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H1114 • 2025

GSC Technical Corrections 2026.

GSC Technical Corrections 2026.

Children Education Energy Healthcare Labor
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Davis
Last action
2026-06-11
Official status
Ref To Com On Rules and Operations of the Senate
Effective date
1979-07-01

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

GSC Technical Corrections 2026.

H1114-EMMU-27(e1)-v-8 (2026-05-19): GSC Technical Corrections 2026.

What This Bill Does

  • H1114-EMMU-27(e1)-v-8 (2026-05-19): GSC Technical Corrections 2026.
  • H1114-EMMU-28(AMU-52)-v-4 (2026-05-19): May Tech.
  • Corrections.
  • H1114-EMMU-32(e2)-v-3 (2026-06-02): GSC Technical Corrections 2026.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: GENERAL STATUTES COMMISSION 300 N.

  • GENERAL STATUTES COMMISSION 300 N.
  • Salisbury Street, Suite 401 Raleigh, NC 27603-5925 Tel.
  • 919-733-6660 Fax 919-715-5459 David C.
  • Unwin Revisor of Statutes Caroline Pantoja Assistant Revisor of Statutes MEMORANDUM To: House Judiciary 1 From: General Statutes Commission Re: HB 1114 (GSC Technical Corrections 2026) Date: May 14, 2026 General Comments This bill, recommended by the General Statutes Commission, contains corrections of a technical nature to the General Statutes and session laws.

Plain English: GENERAL STATUTES COMMISSION 300 N.

  • GENERAL STATUTES COMMISSION 300 N.
  • Salisbury Street, Suite 401 Raleigh, NC 27603-5925 Tel.
  • 919-733-6660 Fax 919-715-5459 David C.
  • Unwin Revisor of Statutes Caroline Pantoja Assistant Revisor of Statutes MEMORANDUM To: House Judiciary 1 From: General Statutes Commission Re: Amendment to HB 1114 Date: May 14, 2026 General Comments This amendment consists of technical corrections recently approved by the General Statutes Commission at its May 1, 2026, meeting.

Plain English: GENERAL STATUTES COMMISSION 300 N.

  • GENERAL STATUTES COMMISSION 300 N.
  • Salisbury Street, Suite 401 Raleigh, NC 27603-5925 Tel.
  • 919-733-6660 Fax 919-715-5459 David C.
  • Unwin Revisor of Statutes Caroline Pantoja Assistant Revisor of Statutes MEMORANDUM To: House Rules, Calendar, and Operations of the House From: General Statutes Commission Re: HB 1114 (GSC Technical Corrections 2026) Date: June 2, 2026 General Comments This bill, recommended by the General Statutes Commission, contains corrections of a technical nature to the General Statutes and session laws.

Plain English: GENERAL STATUTES COMMISSION 300 N.

  • GENERAL STATUTES COMMISSION 300 N.
  • Salisbury Street, Suite 401 Raleigh, NC 27603-5925 Tel.
  • 919-733-6660 Fax 919-715-5459 David C.
  • Unwin Revisor of Statutes Caroline Pantoja Assistant Revisor of Statutes MEMORANDUM To: House of Representatives From: General Statutes Commission Re: Amendment to HB 1114 (June Tech.

Bill History

  1. 2026-06-11 Senate

    Ref To Com On Rules and Operations of the Senate

  2. 2026-06-11 Senate

    Passed 1st Reading

  3. 2026-06-11 Senate

    Regular Message Received From House

  4. 2026-06-10 House

    Regular Message Sent To Senate

  5. 2026-06-09 House

    Ordered Engrossed

  6. 2026-06-09 House

    Passed 3rd Reading

  7. 2026-06-09 House

    Passed 2nd Reading

  8. 2026-06-09 House

    Amend Adopted A1

  9. 2026-06-02 House

    Placed On Cal For 06/09/2026

  10. 2026-06-02 House

    Withdrawn From Cal

  11. 2026-06-02 House

    Placed On Cal For 06/03/2026

  12. 2026-06-02 House

    Cal Pursuant Rule 36(b)

  13. 2026-06-02 House

    Reptd Fav

  14. 2026-05-19 House

    Re-ref Com On Rules, Calendar, and Operations of the House

  15. 2026-05-19 House

    Reptd Fav Com Substitute

  16. 2026-04-30 House

    Ref to the Com on Judiciary 1, if favorable, Rules, Calendar, and Operations of the House

  17. 2026-04-30 House

    Passed 1st Reading

  18. 2026-04-29 House

    Filed

Official Summary Text

H1114-EMMU-27(e1)-v-8
(2026-05-19): GSC Technical Corrections 2026.
H1114-EMMU-28(AMU-52)-v-4
(2026-05-19): May Tech. Corrections.
H1114-EMMU-32(e2)-v-3
(2026-06-02): GSC Technical Corrections 2026.
H1114-EMMU-34(AMU-55)-v-5
(2026-06-08): June Tech. Corrections.

Current Bill Text

Read the full stored bill text
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 3
HOUSE BILL 1114
Committee Substitute Favorable 5/19/26
Third Edition Engrossed 6/9/26

