service; or 4-(B) For any officer employed after January 4, 1979, and prior to5-July 1, 2016, the officer's total compensation includes payments received6-for unused holiday compensatory time and unused compensatory time; and7-(ii) For an officer who became a member on or after July 1, 2016,8-final average monthly compensation means the sum of the officer's total9-compensation during the five twelve-month periods of service as an10-officer in which compensation was the greatest divided by sixty and does11-not include payments received for unused sick leave, unused vacation12-leave, unused holiday compensatory time, unused compensatory time, or any13-other type of unused leave, compensatory time, or similar benefits,14-converted to cash payments. The five twelve-month periods used for15-calculating an officer's final average monthly compensation ends with the16-month during which the officer's final compensation is paid. In the17-determination of compensation, that part of an officer's compensation for18-the plan year which exceeds the officer's compensation for the preceding19-plan year by more than eight percent during the capping period shall be20-excluded. Such officer's compensation for the first plan year of the21-capping period shall be compared to the officer's compensation received22-for the plan year immediately preceding the capping period. For purposes23-of this subdivision, capping period means the five plan years preceding24-the officer's retirement date. The board may adopt and promulgate rules25-and regulations for the implementation of this section, including rules26-and regulations related to prorating, annualizing, or recalculating an27-officer's final average monthly compensation for each plan year in the28-capping period. 29-(2) Any officer qualified for an annuity as provided in section30-81-2025 for reasons of disability shall be entitled to receive a monthly31-LB76-2025-LB76-2025--3--annuity for the remainder of the period of disablement as provided in1-sections 81-2028 to 81-2030. The amount of the annuity shall be fifty2-percent of the officer's monthly compensation at the date of disablement3-if the officer has completed seventeen or fewer years of creditable4-service. If the officer has completed more than seventeen years of5-creditable service, the amount of the annuity shall be three percent of6-the final monthly compensation at the date of disablement multiplied by7-the total years of creditable service but not to exceed seventy-five8-percent of the final average monthly compensation as defined in9-subsection (1) of this section. The date of disablement shall be the date10-on which the benefits as provided in section 81-2028 have been exhausted.11-(3) Upon the death of an officer after retirement for reasons other12-than disability, benefits shall be provided as a percentage of the amount13-of the officer's annuity, calculated as follows: 14-(a) If there is a surviving spouse but no dependent child or15-children of the officer under nineteen years of age, the surviving spouse16-shall receive a benefit equal to one hundred seventy-five percent of the17-amount of the officer's annuity for the remainder of the surviving18-spouse's life; 19-(b) If there is a surviving spouse and the surviving spouse has in20-his or her care a dependent child or children of the officer under21-nineteen years of age and there is no other dependent child or children22-of the officer not in the care of the surviving spouse under nineteen23-years of age, the benefit shall be equal to one hundred percent of the24-officer's annuity. When there is no remaining dependent child of the25-officer under nineteen years of age, the benefit shall be one hundred26-seventy-five percent of the amount of the officer's annuity to the27-surviving spouse for the remainder of the surviving spouse's life;28-(c) If there is a surviving spouse and the surviving spouse has in29-his or her care a dependent child or children of the officer under30-nineteen years of age or there is another dependent child or children of31-LB76-2025-LB76-2025--4--the officer under nineteen years of age not in the care of the surviving1-spouse, the benefit shall be twenty-five percent of the amount of the2-officer's annuity to the surviving spouse and seventy-five percent of the3-amount of the officer's annuity to the dependent children of the officer4-under nineteen years of age to be divided equally among such dependent5-children but in no case shall the benefit received by a surviving spouse6-and dependent children residing with such spouse be less than fifty7-percent of the amount of the officer's annuity. At such time as any8-dependent child of the officer attains nineteen years of age, the benefit9-shall be divided equally among the remaining dependent children of the10-officer who have not yet attained nineteen years of age. When there is no11-remaining dependent child of the officer under nineteen years of age, the12-benefit shall be one hundred seventy-five percent of the amount of the13-officer's annuity to the surviving spouse for the remainder of the14-surviving spouse's life; 15-(d) If there is no surviving spouse and a dependent child or16-children of the officer under nineteen years of age, the benefit shall be17-equal to one hundred seventy-five percent of the officer's annuity to the18-dependent children of the officer under nineteen years of age to be19-divided equally among such dependent children. At such time as any20-dependent child of the officer attains nineteen years of age, the benefit21-shall be divided equally among the remaining dependent children of the22-officer who have not yet attained nineteen years of age; and23-(e) If there is no surviving spouse or no dependent child or24-children of the officer under nineteen years of age, the amount of25-benefit such officer has received under the Nebraska State Patrol26-Retirement Act shall be computed. If such amount is less than the27-contributions to the State Patrol Retirement Fund made by such officer,28-plus regular interest, the difference shall be paid to the officer's29-designated beneficiary or estate. 