GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 H 1 HOUSE BILL 846 Short Title: Teacher Retention and Recruitment. (Public) Sponsors: Representatives Echevarria, Willis, Schietzelt, and Campbell (Primary Sponsors). For a complete list of sponsors, refer to the North Carolina General Assembly web site. Referred to: Education - K-12, if favorable, Pensions and Retirement, if favorable, Appropriations, if favorable, Rules, Calendar, and Operations of the House April 10, 2025 *H846 -v-1* A BILL TO BE ENTITLED 1 AN ACT TO PROVIDE A TUITION WAIVER FOR CHILDREN OF ELIGIBLE VETERAN 2 TEACHERS, TO REINSTATE EDUCATION-BASED SALARY SUPPLEMENTS FO R 3 TEACHERS, TO CODIFY AND EXPAND THE TEACH ER BONUS PROGRAM, TO 4 REVISE THE TEACHING FELLOWS PROGRAM, TO REVIVE THE RETIRED 5 TEACHERS PROGRAM, TO PROVIDE FOR TEACHER LICENSURE RECIPROCITY, 6 AND TO STRENGTHEN RE PORTING REQUIREMENTS FOR THREATS AND 7 ASSAULTS ON TEACHERS . 8 The General Assembly of North Carolina enacts: 9 10 PART I. TUITION WAIVER FOR CHILDREN OF ELIGIBLE VETERAN TEACHERS 11 SECTION 1.(a) G.S. 115B-1 reads as rewritten: 12 "§ 115B-1. Definitions. 13 The following definitions apply in this Chapter: 14 (1) 12-year teacher. – An eligible teacher with 12 years of service as a teacher in 15 a public school unit. 16 (2) 16-year teacher. – An eligible teacher with 16 years of service as a teacher in 17 a public school unit. 18 (3) 20-year teacher. – An eligible teacher with 20 years of service as a teacher in 19 a public school unit. 20 (1)(4) Correctional officer. – An employee of an employer who is certified as a State 21 correctional officer under the provisions of Article 1 of Chapter 17C of the 22 General Statutes. 23 (5) Eligible teacher. – A teacher employed on a full-time basis as a teacher in a 24 public school unit. 25 (1a)(6) Employer. – The State of North Carolina and its departments, agencies, and 26 institutions; or a county, city, town, or other political subdivision of the State. 27 (2)(7) Firefighter or volunteer firefighter. – The same as provided in G.S. 58-86-25 28 for "eligible firemen". 29 (3)(8) Law enforcement officer. – An employee or volunteer of an employer who 30 possesses the power of arrest, who has taken the law enforcement oath 31 administered under the authority of the State as prescribed by G.S. 11-11, and 32 who is certified as a law enforcement officer under the provisions of Article 1 33 General Assembly Of North Carolina Session 2025 Page 2 House Bill 846-First Edition of Chapter 17C of the General Statutes or certified as a deputy sheriff under 1 the provisions of Chapter 17E of the General Statutes. "Law enforcement 2 officer" also means the sheriff of the county. 3 (4)(9) Permanently and totally disabled as a direct result of a traumatic injury 4 sustained in the line of duty. – A person: (i) who as a law enforcement officer, 5 correctional officer, firefighter, volunteer firefighter, or rescue squad worker 6 suffered a disabling injury while in active service or training for active service, 7 (ii) who at the time of active service or training was a North Carolina resident, 8 and (iii) who has been determined to be permanently and totally disabled for 9 compensation purposes by the North Carolina Industrial Commission. 10 (5)(10) Rescue squad worker. – The same as provided in G.S. 58-86-30 for "eligible 11 rescue squad worker". 12 (6)(11) Survivor. – Any person whose parent, legal guardian, legal custodian, or 13 spouse: (i) was a law enforcement officer, a correctional officer, a firefighter, 14 a volunteer firefighter, or a rescue squad worker, (ii) was killed while in active 15 service or training for active service or died as a result of a service-connected 16 disability, and (iii) at the time of active service or training was a North 17 Carolina resident. The term does not include the widow or widower of a law 18 enforcement officer, correctional officer, firefighter, volunteer firefighter, or 19 a rescue squad worker if the widow or widower has remarried. 20 (7)(12) Tuition. – The amount charged for registering for a credit hour of instruction 21 and shall not be construed to mean any other fees or charges or costs of 22 textbooks." 23 SECTION 1.(b) G.S. 115B-2 reads as rewritten: 24 "§ 115B-2. Tuition waiver authorized. 25 (a) The constituent institutions of The University of North Carolina and the community 26 colleges as defined in G.S. 115D-2(2) shall permit the following persons to attend classes for 27 credit or noncredit purposes without the required payment of tuition: 28 (1) Repealed by Session Laws 2009-451, s. 8.11(a), effective July 1, 2009. 