Short Title: GSC Technical Corrections 2026. (Public)
Sponsors:
Referred to:
April 30, 2026
*H1114-v-3*
A BILL TO BE ENTITLED 1
AN ACT TO MAKE TECHN ICAL CORRECTIONS TO THE GENERAL STATUTES AND 2
SESSION LAWS, INCLUD ING REPEALING OBSOLE TE LANGUAGE DESCRIBI NG 3
PAST TRANSFERS OR RE ORGANIZATIONS OF STA TE AGENCIES, AS 4
RECOMMENDED BY THE GENERAL STATUTES COMMISSION. 5
The General Assembly of North Carolina enacts: 6
7
PART I. REPEAL CHAPT ER 143A, THE OBSOLET E 1971 REORGANIZATIO N OF 8
THE EXECUTIVE BRANCH 9
SECTION 1. Chapter 143A of the General Statutes, as amended by Sections 2 10
through 4 of this act, is repealed. 11
SECTION 2.(a) Chapter 147 of the General Statutes is amended by adding a new 12
Article to read: 13
"Article 3E. 14
"The Lieutenant Governor." 15
SECTION 2.(b) G.S. 143A-13 is recodified as G.S. 147-33.131 in Article 3E of 16
Chapter 147 of the General Statutes, established in subsection (a) of this section, and reads as 17
rewritten: 18
"§ 147-33.131. Office of the Lieutenant Governor created. 19
There is hereby created an The office of the Lieutenant Governor.Governor is created. The 20
Lieutenant Governor shall serve as President of th e Senate and perform any additional duties 21
assigned by the Governor or the General Assembly. The Lieutenant Governor shall maintain an 22
office in the Hawkins-Hartness House located at 310 North Blount Street in the City of Raleigh. 23
The office shall be open during normal working hours throughout the year." 24
SECTION 2.(c) G.S. 147-33 is recodified as G.S. 147-33.132 in Article 3E of 25
Chapter 147 of the General Statutes, established in subsection (a) of this section. 26
SECTION 3.(a) Chapter 143 of the General Statutes is amended by adding a new 27
Article to read: 28
"Article 85. 29
"Council on the Holocaust." 30
SECTION 3.(b) G.S. 143A-48.1 is recodified as G.S. 143-815 in Article 85 of 31
Chapter 143 of the General Statutes, established in subsection (a) of this section. 32
SECTION 4.(a) Chapter 106 of the General Statutes is amended by adding a new 33
Article to read: 34
"Article 82A. 35
General Assembly Of North Carolina Session 2025
Page 2 House Bill 1114-Third Edition
"Forestry Council." 1
SECTION 4.(b) G.S. 143A-66.1, 143A -66.2, and 143A -66.3 are recodified as 2
G.S. 106-1005, 106 -1006, and 106 -1007, respectively, in Article 82A of Chapter 106 of the 3
General Statutes, established in subsection (a) of this section. 4
SECTION 5. Article 1 of Chapter 143C of the General Statutes is amended by adding 5
a new section to read: 6
"§ 143C-1-6. Types of State agency transfers. 7
(a) Type I. – A Type I transfer is a transfer of an existing State agency to a principal State 8
department. Under a Type I transfer, all of the following apply: 9
(1) The State agency 's statutory authority, powers, duties, and functions, 10
including its mana gement functions, are transferred to a principal State 11
department. 12
(2) The State agency 's records, personnel, property, unexpended balances of 13
appropriations, allocations, and other funds are transferred to the principal 14
State department. 15
(3) The State agency 's power s, duties, and functions, including rulemaking, 16
regulation, licensing, setting rates and standards, and rendering findings, 17
orders, and adjudications are transferred to the principal State department. 18
(b) Type II. – A Type II transfer is an intact transfer of a State agency to a principal State 19
department. Under a Type II transfer, the transferred State agency shall be administered under 20
the direction and supervision of the principal State department but shall exercise its statutory 21
powers and functions, other than its management functions, ind ependently of the head of the 22
principal State department. The State agency's management functions shall be performed under 23
the direction and supervision of the head of the principal State department. 24
(c) Management Functions. – As used in this section, "management functions" means 25
planning, organizing, staffing, directing, coordinating, reporting, and budgeting." 26
SECTION 6. G.S. 147-3(c) reads as rewritten: 27
"(c) The general civil executive officers of this State are as follows: 28
(1) A Governor;Governor. 29
(2) A Lieutenant Governor;Governor. 30
(3) Private secretary for the Governor; 31
(4) A Secretary of State;State, who serves as the head of the Department of the 32
Secretary of State. 33
(5) An Auditor;A State Auditor, who serves as the head of the Department of 34
State Auditor. 35
(6) A Treasurer;State Treasurer, who serves as the head of the Department of 36
State Treasurer. 37
(7) An Attorney General;General, who serves as the head of the Department of 38
Justice. 39
(8) A Superintendent of Public Instruction;Instruction, who serves as the head of 40
the Department of Public Instruction. 41
(9) The members of the Governor's Council;Cabinet. 42
(10) A Commissioner of Agriculture;Agriculture, who serves as the head of the 43
Department of Agriculture and Consumer Affairs. 44
(11) A Commissioner of Labor;Labor, who serves as the head of the Department 45
of Labor. 46
(12) A Commissioner of Insurance.Insurance, who serves as the head of the 47
Department of Insurance." 48
49
PART II. REPEAL PROVISIONS IN CHAPTER 143B CONCERNING THE OBSOLETE 50
1971 AND 1973 REORGANIZATIONS OF THE EXECUTIVE BRANCH 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 3
SECTION 7. The title of Chapter 143B of the General Statutes reads as rewritten: 1
"Executive Organization Act of 1973.Branch." 2
SECTION 8. The following provisions in Chapter 143B of the General Statutes are 3
repealed: 4
(1) G.S. 143B-1. 5
(2) G.S. 143B-2. 6
(3) G.S. 143B-5. 7
(4) G.S. 143B-7. 8
(5) G.S. 143B-9(b). 9
(6) G.S. 143B-13(e). 10
(7) G.S. 143B-19. 11
(8) G.S. 143B-21. 12
(9) G.S. 143B-22. 13
(10) G.S. 143B-23. 14
(11) G.S. 143B-25. 15
(12) G.S. 143B-26. 16
(13) G.S. 143B-28. 17
(14) G.S. 143B-51(b). 18
(15) G.S. 143B-53. 19
(16) G.S. 143B-138.1. 20
(17) G.S. 143B-168.3. 21
(18) G.S. 143B-168.10C. 22
(19) G.S. 143B-181.1(b). 23
(20) G.S. 143B-216.33(b). 24
(21) G.S. 143B-219. 25
(22) G.S. 143B-279.3. 26
(23) Part 3 of Article 7 of Chapter 143B of the General Statutes. 27
(24) G.S. 143B-348(b). 28
(25) Part 8 of Article 8 of Chapter 143B of the General Statutes. 29
(26) G.S. 143B-368. 30
(27) G.S. 143B-431(a)(2) and (3). 31
(28) G.S. 143B-432. 32
(29) G.S. 143B-451. 33
(30) G.S. 143B-801. 34
(31) G.S. 143B-1203(a). 35
(32) G.S. 143B-1490(b). 36
SECTION 9. G.S. 143B-3 reads as rewritten: 37
"§ 143B-3. Definitions. 38
As used in the Executive Organization Act of 1973, except where the context clearly requires 39
otherwise, the words and expressions defined in this section shall be held to have the meanings 40
here given to them.The following definitions apply in this Chapter: 41
(1) Agency: whenever the term "agency" is used it shall mean and include, as the 42
context may require, an existing Agency. – A department, institution, 43
commission, committee, board, division, bureau, officer officer, or official. 44
(2) Board: a Board. – A collective body which that assists the head of a principal 45
department or his or her designee in the development of major programs 46
programs, including the tender of advice on departmental priorities. 47
(3) Commission: a Commission. – A collective body which that adopts rules and 48
regulations in a quasi -legislative manner and which acts in a quasi -judicial 49
capacity in rendering findings or decisions involving differing interests. 50
General Assembly Of North Carolina Session 2025
Page 4 House Bill 1114-Third Edition
(4) Committee: a Committee. – A collective body which that either advises the 1
head of a principal department or his or her designee or advises a commission 2
in detailed technical areas. 3
(5) Council: a Council. – A collective body which that advises the head of a 4
principal department or his or her designee as representative of citizen advice 5
in specific areas of interests. 6
(6) Division: the Division. – The principal subunit of a principal State department. 7
(7) Head of department: department. – The head of one of the principal State 8
departments. 9
(8) Higher education: education. – State senior institutions of higher learning. 10
(9) Principal State department: one department. – One of the departments created 11
by the General Assembly in compliance with Article III, Sec. 11, of the 12
Constitution of North Carolina." 13
SECTION 10. G.S. 143B-4 reads as rewritten: 14
"§ 143B -4. Policy-making authority and administrative powers of Governor; 15
delegation.Governor's role. 16
The Governor, in accordance with Article III of the Constitution of North Carolina, shall be 17
is the Chief Executive Officer of the State. The Governor shall be is responsible for formulating 18
and administering the policies of the executive branch of the State government. Where a conflict 19
arises in connection with the administration of the policies of the executive branch of the State 20
government with respect to the reorganization of State government, the conflict shall be resolved 21
by the Governor, and the decision of the Governor shall be final." 22
SECTION 11. G.S. 143B-6 reads as rewritten: 23
"§ 143B-6. Principal State offices and departments. 24
In addition to the principal departments enumerated in the Executive Organization Act of 25
1971, all executive and administrative powers, duties, and functions not including those of the 26
General Assembly and its agencies, the General Court of Justice and the administrative agencies 27
created pursuant to Article IV of the Constitution of North Carolina, and higher education 28
previously vested by law in the several State agencies, are vested in the following principal 29
departments: 30
(1) Department of Natural and Cultural Resources. 31
(2) Department of Health and Human Services. 32
(3) Department of Revenue. 33
(4) Department of Public Safety. 34
(5) Repealed by Session Laws 2012-83, s. 48, effective June 26, 2012. 35
(6) Department of Environmental Quality. 36
(7) Department of Transportation. 37
(8) Department of Administration. 38
(9) Department of Commerce. 39
(10) Community Colleges System Office. 40
(11) Repealed by Session Laws 2012-83, s. 48, effective June 26, 2012. 41
(12) Department of Information Technology. 42
(13) Department of Military and Veterans Affairs. 43
(14) Department of Adult Correction. 44
(15) State Bureau of Investigation. 45
(16) State Highway Patrol. 46
(a) Offices. – The principal State offices are as follows: 47
(1) The Office of the Governor. 48
(2) The Office of the Lieutenant Governor. 49
(b) Departments. – The principal State departments are as follows: 50
(1) Community Colleges System Office. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 5
(2) Department of Administration. 1
(3) Department of Adult Correction. 2
(4) Department of Agriculture and Consumer Services. 3
(5) Department of Commerce. 4
(6) Department of Environmental Quality. 5
(7) Department of Health and Human Services. 6
(8) Department of Information Technology. 7
(9) Department of Insurance. 8
(10) Department of Justice. 9
(11) Department of Labor. 10
(12) Department of Military and Veterans Affairs. 11
(13) Department of Natural and Cultural Resources. 12
(14) Department of Public Instruction. 13
(15) Department of Public Safety. 14
(16) Department of Revenue. 15
(17) Department of State Auditor. 16
(18) Department of State Treasurer. 17
(19) Department of the Secretary of State. 18
(20) Department of Transportation. 19
(21) State Bureau of Investigation. 20
(22) State Highway Patrol." 21
SECTION 12. G.S. 143B-9, as amended by Section 8 of this act, reads as rewritten: 22
"§ 143B-9. Appointment of officers and employees.Governor's appointment of department 23
head. 24
(a) Department Head. – Except as otherwise provided in this Chapter, the head of each 25
principal State department, except those departments headed by popularly elected officers, shall 26
be appointed by the Governor and serve at the Governor's pleasure. The The Governor shall set 27
the salary of the appointed head of each of the principal State departments shall be set by the 28
Governor, and the salary of the chief deputy or chief assistant to the department head. The salary 29
of elected officials shall be as provided by law. 30
…." 31
SECTION 13. G.S. 143B-13(a) reads as rewritten: 32
"(a) Each member of a commission created by or under the authority of the Executive 33
Organization Act of 1973 this Chapter shall be a resident of the State of North Carolina, unless 34
otherwise specifically authorized by law. 35
Unless more restrictive qualifications are provided in the Executive Organization Act of 36
1973, this Chapter, the Governor shall appoint each member on the basis of interest in public 37
affairs, good judgment, knowledge, and ability in the field for which appointed, and with a view 38
to providing diversity of interest and points of view in the membership. 39
The balance of unexpired terms of existing commission members shall be served in 40
accordance with their most recent appointment. 41
A vacancy occurring during a term of office is filled in the same manner as the original 42
appointment is made and for the balance of the unexpired term, unless otherwise provided by law 43
or by the Constitution of North Carolina." 44
SECTION 14. G.S. 143B-16 reads as rewritten: 45
"§ 143B -16. Appointment and removal of members of boards, councils councils, and 46
committees. 47
Unless more restrictive qualifications are provided in this Chapter, the Governor shall appoint 48
each member of a board, council, or committee on the basis of his the member's interest in public 49
affairs, good judgment, knowledge knowledge, and ability in the field for which appointed, and 50
with a view to providing diversity of interest and points of view in the membership. Unless other 51
General Assembly Of North Carolina Session 2025
Page 6 House Bill 1114-Third Edition
conditions are provided in the Executive Organization Act of 1973, this Chapter, any member of 1
a board, council, or committee may be removed from office by the Governor for misfeasance, 2
malfeasance, or nonfeasance. 3
No member of a board, council, or committee may use his the member's position to influence 4
any election or the political activity of any person, and any such member who violates this 5
paragraph section may be removed from such office by the Governor, if such member was 6
appointed by the Governor, or by the appointing authority, if such member was not appointed by 7
the Governor. member's appointing authority. Nothing herein shall prohibit such in this section 8
prohibits a member from publishing the fact of his or her membership in his or her own campaign 9
for public office." 10
SECTION 15. G.S. 143B-17 reads as rewritten: 11
"§ 143B-17. Commission investigations and orders. 12
Unless otherwise provided for in the Executive Organization Act of 1973, any in this Chapter, 13
a commission created by the Executive Organization Act of 1973 this Chapter may order an 14
investigation into areas of concern over which it has rulemaking authority, and the head of the 15
department required to give staff support to such the commission shall render such provide any 16
reports and information as the commission may require. information requested by the 17
commission. In default of the production of information by the head of the principal department 18
or any employee or agent thereof, requested information, the commission may seek the aid of 19
petition the Wake County Superior Court to require the production of information as hereinafter 20
provided.the information. 21
In proceedings before any a commission or any a hearing officer or member of the 22
commission so authorized by the commission, if any a person refuses to respond to a subpoena, 23
or refuses to take the oath or affirmation as a witness or thereafter refuses to be examined or 24
refuses to obey any lawful an order of a commission contained in its decision rendered after 25
hearing, the chairman chair of the commission may apply to petition the Superior Court of Wake 26
County or to the superior court of the county where the proceedings are being held for an order 27
directing that the person to take the requisite action. Should any If a person willfully fail fails to 28
comply with an order so issued, this order, the court shall punish him as the person for contempt." 29
SECTION 16. G.S. 143B-49 reads as rewritten: 30
"§ 143B-49. Department of Natural and Cultural Resources – creation, powers powers, 31
and duties. 32
There is hereby created a department to be known as the "Department of Natural and Cultural 33
Resources," with the organization, duties, functions, and powers defined in the Executive 34
Organization Act of 1973. The Department of Natural and Cultural Resources is created. The 35
Department has the powers and duties defined by law." 36
SECTION 17. G.S. 143B-50 reads as rewritten: 37
"§ 143B-50. Duties of the Department. 38
It shall be the duty of the Department to do the following: The Department of Natural and 39
Cultural Resources has the following duties: 40
(1) To provide the necessary management, development of policy policy, and 41
establishment and enforcement of standards for the furtherance of resources, 42
services services, and programs involving the arts and the historical and 43
cultural aspects of the lives of the citizens of North Carolina. 44
(2) To provide and keep a museum or collection of the natural history of the State 45
and to maintain the North Carolina Biological Survey. 46
(3) To d evelop and p reserve libraries, historical records, historic sites and 47
property, and an appreciation of art and music." 48
SECTION 18. G.S. 143B-51(a) reads as rewritten: 49
"(a) The functions of the Department of Natural and Cultural Resources shall comprise, 50
consist of, except as otherwise expressly provided by the Executive Organization Act of 1973 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 7
this Chapter or by the Constitution of North Carolina, all executive functions of the State in 1
relation to the development and preservation of libraries, historical records, sites and property, 2
and of an appreciation of art and music and further including those prescribed powers, duties, 3
and functions enumerat ed in Article 17 of Chapter 143A of the General Statutes of this 4
State.duties described in G.S. 143B-50." 5
SECTION 19. G.S. 143B-63 reads as rewritten: 6
"§ 143B-63. Historical Commission – members; selection; quorum; compensation. 7
The Historical Commission of the Department of Natural and Cultural Resources shall 8
consist of 11 members appointed by the Governor. 9
The members of the North Carolina Historical Commission shall include the members of the 10
existing North Carolina Historical Commission who shall ser ve for a period equal to the 11
remainder of their current terms on the Commission, plus four additional appointees of the 12
Governor, two of whose appointments shall expire March 31, 1979, and two of whose 13
appointments shall expire March 31, 1981. At the end o f the respective terms of office of the 14
members, their successors shall be appointed for terms of six years and The term of a member is 15
six years. Members serve until their successors are appointed and qualify. Of the members, at 16
least five shall have professional training or experience in the fields of archives, history, historic 17
preservation, historic architecture, archaeology, or museum administration, including at least 18
three currently involved in the teaching of history at the college or university lev el or in 19
administering archives or historical collections or programs. Any An appointment to fill a 20
vacancy on the Commission created by resignation, dismissal, death, or disability of a member 21
shall be for the balance of the unexpired term. 22
The Governor shall have the power to may remove any member of the Commission from 23
office for misfeasance, malfeasance or nonfeasance according to the provisions of G.S. 143B-13 24
of the Executive Organization Act of 1973. malfeasance, or nonfeasance, as provided in 25
G.S. 143B-13. 26
The members of the Commission shall receive per diem and necessary travel and subsistence 27
expenses in accordance with the provisions of G.S. 138-5. 28
A majority of the Commission shall constitute constitutes a quorum for the transaction of 29
business. 30
All clerical and other services required by the Commission shall be supplied by the Secretary 31
of Natural and Cultural Resources." 32
SECTION 20. G.S. 143B-68 reads as rewritten: 33
"§ 143B-68. Public Librarian Certification Commission – members; selection; quo rum; 34
compensation. 35
The Public Librarian Certification Commission of the Department of Natural and Cultural 36
Resources shall consist of five members as follows: (i) the chairman chair of the public libraries 37
section of the North Carolina Library Association, (ii) two individuals named by the Governor 38
upon the nomination of the North Carolina Library Association, (iii) the dean, department chair, 39
program director, or equivalent of a State or regionally accredited graduate school of librarianship 40
in North Carol ina appointed by the Governor, and (iv) one member at large appointed by the 41
Governor. 42
The members shall serve four-year terms or while holding the appropriate chairmanship. Any 43
position. An appointment to fill a vacancy created by the resignation, dismissal, death death, or 44
disability of a member shall be for the balance of the unexpired term. 45
The Governor shall have the power to may remove any member of the Commission from 46
office for misfeas ance, malfeasance, and nonfeasance according to the provisions of 47
G.S. 143B-13 of the Executive Organization Act of 1973. or nonfeasance, as provided in 48
G.S. 143B-13. 49
The members of the Commission shall receive per diem, diem and necessary travel expenses 50
in accordance with the provisions of G.S. 138-5. 51
General Assembly Of North Carolina Session 2025
Page 8 House Bill 1114-Third Edition
A majority of the Commission shall constitute constitutes a quorum for the transaction of 1
business. 2
All clerical and other services required by the Commission shall be supplied by the Secretary 3
of the Department through the regular staff of the Department." 4
SECTION 21. G.S. 143B-72 reads as rewritten: 5
"§ 143B-72. Tryon Palace Commission – members; selection; quorum; compensation. 6
The Tryon Palace Commission of the Department of Natural and Cultural Re sources shall 7
consist of the following members: 25 voting members appointed by the Governor, nonvoting 8
members emeriti appointed by the Governor, and five voting ex officio members as provided in 9
this section. 10
The Governor shall appoint 25 voting members. The terms of the initial members shall be 11
staggered as follows: Nine of the members shall be appointed to serve four -year terms, eight of 12
the members shall be appointed to serve three -year terms, and eight of the members shall be 13
appointed to serve two -year terms. At the end of the respective terms of office of the initial 14
appointed members of the Commission, the appointments of their successors, The terms of 15
members, with the exception of ex officio members and members emeriti, shall be for terms of 16
four years and until their successors are appointed and qualify. Any An appointment to fill a 17
vacancy on the Commission shall be for the balance of the unexpired term. The Governor shall 18
designate the chair of the Tryon Palace Commission. The other officers of t he Tryon Palace 19
Commission shall be elected by the members of the Tryon Palace Commission. 20
The Governor may also appoint any a person who has previously served on the Tryon Palace 21
Commission with distinction to the Commission as a member emeritus. A person appointed as a 22
member emeritus shall be is deemed a lifetime member of the Commission and shall serve as a 23
nonvoting member. 24
In addition to the members who are appointed by the Governor, the Attorney General, the 25
Secretary of Natural and Cultural Resources or the Secretary's designee, the mayor of the City of 26
New Bern, the Dean of the College of Arts and Sciences at East Carolin a University, and the 27
chairman chair of the Board of County Commissioners of Craven County shall serve as voting 28
ex officio members of said the Commission. The provisions of the Executive Organization Act 29
of 1973 G.S. 143B-13 pertaining to the residence of members of commissions shall do not apply 30
to the Tryon Palace Commission. 31
A majority of the voting members of the Commission shall constitute constitutes a quorum 32
for the transaction of business. 33
The members of the Commission shall serve without pay and without expense allowance." 34
SECTION 22. G.S. 143B-73(1) reads as rewritten: 35
"(1) The U.S.S. North Carolina Battleship Commission is authorized and 36
empowered to adopt such rules not inconsistent with the management 37
responsibilities of the Secretary of the Department provided by Chapter 143A 38
of the General Statutes and laws of this State and this Chapter that may be 39
necessary and desirable for the operation and maintenance of may adopt rules, 40
not inconsiste nt with the duties of the Secretary of Natural and Cultural 41
Resources, to operate and maintain the U.S.S. North Carolina as a permanent 42
memorial and exhibit commemorating the heroic participation of the men and 43
women of North Carolina in the prosecution and victory of the Second World 44
War and for the faith ful performance and fulfillment of its duties and 45
obligations." 46
SECTION 23. G.S. 143B-74 reads as rewritten: 47
"§ 143B-74. U.S.S. North Carolina Battleship Commission – members; selection; quorum; 48
compensation. 49
The U.S.S. North Carolina Battleship Commission of the Department of Natural and Cultural 50
Resources shall consist of 18 members including the Secretary of Natural and Cultural Resources 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 9
and the Secretary of Commerce who shall serve as voting ex officio members. The members of 1
the Commission appointed for terms to end in 1991 shall serve for an additional two-year period. 2
At the end of the respective terms of office of the members of the Commission serving in 1991, 3
their successors Members shall be appointed for terms of four years and until their successors are 4
appointed and qualify. Any An appointment to fill a vacancy on the Commission created by the 5
resignation, dismissal, death, or disability of a member shall be for the balance of the unexpired 6
term. The provisions of the Executive Organization Act of 1973 G.S. 143B-13 pertaining to the 7
residence of members of commissions shall do not apply to the U.S.S. North Carolina Battleship 8
Commission. 9
The Governor shall have the power to may remove any member of the Commission from 10
office for misfeasance, malfeasance, or nonfeasance in accordance with the provisions of G.S. 11
143B-13 of the Executive Organization Act of 1973.nonfeasance, as provided in G.S. 143B-13. 12
The members of the Commission shall receive per diem and necessary travel and subsistence 13
expenses in accordance with the provisions of G.S. 138-5. 14
A majority of the Commission shall constitute constitutes a quorum for the transaction of 15
business. The Governor shall designate from among the members of the Commission a chairman, 16
vice-chairman chair, vice-chair, and treasurer. The Secretary of Natural and Cultural Resources 17
or his the Secretary's designee shall serve as Secretary of the Commission. The Commission shall 18
meet at least twic e annually upon the call of the chairman, chair, the Secretary of Natural and 19
Cultural Resources, or any seven members of the Commission." 20
SECTION 24. G.S. 143B-79 reads as rewritten: 21
"§ 143B -79. Executive Mansion Fine Arts Committee – creation, powers powers, and 22
duties. 23
(a) There is hereby created the Executive Mansion Fine Arts Committee. The Executive 24
Mansion Fine Arts Committee shall have The Executive Fine Arts Committee of the Department 25
of Natural and Cultural Resources is created. The Committee has the following functions and 26
duties: 27
(1) To advise the Secretary of Natural and Cultural Resources on the preservation 28
and maintenance of the Executive Mansion located at 200 North Blount Street, 29
Raleigh, North Carolina;Carolina. 30
(2) To encourage gifts and objects of art, furniture furniture, and articles of 31
historical value for furnishing the Executive Mansion, Mansion and to advise 32
the Secretary of Natural and Cultural Resources on major changes in the 33
furnishings of the Mansion;Mansion. 34
(3) To make recommendations to the Secretary of Natural and Cultural Resources 35
concerning major renovations necessary to preserve and maintain the 36
structure;structure. 37
(4) To aid the Secretary of Natural and Cultural Resources in keeping a complete 38
list of all gifts and articles received together with their history and value;value. 39
No 40
(5) No gifts or articles shall be accepted for the Executive Mansion without the 41
approval of the Committee; andCommittee. 42
(6) The Committee shall To advise the Secretary of Natural and Cultural 43
Resources upon any matter the Secretary may refer refers to it. 44
(7)(b) Notwithstanding Article 3 of Chapter 143 of the General Statutes, G.S. 143-49(4), or 45
any other law pertaining to surplus State property, the Committee may dispos e of property held 46
in the Executive Mansion after consultation with a review committee comprised of one person 47
from the Executive Mansion Fine Arts Committee, appointed by its chairman; chair; one person 48
from the Department of Administration appointed by t he Secretary of Administration; and two 49
qualified professionals from the Department of Natural and Cultural Resources, Division of 50
Archives and History, History of the Department of Natural and Cultural Resources, appointed 51
General Assembly Of North Carolina Session 2025
Page 10 House Bill 1114-Third Edition
by the Secretary of Natural and Cultural Resources. that Department. Upon request of the 1
Executive Mansion Fine Arts Committee, the review committee shall view proposed items for 2
disposition and shall make a recommendation to the North Carolina Historical Commission who 3
shall make a final decision. The Historical Commission shall consider whether the disposition is 4
in the best interest of the State of North Carolina. If any property is sold or leased, the net 5
proceeds of each sale or lease and any interest earned thereon on the proceeds shall be deposited 6
in the State Treasu ry with the State Treasurer to the credit of the Executive Mansion, Mansion 7
Special Fund, Fund and shall be used only for the purchase, conservation, restoration, or repair 8
of other property for use in the Executive Mansion." 9
SECTION 25. G.S. 143B-80 reads as rewritten: 10
"§ 143B -80. Executive Mansion Fine Arts Committee – members; selection; quorum; 11
compensation. 12
The Executive Mansion Fine Arts Committee shall consist of 16 members appointed by the 13
Governor. The initial members of the Committee shall be the appointed members of the present 14
Executive Mansion Fine Arts Commission who shall serve for a period equal to the remainder of 15
their current terms on the Executive Mansion Fine Arts Commission, four of whose appointments 16
expire June 30, 1973, four of who se appointments expire June 30, 1974, four of whose 17
appointments expire June 30, 1975, and four of whose appointments expire June 30, 1976. At the 18
end of the respective terms of office of the initial members, the appointments of their successors 19
The terms of the members shall be for terms of four years and until their successors are appointed 20
and qualify. Any An appointment to fill a vacancy on the Committee created by the resignation, 21
dismissal, death, or disability of a member shall be for the balance of the unexpired term. 22
The Governor shall have the power to may remove any member of the Committee from office 23
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 24
1973.G.S. 143B-16. 25
The Governor shall designate a member of t he Committee to serve as chairman chair at his 26
the Governor's pleasure. 27
Members of the Committee shall receive per diem and necessary travel and subsistence 28
expenses in accordance with the provisions of G.S. 138-5. 29
A majority of the Committee shall constitute constitutes a quorum for the transaction of 30
business. 31
All clerical and other services required by the Committee shall be supplied by the Secretary 32
of Natural and Cultural Resources." 33
SECTION 26. G.S. 143B-83 reads as rewritten: 34
"§ 143B-83. North Carolina Awards Committee – creation, powers powers, and duties. 35
There is hereby created the The North Carolina Awards Committee with the duty to of the 36
Department of Natural and Cultural Resources is created. The Committee shall advise the 37
Secretary of Natural and Cultural Resources the Department on the formulation and 38
administration of the program governing North Carolina awards and on the selection of a 39
