A BILL TO BE ENTITLED
AN ACT to ENSURE TEACHERS, instructional support personnel, AND ASSISTANT PRINCIPALS RECEIVE SALARY INCREASES BASED ON YEARS OF EXPERIENCE, to authorize salary supplements for highly qualified north carolina teaching graduates, AND, consistent with house bill 966 OF THE 2019 REGULAR SESSION, to appropriate funds to provide legislatively mandated salary increases for principals.
The General Assembly of North Carolina enacts:

part i. APPROPRIATIONs
SECTION 1.1.(a)  Effective July 1, 2019, there is appropriated from the General Fund to the Department of Public Instruction the sum of sixteen million three hundred thousand dollars ($16,300,000) in recurring funds for the 2019‑2020 fiscal year and the sum of sixteen million three hundred thousand dollars ($16,300,000) in recurring funds for the 2020‑2021 fiscal year to provide legislatively mandated salary increases for principals as authorized by this act.
SECTION 1.1.(b)  Departmental receipts, as defined in G.S. 143C‑1‑1, are appropriated for each year of the 2019‑2021 fiscal biennium up to the amounts needed to implement the salary increases provided in this act for each year of the 2019‑2021 fiscal biennium.

Part ii. compensation of certain public school employees

teacher salary schedule
SECTION 2.1.(a)  The following monthly teacher salary schedule shall apply for the 2019‑2020 fiscal year to licensed personnel of the public schools who are classified as teachers. The salary schedule is based on years of teaching experience.
2019‑2020 Teacher Monthly Salary Schedule
Years of Experience	"A" Teachers
0	$3,500
1	$3,600
2	$3,700
3	$3,800
4	$3,900
5	$4,000
6	$4,100
7	$4,200
8	$4,300
9	$4,400
10	$4,500
11	$4,600
12	$4,700
13	$4,800
14	$4,900
15‑24	$5,000
25+	$5,200.
SECTION 2.1.(b)  Salary Supplements for Teachers Paid on This Salary Schedule. –
(1)	Licensed teachers who have NBPTS certification shall receive a salary supplement each month of twelve percent (12%) of their monthly salary on the "A" salary schedule.
(2)	Licensed teachers who are classified as "M" teachers shall receive a salary supplement each month of ten percent (10%) of their monthly salary on the "A" salary schedule.
(3)	Licensed teachers with licensure based on academic preparation at the six‑year degree level shall receive a salary supplement of one hundred twenty‑six dollars ($126.00) per month in addition to the supplement provided to them as "M" teachers.
(4)	Licensed teachers with licensure based on academic preparation at the doctoral degree level shall receive a salary supplement of two hundred fifty‑three dollars ($253.00) per month in addition to the supplement provided to them as "M" teachers.
(5)	Certified school nurses shall receive a salary supplement each month of ten percent (10%) of their monthly salary on the "A" salary schedule.
SECTION 2.1.(c)  The first step of the salary schedule for (i) school psychologists, (ii) school speech pathologists who are licensed as speech pathologists at the master's degree level or higher, and (iii) school audiologists who are licensed as audiologists at the master's degree level or higher shall be equivalent to the sixth step of the "A" salary schedule. These employees shall receive a salary supplement each month of ten percent (10%) of their monthly salary and are eligible to receive salary supplements equivalent to those of teachers for academic preparation at the six‑year degree level or the doctoral degree level.
SECTION 2.1.(d)  The twenty‑sixth step of the salary schedule for (i) school psychologists, (ii) school speech pathologists who are licensed as speech pathologists at the master's degree level or higher, and (iii) school audiologists who are licensed as audiologists at the master's degree level or higher shall be seven and one‑half percent (7.5%) higher than the salary received by these same employees on the twenty‑fifth step of the salary schedule.
SECTION 2.1.(e)  Beginning with the 2014‑2015 fiscal year, in lieu of providing annual longevity payments to teachers paid on the teacher salary schedule, the amounts of those longevity payments are included in the monthly amounts under the teacher salary schedule.
SECTION 2.1.(f)  A teacher compensated in accordance with this salary schedule for the 2019‑2020 school year shall receive an amount equal to the greater of the following:
(1)	The applicable amount on the salary schedule for the applicable school year.
(2)	For teachers who were eligible for longevity for the 2013‑2014 school year, the sum of the following:
a.	The salary the teacher received in the 2013‑2014 school year pursuant to Section 35.11 of S.L. 2013‑360.
b.	The longevity that the teacher would have received under the longevity system in effect for the 2013‑2014 school year provided in Section 35.11 of S.L. 2013‑360 based on the teacher's current years of service.
c.	The annual bonus provided in Section 9.1(e) of S.L. 2014‑100.
(3)	For teachers who were not eligible for longevity for the 2013‑2014 school year, the sum of the salary and annual bonus the teacher received in the 2014‑2015 school year pursuant to Section 9.1 of S.L. 2014‑100.
SECTION 2.1.(g)  As used in this section, the term "teacher" shall also include instructional support personnel.

