Ferry Div. Audit/DOT Omnibus.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025

SESSION LAW 2026-46
HOUSE BILL 1094

*H1094-v-7*
AN ACT TO DIRECT THE OFFICE OF THE STATE AUDITOR TO CONDUCT A
PERFORMANCE AUDIT OF THE FERRY DIVISION OF THE DEPARTMENT OF
TRANSPORTATION, AS R ECOMMENDED BY THE JO INT LEGISLATIVE
TRANSPORTATION OVERSIGHT COMMITTEE, AND TO MAKE OTHER CHANGES
TO LAWS RELATED TO MOTOR VEHICLES AND TRANSPORTATION.

The General Assembly of North Carolina enacts:

FERRY DIVISION PERFORMANCE AUDIT
SECTION 1.(a) The Office of the State Auditor shall conduct a performance audit
of the Ferry Division of the Department of Transportation, which shall include all of the
following:
(1) A financial audit of the Division's operations and maintenance spending and
budget practices.
(2) An evaluation of the Division's operations, capital project, and maintenance
activities, and suggestions for long -term strategies to maximize revenue and
reduce costs.
(3) An evaluation of the current route system and potential route and sch edule
adjustments to maximize revenue and reduce costs.
(4) An evaluation of potential options to diversify revenue to support ferry capital
project needs and recoup operating costs.
(5) Other items the State Auditor deems relevant to evaluate.
SECTION 1.(b) No later than January 15, 2027, the State Auditor shall provide a
report of the performance audit required by this section to the Joint Legislative Transportation
Oversight Committee and the Fiscal Research Division.

DIVISION OF MOTOR VEHICLES PERCENT AGE-BASED FUNDING MODEL
STUDY
SECTION 2.(a) The Department of Transportation, Division of Motor Vehicles
(Division), shall study the feasibility of transitioning Division funding to a
percentage-of-revenue-based model. The study shall include an evaluation of:
(1) The advantages and disadvantages of the current fixed -budget appropriation
model, including its limitations in responding to fluctuations in Division
services demand.
(2) The feasibility of implementing a percentage -of-revenue-based model (i)
under which the Division's budget authority is tied to revenue sources
collected by the Division and (ii) under which the Division would have
authority to adjust operational and staffing expenditures to adjust with demand
for services and collection of revenue.
(3) Funding models used by motor vehicle agencies in other states, including
models that incorporate:
a. Percentage-of-revenue-based appropriations or models.

Page 2 Session Law 2026-46 House Bill 1094
b. Fee retention or enterprise-style funding structures.
c. Demand-driven or workload-based budgeting.
(4) Legal or budgetary constraints related to a change in funding models. In
evaluating this, the Division shall consult with the Office of State Budget and
Management (OSBM) to determine the impact of a new funding model on:
a. Budget adjustment practices set forth in the State Budget Act, Chapter
143C of the General Statutes.
b. The fiscal impact on the Department of Transportation and the
Division of having a percentage -of-revenue-based funding model
rather than a fixed-budget appropriation.
(5) The fiscal impact of the quadrennial adjustment to fees and rates pursuant to
G.S. 20-4.02, on the Division's budget, assuming a
percentage-of-revenue-based funding model.
(6) Potential impacts of a percentage-of-revenue-based model on the Division's:
a. Customer service levels and wait times.
b. Staffing and operational capacity.
c. Technology modernization efforts.
d. Accountability and legislative oversight.
(7) Potential fiscal impacts of a percentage -of-revenue-based model for the
Division on the Depa rtment of Transportation's budgeting and funding of
other Department operations.
(8) Performance-based pay structure for drivers license examiners.
(9) Any other information relevant to this study.
SECTION 2.(b) The Division shall submit a report of its f indings and
recommendations, including legislative recommendations necessary to implement a
percentage-of-revenue-based funding model, to the Joint Legislative Transportation Oversight
Committee, the House of Representatives Appropriations Committee on Tra nsportation, the
Senate Appropriations Committee on the Department of Transportation, the Fiscal Research
Division, and OSBM no later than January 1, 2027.

ALLOW EARLY RENEWALS OF DRIVERS LICENSES
SECTION 3.(a) G.S. 20-7(f)(3a) reads as rewritten:
"(3a) When to renew. – A person may apply to the Division to renew a license
during the 180-day period at any time before the license expires. The Division
may not accept an application for renewal made before the 180 -day period
begins.The fee for a regular drivers license renewed during the 180-day period
before the license expires is the fee set out in subsection (i) of this section.
The fee for a regular drivers license renewed more than 180 days before the
license expires is the fee for a duplicate license set out in G.S. 20-14, plus the
fee for a regular drivers license set out in subsection (i) of this section, minus
the per year fee set out in subsection (i) of this section for each full year of
validity remaining in the period for which the license was issued."
SECTION 3.(b) This section becomes effective October 1, 2026.

AUTHORIZE DIVISION TO PROVIDE ELECTRONIC UNREDACTED CRASH
REPORTS TO PERSONS DIRECTLY INVOLVED IN A CRASH
SECTION 4. G.S. 20-43.1 reads as rewritten:
"§ 20-43.1. Disclosure of personal information in motor vehicle records.
…

House Bill 1094 Session Law 2026-46 Page 3
(e2) As authorized in 18 U.S.C. § 2721, the Division may provide, by secure electronic
means, an unredacted crash report , collected pursuant to G.S. 20-166.1, to a person directly
involved in the crash.
…."

PROVIDE ADDITIONAL TIME TO RESPOND TO INSURANCE LAPSE NOTICES
SECTION 5.(a) G.S. 20-311(a) reads as rewritten:
"(a) Action. – When the Division receives evidence, by a notice of termination of a motor
vehicle liability policy or otherwise, that the owner of a motor vehicle registered or required to
be registered in this State does not have financial responsibility for the operation of the vehicle,
the Division shall notify the owner electronically or by mail. The notice shall inform the owner
of the evidence demonstrating lapse and that the owner must respond to the notice within 10 30
days of the date the notice was sent. The owner's response must explain how the owner has met
the duty to have continuous financial responsibility for the vehicle. Based on the owner's
response, the Division shall take the appropriate action listed:
…."
SECTION 5.(b) This section becomes effective October 1, 2026, and applies to
notices issued on or after that date.

ELIMINATE MANDATORY DEALER LICENSE PLATE REPLACEMENT
SECTION 6. G.S. 20-79(c1) is repealed.

ELIMINATE MANDATORY LICENSE PLATE REPLACEMENT AND ADDITIONAL
REFLECTIVITY STANDARDS
SECTION 6.5. G.S. 20-63.1 reads as rewritten:
"§ 20-63.1. Division shall cause plates to be reflectorized.
(a) Registration Plate Standards. – The Division of Motor Vehicles is hereby authorized
to cause vehicle license plates for 1968 and future years to be completely treated with
reflectorized materials designed to increase visibility and legibility of license plates at night. The
Division of Motor Vehicles shall develop standards for reflectivity that use the most current
technology available while maintaining a competitive bid process.
(b) Registration Plate Mandatory Replacement. – All registration plates shall be replaced
every seven years."

FEE ADJUSTMENT AND COMMISSION CONTRACTOR CLARIFICATIONS
SECTION 7.(a) It is the intent of this section to clarify the existing law as it pertains
to (i) the fee established pursuant to G.S. 20-85(a)(12) and the quadrennial adjustment for
inflation established pursuant to G.S. 20-4.02, (ii) the offer of commission contracts to
individuals pursuant to G.S. 20-63(h), and (iii) the sale of a commission contract business
pursuant to G.S. 20-63(h).
SECTION 7.(b) The General Assembly makes the following findings of fact:
(1) Section 20(b) of S.L. 2024-30 repealed the application fee for a certificate of
title prepared and delivered using a one -day title service pursuant to
G.S. 20-85.1.
(2) Section 20(a) of S.L. 2024 -30 recodified the application fee for a certificate
of title prepared and delivered using a one -day title service as
G.S. 20-85(a)(12).
(3) Section 20(f) of S.L. 2024 -30 listed without discontinuation the application
fee for a certificate of title prepared and delivered using a one-day title service
created pursuant to G.S. 20-85.1 and recodified as G.S. 20-85(a)(12) among

Page 4 Session Law 2026-46 House Bill 1094
the fees subject to quadrennial adjustment for inflation by amending
G.S. 20-4.02(a)(10).
(4) Subsections (a), (b), and (f) of Section 20 of S.L. 2024-30 all became effective
July 1, 2024.
(5) The intent of the General Assembly in Section 20 of S.L. 2024 -30 was to
recodify the application fee created by G.S. 20-85.1 as G.S. 20-85(a)(12)
without any discontinuation of that fee and to make that fee subject to the July
1, 2024, quadrennial adjustment for inflation and all subsequent quadrennial
adjustments for inflation.
SECTION 7.(c) Therefore, the General Assembly finds that the Division of Motor
Vehicles' interpretation that the fee established by G.S. 20-85(a)(12) is not subject to the July 1,
2024, quadrennial adjustment for inflation, and all subsequent quadrennial adjustments for
inflation, is inconsistent with the legislature's intentions. The Division is directed to comply with
the intent of Section 20 of S.L. 202 4-30 and apply the July 1, 2024, quadrennial adjustment for
inflation and all subsequent quadrennial adjustments for inflation mandated by
G.S. 20-4.02(a)(10) to the fee recodified as G.S. 20-85(a)(12).
SECTION 7.(d) G.S. 20-63 reads as rewritten:
"§ 20-63. Registration plates furnished by Division; requirements; replacement of regular
plates with First in Flight plates, First in Freedom plates, or National/State
Mottos plates; surrender and reissuance; displaying; preservation and cleaning;
alteration or concealment of numbers; commission contracts for issuance.
…
(h) Commission Contracts for Issuance of Plates and Certificates. – All registration
plates, registration certificates, and certificates of title issued by the Division, outside of those
issued from the office of the Division located in Wake, Cumberland, or Mecklenburg Counties
and those issued and handled through the United States mail, shall be issued insofar as practicable
and possible through commission contracts entered into by the Division for the issuance of the
plates and certificates in localities throughout North Carolina, including military installations
within this State, with persons, firms, corporations or governmental subdivisions of the State of
North Carolina. The Division shall not require a business entity to contract with the Division as
an individual as a prerequisite for a commission contract offer but instead the Division shall
accept applications for new commission contracts or renewal of existing contracts and enter into
contracts with commission contractors in the commission contractor's business entity name,
unless the commission contractor chooses to enter int o a contract as an individual. If a
commission contractor has been required by the Division to apply for or renew a commission
contract in the commission contractor's individual name, the Division shall notify the contractor
within 30 days of th at application or renewal and provide an opportunity within 30 days of the
notification to either (i) amend the appli cation to reflect the contractor 's business name or (ii)
amend and reenter the commission contract in the contractor's business name.
The Division shall make a reasonable effort in every locality, except as noted above, to enter
into a commission contract for the issuance of the plates and certificates and a record of these
efforts shall be maintained in the Division. In the event the Division is uns uccessful in making
commission contracts, it shall issue the plates and certificates through the regular employees of
the Division. Whenever registration plates, registration certificates, and certificates of title are
issued by the Division through commis sion contract arrangements, the Division shall provide
proper supervision of the distribution. Nothing contained in this subsection allows or permits the
operation of fewer outlets in any county in this State than are now being operated.
The terms of a commission contract entered under this subsection shall specify the duration
of the contract and either include or incorporate by reference standards by which the Division
may supervise and evaluate the performance of the commission contractor. The duration o f an
initial commission contract may not exceed eight years and the duration of a renewal commission