committee in each award area to choose the recipients. 40
The Committee shall advise the Secr etary of the Department upon any matter the Secretary 41
may refer refers to it." 42
SECTION 27. G.S. 143B-87 reads as rewritten: 43
"§ 143B-87. North Carolina Arts Council – creation, powers powers, and duties. 44
There is hereby created the North Carolina Arts Cou ncil with The North Carolina Arts 45
Council of the Department of Natural and Cultural Resources is created. The Council has the 46
following duties and functions: 47
(1) To advise the Secretary of Natural and Cultural Resources on the study, 48
collection, maintenance maintenance, and dissemination of factual data and 49
pertinent information relative to the arts;arts. 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 11
(2) To advise the Secretary concerning assistance to local organizations and the 1
community at large in the area of the arts;arts. 2
(3) To advise the Secretary on the exchange of information, promotion of 3
programs programs, and stimulation of joint endeavor between public and 4
nonpublic organizations;organizations. 5
(4) To identify research needs in the arts area and to encourage such research;this 6
research. 7
(5) To advise the Secretary in regard to bringing the highest obtainable quality in 8
the arts to the State and promoting the maximum opportunity for the people 9
to experience and enjoy those arts;arts. 10
(6) To advise the Secretary of the Department upon any matter the Secretary may 11
refer to it; andrefers to it. 12
(7) To advise the Secretary concerning the promotion of theater arts in the State." 13
SECTION 28. G.S. 143B-88 reads as rewritten: 14
"§ 143B-88. North Carolina Arts Council – members; selection; quorum; compensation. 15
The North Carolina Arts Council shall consist of 24 members appointed by the Governor. 16
The initial members of the Council shall be the appointed members of the present Arts Council 17
who shall serve for a period equal to the remainder o f their current terms on the Arts Council, 18
eight of whose terms expire June 30, 1973, eight of whose terms expire June 30, 1974, and eight 19
of whose terms expire June 30, 1975. At the end of the respective terms of office of the initial 20
members, the appointments of their successors The terms of members shall be for terms of three 21
years and until their successors are appointed and qualify. Any An appointment to fill a vacancy 22
on the Council created by the resignation, dismissal, death, or disability of a member shall be for 23
the balance of the unexpired term. 24
The Governor shall have the power to may remove any member of the Council from office 25
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 26
1973.G.S. 143B-16. 27
The Governor shall designate a member of the Council as chairman chair to serve at his the 28
Governor's pleasure. 29
Members of the Council shall receive per diem and necessary travel and subsistence expenses 30
in accordance with the provisions of G.S. 138-5. 31
A majority of the Council shall constitute constitutes a quorum for the transaction of business. 32
All clerical and other services required by the Council shall be supplied by the Secretary of 33
Natural and Cultural Resources." 34
SECTION 29. G.S. 143B-93 reads as rewritten: 35
"§ 143B-93. Roanoke Island Historical Association – status. 36
The Roanoke Island Historical Association is hereby declared not to be a State agency within 37
the meaning of the Executive Organization Act of 1973 and shall be not an agency, as defined 38
by G.S. 143B-3, and is exempt from all provisions of the Executive Organization Act of 1973 39
except G.S. 143B-92 and G.S. 143B-93.this Chapter except this Part." 40
SECTION 30. G.S. 143B-96 reads as rewritten: 41
"§ 143B-96. Edenton Historical Commission – status. 42
The Edenton Historical Commission is hereby declared not to be a State agency within the 43
meaning of the Executive Organization Act of 1973 and shall be not an agency, as defined by 44
G.S. 143B-3, and is exempt from all provisions of the Executive Organization Act of 1973 except 45
G.S. 143B-95 through G.S. 143B-98.this Chapter except this Part." 46
SECTION 31. G.S. 143B-100 reads as rewritten: 47
"§ 143B-100. Historic Bath Commission – status. 48
The Historic Bath Commission is hereby declared not to be a State agency within the meaning 49
of the Executive Organization Act of 1973 and shall be not an agency, as defined by G.S. 143B-3, 50
General Assembly Of North Carolina Session 2025
Page 12 House Bill 1114-Third Edition
and is exempt from all provisions of the Executive Organization Act of 1973 except 1
G.S. 143B-99 through G.S. 143B-102.this Chapter except this Part." 2
SECTION 32. G.S. 143B-104 reads as rewritten: 3
"§ 143B-104. Historic Hillsborough Commission – status. 4
The Historic Hillsborough Commission is hereby declared not to be a State agency within 5
the meaning of the Executive Organization Act of 1973 and shall be not an agency, as defined 6
by G.S. 143B-3, and is exempt from all provisions of the Executive Organization Act of 1973 7
except G.S. 143B-103 through G.S. 143B-106.this Chapter except this Part." 8
SECTION 33. G.S. 143B-108 reads as rewritten: 9
"§ 143B-108. Historic Murfreesboro Commission – status. 10
The Historic Murfreesboro Commission is hereby declared not to be a State agency within 11
the meaning of the Executive Organization Act of 1973 and shall be not an agency, as defined in 12
G.S. 143B-3, and is exempt from all provisions of the Executive Organization Act of 1973 except 13
G.S. 143B-107 through G.S. 143B-110.this Chapter except this Part." 14
SECTION 34. G.S. 143B-135.132 reads as rewritten: 15
"§ 143B -135.132. North Carolina Trails Committee – members; selection; removal; 16
compensation. 17
The North Carolina Trails Committee shall consist of seven members appointed by the 18
Secretary of Natural and Cultural Resources. Two members shall be from the mountain section, 19
two from the Piedmont section, two from the coastal plain, and one at large. They shall as much 20
as possible represent various trail users. 21
Committee members shall serve staggered terms of four years and until their successors are 22
appointed and qualify. Any An appointment to fill a vacancy on the Committee created by the 23
resignation, dismissal, death death, or disability of a member shall be for the balance of the 24
unexpired term. 25
The Governor shall have the power to may remove any member of the Committee from office 26
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 27
1973.G.S. 143B-16. 28
The Secretary of Natural and Cultural Resources shall designate a member of the Committee 29
to serve as chairman chair at the pleasure of the Governor. 30
Members of the Committee shall receive per diem and necessary travel and subsistence 31
expenses in accordance with the provisions of G.S. 138-5 and G.S. 143B-15 of the Executive 32
Organization Act of 1973.G.S. 138-5." 33
SECTION 35. G.S. 143B-135.207 reads as rewritten: 34
"§ 143B-135.207. North Carolina Zoological Park Council – members; selection; removal; 35
chairman; chair; compensation; quorum; services. 36
The North Carolina Zoological Park Council of the Department of Natural and Cultural 37
Resources shall consist of 15 members appointed by the Governor, one of whom shall be the 38
Chairman Chair of the Board of Directors of the North Carolina Zoological Society. 39
At the end of the respective terms of office of the initial members of the Council, the 40
Governor, to achieve staggered terms, shall appoint five members for terms of two years, five 41
members for terms of four years and five members for terms of six years. Thereafter, the 42
appointment of their successors The terms of members shall be for terms of six years and until 43
their successors are appointed and qualify. Any An appointment to fill a vacancy on the Council 44
created by the resignation, dismissal, death death, or disability of a member shall be for the 45
balance of the unexpired term. 46
The Governor shall have the power to may remove any member of the Council from office 47
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 48
1973.G.S. 143B-16. 49
The Governor shall designate a member of the Council to serve as chairman chair at his the 50
Governor's pleasure. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 13
Members of the Council shall receive per diem and necessary travel and subsistence expenses 1
in accordance with the provisions of G.S. 138-5. 2
A majority of the Council shall constitute constitutes a quorum for the transaction of business. 3
All clerical and other services required by the Council shall be supplied by the Secretary of 4
Natural and Cultural Resources." 5
SECTION 36. G.S. 143B-147(b) reads as rewritten: 6
"(b) All rules hereby adopted shall be consistent with the laws of this State and not 7
inconsistent with the management responsibilities of the Secretary of the Department of Health 8
and Human Services provided by this Chapter and the Executive Organization Act of 9
1973.Chapter." 10
SECTION 37. G.S. 143B-154 reads as rewritten: 11
"§ 143B-154. Social Services Commission – members; selection; quorum; compensation. 12
The Social Services Commission of the Department of Health and Human Services shall 13
consist of one member from each congress ional district in the State, all of whom shall be 14
appointed by the Governor for four-year terms. 15
The initial members of the Commission shall be the appointed members of the current Social 16
Services Commission who shall serve for the remainder of their current terms and four additional 17
members appointed by the Governor for terms expiring April 1, 1981. Any An appointment to 18
fill a vacancy on the Commission created by the resignation, dismissal, death, removal removal, 19
or disability of a member shall be for the balance of the unexpired term. 20
In the event that more than 11 If another congressional districts are district is established in 21
the State, the Governor shall shall, on July 1 following the establishment of such the additional 22
congressional districts district, appoint a member of the Commission from that congressional 23
district. 24
The Governor shall have the power to may remove any member of the Commission from 25
office for misfeasance, malfeasance, or nonfeasance in accordance with the provisions of G.S. 26
143B-13 of the Executive Organization Act of 1973.G.S. 143B-13. 27
The members of the Commission shall receive per diem and necessary travel and subsistence 28
expenses in accordance with the provisions of G.S. 138-5. 29
A majority of the Commission shall constitute constitutes a quorum for the transaction of 30
business. 31
All clerical and other services required by the Commission shall be supplied by the Secretary 32
of Health and Human Services." 33
SECTION 38. G.S. 143B-158(g) reads as rewritten: 34
"(g) A member of the Commission shall not vote on any issue before the Commission that 35
would have a significant and predictable effect on the member's financial interest. The Governor 36
shall have the power to may remove any member of the Commission from office for misfeasance, 37
malfeasance, or nonfeasance in accordance with the provisions of G.S. 143B-13 of the Executive 38
Organization Act of 1973.G.S. 143B-13." 39
SECTION 39. G.S. 143B-166 reads as rewritten: 40
"§ 143B-166. North Carolina Medical Care Commission – members; selection; quorum; 41
compensation. 42
The North Carolina Medical Care Commission of the Department of Health and Human 43
Services shall consist of 17 members appointed by the Governor. Three of the members 44
appointed by the Governor shall be nominated by the North Carolina Medical S ociety, one 45
member shall be nominated by the North Carolina Nurses Association, one member shall be 46
nominated by the North Carolina Pharmaceutical Association, Association of Pharmacists, one 47
member shall be nominated by the Duke Foundation Endowment, and one member shall be 48
nominated by the North Carolina Hospital Healthcare Association. The remaining 10 members 49
of the North Carolina Medical Care Commission shall be appointed by the Governor and selected 50
so as to fairly represent agriculture, industry, labor, and other interest groups in North Carolina. 51
General Assembly Of North Carolina Session 2025
Page 14 House Bill 1114-Third Edition
One such member appointed by the Governor shall be a dentist licensed to practice in North 1
Carolina Carolina, and one such member appointed by the Governor shall be an individual 2
affiliated with a nonprofit Continuing Care Retirement Community continuing care retirement 3
community licensed pursuant to Article 64 of Chapter 58 of the General Statutes. The initial 4
members of the Commission shall be 18 members of the North Carolina Medical Care 5
Commission who sha ll serve for a period equal to the remainder of their current terms on the 6
North Carolina Medical Care Commission, six of whose appointments expire June 30, 1973, four 7
of whose appointments expire June 30, 1974, four of whose appointments expire June 30, 1975, 8
and four of whose appointments expire June 30, 1976. To achieve the required 17 members the 9
Governor shall appoint three members to the Commission upon the expiration of four members' 10
initial terms on June 30, 1973. At the end of the respective terms of office of the initial members 11
of the Commission, their successors The terms of the members shall be appointed for terms of 12
four years and until their successors are appointed and qualify. Any An appointment to fill a 13
vacancy on the Commission created by the resignation, dismissal, death, or disability of a 14
member shall be for the balance of the unexpired term. 15
The Governor shall have the power to may remove any member of the Commission from 16
office for misfeasance, malfeasance malfeasance, or nonfeasance in accordance with the 17
provisions of G.S. 143B-13 of the Executive Organization Act of 1973.G.S. 143B-13. 18
Vacancies on said the Commission among the membership nominated by a society, 19
association, or foundation as hereinabove provided shall be filled by th e Executive Committee 20
executive committee or other authorized agent of said the society, association association, or 21
foundation until the next meeting of the society, association association, or foundation at which 22
time the society, association association, or foundation shall nominate a member to fill the 23
vacancy for the unexpired term. 24
The members of the Commission shall receive per diem and necessary travel and subsistence 25
expenses in accordance with the provisions of G.S. 138-5. 26
A majority of the Commission shall constitute constitutes a quorum for the transaction of 27
business. 28
All clerical and other services required by the Commission shall be supplied by the Secretary 29
of Health and Human Services." 30
SECTION 40. G.S. 143B-168.4 is recodified a s G.S. 110-87.1 and reads as 31
rewritten: 32
"§ 110-87.1. Child Care Commission – members; selection; quorum.Commission. 33
(a) The Child Care Commission of the Department of Health and Human Services is 34
created. The Commission shall consist of 17 members. Nine of the members shall be appointed 35
by the Governor and eight by the General Assembly, four upon the recommendation of the 36
President Pro Tempore of the Senate, and four upon the recommendation of the Speaker of the 37
House of Representatives. Four of the members appointed by the Governor, two by the General 38
Assembly on the recommendation of the President Pro Tempore of the Senate, and two by the 39
General Assembly on the recommendation of the Speaker of the House of Representatives, 40
Representatives shall be members of the public who are not employed in, or providing, child care 41
and who have no financial interest in a child care facility. Two of the foregoing public members 42
appointed by the Governor, one of the foregoing public members recommended by the President 43
Pro Tempore of the Senate, and one of the foregoing public members recommended by the 44
Speaker of the House of Representatives shall be parents of children receiving child care services. 45
Of the remaining two public members appointed by the Gov ernor, one shall be a pediatrician 46
currently licensed to practice in North Carolina. Three of the members appointed by the Governor 47
shall be child care providers, one of whom shall be affiliated with a for -profit child care center, 48
one of whom shall be affiliated with a for-profit family child care home, and one of whom shall 49
be affiliated with a nonprofit facility. Two of the members appointed by the Governor shall be 50
early childhood education specialists. Two of the members appointed by the General Assemb ly 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 15
on the recommendation of the President Pro Tempore of the Senate, Senate and two of the 1
members appointed by the General Assembly on recommendation of the Speaker of the House 2
of Representatives, Representatives shall be child care providers, one affiliated with a for-profit 3
child care facility, and one affiliated with a nonprofit child care facility. None of the members 4
may shall be employees of the State. 5
(b) Members shall be appointed as follows: 6
(1) Of the Governor's initial appointees, five shall be appointed for terms expiring 7
June 30, 2020, and four shall be appointed for terms expiring June 30, 2021. 8
(2) Of the General Assembly's initial appointees appointed upon recommendation 9
of the President Pro Tempore of the Senate, two shall be appointed for terms 10
expiring June 30, 2020, and two shall be appointed for terms expiring June 11
30, 2021. 12
(3) Of the General Assembly's initial appointees appointed upon recommendation 13
of the Speaker of the House of Representatives, two shall be appointed for 14
terms expiring June 30, 2020, and two shall be appointed for terms expiring 15
June 30, 2021. 16
Appointments by the General Assembly shall be made in accordance with G.S. 120-121. 17
After the initial appointees' terms have expired, all All members shall be appointed to ser ve 18
two-year terms. Any An appointment to fill a vacancy on the Commission created by the 19
resignation, dismissal, death, or disability of a member shall be for the balance of the unexpired 20
term. 21
(c) A vacancy occurring during a term of office is filled:filled as follows: 22
(1) By the Governor, if the Governor made the initial appointment;appointment. 23
(2) By the General Assembly, if the General Assembly made the initial 24
appointment in accordance with G.S. 120-122. 25
At its first meeting the Commission members shall elect a Chair to serve a term expiring June 26
30, 2020. A successor Chair shall be elected for a two-year terms thereafter. term on June 30 of 27
every even-numbered year. The same member may serve as Chair for two consecutive terms. 28
Commission members may be removed pursuant to G.S. 143B-13(d). 29
Commission members may be reappointed and may succeed themselves for a maximum of 30
four consecutive terms. 31
The Commission shall meet quarterly, and at other times at the c all of the Chair or upon 32
written request of at least six members. 33
The members of the Commission shall receive per diem and necessary travel and subsistence 34
expenses in accordance with the provisions of G.S. 138-5. A majority of the Commission shall 35
constitute constitutes a quorum for the transaction of business. 36
All clerical and other services required by the Commission shall be supplied by the Secretary 37
of Health and Human Services." 38
SECTION 41. G.S. 143B-181 reads as rewritten: 39
"§ 143B -181. Governor's A dvisory Council on Aging – members; selection; quorum; 40
compensation. 41
The Governor's Advisory Council on Aging of the Department of Health and Human Services 42
shall consist of 33 members, 29 members to be appointed by the Governor, two members to be 43
appointed by the President Pro Tempore of the Senate, and two members to be appointed by the 44
Speaker of the House of Representatives. The composition of the Council shall be as follows: 45
one representative of the Department of Administration; one representative of the Department of 46
Natural and Cultural Resources; one representative of the Division of Employment Security; one 47
representative of the Teachers' and State Employees' Retirement System; one representative of 48
the Commissioner of Labor; one representative of the Department of Public Instruction; one 49
representative of the Department of Environmental Quality; one representative of the Department 50
of Insurance; one representative of the Department of Public Safety; one representative of the 51
General Assembly Of North Carolina Session 2025
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Department of Community Colleges; Community Colleges System Office, one representative of 1
the School of Public Health of The University of North Carolina; one representative of the School 2
of Social Work of The University of North Carolina; one representative of the Agricultural 3
Extension Service of North Carolina State University; one representative of the collective body 4
of the Medical Society of North Carolina; and 19 members at large. The at large members shall 5
be citizens who are knowledgeable about services supported through the Older Americans Act 6
of 1965, as amended, and shall include persons with greatest economic or social need, minority 7
older persons, and participants in programs under the Older Americans Act of 1965, as amended. 8
The Governor shall appoint 15 members at large who meet these qualifications and are 60 years 9
of age or older. The four remaining members at large, two of whom shall be appointed by the 10
President Pro Tempore of the Senate and two of whom shall be appointed by the Speaker of the 11
House of Represent atives, shall be broadly representative of the major private agencies and 12
organizations in the State who are experienced in or have demonstrated particular interest in the 13
special concerns of older persons. At least one of each of the at -large appointments of the 14
President Pro Tempore of the Senate and the Speaker of the House of Representatives shall be 15
persons 60 years of age or older. The Council shall meet at least quarterly. 16
Members at large shall be appointed for four -year terms and until their succes sors are 17
appointed and qualify. Ad interim appointments shall be for the balance of the unexpired term. 18
The Governor shall have the power to may remove any member of the Council from office 19
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 20
1973.G.S. 143B-16. 21
The Governor shall designate one member of the Council as chair to serve in such capacity 22
at his the Governor's pleasure. 23
Members of the Council shall receive per diem and necessary travel and subsistence expenses 24
in accordance with the provisions of G.S. 138-5. 25
A majority of the Council shall constitute constitutes a quorum for the transaction of business. 26
All clerical and other services required by the Council shall be supplied by the Secretary of 27
Health and Human Services." 28
SECTION 42. G.S. 143B-217 reads as rewritten: 29
"§ 143B-217. Department of Revenue – creation. 30
There is hereby recreated and reestablished a department to be known as the "Department of 31
Revenue" with the organization, duties, functions, and powe rs defined in the Executive 32
Organization Act of 1973.The Department of Revenue is created. The Department has the powers 33
and duties defined by law." 34
SECTION 43. G.S. 143B-293.2(c1) reads as rewritten: 35
"(c1) Removal. – The Governor shall have the power to may remove any member of the 36
Commission from office for misfeasance, malfeasance, or nonfeasance in accordance with the 37
provisions of G.S. 143B-13 of the Executive Organization Act of 1973, nonfeasance, as provided 38
in G.S. 143B-13, or for good cause." 39
SECTION 44. G.S. 143B-324.2(c) and (d) read as rewritten: 40
"(c) Removal. – The Governor shall have the power to may remove any member of the 41
Council from office in accordance with the provisions of G.S. 143B -16 of the Executive 42
Organization Act of 1973.G.S. 143B-16. 43
(d) Compensation. – Members of the Council shall receive per diem and necessary travel 44
and subsistence expenses in accordance with the provisions of G.S. 138-5 and G.S. 143B-15 of 45
the Executive Organization Act of 1973.G.S. 138-5." 46
SECTION 45. G.S. 143B-345 reads as rewritten: 47
"§ 143B-345. Department of Transportation – creation. 48
There is hereby created and established a department to be known as the "Department of 49
Transportation" with the organization, powers, and duties defined in Article 1 of Chapter 143B, 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 17
except as modified in this Article.The Department of Transportation is created. The Department 1
has the powers and duties defined by law." 2
SECTION 46. G.S. 143B-348, as amended by Section 8 of this act, reads as 3
rewritten: 4
"§ 143B-348. Depar tment of Transportation – head; rules, regulations, etc., of Board of 5
Transportation.head. 6
(a) The Secretary of Transportation shall be is the head of the Department of 7
Transportation. He shall carry out The Secretary is responsible for the day-to-day operations of 8
the Department and shall be responsible for carrying out the policies, programs, priorities, and 9
projects approved by the Board of Transportation. He shall be The Secretary is responsible for 10
all other transportation matters assigned to the Department of Transportation, Department, except 11
those reserved to the Board of Transportation by statute. Except as otherwise provided for by 12
statute, the Secretary shall have all has the powers and duties as provided for in Article 1 of 13
Chapter 143B this Chapter, including the responsibility for all management functions for the 14
Department of Transportation. Department. The Secretary shall be vested with authority to may 15
adopt design criteria, construction specifications, and standards as required for the Department 16
of Transportation to construct and maintain highways, bridges, and ferries. The Secretary or the 17
Secretary's designee shall be vested with authority to promulgate may adopt rules and regulations 18
concerning all transportation functions assigned to the Department. 19
…." 20
SECTION 47. G.S. 143B-366 reads as rewritten: 21
"§ 143B-366. Department of Administration – creation. 22
There is hereby recreated and reestablished a department to be known as the "Department of 23
Administration," with the organization, powers, and duties defined in the Executive Organization 24
Act of 1973.The Department of Administration is created . The Department has the powers and 25
duties defined by law." 26
SECTION 48. G.S. 143B-394 reads as rewritten: 27
"§ 143B -394. North Carolina Council for Women – members; selection; quorum; 28
compensation. 29
The North Carolina Council for Women of the Department of Administration shall consist of 30
20 members appointed by the Governor. The initial members of the Council shall be the 31
appointed members of the North Carolina Council for Women, three of whose appointments 32
expire June 30, 1977, and four of whose appointments expire June 30, 1978. Thirteen additional 33
members shall be appointed in 1977, six of whom shall serve terms expiring June 30, 1978, and 34
seven of whom shall serve terms expiring June 30, 1979. At the ends of the respective terms of 35
office of the initial members of the Council and of the 13 members added in 1977, the 36
appointment of their successors The terms of the members shall be for terms of two years and 37
until their successors are appointed and qualify. Any An appointment to fill a vacancy on the 38
Council created by the resignation, dismissal, death, or disability of a member shall be for the 39
balance of the unexpired term. Members of the Council shall be representative of age, sex, ethnic 40
ethnicity, and geographic backgrounds. 41
The Governor shall have the power to may remove any member of the Council from office 42
in accordance with the provisions of G.S. 143B -16 of the Executive Organization Act of 43
1973.G.S. 143B-16. 44
The Governor shall designate a member of the Coun cil to serve as chairman chair at the 45
pleasure of the Governor. 46
Members of the Council shall receive per diem and necessary travel and subsistence expenses 47
in accordance with the provisions of G.S. 138-5. 48
A majority of the Council shall constitute constitutes a quorum for the transaction of business. 49
All clerical and other services required by the Council shall be supplied by the Secretary of 50
Administration." 51
General Assembly Of North Carolina Session 2025
Page 18 House Bill 1114-Third Edition
SECTION 49. G.S. 143B-394.26 reads as rewritten: 1
"§ 143B -394.26. State Youth Advisory Council – members; selection; quorum; 2
compensation. 3
The State Youth Advisory Council of the Department of Administration shall consist of 20 4
members. The composition and appointment of the Council shall be as follows: 5
Ten youths to be elected by the procedure adopte d by the Youth Advisory Council, which 6
shall include a requirement that four of the members represent youth organizations; and 10 adults 7
to be appointed by the Governor at least four of whom shall be individuals working on youth 8
programs through youth organizations. Provided that no No person shall serve on the Board for 9
more than two complete consecutive terms. 10
The initial members of the Council shall be the appointed members of the Youth Advisory 11
Board who shall serve for a period equal to the remainder o f their current terms on the Youth 12
Advisory Board. The current terms of the youth members expire July 1, 1976, the current terms 13
of four of the adult members expire April 7, 1976, and the remaining four adult members' terms 14
expire May 1, 1978. At the end o f the respective terms of office of the initial members of the 15
Council, the appointment of their successors shall be as follows: 16
(1) Eight youth members to serve for terms beginning on July 1, 1976, and 17
expiring on June 30, 1977, and two additional youth m embers to serve for 18
terms beginning on July 1, 1977, and expiring on June 30, 1978. At the end of 19
the terms of office of these youth members of the Council, the appointment of 20
their successors shall be for terms of two years and until their successors are 21
appointed and qualify. 22
(2) Four adult members to serve for terms beginning on April 8, 1976, and 23
expiring on June 30, 1979; four adult members to serve for terms beginning 24
on May 1, 1978, and expiring on June 30, 1980; one additional adult member 25
to serve for a term beginning July 1, 1977, and expiring June 30, 1978; and 26
one additional adult member to serve for a term beginning July 1, 1977, and 27
expiring June 30, 1979. At the end of the respective terms of office of these 28
adult members of the Council, the appointment of their successors The terms 29
of members shall be for terms of two years and until their successors are 30
appointed and qualify. At least one adult member shall be an advisor of a local 31
youth council at appointment and for the duration of the term . The total 32
membership shall reasonably reflect the socioeconomic, ethnic, sexual sexual, 33
and sectional composition of the State. 34
Any An appointment to fill a vacancy on the Council created by the resignation, dismissal, 35
death, or disability of a member shall be for the balance of the unexpired term. 36
The Governor shall have the power to may remove any member of the Council from office 37
in accordance with the provisions of G.S. 143B-16 of the Executive Organization Act of 38
1973.G.S. 143B-16. 39
The Governor shall designate an adult member of the Council to serve as chairman chair at 40
the pleasure of the Governor. The Council shall elect a youth member to serve as vice-chairman 41
vice-chair for a one-year term. 42
A majority of the Council shall constitute constitutes a quorum for the transaction of business. 43
Members of the Council who are not officers or employees of the State shall receive per diem 44
and necessary travel and subsistence expenses in accordance with provisions of G.S. 138-5. 45
All clerical and other services required by the Council shall be supplied by the Secretary of 46
Administration." 47
SECTION 50. G.S. 143B-404 reads as rewritten: 48
"§ 143B-404. North Carolina State Commission of Indian Affairs – creation; name. 49
There is hereby created and established the The North Carolina State Commission of Indian 50
Affairs. The Commission shall be administered under the direction and supervision of Affairs is 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 19
administratively located in the Department of Administration pursuant to G.S. 143A -6(b) and 1
(c).but shall exercise its powers independently of the Secretary of Administration." 2
SECTION 51. G.S. 143B-431.01(b) reads as rewritten: 3
"(b) Contract. – The Department of Commerce is authorized to may contract with a North 4
