Nebraska 2025 2025-2026 Regular Session

Nebraska Legislature Bill LB82 Introduced / Fiscal Note

Filed 01/30/2025

                    PREPARED BY: Mikayla Findlay 
LB 82 DATE PREPARED: January 23, 2025 
PHONE: 	402-471-0062 
    
Revision: 00  
  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 See below  See below  
 
Any Fiscal Notes received from state agencies and political subdivisions are attached following the Legislative Fiscal Analyst Estimate. 
 
This bill adopts the Cosmetology Licensure Compact for a licensing pathway to create reciprocity among participant states. Additional 
work would be required by the Department of Health and Human Services (DHHS) within Program 178 – Professional Licensure 
however the costs would be recouped through newly assessed fees. Minimal fiscal impact to DHHS.  
 
Applicants under the Compact, cosmetologists from other states and newly licensed or renewing Nebraska cosmetologists, would be 
subject to criminal background check by Nebraska State Patrol. The current rate for a criminal background check by fingerprinting is 
$45.25. If required, the fee would be paid by the applicant. NSP estimates needing an additional staff person to process the additional 
applications which are estimated to be approximately 1,000 annual licensees. The agency estimates needing additional General Funds 
to supplement the cash fund revenue 	anticipated.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 ADMINISTRATIVE SERVICES STATE BUDGET DIVISION: REVIEW OF AGENCY & POLT. SUB. RESPONSE 
LB:        82            AM:                                   AGENCY/POLT. SUB: Nebraska Department of Health & Human Services 
 
REVIEWED BY:      Ann Linneman                                	DATE:       1 -23-2025                  	PHONE: (402) 471-4180 
 
COMMENTS: Concur with the Nebraska Department of Education’s assessment of no fiscal impact. 
  
 
  
ADMINISTRATIVE SERVICES STATE BUDGET DIVISI ON: REVIEW OF AGENCY & POLT. SUB. RESPONSE    
LB:        82            AM:                                                      AGENCY/POLT. SUB: Nebraska State Patrol 
   
REVIEWED BY:       Ann Linneman                                	DATE:       1 -21-2025                  	PHONE: (402) 471-4180 
   
COMMENTS: Concur with the Nebraska State Patrol’s assessment of fiscal impact. 
  
   
  
 
 
   
 
 
LB (1) 82 	FISCAL NOTE 	2025 
 
 ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION  
State Agency or Political Subdivision Name:(2) Department of Health and Human Services 
Prepared by: (3) John Meals 	Date Prepared 1-17-25 	Phone: (5) 471-6719 
 	FY 2025-2026  	FY 2026-2027 
 	EXPENDITURES REVENUE EXPENDITURES REVENUE 
GENERAL FUNDS      
CASH FUNDS 	$0   	$0  
FEDERAL FUNDS      
OTHER FUNDS      
TOTAL FUNDS 	$0 	$0  	$0 	$0 
 
 
Return by date specified or 72 hours prior to public hearing, whichever is earlier. 
Explanation of Estimate: 
 
LB82 proposes the Department of Health and Human Services (DHHS) to create the Cosmetology Licensure 
Compact to facilitate interstate practice and regulation of cosmetology by establishing a regulatory framework 
for a new multistate licensing program. 
 
DHHS, the division of Public Health will submit a uniform data set to the Commission Data System on all 
individuals to whom the Compact is applicable.  
 
The current IT Business Systems Analyst II in the Occupational Licensure Unit will need to update the current 
licensing database being used to be able to identify ‘single-	state’ versus ‘multi-state’ license and transferring 
data to the Commission’s Data System. The Department estim	ates about 80 hours of additional work to 
complete the update. 
 
 
 
MAJOR OBJECTS OF EXPENDITURE 
 
 
PERSONAL SERVICES: 
 	NUMBER OF POSITIONS 2025-2026 	2026-2027 
POSITION TITLE 	25-26 26-27 EXPENDITURES EXPENDITURES 
 
   
 
   
 
   
Benefits............................................................................................................................... 
  
Operating............................................................................................................................ 
  
Travel.................................................................................................................................. 
  
Capital Outlay..................................................................................................................... 
  
Aid...................................................................................................................................... 
  
Capital Improvements......................................................................................................... 
  
