HomeMy WebLinkAboutAgenda - 01-21-2010 - 4dORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: January 21, 2010
Action Age~a
Item No.
SUBJECT: An Amendment to Article IV, Section 9.5.2 of the Personnel Ordinance Related
to Special Separation Allowance for Sworn Law Enforcement Officers
DEPARTMENT: Human Resources PUBLIC HEARING: (Y/N) No
ATTACHMENT(S): INFORMATION CONTACT:
1. Amendment to Article IV, Section 9.5 Michael McGinnis, Human Resources
of the Personnel Ordinance Director, 245-2552
2. Session Law 2009-396/House Bill 816 Diane Shepherd, Benefits Manager,
245-2558
Annette Moore, Staff Attorney, 245-2317
PURPOSE: To consider approving an amendment to the Personnel Ordinance updating the
provisions of the Special Separation Allowance awarded to retired Orange County sworn law
enforcement officers that will bring the Personnel Ordinance into conformance with legislation
passed by the General Assembly of North Carolina on July 31, 2009.
BACKGROUND: The General Assembly changed North Carolina General Statute § 143-
166.42 which requires that a special separation allowance be paid to local law enforcement
officers who retire from local government and meet age and/or service requirements. Session
Law 2009-396/House Bill 816 clarifies the previous requirements for the allowance and more
clearly states when payment to a retired officer shall end. The House Bill continues the
allowance to the end of the month in which the officer turns 62 (rather than to the 62"d birthday)
and terminates the first day an officer is reemployed by a local government employer (with
exceptions for public safety positions that do not require participation in the Retirement
System). Attached is an amendment to Article IV, Section 9.5.2 2 of the Personnel Ordinance
that complies with the changes made by the General Assembly (Attachment 1) and a copy of
the Session Law 2009-396/House Bill 816 (Attachment 2).
Currently sixteen retirees are eligible for the special separation allowance. House Bill 816 adds
a clause which ends payment of the special separation allowance when a recipient is
reemployed by a local government employer in a capacity that requires participation in the Local
Governmental Employees Retirement System. The Bill does not apply to employees who
retired prior to July 31, 2009. All sworn law enforcement officers to whom the new legislation
applies have been notified of the House Bill.
FINANCIAL IMPACT: There is no funding beyond the County's current obligations with regards
to the legislative requirements.
RECOMMENDATION(S): The Manager recommends the Board adopt the amendment to
Article IV, Section 9.5.2 to be effective upon Board approval.
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Orange County Personnel Ordinance Issue Date: August 22, 2005
9.5 Additional Retirement Benefits for Law Enforcement Officers
9.5.2 Special Separation Allowance. Local governments are required to
pay a special separation allowance to sworn local law enforcement
officers i.n accordance with N.C. Gen.:Stat. § 143-1.66.42.
1. Eligibility. The local law enforcement officer must ~ m_ee_ t
one of the following two criteria:
(1) are at least age 55 and have 5 years creditable
service as a law enforcement officer, or
(2) have at least 30 years creditable service (regardless
of age) in the Local Government Employees
Retirement system with at least 50% of that service
being in law enforcement.
2. Termination of Benefits. ~f the law enforcement officer------
-- -------------------------------------------
meets one of the two criteria in 9.5.2-1, the officer is ~'
entitled to a special separation allowance from retiremen>t__ -
ntil:
(1) The death. of the_officer________ ____ _ _____
f______________________ _ _
(2) The last day of the month in which the officer
attains 62 years of age; or
(3) The first day of reemployment by a local
government employer in any capacity; however, an
officer may be employed in a public safety position
in a capacity not requiring participation in the
Local Government Employees' Retirement system.
and doing so will not cause payments to cease Q _ _
A~4 ~.
2
Deleted: who
Formatted: Indent: Left: 0',
Hanging: 2"
Deleted: 9
Deleted: s
Deleted: from rctnement mtil the
officer reaches the age of 62 calculated as
follows
Deleted:
Formatted: Bullets and Numbering
---- --- Deleted::
Calculation of Benefits. T'he Special Separation Allowance•----
received by the officer shall be calculated as provided by
N.C. Gen. Stat. § 143-166.42----------------------------------- ---"
4. The benefits payable under this section are not subject to
any increases in salary or retirement allowances that may
be authorized by the Board of County Commissioners.
Formatted: Indent: Hanging: 2"
Deleted: 85% times years of creditable
service in the Local Government
Employees Retirement System time rate
of pay
Article IV -Page 15
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GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2009
SESSION LAW 2009-396
HOUSE BILL 816
AN ACT TO CLARIFY THE LAW REGARDING THE SPECIAL SEPARATION
ALLOWANCE PROVIDED TO LAW ENFORCEMENT OFFICERS UNDER THE
LOCAL GOVERNMENTAL EMPLOYEES' RETIREMENT SYSTEM.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 143-166.42 reads as rewritten:
"§ 143-166.42. Special separation allowances for local officers.
~ On and after January 1, 1987, tl3~~ei~isie~s e€6.5~4~ ' ~~.^' ~"°" °~^'~• *^ °"
°"°"''° '^•T° °^f ~^°-~°~+ ~ every sworn law enforcement officer as defined by
G.S. 128-21(llb) or G.S. 143-166.50(a)(3) eke--aye employed by a local ge~er-nme~
provided the officer returns to service within 45 days after the disability
benefits cease and is otherwise qualified to receive the allowance.
first of:
IIIIIIIIIII
.. tea. Y:.,..~~~ as
service;and
Not have attained 62 years of awe; and
Have completed at least five years of continuous service as a law
enforcement officer as herein defined immediatel~precedin~ a service
,~ The death of the officer;
The last day of the month in which the officer attains 62 years of a
The first day of reemployment by a local government employer in any
4
SECTION 2. Nothing in this act shall be deemed to (i) entitle a law enforcement
officer to retroactive payments of any benefit for the period prior to the effective date of this act
for which the officer's employer previously determined that the officer was not entitled; (ii)
prospectively deny payment of an annual separation allowance to an officer who was
previously determined by the officer's employer to be eligible for such benefit; (iii) apply to
any pending litigation related to the special separation allowance; or (iv) extend the payment
beyond the date when payment shall cease pursuant to G.S. 143-166.42(c), as enacted by
Section 1 of this act.
SECTION 3. This act is effective when it becomes law and applies prospectively
to payments required by this act whether the officer retired before, on, or after the effective date
of this act.
In the General Assembly read three times and ratified this the 23`d day of July, 2009.
s/ Walter H. Dalton
President of the Senate
s/ William L. Wainwright
Speaker Pro Tempore of the House of Representatives
s/ Beverly E. Perdue
Governor
Approved 12:55 p.m. this 31S' day of July, 2009
Page 2 Session Law 2009-396 SL2009-0396