Carolina nonprofit corporation to p erform one or more of the Department's functions, powers, 5
duties, and obligations set forth in G.S. 143B-431, obligations, except as provided in this 6
subsection. The contract entered into pursuant to this section between the Department and the 7
Economic Dev elopment Partnership of North Carolina is exempt from Articles 3 and 3C of 8
Chapter 143 of the General Statutes and G.S. 143C-6-23. If the Department contracts with a 9
North Carolina nonprofit corporation to promote and grow the travel and tourism industries, then 10
all funds appropriated to the Department for tourism marketing purposes shall be used for a 11
research-based, comprehensive marketing program directed toward consumers in key markets 12
most likely to travel to North Carolina and not for ancillary activities, such as statewide branding 13
and business development marketing. The Department may shall not contract with a North 14
Carolina nonprofit corporation regarding any of the following: 15
(1) The obligation or commitment of funds under this Article, such as the One 16
North Carolina Fund, the Job Development Investment Grant Program, the 17
Industrial Development Fund, or the Job Maintenance and Capital 18
Development Fund. 19
(2) The Division of Employment Security, including the administration of 20
unemployment insurance. 21
(3) The functions set forth in G.S. 143B-431(a)(2).of an agency , board, or 22
commission that exercises its powers independently of the Sec retary of 23
Commerce under G.S. 143C-1-6(b). 24
(4) The administration of funds or grants received from the federal government 25
or its agencies, except for the following: 26
a. The State Trade and Export Promotion Program. 27
b. The Manufacturing Extension Program. 28
(5) The administration of a site certification program. Nothing in this subdivision 29
prohibits the contracting of responsibi lity for creating or maintaining a 30
website with data on unutilized or underutilized properties in the State with 31
potential commercial or industrial reuses." 32
SECTION 52. G.S. 143B-439(b) reads as rewritten: 33
"(b) The relationship between the Secretary of Co mmerce and the Credit Union 34
Commission shall be as defined for a Type II transfer under this Chapter.The Commission is 35
administratively located in the Department of Commerce but shall exercise its powers 36
independently of the Secretary of Commerce under G.S. 143C-1-6(b)." 37
SECTION 53. The title of G.S. 143B-1203 reads as rewritten: 38
"§ 143B-1203. Transfer; definitions.Definitions." 39
SECTION 54. G.S. 143B-1454(a) reads as rewritten: 40
"(a) The functions of the Division of Prisons shall include all functions of the executive 41
branch of the State in relation to corrections and the detention and rehabilitation of adult 42
offenders, including detention and further including those prescribed offenders and the powers, 43
duties, and functions enumerated in the laws of this State. All such functions, powers, duties, and 44
obligations heretofore vested in the State Department of Correction and Commission of 45
Correction are hereby transferred to and vested in the Division of Prisons of the Department of 46
Adult Correction except as otherwise provided by the Executive Organization Act of 1973." 47
SECTION 55. G.S. 143B-1490(a) and (c) read as rewritten: 48
"(a) There is hereby created a The Post-Release Supervision and Parole Commission of 49
the Division of Community Supervision and Reentry of the Department of Adult Correction with 50
the authority to is created. The Commission has the following powers: 51
General Assembly Of North Carolina Session 2025
Page 20 House Bill 1114-Third Edition
(1) To grant paroles, including both regular and temporary paroles, to persons 1
held by virtue of any final order or judgment of any court of this State as 2
provided in Chapter 148 of the General Statutes and other laws of the State of 3
North Carolina, State, except that persons sentenced under Article 81B of 4
Chapter 15A of the General Statutes are not eligible for parole but may be 5
conditionally released into the custody and control of United States 6
Immigration and Customs Enforcement pursuant to G.S. 148-64.1. The 7
Commission shall also have authority to 8
(2) To revoke, terminate, and suspend paroles of such persons (including persons 9
placed on parole on or before the effective date of the Executive Organization 10
Act of 1973) and to granted. 11
(3) To assist the Governor in exercising his the Governor's authority in granting 12
reprieves, commutations, and pardons, pardons and shall perform such to 13
perform other services as may be required by the Governor may require in 14
exercising his the powers of executive clemency. The Commission shall also 15
have authority to 16
(4) To revoke and terminate persons on post -release supervision, as provided in 17
Article 84A of Chapter 15A of the General Statutes. The Commission shall 18
also have the authority to 19
(5) To punish for criminal contempt for the willful refusal to accept post-release 20
supervision or to comply with the terms of post -release supervision by a 21
prisoner whose offense requiring post -release supervision is a reportable 22
conviction subject to the registr ation requirement of Article 27A of Chapter 23
14 of the General Statutes. Any A contempt proceeding conducted by the 24
Commission shall be in accordance with G.S. 5A-15 as if the Commission 25
were a judicial official. 26
… 27
(c) The Commission is authorized and empowered to may adopt rules not inconsistent 28
with the laws of this State, in accordance with by which prisoners eligible for parole consideration 29
may have their cases reviewed and investigated and by which such parole proceedings may be 30
initiated and considered. All rules and regulations heretofore adopted by the Board of Paroles 31
shall remain in full force and effect unless and until repealed or superseded by action of the 32
Commission. All rules adopted by the Commission shall be enforced by the Division of 33
Community Supervision and Reentry of the Department of Adult Correction." 34
SECTION 56. G.S. 143B-1491 reads as rewritten: 35
"§ 143B -1491. Post -Release Supervision and Parole Commission – members; selection; 36
removal; chair; compensation; quorum; services. 37
(a) Effective August 1, 2005, the The Post-Release Supervision and Parole Commission 38
shall consist of one four full-time member and two half-time members. The three members shall 39
be appointed by the Governor from persons whose recognized ability, training, experience, and 40
character qualify them for service on the Commission. The terms of office of any members 41
serving on the Commission on June 30, 2005, shall expire on that date. members appointed by 42
the Governor. The terms of office of persons appointed by the Governor as members of the 43
Commission shall be for four years or until their successors are appointed and qualify. Any An 44
appointment to fill a vacancy on the Commission created by the resignation, removal, death 45
death, or disability of a member shall be for the balance of the unexpired term only. 46
(a1) Effective August 1, 2012, both half -time commissioners shall begin serving as 47
full-time members of the Commission, and the Post-Release Supervision and Parole Commission 48
shall consist of three full-time members. 49
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House Bill 1114-Third Edition Page 21
(a2) Effective February 1, 2013, an additional member shall be appointed by the Governor 1
to the Commission, and the Post -Release Supervision and Pa role Commission shall consist of 2
four full-time members. 3
(b) All members of the Post-Release Supervision and Parole Commission appointed by 4
the Governor shall possess the recognized ability, training, experience, and character to qualify 5
each person to serve ably on the Commission. 6
(c) The Governor shall have the authority to may remove any member of the Commission 7
from office for misfeasance, malfeasance malfeasance, or nonfeasance, pursuant to the 8
provisions of G.S. 143B-13. The Governor shall designate a member of the Commission to serve 9
as chair of the Commission at the pleasure of the Governor. 10
(d) The granting, denying, revoking, or rescinding of parole, the authorization of 11
work-release privileges to a prisoner, or any other matters of business coming before the 12
Commission for consideration and action shall be decided by majority vote of the full 13
Commission, except that a three -member panel of the Commission may set the terms and 14
conditions for a post -release supervisee under G.S. 15A-1368.4 and may de cide questions of 15
violations thereunder, of these terms and conditions, including the issuance of warrants. In the 16
event of a tie in a vote by the full Commission, the chair shall break the tie with an additional 17
vote. 18
(e) The members of the Commission sha ll receive the salary fixed by the General 19
Assembly in the Current Operations Appropriations Act and shall receive necessary travel and 20
subsistence expenses in accordance with the provisions of G.S. 138-6. The half-time members of 21
the Commission shall not be subject to the provisions of G.S. 135-3(a)(8)c. 22
(f) All clerical and other services required by the Commission shall be supplied by the 23
Secretary of the Department of Adult Correction." 24
25
PART III. REPEAL OTHER PROVISIONS CONCERNING THE OBSOLETE 1971 AND 26
1973 REORGANIZATIONS OF THE EXECUTIVE BR ANCH AND MAKE 27
CONFORMING CHANGES 28
SECTION 57. G.S. 18B-500(a) reads as rewritten: 29
"(a) Appointment. – The Secretary of Public Safety shall appoint and supervise the 30
Director of the Division of Alcohol Law Enforcemen t of the Department of Public Safety. The 31
Director of the Division of Alcohol Law Enforcement of the Department of Public Safety may 32
appoint and supervise a sufficient number of assistants who shall be competent and qualified to 33
do the work of the Division . The Director is responsible for making all hiring and personnel 34
decisions of the Division. Notwithstanding the provisions of this Chapter or Chapter 143A of the 35
General Statutes, Chapter, the Director may hire or fire personnel and transfer personnel wit hin 36
the Division. The Director may also appoint a regular employee of the Commission as an ALE 37
agent, provided so long as the employee was employed by the ABC Commission and serving as 38
an ALE agent on January 1, 2019. Alcohol law -enforcement agents shall b e designated as 39
"alcohol law-enforcement agents." Persons serving as reserve alcohol law -enforcement agents 40
are considered employees of the Division for workers' compensation purposes while performing 41
duties assigned or approved by the Director of the Division or the Director's designee." 42
SECTION 58. G.S. 53C-2-1(a) reads as rewritten: 43
"(a) The State Banking Commission is created. The Commission is administratively 44
located in the Department of Commerce but shall exercise its powers independently of the 45
Secretary of Commerce under G.S. 143C-1-6(b). The Commission consists of 15 members, 46
including the State Treasurer, who shall serve as an ex officio member; 12 members appointed 47
by the Governor; and two members appointed by the General Assembly under G.S. 120-121, one 48
of whom shall be appointed upon the recommendation of the President Pro Tempore of the Senate 49
and one of whom shall be appointed upon the recommendation of the Speaker of the House of 50
Representatives. The Governor shall appoint to the Commission three practical bankers, one 51
General Assembly Of North Carolina Session 2025
Page 22 House Bill 1114-Third Edition
consumer finance licensee, one member who is, or is employed by a person that is, licensed under 1
Article 19B of Chapter 53 of the General Statutes, and seven public members. The member 2
appointed upon the recommendation of the P resident Pro Tempore of the Senate shall be a 3
practical banker, and the member appointed upon the recommendation of the Speaker of the 4
House shall be a practical banker. Members shall serve terms of four years. No individual shall 5
serve more than two complete consecutive terms on the Commission. Any vacancy occurring in 6
the membership of the Commission shall be filled by the appropriate appointing officer for the 7
unexpired term, except that vacancies among members appointed by the General Assembly shall 8
be filled in accordance with G.S. 120-122. The appointed members of the Commission shall 9
receive subsistence and travel expenses at the rates set forth in G.S. 120-3.1. This compensation 10
shall be paid from the revenues of the OCOB." 11
SECTION 59. G.S. 53C-2-3(a) reads as rewritten: 12
"(a) The Commissioner shall be assisted in the performance of the duties of office by (i) 13
one or more deputy commissioners and (ii) examiners, investigators, counsel, and other 14
employees under the supervision of the Commissioner, all of whom, together with the 15
Commissioner, shall comprise the "Office of the Commissioner of Banks." The OCOB is 16
administratively located in the Department of Commerce but shall exercise its powers 17
independently of the Secretary of Commerce under G.S. 143C-1-6(b). In addition, the work of 18
the OCOB may be conducted by employees of other agencies of government and by agents and 19
independent contractors of the OCOB. The Commissioner may appoint or remove at his or her 20
discretion any deputy commissioner." 21
SECTION 60. Article 1 of Chapter 54B of the General Statutes is amended by adding 22
a new section to read: 23
"§ 54B-4.1. Savings Institution Division. 24
The Savings Institution Division is created. The Division is administratively located in the 25
Department of Commerce but shall exercise its powers independently of the Secretary of 26
Commerce under G.S. 143C-1-6(b)." 27
SECTION 61. G.S. 62-10(a) reads as rewritten: 28
"(a) The North Carolina Utilities Commission is created. The Commission is 29
administratively located in the Department of Commerce but shall exercise its powers 30
independently of the Secretary of Commerce under G.S. 143C-1-6(b). The Commission shall 31
consist of five commissioners who shall be appointed as follows: two by the Governor, one by 32
the State Treasurer, one by the General Assembly, upon the recommendation of the Speaker of 33
the House of Representatives in accordance with G.S. 120-121, and one by the General 34
Assembly, upon the recommendation of the President Pro Tempore of the Senate in accordance 35
with G.S. 120-121. Each commissioner shall serve for a term of six years commencing on July 1 36
of the year in which the predecessor term expired and ending on June 30 of the sixth year 37
thereafter. Commissioners appointed by the Governor and Treasurer are subject to confirmation 38
by the General Assembly by joint resolution. The names of commissioners to be appointed by 39
the Governor and Treasurer shall be submitted by the Governor and Treasurer to the General 40
Assembly for confirmation by the General Assembly on or b efore May 1, of the year in which 41
the terms for which the appointments are to be made are to expire. Upon failure of the Governor 42
or Treasurer to submit names as herein provided, provided in this subsection, the President Pro 43
Tempore of the Senate and Speaker of the House of Representatives jointly shall submit the 44
names of a like number of commissioners to the General Assembly on or before May 15 of the 45
same year for confirmation by the General Assembly. Regardless of the way in which names of 46
commissioners are submitted, confirmation of commissioners must be accomplished prior to 47
adjournment of the then current session of the General Assembly." 48
SECTION 62. G.S. 76A-1 reads as rewritten: 49
"§ 76A-1. Commission established; powers generally. 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 23
In consideration of the requirement for the safe and expeditious movement of waterborne 1
commerce on the navigable waters of the State, it is deemed necessary to establish the Cape Fear 2
Navigation and Pilotage Commission, hereinafter referred to as the Commission. The 3
Commission is administratively located in the Department of Commerce but shall exercise its 4
powers independently of the Secretary of Commerce under G.S. 143C-1-6(b). The Commission 5
shall have has the exclusive power to license and regulate a group of river pilots familiar with 6
the waters of the Cape Fear River and Bar to best guide vessels within those waters and to 7
exercise authority over navigation in the Cape Fear and Bar and to and from the sea buoy of the 8
port. The Commission shall report its activitie s to the Governor through the Secretary of 9
Commerce." 10
SECTION 63. G.S. 76A-31 reads as rewritten: 11
"§ 76A-31. Morehead City Navigation and Pilotage Commission. 12
In consideration of the requirement for the safe and expeditious movement of waterborne 13
commerce on the navigable waters of the State, it is deemed necessary to establish the Morehead 14
City Navigation and Pilotage Commission, herein called Commission. The C ommission is 15
administratively located in the Department of Commerce but shall exercise its powers 16
independently of the Secretary of Commerce under G.S. 143C-1-6(b). The Commission shall 17
have has the exclusive power to license and regulate pilots familiar with the waters of Morehead 18
City Harbor and Beaufort Bar and the water route from Morehead City to Aurora, North Carolina 19
(to include Carolina, including from Morehead City through the Inland or Intracoastal Waterway 20
North, through Adams Creek, the Neuse River, the Bay River, the Hobuken Canal, the Pamlico 21
River, and South Creek to Aurora or from the Neuse River around Brant Island Shoal through 22
the Pamlico River and South Creek to Aurora), Aurora, referred to herein in this Subchapter as 23
the regulated area, to best guide vessels within those waters and to exercise authority over 24
navigation in Morehead City Harbor and Beaufort Bar and to and from the sea buoy of the port. 25
The Commission shall report its activities to the Governor through the Secretary of Commerce." 26
SECTION 64. G.S. 97-77 reads as rewritten: 27
"§ 97 -77. North Carolina Industrial Commission created; members appointed by 28
Governor; terms of office; chairman.chair. 29
… 30
(b) One member, to be designated by the Governor, shall act as chairman.chair. 31
The chairman chair shall be the chief judicial officer and the chief executive officer of the 32
Industrial Commission; such this authority shall be exercised pursuant to the provisions of 33
Chapter 126 of the General Statutes and the rules and policies of the State Human Resources 34
Commission. Notwithstanding the provisions of this Chapter, the chairman shall have such chair 35
has authority as is necessary to direct and oversee the Commission. The chairman chair may 36
delegate any duties and responsibilities as may be necessary to ensure the proper management of 37
the Industrial Commission. Notwithstanding the provisions of this Chapter, Chapter 143A, 38
Chapter and Chapter 143B of the General Statutes, the chairman chair may hire or fire personnel 39
and transfer personnel within the Industrial Commission. 40
The Governor may designate one vice-chairman vice-chair from the remaining 41
commissioners." 42
SECTION 65. G.S. 113-128(10) reads as rewritten: 43
"(10) Wildlife Resources Commission. – The North Carolina Wildlife Resources 44
Commission as established by Article 24 of Chapter 143 of the General 45
Statutes and Part 3 of Article 7 of Chapter 143B of the General 46
Statutes.Statutes." 47
SECTION 66. G.S. 117-1 reads as rewritten: 48
"§ 117-1. Rural Electrification Authority created; appointments; terms of members. 49
An agency to be known as the The North Carolina Rural Electrification Authority is hereby 50
created as an agency of the State of North Carolina, such agency to created. The Authority is 51
General Assembly Of North Carolina Session 2025
Page 24 House Bill 1114-Third Edition
administratively located in the Department of Commerce but shall exercise its powers 1
independently of the Secretary of Commerce under G.S. 143C-1-6(b). It shall consist of five 2
members to be appointed by the Governor of North Caro lina. Current members of the North 3
Carolina Rural Electrification Authority shall complete their respective terms of office. On or 4
after June 5, 1975, the Governor shall appoint two members to replace those members whose 5
terms expire on said date. Governor. All appointments made by the Governor shall be made for 6
terms of four years." 7
SECTION 67. G.S. 126-3(a) reads as rewritten: 8
"(a) There is hereby established the The Office of State Human Resources (hereinafter 9
referred to as "the Office") which shall be placed is created . The Office is located for 10
organizational purposes within the Office of the Governor. Notwithstanding the provisions of 11
North Carolina State government reorganization as of January 1, 1975, and specifically 12
notwithstanding the provisions of Chapter 864 of the 1971 North Carolina Session Laws, Chapter 13
143A of the General Statutes, the The Office of State Human Resources shall exercise all of its 14
statutory powers in this Chapter, which shall be is under the administration and supervision of a 15
Director of the Office of State Human Resources (hereinafter referred to as "the Director") 16
appointed by the Governor and subject to the supervision of the Commission for purposes of this 17
Chapter. The salary of the Director shall be fixed set by the Governor. The Director shall serve 18
at the pleasure of the Governor." 19
SECTION 68. G.S. 126-19 reads as rewritten: 20
"§ 126 -19. Equal employment opportunity plans; reports; maintenance of services by 21
Director of the Office of State Human Resources. 22
(a) Each member of the Council of State under G.S. 143A -11, each of the principal 23
departments principal State office or principal State department enumerated in G.S. 143B-6, The 24
University of North Carolina, the judicial branch, and the legislative branch, branch shall develop 25
and submit on an annual basis an Equal Employment Opportunity plan which that shall include 26
goals and programs that provide positive measures to assure equitable and fair representation of 27
North Carolina's citizens. The plans developed by the judicial branch and by the Legislative 28
Services Office on behalf of the legislative branch shall be submitted to the General Assembly 29
on or before June 1 of each year. All other such plans shall be submitted to the Director of the 30
Office of State Human Resources for review and approval on or before March 1, 1 of each year. 31
(b) Repealed by Session Laws 2013-382, s. 7.3, effective August 21, 2013. 32
(c) The Director of the Office of State Human Resources will shall provide services of 33
Equal Employment Opportunity technical assistance, training, oversight, monitoring, evaluation, 34
support programs, and reporting to assure that the State government's work force is diverse at all 35
occupational levels. These services shall be provided by qualified personnel." 36
SECTION 69. G.S. 136-18 is amended by adding a new subdivision to read: 37
"(12c) To contract with the United States government to obtain the benefits available 38
to the State under the Federal Highway Safety Act of 1966 and, with the 39
Governor's approval, to coordinate the activities of all departments and 40
agencies of the State and its subdivisions to obtain these benefits." 41
SECTION 70. G.S. 140-5.13(e) reads as rewritten: 42
"(e) Any member of the Board of Trustees may be removed from office by the authority 43
that appointed or elected that member for misfeasance, malfeasance, or nonfeasance in office. In 44
the case of an appointment made by the Governor, removal shall be made in accordance with the 45
provisions of G.S. 143B-13 of the Executive Organization Act of 1973." 46
SECTION 71. The following statutes in Chapter 143 of the General Statutes are 47
repealed: 48
(1) G.S. 143-34.11. The provisions repealed by this statute are not reenacted. 49
(2) G.S. 143-50. 50
(3) G.S. 143-247. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 25
(4) G.S. 143-248. 1
(5) G.S. 143-249. 2
(6) G.S. 143-326. 3
(7) G.S. 143-344. 4
(8) G.S. 143-345. 5
SECTION 72. G.S. 143-240(a) reads as rewritten: 6
"(a) There is hereby created the The Wildlife Resources Commission of the Department 7
of Environmental Quality which is created. The Commission is administratively located in the 8
Department of Environmental Quality but shall exercise its powers independently of the 9
Secretary of Environmental Quality. The Commission is subject to the direction and supervision 10
of the Secretary only with respect to the management functions of coordinating and reporting. 11
The Commission shall consist of 19 citizens of North Carolina who shall be appointed as is 12
provided in G.S. 143-241. Each 13
Each member of the Commission shall be an experienced hunter, fisherman, farmer, or 14
biologist, who shall be generally informed on wildlife conservation and restoration problems. 15
Members of the Commission shall receive per diem and necessary travel and subs istence 16
expenses in accordance with the provisions of G.S. 138-5 or G.S. 138-6 as the case may be, which 17
shall be paid from fees collected by the Wildlife Resources Commission." 18
SECTION 73.(a) Subdivision (1) of G.S. 143-745(a) is recodified as subdivision (3) 19
of that subsection. 20
SECTION 73.(b) G.S. 143-745(a), as amended by subsection (a) of this section, 21
reads as rewritten: 22
"(a) For the purposes of this section:The following definitions apply in this Article: 23
(1) Recodified. 24
(2) "State agency" means each department created pursuant to Chapter 143A or 25
143B of the General Statutes, and State agency. – A principal State office or 26
principal State department listed in G.S. 143B-6. The term includes all 27
institutions, boards, commissions, or authorities, by whatever name, that is a 28
unit are units of the executive branch of State government, including The 29
University of North Carolina, Carolina and the Community Colleges System 30
Office. The term does not include a unit of local government. 31
(3) "Agency head" means the State agency head. – The Governor, a Council of 32
State member, a cabinet secretary, the President of The University of North 33
Carolina, the President of the Community College System, th e State 34
Controller, and other independent appointed officers with authority over a 35
State agency." 36
SECTION 73.(c) G.S. 143-746 reads as rewritten: 37
"§ 143-746. Internal auditing required. 38
(a) Requirements. – A State agency shall establish a program of internal auditing that:that 39
does all of the following: 40
(1) Promotes an effective system of internal controls that safeguards public funds 41
and assets and minimizes incidences of fraud, waste, and abuse. 42
(2) Determines if programs and business operations are administered in 43
compliance with federal and state laws, regulations, State laws and other 44
requirements. 45
(3) Reviews the effectiveness and efficiency of agency and program operations 46
and service delivery. 47
(4) Periodically audits the agency's major systems and controls, 48
including:including the following: 49
a. Accounting systems and controls. 50
b. Administrative systems and controls. 51
General Assembly Of North Carolina Session 2025
Page 26 House Bill 1114-Third Edition
c. Information technology systems and controls. 1
(a1) Key Performance In dicators and Criteria. – In addition to the requirements of 2
subsection (a) of this section, each State agency head shall be is responsible for ensuring that the 3
State agency's internal audit unit meets the required key indicators and criteria established by the 4
Council under G.S. 143-747(c)(3a). 5
(b) Internal Audit Standards. – Internal audits shall comply with current Standards for the 6
Professional Practice of Internal Auditing issued by the Institute for Internal Auditors or, if 7
appropriate, Government Au diting Standards issued by the Comptroller General of the United 8
States. Each State agency head shall annually certify to the Council that the audit plan was 9
developed and the audit reports were conducted and reported in accordance with required 10
standards. 11
(c) Appointment and Qualifications of Internal Auditors. – Any A State employee who 12
performs the internal audit function shall meet the minimum qualifications for internal auditors 13
established by the Office of State Human Resources, in consultation with the Council of Internal 14
Auditing. 15
(d) Director of Internal Auditing. – The A State agency head shall appoint a Director of 16
Internal Auditing who shall report to, as designated by the State agency head, (i) the State agency 17
head, (ii) the chief deputy or chief of staff, or (iii) the agency governing board, or subcommittee 18
thereof, if such a this governing board exists. The Director of Internal Auditing shall be 19
organizationally situated to avoid impairments to independence as defined in the auditing 20
standards referenced in subsection (b) of this section. 21
(e) Insufficient Personnel. – If a State agency has insufficient personnel to comply with 22
this section, the Office of State Budget and Management shall provide technical assistance. 23
(f) Reporting Fraudulent Activity. – If an internal audit conducted pursuant to this section 24
results in a finding that a private person or entity has received public funds as a result of fraud, 25
misrepresentation, or other deceptive acts or practices while doing business with the S tate 26
agency, the internal auditor shall submit a detailed written report of the finding, and any 27
additional necessary supporting documentation, to the State Purchasing Officer. A report 28
submitted under this subsection may include a recommendation that the private person or entity 29
be debarred from doing business with the State or a political subdivision thereof." 30
SECTION 74. G.S. 147-12(a)(10) is repealed. 31
SECTION 75. G.S. 147-13.1 is repealed. 32
SECTION 76. G.S. 147-34 is repealed. 33
SECTION 77. G.S. 150B-2(8a) reads as rewritten: 34
"(8a) Rule. – Any agency regulation, standard, or statement of general applicability 35
that implements or interprets an enactment of the General Assembly or 36
Congress or a regulation adopted by a federal agency or that describes the 37
procedure or practice requirements of an agency. The term includes the 38
establishment of a fee and the amendment or repeal of a prior rule. The term 39
does not include the following: 40
a. Statements concerning only the internal management of an agency or 41
group o f agencies within the same principal office or department 42
enumerated in G.S. 143A-11 or 143B-6, G.S. 143B-6, including 43
policies and procedures manuals, if the statement does not directly or 44
substantially affect the procedural or substantive rights or dutie s of a 45
person not employed by the agency or group of agencies. 46
b. Budgets and budget policies and procedures issued by the Director of 47
the Budget, by the head of a department, as defined by G.S. 143A-2 or 48
G.S. 143B-3, or by an occupational licensing board, as defined by 49
G.S. 93B-1. 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 27
c. Nonbinding interpretative statements within the delegated authority of 1
an agency that merely define, interpret, or explain the meaning of a 2
statute or rule. 3
d. A form, the contents or substantive requirements of which are 4
prescribed by rule or statute. 5
e. Statements of agency policy made in the context of another 6
proceeding, including:including the following: 7
1. Declaratory rulings under G.S. 150B-4. 8
2. Orders establishing or fixing rates or tariffs. 9
… 10
k. The State Medical Facilities Plan, if the Plan has been prepared with 11
public notice and hearing as provided in G.S. 131E-176(25), 12
G.S. 131E-176.2, reviewed by the Commission for compliance with 13
G.S. 131E-176(25), G.S. 131E-176.2, and approved by the Governor. 14
l. Standards adopted by the State Chief Information Officer and applied 15
to information technology as defined in G.S. 143B-1320. 16
m. Determinations by the Department of Environmental Quality of high 17
hazards pursuant to G.S. 130A-330." 18
SECTION 78. G.S. 159D-38(e) reads as rewritten: 19
"(e) The North Carolina Capital Facilities Finance Agency shall be contained within is 20
administratively located in the Department of State Treasurer as if it had been transferred to that 21
department by a Type II transfer as def ined in G.S. 143A-6(b).but shall exercise its powers 22
independently of the State Treasurer." 23
24
PART IV. OTHER TECHNICAL CORRECTIONS 25
SECTION 79. The Revisor of Statutes shall renumber definitions in G.S. 20-4.01 so 26
that they appear in alphabetical order. 27
SECTION 80. G.S. 20-16(a)(8) is repealed. 28
SECTION 81. G.S. 30-48 reads as rewritten: 29
"§ 30-48. Right of surviving community-property spouse. 30
(a) The surviving community-property spouse of a decedent may assert a claim for relief 31