29 (2) Any person who is the survivor of a law enforcement officer, correctional 30 officer, firefighter, volunteer firefighter, or rescue squad worker killed as a 31 direct result of a traumatic injury sustained in the line of duty. 32 (3) The spouse of a law enforcement officer, correctional officer, firefighter, 33 volunteer firefighter, or rescue squad worker who is permanently and totally 34 disabled as a direct result of a traumatic injury sustained in the line of duty. 35 (4) Any child, if the child is at least 17 years old but not yet 24 years old, whose 36 parent, legal guardian, or legal custodian is a law enforcement officer, 37 correctional officer, 20-year teacher, firefighter, volunteer firefighter, or 38 rescue squad worker who is permanently and totally disabled as a direct result 39 of a traumatic injury sustained in the line of duty. However, a child's eligibility 40 for a waiver of tuition under this Chapter shall not exceed: (i) 54 months, if 41 the child is seeking a baccalaureate degree, or (ii) if the child is not seeking a 42 baccalaureate degree, the number of months required to complete the 43 educational program to which the child is applying. 44 (5) Any child, if the child (i) is at least 17 years old but not yet 24 years old, (ii) 45 is a ward of North Carolina or was a ward of the State at the time the child 46 reached the age of 18, (iii) is a resident of the State; and (iv) is eligible for 47 services under the Chaffee Education and Training Vouchers Program; but the 48 waiver shall only be to the extent that there is any tuition still payable after 49 receipt of other financial aid received by the student. 50 General Assembly Of North Carolina Session 2025 House Bill 846-First Edition Page 3 (6) Any child enrolled in a regional school established pursuant to Part 10 of 1 Article 16 of Chapter 115C of the General Statutes who enrolls in classes at a 2 constituent institution or community college which has a written agreement 3 with the regional school. 4 (a1) The constituent institutions of The University of North Carolina and the community 5 colleges as defined in G.S. 115D-2(2) shall permit any child, if the child is at least 17 years old 6 but not yet 24 years old, whose parent, legal guardian, or legal custodian is one of the following 7 to attend classes for credit or noncredit purposes at a reduced rate of tuition, as follows: 8 (1) For 16-year teachers, at a rate of seventy-five percent (75%) of the tuition rate 9 for the constituent institution or community college where the child is 10 enrolled. 11 (2) For 12-year teachers, at a rate of fifty percent (50%) of the tuition rate for the 12 constituent institution or community college where the child is enrolled. 13 (a2) A child's eligibility for a waiver of tuition under this Chapter shall not exceed (i) 54 14 months if the child is seeking a baccalaureate degree or (ii) if the child is not seeking a 15 baccalaureate degree, the number of months required to complete the educational program to 16 which the child is applying. 17 (b) Persons eligible for the tuition waiver under subsection (a) of this section must meet 18 admission and other standards considered appropriate by the educational institution. In addition, 19 the constituent institutions of The University of North Carolina shall accept these persons only 20 on a space available basis." 21 SECTION 1.(c) There is appropriated from the General Fund to the Board of 22 Governors of The University of North Carolina the sum of two million dollars ($2,000,000) in 23 recurring funds for the 2025-2026 fiscal year to provide tuition waivers for children of eligible 24 veteran teachers in accordance with Chapter 115B of the General Statutes, as amended by this 25 section. 26 SECTION 1.(d) No later than February 15, 2026, The University of North Carolina 27 System Office shall report to the Joint Legislative Education Oversight Committee and the Fiscal 28 Research Division on the actual costs of the waivers for children of eligible veteran teachers 29 adopted pursuant to subsections (a) and (b) of this section. It is the intent of the General Assembly 30 to adjust the recurring appropriation for these waivers, as needed, in accordance with this report. 31 SECTION 1.