PREPARED BY: Bill Biven, Jr.
LB 179 DATE PREPARED: March 14, 2025
PHONE: 402-471-0054
Revision: 01
Revised to reflect adoption of AM592 FISCAL NOTE
LEGISLATIVE FISCAL ANALYST ESTIMATE
ESTIMATE OF FISCAL IMPACT – STATE AGENCIES (See narrative for political subdivision estimates)
FY 2025-26 FY 2026-27
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS
CASH FUNDS
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS
Any Fiscal Notes received from state agencies and political subdivisions are attached f ollowing the Legislative Fiscal Analyst Estimate.
LB179 amends §16- 1005 to change contribution rates for police officers employed by cities of the first class & to eliminate obsolete
provisions.
Prior to October 1, 2025, each police officer will contribute to the retirement system a sum equal to seven percent of their salary.
Beginning October 1, 2025, each police officer will contribute to the retirement system a sum equal to nine percent of their salary.
AM592 allows firefighters employed by cities of the first class to receive a payment of their retirement value in the form of a single lump-
sum payment or in the form of one or more partial payments of their retirement value in an amount & frequency elected by the
firefighter.
FISCAL IMPACT:
There is no fiscal impact to the state. The impact will be with the cities of the first class.
ADMINISTRATIVE SERVICES STATE BUDGET DIVISION: REVIEW OF AGENCY & POLT. SUB. RESPONSE
LB: 179 AM: 592 AGENCY/POLT. SUB: Nebraska Public Employees Retirement Systems (NPERS)
REVIEWED BY: Ryan Walton DATE: 3/12/2025 PHONE: (402) 471-4174
COMMENTS: NPER S’ assessment of fiscal impact from LB 179, as amended by AM592, appears reasonable.
ADMINISTRATIVE SERVICES STATE BUDGET DIVISION: REVIEW OF AGENCY & POLT. SUB. RESPONSE
LB: 179 AM: 592 AGENCY/POLT. SUB: City of Ke arney
REVIEWED BY: Ryan Walton DATE: 3/12/2025 PHONE: (402) 471-4174
COMMENTS: No basis to disagree with the City of Kearney’s assessment of fiscal impact from LB 179, as amended by
AM592.
ADMINISTRATIVE SERVICES STATE BUDGET DIVISION: REVIEW OF AGENCY & POLT. SUB. RESPONSE
LB: 179 AM: 592 AGENCY/POLT. SUB: City of Norfolk
REVIEWED BY: Ryan Walton DATE: 3/13/2025 PHONE: (402) 471-4174
COMMENTS: No basis to disagree with the City of Norfolk’s assessment of fiscal impact from LB 179, as amended by
AM592.
Please complete ALL (5) blanks in the first three lines. 2025
LB
(1) 179 – AM 592 FISCAL NOTE
State Agency OR Political Subdivision Name:
(2)
City of Kearney
Prepared by:
(3) Brad DeMers Date Prepared:
(4)
3/11/2025 Phone:
(5)
308-233-3210
ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION
FY 2025-26 FY 2026-27
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS
$123,497 $129,054
CASH FUNDS
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS
$123,497 $129,054
Explanation of Estimate:
The adopted of AM 592 and the enactment of LB 179 would increase the City’s expenditures by:
$123,497 in FY 2026
$129,054 in FY 2027
$134,861 in FY 2028
The amendment would strike the original sections of LB 179 and insert the same language of LB 179 and add provisions
of LB 461 which would require the City to provide that any firefighter whose retirement date is on or after January 1,
1997, the optional benefit forms for the retirement system to include annual payments, quarterly payments, monthly
payments, or a single lump-sum payment of the firefighter's retirement value. Provisions of LB 179 have the
aforementioned fiscal effect. AM 592 has no fiscal effect.
_____________________________________________________________________________________________________ _
BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE
Personal Services:
POSITION TITLE
NUMBER OF POSITIONS
25-26 26-27
2025-26
EXPENDITURES
2026-27
EXPENDITURES
Benefits………………………………...……
Operating…………………………...……….
Travel………………………………………..
Capital outlay…………………...…………..
Aid…………………………………………...
Capital improvements……………………...
TOTAL……………………………… .....
