GENERAL ASSEMBLY OF NORTH CAROLINA

1985 SESSION

 

 

CHAPTER 749

SENATE BILL 671

 

AN ACT TO PERMIT MEMBERS OF THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM AND OF THE CONSOLIDATED JUDICIAL RETIREMENT SYSTEM TO PURCHASE CREDITABLE SERVICE FOR COMPARABLE FEDERAL EMPLOYMENT.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 135-4 is amended by adding a new subsection to the end to read:

"(t)       Notwithstanding any other provisions of this Chapter, a member, upon the completion of 10 years of membership service, may purchase creditable service for periods of federal employment, provided that the member is not receiving any retirement benefits resulting from this federal employment, and provided that the member is not vested in the particular federal retirement system to which the member may have belonged while a federal employee. The member shall purchase this service by making a lump sum amount payable to the Annuity Savings Fund equal to the full liability of the service credits calculated on the basis of the assumptions used for purposes of the actuarial valuation of the system's liabilities, and shall take into account the retirement allowance arising on account of the additional service credit commencing at the earliest age at which the member could retire on an unreduced retirement allowance, as determined by the board of trustees upon the advice of the consulting actuary, plus an administrative fee to be set by the board of trustees."

Sec. 2.  G.S. 135-56.2  is amended by inserting a new sentence between the first and second to read:

"A member, upon the completion of 10 years of membership service, may also purchase creditable service for periods of federal employment, provided that the member is not receiving any retirement benefits resulting from this federal employment, and provided that the member is not vested in the particular federal retirement system to which the member may have belonged while a federal employee."

Sec. 3.  This act is effective upon ratification.

In the General Assembly read three times and ratified, this the 15th day of July, 1985.