House Bill 1094 Session Law 2026-46 Page 5
contract may not exceed two years. The Division may award monetary performance bonuses, not
to exceed an aggregate total of ninety thousand dollars ($90,00 0) annually, to commission
contractors based on their performance.
The terms of a commission contract entered under this subsection shall allow the commission
contractor to sell the contractor's business, entire business operation, as applicable, and assig n
contractual rights to another qualified contractor prior to expiration of the contract. A qualified
contractor is a person, firm, corporation, or governmental subdivision of the State of North
Carolina, with demonstrated experience as a commission contra ctor in North Carolina or
equivalent experience in another state, as determined by the Division. All Upon sale, the prior
commission contractor's business , including (i) all of the prior commission contractor's
contractual rights and (ii) any Division equipment and software controlled by the prior
commission contractor, shall be transferred to the new commission contractor upon sale, in
accordance with guidelines established by the Division. contractor, and the new commission
contractor shall continue operating the business . The Division may establish guidelines with
respect to the transfer of the Division 's equipment and software to the new commission
contractor.
The amount of compensation payable to a commission contractor is determined on a per
transaction basis. The collection of the highway use tax and the removal of an inspection stop are
each considered a separate transaction for which one dollar and sixty -eight cents ($1.68)
compensation shall be paid. The issuance of a limited registrat ion "T" sticker and the collection
of property tax are each considered a separate transaction for which compensation at the rate of
one dollar and forty cents ($1.40) and one dollar and sixteen cents ($1.16) respectively, shall be
paid by counties and municipalities as a cost of the combined motor vehicle registration renewal
and property tax collection system. The performance at the same time of one or more of the
transactions below is considered a single transaction for which one dollar and eighty -nine cents
($1.89) compensation shall be paid:
(1) Issuance of a registration plate, a registration card, a registration sticker, or a
certificate of title.
(2) Issuance of a handicapped placard or handicapped identification card.
(3) Acceptance of an application for a personalized registration plate.
(4) Acceptance of a surrendered registration plate, registration card, or
registration renewal sticker, or acceptance of an affidavit stating why a person
cannot surrender a registration plate, registration card, or registration renewal
sticker.
(5) Cancellation of a title because the vehicle has been junked.
(6) Acceptance of an application for, or issuance of, a refund for a fee or a tax,
other than the highway use tax.
(7) Receipt of the civil penalty imposed by G. S. 20-311 for a lapse in financial
responsibility or receipt of the restoration fee imposed by that statute.
(8) Acceptance of a notice of failure to maintain financial responsibility for a
motor vehicle.
(8a) Collection of civil penalties imposed for violations of G.S. 20-183.8A.
(8b), (9) Repealed by Session Laws 2013-372, s. 2(a), effective July 1, 2013.
(10) Acceptance of a temporary lien filing.
(11) Conversion of an existing paper title to an electronic lien upon request of a
primary lienholder.
…."

AMEND ELIGIBILITY REQUIREMENT FOR INTERNATIONAL ASSOCIATION OF
FIRE FIGHTERS SPECIAL REGISTRATION PLATE
SECTION 8. G.S. 20-79.4(b)(106) reads as rewritten:

Page 6 Session Law 2026-46 House Bill 1094
"(106) International Association of Fire Fighters. – The plate authorized by this
subdivision shall bear the logo of the International Association of Fire
Fighters. The Division may not issue the plate unless it receives at least 300
applications for the plate. The plate is issuable to one of the following in
accordance with G.S. 20-81.12:
a. A person who presents proof of active membership in An active
member of the International Association of Fire Fighters for the year
in which the license plate is sought.Fighters.
b. The surviving spouse of a person who was a member of the
International Ass ociation of Fire Fighters, so long as the surviving
spouse continues to renew the plate and does not remarry."

ELIMINATE DRIVING ELIGIBILITY CERTIFICATE REQUIREMENT FOR THE
ISSUANCE OF LEARNER'S PERMITS AND PROVISIONAL DRIVERS LICENSES
SECTION 9.(a) G.S. 20-11 reads as rewritten:
"§ 20-11. Issuance of limited learner's permit and provisional drivers license to person who
is less than 18 years old.
…
(b) Level 1. – A person who is at least 15 years old but less than 18 years old may obtain
a limited learner's permit if the person meets all of the following requirements:
…
(3) Has a driving eligibility certificate or a high school diploma or its equivalent.
…
(d) Level 2. – A person who is at least 16 years old but less than 18 years old may obtain
a limited provisional license if the person meets all of the following requirements:
…
(4) Has a driving eligibility certificate or a high school diploma or its equivalent.
…
(f) Level 3. – A person who is at least 16 years old but less than 18 years old may obtain
a full provisional license if the person meets all of the following requirements:
…
(3) Has a driving eligibility certificate or a high school diploma or its equivalent.
…
(h) Exception for Persons 16 to 18 Who Have an Unrestricted Out-of-State License. – A
person who is at least 16 years old but less than 18 years old, who was a resident of another state
and has an unrestricted drivers license issued by that state, and who becomes a resident of this
State may obtain one of the following upon the submission of a driving eligibility certificate or
a high school diploma or its equivalent:following:
…
(n) Driving Eligibility Certificate. – A person who desires to obtain a permit or license
issued under this section must have a high school diploma or its equivalent or must have a driving
eligibility certificate. A driving eligibility certificate must meet the following conditions:
(1) The person who is required to sign the certificate under subdivision (4) of this
subsection must show that he or she has determined that one of the following
requirements is met:
a. The person is currently enrolled in school and is making progress
toward obtaining a high school diploma or its equivalent.
b. A substantial hardship would be placed on the person or the person's
family if the person does not receive a certificate.
c. The person cannot make progress toward obtaining a high school
diploma or its equivalent.

House Bill 1094 Session Law 2026-46 Page 7
(1a) The person who is required to sign the certificate under subdivision (4) of this
subsection also must show that one of the following requirements is met:
a. The person who seeks a permit or license issued under this section is
not subject to subsection (n1) of this section.
b. The person who seeks a permit or license issued under this section is
subject to su bsection (n1) of this section and is eligible for the
certificate under that subsection.
(2) It must be on a form approved by the Division.
(3) It must be dated within 30 days of the date the person applies for a permit or
license issuable under this section.
(4) It must be signed by the applicable person named below:
a. The principal, or the principal's designee, of the public school in which
the person is enrolled.
b. The administrator, or the administrator's designee, of the nonpublic
school in which the person is enrolled.
c. The person who provides the academic instruction in the home school
in which the person is enrolled.
c1. The person who provides the academic instruction in the home in
accordance with an educational program found by a court, prior to July
1, 1998, to comply with the compulsory attendance law.
d. The designee of the board of directors of the charter school in which
the person is enrolled.
e. The president, or the president's designee, of the community college
in which the person is enrolled.
Notwithstanding any other law, the decision concerning whether a driving eligibility
certificate was properly issued or improperly denied shall be appealed only as provided under
the rules adopted in accordance with G.S. 115C-12(28), 115D-10.70, or 115C-566, whichever is
applicable, and may not be appealed under this Chapter.
(n1) Lose Control; Lose License.
(1) The following definitions apply in this subsection:
a. Applicable State entity. – The State Board of Education for public
schools and charter schools, the State Board of Community Colleges
for community colleges, or the Secretary of Administration for
nonpublic schools and home schools.
b. Certificate. – A driving eligibility certificate that meets the conditions
of subsection (n) of this section.
c. Disciplinary action. – An expulsion, a suspension for more than 10
consecutive days, or an assignment to an alternative educational
setting for more than 10 consecutive days.
d. Enumerated student conduct. – One of the following behaviors tha t
results in disciplinary action:
1. The possession or sale of an alcoholic beverage or an illegal
controlled substance on school property.
2. The bringing, possession, or use on school property of a
weapon or firearm that resulted in disciplinary action u nder
G.S. 115C-390.10 or that could have resulted in that
disciplinary action if the conduct had occurred in a public
school.
3. The physical assault on a teacher or other school personnel on
school property.