                   TOTAL............................................................................................................ 
$0 $0 
  Please complete ALL (5) blanks in the first three lines. 	2025 
LB
(1) 82 	FISCAL NOTE 
 
State Agency OR Political Subdivision Name: 
(2) 
Nebraska State Patrol 
 
Prepared by: 
(3) Carol Aversman Date Prepared: 
(4)
 01/15/2025 Phone: 
(5)
 402-471-4545 
 
                                           ESTIMATE PROVIDED BY STATE AGENCY OR POLITICAL SUBDIVISION                                  
 	FY 2025-26 	FY 2026-27 
 EXPENDITURES REVENUE EXPENDITURES REVENUE 
GENERAL FUNDS 
 
$18,621   $19,913  
 
CASH FUNDS 
 
$43,802  $43,802  $43,802  $43,802 
 
FEDERAL FUNDS 
 
    
 
OTHER FUNDS 
 
    
 
TOTAL FUNDS 
 
$62,423  $43,802  $63,715  $43,802 
 
 
Explanation of Estimate: 
LB 82 adopts the Cosmetology Licensure Compact.  In order to join the Compact, and to maintain eligibility as 
a Member State, a State must complete several requirements as specified in Article III, Section A of the bill.  
One of these requirements (Article III (A)(5)) is to implement procedures for considering one or more of the 
following categories of information from applicants for licensure:  criminal history; disciplinary history; or 
Background Check.  Such procedures may include the submission of information by applicants for the purpose 
of obtaining an applicant’s Background Check. 
 
The bill defines a Background Check as the submission of information for an applicant for the purpose of 
obtaining that applicant’s criminal history record information, as further defined in 28 C.F.R. §20.3(d), from the 
Federal Bureau of Investigation and the agency responsible for retaining State criminal or disciplinary history in 
the applicant’s Home State.   
 
If the procedure the State chooses to implement to comply with Article III (A) (5) consists of a criminal history 
or a Background Check, these duties fall under the responsibility of the Nebraska State Patrol.  While it is 
unknown which option will be chosen, for purposes of completing the fiscal note, it has been assumed 	that it 
will be either a criminal history or a Background Check. 
 
In consultation with the Department of Health and Human Services (DHHS), the Patrol has been advised that 
this bill does not require cosmetologists who are already licensed to undergo a retroactive background check 
unless they choose to join the compact.  However, going forward all new cosmetologists will be required to 
submit to a background check regardless of whether or not they choose to join the compact.  Based on a 3-
year average, DHHS has estimated the number of new licenses to be approximately 968 per year. For 
purposes of calculating the fiscal note, this amount of new applicants has been used as an estimate for future 
ongoing costs. 
 
The State Patrol has estimated that 1 additional full-time FTE will be needed in order to process the 	additional 
applications.  Total salaries and benefits for FY 26 are estimated at $33,856 and $12,865 per year 
respectively.  Salaries and benefits for FY 27 	are estimated at $34,872 and $13,251 per year respectively.   
Ongoing OCIO charges for laptop leases and support fees total $2,526 and $2,616 per year for FY 26 and FY 
27, respectively. Office supplies have been estimated at approximately $150 	per year. One-time costs for 
computer monitors total $200.  Lastly, fees charged by the FBI total $12,826 per year ($13.25 per applicant).  
 
Revenues have been estimated at $43,802 per year which will be deposited in the Nebraska State Patrol Cash 
Fund ($45.25 per applicant).   Note that the revenues received by the Cash Fund do not cover the full cost of 
the expenses.  Therefore, the shortfall has been reflected as General Fund costs.   
 
  _____________________________________________________________________________________________________ 	_ 
BREAKDOWN BY MAJOR OBJECTS OF EXPENDITURE 
Personal Services:      
POSITION TITLE 
NUMBER OF POSITIONS 
25-26               26-27 
2025-26 
EXPENDITURES 
2026-27 
EXPENDITURES 
Office Specialist  1 1 $33,856  $34,872 
   
Benefits………………………………...……   $12,865  $13,251 
Operating…………………………...……….   $15,502  $15,592 
Travel………………………………………..    
Capital outlay…………………...…………..   $200  
Aid…………………………………………...    
Capital improvements……………………...    
      TOTAL……………………………… .....   $62,423  $63,715