Amends GS 135-8(f)(2), pertaining to collection of employer contributions as part of the method of financing the Retirement System for Teachers and State Employees (TSERS), as follows. Specifies that a public school unit is not required to pay an additional contribution calculated under GS 135-4(jj) (contribution-based cap purchase provision) for the retirement of a public school employee if, within 12 months of the assessment, the public school unit certifies, on a form approved by the Board of Trustees, to all of the following: (1) the retiree's service, during the period used to compute the retiree's average final compensation, was in a position or positions where State law or regulation mandates the specific dollar amount that must be paid from State funds to an  employee in that position or positions or the retiree served a minimum of 12 years in a position for which State law or regulation mandates a specific dollar amount that must be paid from State funds to an employee in that position or positions; and (2) the greatest local supplement amount paid to the retiree for a school year during the period used to calculate the employee's average final compensation did not exceed 20% of the salary. Provides for proportional adjustment if prong 1 applies but not prong 2, and specifies how that calculation should be made. Effective July 1, 2023.

Authorizes the Department of the State Treasurer to resolve any legal actions currently pending against the State regarding the anti-pension spiking contribution-based benefit cap (established in GS 135-5(a3)), with respect to the amount and terms of payment, within the framework established by GS 135-8(f)(2). Specifies that any additional contributions owed by a school board and for which the Retirement System sent notice during the litigation pause established by SL 2021-72 will be calculated under GS 135-8(f)(2). Specifies that the employer contribution rate pertaining to those additional contributions will not be adjusted before the fiscal year beginning with July 1, 2024. Prohibits the Retirement System, before September 1, 2023, from requesting an interception of State appropriations for unpaid contributions attributable to retirements that occurred between July 1, 2021, and June 30, 2023.

Amends GS 135-6 (TSERS administration) to authorize the Treasurer to designate legal counsel, including private counsel, to represent the interests of the administration of benefit programs under GS Chapter 135. Effective July 1, 2023.