H.B. 1142
GENERAL ASSEMBLY OF NORTH CAROLINA
May 14, 2020
SESSION 2019 HOUSE PRINCIPAL CLERK
H D
HOUSE BILL DRH10747-MRap-147
Short Title: Benefit Parity for EMS/TSERS/LGERS. (Public)
Sponsors: To view bill sponsors, refer to the North Carolina General Assembly’s web site.
Referred to:
1 A BILL TO BE ENTITLED
2 AN ACT TO ALIGN BENEFITS FOR EMERGENCY MEDICAL SERVICES PERSONNEL
3 WITH BENEFITS FOR LAW ENFORCEMENT OFFICERS UNDER THE TEACHERS'
4 AND STATE EMPLOYEES' RETIREMENT SYSTEM, THE LOCAL GOVERNMENTAL
5 EMPLOYEES' RETIREMENT SYSTEM, THE SUPPLEMENTAL RETIREMENT
6 INCOME PLAN, AND THE SEPARATE INSURANCE BENEFITS PLAN.
7 The General Assembly of North Carolina enacts:
8
9 PART I. EMS PERSONNEL RETIREMENT BENEFITS UNDER THE TEACHERS'
10 AND STATE EMPLOYEES' RETIREMENT SYSTEM AND THE LOCAL
11 GOVERNMENTAL EMPLOYEES' RETIREMENT SYSTEM
12 SECTION 1.1.(a) G.S. 135-1 is amended by adding a new subdivision to read:
13 "(9b) "Emergency medical services personnel" or "EMS personnel" shall mean all
14 full-time employees of any State department, agency, or institution who meet
15 the definition of emergency services personnel under G.S. 131E-155."
16 SECTION 1.1.(b) Effective July 1, 2020, G.S. 135-5(a)(4) reads as rewritten:
17 "(4) Any member who is a law-enforcement officer law enforcement officer or
18 EMS personnel and who attains age 50 and completes 15 or more years of
19 creditable service in this capacity or who attains age 55 and completes five or
20 more years of creditable service in this capacity, may retire upon electronic
21 submission or written application to the Board of Trustees setting forth at what
22 time, as of the first day of a calendar month, not less than one day nor more
23 than 120 days subsequent to the execution and filing thereof, he the member
24 desires to be retired; Provided, also, any member who has met the conditions
25 herein required but does not retire, and later becomes a teacher or an employee
26 other than as a law-enforcement officer law enforcement officer or EMS
27 personnel shall continue to have the right to commence retirement."
28 SECTION 1.1.(c) G.S. 135-5(b21) reads as rewritten:
29 "(b21) Service Retirement Allowance of Members Retiring on or After July 1, 2019.
30 2019, but before July 1, 2020. – Upon retirement from service on or after July 1, 2019, but before
31 July 1, 2020, in accordance with subsection (a) or (a1) of this section, a member shall receive the
32 following service retirement allowance:
33 …."
34 SECTION 1.1.(d) G.S. 135-5 is amended by adding a new subsection to read:
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 General Assembly Of North Carolina Session 2019
1 "(b22) Service Retirement Allowance of Members Retiring on or After July 1, 2020. –
2 Upon retirement from service on or after July 1, 2020, in accordance with subsection (a) or (a1)
3 of this section, a member shall receive the following service retirement allowance:
4 (1) A member who is a law enforcement officer, an eligible former law
5 enforcement officer, EMS personnel, or eligible former EMS personnel shall
6 receive a service retirement allowance computed as follows:
7 a. If the member's service retirement date occurs on or after the member's
8 55th birthday and completion of five years of creditable service as a
9 law enforcement officer or EMS personnel, or after the completion of
10 30 years of creditable service, then the allowance shall be equal to one
11 and eighty-two hundredths percent (1.82%) of the member's average
12 final compensation, multiplied by the number of years of the member's
13 creditable service.