SUPPORT HIGHLY QUALIFIED NC TEACHING GRADUATES
SECTION 2.2.(a)  For purposes of this section, a "highly qualified graduate" or "graduate" is an individual entering the teaching profession and hired on or after July 1, 2019, who has graduated from an approved educator preparation program located in North Carolina with both of the following criteria:
(1)	A grade point average of 3.75 or higher on a 4.0 scale, or its equivalent.
(2)	A score of the following or higher on an edTPA assessment or an equivalent score on a nationally normed and valid pedagogy assessment used to determine clinical practice performance:
a.	A score of 42 for the World Languages and Classical Languages edTPA assessment.
b.	A score of 57 for the Elementary Education edTPA assessment.
c.	A score of 48 for all other edTPA assessments.
SECTION 2.2.(b)  Notwithstanding the teacher salary schedule, for the 2019‑2021 fiscal biennium, a highly qualified graduate who is employed by a local board of education shall receive a salary supplement each month at the highest level for which the graduate qualifies, as follows:
(1)	A graduate who accepts initial employment at a school identified as low‑performing by the State Board of Education pursuant to G.S. 115C‑105.37 shall receive a salary supplement during the graduate's first three years of employment as a teacher, without a break in service, equivalent to the difference between the State‑funded salary of the graduate and the State‑funded salary of a similarly situated teacher with three years of experience on the "A" Teachers Salary Schedule, as long as the graduate (i) remains teaching at the same school or (ii) accepts subsequent employment at another low‑performing school or local school administrative unit identified as low‑performing.
(2)	A graduate licensed and employed to teach in the areas of special education, science, technology, engineering, or mathematics shall receive a salary supplement during the graduate's first two years of employment as a teacher, without a break in service, equivalent to the difference between the State‑funded salary of the graduate and the State‑funded salary of a similarly situated teacher with two years of experience on the "A" Teachers Salary Schedule, as long as the graduate continues teaching in one of those areas.
(3)	All other graduates shall receive a salary supplement during the graduate's first year of employment as a teacher, without a break in service, equivalent to the difference between the State‑funded salary of the graduate and the State‑funded salary of a similarly situated teacher with one year of experience on the "A" Teachers Salary Schedule.
SECTION 2.2.(c)  This section applies to highly qualified graduates hired on or after July 1, 2019, and entering the teaching profession in the 2019‑2021 fiscal biennium.

