Kerr told BBC Lincolnshire: "I've been negotiating for a few weeks now and I'm delighted to have got it tied up.
"I've been here for five years and enjoyed every one of them, hopefully next season we'll be more successful."
And Kerr feels manager Chris Sutton could be on the verge of putting together a side to challenge for promotion next season.
"There have been wholesale changes since he took over," he said.
"I'm sure he'll bring in plenty of players. It's going to be a new-look team but if it gets us up there and challenging, then great."
Kerr joins defender Paul Green in signing a new one-year contract at Sincil Bank.
Goalkeeper Rob Burch and midfielders Clark Keltie and Brian Gilmour have been offered similar deals.
Source: BBC Sport
Source: BBC Sport