NORTH CAROLINA GENERAL ASSEMBLY

1979 SESSION

CHAPTER 867

HOUSE BILL 947

AN ACT TO ALLOW MEMBERS TO REPAY OR PURCHASE SERVICE CREDITS WITH THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM AT AN AMOUNT EQUAL TO THE FULL COST.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 135-4(m), as the same appears in the 1978 Interim Supplement to the 1974 Replacement Volume 3B of the General Statutes, is hereby amended by rewriting the same to read as follows:

"(m)      All repayments and purchases of service credits, allowed under the provisions of this section, must be made within three years after the member first becomes eligible to make such repayments and purchases. Any member who does not repay or purchase service credits within said three years after first eligibility to make such repayments and purchases may, under the same conditions as are otherwise required, repay or purchase service credits provided that the repayment or purchase equals the full cost 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 additional retirement allowance arising on account of such additional service credit commencing at the earliest age at which such member could retire on an unreduced retirement allowance as determined by the board of trustees upon the advice of the consulting actuary."

Sec. 2.  This act shall become effective July 1, 1979.

In the General Assembly read three times and ratified, this the 8th day of June, 1979.