GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION LAW 2001-71
AN ACT TO CORRECT AN INCONSISTENCY IN THE HENDERSON FIREMEN'S SUPPLEMENTAL RETIREMENT ACT.
The General Assembly of North Carolina enacts:
SECTION 1. Section 4 of Chapter 810 of the 1959 Session Laws, as amended by Chapter 374 of the 1969 Session Laws, Chapter 133 of the 1977 Session Laws, Chapter 111 of the 1981 Session Laws, Chapter 173 of the 1987 Session Laws, Chapter 897 of the 1991 Session Laws, and Chapter 636 of the 1993 Session Laws, reads as rewritten:
"Section 4. Eligibility for supplemental
benefits. For the purpose of this section "supplemental
benefit" as used in this section shall be defined to mean any sum of money
payable by the Fund to a fireman of the Henderson City Fire Department who is a
full-time paid member of the Henderson Fire Department at the time of
ratification of this act or any person who shall become such a full-time paid
member, provided that no person shall be eligible for benefits unless and until
such person is also eligible for retirement or disability benefits as a member
of the North Carolina Local Governmental Employees' Retirement System.
Any disability retirement shall be on a medical board's recommendation.
The board of trustees shall designate a medical board composed of three
physicians. If required, other physicians may be employed in special
cases. The medical board shall arrange for and make physical examinations
and pass upon all medical examinations, all essential statements and
certificates by or on behalf of a member in connection with an application for
disability retirement and shall report in writing to the board of trustees its
conclusion and recommendations upon all matters referred to it. Upon the
application of a member for disability retirement, he may be retired by the
board of trustees not less than thirty days nor more then ninety days next
following the date of filing application, provided, that the medical board,
after a medical examination of such member, shall certify that such member is
mentally or physically incapacitated for further performance of duty, that such
incapacity is likely to be permanent and that such member should be
retired. Once each year during the first five years following retirement
of a member on a disability retirement allowance and once in every three-year
period thereafter, the board of trustees may, and upon his application shall,
require any disabled member who has not yet attained the age of fifty-five (55)
years to undergo a medical examination, such examination to be made at the
place of residence of said member or other place mutually agreed upon, by a
physician or physicians designated by the board of trustees. Should any
disabled member who has not yet attained the age of fifty-five (55) years
refuse to submit to at least one medical examination in any such year by a
physician or physicians designated by the board of trustees, his allowance may
be discontinued until his withdrawal of such refusal and should his refusal
continue for one year, all his rights in and to his pension may be revoked by
the board of trustees. Should the medical board report and certify to the
board of trustees that such disabled member is engaged in or is able to engage in
a gainful occupation paying more than the difference between his retirement
allowance and his monthly compensation at time of disability, and should the
board of trustees concur in such report, then the amount of his pension shall
be reduced to an amount which together with his pension and the amount earnable
by him, shall equal the amount of his monthly compensation. Should his
earning capacity be later changed, the amount of his pension may be further
modified. Should he be restored to full employment in Henderson Fire
Department or by any other employer at a salary equal to his compensation at
the time of disability, his retirement shall cease. Should it be
determined he is physically able to return to full employment in the Henderson
Fire Department and he is offered full employment in the Henderson Fire
Department before he has attained fifty-five (55) years of age and he refuses
employment, he forfeits all rights to retirement pension. It is further
provided that this Act does not modify or alter in any way the workmen'sWorkmen's
Compensation Laws of the State of North Carolina. All firemen of the Henderson
City Fire Department, who retire under the above conditions, including
disability retirement, as provided herein, shall receive for the remainder of his
life a minimum supplemental benefit of twenty-five dollars ($25.00) per month,
except that the total amount paid all retired members of the Henderson City
Fire Department shall not exceed eighty percent (80%) of the income received by
the Fund during the preceding fiscal year from interest on investment of
capital funds, plus the amount derived from other sources. month. In
the event that eighty percent (80%) of the income above-mentioned is the
funds available (as limited by this Act) are insufficient to pay such
minimum of twenty-five dollars ($25.00) per month to each person receiving
supplemental benefit, the amount shall be equally prorated among the retired
members of the Henderson City Fire Department. Each retired fireman receiving a
supplemental benefit in accordance with this act shall receive the same amount
of supplemental benefit per month. Commencing July 1, 1992, the maximum payment
to any retired member of the Henderson City Fire Department from the Fund is
three hundred dollars ($300.00) per month. In the event a fireman dies while
receiving a supplemental benefit, but within 10 years of the date of that
fireman's first receiving the supplemental benefit, the board of Trustees shall
continue paying the supplemental benefit for the deceased fireman to his
surviving spouse, or, if there is no surviving spouse, then to the persons
entitled to receive his residuary estate, until the total months during which a
supplemental benefit is paid to the fireman, his surviving spouse, and his
estate equals 120 months. All funds received by the Fund (including interest
received) from other sources during each fiscal year and funds from prior years
may be used for payments of supplemental benefits to retired members of the
Henderson City Fire Department as authorized by the Trustees and as set forth
under this statute, provided, however, that a minimum of two hundred fifty
thousand dollars ($250,000) of investments shall be continuously maintained by
the Fund. All Fund balances in excess of this amount may be used for benefit
payments and other authorized expenses. Any Fund balances, which are not paid
out, may be invested as provided in this act. The board of trustees shall have
the authority and power to promulgate rules and regulations to the end that the
supplemental benefits herein provided may be properly administered and carried
out and for the purpose of achieving the objectives herein sought."
SECTION 2. This act is effective when it becomes law.
In the General Assembly read three times and ratified this the 15th day of May, 2001.
s/ Beverly E. Perdue
President of the Senate
s/ James B. Black
Speaker of the House of Representatives