Orange County NC Website
Browse       Search
2 <br /> 2. 30-year Fixed Benefit Option <br /> a. Retire under the Local Governmental Employees' Retirement System (LGERS) on <br /> or after July 1, 2025, <br /> b. By age 62, have 30 years of creditable service, <br /> c. Have a least 5 years of continuous service as a law enforcement officer immediately <br /> preceding retirement, and <br /> d. Have at least 50% of total creditable service be in a law enforcement position. <br /> Election is irrevocable once made. If no election is made, the 30-Year Fixed Option applies by <br /> default, if applicable. <br /> If a law enforcement officer meets all eligibility criteria under NCGS §143-166.42, the local <br /> government employer must allow the officer to elect which calculation method to use — the <br /> traditional LESSA based on final salary and total service, or the new 30-year fixed option based <br /> on the salary at 30 years. <br /> Specifically calculated as follows: <br /> 1. Traditional LESSA — Under this option, law enforcement officers who meet the eligibility <br /> requirements are entitled to an annual benefit equal to 0.85% of the officer's most recent <br /> annual base rate of salary before retirement, multiplied by the officer's total years of <br /> creditable service. (Based on final salary x total years of service, payable until age 62) <br /> 2. 30-Year Fixed LESSA — Under the 30-year fixed benefit option, law enforcement officers <br /> who meet the eligibility requirements are entitled to an annual benefit equal to 0.85% but <br /> instead of using the officer's final salary and total year of service, the new option fixes both <br /> variables. The benefit is calculated using the officer's base rate of salary at the time they <br /> reach 30 years of creditable service, and the benefit is based on exactly 30 years of service, <br /> regardless of how many years the officer ultimately works beyond 30 years. (Based on <br /> salary at 30 years x 30 years of service, payable for the number of years between age 30- <br /> year milestone and age 62) <br /> FINANCIAL IMPACT: Local governments remain responsible for funding LESSA benefits for <br /> their eligible retirees on a pay-as-you go basis. <br /> ALIGNMENT WITH STRATEGIC PLAN: This item supports: <br /> • GOAL 2: HEALTHY COMMUNITY <br /> OBJECTIVE 5. Invest in, support, train and retain our community safety, health, and <br /> emergency services employees and direct care workforce. <br /> • GOAL 6: DIVERSE AND VIBRANT ECONOMY <br /> OBJECTIVE 6. Provide workforce and business development resources to enhance the <br /> skills of our workforce. <br /> RECOMMENDATION(S): The Manager recommends that the Board adopt and authorize the <br /> Chair to sign the resolution: <br /> 1) Approving amendments to the Orange County Code of Ordinances Chapter 28 — <br /> Personnel, Section 28-38 - Retirement 0) (2) regarding the Special Separation Allowance <br /> for law enforcement officers to incorporate changes in accordance with Session Law 2025- <br /> 8, which amended North Carolina General Statute §143-166.42; and <br /> 2) Approving other minor language amendments to Section 28-38 - Retirement. <br />