The plan is to raise the minimum salary threshold up to $50,440 that would trigger the exemption.
Stan Carpenter, Nebraska State College System chancellor, says that change would cost his campuses an additional $590,000 annually.
“That’s what it would cost us to adjust by having people not work overtime, by hiring some new staff, by moving people up to the new threshold and the like,” Carpenter tells Nebraska Radio Network. “So if that’s the number, that’s where we are.”
Carpenter told state senators on the Appropriations Committee about the situation and asked for financial help. He says the alternative is raising tuition to cover the cost.
“They recognize that $600,000 is a lot of money to the state college system, and so they heard what we had to say,” Carpenter says. “Obviously, it’s a difficult circumstance given that the regulations are not in place yet, but we’re looking to be prepared.”
Carpenter says the new rule could take effect at any time.