House committee substitute makes the following changes to the 1st edition.

Part I.

No longer recodifies specified subdivisions and subsections of GS 135-4 as subdivisions of GS 135-4.5(b). No longer modifies those subdivisions and adds to GS 135-4.5, concerning creditable service purchases by members of the Teachers' and State Employees' Retirement System (TSERS). Instead, amends GS 135-4, concerning creditable service purchases by members under TSERS, as follows. 

Amends subsection (p), which allows for members to purchase service credit on or before December 31, 2021, for temporary State employment upon completion of 10 years of membership service upon classification of a temporary employee for more than three years, to specify that any inchoate or accrued rights of a member to purchase creditable service that existed before December 31, 2021, cannot be diminished and can by purchased as creditable service with TSERS under the same conditions which would have otherwise applied. 

Enacts new subsection (cc1) to allow any member in service with five or more years of membership service to purchase creditable service on and after January 1, 2023, for any employment as an employee of a charter school operated by a private nonprofit corporation or by a municipality whose board of directors did not elect to participate in TSERS, by paying a total lump sum payment. Limits the total amount of creditable service purchased at five years. Provides for calculation of the payment and for payment by the member to be credited to the member's annuity savings account. Allows for employers to pay all or part of the cost, and requires such payments made by employers to be credited to the pension accumulation fund. Makes conforming changes to existing subsection (cc), which allows for purchase of creditable service by members (does not specify members in service) for the same employment upon completion of five years of service with variance in calculation and payment, limiting the provision to purchases made on or before January 1, 2023. 

Enacts new subsection (j2) to allow any member in service with five or more years of membership service to purchase creditable service for service as a member of the NCGA not otherwise creditable under the statute, so long as the service is not created in the Legislative Retirement Fund nor the Legislative Retirement System, by paying a total lump sum payment. Limits the total amount of creditable service purchased at five years. Provides for calculation of the payment and for payment by the member to be credited to the member's annuity savings account. Allows for employers to pay all or part of the cost, and requires such payments made by employers to be credited to the pension accumulation fund. Makes conforming changes to existing subsection (j1), which allows for purchase of creditable service by members (does not specify members in service nor require a member to have five or more years of membership service) for the same employment with variance in calculation and payment, limiting the provision to purchases made on or before January 1, 2023. 

Maintains the proposed changes to GS 135-4(ff), regarding retroactive membership service.

Adds to the subsections repealed of GS 135-4, subsection (w), which provides for credit at full cost for federal employment, and credit for employment with public community service entities on or before December 31, 2021.

Changes the effective date of the provisions of Part I to July 1, 2022 (previously, the entire act was effective January 1, 2022).

Part II.

Further amends GS 128-26, concerning the purchase of creditable service by members of the Local Governmental Employees' Retirement System (LGERS). Enacts new subsection (h2), providing identical service purchase provisions as those enacted in GS 135-4(j2) under TSERS, regarding service as a member of the NCGA on or after January 1, 2023. Maintains the previously proposed change to subsection (h1), limiting similar purchase provisions for NCGA service to purchases prior to January 1, 2023. 

Adds to the subsections repealed of GS 128-26, subsection (o), which is identical to subsection (w) of GS 135-4, described above, also repealed by the act.

Changes the effective date of the provisions of Part II to July 1, 2022 (previously, the entire act was effective January 1, 2022).

Part III.

Further amends GS 135-56, concerning the purchase of creditable service by members of the Consolidated Judicial Retirements System (CJRS), enacting new subsection (e1), providing identical service purchase provisions as those enacted in GS 135-4(j2) under TSERS and GS 128-26(h2) under LGERS, regarding service as a member of the NCGA on or after January 1, 2023. Maintains the previously proposed change to subsection (e), limiting similar purchase provisions for NCGA service to purchases prior to January 1, 2023. 

Part IV.

Makes conforming changes to the act's effective date provision. 

Makes conforming changes to the act's long title.