(e) This section is effective when it becomes law and applies beginning 32 with the 2025-2026 academic year. 33 34 PART II. PROFESSIONAL EVALUATION TOOLS 35 SECTION 2. No later than November 1, 2026, the State Board of Education shall 36 report to the Joint Legislative Education Oversight Committee on at least three potential 37 professional evaluation tools for teachers to provide feedback to teachers on their professional 38 development and to provide administrators with information on teacher quality. The professional 39 evaluation tools shall meet at least the following criteria: 40 (1) Be evidence-based and replicable. 41 (2) Take into account existing measures of teacher effectiveness, including 42 student performance and EVAAS student growth index scores. 43 (3) Include professional feedback, including student surveys and independent 44 performance evaluations from third-party entities. 45 (4) For at least two of the professional evaluation tools proposed by the State 46 Board, be viewable by teachers throughout the school years. 47 48 PART III. REVIVE AND REVISE RETIRED TEAC HERS PROGRAM 49 SECTION 3.(a) G.S. 115C-302.4 is reenacted as it existed immediately prior to its 50 expiration and expires effective June 30, 2030. 51 General Assembly Of North Carolina Session 2025 Page 4 House Bill 846-First Edition SECTION 3.(b) G.S. 115C-302.4, as reenacted by this act, reads as rewritten: 1 "§ 115C-302.4. High-need retired Reemploy qualifying retired teachers. 2 (a) Definitions. – The following definitions apply in this section:Definition. – For 3 purposes of this section, the term "qualifying retired teacher" refers to a teacher who is a 4 (1) High-need retired teacher. – A beneficiary of the Teachers' and State Employees' 5 Retirement System of North Carolina who meets both all of the following requirements: 6 a.(1) Retired on or before February 1, 2019, at least two months prior to the date on 7 which the beneficiary is scheduled to be reemployed pursuant to this section 8 after attaining (i) the age of at least 65 with five years of creditable service, 9 (ii) the age of at least 60 with 25 years of creditable service, or (iii) 30 years 10 of creditable service. 11 b.(2) Is reemployed by a local board of education to provide classroom instruction 12 as a teacher, as defined in G.S. 135-1(25), employed on an annual contract to 13 provide classroom instruction exclusively at a high-need school or schools.in 14 a public school unit. 15 (3) Prior to his or her retirement taught a subject area in three of the prior five 16 school years in which a majority of the students of the teacher had EVAAS 17 student growth index scores that met or exceed expected growth. 18 (4) Has not been reemployed by any other local board of education pursuant to 19 this section. 20 (2) High-need school. – A school that, at any point on or after July 1, 2017, meets 21 one of the following criteria: 22 a. Is a Title I school. As used in this sub-subdivision, a Title I school is a 23 school identified under Part A of Title I of the Elementary and 24 Secondary Education Act of 1965, as amended. 25 b. Receives an overall school performance grade of D or F, as calculated 26 by the State Board of Education pursuant to G.S. 115C-83.15(d). 27 (3) STEM. – Science, technology, engineering, and mathematics. 28 (b) Salary Level. – A high-need qualifying retired teacher shall be compensated as 29 follows: 30 (1) Except as provided in subdivision (2) of this subsection, a high-need 31 qualifying retired teacher shall be paid on the first step of the teacher salary 32 schedule. 33 (2) If a high-need qualifying retired teacher serves as a teacher in any of the 34 following licensure areas, he or she shall be paid on the sixth step of the 35 teacher salary schedule: 36 a. STEM. 37 b. Special education. 38 (c) No Eligible for State Salary Supplements or Supplements; No Increase in Salary. – A 39 high-need qualifying retired teacher shall not shall be eligible to receive any State salary 40 supplement or State bonus. supplements and State bonuses. A high-need qualifying retired 41 teacher shall not move beyond the salary steps prescribed by subsection (b) of this section, 42 regardless of the length of time spent as a high-need qualifying retired teacher. 43 (d) Local Salary Supplement. – A high-need qualifying retired teacher shall receive any 44 local salary supplements that are given to employees of the local board of education. 45 (e) Term of Contract. – A contract between the local board of education and a high-need 46 qualifying retired teacher shall be for a term of no more than one school year. The contract may 47 be renewed on an annual basis for up to five years. 