with respect to a right under this Article in accordance with the following: 32
… 33
(3) The incapacity of the surviving community-property spouse does not toll the 34
time for commencing an action or filing a petition as provided in this section. 35
…." 36
SECTION 82. G.S. 58-19-26 reads as rewritten: 37
"§ 58-19-26. Group capital calculation. 38
(a) Reporting Requirement. – The ultimate controlling person of every insurer subject to 39
registration pursuant to G.S. 58-19-25 shall concurrently file with the registration an annual 40
group capital calculation report. The report shall be filed with the lead state commissioner. 41
(b) Exemptions. – The ultimate controlling person of any of the following is exempt from 42
the filing requirement of subsection (a) of this section: 43
(1) An insurance holding company system that (i) has only one insurer within its 44
holding company structure, (ii) only writes insurance business, (iii) is only 45
licensed in its state of domicile, and (iv) assumes no business from any other 46
insurer.structure and whose sole insurer meets all of the following 47
requirements: 48
a. Is licensed only in its state of domicile. 49
b. Writes only insurance business and only in its state of domicile. 50
c. Assumes no business from any other insurer. 51
General Assembly Of North Carolina Session 2025
Page 28 House Bill 1114-Third Edition
… 1
(c) Recognition of Group Capital Calculation. – For purposes of subdivision (b)(4) of 2
this section, a non-United States jurisdiction recognizes the group capital calculation if it satisfies 3
any of the following criteria: 4
(1) A competent regulatory authority in the jurisdiction affirms that insurers and 5
insurance groups whose lead state is accredited by the NAIC under the NAIC 6
accreditation program shall be are subject only to worldwide prudential 7
insurance group supervision, including worldwide group governance, 8
solvency and capital, and reporting, as applicable, by tha t jurisdiction's lead 9
state commissioner and will not be are not subject to group supervision, 10
including worldwide group governance, solvency and capital, and reporting, 11
at the level of the worldwide parent undertaking of the insurance or 12
reinsurance group by the non-United States jurisdiction. 13
(2) A competent regulatory authority in the jurisdiction affirms that information 14
regarding insurers and their parent, subsidiary, or affiliated entities, if 15
applicable, shall be provided to the lead state commission er in accordance 16
with an information sharing agreement in the form of a memorandum of 17
understanding or similar document. Acceptable information sharing 18
agreements include the International Association of Insurance Supervisors 19
Multilateral Memorandum of Understanding or other multilateral memoranda 20
of understanding coordinated by the NAIC. The jurisdiction does not satisfy 21
this these criteria if the lead state commissioner determines, in consultation 22
with the NAIC, that the requirements of the information sharing agreements 23
are no longer in force. 24
…." 25
SECTION 83.(a) G.S. 58-33-46 reads as rewritten: 26
"§ 58-33-46. Suspension, probation, revocation, or nonrenewal of licenses. 27
(a) The Commissioner may place on probation, suspend, revoke, or refuse to renew an y 28
license issued under this Article, in accordance with the provisions of G.S. 93B-8.1 and Article 29
3A of Chapter 150B of the General Statutes, for any one or more of the following causes: 30
(1) Providing materially incorrect, misleading, incomplete, or mater ially untrue 31
information in the license application. 32
(2) Violating any insurance law of this or any other state, violating any 33
administrative rule, subpoena, or order of the Commissioner or of another 34
state's insurance regulator, or violating any rule of the FINRA. 35
… 36
(6) Having been convicted of a any felony or of a misdemeanor involving 37
dishonesty, a breach of trust, or moral turpitude.dishonesty or a breach of trust. 38
(7) Having admitted or been found to have committed any insurance unfair trade 39
practice or fraud. 40
(8) Using fraudulent, coercive, or dishonest practices, or demonstrating 41
incompetence, untrustworthiness, or financial irresponsibility irresponsibility, 42
in the conduct of business in this State or elsewhere. 43
… 44
(12a) Soliciting, negotiating, or s elling insurance in this State for an unauthorized 45
insurer, regardless of whether the licensee or applicant knew that the insurer 46
was unauthorized. As used in this section, the terms "soliciting", 47
"negotiating", and "selling" shall have the meaning of "solicit", "negotiate", 48
and "sell", respectively, set forth in G.S. 58-33-10. 49
… 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 29
(15) Cheating on an examination for an insurance license or for a prelicensing or 1
continuing education course, including improperly using notes or any other 2
reference material to complete an examination for an insurance license or for 3
a prelicensing or continuing education course. 4
… 5
(b) G.S. 58-2-50 applies to any an investigation under this section. G.S. 58-2-70 applies 6
to any a person subject to licensure under this Article. 7
(c) Any A person licensed under this Article shall notify the Commissioner of the 8
commencement of any bankruptcy, insolvency, or receivership proceeding affecting the person 9
licensed, or upon making an assignment for the benefit of creditors of the person licensed. Each 10
owner, manager, or officer of a business entity that is a licensed person shall be is responsible 11
for providing this notification. Any A person responsible for notifying the Commissioner shall 12
provide the notice within three business days after the commencement of the proceeding or the 13
making of the assignment. 14
… 15
(e) No person shall be issued a license or appointment to enter the employment of any 16
other person, which if the other person is at that time found by the Commissioner to be in 17
violation of any of the insurance laws of this State, or which if the other person has been in any 18
manner disqualified under any state or federal law to engage in the insurance business. 19
(f) The Commissioner shall retain retains the authority to enforce the provisions of, and 20
impose any penalty or remedy authorized by, this Chapter against any person who that is under 21
investigation for or charged with a violation of this Chapter even if the person's license or 22
registration has been surrendered or has lapsed by operation of law." 23
SECTION 83.(b) G.S. 58-33-125 reads as rewritten: 24
"§ 58-33-125. Fees. 25
(a) The following table indicates the annual fees that are required for the respective 26
licenses issued, renewed, or cancelled under this Article and Article 21 of this Chapter: 27
Adjuster ................................................................................................. $75.00 28
Adjuster, crop hail only ........................................................................... 20.00 29
Insurance producer cancellation (paid by insurer) .................................. 10.00 30
Insurance producer appointment, individual ........................................... 11.00 31
Insurance producer appointment, Medicare 32
supplement and long-term care, individual ............................... 10.00 33
Agent, overseas military.......................................................................... 20.00 34
Business entity ...................................................................................... 100.00 35
Limited representative ............................................................................. 20.00 36
Limited representative cancellation (paid by insurer) ............................. 10.00 37
Motor vehicle damage appraiser ............................................................. 75.00 38
Surplus lines licensee, corporate ........................................................... 100.00 39
Surplus lines licensee, individual ............................................................ 50.00 40
(b) Whenever a temporary license is issued under this Article, the fee shall be at the same 41
rate as provided in subsection (a) of this section; and any amounts so paid for a temporary license 42
may be credited against the fee required for an appointment by the sponsoring company.section. 43
(c) Any A person who that is not licensed and who that is required by law or 44
administrative rule to secure a license shall, upon application for licensing, pay to the 45
Commissioner a fee of fifty dollars ($50.00). If additional licensing for other lines of authority is 46
requested, a fee of fifty dollars ($50.00) shall be paid to the Commissioner upon application for 47
licensing for each additional kind of insurance. 48
In addition to the fees prescribed by this subsection, any a person applying for a supplemental 49
license to sell Medicare supplement and long-term care insurance policies shall pay an additional 50
fee of fifty dollars ($50.00) upon application for licensing for that line of authority. 51
General Assembly Of North Carolina Session 2025
Page 30 House Bill 1114-Third Edition
(d) The requirement for an examination, prelicensing education, continuing education, or 1
a registration fee does not apply to agents for domestic farmers' mutual assessment fire insurance 2
companies or associations who that solicit and sell only those kinds of insurance specified in 3
G.S. 58-7-75(5)d. for those companies or associations. 4
… 5
(h) Fees paid by an insurer on behalf of a person who that is licensed or appointed to 6
represent the insurer are payable to the Commissioner when billed. Billing of insurers for renewal 7
fees must be on an annual basis. The frequency for billing insurers for other licensing and 8
appointment fees is determined by the Commissioner and may be daily, monthly, or quarterly. 9
An electronic payment made through the NAIC or an affiliate of NAIC is considered a payment 10
to the Commissioner." 11
SECTION 83.(c) G.S. 58-33-132 reads as rewritten: 12
"§ 58-33-132. Qualifications of instructors. 13
(a) The Commissioner may adopt rules to establish requisite qualifications for and 14
issuance, renewal, summary suspension, and termin ation of provider, presenter, and instructor 15
authority for prelicensing and continuing insurance education courses. During any suspension, 16
the instructor shall not engage in any instruction of prelicensing or continuing insurance 17
education courses prior to an administrative review. No person shall provide, present, or instruct 18
any course unless that person has been qualified by and possesses a license from the 19
Commissioner or administrator. 20
(b) The Commissioner or administrator may summarily suspend or terminate the 21
authority of an instructor, course provider, or presenter if either of the following applies to the 22
course presentation: 23
(1) Is It is determined to be inaccurate; orinaccurate. 24
(2) Receives It receives an evaluation of poor from any Department monitor and 25
a majority of attendees responding to Department questionnaires about the 26
presentation." 27
SECTION 83.1.(a) G.S. 90-85.3 reads as rewritten: 28
"§ 90-85.3. Definitions. 29
The following definitions apply in this Article: 30
(1)(a) "Administer" means the Administer. – The direct application of a drug to the 31
body of a patient by injection, inhalation, ingestion ingestion, or other means. 32
(2)(b) "Board" means the Board. – The North Carolina Board of Pharmacy. 33
(3)(b1) "Certified pharmacy technician" means a Certified pharmacy technician. – A 34
pharmacy technician who (i) has passed a nationally recognized pharmacy 35
technician certification board examination, or its equivalent, that has been 36
approved by th e Board and (ii) obtains and maintains certification from a 37
nationally recognized pharmacy technician certification board that has been 38
approved by the Board. 39
(4)(b2) "CLIA-waived test" means a CLIA-waived test. – A laboratory test authorized 40
by the United States Food and Drug Administration and waived under the 41
Clinical Laboratory Improvement Amendments of 1988. 42
(5)(b3) "Clinical pharmacist practitioner" means a Clinical pharmacist practitioner. – 43
A licensed pharmacist who meets the guidelines and criteria for such title that 44
title, as established by the joint subcommittee of the North Carolina Medical 45
Board and the North Carolina Board of Pharmacy Pharmacy, and who is 46
authorized to perform medical ac ts, tasks, and functions for drug therapy, 47
disease, or population health management agreements with physicians in 48
accordance with the provisions of G.S. 90-18.4. 49
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 31
(6)(c) "Compounding" means taking Compounding. – Taking two or more 1
ingredients and combining them into a dosage form of a drug, exclusive of 2
compounding by a drug manufacturer, distributor, or packer. 3
(7)(d) "Deliver" means the Deliver. – The actual, constructive constructive, or 4
attempted transfer of a drug, a device, or medical equipment from one person 5
to another. 6
(8)(e) "Device" means an Device. – An instrument, apparatus, implement, machine, 7
contrivance, implant, in vitro reagent reagent, or other similar or related article 8
article, including any component part or accessory, whose label or lab eling 9
bears the statement "Caution: federal law requires dispensing by or on the 10
order of a physician." The term does not include: 11
a.(1) Devices used in the normal course of treating patients by health care 12
facilities and agencies licensed under Chapter 131E or Article 2 of 13
Chapter 122C of the General Statutes;Statutes. 14
b.(2) Devices used or provided in the treatment of patients by medical 15
doctors, dentists, physical therapists, occupational therapists, speech 16
pathologists, optometrists, chiropractors, podiatrists, and nurses 17
licensed under Chapter 90 of the General Statutes, provided so long as 18
they do not dispense devices used to administer or dispense drugs. 19
(9)(f) "Dispense" means preparing Dispense. – Preparing and packaging a 20
prescription drug or device in a container and labeling the container with 21
information required by State and federal law. Filling The term includes filling 22
or refilling drug containers with prescription drugs for subsequent use by a 23
patient is "dispensing". Providing patient. The term also includes providing 24
quantities of unit dose prescription drugs for subsequent administration is 25
"dispensing".administration. 26
(10)(g) "Drug" means:Drug. – An article that meets any of the following descriptions: 27
a.(1) Any article recognized Is recognized as a drug in the United States 28
Pharmacopeia, or in any other drug compendium or any supplement 29
thereto, to it, or an article recognized as a drug by the United States 30
Food and Drug Administration; Administration. 31
b.(2) Any article, other Other than food or devices, is intended for use in the 32
diagnosis, cure, mitigation, treatment treatment, or prevention of 33
disease in man or other animals; animals. 34
c.(3) Any article, other Other than food or devices, is intended to affect the 35
structure or any function of the body of man or other animals; 36
andanimals. 37
d.(4) Any article intended Is intended for use as a component of any articles 38
an article specified in clause (1), (2) or (3) of this 39
subsection.sub-subdivisions a., b., or c. of this subdivision. 40
(11)(h) "Emancipated minor" means any person Emancipated minor. – An individual 41
under the age of 18 who is or has been married or married, who is or has been 42
a parent; or whose parents or guardians have surrendered their rights to the 43
minor's services and earnings as well as their right to custody and control of 44
the minor's person; parent, or who has been emancipated by an appropriate a 45
court order. 46
(12)(i) "Health care provider" means any Health care provider. – A licensed health 47
care professional; any an agent or employee of any a health care institution, 48
health care insurer, or health care professional school; or a member of any an 49
allied health profession. 50
General Assembly Of North Carolina Session 2025
Page 32 House Bill 1114-Third Edition
(13)(i1)"Immunizing pharmacist" means a Immunizing pharmacist. – A licensed 1
pharmacist who meets all of the following qualifications: 2
a.(1) Holds a current provider level card iopulmonary resuscitation 3
certification issued by the American Heart Association or the 4
American Red Cross, or an equivalent certification. 5
b.(2) Has successfully completed a certificate program in vaccine 6
administration accredited by the Centers for Disea se Control and 7
Prevention, the Accreditation Council for Pharmacy Education, or a 8
similar health authority or professional body approved by the Board. 9
c.(3) Maintains documentation of three hours of continuing education every 10
two years, designed to maintai n competency in the disease states, 11
drugs, and vaccine administration. 12
d.(4) Has successfully completed training approved by the Division of 13
Public Health's Immunization Branch for participation in the North 14
Carolina Immunization Registry. 15
e.(5) Has notified the North Carolina Board of Pharmacy and the North 16
Carolina Medical Board of immunizing pharmacist status. 17
f.(6) Administers vaccines, long -acting injectable medications, or 18
immunizations in accordance with G.S. 90-18.15B. G.S. 90-85.15B. 19
(14)(j) "Label" means a Label. – A display of written, printed printed, or graphic 20
matter upon on the immediate or outside container of any a drug. 21
(15)(k) "Labeling" means preparing Labeling. – Preparing and affixing a label to any 22
a drug container, exclusive of labeling by a manufacturer, packer packer, or 23
distributor of a nonprescription drug or a commercially packaged prescription 24
drug or device. 25
(16)(l) "License" means a License. – A license to practice pharmacy including a 26
renewal license issued by the Board. 27
(17)(l1)"Medical equipment" means any Medical equipment. – Any of the following 28
items that are intended for use by the consumer in the consumer's place of 29
residence: 30
a.(1) A device. 31
b.(2) Ambulation assistance equipment. 32
c.(3) Mobility equipment. 33
d.(4) Rehabilitation seating. 34
e.(5) Oxygen and respiratory care equipment. 35
f.(6) Rehabilitation environmental control equipment. 36
g.(7) Diagnostic equipment. 37
h.(8) A bed prescribed by a physician to treat or alleviate a medical 38
condition. 39
The term "medical equipment" does not include (i) medical equipment used 40
or dispensed in the normal course of treating patients by or on behalf of home care 41
agencies, hospitals, and nursing facilities licensed under Chapter 131E of the 42
General Statutes or hospitals or agencies licensed under Article 2 of Chapter 122C 43
of the General Statutes; (ii) medical equipment used or dispensed by professionals 44
licensed under Chapters 90 or Chapter 93D of the General Statutes, provided so 45
long as the professional is practicing within the scope of that professional's 46
practice act; (iii) upper and lower extremity prosthetics and related orthotics; or 47
(iv) canes, crutches, walkers, and bathtub grab bars. 48
(18)(l2)"Mobile pharmacy" means a Mobile pharmacy. – A pharmacy that meets all 49
of the following conditions: 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 33
a.(1) Is either self -propelled or moveable by another vehicle that is 1
self-propelled. 2
b.(2) Is operated by a nonprofit corporation. 3
c.(3) Dispenses prescription drugs at no charge or at a reduced charge to 4
persons whose family income is less than two hundred percent (200%) 5
of the federal poverty level and who do not receive reimbursement for 6
the cost of the dispensed prescription drugs from Medicare, Medicaid, 7
a private insurance company, or a governmental unit. 8
(19)(m)"Permit" means a Permit. – A permit to operate a pharmacy, deliver medical 9
equipment, or dispense devices, including a renewal license issued by the 10
Board. 11
(20)(n) "Person" means an Person. – An individual, corporation, partnership, 12
association, unit of government, or other legal entity. 13
(21)(o) "Person in loco parentis" means the Person in loco parentis. – The person who 14
has assumed parental responsibilities for a child. 15
(22)(p) "Pharmacist" means a Pharmacist. – A person licensed under this Article to 16
practice pharmacy. 17
(23)(q) "Pharmacy" means any Pharmacy. – A place where prescription drugs are 18
dispensed or compounded. 19
(24)(q1)"Pharmacy personnel" means pharmacists Pharmacy personnel. – 20
Pharmacists and pharmacy technicians. 21
(25)(q2)"Pharmacy technician" means a Pharmacy technician. – A person who may, 22
under the supervision of a pharmacist, perform technical functions to assist 23
the pharmacist in preparing and dispensing prescription medications. 24
(26)(r) "Practice of pharmacy" is as Practice of pharmacy. – As specified in 25
G.S. 90-85.3A. 26
(27)(s) "Prescription drug" means a Prescription drug. – A drug that under federal law 27
is required, prior to being dispensed or delivered, to be labeled with the 28
following statement: "Caution: Federal law prohibits dispensing without 29
prescription." 30
(28)(t) "Prescription order" means a Prescription order. – A written or verbal order 31
for a prescription drug, prescription device, or pharmaceutical service from a 32
person authorized by law to prescribe such the drug, device, or service. A 33
prescription order The term includes an order entered in a chart or other 34
medical record of a patient. 35
(29)(u) "Unit dose medication system" means a Unit dose medication system. – A 36
system in which each dose of medication is individually packaged in a 37
properly sealed and properly labeled container." 38
SECTION 83.1.(b) G.S. 58-56A-1 reads as rewritten: 39
"§ 58-56A-1. Definitions. 40
The following definitions apply in this Article: 41
(1) 340B contract pharmacy. – Any A pharmacy under contract with a 340B 42
covered entity to dispense drugs on behalf of the 340B covered entity. 43
(2) 340B covered entity. – Any An entity defined in 42 U.S.C. § 256b(a)(4)(A), 44
42 U.S.C. § 256b(a)(4)(C), 42 U.S.C. § 256b(a)(4)(D), 42 U.S.C. § 45
256b(a)(4)(E), 42 U.S.C. § 256b(a)(4)(I), 42 U.S.C. § 256b(a)(4)(J), 42 U.S.C. 46
§ 256b(a)(4)(K), 42 U.S.C. § 256b(a)(4)(N), or 42 U.S.C. § 256b(a)(4)(O). 47
… 48
(5) Health benefit plan. – As defined Defined in G.S. 58-3-167. 49
(5a) High-deductible health plan. – As defined Defined under the Internal Revenue 50
Code. 51
General Assembly Of North Carolina Session 2025
Page 34 House Bill 1114-Third Edition
(6) Insured. – An individual covered by a health benefit plan. 1
(7) Insurer. – As defined Defined in G.S. 58-3-167. 2
… 3
(13) Pharmacy. – As defined in G.S. 90-85.3(q). Defined in G.S. 90-85.3. 4
(14) Pharmacy benefits manager. – An entity who that contracts with a pharmacy 5
on behalf of an insurer or third -party administrator to administer or manage 6
prescription drug benefits to perform any of the following functions: 7
… 8
(16a) Section 223. – Section 223 of the Internal Revenue Code or its equivalent. 9
Code. 10
… 11
(17) Third-party administrator. – As defined Defined in G.S. 58-56-2." 12
SECTION 83.1.(c) G.S. 90-85.44 reads as rewritten: 13
"§ 90-85.44. Drug, Supplies, and Medical Device Repository Program established. 14
(a) Definitions. – As used in this section unless the context clearly requires otherwise, 15
the following definitions apply: 16
(1) Board. – As defined Defined in G.S. 90-85.3. 17
(2) Dispense. – As defined Defined in G.S. 90-85.3. 18
(3) Drug. – As defined Defined in G.S. 90-85.3. 19
… 20
(7) Medical device. – A device as defined in G.S. 90-85.3(e). G.S. 90-85.3. 21
(8) Pharmacist. – As defined Defined in G.S. 90-85.3. 22
(9) Pharmacy. – As defined Defined in G.S. 90-85.3. 23
… 24
(11) Program. – The Drug, Supplies, and Medical Device Repository Program 25
established under this act. section. 26
(12) Supplies. – Supplies associated with or necessary for the administration of a 27
drug. 28
… 29
(c) Requirements of Participating Pharmacists or Free Clinics. – A pharmacist may 30
accept and dispense drugs, supplies, and medical devices donated to the Program to eligible 31
patients if all of the following requirements are met: 32
(1) The drug, supplies, supply, or medical device is in the original, unopened, 33
sealed, and tamper-evident packaging or, if packaged in single-unit doses, the 34
single-unit dose packaging is unopened. 35
(2) The pharmacist has determined that the drug, supplies, supply, or medical 36
device is safe for redistribution. 37
(3) The drug has not reached its expiration date. 38
(4) The drug, supplies, supply, or medical device is not adulterated or misbranded, 39
as determined by a pharmacist. 40
(5) The drug, supplies, supply, or medical device is prescribed by a practitioner 41
for use by an eligible patient and is dispensed by a pharmacist. 42
… 43
(h) Immunity. – The following limited immunities apply under the Program: 44
(1) Unless a pharmaceutical manufacturer exercises bad faith, the manufacturer 45
is not subject to criminal or civil liability for injury, death, or loss to a person 46
or to property for matters related to the donation, acceptance, or dispensing of 47
a drug or medical device manufactured by the manufacturer that is donated by 48
any a person under the Program, including liability for failure to transfer or 49
communicate product or consumer information or the expiration date of the 50
donated drug or medical device. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 35
(2) The following individuals or entities are immune from civil liability for an act 1
or omission that causes injury to or the death of an individual to whom the 2
drug, supplies, supply, or medical device is dispensed under the Program, and 3
no disciplinary action may be taken against a pharmacist or practitioner as 4
long as the drug, supplies, supply, or medical device is donated in accordance 5
with the requirements of this section: 6
…." 7
SECTION 83.1.(d) G.S. 106-140.1 reads as rewritten: 8
"§ 106-140.1. Registration of producers of prescription drugs and devices. 9
(a) On or before December 31 of each year, every person doing business in North 10
Carolina and operating as a wholesaler, manufacturer, outsourcing facility, or repackager, as 11
those terms are defined in subsection (j) of this section, shall register with the Commissioner his 12
name and business location(s) in North Carolina. If said person has no business locations in 13
North Carolina, he shall register his name and location of his corporate offices. A person engaged 14
in business as a wholesale distributor, manufacturer, outsourcing facility, or repackager shall 15
register with the Commissioner immediately upon engaging in business in this State and annually 16
by the end of each calendar year. The registration shall include the person's name, each business 17
location in this State, and, if the person has no business location in this State, the location of the 18
person's principal place of business. As used in this sub section, "name" means the name of the 19
business establishment if the person is a business establishment. 20
(b) Every person, upon first operating as a wholesaler, manufacturer, outsourcing facility, 21
or repackager in North Carolina shall immediately register with the Commissioner his name, 22
place of business, and such establishment. If said person has no business loc ations in North 23
Carolina, he shall register his name and location of his corporate offices. 24
(c) Every person duly registered in accordance with subsections (a) and (b) subsection 25
(a) of this section shall register with the Commissioner any additional estab lishment that he the 26
person owns or operates in the State of North Carolina this State prior to doing business as a 27
manufacturer, wholesaler, wholesale distributor, outsourcing facility, or repackager. 28
(d) The Commissioner may assign a registration number to any a person or any an 29
establishment registered in accordance with this section. 30
(e) The Commissioner shall make a registration filed pursuant to this section available 31
for inspection to any person so re questing any registration filed pursuant to this section. by a 32
person that requests the registration. 33
(f) The following classes of people are exempt from the registration requirements of this 34
section: 35
(1) Pharmacists as defined in G.S. 90-85.3(q) G.S. 90-85.3 holding a valid permit 36
as defined in G.S. 90-85.3(m). pharmacy permit. 37
… 38
(4) Other classes of persons the Commissioner may by rule exempt from the 39
application of this section upon a finding that registration by these classes of 40
persons in accordance with this section is not necessary for the protection of 41
the public health. 42
(5) Wholesale distributors of prescription drugs licensed under G.S. 106-145.3. 43
(g) Every establishment in the State of North Carolina registered with the Commissioner 44
pursuant to this section shall be is subject to inspection pursuant to G.S. 106-140. 45
(h) The Commissioner shall adopt rules to implement the registration requirements of 46
this section. These rules shall provide for an An annual registration fee of one thousand dollars 47
($1,000) for companies operating as applies to manufacturers, outsourcing facilities, or 48
repackagers and repackagers, and an annual registration fee of seven hundred dollars ($700.00) 49
for companies operating as wholesalers. applies to wholesale distributors. The Department of 50
General Assembly Of North Carolina Session 2025
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Agriculture and Consumer Services shall use these funds for the implementation of the North 1
Carolina Food, Drug and Cosmetic Act. this Article. 2
(i) For the purposes of this act, name means the name of the partnership if a partnership 3
and the name of the corporation if a corporation. 4
(j) As used The following definitions apply in this section: 5
(1) The term "manufacturer" means a Manufacturer. – A person who that 6
prepares, derives, or produces a prescription drug. Pharmacists are specifically 7
excluded from this definition if they are acting in the course of their 8
professional practice as defined in Chapter 90 and rules adopted pursuant to 9
it. 10
(1a) The term "outsourcing facility" means a Outsourcing facility. – A 11
manufacturer at a single geographic location or address that is engaged in the 12
compounding of sterile drugs, has elected to register as an outsourcing facility 13
with the Food and Drug Administration, and complies with the requirements 14
as provided in 21 U.S.C. § 353b. Exemptions provided by 21 U.S.C. § 353b(a) 15
with respect to labeling, new drug registration, and distribution supply chain 16
requirements shall also apply to compounded drugs distributed in North 17
Carolina this State by an outsourcing facility. 18
(2) The term "prescription drug" means a Prescription drug. – A drug that under 19
federal law is required, prior to being dispensed or delivered, to be labeled 20
with the following statement: "Caution: Federal law prohibits dispensing 21
without a prescription.""Rx Only." 22
(3) The term "repackager" means a Repackager. – A person who that repacks, 23
relabels, or manipulates a prescription drug which that was in a unit packaged 24
and sealed by a manufacturer. Pharmacists are specifically exempted from this 25
definition if they are acting in the course of their professional practice as 26
defined in Chapter 90 and rules adopted pursuant to it. 27
(4) The term "wholesaler" means a Wholesale distributor. – A person acting as a 28
jobber, wholesale merchant, salvager, or broker, or agent the reof, who the 29
person's agent, that sells or distributes for resale a prescription drug. 30
Pharmacists are specifically exempted from this definition if they are acting 31
in the course of their professional practice as defined in Chapter 90 and rules 32
adopted pursuant to it." 33
SECTION 83.2. G.S. 95-4 reads as rewritten: 34
"§ 95-4. Authority, powers Powers and duties of Commissioner. 35
The Commissioner of Labor shall be is the executive and administrative head of the 36
Department of Labor. In addition to the other powers and duties conferred upon the 37
Commissioner of Labor by this Article, Chapter, the said Commissioner shall have authority and 38
be charged with the duty: has the following powers and duties: 39
(1) To appoint and assign to duty such clerks, stenographers, and other employees 40
in the various divisions of the Department, as may be necessary to perform 41
the work of the Department, and to fix their compensation, subject to the 42
approval of the Department of Administration. The Commissioner of Labor 43
may assign or transfer stenographers, or clerks, from one division to another, 44
or inspectors from one division to another, or combine the clerical force of 45
two or more divisions, or require from one division assistance in the work of 46
