GENERAL ASSEMBLY OF NORTH CAROLINA

1985 SESSION

 

 

CHAPTER 539

HOUSE BILL 906

 

AN ACT TO EXTEND THE TIME A MEMBER HAS TO MAKE CONTRIBUTIONS TO THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM AND TO THE LOCAL GOVERNMENTAL EMPLOYEES' RETIREMENT SYSTEM FOR THE PURCHASE OF SERVICE CREDITS FOR EDUCATIONAL LEAVE.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 128-30(b)(4) and G.S. 135-8(b)(5) are amended by rewriting the second sentence of the first paragraph to read:

"This approval shall be made prior to the purchase of the creditable service, is limited to a career total of four years for each member, and may be obtained in the following manner:".

Sec. 2.  G.S. 128-30(b)(4) and G.S. 135-8(b)(5) are further amended by rewriting the last paragraph to read:

"Payments required to be made by the member and/or the employer under subparagraphs a or b are due by the 15th of the month following the month for which the service credit is allowed and payments made after the due date shall be assessed a penalty, in lieu of interest, of one percent (1%) per month or fraction thereof the payment is made beyond the due date; provided, that these payments shall be made prior to retirement and provided further, that if the member did not become a contributing member within 12 months after completing the educational program and failed to complete three years of subsequent membership service, except in the event of death or disability, any payment made by the member including penalty shall be refunded with regular interest thereon and the service credits cancelled prior to or at retirement."

Sec. 3.  This act is effective upon ratification.

In the General Assembly read three times and ratified, this the 1st day of July, 1985.