Page 8 Session Law 2026-46 House Bill 1094
e. School. – A public school, charter school, c ommunity college,
nonpublic school, or home school.
f. School administrator. – The person who is required to sign certificates
under subdivision (4) of subsection (n) of this section.
g. School property. – The physical premises of the school, school buses
or other vehicles under the school's control or contract and that are
used to transport students, and school -sponsored curricular or
extracurricular activities that occur on or off the physical premises of
the school.
h. Student. – A person who desires to obtain a permit or license issued
under this section.
(2) Any student who was subject to disciplinary action for enumerated student
conduct that occurred either after the first day of July before the school year
in which the student enrolled in the eighth grade or after the student's
fourteenth birthday, whichever event occurred first, is subject to this
subsection.
(3) A student who is subject to this subsection is eligible for a certificate when
the school administrator determines that the student has exh austed all
administrative appeals connected to the disciplinary action and that one of the
following conditions is met:
a. The enumerated student conduct occurred before the student reached
the age of 15, and the student is now at least 16 years old.
b. The enumerated student conduct occurred after the student reached the
age of 15, and it is at least one year after the date the student exhausted
all administrative appeals connected to the disciplinary action.
c. The student needs the certificate in order to drive to and from school,
a drug or alcohol treatment counseling program, as appropriate, or a
mental health treatment program, and no other transportation is
available.
(4) A student whose permit or license is denied or revoked due to ineligibility for
a certificate under this subsection may otherwise be eligible for a certificate
if, after six months from the date of the ineligibility, the school administrator
determines that one of the following conditions is met:
a. The student has returned to school or has been placed in an alternative
educational setting, and has displayed exemplary student behavior, as
defined by the applicable State entity.
b. The disciplinary action was for the possession or sale of an alcoholic
beverage or an illegal controlled substance on school property, and the
student subsequently attended and successfully completed, as defined
by the applicable State entity, a drug or alcohol treatment counseling
program, as appropriate."
SECTION 9.(b) The following statutes are repealed:
(1) G.S. 20-9(b1).
(2) G.S. 20-13.2(c1).
(3) G.S. 115C-12(28).
(4) G.S. 115C-218.70.
(5) G.S. 115C-238.66(8).
(6) G.S. 115C-288(k).
(7) G.S. 115C-566.
(8) G.S. 115D-10.70.
SECTION 9.(c) G.S. 115C-150.12C reads as rewritten:

House Bill 1094 Session Law 2026-46 Page 9
"§ 115C-150.12C. Powers and duties.
A board of trustees shall adopt rules necessary for the administration of the school to
implement the requirements of this Article. Each board of trustees shall have the following
powers and duties:
…
(19) Driving eligibility certificates and drive rs Drivers education. – The board of
trustees shall apply the rules and policies established by the State Board of
Education for issuance of driving eligibility certificates. The board of trustees
shall provide drivers education in accordance with Article 14 of this Chapter.
…."
SECTION 9.(d) The Division of Motor Vehicles shall restore the permit or license
of any person whose permit or license was revoked by the Division under G.S. 20-13.2(c1) due
to ineligibility for a driving eligibility certificate bu t who meets all other requirements for the
permit or license.
SECTION 9.(e) This section becomes effective October 1, 2026.

AMEND COMMERCIAL DRIVERS LICENSE LAWS TO CONFORM WITH
FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION REGULATIONS
SECTION 10.(a) G.S. 20-37.17 reads as rewritten:
"§ 20-37.17. Record check and notification of license issuance.
Before issuing a commercial driver license, the Division shall obtain driving record
information from the Commercial Driver License Information System (CDLIS), t he National
Driver Register, the Federal Motor Carrier Safety Administration's Commercial Driver's License
Drug and Alcohol Clearinghouse, and from each state in which the person has been licensed.
Within 10 days after issuing a commercial driver license, the Division shall notify CDLIS of
the issuance of the commercial driver license, providing all information necessary to ensure
identification of the person."
SECTION 10.(b) G.S. 20-37.19 reads as rewritten:
"§ 20-37.19. Employer responsibilities.
(a) Each employer shall require the applicant to provide the information specified in
G.S. 20-37.18(c).
(b) No employer shall knowingly allow, permit, or authorize a driver to drive a
commercial motor vehicle during any period:
(1) In which the driver has had his commercial driver license suspended, revoked,
or cancelled by any state, is currently disqualified from driving a commercial
vehicle, or is subject to an out-of-service order in any state; orstate.
(2) In which the driver has more than one driver license; [or]license.
(3) In which the driver, the commercial motor vehicle being operated, or the
motor carrier operation, is subject to an out-of-service order.
(4) In which the driver is listed in the Federal Motor Carrier Safety
Administration's Commer cial Driver 's License Drug and Alcohol
Clearinghouse as prohibited from operating a commercial motor vehicle.
(c) The employer of any employee or applicant who tests positive or of any employee
who refuses to participate in a drug or alcohol test required under 49 C.F.R. Part 382 and 49
C.F.R. Part 655 must notify the Division in writing within five business days and the Federal
Motor Carrier Safety Administration 's Commercial Driver 's License Drug and Alcohol
Clearinghouse following the employer's receipt of confirmation of a positive drug or alcohol test
or of the employee's refusal to participate in the test. The notification must include the driver's
name, address, drivers license number, social security number, and results of the drug or alcohol
test or documentation from the employer of the refusal by the employee to take the test.A report
that the driver has a negative return -to-duty test must also be reported to the Division and the

Page 10 Session Law 2026-46 House Bill 1094
Federal Motor Carrier Safety Adminis tration's Commercial Driver's License Drug and Alcohol
Clearinghouse, as required under 49 C.F.R. Part 382."
SECTION 10.(c) G.S. 20‑37.20A reads as rewritten:
"§ 20-37.20A. Driving record notation for testing positive in a drug or alcohol test.
Upon receipt of notice pursuant to G.S. 20 -37.19(c) of positive result in an alcohol or drug
test of a prohibited status in the Federal Motor Carrier Safety Administration 's Commercial
Driver's License Drug and Alcohol Clearinghouse for a person holding a commercial drivers
license, and subject to any appeal of the disqualification pursuant to G.S. 20 -37.20B, license or
commercial drivers permit, the Division shall place a notation on the driving record of the driver.
person. The disqualification of the driver to operate a commercial motor vehicle is e ffective on
the date of the notation. A notation of a disqualification pursuant to G.S. 20-17.4(l) shall be
retained on the record of a person for a period of three years following the end of any
disqualification of that person."
SECTION 10.(d) G.S. 20‑37.20B is repealed.
SECTION 10.(e) This section becomes effective July 1, 2026, and applies to
commercial drivers license and commercial drivers permit disqualifications initiated on or after
that date.

ADJUST ADMINISTRATIVE HEARING REPORT DEADLINE
SECTION 11. G.S. 20-4.03 reads as rewritten:
"§ 20-4.03. Administrative hearing fees.
(a) Authorization. – The Division is authorized to charge a fee to any person who requests
an administrative hearing before the Division in accordance with this Chapter.
(b) Requirements for Requesting a Hearing. – Any request for an administrative hearing
before the Division must be in writing and accompanied by the total applicable administrative
hearing fee charged by the Division. An administrative hearing shall not be granted by the
Division unless the administrative hearing request complies with the requirements of this
subsection. Notwithstanding any provision of this Chapter to the contrary, any pending
revocation, suspension, civil penalty assessment, or other adverse action shall not be stayed upon
receipt of an administrative hearing request unless the request complies with the requirements of
this subsection.
(c) Quarterly Report. – Beginning October 1, 2018, and qu arterly thereafter, the The
Division shall submit a quarterly report to the Fiscal Research Division of the General Assembly
Assembly, within 30 days of the end of an applicable quarter, detailing all of the following for
each month of the applicable quarter and for each type of administrative hearing:
(1) The total number of administrative hearings.
(2) The total amount of revenue collected.
(3) The total number of fee waivers granted.
(4) The counties where the administrative hearings were held.
(5) The average amount of time required to conduct an administrative hearing,
with the time required of hearing officers and the time required of
administrative personnel listed separately."

REPEAL REPORTING REQUIREMENT ON INFORMATION TECHNOLOGY
MODERNIZATION PROJECTS FUNDED IN 2014-2015
SECTION 12. Section 7.14(d) of S.L. 2014-100 is repealed.

EXPAND PREPAID TOLL DISCOUNT TO INCLUDE NEW PAYMENT
TECHNOLOGIES
SECTION 13. G.S. 136-89.211 reads as rewritten:
"§ 136-89.211. Tolls for use of Turnpike project.

House Bill 1094 Session Law 2026-46 Page 11
In exercising its authority under G.S. 136-89.183 to set tolls for the use of a Turnpike project,
the Authority may not do any of the following:
(1) Set open road tolls that vary for the same class of motor vehicle depending on
the method by which the Auth ority identifies a motor vehicle that drives on
the Turnpike project. This does not preclude the Authority from allowing a
discount for a motor vehicle equipped with an electronic toll collection
transponder or a motor vehicle that has associated with a prepaid its toll.toll
or account.
(2) Exempt a motor vehicle that is not a law enforcement vehicle, an emergency
fire or rescue vehicle, or an emergency medical services vehicle from the
requirement of paying a toll for the use of a Turnpike project."

TURNPIKE AUTHORITY EXECUTIVE DIRECTOR TITLE
SECTION 14.(a) G.S. 136-89.182(k) reads as rewritten:
"(k) Executive Director and Chief Executive Officer and Administrative Employees. –
The Authority Board shall appoint an Executive Director, Director and Chief Executive Officer,
whose salary shall be fixed by the Authority, to serve at its pleasure. The Executive Director and
Chief Executive Officer shall be the Authority's chief administrative officer and shall be
responsible for the daily administration of the toll roads and bridges constructed, maintained, or
operated pursuant to this Article. The Executive Director and Chief Execu tive Officer or his
designee shall appoint, employ, dismiss, and, within the limits approved by the Authority Board,
fix the compensation of administrative employees as the Executive Director and Chief Executive
Officer deems necessary to carry out this Article."
SECTION 14.(b) G.S. 136-89.183(b) reads as rewritten:
"(b) To execute the powers provided in subsection (a) of this section, the Authority shall
determine its policies by majority vote of the members of the Authority Board present and voting,
a quorum having been established. Once a policy is established, the Authority Board shall
communicate it to the Executive Director and Chief Executive Officer, or the Executive
Director's Director and Chief Executive Officer's designee, who shall have the sole and exclusive
authority to execute the policy of the Authority. No member of the Authority Board shall have
the responsibility or authority to give operational directives to any employee of the Authority
other than the Executive Director and Chief Executive Officer or the Director's Executive
Director and Chief Executive Officer's designee."