PRINCIPAL SALARY SCHEDULE
SECTION 2.3.(a)  The following annual salary schedule for principals shall apply for the 2019‑2020 fiscal year, beginning July 1, 2019.
2019‑2020 Principal Annual Salary Schedule
Avg. Daily Membership	Base	Met Growth	Exceeded Growth
0‑200	$68,125	$74,938	$81,750
201‑400	$71,531	$78,684	$85,837
401‑700	$74,938	$82,432	$89,926
701‑1,000	$78,344	$86,178	$94,013
1,001‑1,600	$81,750	$89,925	$98,100
1,601+	$85,156	$93,672	$102,187.
A principal's placement on the salary schedule shall be determined according to the average daily membership of the school supervised by the principal, as described in subsection (b) of this section, and the school growth scores, calculated pursuant to G.S. 115C‑83.15(c), for each school the principal supervised in at least two of the prior three school years, as described in subsection (c) of this section, regardless of a break in service, and provided the principal supervised each school as a principal for at least a majority of the school year, as follows:
(1)	A principal shall be paid according to the Exceeded Growth column of the schedule if the school growth scores show the school or schools exceeded expected growth in at least two of the prior three school years.
(2)	A principal shall be paid according to the Met Growth column of the schedule if any of the following apply:
a.	The school growth scores show the school or schools met expected growth in at least two of the prior three school years.
b.	The school growth scores show the school or schools met expected growth in at least one of the prior three school years and exceeded expected growth in one of the prior three school years.
c.	The principal supervised a school in at least two of the prior three school years that was not eligible to receive a school growth score.
(3)	A principal shall be paid according to the Base column if either of the following apply:
a.	The school growth scores show the school or schools did not meet expected growth in at least two of the prior three years.
b.	The principal has not supervised any school as a principal for a majority of the school year in at least two of the prior three school years.
SECTION 2.3.(b)  For purposes of determining the average daily membership of a principal's school, the following amounts shall be used during the following time periods:
(1)	Between July 1, 2019, and December 31, 2019, the average daily membership for the school from the 2018‑2019 school year. If the school did not have an average daily membership in the 2018‑2019 school year, the projected average daily membership for the school for the 2019‑2020 school year.
(2)	Between January 1, 2020, and June 30, 2020, the average daily membership for the school for the 2019‑2020 school year.
SECTION 2.3.(c)  For purposes of determining the school growth scores for each school the principal supervised in at least two of the prior three school years, the following school growth scores shall be used during the following time periods:
(1)	Between July 1, 2019, and December 31, 2019, the school growth scores from the 2015‑2016, 2016‑2017, and 2017‑2018 school years. If a principal does not have a school growth score from any of the school years identified in this subdivision, the most recent available growth scores, up to the 2017‑2018 school year, shall be used.
(2)	Between January 1, 2020, and June 30, 2020, the school growth scores from the 2016‑2017, 2017‑2018, and 2018‑2019 school years. If a principal does not have a school growth score from any of the school years identified in this subdivision, the most recent available growth scores, up to the 2018‑2019 school year, shall be used.
SECTION 2.3.(d)  Beginning with the 2017‑2018 fiscal year, in lieu of providing annual longevity payments to principals paid on the principal salary schedule, the amounts of those longevity payments are included in the annual amounts under the principal salary schedule.
SECTION 2.3.(e)  A principal compensated in accordance with this section for the 2019‑2020 fiscal year shall receive an amount equal to the greater of the following:
(1)	The applicable amount determined pursuant to subsections (a) through (d) of this section.
(2)	For principals who were eligible for longevity in the 2016‑2017 fiscal year, the sum of the following:
a.	The salary the principal received in the 2016‑2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L. 2016‑94.
b.	The longevity that the principal would have received as provided for State employees under the North Carolina Human Resources Act for the 2016‑2017 fiscal year based on the principal's current years of service.
(3)	For principals who were not eligible for longevity in the 2016‑2017 fiscal year, the salary the principal received in the 2016‑2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L. 2016‑94.
SECTION 2.3.(f)  G.S. 115C‑105.25(b)(5c) reads as rewritten:
"(5c)	Funds allocated for school building administration may be converted for any purpose authorized by the policies of the State Board of Education. For funds related to principal positions, the salary transferred shall be based on the first step of the Base column of the Principal Salary Schedule. For funds related to assistant principal months of employment, the salary transferred shall be based on the first step of the "A" Teachers Salary Schedule at the salary level for assistant principals. Certified position allotments shall not be transferred to dollars to hire the same type of position."

PRINCIPAL BONUSES
SECTION 2.4.(a)  The Department of Public Instruction shall administer a bonus in the 2019‑2020 fiscal year to any principal who supervised a school as a principal for a majority of the previous school year if that school was in the top fifty percent (50%) of school growth in the State during the previous school year, calculated by the State Board pursuant to G.S. 115C‑83.15(c), as follows:
2019‑2020 Principal Bonus Schedule
Statewide Growth Percentage	Bonus
Top   5%	$15,000
Top 10%	$10,000
Top 15%	$  5,000
Top 20%	$  2,500
Top 50%	$  1,000.
A principal shall receive no more than one bonus pursuant to this subsection. The bonus shall be paid at the highest amount for which the principal qualifies.
SECTION 2.4.(b)  The bonus awarded pursuant to this section shall be in addition to any regular wage or other bonus the principal receives or is scheduled to receive.
SECTION 2.4.(c)  Notwithstanding G.S. 135‑1(7a), the bonus awarded pursuant to this section is not compensation under Article 1 of Chapter 135 of the General Statutes, the Teachers' and State Employees' Retirement System.
SECTION 2.4.(d)  The bonus awarded pursuant to this section does not apply to principals no longer employed as a principal due to resignation, dismissal, reduction in force, death, or retirement or whose last workday is prior to November 1, 2019.
SECTION 2.4.(e)  It is the intent of the General Assembly that funds provided pursuant to this section will supplement principal compensation and not supplant local funds.
SECTION 2.4.(f)  The bonus provided pursuant to this section shall be paid no later than November 30, 2019, to qualifying principals employed as of November 1, 2019.

