November 2014 SBE Review

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NCAE SBE Review I NS T RU CT I O NAL P O L I CY U P DA TE S

OF INTEREST:

received the Model Recognition. The following received the Prepared STEM recognition: Brunswick Early College, Contentnea –Savannah in Lenoir, Green Central High School, Brentwood Elementary in Wake, Wayne High School of Engineering, Elkin Middle School, JN Fries Magnet in Cabarrus, STEM Early College in Guilford and Hanes Middle School, J Sam Gentry Middle School and Atkins

Academy all in Winston Salem.

Placed Charter Day, INC on Financial Probation because this For-profit company has not provided financial data as requested by NCDPI. All other charter schools and charter companies provided the data requested on teacher salaries working in NC charter schools.

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Impact of the ACA

SPECIAL POINTS

Recognized schools meeting the eleven standards of a STEM school. Exploris Charter School in Wake

N O V E M B E R

ACA Requirements – Coverage of Full-time Employees

Shared Employer Responsibility Provisions To avoid tax penalties under section 4980H of the Internal Revenue Code large employers must offer health coverage that is affordable and at least “minimal value” to all full-time employees. Employees are considered full-time, and thus required to be offered employer-sponsored health care, if they are reasonably expected to work 30 hours per week. The requirement extends health benefit eligibility to nonpermanent full-time employees, who traditionally have not been eligible for coverage under the State Health Plan.

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Treasurer Cowell provided information pertaining to the ACA to help clarify the issues facing LEAs when hiring substitute teachers, or using retired educators who return to work, based on questions received. Employers have flexibility in determining an employee’s status through a safe harbor that allows the employer to select “measurement” and “stability” periods for determining eligibility and offering coverage. If the safe harbor is not used, then employee

status is determined every month. The alternative NC health insurance plan being offered to meet the ACA guidelines and legislation passed to meet the “permanent part-time” employees now considered full-time at 30 hours per week will cost the employer $117.62 and the employee $92.38 per month. This new plan goes into effect January 1, 2015.

G.S. 135-48.41(j) specifies that during the time of their full-time employment, re-hired State retirees are not eligible for retiree health benefit coverage. This provision is consistent with prior law requiring employing units to cover re-hired retirees employed in permanent positions on a recurring basis and working 30 or more hours per week for nine or more months in a calendar year. If a re-hired retiree meets the eligibility requirements, employing units must offer the retiree the alternative coverage. While the retiree is not required to enroll in the alternative plan (which provides different coverage) they are not eligible for the State Health Insurance Plan retiree group coverage under the Retirement Systems as required by state law. Once the retied employee stops working, they have 30 days to re-enroll in the State Health Group Insurance plan. If the 30-day window is missed they can’t enroll until a new calendar year.

Teacher Turnover Report Discussed The following link will take you to the full report discussed during the SBE meeting in November http://goo.gl/ KWD4QE. Please remember that the data is based from March to March of a year. Teachers who left for personal reasons: 5,030 responses, included teachers who resigned due to a career change, family circumstances, health issues, to teach in another state, dissatisfaction with teaching, seeking a career change or decided to retire with reduced benefits. Teachers who left the district but remained in education: 4,093 responses, included teachers who resigned to teach in another district, charter school or non-public school, or moved to a non-teaching position within the district or at another district or agency. Teachers who left for reasons beyond district control: 2,353 responses, included teachers who retired with full benefits, moved due to military orders, resigned because their Visiting International Faculty term or Teach for America term expired, or left due to reduction in force. Teachers who were terminated by the local school district: 1,123 responses , included teachers who resigned in lieu of non-renewal or dismissal, did not obtain or maintain their license, were not rehired when their probationary contract ended or were dismissed. Teachers who left for other reasons: 958 responses, included teachers who either resigned for reasons not listed in the survey or did not give a reason. When asked about teachers remaining in or coming to North Carolina public school classrooms, State Superintendent June Atkinson said, "A number of the reasons why teachers leave their district or the profession can be addressed by just giving their profession the respect it deserves. We have high expectations for teachers and their pay and classroom support need to reflect that."

NCAE SBE Review November 2014


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