48 (f) Identification of STEM and Special Education Licensure Areas. – The Superintendent 49 of Public Instruction shall identify and provide to each local school administrative unit a list of 50 STEM and special education licensure areas that qualify for reemployment pursuant to 51 General Assembly Of North Carolina Session 2025 House Bill 846-First Edition Page 5 subdivision (b)(2) of this section. Local school administrative units shall make the list of STEM 1 and special education licensure areas available to high-need retired teachers." 2 SECTION 3.(c) G.S. 135-3(a)(8) is amended by adding a new sub-subdivision to 3 read: 4 "i. Notwithstanding sub-subdivisions c. and d. of this subdivision, the 5 computation of postretirement earnings under this subdivision shall 6 not include earnings while a beneficiary is employed as a qualifying 7 retired teacher under G.S. 115C-302.4(a) and the beneficiary shall not 8 be restored to service as a teacher or employee. The Department of 9 Public Instruction shall certify to the Retirement System that a 10 beneficiary is employed by a local board of education as a qualifying 11 retired teacher. No later than September 15 annually, a local board of 12 education shall inform the Retirement System if it will not employ any 13 qualifying retired teachers for that school year. The retirement 14 allowance of a beneficiary who retired on an early or service 15 retirement shall not cease due to reemployment as a qualifying retired 16 teacher. A beneficiary reemployed as a qualifying retired teacher is not 17 entitled to any benefits otherwise provided under this Chapter as a 18 result of this period of employment." 19 SECTION 3.(d) G.S. 135-3(a)(8)c1. reads as rewritten: 20 "c1. Within 90 days of the end of each month in which a beneficiary is 21 reemployed under the provisions of sub-subdivision c. or i. of this 22 subdivision, each employer shall provide a report for that month on 23 each reemployed beneficiary, including the terms of the 24 reemployment, the date of the reemployment, and the amount of the 25 monthly compensation. If the required report is not received within the 26 required 90 days, then the Board may do any or all of the following: 27 …." 28 SECTION 3.(e) G.S. 135-3(d) reads as rewritten: 29 "(d) If a beneficiary who retired on an early or service retirement allowance under this 30 Chapter is reemployed by, or otherwise engaged to perform services for, an employer 31 participating in the Retirement System on a part-time, temporary, interim, or on a fee for service 32 basis, whether contractual or otherwise at any time during (i) the six months immediately 33 following the effective date of retirement or (ii) only if the beneficiary is a qualifying retired 34 teacher, as defined in G.S. 115C-302.4(a), the two months immediately following the effective 35 date of retirement, then the option of the following subdivisions that has the lesser financial 36 impact on the member, as determined by the Retirement System, shall be applied: 37 …." 38 SECTION 3.(f) G.S. 135-1(10) reads as rewritten: 39 "(10) "Employee" shall mean all full-time employees, agents or officers of the State 40 of North Carolina or any of its departments, bureaus and institutions other than 41 educational, whether such employees are elected, appointed or employed: 42 Provided that the term "employee" shall not include employees of the 43 University of North Carolina Health Care System who are not eligible for 44 participation under G.S. 135-5.6, employees of the East Carolina University 45 School of Medicine or Dental School of Medicine who are not eligible for 46 participation under G.S. 135-5.7, any person who is a member of the 47 Consolidated Judicial Retirement System, any member of the General 48 Assembly or Assembly, any qualifying retired teacher as defined under 49 G.S. 115C-302.4(a), or any part-time or temporary employee. 50 Notwithstanding any other provision of law, "employee" shall include all 51 General Assembly Of North Carolina Session 2025 Page 6 House Bill 846-First Edition employees of the General Assembly except participants in the Legislative 1 Intern Program, pages, and beneficiaries in receipt of a monthly retirement 2 allowance under this Chapter who are reemployed on a temporary basis. 