DEPOSIT LOGO PROGRAM REVENUE INTO THE RESERVE FOR GENERAL
MAINTENANCE
SECTION 15. G.S. 136-89.56 reads as rewritten:
"§ 136-89.56. Commercial enterprises.enterprises within controlled-access facilities.
(a) No commercial enterprises or activities shall be authorized or conducted by the
Department of Transportation, or the governing body of any city or town, within or on the
property acquired for or designated as a controlled -access facility, as defined in this Article,
except for:
(1) Materials displayed at welcome centers which shall be directly related to
travel, accommodations, tourist-related activities, tourist-related services, and
attractions. The Department of Transportation shall issue rules regulating the
display of these materials. These materials may contain advertisements for
real estate; and
(2) Vending machines permitted by the Department of Transportation and placed
by the Division of Services for the Blind, Departme nt of Health and Human
Services, as the State licensing agency designated pursuant to Section 2(a)(5)
of the Randolph -Sheppard Act (20 USC 107a(a)(5)). The Department of

Page 12 Session Law 2026-46 House Bill 1094
Transportation shall regulate the placing of the vending machines in highway
rest areas and shall regulate the articles to be dispensed. In order to permit the
establishment of adequate fuel and other service facilities by private owners
or their lessees for the users of a controlled-access facility, the Department of
Transportation shall p ermit access to service or frontage roads within the
publicly owned right -of-way of any controlled -access facility established or
designated as provided in this Article, at points which, in the opinion of the
Department of Transportation, will best serve the public interest. The location
of such fuel and other service facilities may be indicated to the users of the
controlled-access facilities by appropriate signs, the size, style, and
specifications of which shall be determined by the Department of
Transportation.
(b) The location of fuel, gas, food, lodging, camping, and attraction facilities may be
indicated to the users of the controlled -access facilities by appropriate logos placed on signs
owned, controlled, and erected within the right -of-way of fully and partially controlled -access
highways by, or pursuant to contract with, the Department of Transportation. The Department
shall contract with a private entity to administer the erection of signs and placement of logos, as
authorized by this subsection. The responsibilities of the private entity shall include the
following: acquisition and erection of signs; design, manufacture, and placement of logos on
signs; maintenance of signs and logos; receipt and response to information requests concerning
the program; and management of the financial transactions related to the program. The owners,
operators or lessees of fuel, gas, food, lodging, camping, and attraction facilities who wish to
place a logo identifying their business or service on a sign shall furni sh a logo meeting the size,
style and specifications determined by the Department of Transportation and shall pay a fee set
by the vendor and approved by the Board of Transportation. The fee set by the vendor shall be
determined based on market rates for the number of vehicles that pass by the sign, reflecting the
value of the visibility and access provided to the participating businesses and to cover the initial
costs of signs, sign installation, and maintenance, and the costs of administering the logo sig n
program. Nothing in this subsection shall be construed to authorize any Department contractor
to conduct any commercial activity upon signs erected and maintained within the right -of-way
of fully and partially controlled -access highways pursuant to this subsection. Funds generated
from fees establis hed by the Department pursuant to this subsection and returned to the
Department shall be deposited into the Reserve for General Maintenance in the Highway Fund."

AMEND TRUCK LANE RESTRICTION
SECTION 16.(a) G.S. 20-146(f) reads as rewritten:
"(f) Except when entering or exiting the highway or avoiding a hazard or to pass, hazard,
a motor vehicle having a gross vehicle weight rating (GVWR) of 26,001 pounds or more shall
not operate in the left most lane of a controlled-access highway with six or more lanes.lanes,
unless the Department has passed an ordinance and installed signage with different restrictions .
For purposes of this subsection only, "hazard" is de fined as any condition, object, or
circumstance, present on or near the roadway, that poses a potential risk to the safe operation of
a commercial vehicle."
SECTION 16.(b) This section becomes effective December 1, 2026, and applies to
offenses committed on or after that date.

SPEED LIMIT IN RESIDENTIAL AREAS
SECTION 17.(a) G.S. 20-141 reads as rewritten:
"§ 20-141. Speed restrictions.
…

House Bill 1094 Session Law 2026-46 Page 13
(b) Except as otherwise provided in this Chapter, it shall be unlawful to operate a vehicle
in excess of the following speeds:
(1) Thirty-five miles per hour inside municipal corporate limits limits, except as
provided in subdivision (3) of this subsection, for all vehicles.
(2) Fifty-five miles per hour outside municipal corporate limits limits, except as
provided in subdivision (3) of this subsection, for all vehicles except for
school buses and school activity buses.
(3) Twenty-five miles per hour on any roadway that is unpaved or n ot marked
with a centerline.
…."
SECTION 17.(b) This section becomes effective December 1, 2026, and applies to
offenses committed on or after that date.

AUTHORIZE THE CITY OF DURHAM TO SET A MUNICIPAL DEFAULT SPEED
LIMIT
SECTION 17.5.(a) G.S. 20-141 is amended by adding a new subsection to read:
"(e2) Notwithstanding the speed limits set in subsection (b) of this section or any other
provision of law to the contrary, a municipality may, by ordinance, establish a lower default
speed limit of not less than 20 miles per hour on streets within the corporate limits of the
municipality that are not part of the State highway system. A default speed limit established
pursuant to this subsection shall apply to every street within the designated area without requiring
the posting of individual speed limit signs on each street segment, provided the municipality
erects conspicuous gateway signs at each primary point of vehicular entry into the municipality,
or into any defined zone within the municipality, in conformance with the Manual on Uniform
Traffic Control Devices, giving notice of the applicable default speed limit. Higher or lower
speeds limits posted on individual streets pursuant to subsection (e) of this section shall supersede
the default speed limit on those streets. A default speed limit established pursuant to this
subsection is effective upon adop tion of an ordinance by the municipality and erection of the
required gateway signs. The municipality shall maintain a publ icly accessible map identifying
all streets subject to the default speed limit and all streets on which a different speed limit has
been posted pursuant to subsection (e) of this section. Upon written notice from the municipality
identifying streets or areas for which a default speed limit has been established pursuant to this
subsection, the Department of Transportation shall post the applicable statutory speed limit, not
to exceed 35 miles per hour, on State highway system streets, except those designated as part of
the Interstate Highway System or other controlled access highway, located within the identified
area, unless a different speed limit has been established pursuant to subsection (f) of this section.
Nothing in this subsection shall be construed to authorize a municipality to establish or modify
speed limits on streets that are part of the State highway system, except as otherwise provided in
this section."
SECTION 17.5.(b) This section applies to the City of Durham only.

EXPEDITED REVIEW OF CITY OF DURHAM STATE HIGHWAY SPEED LIMIT
REQUESTS
SECTION 17.6.(a) As used in this section, "request" means a written submission by
a municipality to the Department of Transportation pursuant to G.S. 20-141(f) seeking the
establishment or modification of a speed limit on a street located within the corporate limits of
the municipality that is part of the State highway system. A request shall be submitted by the
municipality to both the Division Engineer and the State Traffic Engineer, either by certified mail
or by electronic transmission, with delivery confirmation. A request is deemed received on the
date the Department confirms receipt.

Page 14 Session Law 2026-46 House Bill 1094
SECTION 17.6.(b) The Department shall complete an initial review of a request
within 30 days of the date of receipt, as determined by subsection (a) of this section. Upon
completion of the initial review, the Department shall do one of the following:
(1) Approve the requested speed limit change and execute a concurring ordinance
in accordance with G.S. 20-141(f), if the Department determines, based on
engineering and traffic data and the exercise of engineering judgment, that the
requested speed limit is reasonable and safe.
(2) Issue a written notice of concern to the municipality that ide ntifies: the
Department's specific concerns with the request; any additional engineering
investigations, traffic studies, speed analyses, or crash evaluations necessary
to support the request; and the conditions, if any, under which the Department
could reasonably agree to the requested speed limit.
Issuance of a notice of concern constitutes final Department action for purposes of
this section, unless the municipality submits a revised or supplemented request or files an appeal.
A municipality may appeal a notice of concern issued under subdivision (2) of this subsection to
the State Traffic Engineer within 30 days of receipt of the notice. The State Traffic Engineer shall
respond within 30 days of receipt of the appeal with either an approval of the request or a written
notice of concern that meets the requirements of subdivision (2) of this subsection. A written
notice from the State Traffic Engineer constitutes final Department action for purposes of this
section, unless the municipality submits a revised or supplemental request.
SECTION 17.6.(c) If the Department fails to take action pursuant to subsection (b)
of this section within 90 days of the date of receipt of a request, or within 90 days of the date of
receipt of a revised or supplemented request, the request is deemed approved.
SECTION 17.6.(d) Upon approval of a request pursuant to this section, the
Department shall execute a concurring ordinance within 60 days and shall erect appropriate speed
limit signs on the affected State highway system streets within 60 days thereafter, in accordance
with G.S. 20-141(f) and the Manual on Uniform Traffic Control Devices. A speed limit approved
under this section is effective when the Department has erected the required signs.
SECTION 17.6.(e) Nothing in th is section shall be construed to authorize a
municipality to unilaterally establish or modify speed limits on streets that are part of the State
highway system, or to require the Department to approve a speed limit that is not reasonable and
safe under the conditions found to exist upon the affected highway, as required by G.S. 20-141(f).
SECTION 17.6.(f) This section applies to the City of Durham only.

INCREASE PROJECT LIMIT FOR PROJECT DELIVERY METHOD PILOT
PROGRAM
SECTION 18. Section 34.13(b) of S.L. 2018 -5, as amended by Section 21 of S.L.
2022-68 and Section 3 of S.L. 2024-15, reads as rewritten:
"SECTION 34.13.(b) Pilot Project. – Notwithstanding any provision of Chapter 136 of the
General Statutes to the contrary, the Department of Transportation may establish and implement
a pilot project to award contracts for up to 10 projects 15 projects for the construction of
transportation projects on a construction manager-general contractor basis. The Department may
only award a contract under this section if (i) the cost of the project is determined by the
Department to be less than seven hundred fifty million dollars ($750,000,000), (ii) the
Department determines that it is in the public interest to use the construction manager -general
contractor basis for the project, (iii) the Department prequalifies the contractor that will be
awarded the contract, (iv) the Department complies with the pre-award reporting requirement set
forth in subsection (c) of this section, and (v) the Dep artment has established and implemented
guidelines as required under subsection (d) of this section."