another division, as he may consider necessary and advisable: Provided, 47
however, the provisions of this subdivision shall not apply to the Industrial 48
Commission, or the Division of Workers' Compensation. compensation. 49
(2) To make such rules and regulations with reference to the work of the 50
Department and of the several divisions thereof as shall be necessary to 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 37
properly carry out the duties imposed upon the said Commissioner and the 1
work of the Department. of the Department. 2
… 3
(4) To secure the enforcement of enforce all laws relating to the inspection of 4
factories, mercantile establishments, mills, workshops, public eating places, 5
and commercial institutions in the State. To aid him in the work, he shall have 6
power to State and to prosecute any violation of these laws. The 7
Commissioner may appoint factory inspectors and other assistants. The duties 8
of such inspectors and other assistants shall be prescribed by the 9
Commissioner of Labor. employees to assist with enforcing these laws. 10
(5) To visit and inspect, personally or through his assistants and factory 11
inspectors, inspectors or other employees, at reasonable hours, as often as 12
practicable, the factories, mercantile establishments, mills, workshops, public 13
eating places, and commercial institutions in the State, where goods, wares, 14
or merchandise are manufactured, purchased, or sold, at wholesale or retail. 15
any entity listed in subdivision (4) of this section. 16
(6) To enforce the provisions of this section and to prosecute refer to the 17
appropriate district attorney for prosecution all criminal violations of laws 18
relating to the inspection of factories, mercantile estab lishments, mills, 19
workshops, public eating houses, and commercial institutions in this State 20
before any court of competent jurisdiction. It shall be the duty of the district 21
attorney of the proper district upon the request of the Commissioner of Labor, 22
or any of his assistants or deputies, to prosecute any violation of a law, which 23
it is made the duty of the said Commissioner of Labor to enforce. any entity 24
listed in subdivision (4) of this section. 25
(7) Notwithstanding G.S. 143C-6-9 and G.S. 114-2.3, to retain, designate, 26
employ, expend available funds for, and otherwise engage private counsel to 27
provide litigation services and represent the Department in any matter the 28
Commissioner deems necessary to represent the interests of the D epartment 29
and any of its component units, bureaus, officers, or employees. For the 30
purposes of In this subdivision, the terms "private counsel" and "litigation 31
services" are as defined in G.S. 147-17." 32
SECTION 84. G.S. 95-174 reads as rewritten: 33
"§ 95-174. Definitions. 34
The following definitions apply in this Article: 35
(a)(1) "Chemical manufacturer" means a Chemical manufacturer. – A 36
manufacturing facility classified in North American Industry Classification 37
System (NAICS) Codes 31 through 33 where chemicals are produced for use 38
or distribution in North Carolina. 39
(b)(2) "Chemical name" means the Chemical name. – The scientific designation of 40
a chemical in accordance with the nomenclature system developed by the 41
International Union of Pure and Applied Chemistry (IUPAC), (IUPAC) or the 42
Chemical Abstracts Service (CAS) rules of nomenclature nomenclature, or a 43
name which will that clearly identify identifies the chemical for the purpose 44
of conducting a hazard evaluation. 45
(c)(3) "Common name" means any Common name. – A designation or identification 46
identification, such as a code name, code number, trade name, brand name 47
name, or generic name name, used to identify a chemical other than by its 48
chemical name. 49
General Assembly Of North Carolina Session 2025
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(d)(4) "Distributor" means any Distributor. – A business, other than a chemical 1
manufacturer or importer, which that supplies hazardous chemicals to other 2
distributors or to purchasers. 3
(e)(5) "Employee" means any Employee. – A person who is employed by an 4
employer under normal operating conditions. 5
(f)(6) "Employer" means a Employer. – A person engaged in business who that has 6
employees, including the State and its political subdivisions but excluding an 7
individual whose only employees are domestic workers or casual laborers who 8
are hired to work at the individual's residence. 9
(g)(7) "Facility" means one Facility. – One or more establishments, factories, or 10
buildings located at one contiguous site in North Carolina. 11
(h)(8) "Fire Chief" means Fire Fire Chief. – Fire Chief or Fire Marshall, or Marshal, 12
or, in the absence of a Fire Chief or Fire Marshal, the Emergency Response 13
Coordinator in the absence of a Fire Chief or Fire Marshall for the appropriate 14
local fire department.of the Fire Department. 15
(i) Repealed by Session Laws 1987, c. 489, s. 1. 16
(j)(9) "Fire Department" means the Fire Department. – The fire department having 17
jurisdiction over the facility. 18
(k)(10) "Hazardous chemical" means any Hazardous chemical. – An element, 19
chemical compound compound, or mixture of elements and/or compounds 20
which elements, chemical compounds, or both that is a physical hazard or 21
health hazard as defined in subsection (c) of the OSHNC Standard or a 22
hazardous substance as defined in standards rules adopted by the Occupational 23
Safety and Health Division of the North Carolina Department of Labor in Title 24
13, Chapter 7 Chapter 7 of Title 13 of the North Carolina Administrative Code 25
(13 NCAC 7). 26
(l)(11) "Hazardous Substance List" means the Hazardous Substance List. – The list 27
required by G.S. 95-191. 28
(m)(12) "Hazardous substance trade secret" means any Hazardous substance trade 29
secret. – A formula, plan, pattern, device, process, production information, 30
or compilation of information, which is information that satisfies either of 31
the following requirements: 32
a. It meets all of the following criteria: 33
1. Is not patented, which is patented. 34
2. Is known only to the employer, the employer's licensees, the 35
employer's employees, and certain other individuals, and 36
which is individuals. 37
3. Is used or developed for use in the employer's business, and 38
which gives business. 39
4. Gives the employer possessing it the opportunity to obtain a 40
competitive advantage over businesses who that do not possess 41
it, or the secrecy of which it. 42
b. Its secrecy is certified by an appropriate official of the federal 43
government as necessary for national defense purposes. The 44
This term includes the chemical name and Chemical Abstracts Service 45
number of a substance shall be considered a trade secret only if the employer 46
can establish that the identity or composition of the substance cannot be 47
readily ascertained without undue expense by analytical techniques, 48
laboratory procedures, or other lawful means available to a competitor. 49
(n)(13) "Label" means any written, Label. – Written, printed, or graphic material 50
displayed on or affixed to containers of hazardous chemicals. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 39
(o)(14) "Manufacturing facility" means a Manufacturing facility. – A facility 1
classified in NAICS Code Codes 31 through 33 which that manufactures or 2
uses a hazardous chemical or chemicals in North Carolina. 3
(p) Recodified as subsection (t) at the direction of the Revisor of Statutes. 4
(q)(15) "Nonmanufacturing facility" means any Nonmanufacturing facility. – A 5
facility in North Carolina Carolina, other than a facility classified in NAICS 6
Code Codes 31 through 33, the State of North Carolina (and and its local 7
political subdivisions) subdivisions, and volunteer emergency service 8
organizations whose members may might be exposed to chemical hazards 9
during emergency situations. 10
(r)(16) "OSHNC Standard" means the OSHNC Standard. – The current Hazard 11
Communication Standard adopted by the Occupational Saf ety and Health 12
Division of the North Carolina Department of Labor in Title 13, Chapter 7 13
Chapter 7 of Title 13 of the North Carolina Administrative Code (13 NCAC 14
7). 15
(s)(17) "Storage and Container" has the "Storage" and "container." – Have their 16
ordinary meaning however it does but do not include pipes used in the transfer 17
of substances or the fuel tanks of self-propelled internal combustion vehicles. 18
(t)(18) "Safety Data Sheets" or "SDS" means chemical Safety data sheets (SDS). – 19
Chemical information sheets adopted by the Occupational Safety and Health 20
Division of the North Carolina Department of Labor in Title 13, Chapter 7 21
Chapter 7 of Title 13 of the North Carolina Administrative Code (13 NCAC 22
7)." 23
SECTION 85.(a) G.S. 100-5 reads as rewritten: 24
"§ 100-5. Duties as to buildings erected or remodeled by State. 25
Upon request of the Governor and the Board of Public Buildings and Grounds, Department 26
of Administration, the North Carolina Historical Commission shall act in an advisory capacity 27
relative to the artistic character of any building constructed, erected, or remodeled by the State. 28
The term "building" as used in this section shall include includes structures intended for human 29
occupation, occupation and also bridges, arches, gates, walls, or other permanent structures of 30
any character not intended primarily for purposes of decoration or commemoration." 31
SECTION 85.(b) G.S. 143-244 reads as rewritten: 32
"§ 143-244. Location of offices. 33
The Board of Public Buildings and Grounds Department of Administration shall provide the 34
Commission with offices in the city of Raleigh, North Carolina." 35
SECTION 85.(c) Article 29 of Chapter 143 of the General Statutes is repealed. 36
SECTION 85.(d) Article 31C of Chapter 143 of the General Statutes is repealed. 37
SECTION 85.1.(a) G.S. 105-278.6A reads as rewritten: 38
"§ 105-278.6A. Qualified retirement facility. 39
(a) Classification. – Buildings, the land they actually occupy, additional adjacent land 40
reasonably necessary for the convenient use of the buildings, and personal property owned by a 41
qualified retirement facility and used in the operation of that facility are designated a special class 42
of property under Section 2(2) of Article V of the North Carolina Constitution and are excluded 43
from taxation to the extent provided in this section. 44
(b) Definitions. – The following definitions apply in section: 45
… 46
(3) Financial reporting period. – The calendar year or tax year ending prior to 47
before the date the retirement facility applies for an exclusion under this 48
section. 49
… 50
(5) Retirement facility. – A community that meets all of the following conditions: 51
General Assembly Of North Carolina Session 2025
Page 40 House Bill 1114-Third Edition
a. It is licensed under Article 64 64A of Chapter 58 of the General 1
Statutes. 2
b. It is designed for elderly residents. 3
c. It includes independent living units for elderly residents. 4
d. It includes a skilled nursing facility or an adult care facility. 5
… 6
(c) Total Exclusion. – A retirement facility qualifies for total exclusion under this section 7
if it meets all of the following conditions: 8
(1) It is exempt from tax under Article 4 of this Chapter and private shareholders 9
do not benefit from its operations. 10
(2) All of its revenues, less operating and capital expenses, are applied to 11
providing uncompensated goods and services to the elderly and to the local 12
community, community or are applied to an endowment or a reserve for these 13
purposes. 14
(3) Its charter provides that that, in the event of dissolution, its assets will revert 15
or be conveyed to an e ntity that is organized exclusively for charitable, 16
educational, scientific, or religious purposes, purposes and is an exempt 17
organization under section 501(c)(3) of the Code. 18
…." 19
SECTION 85.1.(b) The amendment to G.S. 105-278.6A(b)(5)a. by subsection (a) of 20
this section is retroactively effective December 1, 2025. The remainder of this section is effective 21
when it becomes law. 22
SECTION 86.(a) Subsection (a1) and subdivisions (a2)(1), (a2)(3), (a2)(4), and 23
(a2)(5) of G.S. 116-15 are recodified as subsection (a) and subdivisions (a2)(3), (a2)(4), (a2)(5), 24
and (a2)(1), respectively, of that section. 25
SECTION 86.(b) G.S. 116-15, as amended by subsection (a) of this section, reads 26
as rewritten: 27
"§ 116 -15. Licensing of certain nonpublic post-secondary postsecondary educational 28
institutions. 29
(a) Policy. – The General Assembly of North Carolina in recognition of the importance 30
of higher education and of the particular significance attached to the personal credentials 31
accessible through higher education and in cons onance with statutory law of this State making 32
unlawful any "unfair or deceptive acts or practices in the conduct of any trade or commerce," 33
hereby declares it the policy of this State that all institutions conducting post-secondary 34
postsecondary degree activity in this State that are not subject to Chapter 115 Chapter 115C or 35
115D of the General Statutes, nor some other section of Chapter 116 of the General Statutes shall 36
be Statutes or another section of this Chapter are subject to licensure under this section except as 37
the institution or a particular activity of the institution may be exempt from licensure by one or 38
another provision of otherwise provided by this section. 39
(a1) Recodified. 40
(a2) Definitions. – As used in this section the following terms are defined as set forth in 41
this subsection:The following definitions apply in this section: 42
(1) "Board". – Board. – The Board of Governors of The University of North 43
Carolina. 44
(2) "Institution". – Any Institution. – A sole proprietorship, group, par tnership, 45
venture, society, company, corporation, school, college, or university that 46
engages in, purports to engage in, or intends to engage in any type of 47
post-secondary postsecondary degree activity. 48
(3) "Post-secondary degree". – Postsecondary degree. – A credential conferring 49
on the its recipient thereof the title of "Associate", "Bachelor", "Master", or 50
"Doctor", "Associate," "Bachelor," "Master," or "Doctor," or an equivalent 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 41
title, signifying educational attainment based on (i) study, (ii) a substitute for 1
study in the form of equivalent experience or achievement testing, or (iii) a 2
combination of the foregoing; provided, that "post -secondary degree" shall 3
these. The term does not include any an honorary degree or other so -called 4
"unearned" degree. 5
(4) "Post-secondary degree activity". – Any of the following is "post -secondary 6
degree activity":Postsecondary degree activity. – Any of the following: 7
a. Awarding a post-secondary postsecondary degree. 8
b. Conducting or offering study, experience, or testing for an individual 9
or certifying prior successful completion by an individual of study, 10
experience, or testing, testing under the representation that the 11
individual successfully completing the study, experience, or testing 12
will be awarded therefor, awarded, at least in part, a post-secondary 13
postsecondary degree. 14
(5) "Publicly registered name". – Publicly registered name. – The name of any 15
sole proprietorship, group, partnership, venture, society, company, 16
corporation, school, college, or an institution that appears as is the subject of 17
any Articles of Incorporation, Articles of Amendment, or a Certificate of 18
Authority to Transact Business o r to Conduct Affairs, properly Affairs filed 19
with the Secretary of State of North Carolina and currently in force. 20
(b) Required License. – No institution subject to this section shall undertake 21
post-secondary postsecondary degree activity in this State, whether through itself or through an 22
agent, unless the institution is licensed as provided in under this section to conduct 23
post-secondary postsecondary degree activity or is exempt from licensure under this section as 24
hereinafter provided.section. 25
(c) Exemption from Licensure. – Any Grandfather Exemption. – An institution that has 26
been continuously conducting post-secondary postsecondary degree activity in this State under 27
the same publicly registered name or series of publicly registered names since July 1, 1972, shall 28
be is exempt from the provisions for licensure under this section upon presentation to the Board 29
of information acceptable to the Board to substantiate such post-secondary the postsecondary 30
degree activity and public registration of the institution's names. Any An institution that, pursuant 31
to a predecessor statute to this subsection, had presented to the Board proof of activity and 32
registration such and that the Board granted exemption from licensure, shall continue to enjoy 33
such exemption licensure continues to be exempt without further action by the Board. 34
(d) Exemption of Institutions Relative to Religious Education. – Notwithstanding any 35
other provision of this section, no institution shall be subject to Religious Education Exemption. 36
– An institution is exempt from licensure under this section with respect to post-secondary 37
postsecondary degree activity based upon a program of study, equivalent experience, or 38
achievement testing the institutionally planned objective of which that is designed for the 39
attainment of a d egree in theology, divinity, or religious education or in any other program of 40
study, equivalent experience, or achievement testing that is designed by the institution primarily 41
for career preparation in a religious vocation. This exemption shall be extended to any institution 42
with respect applies to each program of study, equivalent experience, and or achievement test 43
that the institution demonstrates testing that, as demonstrated by the institution to the satisfaction 44
of the Board should be exempt Board, meets the requirements for exemption under this 45
subsection. 46
(e) Post-secondary Degree Activity within the Armed Forces of the United States. – To 47
the extent that an Military Exemption. – An institution that undertakes post-secondary 48
postsecondary degree activity on the premises of military posts or reservations located in this 49
State for military personnel stationed on active duty there, or their dependents, the institution 50
shall be is exempt from the licensure requirements of this section. 51
General Assembly Of North Carolina Session 2025
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(f) Standards for Licensure. – To receive a license to conduct post-secondary 1
postsecondary degree activity in this State, an institution shall satisfy the Board that the 2
institution has met meets all of the following standards: 3
(1) That the The institution is State-chartered. If State-chartered or, if chartered 4
by a state or sovereignty other than North Carolina, the institution shall also 5
obtain has a Certificate of Authority to Transact Business or to Conduct 6
Affairs in North Carolina issued by the Secretary of State of North 7
Carolina;Carolina. 8
(2) That the The institution has been conducting post-secondary postsecondary 9
degree activity in a state or sovereignty other than North Carolina during 10
consecutive, regular-term, academic semesters, exclusive of summer sessions, 11
for at least the two years immediately prior to submitting an application for 12
licensure under this section, or has been conducting wi th enrolled students, 13
for a like period in this State or some other state or sovereignty, 14
post-secondary postsecondary educational activity not related to a 15
post-secondary degree; provided, that an postsecondary degree. An institution 16
that qualifies for an interim permit under rules adopted under subsection (i) of 17
this section may be temporarily relieved of this standard under the conditions 18
set forth in subsection (i), below;this standard. 19
(3) That the The substance of each course or program of study, equivalent 20
experience, or achievement test is such as may testing reasonably and 21
adequately achieve achieves the stated objective for which the study, 22
experience, or test testing is offered or is to be certifie d as successfully 23
completed;completed. 24
(4) That the The institution has adequate space, equipment, instructional 25
materials, and personnel available to it to provide education of good 26
quality;quality. 27
(5) That the The education, experience, and other qualifications of directors, 28
administrators, supervisors, and instructors are such as may reasonably insure 29
ensure that the students will receive, or will be reliably certified to have 30
received, education consistent with th e stated objectives of any course or 31
program of study, equivalent experience, or achievement test testing offered 32
by the institution;institution. 33
(6) That the The institution provides students and other interested persons with a 34
catalog or brochure contain ing information describing the substance, 35
objectives, and duration of the study, equivalent experience, and or 36
achievement testing offered, a schedule of related tuition, fees, and all other 37
necessary charges and expenses, cancellation and refund policies, and such 38
other material facts concerning the institution and the program or course of 39
study, equivalent experience, and or achievement testing as that are 40
reasonably likely to affect the decision of the student to enroll therein, enroll, 41
together with any other disclosures that may be specified by the Board; and 42
that such Board. This information is shall be provided to prospective students 43
prior to enrollment;enrollment. 44
(7) That upon Upon satisfactory completion of study, equivalent experience, or 45
achievement test, testing, the student is given appropriate educational 46
credentials by the institution, indicating that the relevant study, equivalent 47
experience, or achievement testing has been s atisfactorily completed by the 48
students;student. 49
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 43
(8) That records Records are maintained by the institution adequate to reflect the 1
application of relevant performance or grading standards to each enrolled 2
student;student. 3
(9) That the The institution is m aintained and operated in compliance with all 4
pertinent ordinances and laws, including rules and regulations adopted 5
pursuant thereto, laws relative to the safety and health of all persons upon the 6
premises of the institution;institution. 7
(10) That the The institution is financially sound and capable of fulfilling its 8
commitments to students and that the institution has provided a bond as 9
provided in subsection (f1) of this section;section. 10
(11) That the The institution, through itself or those with whom which it may 11
contract, does not engage in promotion, sales, collection, credit, or other 12
practices of any type which that are false, deceptive, misleading, or 13
unfair;unfair. 14
(12) That the The chief executive officer, trustees, directors, owners, 15
administrators, supervisors, staff, instructors, and employees of the institution 16
have no record of unprofessional conduct or incompetence that would 17
reasonably call into question the overall quality of the institution;institution. 18
(13) That the The student housing owned, maintained, or approved by the 19
institution, if any, is appropriate, safe, and adequate;adequate. 20
(14) That the The institution has a fair and equitable cancellation and refund policy; 21
andpolicy. 22
(15) That no No person or agency with whom which the institution contracts has a 23
record of unprofessional conduct or incompetence that would reasonably call 24
into question the overall quality of the institution. 25
(f1) Guaranty Bond. – 26
(1) A guaranty bond is required for each institution that is licensed. The Board 27
may revoke the license of an institution that fails to maintain a bond pursuant 28
to this subsection. 29
If the institution has provided a bond pursuant to G.S. 115D-95, the Board 30
may waive the bond requirement under this subsection. The Board may shall 31
not waive the bond requirement under this subsection if the applicant has 32
provided an alternative to a guaranty bond under G.S. 115D-95(c). 33
(2) When an application is made for a license or license renewal, the applicant 34
shall file a guaranty bond with the clerk of the superior court of the county in 35
which the institution will be located. The bond shall be in favor of the students. 36
The bond shall be executed by the applicant as principal and by a bonding 37
company authorized to do business in this State. The bond shall be conditioned 38
to provide indemnification to any student, or his the student 's parent or 39
guardian, who has suffered a loss of tuition or any fees by reason of the failure 40
of the institution to offer or complete student instruction, academic services, 41
or other goods and services related to course enrollment for any reason, 42
including the suspension, revocation, or nonrenewal of an institution's license, 43
bankruptcy, foreclosure, or the institution ceasing to operate. 44
The bond shall be in an amount determined by the Board to be adequate 45
to provide indemnification to any student, or his the student 's parent or 46
guardian, under the terms of the bond. The bond amount for an institution shall 47
be at least equal to the maximum amount of prepaid tuition held at any time 48
during the last fiscal year by the institution. The bond amount shall also be at 49
least ten thousand dollars ($10,000). 50
General Assembly Of North Carolina Session 2025
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Each application for a license shall include a letter signed by an authorized 1
representative of the institution showing in detail the calculations made and 2
the method of computing the amount of the bond, bond pursuant to this 3
subdivision and the rules of the Board. If the Board finds that the calculations 4
made and the method of computing the amount of the bond are inaccurate or 5
that the amount of the bond is otherwise inadequate to provide indemnification 6
under the terms of the bond, the Board may require the applicant to provide 7
an additional bond. 8
The bond shall remain in force and effect until cancelled by the guarantor. 9
The guarantor may cancel the bond upon 30 days days' notice to the Board. 10
Cancellation of the bond shall does not affect any a liability incurred or 11
accrued prior to the termination of the notice period. 12
(g) Review of Licensure. – Any institution that acquires licensure under this section shall 13
be subject to review by the Board to determine that the institution continues to meet the standard 14
for licensure of subsection (f), above. Review of such licensure by the Board shall always occur 15
if the institution is legally reconstituted, or if ownership of a preponderance of all the assets of 16
the institution changes pursuant to a single transaction or agreement or a recognizable sequence 17
of transactions or agreements, or if two years has elapsed since licensure of the institution was 18
granted by the Board. 19
Notwithstanding the foregoing paragraph, if an institution has continued to be licensed under 20
this section and continuously conducted post-secondary degree activity in this State under the 21
same publicly registered name or series of publicly registered names since July 1, 1979, or for 22
six consecutive years, whichever is the shorter period, and is accredited by an accrediting 23
commission recognized by the Council on Post-Secondary Accreditation, such institution shall 24
be subject to licensure review by the Board every six years to determine that the institution 25
continues to meet the standard for licensure of subsection (f), above. However, should such an 26
institution cease to maintain the specified accreditation, become legally reconstituted, have 27
ownership of a preponderance of all its assets transferred pursuant to a single transaction or 28
agreement or a recognizable sequence of transactions or agreements to a person or organization 29
not licensed under this section, or fail to meet the standard for licensure of subsection (f), above, 30
then the institution shall be subject to licensure review by the Board every two years until a 31
license to conduct post-secondary degree activity and the requisite accreditation have been 32
restored for six consecutive years. The Board shall review an institution licensed under this 33
section to determine if the institution continues to meet the standards in subsection (f) of this 34
section when any of the following occurs: 35
(1) Two years have elapsed since licensure of the institution, unless subdivision 36
(2) of this subsection applies. 37
(2) Six years have elapsed since licensure of the institution and, throughout this 38
period, the institution has maintained its license, has continuously conducted 39
postsecondary degree activity in this State under the same publicly registered 40
name or series of publicly registered names, and has been accredited by an 41
accrediting commission recognized by the Counc il for Higher Education 42
Accreditation. An institution reviewed under this subdivision that 43
subsequently loses its accreditation or experiences a change that requires a 44
review under subdivision (3) or (4) of this subsection becomes subject to 45
review on a tw o-year basis until the institution again qualifies for a six -year 46
review under this subdivision. 47
(3) The institution is legally reconstituted. 48
(4) Ownership of a preponderance of the assets of the institution changes pursuant 49
to a single transaction or agreement or a recognizable sequence of transactions 50
or agreements. 51
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House Bill 1114-Third Edition Page 45
(h) Denial and Revocation of Licensure. – Any An institution seeking licensure under the 1
provisions of this section that fails to meet the licensure requirements of this section shall be 2
denied a license to conduct post-secondary postsecondary degree activity in this State. Any A 3
licensed institution holding a license to conduct post-secondary degree activity in this State that 4
is found by the Board of Governors not to finds does not satisfy the licensure requirements of 5
this section shall have its license to conduct post-secondary degree activity in this State revoked 6
by the Board; provided, that the Board of Governors may continue in force the license of an 7
institution deemed by the Board Board, unless the Board considers the institution to be making 8
substantial and expeditious progress toward remedying its licensure deficiencies.deficiencies and 9
allows the license to remain in effect. 10
(i) Regulatory Authority in the Board. – Authority. – The Board shall have authority to 11
establish such rules, regulations, and procedures as it may deem necessary or appropriate may 12
adopt rules to effect the provisions of this section. Such rules, regulations, and procedures may 13
include provision for the granting of These rules may grant an interim permit to conduct 14
post-secondary postsecondary degree activity in this State to an institution seeking licensure but 15
lacking the two-year period of activity prescribed by subsection (f)(2), above.subdivision (f)(2) 16
of this section. 17
(j) Enforcement Authority in the Attorney General. – Attorney General Notification. – 18
The Board shall call to the attention of notify the Attorney General, for such action as he may 19
deem appropriate, any institution failing General if an institution fails to comply with the 20
requirements of this section. 21
(k) Severability. – The provisions of this section are severable, and, if any provision of 22
this section is declared unconstitutional or invalid by the courts, such the declaration shall does 23
not affect the validity of the section as a whole or any provision other than the provision so 24
declared to be unconstitutional or invalid." 25
SECTION 86.(c) G.S. 116-209.16A reads as rewritten: 26
"§ 116-209.16A. Information on career and major options. 27
(a) Know Before You Go. – The Authority shall provide information on a website, under 28
a section entitled "Know Before You Go," to students and parents to assist in selection of major 29
and career options as provided in this section. The information shall be updated annually. 30
(b) Career Options. – The Authority shall, as data is available, provide information on 31
projected employment needs in the labor economy and associated salary ranges for those areas 32
of employment, college majors which that may fulfill those needs, and institutions of higher 33
education that may provide those majors. The Authority may use existing sources of public 34
information, such as the employment projections produced by the federal Department of Labor, 35
Bureau of Labor Statistics, to develop this information. 36
… 37