3 "Employee" also includes any participant whose employment is interrupted 4 by reason of service in the Uniformed Services, as that term is defined in 5 section 4303(16) of the Uniformed Services Employment and Reemployment 6 Rights Act, Public Law 103-353, if that participant was an employee at the 7 time of the interruption; if the participant does not return immediately after 8 that service to employment with a covered employer in this System, then the 9 participant shall be deemed "in service" until the date on which the participant 10 was first eligible to be separated or released from his or her involuntary 11 military service. In all cases of doubt, the Board of Trustees shall determine 12 whether any person is an employee as defined in this Chapter. "Employee" 13 shall also mean every full-time civilian employee of the North Carolina 14 National Guard who is employed pursuant to section 709 of Title 32 of the 15 United States Code and paid from federal appropriated funds, but held by the 16 federal authorities not to be a federal employee: Provided, however, that the 17 authority or agency paying the salaries of such employees shall deduct or 18 cause to be deducted from each employee's salary the employee's contribution 19 in accordance with applicable provisions of G.S. 135-8 and remit the same, 20 either directly or indirectly, to the Retirement System; coverage of employees 21 described in this sentence shall commence upon the first day of the calendar 22 year or fiscal year, whichever is earlier, next following the date of execution 23 of an agreement between the Secretary of Defense of the United States and 24 the Adjutant General of the State acting for the Governor in behalf of the State, 25 but no credit shall be allowed pursuant to this sentence for any service 26 previously rendered in the above-described capacity as a civilian employee of 27 the North Carolina National Guard: Provided, further, that the Adjutant 28 General, in the Adjutant General's discretion, may terminate the Retirement 29 System coverage of the above-described North Carolina National Guard 30 employees if a federal retirement system is established for such employees 31 and the Adjutant General elects to secure coverage of such employees under 32 such federal retirement system. Any full-time civilian employee of the North 33 Carolina National Guard described above who is now or hereafter may 34 become a member of the Retirement System may secure Retirement System 35 credit for such service as a North Carolina National Guard civilian employee 36 for the period preceding the time when such employees became eligible for 37 Retirement System coverage by paying to the Retirement System an amount 38 equal to that which would have constituted employee contributions if the 39 employee had been a member during the years of ineligibility, plus interest. 40 Employees of State agencies, departments, institutions, boards, and 41 commissions who are employed in permanent job positions on a recurring 42 basis must work at least 30 hours per week for nine or more months per 43 calendar year in order to be covered by the provisions of this subdivision. On 44 and after August 1, 2001, a person who is a nonimmigrant alien and who 45 otherwise meets the requirements of this subdivision shall not be excluded 46 from the definition of "employee" solely because the person holds a temporary 47 or time-limited visa." 48 SECTION 3.(g) G.S. 135-1(20) reads as rewritten: 49 "(20) "Retirement" under this Chapter, except as otherwise provided, means the 50 commencement of monthly retirement benefits along with termination of 51 General Assembly Of North Carolina Session 2025 House Bill 846-First Edition Page 7 employment and the complete separation from active service with no intent or 1 agreement, express or implied, to return to service. A retirement allowance 2 under the provisions of this Chapter may only be granted upon retirement of 3 a member. In order for a member's retirement to become effective in any 4 month, the member must perform no work for an employer, including 5 part-time, temporary, substitute, or contractor work, at any time during (i) the 6 six months immediately following the effective date of retirement. retirement 7 or (ii), only if the member is a qualifying retired teacher as defined in 8 G.S. 115C-302.4(a), the two months immediately following the effective date 9 of retirement. A member who is a full-time faculty member of The University 10 of North Carolina may effect a retirement allowance under this Chapter, 11 notwithstanding the six-month requirement above, provided the member 12 immediately enters the University's Phased Retirement Program for Tenured 13 Faculty as that program existed on May 25, 2011. For purposes of this 14 subdivision, all of the following shall not be considered service or work: 15 …." 16 SECTION 3.(h) G.S. 135-48.40(b)(1a) reads as rewritten: 17 "(1a) All retirees who (i) are meet all of the following criteria: 18 a. The retiree is employed by an employing unit that elects to be covered 19 by this subdivision, (ii) do subdivision. 20 b. The retiree does not qualify for coverage under subdivision (1) of this 21 subsection, and (iii) are subsection. 22 c. The retiree is either a qualifying retired teacher under G.S. 115C-302.4 23 or is determined to be "full-time" by their employing unit in 24 accordance with section 4980H of the Internal Revenue Code and the 25 applicable regulations, as amended. 26 The employing unit shall pay the employer premiums for retirees who enroll 27 under this subdivision." 28 SECTION 3.(i) G.S. 135-106(b) reads as written: 29 "(b) After the commencement of benefits under this section, the benefits payable under 30 the terms of this section during the first 36 months of the long-term disability period shall be 31 equal to sixty-five percent (65%) of 1/12th of the annual base rate of compensation last payable 32 to the participant or beneficiary prior to the beginning of the short-term disability period as may 33 be adjusted for percentage increases as provided under G.S. 135-108, plus sixty-five percent 34 (65%) of 1/12th of the annual longevity payment to which the participant or beneficiary would 35 be eligible, to a maximum of three thousand nine hundred dollars ($3,900) per month reduced by 36 any primary Social Security disability benefits to which the beneficiary may be entitled, effective 37 as of the first of the month following the month of initial entitlement, and by monthly payments 38 for Workers' Compensation to which the participant or beneficiary may be entitled. When 39 primary Social Security disability benefits are increased by cost-of-living adjustments, the 40 increased reduction shall be applied in the first month following the month in which the member 41 becomes entitled to the increased Social Security benefit. The monthly benefit shall be further 42 reduced by the amount of any monthly payments from the federal Department of Veterans 43 Affairs, any other federal agency or any payments made under the provisions of G.S. 127A-108, 44 to which the participant or beneficiary may be entitled on account of the same disability. 45 Provided, in any event, the benefit payable shall be no less than ten dollars ($10.00) a month. 46 However, a disabled participant may elect to receive any salary continuation as provided in 47 G.S. 135-104 in lieu of long-term disability benefits; provided such election shall not extend the 48 first 36 consecutive calendar months of the long-term disability period. An election to receive 49 any salary continuation for any part of any given day shall be in lieu of any long-term benefit 50 payable for that day, provided further, any lump-sum payout for vacation leave shall be treated 51 General Assembly Of North Carolina Session 2025 Page 8 House Bill 846-First Edition as if the beneficiary or participant had exhausted the leave and shall be in lieu of any long-term 1 benefit otherwise payable. Provided that, in any event, a beneficiary's benefit shall be reduced 2 during the first 36 months of the long-term disability period by an amount, as determined by the 3 Board of Trustees, equal to a primary Social Security retirement benefit to which the beneficiary 4 might be entitled, effective as of the first of the month following the month of initial entitlement. 5 … 6 Notwithstanding the foregoing, the long-term disability benefit is payable so long as the 7 beneficiary is disabled and is in receipt of a primary Social Security disability benefit until the 8 earliest date at which the beneficiary is eligible for an unreduced service retirement allowance 9 from the Retirement System, at which time the beneficiary would receive a retirement allowance 10 calculated on the basis of the beneficiary's average final compensation at the time of disability as 11 adjusted to reflect compensation increases subsequent to the time of disability and the creditable 12 service accumulated by the beneficiary, including creditable service while in receipt of benefits 13 under the Plan. In the event the beneficiary has not been approved and is not in receipt of a 14 primary Social Security disability benefit, the long-term disability benefit shall cease after the 15 first 36 months of the long-term disability period. When such a long-term disability recipient 16 begins receiving this unreduced service retirement allowance from the System, that recipient 17 shall not be subject to the six-month applicable waiting period set forth in G.S. 135-1(20). 18 However, a beneficiary shall be entitled to a restoration of the long-term disability benefit in the 19 event the Social Security Administration grants a retroactive approval for primary Social Security 20 disability benefits with a benefit effective date within the first 36 months of the long-term 21 disability period. In such event, the long-term disability benefit shall be restored retroactively to 22 the date of cessation." 23 SECTION 3.(j) The State Treasurer shall seek a private letter ruling from the Internal 24 Revenue Service to determine if any provisions of this section jeopardize the status of the 25 Teachers' and State Employees' Retirement System. 26 SECTION 3.(k) If the Internal Revenue Service determines that any provision of 27 this section jeopardizes the status of the Teachers' and State Employees' Retirement System of 28 North Carolina under the Internal Revenue Code, then this section is repealed on the last day of 29 the month following the month of receipt of that determination by the State Treasurer. Upon 30 receipt of that determination, the State Treasurer shall notify the Revisor of Statutes of the 31 determination and the date of receipt. Within three business days of receipt of the determination, 32 the State Treasurer shall notify all local school administrative units of the repeal of this section 33 and shall publicly notice the receipt of this information on the Department of State Treasurer's 34 website. Within three business days of receipt of the notice from the State Treasurer, a local 35 school administrative unit shall notify all qualifying retired teachers employed by its local board 36 of education of the repeal of this section. 37 SECTION 3.(l) Notwithstanding any other provision of law to the contrary, in order 38 to pay costs associated with the administration of the provisions of this section, the Retirement 39 Systems Division of the Department of State Treasurer may increase receipts from the retirement 40 assets of the Teachers' and State Employees' Retirement System or pay costs associated with the 41 administration directly from the retirement assets. 42 SECTION 3.(m) Any beneficiary that is employed by a local board of education as 43 a qualifying retired teacher, as defined in G.S. 115C-302.4(a), shall not be eligible to elect into a 44 position that would lead the beneficiary to be eligible to accrue any additional benefits under 45 G.S. 135-3(a)(8). Any failure of a local board of education or a beneficiary to comply with the 46 foregoing shall be corrected by the Executive Director of the Retirement System as may be 47 appropriate under State and federal law. Any costs of the correction, as determined by the 48 Executive Director of the Retirement System, shall be the sole responsibility of the local board 49 of education and shall be transferred to the Pension Accumulation Fund under G.S. 135-8 under 50 rules adopted by the Board of Trustees. 51 General Assembly Of North Carolina Session 2025 House Bill 846-First Edition Page 9 SECTION 3.(n) There is appropriated from the General Fund to the Department of 1 State Treasurer the sum of one hundred thousand dollars ($100,000) in nonrecurring funds for 2 the 2025-2026 fiscal year to be used to obtain the private letter ruling under subsection (f) of this 3 section. 4 SECTION 3.(o) There is appropriated from the General Fund to the Department of 5 State Treasurer the sum of ten million dollars ($10,000,000) in recurring funds for each year of 6 the 2025-2027 fiscal biennium to be used to address the increased cost to the Teachers' and State 7 Employees' Retirement System as result of the implementation of this section. 8 SECTION 3.(p) This section becomes effective July 1, 2026, and expires June 30, 9 2030. 10 11 PART IV. EXPAND TEACHER LICENSURE RECIPR OCITY 12 SECTION 4.(a) G.S. 115C-270.25 reads as rewritten: 13 "§ 115C-270.25. Out-of-state license applicants. 14 The State Board of Education shall grant a CPL to a teacher who meets one of the following: 15 (1) Is licensed in another state with substantially similar licensure requirements 16 who has at least three years of teaching experience and is in good standing 17 with the other state. 18 (2) Is currently teaching in a state that has been ranked in the top 25 states for 19 education, as evaluated by the US News and World Report, during at least 20 three of the five preceding school years." 21 SECTION 4.(b) This section is effective when it becomes law and applies to 22 applications for CPLs on or after that date. 23 24 PART V. STRENGTHEN R EPORTING REQUIREMENT S FOR THREATS AND 25 ASSAULTS ON TEACHERS 26 SECTION 5.