AN ACT TO MAKE CHANGES TO THE STATUTES GOVERNING THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM, THE LOCAL GOVERNMENTAL EMPLOYEES' RETIREMENT SYSTEM, AND THE DISABILITY INCOME PLAN OF NORTH CAROLINA TO PROVIDE PROTECTION AND REMEDIES FOR REPORTING VIOLATIONS OF RETIREMENT LAW; TO ESTABLISH GUIDELINES FOR FRAUD INVESTIGATIONS THAT WILL ENHANCE THE DEPARTMENT OF STATE TREASURER'S CAPABILITY TO PREVENT AND DETECT FRAUD, WASTE, AND ABUSE; TO MAKE IT A CLASS 1 MISDEMEANOR TO FRAUDULENTLY RECEIVE A DECEDENT'S MONTHLY DISABILITY BENEFIT; AND TO CLARIFY THE APPOINTMENT OF THE MEDICAL BOARD. Summarized in Daily Bulletin 5/23/12, 6/13/12, 6/20/12, and 6/27/12. Enacted July 16, 2012. Section 3(a) is effective December 1, 2012. The remainder is effective July 1, 2012.
Summary date: Jul 17 2012 - More information
Summary date: Jun 27 2012 - More information
Senate committee substitute makes the following changes to 3rd edition.
Amends GS 128-21 and 135-1 to add definitions for the term authorized representatives who are assisting the Retirement Systems Division staff (authorized representatives) to identify those persons who can gain access to information in a fraud investigation. Makes conforming changes to provide that an independent review or examination in a fraud investigation may be conducted by Retirement Systems Division staff or authorized representatives.
Amends new subsection (r) of GS 128-28 and new subsection (q) of GS 135-6 to add language relating to the treatment of social and medical services records in connection with a fraud investigation. Directs providers of social and medical services to make copies of their records available to the Retirement Systems Division or its authorized representatives upon receiving a written request for the information. Permits the provider to charge a reasonable fee as provided by GS 90-411.
Makes technical changes.
Summary date: Jun 20 2012 - More information
House amendment makes the following changes to 2nd edition.
Amends GS 128-28 and GS 135-6 to limit the authority to conduct a fraud investigation and have access to persons and records to the Retirement Systems Division (was, the Retirement Systems Division and the Division’s authorized representatives). Provides that the effective date of amended GS 135-18.11 (improper receipt of decedent’s retirement allowance or disability benefit) is December 1, 2012, and applies to acts committed on or after that date (was, July 1, 2012).
Summary date: Jun 13 2012 - More information
House committee substitute makes the following changes to 1st edition.
Amends GS 135-111 to make GS 135-18.11 (improper receipt of decedent’s retirement allowance or disability benefits) applicable to a decedent’s monthly benefit under the Disability Income Plan of North Carolina.
Deletes changes to GS 128-21(7a) and GS 135-1(7a), which created a rebuttable presumption that any salary or remuneration paid for the principal purpose of enhancing a member’s benefits under the plan is not compensation.
Makes technical and conforming changes. Makes clarifying changes to the title.
Summary date: May 23 2012 - More information
Enacts new GS 128-38.6 to set out protections and remedies against retaliation for employees who provide information to the Retirement Systems Division about possible violations of retirement law.
Makes the following changes to the Local Governmental Employees’ Retirement System and makes corresponding changes to the Teachers’ and State Employees’ Retirement System. Enacts three new subsections in GS 128-28 to (1) detail the powers and access of the Retirement Systems Division (Division) and staff when conducting a fraud investigation; (2) require the Division to maintain fraud investigative reports for 10 years and provide for the management of relevant work papers; and (3) keep the identity of the person reporting fraud, waste, or abuse confidential. Adds a definition for fraud investigation to GS 128-21. Amends the definition for compensation in GS 128-21(7a) to create a rebuttable presumption that any salary or remuneration paid for the principal purpose of enhancing a member’s benefits under the plan is not compensation. Amends GS 128-28(l) to authorize the Board of Trustees to structure appointment requirements and term durations for medical board members.
Amends GS 135-18.11 to make a person guilty of a Class 1 misdemeanor if the person fraudulently receives a decedent’s monthly benefit under the Disability Income Plan at least two months after the retiree’s death.
Effective July 1, 2012.
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