North Carolina HB 510: Increase Law Enforcement Retirement.

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2001
H 1
HOUSE BILL 510

Short Title: Increase Law Enforcement Retirement. (Public)
Sponsors: Representatives Fitch; and Wainwright.
Referred to: Highway Safety and Law Enforcement, if favorable, Pensions and
Retirement.
March 7, 2001

A BILL TO BE ENTITLED 1
AN ACT TO ELIMINATE THE SEPARATION ALLOWANCE FOR LAW 2
ENFORCEMENT OFFICERS AND SUBSTITUTE AN INCREASE IN THE 3
RETIREMENT FORMULA AND THE ABILITY TO RETIRE AFTER TWENTY-4
FIVE YEARS. 5
The General Assembly of North Carolina enacts: 6
SECTION 1. G.S. 143-166.41(a) reads as rewritten: 7
"(a) Notwithstanding any other provision of law, every sworn law-enforcement 8
officer as defined by G.S. 135-1(11b) or G.S. 143- 166.30(a)(4) employed by a State 9
department, agency, or institution who qualifies under this section section, and who 10
retires on or before December 31, 2001, shall receive, beginning on the last day of the 11
month in which he retires on a basic service retirement under the provisions of G.S. 12
135-5(a) or G.S. 143-166(y), an annual separation allowance equal to eighty-five 13
hundredths percent (0.85%) of the annual equivalent of the base rate of compensation 14
most recently applicable to him for each year of creditable service. The allowance shall 15
be paid in 12 equal installments on the last day of each month. To qualify for the 16
allowance the officer shall: 17
(1) Have (i) completed 30 or more years of creditable service or, (ii) have 18
attained 55 years of age and completed five or more years of creditable 19
service; and 20
(2) Not have attained 62 years of age; and 21
(3) Have completed at least five years of continuous service as a law 22
enforcement officer as herein defined immediately preceding a service retirement. Any 23
break in the continuous service required by this subsection because of disability 24
retirement or disability salary continuation benefits shall not adversely affect an officer's 25
qualification to receive the allowance, provided the officer returns to service within 45 26

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2001
Page 2 House Bill 510 - First Edition
days after the disability benefits cease and is otherwise qualified to receive the 1
allowance." 2
SECTION 2. G.S. 143-166.42 reads as rewritten: 3
"§ 143-166.42. Special separation allowances for local officers. 4
On and after January 1, 1987, the provisions of G.S. 143- 166.41 shall apply to all 5
eligible law-enforcement officers as defined by G.S. 128-21(11b) or G.S. 6
143-166.50(a)(3) who are employed by local government employers, and who retire on 7
or before December 31, 2001, except as may be provided by this section. As to the 8
applicability of the provisions of G.S. 143-166.41 to locally employed officers, the 9
governing body for each unit of local government shall be responsible for making 10
determinations of eligibility for their local officers retired under the provisions of G.S. 11
128-27(a) and for making payments to their eligible officers under the same terms and 12
conditions, other than the source of payment, as apply to each State department, agency, 13
or institution in payments to State officers according to the provisions of G.S. 14
143-166.41." 15
SECTION 3. G.S. 135-5(b18) reads as rewritten: 16
"(b18) Service Retirement Allowance of Members Retiring on or After July 1, 2000. 17
2000, but Before January 1, 2002. – Upon retirement from service in accordance with 18
subsection (a) or (a1) above, on or after July 1, 2000, but before January 1, 2002, a 19
member shall receive the following service retirement allowance. 20
(1) A member who is a law enforcement officer or an eligible former law 21
enforcement officer shall receive a service retirement allowance 22
computed as follows: 23
a. If the member's service retirement date occurs on or after his 24
55th birthday, and completion of five years of creditable service 25
as a law enforcement officer, or after the completion of 30 years 26
of creditable service, the allowance shall be equal to one and 27
eighty-one hundredths percent (1.81%) of his average final 28
compensation, multiplied by the number of years of his 29
creditable service. 30
b. If the member's service retirement date occurs on or after his 31
50th birthday and before his 55th birthday with 15 or more 32
years of creditable service as a law enforcement officer and 33
prior to the completion of 30 years of creditable service, his 34
retirement allowance shall be equal to the greater of: 35
1. The service retirement allowance payable under G.S. 36
135-5(b18)(1)a. reduced by one-third of one percent ( 37
1/3 of 1%) thereof for each month by which his 38
retirement date precedes the first day of the month 39
coincident with or next following the month the member 40
would have attained his 55th birthday; or 41
2. The service retirement allowance as computed under 42
G.S. 135-5(b18)(1)a. reduced by five percent (5%) times 43

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION