AN ACT to make changes to the current operations appropriations act of 2023.

The General Assembly of North Carolina enacts:

TEACHER SALARY SCHEDULE
SECTION 1.1.(a)  The following monthly teacher salary schedule shall apply for the 2024‑2025 fiscal year to licensed personnel of the public schools who are classified as teachers. The salary schedule is based on years of teaching experience.
2024‑2025 Teacher Monthly Salary Schedule
Years of Experience	"A" Teachers
0	$4,100
1	$4,175
2	$4,250
3	$4,325
4	$4,400
5	$4,475
6	$4,572
7	$4,663
8	$4,753
9	$4,844
10	$4,935
11	$5,025
12	$5,116
13	$5,206
14	$5,297
15‑24	$5,388
25+	$5,595
SECTION 1.1.(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.
(6)	School counselors who are licensed as counselors at the master's degree level or higher shall receive a salary supplement each month of one hundred dollars ($100.00).
SECTION 1.1.(c)  For school psychologists, school speech pathologists who are licensed as speech pathologists at the master's degree level or higher, and school audiologists who are licensed as audiologists at the master's degree level or higher, the following shall apply:
(1)	The first step of the salary schedule shall be equivalent to the sixth step of the "A" salary schedule.
(2)	These employees shall receive the following salary supplements each month:
a.	Ten percent (10%) of their monthly salary, excluding the supplement provided pursuant to sub‑subdivision b. of this subdivision.
b.	Three hundred fifty dollars ($350.00).
(3)	These employees 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.
(4)	The twenty‑sixth step of the salary schedule 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 1.1.(d)  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 1.1.(e)  A teacher compensated in accordance with this salary schedule for the 2024‑2025 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 1.1.(f)  As used in this section, the term "teacher" shall also include instructional support personnel.

PRINCIPAL SALARY SCHEDULE
SECTION 1.2.(a)  The following annual salary schedule for principals shall apply for the 2024‑2025 fiscal year, beginning July 1, 2024:
2024‑2025 Principal Annual Salary Schedule
Avg. Daily Membership	Base	Met Growth	Exceeded Growth
0‑200	$77,792	$85,570	$93,350
201‑400	$81,681	$89,849	$98,017
401‑700	$85,570	$94,128	$102,685
701‑1,000	$89,461	$98,406	$107,353
1,001‑1,600	$93,350	$102,685	$112,020
1,601+	$97,239	$106,963	$116,687
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 one or more prior 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 as follows:
a.	For the first six months of the applicable fiscal year, if the higher school growth score in one of the two prior school years shows that the school exceeded expected growth.
b.	For the second six months of the applicable fiscal year, 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 as follows:
a.	For the first six months of the applicable fiscal year, if any of the following apply:
1.	The higher school growth score in one of the two prior school years shows that the school met expected growth.
2.	The principal supervised a school in the two prior school years that was not eligible to receive a school growth score.
b.	For the second six months of the applicable fiscal year, if any of the following apply:
1.	The school growth scores show the school or schools met expected growth in at least two of the prior three school years.
2.	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.
3.	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, as follows:
a.	For the first six months of the applicable fiscal year, if any of the following apply:
1.	The school growth scores from the two prior school years show that the school did not meet expected growth in both years.
2.	The principal has not supervised any school as a principal for a majority of the two prior school years.
b.	For the second six months of the applicable fiscal year, if any of the following apply:
1.	The school growth scores show the school or schools did not meet expected growth in at least two of the prior three school years.
2.	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 1.2.(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)	For the first six months of the applicable fiscal year, the average daily membership for the school from the third year. If the school did not have an average daily membership in the third year, the projected average daily membership for the school for the applicable school year.
(2)	For the second six months of the applicable fiscal year, the average daily membership for the school for the applicable school year. For this time period only, the average daily membership of a principal's school shall include any prekindergarten students in membership at that school.
SECTION 1.2.(c)  For purposes of determining the school growth scores for each school the principal supervised in one or more prior school years, the following school growth scores shall be used during the following time periods:
(1)	For the first six months of the applicable fiscal year, the school growth scores from the first and second years.
(2)	For the second six months of the applicable fiscal year, the school growth scores from the first, second, and third 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 third year, shall be used.
SECTION 1.2.(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 1.2.(e)  A principal compensated in accordance with this section for the applicable fiscal year shall receive an amount equal to the greater of the following:
(1)	The applicable amount on the principal salary schedule for the applicable fiscal year.
(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 1.2.(f)  For purposes of this section, the following definitions apply:
(1)	First year. – The school year immediately preceding the second year.
(2)	Second year. – The school year immediately preceding the third year.
(3)	The applicable fiscal year. – The 2024‑2025 fiscal year.
(4)	The applicable school year. – The 2024‑2025 school year.
(5)	Third year. – The school year immediately preceding the applicable school year.

BONUSES FOR PRINCIPALS
SECTION 1.3.(a)  The Department of Public Instruction shall administer a bonus in the 2024‑2025 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:
2024‑2025 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 1.3.(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 1.3.(c)  Notwithstanding G.S. 135‑1(7a), the bonuses awarded pursuant to this section are not compensation under Article 1 of Chapter 135 of the General Statutes, Retirement System for Teachers and State Employees.
SECTION 1.3.(d)  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 1.3.(e)  The bonus provided pursuant to this section shall be paid no later than October 31, 2024, to qualifying principals employed as of October 1, 2024.

