A BILL TO BE ENTITLED
AN ACT awarding a two‑thousand‑four‑hundred‑dollar pay increase to state employees earning less than one hundred thousand dollars AND APPROPRIATing FUNDS FOR THose PURPOSEs.
The General Assembly of North Carolina enacts:

GENERAL PROVISIONS
SECTION 1.(a)  Effective July 1, 2018, the annual salaries of all State employees subject to or exempt from the North Carolina Human Resources Act who earn less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year. Those eligible employees include:
(1)	Permanent full‑time State officials and persons whose salaries are set in accordance with the State Human Resources Act.
(2)	Permanent full‑time State officials and persons in positions exempt from the State Human Resources Act.
(3)	Permanent part‑time State employees, on a pro rata basis.
(4)	Temporary and permanent hourly State employees.
SECTION 1.(b)  Effective July 1, 2018, the annual salaries of noncertified public school employees whose salaries are supported from State funds and who earn less than one hundred thousand dollars ($100,000) shall be increased as follows:
(1)	For permanent full‑time employees on a 12‑month contract, by two thousand four hundred dollars ($2,400).
(2)	For the following employees, by a prorated and equitable amount based on the amount specified in subdivision (1) of this subsection:
a.	Permanent full‑time employees on a contract for less than 12 months.
b.	Permanent part‑time employees.
c.	Temporary and permanent hourly employees.
Teachers, principals, and assistant principals are not eligible to receive the increase authorized by this subsection.
SECTION 1.(c)  Except as otherwise provided, the annual salary increases provided in this act do not apply to persons separated from State service due to resignation, dismissal, reduction in force, death, or retirement or whose last workday is prior to July 1, 2018.
SECTION 1.(d)  Employees eligible for statutory increases under G.S. 20‑187.3, 7A‑102, and 7A‑171.1 who earn less than one hundred thousand dollars ($100,000) annually shall receive the increases authorized by this section.
SECTION 1.(e)  Payroll checks issued to employees after July 1, 2018, that represent payment of services provided prior to July 1, 2018, shall not be eligible for salary increases provided for in this act. This subsection applies to all employees paid from State funds, whether or not subject to or exempt from the North Carolina Human Resources Act, including employees of public schools, community colleges, and The University of North Carolina.
SECTION 1.(f)  Salaries and Related Benefits for Positions That Are Funded:
(1)	Partially from the General Fund or Highway Fund and partially from sources other than the General Fund or Highway Fund shall be increased from the General Fund or Highway Fund appropriation only to the extent of the proportionate part of the salaries paid from the General Fund or Highway Fund.
(2)	Fully from sources other than the General Fund or Highway Fund shall be increased as provided by this act. The Director of the Budget may increase expenditures of receipts from these sources by the amount necessary to provide the legislative increase to receipt‑supported personnel in the certified budget.
The Director of the Budget may increase expenditures of receipts from these sources in the certified budget by the amount necessary to provide the increases authorized by this Part to receipt‑supported personnel.
SECTION 1.(g)  Nothing in this act authorizes the transfer of funds between the General Fund and the Highway Fund for salary increases.

JUDICIAL BRANCH
SECTION 2.  Effective July 1, 2018:
(1)	The annual salaries of employees of the Judicial Department earning less than one hundred thousand dollars ($100,000) and whose salaries are not itemized in this Current Operations Appropriations Act shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.
(2)	The district attorney or public defender of a judicial district, with the approval of the Administrative Officer of the Courts or the Commission on Indigent Defense Services, respectively, shall set the annual salaries of assistant district attorneys or assistant public defenders, respectively, in that district such that the average salaries of assistant district attorneys or assistant public defenders in that district who earn less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year, in accordance with the provisions of this section.
(3)	The annual salaries of elected clerks of court earning less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.
(4)	The annual salaries of full‑time clerks of court set under G.S. 7A‑102(c1) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.
(5)	The annual salaries of magistrates under G.S. 7A‑171.1 shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.

LEGISLATIVE BRANCH
SECTION 3.  Effective July 1, 2018:
(1)	The annual salaries, in effect on June 30, 2018, of the nonelected employees of the General Assembly who earn less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year in accordance with the provisions of this act.
(2)	The salaries of sergeants‑at‑arms and reading clerks set under G.S. 120‑37 are increased, pro rata, to the sum of four hundred thirty‑nine dollars ($439.00) for the 2018‑2019 fiscal year and four hundred sixty‑eight dollars ($468.00) for the 2018‑2019 fiscal year.

COMMUNITY COLLEGES
SECTION 4.  Effective July 1, 2018, the minimum annual salaries for nine‑month, full‑time curriculum community college faculty earning less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.

UNIVERSITY OF NORTH CAROLINA SYSTEM
SECTION 5.  Effective July 1, 2018, the annual salaries of all full‑time University of North Carolina SHRA and EHRA employees earning less than one hundred thousand dollars ($100,000) shall be increased by the sum of two thousand four hundred dollars ($2,400) in the 2018‑2019 fiscal year.

STATE AGENCY TEACHERS
SECTION 6.  Eligible employees of schools operated by the Department of Health and Human Services, the Department of Public Safety, the State Board of Education, and employees of the School of Science and Mathematics of The University of North Carolina who are paid on the Teacher Salary Schedule shall receive the salary increase authorized in this act.

APPROPRIATIONS
SECTION 7.(a)  State Employees/General Fund. – There is appropriated from the General Fund to the Reserve for Compensation Increases the sum of four hundred thirty‑eight million two hundred eighty‑eight thousand two hundred seventy‑five dollars ($438,288,275) for the 2018‑2019 fiscal year to provide the salary increases authorized in this act.
SECTION 7.(b)  State Employees/Highway Fund. – There is appropriated from the Highway Fund to the Reserve for Compensation Increases the sum of fifteen million three hundred fifty‑eight thousand two hundred twenty‑nine dollars ($15,358,229) for the 2018‑2019 fiscal year to provide the salary increases authorized in this act.

EFFECTIVE DATE
SECTION 8.  This act becomes effective July 1, 2018.