House Bill 1094 Session Law 2026-46 Page 15
CLARIFY THE DEFINITION OF ELECTRIC ASSISTED BICYCLE AND
AUTHORIZE LOCAL GOVERNMENT REGULATION
SECTION 19.(a) G.S. 20-4.01(7a) reads as rewritten:
"(7a) Electric Assisted Bicycle. – A bicycle with two or three wheels that is
equipped with a seat or saddle for use by the rider, fully operable pedals for
human propulsion, and an electric motor of no more than 750 watts, whose
maximum speed on a level surface when powered solely by such a motor is
no greater than 20 miles per hour.watts that meets the requirements of one of
the following three classes:
a. Class 1 electric assisted bicycle. – A bicycle equipped with a motor
that provides assistance only when the rider is pedaling and ceases to
assist once the bicycle reaches a speed of 20 miles per hour.
b. Class 2 electric assisted bicycle. – A bicycle equipped with a motor
that may propel the bicycle without pedaling but ceases to assist once
the bicycle reaches a speed of 20 miles per hour.
c. Class 3 electric assisted bicycle. – A bicycle equipped with a motor
that provides assistance only when the rider is pedaling and ceases to
assist once the bicycle reaches a speed of 28 miles per hour."
SECTION 19.(b) Article 3 of Chapter 20 of the General Statutes is amended by
adding a new section to read:
"§ 20-171.3. Electric assisted bicycles.
(a) Except as otherwise provided in G.S. 160A-300, 160A-300.2, 153A -245.1, and as
regulated by the Department of Natural and Cultural Resources in State parks, historical sites, or
other properties within the jurisdiction of the Department, the operation of an electric assisted
bicycle, as defined in G.S. 20-4.01, is permitted on all roadways, bicycle lanes, and multiuse
paths.
(b) A person under the age of 18 operating or riding as a passenger on a Class 3 electric
assisted bicycle shall wear a helmet that meets federal safety standards."
SECTION 19.(c) Article 15 of Chapter 160A of the General Statutes is amended by
adding a new section to read:
"§ 160A-300.2. Regulation of electric assisted bicycles.
(a) A city may regulate the use of electric assisted bicycles, as defined in G.S. 20-4.01,
on any multiuse path or sidewalk within municipal limits. This authority includes the following:
(1) Restricting the use of a class or classes of electric assisted bicycles.
(2) Establishing speed limits.
(b) A city may require the use of a helmet by a person under the age of 18 operating or
riding as a passenger on a Class 1 or Class 2 electric assisted bicycle."
SECTION 19.(d) Article 12 of Chapter 153A of the General Statutes is amended by
adding a new section to read:
"§ 153A-245.1. Regulation of electric assisted bicycles.
A county may regulate the use of an electric assisted bicycle in accordance with
G.S. 160A-300.2. Nothing in this section shall be deemed to restrict or repeal the authority of a
city to regulate the use of an electric assisted bicycle."
SECTION 19.(e) The Department of Transportation shall develop educational
materials on the proper use and safety considerations of electric assisted bicycles.
SECTION 19.(f) This section becomes effective December 1, 2026, and applies to
offenses committed on or after that date.

PERSONAL DELIVERY DEVICE AMENDMENTS
SECTION 20.(a) G.S. 20-4.01(28a) reads as rewritten:

Page 16 Session Law 2026-46 House Bill 1094
"(28a) Personal delivery device. – An electrically powered device intended for
transporting cargo that is equipped with automated driving technology that
enables device operation with or without the remote support and supervision
of a human and that does not exce ed (i) a weight of 500 pounds, excluding
cargo, (ii) a length of 40 55 inches, and (iii) a width of 30 36 inches."
SECTION 20.(b) G.S. 20-175.16 reads as rewritten:
"§ 20-175.16. Personal delivery devices authorized; operation; equipment.
(a) A business entity may operate a personal delivery device in a pedestrian area or on a
highway, with the rights and duties applicable to a pedestrian under this Chapter, subject to the
requirements and restrictions of this Part. bicycle lane, shoulder, parking lot, or any similar area.
Except as authorized in this Part, no person may operate a personal delivery device in a pedestrian
area or on a highway in this State.
(b) Operation of a personal delivery device shall comply with all of the following:
(1) The personal delivery device shall be monitored by an A human operator who
is shall be able to monitor and exercise remote control over the navigation and
operation of the personal delivery device.
(2) The personal delivery device may not be operated in a pedestrian area at a
speed greater than 10 miles per hour.hour or at a speed greater than 20 miles
per hour in other areas.
(3) The personal delivery device may not be operated on a highway except as
necessary to cross a highway or along a highway if a sidewalk is not provided
or accessible. When operating along a highway under this subdivision, the
following additional restrictions apply:
a. The personal delivery device shall be operated on the shoulder or as
close as practicable to the extreme right of the highway in the direction
of authorized traffic movement and shall yield the right -of-way to all
vehicles.
b. The personal delivery device may not be operated on a highway at a
speed greater than 20 miles per hour.
c. The personal delivery device may not be operated on a highway with
a speed limit greater than 35 55 miles per hour.
(4) The personal delivery device shall obey all applicable traffic and pedestrian
control devices and signs.
(5) The person al delivery device shall yield the right -of-way to all human
pedestrians.
(6) The personal delivery device shall not unreasonably interfere with any vehicle
or pedestrian.
(7) The personal delivery device shall not transport materials regulated under the
Hazardous Materials Transportation Act (49 U.S.C. §§ 5101 – 5128) that
require placarding pursuant to Subpart F of 49 C.F.R. Part 172 (49 C.F.R. §§
172.500 – 172.560).
(c) A personal delivery device shall be equipped with all of the following:
(1) A marker that clearly states the name and contact information of the owner
and a unique identification number.
(2) A braking system that enables the device to come to a controlled stop.
(3) When operated at night, lights on the front and rear of the personal delive ry
device that are visible and recognizable under normal atmospheric conditions
from at least 500 feet on all sides of the personal delivery device.
(d) A personal delivery device has all of the rights and duties applicable to a pedestrian
in a pedestrian area and to an operator of a bicycle in other areas, except for those that by their

House Bill 1094 Session Law 2026-46 Page 17
nature cannot apply to a personal delivery device or that place an unreasonable burden on the
operation of a personal delivery device.
(d)(e) A violation of this section is an infraction."
SECTION 20.(c) This section becomes effective December 1, 2026, and applies to
offenses committed on or after that date.

AUTHORIZE COUNTIES TO LEVY SPECIAL ASSESSMENTS FOR THE
FINANCING OF IMPROVEMENTS TO COMMERCIAL STREETS
SECTION 21.(a) G.S. 153A-205 reads as rewritten:
"§ 153A-205. Improvements to subdivision and residential streets.
(a) A county may finance the local share of the cost of improvements made under the
supervision of the Department of Transportation to subdivision and residential streets that are a
part of the State maintained system State-maintained secondary streets located in the county and
outside of a city and shall levy and collect pursuant to the procedures of Article 9 of Chapter
153A of the Gene ral Statutes special assessments against benefited property to recoup that
portion of the costs financed by the county. The local share is that share required by policies of
the Department of Transportation and may be paid by the county from funds not othe rwise
limited as to use by law. Land owned, leased, or controlled by a railroad company is exempt from
such assessments to the same extent that it would be exempt from street assessments of a city
under G.S. 160A-222. No project may be commenced under this section unless it has been
approved by the Department of Transportation.
(b) A county may finance the local share of the cost of improvements made under the
supervision of the Department of Transportation to subdivision and residential the fol lowing
types of streets located in the county and outside of a city in order within recorded public
right-of-way, to bring those streets up to the standards of the Department of Transportation so
that they may become a part of be considered for addition to the State-maintained system and
system:
(1) Subdivision and residential streets that are located in the county and outside
of a city but excluding apartment and condominium complexes.
(2) Industrial access or commercial comp lex streets that are located inside a
census designated place boundary, as defined by the United States Census
Bureau, but excluding streets that support larger parking lot networks,
regional malls, strip malls, apartment complexes, or condominium complexes.
A county shall levy and collect pursuan t to the procedures of Article 9 of Chapter 153A of
the General Statutes special assessments against benefited property to recoup that portion of the
costs financed by the county. The local share is that share required by policies of the Department
of Transportation and may be paid by the county from funds not otherwise limited as to use by
law. Land owned, leased, or controlled by a railroad company is exempt from such assessments
to the same extent that it would be exempt from street assessments of a city under G.S. 160A-222.
No project may be commenced under this section unless it has been approved by the Department
of Transportation.
(c) Before a county may finance all or a portion of the cost of improvements to a
subdivision or residential street, street eligible under subsection (a) or (b) of this section, it must
receive a petition for the improvements signed by at least seventy -five percent (75%) of the
owners of property to be assessed, who must represent at least seventy-five percent (75%) of all
the lineal feet of frontage of the lands abutting on the street or portion thereof to be improved.
The petition shall state that portion of the cost of the improvement to be assessed, which shall be
the local share required by policies of the Department of Transportation. A county may treat as
a unit and consider as one street two or more connecting State -maintained subdivision or
residential secondary streets in a petition filed under this subsection calling for the improvement