(d) Public and Private Institutions of Higher Education. – For the purposes of this section, 38
"public institutions of higher education" shall include the constituent institutions of The 39
University of North Carolina and the community colleges under the jurisdiction of the State 40
Board of Community Colleges Colleges, and "private institutions of higher education" shall 41
include postsecondary institutions that award postsecondary degrees, as defined in 42
G.S. 116-15(a2)(1).G.S. 116-15(a2)." 43
SECTION 86.(d) Subdivisions (1) and (3) of G.S. 143-552 are recodified as 44
subdivisions (3) and (5), respectively, of that section. 45
SECTION 86.(e) G.S. 143-552, as amended by subsection (d) of this section, reads 46
as rewritten: 47
"§ 143-552. Definitions. 48
As used in this Part:The following definitions apply in this Article: 49
(1) Community college. – Defined in G.S. 115D-2. 50
General Assembly Of North Carolina Session 2025
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(2) "Employee" means any person Employee. – An individual who is appointed 1
to or hired and employed by an employing entity under this Part and whose 2
salary is paid paid, in whole or in part part, by State funds. 3
(3) "Employing entity" means and includes: Employing entity. – Any of the 4
following: 5
a. Any A State entity enumerated in G.S. 143B -3 of the Executive 6
Organization Act of 1973;entity. 7
b. Any city or county A local board of education under Chapter 115 of 8
the General Statutes; oreducation. 9
c. Any The board of trustees of a community college under Chapter 115D 10
of the General Statutes.college. 11
(4) Local board of education. – Defined in G.S. 115C-5(5). 12
(5) "Net disposable earnings" means the Net disposable earnings. – The salary 13
paid to an employee by an employing entity after deduction of withholdings 14
for taxes, social security, State retirement retirement, or any other sum 15
obligated by law to be withheld. 16
(6) State entity. – An entity described in G.S. 143B-3." 17
SECTION 86.(f) G.S. 143-553 reads as rewritten: 18
"§ 143-553. Conditional continuing employment; notification among employing entities; 19
repayment election. 20
(a) All persons employed by an employing entity as defined by this Part who owe An 21
employee who owes money to the State and whose salaries are paid in whole or in part by State 22
funds must make full restitution of the amount owed as a condition of continuing employment; 23
provided, however, that no employing entity shall terminate for failure to make full restitution 24
the employment of such an employee who owes employment unless the money is owed to the 25
University of North Carolina Health Care System or to East C arolina University's Division of 26
Health Sciences for health care services. 27
(b) Whenever a representative of any an employing entity as defined by this Part has 28
knowledge that an employee owes money to the State and is delinquent in satisfying this 29
obligation, the representative shall notify the employing entity. Upon receipt of notification an 30
employing entity shall terminate the employee's employment if after written notice of his right 31
to do so he if, after written notice, the employee does not repay the money within a reasonable 32
period of time; provided, however, that where time. If, however, there is a genuine dispute as to 33
whether the money is owed or how much is owed, or there is an unresolved issue concerning 34
insurance coverage, the employee shall not be dismissed as long as he the employee is pursuing 35
administrative or judicial remedies to have the dispute or the issue resolved. 36
(c) An employee of any employing entity who has elected in writing to allow not less 37
than ten percent (10%) of his the employee's net disposable earnings to be periodically withheld 38
for application towards a debt to the State shall be deemed is considered to be repaying the money 39
within a reasonable period of time and shall not have his employment be terminated so long as 40
he is consenting to repayment according to such terms. Furthermore, the employing entity shall 41
allow the employee who for from employment as long as either of the following applies: 42
(1) The employee is making payments in accordance with the election. 43
(2) For some extraordinary reason reason, the employee is incapable of repaying 44
the obligation to the State according to the preceding terms to continue 45
employment as long as he of the election but is attempting repayment in good 46
faith under his the employee's present financial circumstances, but shall 47
promptly terminate the employee's employment if he ceases to make payments 48
or discontinues a good faith effort to make repayment.circumstances." 49
SECTION 86.(g) G.S. 143-554 reads as rewritten: 50
"§ 143-554. Right of employee appeal. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 47
(a) Any An employee or former employee of an employing entity within the meaning of 1
G.S. 143-552(1)a of a State entity whose employment is terminated pursuant to the provisions of 2
this Part shall be given the opportunity to appeal the employment termination to the State Human 3
Resources Commission according to the normal appeal and hearing procedures provided by 4
Chapter 126 and the State Human Resources Commission rules adopted pursuant to the authority 5
of that Chapter; howeve r, nothing herein shall be construed to give the right to termination 6
reviews to anyone exempt from that right under G.S. 126-5.and who is subject to Article 8 of 7
Chapter 126 of the General Statutes may appeal the termination as if it were a final agency 8
decision issued under G.S. 126-34.01. 9
(b) Before the employment of an employee of a local board of education within the 10
meaning of G.S. 143 -552(1)b who is either a superintendent, supervisor, principal, teacher 11
teacher, or other professional person is terminated pursuant to this Part, the local board of 12
education shall comply with the provisions of G.S. 115-142. Part 3 of Article 22 of Chapter 115C 13
of the General Stat utes. If the termination of an employee within the mean ing of G.S. 14
143-552(1)b is other than one whose termination is made of a local board of education is not 15
reviewable pursuant to G.S. 115-142, he Part 3 of Article 22 of Chapter 115C of the General 16
Statutes, the employee shall be given the opportunity for a hearing before the local board of 17
education prior to the termination of his employment. 18
(c) Before the employment of an employee of a board of trustees of a community college 19
within the meaning of G.S. 143 -552(1)c is finally terminated pursuant to this Part, he the 20
employee shall be given the opportunity for a hearing before the board of trustees." 21
SECTION 86.(h) G.S. 143-555 reads as rewritten: 22
"§ 143-555. Definitions. 23
As used in this Part:The following definitions apply in this Part: 24
(1) "Appointing authority" means the Appointing authority. – The Governor, 25
Chief Justice of the Supreme Court, Lieutenant Governor, Speaker of the 26
House, President pro tempore Pro Tempore of the Senate, members of the 27
Council of State, all heads of the executive departments of State government, 28
the Board of Governors of The University of North Carolina, and any other 29
State person or group of State persons authorized by law to appoint to a public 30
office. 31
(2) "Employing entity" means and includes: 32
a. Any State entity enumerated in G.S. 143B -3 of the Executive 33
Organization Act of 1973; 34
b. Any city or county board of education under Chapter 115 of the 35
General Statutes; or 36
c. Any board of trustees of a community college under Chapter 115D of 37
the General Statutes. 38
(3) "Public office" means appointive Public office. – Appointive membership on 39
any a State Commission, council, committee, board, including occupational 40
licensing boards as defined in G.S. 93B-1, board of trustees, including boards 41
of constituent institutions of The University of North Carolina and boards of 42
community colleges under Chapter 115D of the General Statutes, and any 43
other State agency created by law; provided that "public office" law. The term 44
does not include an office for which a regular salary is paid to the holder as 45
an employee of the State or of one of its departments, agencies, or institutions. 46
(4) "Public official" means any person who is a member of any public office as 47
defined by this Part.Public official. – A person who holds a public office." 48
SECTION 86.(i) G.S. 143-556 reads as rewritten: 49
"§ 143-556. Notification of the appointing authority; investigation. 50
General Assembly Of North Carolina Session 2025
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Whenever a representative of an employing entity as defined by this Part has knowledge that 1
a public official owes money to the State and is delinquent in satisfying this obligation, the 2
representative shall notify the appointing authority who appointed the public official in question. 3
Upon receipt of no tification the appointing authority shall investigate the circumstances of the 4
claim of money owed to the State for purposes of determining if a debt is owed and its amount." 5
SECTION 86.(j) G.S. 143-558 is repealed. 6
SECTION 86.(k) G.S. 143-559 reads as rewritten: 7
"§ 143-559. Notification to the Legislative Ethics Committee; investigation. 8
Whenever a representative of any an employing entity as defined by this Part has knowledge 9
that a legislator owes money to the State and is delinquent in satisfying th is obligation, this 10
information shall be reported to the Legislative Ethics Committee established pursuant to Chapter 11
120, Article 14 of Chapter 120 of the General Statutes for disposition." 12
SECTION 86.(l) G.S. 153A-234 reads as rewritten: 13
"§ 153A-234. Fire marshal. 14
(a) A county may appoint a fire marshal and employ persons as his the fire marshal 's 15
assistants. A county may also impose any duty that might be imposed on a fire marshal on any 16
other officer or employee of the county. The board of commission ers shall set the duties of the 17
fire marshal, which marshal. These duties may include but are not limited to:to the following: 18
… 19
(5) Making fire prevention inspections, including the periodic inspections and 20
reports of school buildings required by Chapter 115 G.S. 115C-525 and the 21
inspections of child care facilities required by Chapter 110. G.S. 110-91(5). A 22
fire marshal shall not make electrical inspections unless he is qualified to do 23
so under G.S. 153A-351. 24
(b) The fire marshal, or the fire marshal's designee, shall obtain a criminal history record 25
check for an applicant over the age of 18 prior to offering that applicant a paid or volunteer 26
position with the fire department. The criminal history record check sha ll be conducted and 27
evaluated as provided in G.S. 143B-1209.23 [G.S. 143B-1209.24], G.S. 143B-1209.24, or, if an 28
applicant has been a resident of North Carolina for over five years and reports no charges or 29
convictions on the application, the record check requirement of this section may be conducted 30
through the county clerk of court or a third-party vendor." 31
SECTION 86.(m) G.S. 159-7 reads as rewritten: 32
"§ 159-7. Short title; definitions; local acts superseded. 33
(a) This Article may be cited as "The Local Government Budget and Fiscal Control Act." 34
(b) The words and phrases defined in this section have the meanings indicated when used 35
in this Article, unless the context clearly requires another meaning. The following definitions 36
apply in this Article: 37
(1) "Budget" is a Budget. – A proposed plan for raising and spending money for 38
specified programs, functions, activities activities, or objectives during a fiscal 39
year. 40
(2) "Budget ordinance" is the Budget ordinance. – An ordinance that levies taxes 41
and appropria tes revenues for specified purposes, functions, activities, or 42
objectives during a fiscal year. 43
(3) "Budget year" is the Budget year. – The fiscal year for which a budget is 44
proposed or a budget ordinance is adopted. 45
(4) "Debt service" is the Debt service. – The sum of money required to pay 46
installments of principal and interest on bonds, notes, and other evidences of 47
debt accruing within a fiscal year, to maintain sinking funds, and to pay 48
installments on debt instruments issued pursuant to Article 7A of this Chapter 49
or Chapter 159G of the General Statutes and accruing within a fiscal year. 50
(5), (6) Repealed by Session Laws 1975, c. 514, s. 2. 51
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House Bill 1114-Third Edition Page 49
(7) "Fiscal year" is the Fiscal year. – The annual period for the compilation of 1
fiscal operations, as prescribed in G.S. 159-8(b). 2
(8) "Fund" is a Fund. – A fiscal and accounting entity with a self-balancing set of 3
accounts recording cash and other resources, together with all related 4
liabilities and residual equities or balances, and changes therein, for the 5
purpose of carrying on specific activities or attaining certain objectives in 6
accordance with special regulations, restrictions, or limitations. 7
(9) Repealed by Session Laws 1975, c. 514, s. 2. 8
(10) "Public authority" is a Public authority. – A municipal corporation (other 9
corporation, other than a unit of local government) government, that is not 10
subject to the State Budget Act (Chapter 143C of the General Statutes) 11
Chapter 143C (State Budget Act) of the General Statutes or a local 12
governmental authority, board, commission, council, or agency that (i) is not 13
a municipal corporation, (ii) is not subject to the State Budget Act, and (iii) 14
operates on an area, regional, or multi -unit basis, and the budgeting and 15
accounting systems of which are not f ully a part of the budgeting and 16
accounting systems of a unit of local government. 17
(11) Repealed by Session Laws 1975, c. 514, s. 2. 18
(12) "Sinking fund" means a Sinking fund. – A fund held for the retirement of term 19
bonds. 20
(13) "Special district" is a Special district. – A unit of local government (other 21
government, other than a county, city, town, or incorporated village) village, 22
that is created for the performance of limited governmental functions or for 23
the operation of a particular utility or public service enterprises. 24
(14) "Taxes" do not Taxes. – Does not include special assessments. 25
(15) "Unit," "unit of local government," or "local government" is a Unit, unit of 26
local government, or local government. – A municipal corporation that is not 27
subject to the State Budget Act (Chapter 143C of the General Statutes) 28
Chapter 143C (State Budget A ct) of the General Statutes and that has the 29
power to levy taxes, including a consolidated city -county, as defined by 30
G.S. 160B-2(1), G.S. 160B-2, and all boards, agenc ies, commissions, 31
authorities, and institutions thereof that are not municipal corporations. 32
(16) "Vending facilities" has the same meaning as it does in G.S. 111-42(d), but 33
Vending facilities. – Defined in G.S. 111-42. The term also means any 34
mechanical or electronic device dispensing items or something of value or 35
entertainment or services for a fee, regardless of the method of activation, and 36
regardless of the means of payment, whether by coin, currency, tokens, or 37
other means. 38
(c) It is the intent of t he General Assembly by enactment of this Article to prescribe for 39
local governments and public authorities a uniform system of budget adoption and administration 40
and fiscal control. To this end and except as otherwise provided in this Article, all provisio ns of 41
general laws, city charters, and local acts in effect as of July 1, 1973 1973, and in conflict with 42
the provisions of Part 1 or Part 3 of this Article are repealed. No general law, city charter, or local 43
act enacted or taking effect after July 1, 1973, may shall be construed to modify, amend, or repeal 44
any portion of Part 1 or Part 3 of this Article unless it expressly so provides by specific reference 45
to the appropriate section. 46
(d) Except as expressly provided herein, otherwise in this Article, this Article does not 47
apply to local school administrative units. The adoption and administration of budgets for the 48
public school system and the management of the fiscal affairs of local school administrative units 49
are governed by the School Budget and Fiscal Control Act, Chapter 115, Article 9. However, this 50
Article 31 (The School Budget and Fiscal Control Act) of Chapter 115C of the General Statutes. 51
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This Article and the School Budget and Fiscal Control Act shall be construed together to the end 1
that the administration of the fiscal affairs of counties and local school administrative units may 2
be most effectively and efficiently administered. 3
…." 4
SECTION 86.5. G.S. 116B-6 reads as rewritten: 5
"§ 116B-6. Administration of Escheat Fund; Escheat Account. 6
(a) Escheat Account. – All funds received by the Treasurer as escheated or abandoned 7
property and which were transferred prior to January 1, 1980, to the trust fund created under 8
G.S. 116-209 shall remain in that trust fund and shall be placed in a special fund, designated the 9
"Escheat Account."The Escheat Account is established as a special fund in the Reserve Trust 10
Fund created under G.S. 116-209. 11
(b) Investment and Transfer of Assets; Income. – The Treasurer is the trustee of the 12
Escheat Account and has full power to invest and reinvest the assets of the Escheat Account and 13
the Escheat Fund. Subject to the Treasurer's withholding an amount necessary to accomplish the 14
Treasurer's duties as set out in this Chapter, including subsections (e), (f) (f), and (g) of this 15
section, the Treasurer shall transfer, at least annually, to the Escheat Account all moneys then in 16
the Treasurer's custody received as, or derived from the disposition of, escheated and abandoned 17
property and shall disburse to the State Education Assistance Authority, as provided in 18
G.S. 116B-7, the income derived from the investment of the Escheat Account and the Escheat 19
Fund. All moneys tran sferred to the Escheat Account under this section shall be accounted for 20
and administered separately from other assets and money in the trust fund Reserve Trust Fund 21
created under G.S. 116-209. 22
(c) Security Interest in Escheat Account. – The State Education Assistance Authority, in 23
addition to other powers vested under G.S. 116-201 to G.S. 116-209.23, inclusive, is authorized 24
to Article 23 of Chapter 116 of the General Statutes , may pledge and or vest a security interest 25
in all or any part of the Escheat Account, by resolution adopted or trust agreement approved by 26
it, as security for or insurance respecting the payment of bonds or other obligations, as defined 27
in G.S. 116-201, including principal, interest interest, and redemption premium, if any; provided, 28
that such premium. A pledge and of or security interest in the Escheat Account shall, in the 29
determination of the Authority, constitute a use of the Escheat Fund to aid worthy and needy 30
students who are residents of this State and are enrolled in public institutions of higher education 31
in this State. The Authority may submit to the Treasurer, from time to time as it deems necessary, 32
Treasurer requisitions for transfers of money in the Escheat Account to pay such bonds and other 33
obligations to the extent necessary under such the pledge of, or security interest in, the Escheat 34
Account, or any part thereof, and the Treasurer is authorized and directed to shall pay such money 35
so requisitioned this money to the Authority for such these purposes. 36
(d) Limitation on Amount of Obligations Secured. – The principal amount of bonds and 37
other obligations insured or secured by the Escheat Account shall not exceed 10 times the amount 38
held for the credit of the Escheat Account, as certified from time to time by the Treasurer, and, 39
in no event, shall exceed three hundred fifty million dollars ($350,000,000). If the amount held 40
for the credit of the Escheat Account, as certified by the Treasurer, shall be is ten percent (10%) 41
or less of the principal amount of the bonds and other obligations so insured or secured, the 42
Authority shall not issue any additional bonds or cause additional obligations to be insured or 43
secured by the Escheat Account until such time as the amount held for the credit of the Escheat 44
Account exceeds ten percent (10%) of the principal amount of the bonds and other obligations 45
secured or insured by the Escheat Account. 46
(e) Use of Excess Funds. – If the amount held for the credit of the Esch eat Account at 47
any time shall exceed the sum of exceeds thirty-five million dollars ($35,000,000), such the 48
excess may be used by the State Education Assistance Authority, with the written approval of 49
the Treasurer, for the purpose of either (i) making stu dent loans or (ii) refunding outstanding 50
bonds or other obligations issued by the Authority and secured by a pledge of, or a security 51
General Assembly Of North Carolina Session 2025
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interest in, the Escheat Account. Any excess so The excess used shall be repaid by the Authority 1
to the Escheat Account in the manner agreed between the Authority and the Treasurer. 2
(f) Refund Reserve. – The Treasurer shall retain in the Escheat Fund, as a permanent 3
refund reserve, either the sum of five million dollars ($5,000,000) or a sum equal to the total 4
value of eschea ted or abandoned property received in the preceding fiscal year, whichever is 5
greater, for the purpose of payment of refunds of escheated or abandoned property to persons 6
entitled thereto.to them. 7
(g) Additional Funds for Refunds. – If at any time the amount of the refund reserve shall 8
be is insufficient to make refunds required to be made, the Treasurer, in addition, Treasurer may 9
use all current receipts derived from escheated or abandoned property, exclusive of earnings and 10
profits on investments of the Escheat Fund and the Escheat Account, for the purpose of making 11
such refunds; and if all such funds shall be inadequate for such refunds, refunds. If these funds 12
are insufficient to make refunds, the Treasurer may apply to the Council of State, pursuant to the 13
State Budget Act, Chapter 143C of the General Statutes, to the limit of funds available from the 14
Contingency and Emergen cy Fund, for a loan, without interest, to supply any deficiencies, in 15
whole or in part. No receipts derived from escheated or abandoned property, other than earnings 16
or profits on investments, shall be paid to the Authority until: (i) all valid claims for refund have 17
been paid; (ii) the reserve for refund shall equal equals five million dollars ($5,000,000); and (iii) 18
the amount loaned from the Contingency and Emergency Fund shall have has been repaid by the 19
Escheat Fund. 20
(h) Expenditures. – The Treasurer may expend the funds in the Escheat Fund, other than 21
funds in the Escheat Account, for the payment of the following: 22
(1) claims Claims for refunds to owners, holders holders, and claimants under 23
G.S. 116B-4; for the payment of G.S. 116B-4. 24
(2) costs Costs of maintenance and upkeep of abandoned or escheated property; 25
property. 26
(3) costs Costs of preparing lists of names of owners of abandoned property to be 27
furnished to clerks of superior court; court. 28
(4) costs Costs of notice and publication; publication. 29
(5) costs Costs of appraisals; appraisals. 30
(6) fees Fees of persons employed pursuant to G.S. 116B-8 G.S. 116B-8. 31
(7) costs Costs involved in determining whether a decedent died without heirs; 32
heirs. 33
(8) fees of persons employed pursuant to G.S. 116B-8 to conduct audits; costs 34
Costs of a title search of real property that has escheated; and escheated. 35
(9) costs Costs of auction or sale under this Chapter. 36
All All other costs, including salaries of personnel, necessary to carry out the duties of the 37
Treasurer under this Chapter, shall be appropriated from the funds of the Escheat Fund pursuant 38
to the provisions of Chapter 143C of the General Statutes. 39
(i) Records. – The State Treasurer must maintain the records it receives received from 40
holders who report unclaimed property in accordance with G.S. 116B-60. To protect the privacy 41
of the owners of unclaimed property, the only information that may be subject to public 42
inspection will be limited to is the information the State Treasurer is required to annually submit 43
to the clerks of superior court in accordance with G.S. 116B-62. 44
(j) Data Sharing. – On or before February 1 of each year, the North Carolina Division of 45
Motor Vehicles, Vehicles of the Department of Transportation, the North Carolina Department 46
of Revenue, and the Division of Employment Security (DES) of the North Carolina Department 47
of Commerce shall provide to the Treasurer, for the Treasurer's confidential use, information to 48
facilitate locating owners of unclaimed property. The Treasurer may shall not use any 49
information obtained pursuant to this section for any purpose except for locating owners of 50
unclaimed property." 51
General Assembly Of North Carolina Session 2025
Page 52 House Bill 1114-Third Edition
SECTION 87. G.S. 120-123 reads as rewritten: 1
"§ 120 -123. Service by members of the General Assembly on certain boards and 2
commissions. 3
No member of the General Assembly may shall serve on any of the following boards or 4
commissions: 5
… 6
(1b) The Rules Review Commission Commission, as established by 7
G.S. 143B-30.1. 8
… 9
(8a) The Genetic Engineering Review Board, as created by G.S. 106-769. 10
… 11
(15) The North Carolina Seafood Marine Industrial Park Authority, as established 12
by G.S. 113-315.25. 13
… 14
(18) The North Carolina Board of Science and Technology, Science, Technology, 15
and Innovation, as established by G.S. 143B-426.30.G.S. 143B-472.80. 16
… 17
(25a) The North Carolina Global TransPark Authority Authority, as established 18
under by G.S. 63A-3. 19
… 20
(28) The Social Services Commission, as established by 21
G.S. 143B-154.G.S. 143B-153. 22
(29) The North Carolina State Commission of Indian Affairs, as established by 23
G.S. 143B-407.G.S. 143B-404. 24
(30) The Wildlife Resources Commission, as established by G.S. 143-240. 25
(31) The North Carolina Council for Women, Women and Youth Involvement, as 26
established by G.S. 143B-393. 27
… 28
(32) The Board of Trustees of the North Carolina Museum of Art, as established 29
by G.S. 140-5.13. 30
(33) The North Carolina Sheriffs' Education and Training Standards Commission, 31
as established by G.S. 17E.G.S. 17E-3. 32
(33a) Repealed by Session Laws 1987, c. 738, s. 41(d). 33
(34) The Board of Trustees of the North Carolina Public Employee Deferred 34
Compensation Plan, as established authorized by G.S. 143B-426.24. 35
(34a) Repealed by Session Laws 1989 (Regular Session, 1990), c. 1024, s. 23(b). 36
(34b) The North Carolina Housing Partnership, as established by G.S. 122E-4. 37
(35) The Board of Trustees of the State Health Plan for Teachers and State 38
Employees, as established by G.S. 135-39.G.S. 135-48.20. 39
(36) Repealed by Session Laws 2004-199, s. 27(b), effective August 17, 2004. 40
(37) The State Board of Chiropractic Examiners Examiners, as established by 41
G.S. 90-139. 42
… 43
(40) The Alarm System Security Systems Licensing Board, as established by 44
G.S. 74D-4. 45
(41) Repealed by Session Laws 1985 (Regular Session, 1986), c. 1011, s. 2.1(c). 46
(42) The Crime Victims Compensation Commission, as established by G.S. 15B-3. 47
(43) The Nor th Carolina Council on Ocean Affairs, as established by 48
G.S. 143B-390.10. 49
(44) The Child Care Commission, as established by G.S. 143B-168.3.Article 7 of 50
Chapter 110 of the General Statutes. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 53
(45) Repealed by Session Laws 1995, c. 517, s. 39, effective October 1, 1995. 1
(45a) Repealed by Session Laws 2011-266, s. 1.38(c), effective July 1, 2015. 2
(46) The Board of Directors of the North Carolina Arboretum, as established in 3
G.S. 116-240.by G.S. 116-243. 4
(47) The North Carolina Agricultural Finance Authorit y, as established by 5
G.S. 122D-4. 6
(48) Reserved for future codification purposes. 7
(49) The Northeastern North Carolina Farmers Market Commission as established 8
by G.S. 106-720. 9
(50) The Southeastern North Carolina Farmers Market Commission as established 10
by G.S. 106-727. 11
(50a) The North Carolina Board of Dietetics/Nutrition Dietetics/Nutrition, as 12
created established by Article 25 of Chapter 90 of the General Statutes. 13
(51) The State Building Commission, as established by G.S. 143-135.25. 14
(52) The Commission on School Facility Needs, established by G.S. 115C-489.4. 15
(53) The North Carolina Marine Fisheries Commission Commission, as 16
established by G.S. 143B-289.51. 17
… 18
(58) The Appraisal Board created in Board, as established by G.S. 93E-1-5. 19
(59) Repealed by Session Laws 1997-286, s. 7. 20
(59a) The North Carolina Principal Fellows and TP3 Commission Commission, as 21
established by G.S. 116-74.41. 22
(60) Repealed by Session Laws 1997-443, s. 8.26b. 23
(61) The State Health Plan Purchasing Alliance Board, as established by 24
G.S. 143-625. 25
… 26
(64a) The North Carolina Educational Capital Facilities Finance Agency, as 27
established by G.S. 115E-4.G.S. 159D-38. 28
… 29
(68) The State Human Resources Commission.Commission, as established by 30
G.S. 126-2. 31
(69) The North Carolina Partnership for Children, Inc., as established pursuant to 32
Part 10B of Article 3 of Chapter 143B of the General Statutes, and all local 33
partnerships established pursuant to this that Part. 34
(70) The Tobacco Trust Fund Commission Commission, as established in by 35
Article 75 of Chapter 143 of the General Statutes. 36
(71) The Health and Wellness Trust Fund Commission established in Article 21 of 37
Chapter 130A of the General Statutes. 38
… 39
(74) The North Carolina Respiratory Care Board Board, as created established by 40
Article 37 38 of Chapter 90 of the General Statutes. 41
(75) The North Carolina Turnpike Authority.Authority, as established by 42
G.S. 136-89.182. 43
… 44
(78) The North Carolina State Lottery Commission, as established in by Chapter 45
18C of the General Statutes. 46
(79) Expired pursuant to 2010 -31, s. 13.5(e), as amended by 2013 -360, s. 14.2, 47
effective July 1, 2013. 48
(80) The Rural Infrastructure Authority, as created established by 49
G.S. 143B-472.128. 50
(81) Repealed by Session Laws 2016-94, s. 7.14(d), effective July 1, 2016. 51
General Assembly Of North Carolina Session 2025
Page 54 House Bill 1114-Third Edition
(82) The Domestic Violence Commission, as established in by Part 10C of Article 1
9 of Chapter 143B of the General Statutes. 2
(83) The Governor's Crime Commission of the Department of Public Safety, as 3
established in by G.S. 143B-1100." 4
SECTION 87.1.(a) G.S. 143-52.1(e) reads as rewritten: 5
"(e) Reporting. – The State Procurement Officer shall provide a monthly report of all 6
contract awards greater than the benchmark established under G.S. 143-53.1 approved through 7
the Division of Purchase and Co ntract to the Cochairs of the Joint Legislative Committee 8
Commission on Governmental Operations. The report shall include the amount of the award, the 9
award recipient, the using agency, and a short description of the nature of the award." 10
SECTION 87.1.(b) G.S. 143-64.17G reads as rewritten: 11
"§ 143 -64.17G. Report on guaranteed energy savings contracts entered into by local 12
governmental units. 13
A local governmental unit that enters into a guaranteed energy savings contract must report 14
the contract and the te rms of the contract to the Local Government Commission and the State 15
Energy Office of the Department of Environmental Quality. The Commission shall compile the 16
information and report it biennially to the Joint Legislative Commission on Governmental 17
Operations. In compiling the information, the Local Government Commission shall include 18
information on the energy savings expected to be realized from a contract and, with the assistance 19
of the Office of State Construction and the State Energy Office, shall evaluate whether expected 20
savings have in fact been realized." 21
SECTION 87.1.(c) G.S. 143-128.3 reads as rewritten: 22
"§ 143-128.3. Minority business participation administration. 23
(a) All public entities subject to G.S. 143-128.2 shall report to the Department o f 24
Administration, Office of Historically Underutilized Business, the following with respect to each 25
building project: 26
(1) The verifiable percentage goal. 27
(2) The type and total dollar value of the project, minority business utilization by 28
minority business category, trade, total dollar value of contracts awarded to 29
each minority group for each project, the applicable good faith effort 30