14 b. If the member's service retirement date occurs prior to the member's
15 50th birthday and after the completion of 25 years of creditable service
16 with a minimum of 15 years of creditable service in a law enforcement
17 capacity or as EMS personnel but before the completion of 30 years of
18 creditable service, then the retirement allowance shall be equal to the
19 greater of the following amounts:
20 1. The service retirement allowance payable under
21 G.S. 135-5(b22)(1)a. reduced by one-third of one percent (1/3
22 of 1%) thereof for each month by which the member's
23 retirement date precedes the first day of the month coincident
24 with or next following the month the member would have
25 attained age 55.
26 2. The service retirement allowance as computed under
27 G.S. 135-5(b22)(1)a. reduced by five percent (5%) times the
28 difference between 30 years and the member's creditable
29 service at retirement plus four percent (4%) times the
30 difference between age 50 and the member's age at retirement.
31 c. If the member's service retirement date occurs on or after the member's
32 50th birthday and before the member's 55th birthday with 15 or more
33 years of creditable service as a law enforcement officer or as EMS
34 personnel and prior to the completion of 30 years of creditable service,
35 then the retirement allowance shall be equal to the greater of the
36 following amounts:
37 1. The service retirement allowance payable under
38 G.S. 135-5(b22)(1)a. reduced by one-third of one percent (1/3
39 of 1%) thereof for each month by which the retirement date
40 precedes the first day of the month coincident with or next
41 following the month the member would have attained age 55.
42 2. The service retirement allowance as computed under
43 G.S. 135-5(b22)(1)a. reduced by five percent (5%) times the
44 difference between 30 years and the amount of creditable
45 service at retirement.
46 (2) A member who is not a law enforcement officer, an eligible former law
47 enforcement officer, EMS personnel, or eligible former EMS personnel shall
48 receive a service retirement allowance computed as follows:
49 a. If the member's service retirement date occurs on or after the member's
50 65th birthday upon the completion of five years of membership
51 service, or after the completion of 30 years of creditable service, or on
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1 or after the member's 60th birthday upon the completion of 25 years
2 of creditable service, then the allowance shall be equal to one and
3 eighty-two hundredths percent (1.82%) of the member's average final
4 compensation, multiplied by the number of years of creditable service.
5 b. If the member's service retirement date occurs after the member's 60th
6 birthday and before the member's 65th birthday and prior to the
7 completion of 25 years or more of creditable service, then the
8 retirement allowance shall be computed as in G.S. 135-5(b22)(2)a. but
9 shall be reduced by one-quarter of one percent (1/4 of 1%) thereof for
10 each month by which the retirement date precedes the first day of the
11 month coincident with or next following the member's 65th birthday.
12 c. If the member's early service retirement date occurs on or after the
13 member's 50th birthday and before the member's 60th birthday and
14 after completion of 20 years of creditable service but prior to the
15 completion of 30 years of creditable service, then the early service
16 retirement allowance shall be equal to the greater of the following
17 amounts:
18 1. The service retirement allowance as computed under
19 G.S. 135-5(b22)(2)a. but reduced by the sum of five-twelfths
20 of one percent (5/12 of 1%) thereof for each month by which
21 the member's retirement date precedes the first day of the
22 month coincident with or next following the month the
23 member would have attained the member's 60th birthday, plus
24 one-quarter of one percent (1/4 of 1%) thereof for each month
25 by which the member's 60th birthday precedes the first day of
26 the month coincident with or next following the member's 65th
27 birthday.
28 2. The service retirement allowance as computed under
29 G.S. 135-5(b22)(2)a. reduced by five percent (5%) times the
30 difference between 30 years and the amount of creditable
31 service at retirement.
32 3. If the member's creditable service commenced prior to July 1,
33 1994, the service retirement allowance equal to the actuarial
34 equivalent of the allowance payable at the age of 60 years as
35 computed in G.S. 135-5(b22)(2)b.
36 d. Notwithstanding the foregoing provisions, any member whose
37 creditable service commenced prior to July 1, 1963, shall not receive
38 less than the benefit provided by G.S. 135-5(b)."