(a) G.S. 115C-288(g) reads as rewritten: 27 "(g) To Report Certain Acts to Law Enforcement and the Superintendent. – When the 28 principal has personal knowledge or actual notice from school personnel that an act has occurred 29 on school property involving assault resulting in serious personal injury, a threat directed at a 30 teacher, assault, sexual assault, sexual offense, rape, kidnapping, indecent liberties with a minor, 31 assault involving the use of a weapon, possession of a firearm in violation of the law, possession 32 of a weapon in violation of the law, or possession of a controlled substance in violation of the 33 law, the principal shall immediately report the act to the appropriate local law enforcement 34 agency. 35 Notwithstanding any other provision of law, the State Board of Education shall not require 36 the principal to report to law enforcement acts in addition to those required to be reported by law. 37 For purposes of this subsection, "school property" shall include any public school building, 38 bus, public school campus, grounds, recreational area, or athletic field, in the charge of the 39 principal. 40 The principal or the principal's designee shall notify the superintendent or the 41 superintendent's designee in writing or by electronic mail regarding any report made to law 42 enforcement under this subsection. This notification shall occur by the end of the workday in 43 which the incident occurred when reasonably possible but not later than the end of the following 44 workday. The superintendent shall provide the information to the local board of education. 45 Nothing in this subsection shall be interpreted to interfere with the due process rights of 46 school employees or the privacy rights of students." 47 SECTION 5.(b) G.S. 115C-289.1(a) reads as rewritten: 48 "(a) When a supervisor of a school employee has actual notice that the school employee 49 has received a threat from a student or has been the victim of an assault by a student in violation 50 of G.S. 14-33(c)(6) resulting in physical injury, as that term is defined in G.S. 14-34.7, 51 General Assembly Of North Carolina Session 2025 Page 10 House Bill 846-First Edition G.S. 14-33(c)(6), the supervisor shall immediately report to the principal the assault against the 1 school employee. For the purpose of this subsection, the term "supervisor of a school employee" 2 does not include the principal or superintendent." 3 SECTION 5.(c) G.S. 115C-150.12C(29) reads as rewritten: 4 "(29) Parental notification of certain acts Acts reported to law enforcement. – A 5 board of trustees shall adopt a rule on the notification rules for the following: 6 a. Notification to parents of any students alleged to be victims of any act 7 that is required to be reported to law enforcement and the 8 superintendent under G.S. 115C-288(g). 9 b. Requiring a principal, or equivalent authority, to report acts to law 10 enforcement in accordance with G.S. 115C-288(g). 11 c. Requiring school employee supervisors to report acts to the principal, 12 or equivalent authority, in accordance with G.S. 115C-289.1(a)." 13 SECTION 5.(d) G.S. 115C-218.75 is amended by adding a new subsection to read: 14 "(p) Acts Reported to Law Enforcement. – A charter school shall require a principal, or 15 equivalent authority, to report acts to law enforcement in accordance with G.S. 115C-288(g) and 16 shall require school employee supervisors to report acts to the principal, or equivalent authority, 17 in accordance with G.S. 115C-289.1(a)." 18 SECTION 5.(e) G.S. 115C-238.66 is amended by adding a new subdivision to read: 19 "(23) Acts reported to law enforcement. – A regional school shall require a 20 principal, or equivalent authority, to report acts to law enforcement in 21 accordance with G.S. 115C-288(g) and shall require school employee 22 supervisors to report acts to the principal, or equivalent authority, in 23 accordance with G.S. 115C-289.1(a)." 24 SECTION 5.(f) G.S. 116-239.8(b) is amended by adding a new subdivision to read: 25 "(26) A laboratory school shall require a principal, or equivalent authority, to report 26 acts to law enforcement in accordance with G.S. 115C-288(g) and shall 27 require school employee supervisors to report acts to the principal, or 28 equivalent authority, in accordance with G.S. 115C-289.1(a)." 29 SECTION 5.(g) This section is effective when it becomes law and applies to 30 incidents or reports occurring on or after that date. 31 32 PART VI. EFFECTIVE DATE 33 SECTION 6. Except as otherwise provided, this act becomes effective July 1, 2025. 34