NORTH CAROLINA GENERAL ASSEMBLY
1971 SESSION
CHAPTER 708
SENATE BILL 33
AN ACT TO MAKE APPROPRIATIONS FOR CURRENT OPERATIONS OF THE STATE DEPARTMENTS, INSTITUTIONS, AND AGENCIES, AND FOR OTHER PURPOSES.
The General Assembly of North Carolina do enact:
Section 1. The appropriations made herein are intended to be for maximum amounts necessary to provide the services and accomplish the purposes described in The Budget. It is the intent of the General Assembly that savings shall be effected where the total amounts appropriated shall not be required to perform these services and accomplish these purposes, and that, except as allowed by the Executive Budget Act, or as hereinafter provided, such savings shall be reverted to the appropriate fund at the end of the biennium.
GENERAL FUND
Sec. 2. Appropriations from the General Fund of the State for the maintenance of the State departments, institutions, and agencies, and for other purposes as enumerated are hereby made for the two fiscal years ending June 30, 1972, and June 30, 1973, respectively, according to the following schedule:
I. JUDICIAL
1971-72 1972-73
Judicial Department $ 27,980,851 $ 28,863,305
Judicial Council 1,276 1,551
Subtotal-Judicial $ 27,982,127 $ 28,864,856
II. GENERAL GOVERNMENT
The General Assembly $ 1,328,638 $ 3,062,813
The Governor's Office 527,521 531,072
The Lieutenant Governor 17,346 31,101
Department of Administration 8,734,604 9,225,284
Department of Local Affairs 1,027,440 2,674,186
Department of Personnel 1,019,591 1,050,979
Secretary of State 293,820 275,456
State Auditor 1,315,476 1,423,347
State Treasurer 479,676 508,274
Department of Justice:
1. Attorney General 1,370,784 1,408,295
2. State Bureau of
Investigation 2,245,805 2,470,544
3. Police Information Network 861,718 872,531
4. General Statutes Commission 15,980 15,980
Department of Revenue 10,637,966 10,936,766
Department of Tax Research 169,269 180,250
State Board of Assessment 160,655 162,094
Teachers' and State Employees'
Retirement System:
1. Pension Payments to Retired
State Employees 314,500 291,100
Law Enforcement Officers' Benefit
and Retirement Fund – Contribution
from General Fund 25,000 25,000
North Carolina Firemen's Pension Fund 531,954 532,500
Pensions - Confederate Widows 17,592 15,792
Pensions - Widows of Governors 12,000 12,000
State Board of Elections 62,274 63,972
Legislative Research Commission 16,000 16,000
Interstate Cooperation Commission 5,000 5,000
North Carolina Capital Planning
Commission 1,000 1,000
North Carolina Capital Building
Authority 1,000 1,000
Governor's Committee on Employment
of the Handicapped 29,062 29,093
Subtotal-General Government $ 31,221,671 $ 35,821,429
III. PUBLIC SAFETY AND REGULATION
The Adjutant General:
1. Adjutant General's Office $ 782,789 $ 795,264
2. Armory Commission 41,500 41,500
State Civil Air Patrol 20,272 20,288
State Civil Defense Agency 206,780 210,179
Department of Motor Vehicles –
Automobile Drivers' Financial
Responsibility Program 798,567 842,269
Utilities Commission 879,131 912,568
Insurance Department:
1. Insurance Department 1,212,322 1,242,492
2. State Property Fire
Insurance Fund 250,000 250,000
3. Firemen's Relief Fund 1,750 1,750
4. Building Code Council 2,600 2,600
Department of Labor 1,139,913 1,146,088
Industrial Commission 724,721 734,249
State Board of Alcoholic Control 1,165,196 1,349,952
Department of Agriculture-
Gasoline and Oil Inspection
Service 167,786 165,389
Subtotal-Public Safety and
Regulation $ 7,393,327 $ 7,714,588
IV. CORRECTION
North Carolina Board of Juvenile
Correction:
1. General Administration $ 191,486 $ 195,043
2. Stonewall Jackson Training
School 1,079,814 1,110,101
3. Samarkand Manor 1,065,252 1,087,931
4. Cameron Morrison School 1,171,661 1,188,195
5. Richard T. Fountain School 793,896 812,532
6. State Training School for
Girls 758,819 776,089
7. Samuel Leonard School 862,933 891,257
8. Juvenile Evaluation Center 1,344,236 1,378,727
9. C.A. Dillon School 573,037 596,098
Fugitives from Justice 6,500 6,500
Department of Correction 25,874,249 27,541,080
Probation Commission 3,674,700 3,699,763
Board of Paroles 1,611,480 1,635,591
Subtotal-Correction $ 39,008,063 $ 40,918,907
V. SOCIAL SERVICES
Department of Social Services:
1. Department of Social
Services $ 25,789,824 $ 28,263,313
2. Child Welfare and Day Care
Services 1,409,133 1,436,765
3. Local Confinement Facilities