PRINCIPAL RECRUITMENT SUPPLEMENT
SECTION 2.5.  Article 19 of Chapter 115C of the General Statutes is amended by adding a new section to read:
"§ 115C‑285.1.  Principal recruitment supplement.
(a)	Definitions. – The following definitions shall apply in this section:
(1)	Eligible employer. – The governing board of a local school administrative unit with an eligible school.
(2)	Eligible school. – A low‑performing school, as defined in G.S. 115C‑105.37, that received an overall school performance score that placed it in the bottom five percent (5%) of all schools in the State in the prior school year.
(3)	Qualifying principal. – A principal who is paid on the Exceeded Growth column of the Principal Salary Schedule.
(4)	Qualifying school. – An eligible school selected by the Department to participate in the Program.
(b)	Program; Purpose. – The Department of Public Instruction shall establish the Principal Recruitment Supplement Program (Program). To the extent funds are made available, the purpose of the Program shall be to provide significant, time‑limited salary supplements to qualifying principals who accept employment as principals of qualifying schools.
(c)	Salary Supplement. – A qualifying principal who accepts a position as a principal in a qualifying school shall receive an annual salary supplement of thirty thousand dollars ($30,000), paid on a monthly basis, as long as the principal is employed as the principal of that school, up to a maximum period of 36 months, subject to the following:
(1)	A qualifying principal who contracts with an eligible employer to receive the salary supplement shall not be excluded in future years from contracting with the same eligible employer or a different eligible employer for another salary supplement, subject to the requirements of this section.
(2)	A qualifying principal who accepts employment as a principal at a qualifying school shall continue to receive the salary supplement during performance of the contract, up to 36 months, even if one or more of the following occur:
a.	The principal is no longer a qualifying principal.
b.	The school is no longer an eligible school.
(3)	Notwithstanding G.S. 135‑1(7a), salary supplements provided pursuant to this section are not compensation under Article 1 of Chapter 135 of the General Statutes, the Teachers' and State Employees' Retirement System.
(d)	Time Line. – To the extent funds are made available for the Program, the following time line shall apply:
(1)	No later than December 1, 2019, and October 1 of each year thereafter, the Department shall notify an eligible employer with one or more eligible schools that the eligible employer may be selected to participate in the Program.
(2)	No later than January 15, 2020, and November 1 of each year thereafter, each eligible employer that seeks to participate in the Program shall notify the Department of its intent.
(3)	No later than January 31, 2020, and November 15 of each year thereafter, the Department shall notify any eligible employer with a qualifying school that the school qualifies for the Program, up to a statewide total of 40 schools. In making its selections, the Department shall prioritize eligible schools with the lowest overall school performance scores.
(4)	No later than May 1, 2020, and annually thereafter, each eligible employer with a qualifying school shall do all of the following:
a.	Execute all applicable contracts with qualifying principals.
b.	Notify the Department of the (i) identity of principals and schools in the unit that will participate in the Program, (ii) length of the contract period between the eligible employer and each qualifying principal, and (iii) length of time the qualifying principal will receive the salary supplement.
(5)	No later than August 1, 2020, and annually thereafter, all qualifying principals identified pursuant to sub‑subdivision (4)b. of this subsection shall begin employment as a principal at the applicable qualifying school.
(e)	Additional Funds. – In the event an eligible employer is unable to award funds for the salary supplement because of resignation, dismissal, reduction in force, death, retirement, or failure to execute a contract with a qualifying principal, the Department shall award the funds, as soon as is practicable, to another eligible employer identified in subdivision (a)(2) of this section.
(f)	Supplement Not Supplant. – Salary supplements provided to qualifying principals pursuant to this section shall be used to supplement and not supplant State and non‑State funds already provided for principal compensation.
(g)	Report. – No later than March 15, 2021, and every year thereafter in which funds are expended under the Program, the Department shall report to the Joint Legislative Education Oversight Committee and the Fiscal Research Division on the Program, including, at a minimum, the following information:
(1)	The impact of the Program on school performance, including the performance of (i) schools receiving a principal under the Program and (ii) schools that lost a principal due to the Program.
(2)	The number of principals participating in the Program.
(3)	The identity of schools participating in the Program.
(4)	The length and rate of retention of principals (i) within the Program and (ii) at specific schools within the Program."