30-(4) Upon the death of an officer after retirement for reasons of31-LB76-2025-LB76-2025--5--disability, benefits shall be provided as if the officer had retired for1-reasons other than disability. 2-(5) Upon the death of an officer before retirement, benefits shall3-be provided as if the officer had retired for reasons of disability on4-the date of such officer's death, calculated as follows:5-(a) If there is a surviving spouse but no dependent child or6-children of the officer under nineteen years of age, the surviving spouse7-shall receive a benefit equal to one hundred seventy-five percent of the8-amount of the officer's annuity for the remainder of the surviving9-spouse's life; 10-(b) If there is a surviving spouse and the surviving spouse has in11-his or her care a dependent child or children of the officer under12-nineteen years of age and there is no other dependent child or children13-of the officer not in the care of the surviving spouse under nineteen14-years of age, the benefit shall be equal to one hundred percent of the15-officer's annuity. When there is no remaining dependent child of the16-officer under nineteen years of age, the benefit shall be one hundred17-seventy-five percent of the amount of the officer's annuity to the18-surviving spouse for the remainder of the surviving spouse's life;19-(c) If there is a surviving spouse and the surviving spouse has in20-his or her care a dependent child or children of the officer under21-nineteen years of age or there is another dependent child or children of22-the officer under nineteen years of age not in the care of the surviving23-spouse, the benefit shall be twenty-five percent of the amount of the24-officer's annuity to the surviving spouse and seventy-five percent of the25-amount of the officer's annuity to the dependent children of the officer26-under nineteen years of age to be divided equally among such dependent27-children but in no case shall the benefit received by a surviving spouse28-and dependent children residing with such spouse be less than fifty29-percent of the amount of the officer's annuity. At such time as any30-dependent child of the officer attains nineteen years of age, the benefit31-LB76-2025-LB76-2025--6--shall be divided equally among the remaining dependent children of the1-officer who have not yet attained nineteen years of age. When there is no2-remaining dependent child of the officer under nineteen years of age, the3-benefit shall be one hundred seventy-five percent of the amount of the4-officer's annuity to the surviving spouse for the remainder of the5-surviving spouse's life; 6-(d) If there is no surviving spouse and a dependent child or7-children of the officer under nineteen years of age, the benefit shall be8-equal to one hundred seventy-five percent of the officer's annuity to the9-dependent children of the officer under nineteen years of age to be10-divided equally among such dependent children. At such time as any11-dependent child of the officer attains nineteen years of age, the benefit12-shall be divided equally among the remaining dependent children of the13-officer who have not yet attained nineteen years of age; and14-(e) If no benefits are paid to a surviving spouse or dependent child15-or children of the officer, benefits will be paid as described in16-subsection (1) of section 81-2031. 17-(6) A lump-sum death benefit paid to the member's beneficiary, other18-than the member's estate, that is an eligible distribution may be19-distributed in the form of a direct transfer to a retirement plan20-eligible to receive such transfer under the provisions of the Internal21-Revenue Code. 22-(7) For any member whose death occurs on or after January 1, 2007,23-while performing qualified military service as defined in section 414(u)24-of the Internal Revenue Code, the member's beneficiary shall be entitled25-to any additional death benefit that would have been provided, other than26-the accrual of any benefit relating to the period of qualified military27-service. The additional death benefit shall be determined as if the28-member had returned to employment with the Nebraska State Patrol and such29-employment had terminated on the date of the member's death.30-(8) Any changes made to this section by Laws 2004, LB 1097, shall31-LB76-2025-LB76-2025--7--apply only to retirements, disabilities, and deaths occurring on or after1-July 16, 2004. 