guidelines or rules used to recruit minority business participation, and good 31
faith documentation accepted by the public entity from the successful bidder. 32
(3) The utilization of minority businesses under the various construction methods 33
under G.S. 143-128(a1). 34
The reports shall be in the format and contain the data prescribed by the Secretary of 35
Administration. The University of North Carolina and the State Board of Community Colleges 36
shall report quarterly and all other public entities shall report semiannually. The Secretary of the 37
Department of Administration shall make reports every six months to the Joint Legislative 38
Committee Commission on Governmental Operations and the Joint Legislative Oversight 39
Committee on General Government on information reported pursuant to this subsection. 40
… 41
(g) Annually, on or before September 1, beginning September 1, 2022, the Secretary shall 42
report findings and recommendations, as required under this section, to the Joint Legislative 43
Committee Commission on Governmental Operatio ns and the Joint Legislative Oversight 44
Committee on General Government and shall post the report findings and recommendations on 45
the Department's website." 46
SECTION 87.1.(d) G.S. 143-129(i) reads as rewritten: 47
"(i) Procedure for Letting of Public Contracts . – The Department of Transportation 48
("DOT") and the Department of Administration ("DOA") shall monitor all projects in those 49
agencies that are let without a performance or payment bond to determine the number of defaults 50
on those projects, the cost to com plete each defaulted project, and each project's contract price. 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 55
Beginning March 1, 2011, and annually thereafter, By March 1 of each year, DOT and DOA 1
shall report this information to the Joint Legislative Committee Commission on Governmental 2
Operations." 3
SECTION 87.1.(e) G.S. 143B-10(b) reads as rewritten: 4
"(b) Reorganization by Department Heads. – With the approval of the Governor, each 5
head of a principal State department may establish or abolish within his the department any 6
division. Each head of a principal State department may establish or abolish within his the 7
department any other administrative unit to achieve economy and efficiency and in accordance 8
with sound administrative principles, practices, and procedures except as otherwise provided by 9
law. When any such an act of the head of the principal State department affects existing law law, 10
the provisions of Article III, Sec. 5(10) of the Constitution of North Carolina shall be followed. 11
Each Department Head department head shall report all reorganizations under this subsection 12
to the President of the Senate, the Speaker of the House of Representatives, the Chairmen of the 13
Appropriations Committees in the Senate and the House of Representatives, and the Fisc al 14
Research Division of the Legislative Services Office, within 30 days after the reorganization if 15
the General Assembly is in session, otherwise to the Joint Legislative Committee on 16
Governmental Operations and the Fiscal Research Division of the Legislat ive Services Office, 17
within 30 days after the reorganization. in the same manner as a Governor's report required under 18
G.S. 143B-12(b). The report shall include the rationale for the reorganization and any increased 19
efficiency in operations expected from the reorganization." 20
SECTION 87.1.(f) G.S. 143B-12(b) reads as rewritten: 21
"(b) The Governor shall report all transfers of departmental functions under this section to 22
the President of the Senate, the Speaker of the House of Representatives, the Chairmen Chairs of 23
the Appropriations Committees in the Senate and the House of Representatives, and the Fiscal 24
Research Division of the Legislative Services Office, within 30 days after the transfer if the 25
General Assembly is in session, otherwise to the Joint Legi slative Committee Commission on 26
Governmental Operations and the Fiscal Research Division of the Legislative Services Office, 27
within 30 days after the transfer. The report shall include the rationale for the transfer and the 28
increased efficiency in operations expected from the transfer." 29
SECTION 88. Article 17 of Chapter 143 of the General Statutes is repealed. 30
SECTION 89. Article 75 of Chapter 143 of the General Statutes reads as rewritten: 31
"Article 75. 32
"Tobacco Trust Fund 33
"§ 143-715. Policy; purpose. 34
The General Assembly finds:finds the following: 35
… 36
(2) Tobacco producers, tobacco former allotment holders, and persons engaged 37
in tobacco-related businesses are entitled to indemnification for the adverse 38
economic effects in the State resulting from the Master Settlement Agreement, 39
tobacco producers, former allotment holders, and persons engaged in 40
tobacco-related businesses are entitled to compensation for the economic 41
losses resulting from lost quota in this State, and tobacco producers are 42
entitled to compensation for the decline in value of tobacco -related personal 43
property assets and declining market conditions in this State resulting from 44
the Master Settlement Agreement, to the extent that funds are available in the 45
Tobacco Trust Fund to address those purposes. 46
(3) Even in the absence of the Master Settlement Agreement, the tobacco-related 47
segment of the State's economy is experiencing severe economic hardship as 48
it confronts a national decline in the use of, and demand for, tobacco products, 49
which decl ine is expected to continue. At present, the tobacco producers, 50
tobacco former allotment holders, and persons engaged in tobacco -related 51
General Assembly Of North Carolina Session 2025
Page 56 House Bill 1114-Third Edition
businesses are facing an economic crisis that threatens their health and 1
survival. Therefore, in addition to indemnific ation and compensation for 2
losses in this State resulting from the Master Settlement Agreement, the public 3
interest will be served by the funding of qualified agricultural programs that 4
support, foster, encourage, and facilitate a strong agricultural econo my in 5
North Carolina. To the extent that funds are available in the Tobacco Trust 6
Fund, expenditure of those funds to finance qualified agricultural programs is 7
in the public interest. 8
… 9
"§ 143-716. Definitions. 10
The following definitions apply in this Article: 11
(1) Commission. – The Tobacco Trust Fund Commission. 12
(2) Compensatory programs. – Programs developed by the Commission to 13
identify, locate, compensate, and indemnify tobacco producers, former 14
allotment holders, and persons engaged in tobacco -related businesses who 15
have suffered actual economic losses in this State due to lost quota, the decline 16
in value of tobacco -related personal property assets, and declining market 17
conditions resulting from the Master Settlement Agreement or declines in the 18
tobacco-related segment of the State's economy. 19
(3) Fund. – The Tobacco Trust Fund. 20
(4) Master Settlement Agreement. – The settlement agreement between certain 21
tobacco manufacturers and the states, as incorporated in the consent decree 22
entered in the action of State of North Carolina v. Philip Morris, Incorporated, 23
et al., 98 CVS 14377, in the General Court of Justice, Superior Court Division, 24
Wake County, North Carolina. 25
(5) National Tobacco Grower Settlement Trust. – The trust established by tobacco 26
companies to provide payments to tobacco growers and allotment holders in 27
14 states for the purposes of ameliorating potential adverse economic 28
consequences of likely reduction in demand, sales, and prices for tobacco as 29
an agricultural product as a result of the Master Settlement Agreement. 30
(6) Qualified agricultural programs. – Programs developed by the Commission to 31
support and foster the vitality and solvency of the tobacco-related segment of 32
the State's agricultural economy, particularly the segment adversely affe cted 33
by the Master Settlement Agreement, with the objective of alleviating and 34
avoiding unemployment, preserving, preserving and increasing local tax 35
bases, and encouraging the economic stability of participants in the State's 36
agricultural economy. Examples of qualified agricultural programs this term 37
include programs to finance the modernization of farming equipment, 38
programs t o finance the conversion of existing equipment to conform to 39
environmental and other regulatory requirements, and programs to finance the 40
conversion or replacement of equipment in order to cultivate crops that are 41
more profitable than are currently being cultivated.cultivated, and programs 42
to establish farmer s' markets serving communities where tobacco is or was 43
formerly grown. 44
(7) Tobacco product component business. – An individual, partnership, limited 45
liability company, corporation, or other commercial entity that engages in the 46
manufacture of component products for use in the manufacture of tobacco 47
products. 48
(8) Tobacco-related business. – An individual, partnership, limited liability 49
company, corporation, or other commercial entity that provides product s or 50
services used directly in (i) the production of tobacco, tobacco or (ii) support 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 57
of the business of the production or sale of tobacco. The term does not include 1
the manufacturing of tobacco products or the sale of tobacco products at 2
wholesale or retail. 3
(9) Tobacco-related employment. – Employment in a tobacco-related business, or 4
in the manufacturing of tobacco products or the component products used in 5
the manufacture of tobacco products. The term does not include persons 6
employed in the sale of tobacco products at wholesale or retail. 7
"§ 143-717. Commission. 8
(a) Creation. – The Tobacco Trust Fund Commission is created. The Commission shall 9
be administratively located within the Department of Agriculture and Consumer Services but 10
shall exercise its powers independently of the Commissioner of Agriculture and the Department. 11
All administrative expenses of the Commission shall be paid from the Fund. 12
(b) Membership. – The Commission shall consist of 18 members. The Commission shall 13
be appointed as fo llows: six members by the Governor, six members by the President Pro 14
Tempore of the Senate, and six members by the Speaker of the House of Representatives. The 15
members shall be appointed as follows: 16
(1) The Governor shall make the following appointments: 17
a. A flue-cured tobacco farmer.Two tobacco farmers. 18
b. A flue-cured tobacco farmer.Three at-large appointees. 19
c. A person in or displaced from tobacco-related employment. 20
d. An at-large appointee. 21
e. An at-large appointee. 22
f. An at-large appointee. 23
(2) The President Pro Tempore of the Senate shall make the following 24
appointments: 25
a. A flue-cured tobacco farmer.Three tobacco farmers. 26
b. A flue-cured tobacco farmer.Three at-large appointees. 27
c. A burley tobacco farmer. 28
d. An at-large appointee. 29
e. An at-large appointee. 30
f. An at-large appointee. 31
(3) The Speaker of the House of Representatives shall make the following 32
appointments: 33
a. A flue-cured tobacco farmer.Two tobacco farmers. 34
b. A former flue-cured allotment holder who is not also a flue -cured 35
tobacco farmer. 36
c. A burley tobacco farmer.Three at-large appointees. 37
d. An at-large appointee. 38
e. An at-large appointee. 39
f. An at-large appointee. 40
It is the intent of the General Assembly that the appointing authorities, in appointing 41
members, authorities shall appoint members who represent the geographic, political, gender, and 42
racial diversity of the State. It is the intent of the General Assembly that at least one -half of the 43
members of the Commission be tobacco farmers. 44
Except as provided for the initial memb ers under subsection (c) of this section, members 45
Members shall serve four-year terms beginning July 1. No member may shall serve more than 46
two full consecutive terms. Members may continue to serve beyond their terms until their 47
successors are duly appointed, but any a holdover shall not affect the expiration date of the 48
succeeding term. Vacancies shall be filled by the designated appointing authority for the 49
remainder of the unexpired term. A member may be removed from office for cause by the 50
authority that appointed that member. 51
General Assembly Of North Carolina Session 2025
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(c) Initial Membership; Staggering. – To provide for a staggered membership, the 1
members initially appointed to the Commission shall be appointed to staggered terms. Of the 2
initial appointments to the Commission, the members initially appointed pursuant to 3
sub-subdivisions (b)(1)a., (1)b., (2)d., and (3)d. of this section shall serve one-year terms ending 4
on June 30, 2001. The members initially appointed pursuant to sub -subdivisions (b)(2)c., (2)e., 5
(3)a., and (3)e. shall serv e two -year terms ending on June 30, 2002. The members initially 6
appointed pursuant to sub-subdivisions (b)(1)c., (1)d., (1)e., (2)b., and (3)c. of this section shall 7
serve three -year terms ending June 30, 2003. The remaining members initially appointed 8
pursuant to subsection (b) of this section shall serve four-year terms ending June 30, 2004. 9
(d) Officers. – The Commission shall elect from its membership a chair, vice -chair, and 10
other officers as necessary for two -year terms beginning July 1 at the first m eeting of the 11
Commission held on or after July 1 of every even-numbered year. The vice-chair may act for the 12
chair in the absence of the chair chair, as authorized by the Commission. 13
(e) Frequency of Meetings. – The Commission shall meet at least quarterly each year and 14
may hold special meetings at the call of the chair or a majority of members. The Governor shall 15
call the initial meeting of the Commission. 16
(f) Quorum; Majority. – Ten members shall constitute constitute a quorum of the 17
Commission. The Commission may act upon a majority vote of the members of the Commission 18
on matters involving the disbursement of funds and personnel matters properly before the 19
Commission. On all other matters, the Commission may act by a majority vote of the members 20
of the Commission present at a meeting at which a quorum is present. 21
(g) Per Diem and Expenses. – The members of the Commission shall receive per diem 22
and necessary travel and subsistence expenses in accordance with the provisions of G.S. 138-5. 23
Per diem, subsistence, and travel expenses of the members shall be paid from the Fund. 24
(h) Conflict of Interest. – Members of the Commission shall comply with the provisions 25
of G.S. 14-234 prohibiting conflicts of interest, except that G.S. 14-234(a) shall does not apply 26
to an application for or the receipt of a grant or other financial assistance award by a member of 27
the Commission from the Fund created under this Article, or an entity in which a member of the 28
Commission has an interest, if both of the following conditions are met: 29
(1) A The member does not vote on, participate in the deliberation of, or otherwise 30
attempt through his or her official capacity to influence the vote on, on a grant 31
or other financial assistance award by the Commission to the member. 32
(2) The Commissioner of Agriculture determines that any an award to a the 33
member is in accordance with general criteria adopted by the Commission for 34
the distribution of funds from the Fund. 35
(i) Limit on Operating and Administrative Expenses. – All administrative expenses of 36
the Commission shall be paid from the Fund. No more than four hundred eighty -five thousand 37
dollars ($485,000) may shall be used each fiscal year for administrative and operating expenses 38
of the Commission and its staff, provided that staff. However, the Commission may annually 39
adjust the administrative expense cap imposed by this subsection, so long as that any the cap 40
increase does not exceed the amount necessary to provide for statewide salary and benefit 41
adjustments enacted by the General Assembly. 42
… 43
"§ 143-719. Tobacco Trust Fund; creation; investment; priority use.investment. 44
(a) Fund Established. – The Tobacco Trust Fund is established in the Office of the State 45
Treasurer. The Fund shall be used for the purposes provided in this Article. 46
(b) Fund Earnings, Assets, and Balances. – The State Treasurer shall hold the Fund 47
separate and apart from all other moneys, funds, and accounts. The State Treasurer is the 48
custodian of the Fund and shall invest the assets in accordance with G.S. 147-69.2 and 49
G.S. 147-69.3. Investment earnings credited to the Fund become part of the Fund. Any balance 50
remaining in the Fund at the end of any a fiscal year is carried forward in the Fund for the next 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 59
succeeding fiscal year. Payments from the Fund shall be ma de on the warrant of by the chair of 1
the Commission, pursuant to the directives of the Commission. 2
(c) Priority Use of Funds. – As soon as practicable after the beginning of each fiscal year, 3
the State Treasurer must certify in writing to the chair of the Commission the estimated amount 4
of debt service anticipated to be paid during the fiscal year for special indebtedness authorized 5
by the State Capital Facilities Act of 2004, Part 1 of S.L. 2004-179. The chair of the Commission 6
must issue a warrant from the Fund to the General Fund for the lesser of (i) one-half of the amount 7
certified by the Treasurer and (ii) the applicable percentage of the Fund's receipts for the current 8
fiscal year. For fiscal years beginning before July 1, 2007, the applicable percent age is thirty 9
percent (30%). For fiscal years beginning on or after July 1, 2007, the applicable percentage is 10
sixty-five percent (65%). 11
"§ 143-720. Benefits and administration of Fund for compensatory programs. 12
(a) Funds held in the Fund may be expended on compensatory programs as provided in 13
this section. 14
(b) The Fund may provide direct and indirect financial assistance, in accordance with 15
criteria established by the Commission and to the extent allowed by law, to accomplish the 16
following: 17
(1) Indemnify tobacco producers, former allotment holders, and persons engaged 18
in tobacco-related businesses from the adverse economic effects in this State 19
of the Master Settlement Agreement. 20
(2) Compensate tobacco producers, former allotment holders, and persons 21
engaged in tobacco -related businesses for economic loss resulting from lost 22
quota and compensate tobacco producers for the decline in value of 23
tobacco-related personal property assets and declining market conditions 24
resulting from the Master Settlement Agreement in this State. 25
(3) Compensate individuals displaced from tobacco -related employment in this 26
State as a result of the adverse economic effects of the Master Settlement 27
Agreement. 28
(4) Compensate tobacco product component businesses that are (i) adversely 29
impacted by the Master Settlement Agreement and that (ii) need financial 30
assistance to retool machinery or equipment or to retrain workers, in order to 31
convert to the production of new products or nontobacco use of existing 32
products, or to effect other similar changes. 33
(c) Only tobacco producers, persons engaged in tobacco -related businesses, individuals 34
displaced from tobacco-related employment, and tobacco product component businesses in this 35
State, and former holders of North Carolina tobacco allotments allotments, are eligible to apply 36
for and receive assistance pursuant to subsection (b) of this section. Direct payments made to 37
tobacco producers, tobacco allotment holders, and persons engaged in tobacco-related businesses 38
shall be based on losses resulti ng in 1998 and thereafter. Lost quota shall be a primary 39
determinative factor in calculating the amount of compensable economic loss for tobacco 40
producers, former allotment holders, and persons engaged in tobacco-related businesses. 41
(d) The Commission shal l determine the priority of awards among the categories in 42
subsection (b) of this section and within each of those categories. 43
(e) Financial assistance awards shall be for no more than one year at a time. An award 44
may be renewed annually, without limitation. 45
(f) The Commission may require applicants to provide copies of documents necessary to 46
determine compensable economic loss. 47
(g) In no event shall the amount paid to a tobacco producer or allotment holder pursuant 48
to this Article, when combined with the amount received through the National Tobacco Grower 49
Settlement Trust, exceed the compensable economic loss of the producer or allotment holder. 50
General Assembly Of North Carolina Session 2025
Page 60 House Bill 1114-Third Edition
(h) The Commission may consider the criteria used for National Tobacco Grower 1
Settlement Trust payments and may c orrespond with the National Tobacco Grower Settlement 2
Trust certification entity to ensure that tobacco farmers and allotment holders are treated fairly. 3
…." 4
SECTION 90. G.S. 147-64.7 reads as rewritten: 5
"§ 147-64.7. Authority. 6
(a) Access to Persons and Records. – 7
(1) The Auditor and the Auditor's authorized representatives shall have ready 8
access to persons and may examine and copy all books, records, reports, 9
vouchers, correspondence, files, personnel files, investments, and any other 10
documentation of any a State agency. Upon demand of the Auditor, access 11
shall extend to databases, datasets, and digital records necessary for any 12
purpose within the authority of the Auditor, including performing audits of 13
any type, assessing government efficiency, risk ass essment, fraud detection, 14
audit planning, and evidence gathering. The review of State tax returns shall 15
be limited to matters of official business and the Auditor's report shall not 16
violate the confidentiality provisions of tax laws. Notwithstanding 17
confidentiality provisions of tax laws, the Auditor may use and disclose 18
information related to overdue tax debts in support of the Auditor's statutory 19
mission. 20
(2) For audits or investigations of a publicly fund ed entity conducted under 21
G.S. 147-64.6(c)(25), G.S. 147-64.6(c)(24), the Auditor and the Auditor's 22
duly authorized representatives shall have access to persons, records, papers, 23
reports, vouchers, correspondence, books, databases, datasets, digital records, 24
and any other documentation that is in the poss ession of any publicly funded 25
the entity which and that pertain to either of the following: 26
a. Amounts received pursuant to a grant or contract from the federal 27
government, the State, or its political subdivisions. 28
b. Amounts received, disbursed, or otherwise handled on behalf of the 29
federal government, the State, or its political subdivisions. In order to 30
determine that payments to providers of social and medical services 31
are legal and proper, the providers of these services shall give the 32
Auditor, o r the Auditor's authorized representatives, access to the 33
records of recipients that receive these services. 34
(3) The Auditor shall, Auditor, for the purpose of examination and audit have 35
audit, has the authority, and will shall be provided ready access, to examine 36
and inspect all property, equipment, and facilities that are in the possession of 37
any a State agency or any that are in the possession of a publicly funded entity 38
which and were furnished or otherwise provided through grant, contract, or 39
any other type of funding by the State of North Carolina, Carolina or the 40
federal government. Audits and investigations of publicly funded entities are 41
limited as provided in G.S. 147-64.6(c)(25).G.S. 147-64.6(c)(24). 42
(4) All contracts or grants entered into by State agencies or political subdivisions 43
shall include, as a necessary part, a clause providing access as intended by this 44
section. 45
(5) The Auditor and the Auditor's authorized represen tatives may examine all 46
books and accounts of any individual, firm, or corporation only insofar as they 47
relate to transactions with any agency of the State.a State agency. 48
… 49
(b) Experts; Contracted Audits. – 50
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 61
(1) The Auditor may obtain the services of indep endent public accountants, 1
qualified management consultants, or other professional persons and experts 2
as he the Auditor deems necessary or desirable to carry out the duties and 3
functions assigned under the act.this Article. 4
(2) No State agency may shall enter into any a contract for auditing services which 5
that may impact on the State's comprehensive annual financial report without 6
consultation with, and the prior written approval of, the Auditor, except in 7
instances where audits are called for by the Governor under G.S. 143C-2-1 8
and he shall so notify the Auditor. Auditor. The Auditor shall prescribe policy 9
and establish guidelines containing appropriate criteria for selection and use 10
of independent public accountants, qualified management consu ltants, or 11
other professional persons by State agencies and governing bodies to perform 12
all or part of the audit function. 13
(c) Authority to Administer Oaths, Subpoena Witnesses and Records, and Take 14
Depositions. – 15
(1) For the purposes of this Article the A uditor or his authorized representative 16
shall and the Auditor's authorized representatives have the power to subpoena 17
witnesses, to take testimony under oath, to cause the deposition of witnesses 18
(residing within or without the State) to be taken in a mann er prescribed by 19
law, residing inside or outside the State, and to assemble records and 20
documents, by subpoena or otherwise. The subpoena power granted by this 21
section may be exercised only at the specific written direction of the Auditor 22
or his the Auditor's chief deputy. 23
(2) In case any If a person shall refuse refuses to obey a subpoena, subpoena 24
issued under this section, the Auditor shall invoke the aid of any North 25
Carolina court within the jurisdiction of which the investigation is carried on 26
or where such person may be, in requiring the attendance and testimony of 27
witnesses and the production of books, papers, correspondence, memoranda, 28
contracts, agreements, and other records. Such petition a court to require the 29
person to obey the subpoena. The court may issue an order requiring such the 30
person to appear before the Auditor or officers designated by the Auditor, 31
there to produce records, if so ordered, or to give testimony touching about 32
the matter under investigation or in question; and any failure question. Failure 33
to obey such the order of the court may be punished by such court as a 34
contempt thereof.as contempt of court. 35
…." 36
SECTION 90.5.(a) G.S. 164-10 reads as rewritten: 37
"§ 164-10. Supplements to the Publication of the General Statutes; rearrangement of laws, 38
laws and correction of errors. 39
(a) The Legislative Services Office shall have the following duties and powers with 40
regard to the supplements to the General Statutes:cause to be published, under its supervision, an 41
accurate transcription of all laws of a general a nd permanent nature enacted by the General 42
Assembly, to be known as the General Statutes. In fulfilling this requirement, the Legislat ive 43
Services Office has the following duties: 44
(1) Within six months after the adjournment of each General Assembly, or as soon 45
thereafter as possible, the Legislative Services Office shall cause to be 46
published under its supervision, cumulative supplements to the General 47
Statutes, and any replacement or recompiled volumes thereof, which shall 48
contain an accurate transcription of all laws of a general and permanent nature 49
enacted by the General Assembly, the material contained in the next preceding 50
supplement, complete and accurate annotations to the statutes, appendix and 51
General Assembly Of North Carolina Session 2025
Page 62 House Bill 1114-Third Edition
other material accumulated since the publication of the next preceding 1
supplement, and a cumulative index of said material.To include in one or more 2
publications of the General Statutes complete and accurate annotations to the 3
statutes, an index to the statutes, and other material the Legislative Services 4
Office considers necessary and proper. 5
(2) Periodically, every six months after the publication and issuance of a 6
cumulative supplement fo llowing a session of the General Assembly, or as 7
soon thereafter as possible, the Legislative Services Office shall cause to be 8
published an interim supplement containing all pertinent annotations and 9
other material found by the Legislative Services Office to be necessary and 10
proper, accumulating since the publication of the said cumulative supplement 11
or the last interim supplement. To periodically update the General Statutes to 12
include laws enacted since their most recent publication and to update 13
annotations to the General Statutes and other material the Legislative Services 14
Office considers necessary and proper. 15
(3) In the preparation of the general and permanent laws enacted by the General 16
Assembly the Legislative Services Office is hereby authorized: 17
(b) When preparing the General Statutes for publication, the Legislative Services Office 18
may take any of the following actions: 19
a.(1) To rearrange Rearrange the order of chapters, subchapters, articles, sections 20
and other divisions or subdivisions;sections, and subunits. 21
b.(2) To provide Provide titles for any such divisions or subdivisions and section 22
titles or catchlines when they are not provided by such laws;session law. 23
c.(3) To adopt Adopt a uniform system of lettering or numbering sections and the 24
various subdivisions thereof and to reletter or renumber sections and section 25
subdivisions provisions in accordance with such uniform system;the system. 26
d.(4) To rearrange Rearrange definitions in alphabetical order;order. 27
e.(5) To rearrange Rearrange lists of counties in alphabetical order; andorder. 28
f.(6) To make such Make any other changes in arrangement and form that do not 29
change the law as may be found by the Legislative Services Office and are 30
necessary for an accurate, clear clear, and orderly codification of such general 31
and permanent laws.the General Statutes." 32
SECTION 90.5.(b) G.S. 164-11 reads as rewritten: 33
"§ 164 -11. Supplements General Stat utes prima facie statement of laws; method of 34
citation.laws. 35
(a) The supplements to the General Statutes of North Carolina, or to any replacement or 36
recompiled volumes of the General Statutes, and periodic updates to them , when printed 37
published under the supervision of the Legislative Services Office shall establish Office, establish 38
prima facie the general and permanent laws of North Carolina contained in said 39
supplements.Carolina. 40
(b) The cumulative pocket supplement may be cited as "G.S., Supp. 19 _____" and the 41
interim supplement may be cited as _____ G.S. In. Supp. 19 _____," the blank in front of "G.S." 42
to be filled in with the number of the interim supplement for that year." 43
SECTION 91.(a) Section 4 of S.L. 2005 -384, as amended by Section 5 of S.L. 44
2006-255, reads as rewritten: 45
"SECTION 4. Sections 1, 3, and 4 of this act are effective when this act becomes law, except 46
that G.S. 130A-310.53, 130A-310.54(c), and 130A-310.55 become effective 1 July 2007. Section 47
2 of this act becomes effective 1 October 2005. Each vehicle manufacturer that is subject to the 48
requirements of this act shall provide the information required by G.S. 130A-310.52(b), either 49
individually or as a group of manufacturers, on or before 1 January 2007. This act expires on 1 50
July 2026." 51
General Assembly Of North Carolina Session 2025
House Bill 1114-Third Edition Page 63
SECTION 91.(b) This section becomes effective July 1, 2026. 1
SECTION 92.(a) Section 47(b) of S.L. 2025-25 reads as rewritten: 2
"SECTION 47.(b) This section applies to conveyances executed before, on, or after the 3
effective date of this act.Part." 4
SECTION 92.(b) Section 48(e) of S.L. 2025-25 reads as rewritten: 5
"SECTION 48.(e) G.S. 39-13.3(a)(1) and G.S. 41-63(4)a., as enacted by this section 6
regarding an elective life estate, apply to conveyances executed before, on, or after the effective 7
date of this act. Part. The remainder of this section applies to conveyances executed on or after 8
the effective date of this act.Part." 9
SECTION 92.(c) This section is retroactively effective July 26, 2025. 10
SECTION 93. Sections 5.2(d) and 7.2 of S.L. 2025-37 are repealed. 11
SECTION 94. Sections 2 and 3 of S.L. 2025-52 are repealed. 12
13
PART V. EFFECTIVE DATE 14
SECTION 95. Except as otherwise provided, this act is effective when it becomes 15
law. 16