NC S687

Adjusts retirement age requirements for Teachers' and State Employees' Retirement System members who become members on or after August 1, 2011, requiring age 60 with 30 years of service or age 70 with 10 years of service for unreduced benefits, compared to age 60 with 5 years of service for prior members.

Modifies the definition of "average final compensation" for new members (those joining on or after August 1, 2011) to use the highest 120 consecutive calendar months of earnings instead of the highest 4 consecutive calendar years for existing members.

Establishes new early retirement eligibility for members joining on or after August 1, 2011, allowing reduced benefits at age 60 with 20 years of service, with benefits computed as actuarial equivalent of age 70 allowance.

Changes deferred retirement application deadlines from 90 days to 120 days for members becoming members prior to August 1, 2011.

Creates a 14-member Special Commission to Study Retirement and Health Benefits for Teachers and State Employees, with an interim report due before 2012 reconvening and final report due before 2013 General Assembly convening.