39 SECTION 1.1.(e) Effective July 1, 2020, G.S. 135-5(m)(1) reads as rewritten:
40 "(1) a. The member had attained such age and/or creditable service to be
41 eligible to commence retirement with an early or service retirement
42 allowance, or
43 b. The member had obtained 20 years of creditable service in which case
44 the retirement allowance shall be computed in accordance with
45 G.S. 135-5(b19)(1)b. or G.S. 135-5(b19)(2)c., G.S. 135-5(b22)(1)b.
46 or G.S. 135-5(b22)(2)c., notwithstanding the requirement of obtaining
47 age 50, or
48 b1. The member was a law enforcement officer who had obtained 15 years
49 of service as a law enforcement officer and was killed in the line of
50 duty, in which case the retirement allowance shall be computed in
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1 accordance with G.S. 135-5(b19)(1)b., G.S. 135-5(b22)(1)b.,
2 notwithstanding the requirement of obtaining age 50.
3 …
4 d. The member was EMS personnel, had obtained 15 years of service as
5 EMS personnel, and was killed in the line of duty, in which case the
6 retirement allowance shall be computed in accordance with
7 G.S. 135-5(b22)(1)b., notwithstanding the requirement of obtaining
8 age 50."
9 SECTION 1.2.(a) G.S. 128-21 is amended by adding a new subdivision to read:
10 "(9b) "Emergency medical services personnel" or "EMS personnel" shall mean all
11 rescue squad workers and all full-time employees of any employer that
12 participates in the Local Governmental Employees' Retirement System who
13 meet the definition of emergency services personnel under G.S. 131E-155."
14 SECTION 1.2.(b) Effective July 1, 2020, G.S. 128-24(5) reads as rewritten:
15 "(5) The provisions of this subdivision (5) shall apply to any member whose
16 membership is terminated on or after July 1, 1965, and who becomes entitled
17 to benefits hereunder in accordance with the provisions hereof.
18 a. Notwithstanding any other provision of this Chapter, any member who
19 separates from service prior to the attainment of the age of 60 years
20 for any reason other than death or retirement for disability as provided
21 in G.S. 128-27(c), after completing 15 or more years of creditable
22 service, and who leaves his or her total accumulated contributions in
23 said System shall have the right to retire on a deferred retirement
24 allowance upon attaining the age of 60 years; provided that such
25 member may retire only upon electronic submission or written
26 application to the Board of Trustees setting forth at what time, not less
27 than one day nor more than 120 days subsequent to the execution and
28 filing thereof, he the member desires to be retired; and further provided
29 that in the case of a member who so separates from service on or after
30 July 1, 1967, the aforestated requirement of 15 or more years of
31 creditable service shall be reduced to 12 or more years of creditable
32 service; and further provided that in the case of a member who so
33 separates from service on or after July 1, 1971, or whose account is
34 active on July 1, 1971, the aforestated requirement of 12 or more years
35 of creditable service shall be reduced to five or more years of
36 creditable service. Such deferred retirement allowance shall be
37 computed in accordance with the service retirement provisions of this
38 Article pertaining to a member who is not a law enforcement officer
39 or officer, an eligible former law enforcement officer.officer, EMS
40 personnel, or eligible former EMS personnel.
41 …
42 b1. In lieu of the benefits provided in paragraphs a and b of this
43 subdivision, any member who is a law enforcement officer or EMS
44 personnel at the time of separation from service prior to the attainment
45 of the age of 50 years, for any reason other than death or disability as
46 provided in this Article, after completing 15 or more years of
47 creditable service in this capacity immediately prior to separation from
48 service, and who leaves his or her total accumulated contributions in
49 this System, may elect to retire on a deferred early retirement
50 allowance upon attaining the age of 50 years or at any time thereafter;
51 provided, that the member may commence retirement only upon
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1 electronic submission or written application to the Board of Trustees
2 setting forth at what time, as of the first day of a calendar month, not
3 less than one day nor more than 120 days subsequent to the execution
4 and filing thereof, he desires to commence retirement. The deferred
5 early retirement allowance shall be computed in accordance with the
6 service retirement provisions of this Article pertaining to law
7 enforcement officers.
8 b2. In lieu of the benefits provided in paragraphs a and b of this
9