$97,69Please complete ALL (5) blanks in the first three lines. 2025
LB
(1) 179 with AM 592 FISCAL NOTE
State Agency OR Political Subdivision Name:
(2)
City of Norfolk
Prepared by:
(3) Randy Gates Date Prepared:
(4)
3/12/25 Phone:
(5)
(402)844-2011
ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION
FY 2025-26 FY 2026-27
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS
$77,676 $81,039
CASH FUNDS
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS
$77,676 $81,039
Explanation of Estimate:
LB 179 amends Section 16- 1005 to increase police officer pension contributions from 7% to 9% of salary
effective October 1, 2025. Section 16- 1006 requires cities to contribute 100% of the amounts deducted in
accordance with Section 16- 1005, effectively increasing city pension contributions from 7% to 9% of salary.
The City of Norfolk budgeted covered police payroll of $3,722,606 for FYE September 30, 2025. Covered
payroll budgeted increased 4.33% from FYE 2024 to 2025. I assumed the same 4.33% increase in covered
payroll for each of the next two fiscal years.
FY 25-26 estimated covered payroll of $3,883,795 x 2%=$77,676
FY 26-27 estimated covered payroll of $4,051,963 x 2%=$81,039
AM 592 allows optional forms of payment from 1
st
class city fire retirement systems and has no financial impact
and does not change the financial impact of the or iginal LB 179.
_____________________________________________________________________________________________________ _
BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE
Personal Services:
POSITION TITLE
NUMBER OF POSITIONS
25-26 26-27
2025-26
EXPENDITURES
2026-27
EXPENDITURES
Benefits………………………………...…… $77,676 $81,039
Operating…………………………...……….
Travel………………………………………..
Capital outlay…………………...…………..
Aid…………………………………………...
Capital improvements……………………...
TOTAL……………………………… ..... $77,676 $81,039
Please complete ALL (5) blanks in the first three lines. 2025
LB
(1) 179 AM 592 FISCAL NOTE
State Agency OR Political Subdivision Name:
(2)
Nebraska Public Employees Retirement Systems (NPERS)-
085
Prepared by:
(3) Teresa Zulauf Date Prepared:
(4)
3/11/2025 Phone:
(5)
402-471-7745
ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION
FY 2025-26 FY 2026-27
EXPENDITURES REVENUE EXPENDITURES REVENUE
GENERAL FUNDS
CASH FUNDS
0 0 0 0
FEDERAL FUNDS
OTHER FUNDS
TOTAL FUNDS
0 0 0 0
Explanation of Estimate:
NPERS does not administer the retirement plan for police officers employed by cities of the first class .
No fiscal impact to NPERS Agency 085 operations expenditures.
_____________________________________________________________________________________________________ _
BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE
Personal Services:
POSITION TITLE
NUMBER OF POSITIONS
25-26 26-27
2025-26
EXPENDITURES
2026-27
EXPENDITURES
Benefits………………………………...……
Operating…………………………...……….
Travel………………………………………..
Capital outlay…………………...…………..
Aid…………………………………………...
Capital improvements……………………...
TOTAL……………………………… .....
LB 0179 AM592 Fiscal Note 2025
State Agency Estimate
State Agency Name: Department of Revenue Date Due LFO:
Approved by: James R. Kamm Date Prepared: 03/14/2025 Phone: 471-5896
FY 2025-2026 FY 2026-2027 FY 2027-2028
Expenditures Revenue Expenditures Revenue Expenditures Revenue
General Funds $ 0 $ 0 $ 0
Cash Funds
Federal Funds
Other Funds
Total Funds $ 0 $ 0 $ 0
Major Objects of Expenditure
25-26 26-27 27-28 25-26 26-27 27-28
Class Code Classification Title FTE FTE FTE Expenditures Expenditures Expenditures
Benefits………………………………………………………………………………………………………….
Operating Costs………………………………………………………………………………………………….
Travel……………………………………………………………………………………………………………
Capital Outlay…………………………………………………………………………………………………...
Capital Improvements…………………………………………………………………………………………...
Total…………………………………………………………………………………………………………….
LB 179 AM592 retains all portions of LB 179 and adds the following:
1) Starting October 1, 2025, police officers employed by cities of the first class shall contribute nine percent
of their salary to the retirement system.
2) Requires the retirement system to offer firefighters who retire after January 1, 1997, the option to receive
their full retirement value in the form of a single lump-sum payment or in one or more partial payments
in an amount and frequency elected by the firefighter.
It is estimated that LB 179 AM592 will have no impact on General Fund revenues.
It is estimated that there will be no cost to the Department of Revenue to implement this bill.