Page 18 Session Law 2026-46 House Bill 1094
of subdivision or residential State-maintained secondary streets subject to property owner sharing
in the cost of improvement under policies of the Department of Transportation.
Property owned by the United States shall not be included in determining the lineal feet of
frontage on the improvement, nor shall the United States be included in determining the number
of owners of property abutting the improvement. Property owned by the State of North Carolina
shall be included in determining frontage and the number of owners only if the State has
consented to assessment as provided in G.S. 153A-189. Property owned, leased, or controlled by
railroad companies shall be included in determining frontage and the number of owners to the
extent the property is subject to assessment under G.S. 160A-222. Property owned, leased, or
controlled by railroad companies that is not subject to assessment shall not be included in
determining frontage or the number of owners.
No right of action or defense asserting the invalidity of street assessments on grounds that the
county did not comply with this subsection in securing a valid petition may be asserted except in
an action or proceeding begun within 90 days after the day of publication of the notice of adoption
of the preliminary assessment resolution.
(d) This section is intended to provide a means of assisting in financing improvements to
subdivision and residential State-maintained secondary streets that are on the State highway
system or that will, as a result of the improvements, become a part of the system. or to streets
defined in subsection (b) of this section that, once improved, may be considered for addition to
the State highway system. By financing improvements under this section, a county does not
thereby acquire or assume any responsibility for the street or streets involved, and a county has
no liability arising from the construction of such an improvement or the maintenance of such a
street. Nothing in this section shall be construed to alter the conditions and procedures under
which State system streets or other public streets are transferred to municipal street systems
pursuant to G.S. 136-66.1 and 136-66.2 upon annexation by, or incorporation of, a municipality."
SECTION 21.(b) G.S. 159-48 reads as rewritten:
"§ 159-48. For what purposes bonds may be issued.
…
(c) Each county may borrow money and issue its bonds under this Article in evidence of
the debt for the purpose of, in the case of subdivisions (1) through (4b) of this subsection, paying
any capital costs of any one or more of the purposes and, in the case of subdivisions (5) and (6)
of this subsection, to finance the cost of the purpose:
…
(4a) Providing improvements to subdivision and residential streets pursuant to
G.S. 153A-205.
…."

REQUIRE PRIVATE ENTITY TO ADMINISTER TOURIST -ORIENTED
DIRECTIONAL SIGN PROGRAM
SECTION 22.(a) G.S. 136-140.15 reads as rewritten:
"§ 136-140.15. Scope of operations.
(a) Program. – The Department of Transportation shall contract with a private entity to
administer a tourist -oriented directional si gns (TODS) program. The responsibilities of the
vendor contracted by the Department inc lude the following: design, manufacture, and erection
of signs; maintenance of signs; receipt and response to i nformation requests concerning the
program; and management of the financial transactions related to the program. A business or
facility participating in the TODS program shall pay a fee set by the vendor and approved by the
Board of Transportation. The fee set by the vendor shall be determined based on market rates for
the number of vehicles that pass by the sign, reflecting the value of the visi bility and access
provided to the participating businesses and to cover the initial costs of the signs, the sign
installation and maintenance, and the costs of administering the TODS program.

House Bill 1094 Session Law 2026-46 Page 19
(b) Definitions. – The following definitions apply in this Article:
(1) TODS. – Tourist-oriented directional signs (TODS) are guide signs that
display the business identificatio n of and directional information for
tourist-oriented businesses and tourist -oriented facilities or for classes of
businesses or facilities that are tourist-oriented.
(2) Tourist-oriented business. – A business, the substantial portion of whose
products or services is of significant interest to tourists. The term may include
a business involved with seasonal agricultural products. When used in this
Article, the term "business" means a tourist-oriented business.
(3) Tourist-oriented facility. – A business, service, or activity facility that derives
a major portion of income or visitors during the normal business season from
road users not residing in the immediate area of the facility. When used in this
Article, the term "facility" means a tourist-oriented facility.
(c) Limitation. – The Department vendor shall not install TODS for a business or facility
if the signs would be required at intersections where, due to the number of conflicting locations
of other highway signs or traffic control devices or other physical or topographical features of
the roadside, their presence would be impractical or unfeasible or result in an unsafe or hazardous
condition.
(d) Duplication. – If a business or facility is currently shown on another official highway
guide sign, suc h as a logo sign or supplemental guide sign, on the same approach to an
intersection where a TODS panel for that business or facility would be located, the business or
facility may elect to keep the existing highway guide sign or have it removed and partic ipate in
the TODS program. If the business or facility elects to retain the existing highway guide sign,
the business or facility is ineligible for the TODS program at that intersection."
SECTION 22.(b) G.S. 136-140.18 reads as rewritten:
"§ 136-140.18. Temporary modification of TODS panels.
(a) The Department vendor shall allow a participating business or facility to close for
remodeling or to repair damage from fire or other natural disaster if its TODS panels are covered
or removed while the business o r facility is closed. No refund of fees or extension of the time
remaining in the contract for participation will be provided for the period of closure.
(b) The Department vendor may, at its discretion, remove or cover TODS panels for
roadway construction or maintenance, for routine maintenance of the TODS assembly, for traffic
research study, or for any other reason it considers appropriate. Businesses or facilities are not
entitled to any refunds of fee amounts for the period that the TODS panels are covered or removed
under this subsection unless the period exceeds seven days.
(c) The TODS panels for seasonal businesses or facilities shall have an appropriate
message added during the period in which the businesses or facilities are open to the public as
part of their normal seasonal operation."
SECTION 22.(c) G.S. 136-140.19 reads as rewritten:
"§ 136-140.19. Board of Transportation to adopt rules to implement the TODS program.
The Board of Transportation shall adopt rules to implement the TODS program c reated by
this Article. The rules shall include all of the following:
(1) The Board shall set fees to cover the initial costs of signs, sign installation,
and maintenance, and the costs of administering the program. Fees set by the
vendor in accord ance with G.S. 136-140.15(a) must be approved by the
Board.
(2) The Board shall establish a standard for the size, color, and letter height of the
TODS as specified in the National Manual of Uniform Traffic Control
Devices for Streets and Highways.
(3) TODS shall not be placed more than five miles from the business or facility.
(4) TODS shall not be placed where prohibited by local ordinance.

Page 20 Session Law 2026-46 House Bill 1094
(5) The number of TODS panels shall not exceed six per intersection with only
one business or facility on each panel.
(6) If a business or facility is not directly on a State highway, it is eligible for
TODS panels only if both of the following requirements are met:
a. It is located on a street that directly connects with a State road.
b. It is located so that only one direction al sign, placed on a State road,
will lead the tourist to the business or facility.
(7) A TODS shall not be placed immediately in advance of the business or facility
if the business or facility and its on -premise advertising signs are readily
visible from the roadway.
(8) The Board shall limit the placement of TODS to highways other than fully
controlled access highways and to rural areas in and around towns or cities
with a population of less than 40,000."
SECTION 22.(d) No later than 120 days after the e ffective date of this section, the
Department shall contract with a vendor in accordance with this section. The Department may
contract with the same vendor that administers the Logo Sign Program pursuant to
G.S. 136-89.56(b).

RAISE INSURANCE MINIMUMS FOR TAXICABS OPERATING AT
INTERNATIONAL AIRPORTS AND REQUIRE DESIGNATION AS INSURANCE
CERTIFICATE HOLDERS
SECTION 23.(a) G.S. 20-280 reads as rewritten:
"§ 20-280. Filing proof of financial responsibility with governing board of municipality or
county.
(a) Within 30 days after March 27, 1951, every Proof of Financial Responsibility Filing.
– Every person, firm or corporation engaging in the business of operating a taxicab or taxicabs
within a municipality shall file with the governing board of the municipali ty in which such
business is operated proof of financial responsibility as hereinafter defined.
No governing board of a municipality shall hereafter issue any certificate of convenience and
necessity, franchise, license, permit or other privilege or author ity to any person, firm or
corporation authorizing such person, firm or corporation to engage in the business of operating a
taxicab or taxicabs within the municipality unless such person, firm or corporation first files with
said governing board proof of financial responsibility as hereinafter defined.
Within 30 days after the ratification of this section, every Every person, firm or corporation
engaging in the business of operating a taxicab or taxicabs without the corporate limits of a
municipality or municipalities, shall file with the board of county commissioners of the county
in which such business is operated proof of financial responsibility as hereinafter defined.
No person, firm or corporation shall hereafter engage in the business of operating a taxicab
or taxicabs without the corporate limits of a municipality or municipalities in any county unless
such person, firm or corporation first files with the board of county commissioners of the county
in which such business is operated proof of financial responsibility as hereinafter defined.
(b) Proof of Financial Responsibility Definition and Limits . – As used in this section
"proof of financial responsibility" shall mean a certificate of any insurance carrier duly
authorized to do business in the State of North Carolina certifying that there is in effect a policy
of liability insurance insuring the owner and operator of the taxicab business, his agents and
employees while in the performance of their duties against loss from any liability imposed by
law for damages including damages for care and loss of services because of bodily injury to or
death of any person and injury to or destruction of property caused by accident and arising out
of the ownership, use or operation of such taxicab or taxicabs, su bject to limits (exclusive of
interests and costs) with respect to each such motor vehicle as follows: one hundred thousand
dollars ($100,000) because of bodily injury to or death of one person in any one accident and,

House Bill 1094 Session Law 2026-46 Page 21
subject to said limit for one person, three hundred thousand dollars ($300,000) because of bodily
injury to or death of two or more persons in any one accident, and fifty thousand dollars ($50,000)
because of injury to or destruction of property of others in any one accident.
(b1) Additional Requirements for Taxicabs Operating at International Airports. – Every
person, firm, or corporation engaging in the business of operating a taxicab or taxicabs providing
service to an international airport pursuant to a permit issued by the airport operator, as defined
in G.S. 20-280.1, within this State shall maintain a policy of liability insurance insuring the owner
and operator of the taxicab business, their agents, and employees , while in the performance of
their duties, against loss from liability caused by accident and arising out of the ownership, use ,
or operation of such taxicab or taxicabs, subject to limits (exclusive of interests and costs) with
respect to each such motor vehicle, in the minimum amount of one million dollars ($1,000,000)
per occurrence. Every person, firm, or corporation engaging in the business of operating a taxicab
or taxicabs subject to this subsection , in ad dition to filing proof of financial responsibility
pursuant to subsection (a) of this section, shall provide proof of financial responsibility pursuant
to this subsection to the airport operator issuing a permit to the business operating a taxicab and
shall designate the airport operator as a holder of a certificate of insurance for the purposes of
receiving notices concer ning the policy of insurance in accordan ce with G.S. 58-3-149(e). For
the purposes of this subsection, "international airport" means an airport designated as an
international airport pursuant to 19 C.F.R. § 122.11.
(c) Repealed by Session Laws 2017-137, s. 2.5, effective January 1, 2018."
SECTION 23.(b) This section becomes effective July 1, 2027.