ASSISTANT PRINCIPAL SALARIES
SECTION 1.4.(a)  For the 2024‑2025 fiscal year, beginning July 1, 2024, 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 1.4.(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 1.4.(c)  Participants in an approved full‑time master's in school administration program shall receive up to a 10‑month stipend during the internship period of the master's program. The stipend shall be at the beginning salary of an assistant principal or, for a teacher who becomes an intern, at least as much as that person would earn as a teacher on the teacher salary schedule. The North Carolina 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 1.4.(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 1.4.(e)  An assistant principal compensated in accordance with this section for the 2024‑2025 fiscal year shall receive an amount equal to the greater of the following:
(1)	The applicable amount on the salary schedule for the applicable year.
(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.

CENTRAL OFFICE SALARIES
SECTION 1.5.(a)  For the 2024‑2025 fiscal year, beginning July 1, 2024, the annual salary for superintendents, assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers whose salaries are supported from State funds shall be increased by three percent (3%).
SECTION 1.5.(b)  The monthly salary maximums that follow apply to assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers for the 2024‑2025 fiscal year, beginning July 1, 2024:
2024‑2025 Fiscal Year
Maximum
School Administrator I	$7,573
School Administrator II	$8,024
School Administrator III	$8,502
School Administrator IV	$8,834
School Administrator V	$9,187
School Administrator VI	$9,731
School Administrator VII	$10,120
The local board of education shall determine the appropriate category and placement for each assistant superintendent, associate superintendent, director/coordinator, supervisor, or finance officer within the maximums and within funds appropriated by the General Assembly for central office administrators and superintendents. The category in which an employee is placed shall be included in the contract of any employee.
SECTION 1.5.(c)  The monthly salary maximums that follow apply to superintendents for the 2024‑2025 fiscal year, beginning July 1, 2024:
2024‑2025 Fiscal Year
Maximum
Superintendent I	$10,727
Superintendent II	$11,366
Superintendent III	$12,049
Superintendent IV	$12,773
Superintendent V	$13,541
The local board of education shall determine the appropriate category and placement for the superintendent based on the average daily membership of the local school administrative unit and within funds appropriated by the General Assembly for central office administrators and superintendents.
SECTION 1.5.(d)  Longevity pay for superintendents, assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers shall be as provided for State employees under the North Carolina Human Resources Act.
SECTION 1.5.(e)  Superintendents, assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers with certification 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 compensation provided pursuant to this section. Superintendents, assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers with certification 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 compensation provided for under this section.
SECTION 1.5.(f)  The State Board of Education shall not permit local school administrative units to transfer State funds from other funding categories for salaries for public school central office administrators.

NONCERTIFIED PERSONNEL SALARIES
SECTION 1.6.  For the 2024‑2025 fiscal year, beginning July 1, 2024, the annual salary for noncertified public school employees whose salaries are supported from State funds shall be increased as follows:
(1)	For permanent, full‑time employees on a 12‑month contract, by three percent (3%).
(2)	For the following employees, by an equitable amount based on the amount specified in subdivision (1) of this section:
a.	Permanent, full‑time employees on a contract for fewer than 12 months.
b.	Permanent, part‑time employees.
c.	Temporary and permanent hourly employees.

STATE AGENCY TEACHERS
SECTION 1.7.  For the 2024‑2025 fiscal year, employees of schools operated by the Department of Health and Human Services, the Department of Public Safety, the Department of Adult Correction, and the State Board of Education who are paid on the Teacher Salary Schedule shall be paid as authorized under this act.

APPROPRIATION OF RECEIPTS INCREASED DUE TO SALARY AND BENEFITS INCREASES
SECTION 1.7A.  Any receipts that are required to be used to pay the legislatively mandated salary increases and employee benefits increases provided in this act are appropriated up to the actual amount received for the 2024‑2025 fiscal year.

REVISE CERTAIN SUPPLANTING CRITERIA FOR SUPPLEMENTAL FUNDS FOR TEACHER COMPENSATION
SECTION 1.7B.  Section 7A.4 of S.L. 2023‑134 reads as rewritten:
"…
SECTION 7A.4.(b)  Definitions. – As used in this section, the following definitions shall apply:
…
(14)	Supplant factor. – For each local school administrative unit as follows:
a.	For the 2023‑2024 fiscal year, the total non‑State funds expended for salary supplements for teachers in the 2020‑2021 fiscal year divided by the total State and non‑State funds expended for salaries for teachers in the 2020‑2021 fiscal year.
b.	For the 2024‑2025 fiscal year, the lesser of the following:
1.	The total non‑State funds expended for salary supplements for teachers in the 2020‑2021 fiscal year divided by the total State and non‑State funds expended for salaries for teachers in the 2020‑2021 fiscal year.
2.	The total non‑State funds expended for salary supplements for teachers in the 2021‑2022 fiscal year divided by the total State and non‑State funds expended for salaries for teachers in the 2021‑2022 fiscal year.
…
SECTION 7A.4.(f1)  Nonsupplant Enforcement. – If the State Board of Education determines that a local school administrative unit has supplanted non‑State funds in violation of subsection (f) of this section, the State Board of Education shall do the following:
(1)	For the 2023‑2024 fiscal year, continue to allocate funds to the unit in accordance with subsection (c) of this section.
(2)	For the 2024‑2025 fiscal year, do either of the following:
a.	If the unit can show that it has remedied the deficiency in funding, continue to allocate funds to the unit in accordance with subsection (c) of this section.
b.	If the unit cannot show that it has remedied the deficiency in funding, not allocate any funds under this section to the unit.
…."

EFFECTIVE DATE
SECTION 1.8.  This act becomes effective July 1, 2024.
In the General Assembly read three times and ratified this the 28th day of June, 2024.

	s/	 Phil Berger
	 President Pro Tempore of the Senate

	s/	 Tim Moore
	 Speaker of the House of Representatives

	s/	 Roy Cooper
	 Governor

Approved 4:53 p.m. this 8th day of July, 2024