ASSISTANT PRINCIPAL SALARIES
SECTION 2.6.(a)  For the 2019‑2020 fiscal year, beginning July 1, 2019, assistant principals shall receive a monthly salary based on the salary schedule for teachers who are classified as "A" teachers plus nineteen percent (19%). An assistant principal shall be placed on the step on the salary schedule that reflects the total number of years of experience as a certified employee of the public schools. For purposes of this section, an administrator with a one‑year provisional assistant principal's certificate shall be considered equivalent to an assistant principal.
SECTION 2.6.(b)  Assistant principals with certification based on academic preparation at the six‑year degree level shall be paid a salary supplement of one hundred twenty‑six dollars ($126.00) per month and at the doctoral degree level shall be paid a salary supplement of two hundred fifty‑three dollars ($253.00) per month.
SECTION 2.6.(c)  Participants in an approved full‑time master's in‑school administration program shall receive up to a 10‑month stipend at the beginning salary of an assistant principal during the internship period of the master's program. The stipend shall not exceed the difference between the beginning salary of an assistant principal plus the cost of tuition, fees, and books and any fellowship funds received by the intern as a full‑time student, including awards of the Principal Fellows Program. The Principal Fellows Program or the school of education where the intern participates in a full‑time master's in‑school administration program shall supply the Department of Public Instruction with certification of eligible full‑time interns.
SECTION 2.6.(d)  Beginning with the 2017‑2018 fiscal year, in lieu of providing annual longevity payments to assistant principals on the assistant principal salary schedule, the amounts of those longevity payments are included in the monthly amounts provided to assistant principals pursuant to subsection (a) of this section.
SECTION 2.6.(e)  An assistant principal compensated in accordance with this section for the 2019‑2020 fiscal year shall receive an amount equal to the greater of the following:
(1)	The applicable amount determined pursuant to subsections (a) through (d) of this section.
(2)	For assistant principals who were eligible for longevity in the 2016‑2017 fiscal year, the sum of the following:
a.	The salary the assistant principal received in the 2016‑2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L. 2016‑94.
b.	The longevity that the assistant principal would have received as provided for State employees under the North Carolina Human Resources Act for the 2016‑2017 fiscal year based on the assistant principal's current years of service.
(3)	For assistant principals who were not eligible for longevity in the 2016‑2017 fiscal year, the salary the assistant principal received in the 2016‑2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L. 2016‑94.

part iII. STATE AGENCY TEACHERS
SECTION 3.1.  Employees of schools operated by the Department of Health and Human Services, the Department of Public Safety, and the State Board of Education who are paid on the Teacher Salary Schedule shall be paid as authorized under this act.

part IV. miscellaneous
SECTION 4.1.  The legislative salary increases for principals provided by Section 2.3 of this act for the 2019‑2020 fiscal year do not apply to persons separated from service due to resignation, dismissal, reduction in force, death, or retirement or whose last workday is prior to June 30, 2019. For the 2019‑2020 fiscal year, payroll checks issued to employees after July 1, 2019, that represent payment of services provided prior to July 1, 2019, shall not be eligible for salary increases for principals provided for in Section 2.3 of this act.
SECTION 4.2.  If any provision of this act and G.S. 143C‑5‑4 are in conflict, the provisions of this act shall prevail. If House Bill 966, 2019 Regular Session, becomes law, then Sections 2.1, 2.2, 2.3, 2.6, 3.1, and 4.1 of this act are repealed and Sections 7B.5 and 7B.5A of House Bill 966, 2019 Regular Session, are repealed.
SECTION 4.3.  This act becomes effective July 1, 2019.