TRAFFIC IMPACT ANALYSIS CRITERIA
SECTION 24.(a) G.S. 136-93.1A(f) reads as rewritten:
"(f) Criteria. – The Department shall develop and use criteria for determining (i) the scope
of a traffic impact analysis, (ii) the completeness of a traffic impact analysis, and (iii) whether to
approve or reject a traffic impact analysis. Criteria for the scope of a traffic impact analysis must
include use of a population growth factor equal to or greater than the average of the highest three
years of growth over the previous five years in the county in which a development is located. If
a development is located in more than one county, a population growth factor equal to or greater
than the highest average of the counties in which the development is located must be used. The
Department shall post the criteria on its website. Prior to amending the criteria , the Department
shall consult with a working group that consists of engineers, local government representatives,
local transportation planning organization representatives, and other interested stakeholders
identified by the Department. The Department sha ll provide at least 90 days' notice prior to the
effective date of any amendments to the criteria. The notice required under this subsection may
be satisfied by publishing the proposed amendments on the Department's website."
SECTION 24.(b) This section becomes effective October 1, 2026.

ELECTRIC MEMBERSHIP CORPORATION AND MUNICIPALLY OWNED
ELECTRIC ENTERPRISE UTILITY RELOCATION COSTS
SECTION 25. G.S. 136-18(10) reads as rewritten:
"(10) To make proper and reasonable rules, regulations, a nd ordinances for the
placing or erection of telephone, telegraph, electric, and other lines, above or
below ground, wireless facilities, signboards, fences, gas, water, sewerage,
oil, or other pipelines, and other similar obstructions that may, in the opi nion
of the Department of Transportation, contribute to the hazard upon any of the
highways or in any way interfere with the highways, and to make reasonable
rules and regulations for the proper control thereof. And whenever the order
of the Department of Transportation shall require the removal of, or changes
in, the location of telephone, telegraph, electric, or other lines, wireless

Page 22 Session Law 2026-46 House Bill 1094
facilities, signboards, fences, gas, water, sewerage, oil, or other pipelines, or
other similar obstructions, the owners th ereof shall at their own expense,
except as provided in G.S. 136-19.5(c), move or change them to conform to
the order of the Department of Transportation. Any violation of these rules
and regulations or noncompliance with these orders constitutes a Class 1
misdemeanor. For purposes of this subdivision, "wireless facilities" has the
definition set forth in G.S. 160D-931. Whenever the Department of
Transportation requires the relocation of equipment or facilities for the
provision of public utility service , owned or operated by an electric
membership corporation formed under and in compliance with all provisions
in Article 2 of Chapter 117 of the General Statutes or owned or operated by a
municipally owned electric enterprise , located outside of an existing
Department of Transportation right-of-way, the Department of Transportation
shall reimburse the electric membership corporation or municipally owned
electric enterprise for the non-betterment costs of moving those utilities ,
including the cost of acquiring new easements , if the electric membership
corporation or municipally owned electric enterprise demonstrates a
compensable interest in the property upon which the equipment or facilities to
be moved are located. For purposes of reimbursement to electric membership
corporations and muni cipally owned electric enterprises r equired under this
subdivision, a compensable property interest includes any property ownership
right, including an easement, a property right taken by act or omission of a
condemnor listed in G.S. 40A-3, including by inverse condemnation, or any
other property interest recognized by law. For purposes of this subdivision,
"municipally owned electric enterprise " shall mean an enterprise owned or
operated pursuant to Chapter 160A of th e General Statutes or an enterprise
owned or operated by a public works authority or public utilities commission
created pursuant to a local act of the General Assembly. The Department has
the authority to make rules and policies for implementation of this provision."

DEVELOPER FLEXIBILITY FOR PERFORMANCE GUARANTEES
SECTION 26.(a) G.S. 136-93 reads as rewritten:
"§ 136-93. Openings, structures, pipes, trees, and issuance of permits.
(a) No opening or other interference whatsoever shall be made in any State road or
highway other than streets not maintained by the Department of Transportation in cities and
towns, nor shall any structure be placed thereon, nor shall any structure which has b een placed
thereon be changed or removed except in accordance with a written permit from the Department
of Transportation or its duly authorized officers, who shall exercise complete and permanent
control over such roads and highways. No State road or Stat e highway, other than streets not
maintained by the Department of Transportation in cities and towns, shall be dug up for laying
or placing pipes, conduits, sewers, wires, railways, or other objects, and no obstruction placed
thereon, without a written permit as hereinbefore provided for, and then only in accordance with
the regulations of said Department of Transportation or its duly authorized officers or employees;
and the work shall be under the supervision and to the satisfaction of the Department of
Transportation or its officers or employees, and the entire expense of replacing the highway in
as good condition as before shall be paid by the persons, firms, or corporations to whom the
permit is given, or by whom the work is done. The Department of Tran sportation, or its duly
authorized officers, may, in its discretion, before granting a permit under the provisions of this
section, require the applicant to file a satisfactory bond, payable to performance guarantee in
favor of the State of North Carolina, in such an amount as may be deemed sufficient by the
Department of Transportation or its duly authorized officers, conditioned upon the proper

House Bill 1094 Session Law 2026-46 Page 23
compliance with the requirements of this section by the person, firm, or corporation granted such
permit. At the election of the applicant, the Department shall accept a performance guarantee in
the form of a surety bond, irrevocable letter of credit, or any other instrument approved by the
Department that provides equivalent security to a surety bond or irrevocable letter of credit. Any
person making any opening in a State road or State highway, or placing any structure thereon, or
changing or removing any structure thereon without obtaining a written permit as herein
provided, or not in compliance with the terms of such permit, or otherwise violating the
provisions of this section, shall be guilty of a Class 1 misdemeanor: Provided, this section shall
not apply to railroad crossings. The railroads shall keep up said crossings as now provided by
law.
…."
SECTION 26.(b) This section is effective when it becomes law and applies to permit
applications filed on or after that date.

PROHIBIT PLANTING OF INVASIVE SPECIES IN HIGHWAY RIGHT -OF-WAY
AND STATE PARKS
SECTION 27.(a) G.S. 136-18(9) reads as rewritten:
"(9) In consultation with university system and community college horticulture
programs and the North Carolina Forestry Association, the Department shall
use seeds and plants the U.S. Department of Agriculture has classified as
native to a state or county in the S outheastern United States, including
cultivars and varieties thereof that were not bred to have reduced reproductive
structures, with a strong preference for plants the U.S. Department of
Agriculture has classified as native to North Carolina, in the highw ay
right-of-way in the promotion of erosion control, landscaping, and general
protection of the highways, except that the Department may use (i) nonnative
grasses, plants, and seeds for the purpose of soil and slope stabilization for
erosion control and (i i) nonnative turf grasses. For purposes of this
subdivision, the Southeastern United States means the states of Alabama,
Georgia, North Carolina, South Carolina, Tennessee, Virginia, and the
following counties in Florida: Bay, Calhoun, Escambia, Gulf, Holm es,
Jackson, Okaloosa, Santa Rosa, Walton, and Washington. The Department
shall not plant an invasive species, as determined by the North Carolina Forest
Service, in the highway right -of-way. The Department shall also have the
power to acquire by gift or o therwise land for and to construct, operate, and
maintain roadside parks, picnic areas, picnic tables, scenic overlooks, and
other appropriate turnouts for the safety and convenience of highway users;
and to cooperate with municipal or county authorities, federal agencies, civic
bodies, and individuals in the furtherance of those objectives. None of the
roadside parks, picnic areas, picnic tables, scenic overlooks, or other turnouts,
or any part of the highway right-of-way shall be used for commercial purposes
except for any of the following:
a. Materials displayed in welcome centers in accordance with
G.S. 136-89.56.
b. Vending machines permitted by the Department of Transportation and
placed by the Division of Services for the Blind of the Department of
Health and Human Services, as the State licensing agency designated
pursuant to Section 2(a)(5) of the Randolph-Sheppard Act (20 U.S.C.
107a(a)(5)). The Department of Transportation shall regulate the
placing of the vending machines in highway rest areas and shall
regulate the articles to be dispensed.

Page 24 Session Law 2026-46 House Bill 1094
c. Activities permitted by a local government pursuant to an ordinance
meeting the requirements of G.S. 136-27.4.
Every other use or attempted use of any of these areas for commercial
purposes constitutes a Class 1 misdemeanor, and each day's use constitutes a
separate offense."
SECTION 27.(b) G.S. 143B-135.59 reads as rewritten:
"§ 143B-135.59. State Parks System native plant requirement and preference.
In consultation with university system and community college horticulture programs and the
North Carolina Forestry Association, the Department of Natural and Cultural Resources shall
require the use of seeds and plants the U.S. Department of Agriculture has classified as native to
a state or county in the Southeastern United States, including cultivars and varieties thereof that
were not bred to have reduced reproductive structures, with a strong preference for plants the
U.S. Department of Agriculture has classified as native to North Carolina, on all lands tha t are
part of the State Parks System as defined in G.S. 143B-135.44. Exempt from this requirement
are (i) nonnative seeds and plants used in landscaping for locations where the primary purpose is
crop cultivation, crop and horticulture research, science, botanical gardens, plantings for wildlife
by the Wildlife Resources Commission, and zoos and (ii) nonnative turf grass. For purposes of
this section, the Southeastern United States means the states of Alabama, Georgia, North
Carolina, South Carolina, Tennes see, Virginia, and the following counties in Florida: Bay,
Calhoun, Escambia, Gulf, Holmes, Jackson, Okaloosa, Santa Rosa, Walton, and Washington. No
invasive species, as determined by the North Carolina Forest Service, may be planted on lands
that are part of the State Parks System."
SECTION 27.(c) This section becomes effective October 1, 2026.

