Bill
SB 599
Funds salary increases for state workers and public school staff, plus a one-time local LEO bonus, from General and Highway funds, starting July 1, 2025.
Status & key dates
- Introduced: March 26, 2025 (Senate)
- Effective date for appropriations and pay changes: July 1, 2025
- Progress: Committee substitute adopted (Apr 16, 2025); passed third reading in late April 2025 and progressed through enrollment/engrossment (see legislative history for chamber-level details).
Purpose
- To appropriate funds to implement legislatively mandated salary increases and benefit adjustments for state employees, public school licensed personnel (teachers and certain other school staff), and to provide a one‑time cost‑of‑living supplement (bonus) to local sworn law enforcement officers. Later versions expand the one‑time payment to include certain retirees of state retirement systems.
Main fiscal provisions (appropriations)
- General Fund recurring appropriations:
- $881,262,599 for FY 2025–2026
- $1,021,070,241 for FY 2026–2027
- Highway Fund recurring appropriation to DOT:
- $24,884,648 per year (2025–2027 biennium)
- Reserve for Local Law Enforcement Officer (LEO) bonuses (nonrecurring):
- $40,075,000 in each year of the 2025–2027 biennium (to fund one‑time LEO bonuses)
- Departmental receipts may be used, up to needed amounts, to implement mandated salary and benefit increases.
Who is affected
- State employees across numerous state agencies (detailed allocations to dozens of departments are included in the bill).
- Public school licensed personnel (teachers), and specified school professionals:
- Teachers, licensed school nurses, school counselors, school psychologists, school speech pathologists, audiologists, etc.
- Local sworn law enforcement officers (eligible for a one‑time cost‑of‑living supplement bonus).
- Later bill language extends eligibility for one‑time payments to retirees of:
- Teachers' and State Employees' Retirement System
- Consolidated Judicial Retirement System
- Legislative Retirement System
Key compensation changes (selected)
- A new 2025–2026 teacher monthly salary schedule is established. Example: starting (step 0) monthly salary listed at $4,800 with step increases up to about $5,711 at 25+ years.
- Salary supplements:
- Teachers with NBPTS certification: +12% of monthly "A" salary.
- “M” teachers (master’s level classification): +10% of monthly "A" salary.
- Certified school nurses: +10% of monthly "A" salary.
- School counselors (master’s or higher): +$100/month.
- School psychologists, advanced speech pathologists, and audiologists: first step aligned to the teacher step 6 and receive +10% plus a $350/month supplement; additional step‑26 increase of 7.5% over step 25.
- The teacher schedule incorporates amounts previously paid as longevity into monthly pay steps (no separate annual longevity payments).
Other notable elements
- The bill provides detailed line‑item allocations of the recurring appropriations across state entities (community colleges, DPI, UNC system, multiple DHHS divisions, corrections, public safety, courts, administrative offices, etc.).
- The Highway Fund appropriation supports implementation costs at DOT.
- The Reserve for Local LEO Bonuses funds distribution mechanics described elsewhere in the act (see Section 3.23 in the bill text for bonus eligibility/administration).
Potential fiscal and policy impacts
- Direct recurring cost to the General Fund (hundreds of millions annually) to sustain higher salary bases for state agencies and school personnel.
- Nonrecurring costs to fund one‑time LEO bonuses.
- Potential downstream effects on local budgets (if local match or administrative distribution is required for bonuses) and on retirement system payouts if retirees receive supplements.
Procedural notes / next steps
- The bill is an appropriations/statutory pay schedule measure requiring implementation by state agencies (Office of State Human Resources, DPI, and others).
- Implementation actions include payroll changes, agency budget adjustments, and processing of one‑time bonus distributions to local law enforcement.
For full details, review the enacted bill text and the teacher salary schedule and agency allocation tables in Part I–II of the act.
Compiled from official sources — confirm details with the bill’s official record.
Sign in to ask a question.
