A BILL TO BE ENTITLED
AN ACT to appropriate funds to increase the employer contribution rates for state retiree health benefits in order to fund the state's future obligations for retired employee health benefits.
The General Assembly of North Carolina enacts:
SECTION 1.  Effective July 1, 2007, the State's employer contribution rates budgeted for retirement and related benefits as percentage of covered salaries for the 2007‑2008 fiscal year are: (i) eight and eighty‑two hundredths percent (8.82%) – Teachers and State Employees; (ii) thirteen and eighty‑two hundredths percent (13.82%) – State Law Enforcement Officers; (iii) thirteen and sixteen hundredths percent (13.16%) – University Employees' Optional Retirement System; (iv) thirteen and sixteen hundredths percent (13.16%) – Community College Optional Retirement Program; (v) eighteen and thirty‑nine hundredths percent (18.39%) – Consolidated Judicial Retirement System; and (vi)  five and eight‑tenths percent (5.8%) – Legislative Retirement System. Each of the foregoing contribution rates includes five and eight‑tenths percent (5.8%) for hospital and medical benefits. The rate for Teachers and State Employees, State Law Enforcement Officers, Community College Optional Retirement Program, and for the University Employees' Optional Retirement Program includes fifty‑two hundredths percent (0.52%) for the Disability Income Plan. The rates for Teachers and State Employees and State Law Enforcement Officers include sixteen hundredths percent (0.16%) for the Death Benefits Plan. The rate for State Law Enforcement Officers includes five percent (5%) for Supplemental Retirement Income.
SECTION 2.  There is appropriated from the General Fund to the Office of State Budget and Management the sum of one hundred dollars ($100.00) for the 2007‑2008 fiscal year to be placed in a reserve for the purpose of allocating funds to employing State agencies to fund the increased employer contribution rates from General Fund agencies provided for in Section 1 of this act.
SECTION 3.  There is appropriated from the Highway Fund to the Office of State Budget and Management the sum of one hundred dollars ($100.00) for the 2006‑2007 fiscal year to be placed in a reserve for the purpose of allocating funds to employing State agencies to fund the increased employer contribution rates from Highway Fund agencies provided for in Section 1 of this act.
SECTION 4.  This act becomes effective July 1, 2007.