REQUIRE THE DIVISION OF MOTOR VEHICLES TO ESTABLISH OR AMEND
RULES TO RESTRUCTURE ENROLLMENT CONTRACT REFUNDS FOR
COMMERCIAL TRUCK DRIVER TRAINING SCHOOLS
SECTION 28.(a) The Division of Motor Vehicles, of the Department of
Transportation, is authorized to and shall within 180 days of the effective date of this section,
with stakeholder input and participation, establish or amend r ules restructuring enrollment
contract refunds for commercial driver training schools that are subject to permitting by the
Division to engage in the business of giving instruction in the driving of commercial motor
vehicles. At a minimum, rules for enrollment contract refunds shall provide for the following:
(1) A one hundred percent (100%) refund of payments and cancellation of any
evidence of indebtedness if the student officially withdraws before the first
scheduled instruction hour of the course or class section in which the student
enrolled. Notwithstanding subdivision (4) of this subsection, the delivery to a
student of, or the provision of student access to, the certified home study or
digital course materials described in subdivision (4) of this sub section shall
not terminate the student's eligibility for a one hundred percent (100%) refund
if the student officially withdraws within five business days after the materials
are first delivered or made accessible to the student and before the first
scheduled in-person instruction hour.
(2) A seventy -five percent (75%) refund of payments, less disclosed
nonrefundable fees, and complete cancellation of any evidence of
indebtedness if the student officially withdraws before receiving ten percent
(10%) of the scheduled instruction hours of the course or class section in
which the student enrolled.
(3) No refund and cancellation of any evidence of indebtedness shall be provided
once ten percent (10%) of the scheduled instruction hours of the course or
class section in which the student enrolled have been received.

House Bill 1094 Session Law 2026-46 Page 25
(4) For purposes of determining the percentage of instruction hours received
under subdivisions (2) and (3) of this subsection, instruction hours shall
include theory instruction hours delivered throug h home study or digital
course materials that have been certified by the Commissioner of Motor
Vehicles as satisfying the entry -level driver training theory instruction
curriculum required under the applicable course of instruction. The delivery
to a student of, or the provision of student access to, such certified materials
shall be deemed receipt of the corresponding theory instruction hours.
SECTION 28.(b) Rules established or amended pursuant to this section shall apply
to enrollment contracts entered into on or after rules required by this section become effective.
SECTION 28.(c) This section is effective when it becomes law and expires on the
date rules required by this section become effective.

REQUIRE THE DIVISION OF MOTOR VEHICLES TO ESTABLISH OR AMEND
RULES TO DEVELOP AN 80 -HOUR CLASS B CDL CURRICULUM FOR
COMMERCIAL TRUCK DRIVER TRAINING SCHOOLS
SECTION 29.(a) The Division of Motor Vehicles, of the Department of
Transportation, is authorized to and shall within 180 days of the effective date of this section,
establish or amend rules to create a two-week course curriculum intended for Class B commercial
drivers license applicants, for commercial driver training schools that are subject to permitting
by the Division to engage in the business of giving instruction in the driving of commercial motor
vehicles. At a minimum, rules for a Class B commercial drivers license curriculum shall cover
all topics required by 40 C.F.R. Part 380 applicable to Class B commercial motor vehicle
operation and include all of the following:
(1) Twenty-five minimum hours of classroom instruction, labs, and testing.
(2) Twenty-five minimum hours of field instruction.
(3) Ten minimum hours of highway behind-the-wheel training.
(4) Twenty minimum hours of highway behind-the-wheel observation.
SECTION 29.(b) This section is effective when it becomes law and expires on the
date rules required by this section become effective.

AMEND COLLEGIATE INSIGNIA PLATE AUTHORIZATION TO INCLUDE
COMMUNITY COLLEGES
SECTION 30.(a) G.S. 20-79.4(b)(52) reads as rewritten:
"(52) Collegiate Insignia Plate. – Issuable to the registered owner of a motor vehicle
in accordance with G.S. 20-81.12. The plate may bear a phrase or an insignia
representing a public or private college or university.university or a
community college."
SECTION 30.(b) G.S. 20-81.12(b30) reads as rewritten:
"(b30) Collegiate Insignia Plates. – Except for a collegiate insignia plate for a public military
college or university, the Division must receive 300 or more applications for a collegiate insignia
license plate for a college or university or community college before a collegiate license plate
may be developed. For a collegiate insignia license plate for a public military college or
university, the Division must recei ve 100 or more applications before a collegiate license plate
may be developed. The color, design, and material for the plate must be approved by both the
Division and the alumni or alumnae association of the appropriate college or university.
university o r community college. The Division must transfer quarterly the money in the
Collegiate and Cultural Attraction Plate Account derived from the sale of in -State collegiate
insignia plates to the Board of Governors of The University of North Carolina for in-State, public
colleges and universities and universities, to the respective board of trustees for in-State, private
colleges and universities universities, and to the State Board of Community College s for

Page 26 Session Law 2026-46 House Bill 1094
community colleges, in proportion to the number of collegiate plates sold representing that
institution for use for academic enhancement."

AUTHORIZE SEMIQUINCENTENNIAL SPECIAL REGISTRATION PLATE
SECTION 31.(a) G.S. 20-79.4(b) reads as rewritten:
"(b) Types. – The Division shall issue the following types of special registration plates:
…
() America's Semiquincentennial. – Issuable to a registered owner of a motor
vehicle, the plate shall bear the phrase "America 250" and other imagery
commemorating the semiquincentennial. The Division mus t receive 300 or
more applications for the plate before it may be developed.
…."
SECTION 31.(b) The plate authorized by this section is not subject to the
requirements to establish a new special registration plate in G.S. 20-79.3A. The Revisor of
Statutes is authorized to alphabetize, number, and renumber the special registration plates listed
in G.S. 20-79.4(b) to ensure that all of the special registration plates are listed in alphabetical
order and numbered accordingly.
SECTION 31.(c) This section is effective when it becomes law, but the Division is
not required to issue plates in accordance with the authorization enacted in this section until 180
days after the date the Division has received the required number of paid applications and the
final artwork for the plate has been approved.

AUTHORIZE GUY HARVEY FOUNDATION SPECIAL REGISTRATION PLATE
SECTION 32.(a) G.S. 20-79.4(b) reads as rewritten:
"(b) Types. – The Division shall issue the following types of special registration plates:
…
() Guy Harvey Foundation. – Issuable to a registered owner of a motor vehicle
in accordance with G.S. 20-81.12. The plate shall bear the phrase "Protect Our
Oceans."
…."
SECTION 32.(b) G.S. 20-79.7 reads as rewritten:
"§ 20-79.7. Fees for special registration plates and distribution of the fees.
…
(a1) Fees. – All other special registration plates are subject to the regular motor vehicle
registration fee in G.S. 20-87 or G.S. 20-88 plus an additional fee in the following amount:
Special Plate Additional Fee Amount
…
Greensboro Symphony Guild Expired July 1,
2016
Guy Harvey Foundation $30.00
Historical Attraction $30.00
…
(b) Distribution of Fees. – The Special Registration Plate Account and the Collegiate and
Cultural Attraction Plate Account are established within the Highway Fund. The Division must
credit the additional fee imposed for the special registration plates listed in subsection (a1) of this
section among the Special Registration Plate Account (SRPA), the Collegiate and Cultural
Attraction Plate Account (CCAPA), the North Carolina Land and Water Fund (NCLWF), which
is established under G.S. 143B-135.234, and the Parks and Recreation Trust Fund, which is
established under G.S. 143B-135.56, as follows:
Special Plate SRPA CCAPA NCLWF PRTF
…

House Bill 1094 Session Law 2026-46 Page 27
Guilford Battleground Company $10 $10 0 0
Guy Harvey Foundation $10 $20 0 0
Harley Owners' Group $10 $10 0 0
…."
SECTION 32.(c) G.S. 20-81.12 is amended by adding a new subsection to read:
"() Guy Harvey Foundation. – The Division must receive 300 or more applications for
the Guy Harvey Foundation plate before the plate may be developed. The Division shall transfer
quarterly the money in the Collegiate and Cultural Attraction Plate Account derived from the
sale of Guy Harvey Foundation plates equally to the University of North Carolina at Wilmington,
North Carolina State University, the University of North Carolina at Chapel Hill , and East
Carolina University, to be used to support their marine biology programs."
SECTION 32.(d) The plate autho rized by this section is not subject to the
requirements to establish a new special registration plate in G.S. 20-79.3A. The Revisor of
Statutes is authorized to alphabetize, number, and renumber the special registration plates listed
in G.S. 20-79.4(b), 20-79.7(a1) and (b), and 20-81.12 to ensure that all of the special registration
plates are listed in alphabetical order and numbered accordingly.
SECTION 32.(e) This section is effective when it becomes law, but the Division is
not required to issue plates in accordance with the authorization enacted in this section until 180
days after the date the Division has received the required number of paid applications and the
final artwork for the plate has been approved.

MAKE TECHNICAL CORRECTION RELATED TO MOTOR VEHICLE DEALERS
SECTION 32.5.(a) If Senate Bill 595, 2025 Regular Session, becomes law, then
G.S. 105-187.1(a)(6), as amended by Section 7.1(a) of that act, reads as rewritten:
"(6) Retailer. – A retailer as defined in G.S. 105-164.3 who is engaged in the
business of selling motor vehicles, offering short-term or long-term leases or
rentals, long -term leases or rentals, rentals of motor vehicles, or vehicle
subscriptions for motor vehicles."
SECTION 32.5.(b) This section becomes effective October 1, 2026.

Page 28 Session Law 2026-46 House Bill 1094
EFFECTIVE DATE
SECTION 33. Except as otherwise provided, this act is effective when it becomes
law.
In the General Assembly read three times and ratified this the 2nd day of July, 2026.

s/ Phil Berger
President Pro Tempore of the Senate

s/ John R. Bell, IV
Presiding Officer of the House of Representatives

s/ Josh Stein
Governor

Approved 9:44 a.m. this 7th day of July, 2026