Reenacts GS 115C-302.4 (high-need retired teachers), as it existed immediately prior to its expiration. Amends the definition of high-need retired teacher so that the retirement trigger date is at least two months prior to the date on which the retirement beneficiary is scheduled to be reemployed under the statute. Amends GS 135-3, concerning membership in the Retirement System for Teachers and State Employees (TSERS), to provide that the computation of postretirement earnings of a beneficiary who is a high-need retired teacher does not include earnings while the beneficiary is employed as a high-need retired teacher, and the beneficiary must not be restored to service as a teacher or employee. Requires a local board of education to annually inform the Retirement System, by September 15, if it will not employ high-need retired teachers for that school year. Specifies that the retirement allowance of a beneficiary who retired on an early or service retirement does not cease due to reemployment as a high-need retired teacher. Provides that a beneficiary reemployed as a high-need retired teacher is not entitled to any benefits otherwise provided under GS Chapter 135 as a result of this period of employment. Makes conforming changes.  Extends employer reporting requirements under GS 135-3(a)(8)c1 to high-need retired teachers.
Includes high-need retired teachers in definition of employee in GS 135-1. Sets the required period of separation for a high-need retired teacher at months under the definition of retirement. Amends GS 135-48.40 to include high-need retired teachers in those who are eligible for coverage under the State Health Plan for Teachers and State Employees on a partially contributory basis. 
Requires the State Treasurer to seek a private letter ruling from the IRS to determine if the provisions of this section relating to the computation of postretirement earnings of retired teachers jeopardize TSERS’s status. Provides that if the IRS determines that any provision of the act jeopardizes TSERS’s, then the section is repealed on the last day of the month following the month of receipt of that determination by the State Treasurer. Provides for notice by the Treasurer to the Revisor of Statutes, local school administrative units, and on its website.  Requires all local school administrative units to notify all high-need retired teachers employed by its local board of education of any repeal.
Allows the Retirement Systems Division of the Department of State Treasurer to increase receipts from the retirement assets of the System or pay costs associated with the administration directly from the retirement assets.
Provides that any beneficiary that is employed by a local board of education as a high-need retired teacher, is not eligible to elect into a position that would lead the beneficiary to be eligible to accrue any additional benefits. Requires any failure of a local board of education or a beneficiary to comply with the foregoing to be corrected by the Executive Director of the Retirement System as he or she determines may be appropriate; costs of the correction are the sole responsibility of the local board of education and must be transferred to the Pension Accumulation Fund.
Appropriates $100,000 from the General Fund to Department of the State Treasurer for 2025-26 to be used to obtain the private letter ruling described above, effective July 1, 2025.
Appropriates $10 million in recurring funds from the General Fund to Department of the State Treasurer for each year of the 2025-27 biennium to be used to address the increased cost to TSERS due to the act.
Directs that GS 115C-302.4, as reenacted by the act, applies beginning with the 2025-26 school year. Directs that the act does not expire except by subsequent enactment of the General Assembly.

Statutes affected:
Filed: 115C-302.4, 135-3, 135-1, 135-48.40
Edition 1: 115C-302.4, 135-3, 135-1, 135-48.40