# Nebraska AG says Lincoln can't set own minimum wage  
**Published:** 2026-05-08T21:51:46.000Z  
**Source:** [Nebraska Examiner](https://nebraskaexaminer.com/briefs/nebraska-ag-says-lincoln-city-council-cant-set-own-minimum-wage/)  
**AI-generated:** yes (claude-haiku-4-5-20251001)  
**Canonical:** https://lincolne.news/article/nebraska-ag-says-lincoln-can-t-set-own-minimum-wage

LINCOLN, Neb. — Nebraska Attorney General Mike Hilgers has ruled that the City of Lincoln lacks the authority to impose a local minimum wage, dealing a major blow to a proposed ordinance that would override state legislation passed earlier this year.

In a 22-page [opinion released Thursday](https://nebraskaexaminer.com/briefs/nebraska-ag-says-lincoln-city-council-cant-set-own-minimum-wage/), Hilgers said the city's proposal would be "invalid and unenforceable" because it conflicts with state law. The ordinance, which was scheduled for a city council vote Monday, would have allowed minimum wage to increase beyond [a 1.75% annual cap established by LB258](https://klin.com/2026/04/23/lincoln-city-councilman-aims-to-restore-voter-approved-minimum-wage-without-exceptions/) and would have reversed a provision allowing employers to pay workers ages 14-15 a lower youth minimum wage.

"The Local Wage Proposal is inconsistent with state law because the Legislature has already comprehensively regulated minimum wage under the Nebraska Wage and Hour Act," Hilgers said in the opinion.

The ruling came at the request of [state Sen. Jane Raybould, who championed LB258](https://klin.com/2026/04/23/lincoln-city-councilman-aims-to-restore-voter-approved-minimum-wage-without-exceptions/). In her request letter, Raybould argued that wage laws throughout Nebraska should be "uniform and consistent without municipalities creating their own set of rules and regulations."

Hilgers also argued that [the proposal would "spill beyond Lincoln's borders"](https://nebraskapublicmedia.org/en/news/news-articles/nebraska-attorney-general-strikes-down-lincoln-city-councils-minimum-wage-proposal/) and interfere with future state legislation. He cited both "field preemption and conflict preemption" as reasons the ordinance would be invalid under state law.

The proposal had drawn significant support from Lincoln residents at a public hearing earlier this week. [Dozens of speakers, along with organizations including the League of Women Voters of Lincoln/Lancaster County and Nebraska Appleseed, testified in support](https://nebraskapublicmedia.org/en/news/news-articles/lincoln-city-councils-public-hearing-for-proposed-minimum-wage-ordinance-focuses-on-youth-wages/), with Mayor Leirion Gaylor Baird indicating she would sign the ordinance if approved.

The clash centers on the November 2022 voter-approved Initiative 433, which [67 percent of local voters supported](https://klin.com/2026/04/23/lincoln-city-councilman-aims-to-restore-voter-approved-minimum-wage-without-exceptions/). That measure established a path to a $15 minimum wage by 2026 with annual cost-of-living adjustments tied to inflation. Raybould's LB258, which passed on a 33-16 vote in February, replaced those adjustments with the fixed 1.75% cap.

[Sen. Beau Ballard of Lincoln is set to propose legislation "prohibiting municipalities from interfering with statewide minimum wage legislation,"](https://update.legislature.ne.gov/?p=39847) according to Raybould's request letter to Hilgers.

## Sources

- [Nebraska Examiner](https://nebraskaexaminer.com/briefs/nebraska-ag-says-lincoln-city-council-cant-set-own-minimum-wage/)
- [Nebraska Public Media - Nebraska AG says Lincoln City Council can't set own minimum wage](https://nebraskapublicmedia.org/en/news/news-articles/nebraska-attorney-general-strikes-down-lincoln-city-councils-minimum-wage-proposal/)
- [KLIN News - Lincoln City Councilman aims to restore voter-approved minimum wage](https://klin.com/2026/04/23/lincoln-city-councilman-aims-to-restore-voter-approved-minimum-wage-without-exceptions/)

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This article was generated by AI (claude-haiku-4-5-20251001) based on source material from Nebraska Examiner, enriched with 2 web searches. The original source is available at https://nebraskaexaminer.com/briefs/nebraska-ag-says-lincoln-city-council-cant-set-own-minimum-wage/.