2-Sec. 2. Section 81-2027.08, Reissue Revised Statutes of Nebraska, is3-amended to read: 4-81-2027.08 (1) Beginning July 1, 2011, and each July 1 thereafter,5-the board shall determine the number of retired members or beneficiaries6-described in subdivision (4)(b) of this section in the retirement system7-and an annual benefit adjustment shall be made by the board for each8-retired member or beneficiary under one of the cost-of-living adjustment9-calculation methods found in subsection (2), (3), or (4) of this section.10-Each retired member or beneficiary, if eligible, shall receive an annual11-benefit adjustment under the cost-of-living adjustment calculation method12-that provides the retired member or beneficiary the greatest annual13-benefit adjustment increase. No retired member or beneficiary shall14-receive an annual benefit adjustment under more than one of the cost-of-15-living adjustment calculation methods provided in this section.16-(2) The current benefit paid to a retired member or beneficiary17-under this subsection shall be adjusted so that the purchasing power of18-the benefit being paid is not less than sixty percent of the purchasing19-power of the initial benefit. The purchasing power of the initial benefit20-in any year following the year in which the initial benefit commenced21-shall be calculated by dividing the United States Department of Labor,22-Bureau of Labor Statistics, Consumer Price Index for Urban Wage Earners23-and Clerical Workers factor on June 30 of the current year by the24-Consumer Price Index for Urban Wage Earners and Clerical Workers factor25-on June 30 of the year in which the benefit commenced. The result shall26-be multiplied by the product that results when the amount of the initial27-benefit is multiplied by sixty percent. In any year in which applying the28-adjustment provided in subsection (3) of this section results in a29-benefit which would be less than sixty percent of the purchasing power of30-the initial benefit as calculated in this subsection, the adjustment31-LB76-2025-LB76-2025--8--shall instead be equal to the percentage change in the Consumer Price1-Index for Urban Wage Earners and Clerical Workers factor from the prior2-year to the current year. 3-(3) The current benefit paid to a retired member or beneficiary4-under this subsection shall be increased annually by the lesser of : 5-(a) The the percentage change in the Consumer Price Index for Urban6-Wage Earners and Clerical Workers for the period between June 30 of the7-prior year to June 30 of the present year ; or 8-(b)(i) Prior to July 1, 2025, (b) two and one-half percent ; and .9-(ii) Beginning July 1, 2025, four percent. 10-(4)(a) The current benefit paid to a retired member or beneficiary11-under this subsection shall be calculated by multiplying the retired12-member's or beneficiary's total monthly benefit by the lesser of (i) the13-cumulative change in the Consumer Price Index for Urban Wage Earners and14-Clerical Workers from the last adjustment of the total monthly benefit of15-each retired member or beneficiary through June 30 of the year for which16-the annual benefit adjustment is being calculated or (ii) an amount equal17-to three percent per annum compounded for the period from the last18-adjustment of the total monthly benefit of each retired member or19-beneficiary through June 30 of the year for which the annual benefit20-adjustment is being calculated. 21-(b) In order for a retired member or beneficiary to receive the22-cost-of-living adjustment calculation method in this subsection, the23-retired member or beneficiary shall be (i) a retired member or24-beneficiary who has been receiving a retirement benefit for at least five25-years if the member had at least twenty-five years of creditable service,26-(ii) a member who has been receiving a disability retirement benefit for27-at least five years pursuant to section 81-2025, or (iii) a beneficiary28-who has been receiving a death benefit pursuant to section 81-2026 for at29-least five years, if the member's or beneficiary's monthly accrual rate30-is less than or equal to the minimum accrual rate as determined by this31-LB76-2025-LB76-2025--9--subsection. 1-(c) The monthly accrual rate under this subsection is the retired2-member's or beneficiary's total monthly benefit divided by the number of3-years of creditable service earned by the retired or deceased member.4-(d) The total monthly benefit under this subsection is the total5-benefit received by a retired member or beneficiary pursuant to the6-Nebraska State Patrol Retirement Act and previous adjustments made7-pursuant to this section or any other provision of the act that grants a8-benefit or cost-of-living increase, but the total monthly benefit shall9-not include sums received by an eligible retired member or eligible10-beneficiary from federal sources. 11-(e) Beginning July 1, 2010, the minimum accrual rate under this12-subsection was forty dollars and sixteen cents. Beginning July 1, 2011,13-the minimum accrual rate under this subsection was forty-one dollars and14-seventy-nine cents. Beginning July 1, 2012, the minimum accrual rate15-under this subsection was forty-two dollars and forty-five cents.16-Beginning July 1, 2013, the board shall annually adjust the minimum17-accrual rate to reflect the cumulative percentage change in the Consumer18-Price Index for Urban Wage Earners and Clerical Workers from the last19-adjustment of the minimum accrual rate. 20-(5) Beginning July 1, 2011, and each July 1 thereafter, each retired21-member or beneficiary shall receive the sum of the annual benefit22-adjustment and such retiree's total monthly benefit less withholding,23-which sum shall be the retired member's or beneficiary's adjusted total24-monthly benefit. Each retired member or beneficiary