§ 159-30.1. Trust for other post-employment benefits. - North Carolina Statutes

§ 159‑30.1.  Trust forother post‑employment benefits.

(a)        Trust. – A localgovernment, a public authority, an entity eligible to participate in the LocalGovernment Employee's Retirement System, or a local school administrative unitmay establish and fund an irrevocable trust for the purpose of paying post‑employmentbenefits for which the entity is liable. The irrevocable trust must beestablished by resolution or ordinance of the entity's governing board. Theresolution or ordinance must state the purposes for which the trust is createdand the method of determining and selecting the Fund's trustees. The resolutionor ordinance establishing the trust may be amended from time to time, but anamendment may not authorize the use of monies in the trust for a purpose notstated in the resolution or ordinance establishing the trust.

(b)        Restrictions. –Monies in an irrevocable trust established under subsection (a) of this sectionmay be appropriated only for the purposes for which the trust was established.Monies in the trust are not subject to the claims of creditors of the entitythat established the trust. An entity that establishes a trust may not depositmoney in the trust if the total amount held in trust would exceed the entity'sactuarial liability, determined in accordance with the standards of theGovernmental Accounting Standards Board, for the purposes for which the trustwas established. (2007‑384,s. 5.)