H476 - Department of State Treasurer Technical Corrections/Administrative Changes 2025. (SL 2025-19)

Overview: S.L. 2025‑19 (House Bill 476), as amended by Section 18.(a) of S.L. 2025‑25 (House Bill 40), does the following:

• Authorizes the Board of Trustees (Board) of the Teachers' and State Employees' Retirement System (TSERS) to extend a school's provisional entry into the TSERS by up to two years at the conclusion of the school's initial year of provisional entry, or the school can apply to become a participating employer in the TSERS.
• Requires charter schools seeking to participate in the TSERS after the initial year of provisional entry, or during the extended period of provisional entry, to undergo an actuarial and financial review by the Board before a decision is made.
• Provides that a charter school that is approved by the Board contingent upon receiving a financially sound independent audit report will continue its period of provisional entry for up to one year, or until the Board denies the application, whichever occurs first. The charter school's participation ceases the first of the month following the month its provisional period ends, or its application is denied.
• Requires members or former members seeking reversal of a benefits forfeiture to present their evidence to the board of trustees of their retirement system, rather than to the State Treasurer.
• Requires the fee paid by an out‑of‑state attorney to be admitted pro hac vice for the limited purpose of appearing for a client in a proceeding in this State be transferred to the North Carolina Administrative Office of the Courts.
• Prohibits the State from filing a claim for medical assistance paid upon the death of a beneficiary of an Achieving a Better Life Experience (ABLE) account unless federal law requires it to do so, and if so, requires the State to file its claim with the State Treasurer within 60 days of receiving notice from the State Treasurer of the beneficiary's death.
• Requires the ABLE account application package to include a notification of the State's right to file a claim for payment upon the beneficiary's death only if required by federal law.
• Makes various technical and conforming changes.

This act became law on June 26, 2025, and the provision regarding ABLE accounts applies to deaths of designated beneficiaries occurring on or after that date. The provision regarding charter schools applies to any charter schools that seek to become a participating employer in the TSERS, or are in the initial period of provisional entry into the Retirement System, on or after that date.