shall receive the25-adjusted total monthly benefit until the expiration of the annuity option26-selected by the member or until the retired member or beneficiary again27-qualifies for the annual benefit adjustment, whichever occurs first.28-(6) The annual benefit adjustment pursuant to this section shall not29-cause a current benefit to be reduced, and a retired member or30-beneficiary shall never receive less than the adjusted total monthly31-LB76-2025-LB76-2025--10--benefit until the annuity option selected by the member expires.1-(7) The board shall adjust the annual benefit adjustment provided in2-this section so that the cost-of-living adjustment provided to the3-retired member or beneficiary at the time of the annual benefit4-adjustment does not exceed the change in the Consumer Price Index for5-Urban Wage Earners and Clerical Workers for the period between June 30 of6-the prior year to June 30 of the present year. If the consumer price7-index used in this section is discontinued or replaced, a substitute8-index published by the United States Department of Labor shall be9-selected by the board which shall be a reasonable representative10-measurement of the cost-of-living for retired employees.11-(8) This section applies to an officer who became a member prior to12-July 1, 2016. 13-Sec. 3. Section 81-2027.09, Reissue Revised Statutes of Nebraska, is14-amended to read: 15-81-2027.09 On July 1 of each year, for officers who became members16-on or after July 1, 2016: 17-(1) The board shall determine the number of retired members or18-beneficiaries of members in the retirement system who became members on19-or after July 1, 2016, and an annual benefit adjustment shall be made by20-the board for each such retired member or beneficiary. The benefit paid21-to a retired member or beneficiary under this section shall be increased22-annually by the lesser of : 23-(a) The the percentage change in the Consumer Price Index for Urban24-Wage Earners and Clerical Workers for the period between June 30 of the25-prior year to June 30 of the present year ; or 26-(b)(i) Prior to July 1, 2025, (b) one percent ; and .27-(ii) Beginning July 1, 2025, four percent. 28-(2) If the consumer price index used in this section is discontinued29-or replaced, a substitute index published by the United States Department30-of Labor shall be selected by the board which shall be a reasonable31-LB76-2025-LB76-2025--11--representative measurement of the cost-of-living for retired employees;1-(3) (2) Each retired member or beneficiary shall receive the sum of2-the annual benefit adjustment and such retired member's or beneficiary's3-total monthly benefit less withholding, which sum shall be the retired4-member's or beneficiary's adjusted total monthly benefit. Each such5-retired member or beneficiary shall receive the adjusted total monthly6-benefit until the expiration of the annuity option selected by the member7-or until the retired member or beneficiary again qualifies for the annual8-benefit adjustment, whichever occurs first; and 9-(4) (3) The annual benefit adjustment pursuant to this section shall10-not cause a current benefit to be reduced, and a retired member or11-beneficiary shall never receive less than the adjusted total monthly12-benefit until the annuity option selected by the member expires.13-Sec. 4. Original sections 81-2026, 81-2027.08, and 81-2027.09,14-Reissue Revised Statutes of Nebraska, are repealed.15-Sec. 5. Since an emergency exists, this act takes effect when16-passed and approved according to law. 17-LB76-2025-LB76-2025--12-+ The official site of the Nebraska Unicameral Legislature++ MENU++ Home++ Chamber Viewer++View Bills++One Liners++Statutes++Summary++Hearings++Agenda++Journal++Budget++Rule Book++Constitution++ Legislature++About The Nebraska State Legislature++The Budget Process++History of the Unicameral++Lawmaking in Nebraska++Maps++Nebraska Blue Book++On Unicameralism++Photos++Publications++Senator Qualifications++Student Programs++Testifying at a Hearing++Unicameral Update++Visiting the Capitol++ Bills and Laws++Introduction++Search Bills++Search Laws++Print On Demand++Calendar++ Committees++About Standing and Special Committees++Standing Committees++Public Input Options++Select & Special Committees++Compact Commissions++Hearing Schedules++Occupational Board Reform Act Survey Results++ Legislative Divisions++Clerk of the Legislature++Legislative Oversight++Legislative Fiscal Office++Legislative Research Office++Public Counsel/Ombudsman++Revisor of Statutes++Legislative Histories++History Request++News++ Reports++Overview++Agencies++Committee++Fiscal/Budget++General Research++Interim Studies++Lobbyist Registration++Legislative Oversight++Public Counsel++Revisor of Statutes++ Senators++Senators' Landing Pages++Senators' Duties++Speaker++Find your Senator++Photos++Session Information++Transcripts++For Agencies++For Citizens++For Journalists++For Lobbyists++For Students and Teachers++Fiscal Notes for LB76 - Change provisions of the Nebraska State Patrol Retirement Act++Available Fiscal Notes++Fiscal Note for LB76 submitted January 14, 2026 10:06am++Fiscal Note for LB76 submitted February 20, 2025 12:00pm++ Frequent Questions++ Americans with Disabilities Act Notice++ Privacy Policy++ Glossary of Terms++ Contact Us++ Disclaimer++ OFFICIAL NEBRASKA GOVERNMENT WEBSITE++ Copyright © Nebraska Legislature, all rights reserved.
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