Improvement Fund 200,000
4. Medical Assistance Program 25,996,675 25,856,495
State Commission for the Blind 2,673,564 2,683,561
Department of Veterans Affairs 875,487 889,353
Confederate Women's Home 101,269 103,467
Oxford Orphanage 70,248 70,248
Junior Order Children's Home 93,000 93,000
Central Orphanage of North
Carolina 158,500 158,500
Alexander Schools, Inc. 76,000 76,000
Eliada Homes, Inc. 37,500 37,500
Boys Homes of North Carolina, Inc. 15,000 15,000
Sipe's Orchard Home, Inc. 17,593 17,593
Subtotal-Social Service $ 57,513,793 $ 59,700,795
VI. EDUCATION
Department of Public Instruction $ 1,740,984 $ 1,763,979
State Board of Education:
1. Nine Months School Fund 486,852,061 508,947,491
2. State Board of Education 1,420,480 1,499,859
3. Occupational Education 24,091,839 25,260,664
4. Purchase of Free Textbooks 7,677,546 8,400,418
5. Vocational Textile School 172,909 179,421
6. Purchase of School Buses 4,767,54 5,122,975
7. Division of School Planning 345,254 345,567
8. Vocational Rehabilitation 2,251,236 2,631,344
9. Instruction and Training for
Trainable Mentally
Handicapped Children 2,201,762 2,478,909
10. National Defense Education
Program 277,148 280,922
11. Program of Education by
Television 151,929 153,742
12. Advancement School 792,091 806,505
13. School Food Service 1,007,577 1,009,244
14. Professional Improvement of
Teachers 620,783 621,398
15. Planning, Research and
Development 382,825 385,241
16. Financial Assistance to
Hospital Programs of
Nursing Education 380,100 361,200
17. Department of Community
Colleges 50,160,147 56,851,763
18. Department of Community
Colleges-Equipment 5,998,929 3,698,433
State Board of Higher Education:
1. State Board of Higher
Education 1,783,163 1,804,522
2. State Education Assistance
Authority 3,500 3,500
Department of Administration:
1. Higher Education – Reserve
for Special Programs 950,000 750,000
2. Reserve for Educational
Benefits - Children of
Veterans 1,100,000 1,200,000
University of North Carolina
(Consolidated):
1. General Administration 1,964,156 2,019,762
2. University of North Carolina
at Chapel Hill:
a. University of North
Carolina at Chapel Hill 27,995,490 28,629,560
b. Division of Health
Affairs 14,442,365 16,229,517
3. North Carolina State
University at Raleigh 23,727,419 24,569,736
4. University of North Carolina
at Greensboro 9,813,813 10,235,746
5. University of North Carolina
at Charlotte 5,745,348 6,528,408
6. University of North Carolina
at Asheville 1,668,118 1,680,987
7. University of North Carolina
at Wilmington 2,318,772 2,458,588
East Carolina University 12,264,799 12,558,317
North Carolina Agricultural and
Technical State University 5,098,972 5,214,395
Western Carolina University 6,086,311 6,615,696
Appalachian State University 7,305,849 8,269,663
Pembroke State University 2,137,381 2,176,244
Winston-Salem State University 2,202,095 2,163,171
Elizabeth City State University 1,848,451 1,879,189
Fayetteville State University 1,897,152 1,939,143
North Carolina Central University 4,675,920 4,763,849
North Carolina School of the Arts 1,385,227 1,365,236
North Carolina Board of Science
and Technology 502,349 506,938
North Carolina School for the Deaf 2,513,684 2,660,158
Eastern North Carolina School for
the Deaf 1,771,330 1,905,073
The Governor Morehead School 1,801,592 1,842,898
Medical Care Commission-Student
Loan Fund-Medical Education 400,000 400,000
State Board of Education-Student
Loan Fund-Teacher Education 1,000,000 1,000,000
Department of Archives and History 1,476,342 1,508,608
Tryon Palace-Department of
Archives and History 176,856 181,651
State Library:
1. Library 741,075 753,600
2. State Aid to Public
Libraries 2,089,027 2,091,632
North Carolina Museum of Art 578,053 582,806
North Carolina State Art Society 8,000,000 8,000,000
North Carolina Symphony Society,
Inc. 212,237 212,237
Old Salem, Inc. 62,500 62,500
Highlands Biological Station, Inc. 31,050 31,050
Moore's Creek Battleground
Association 500 500
Vagabond School of the Drama 5,000 5,000
Subtotal – Education $ 741,077,041 $ 777,606,955
VIII. HEALTH AND HOSPITALS
State Board of Health $ 10,762,571 $ 11,398,913
Medical Care Commission 259,272 263,138
University of North Carolina –
Memorial Hospital 8,458,127 8,457,987
Department of Mental Health:
1. General Administration 9,015,730 9,061,229
2. Alcoholic Rehabilitation
Center-Black Mountain 749,730 764,331
3. Alcoholic Rehabilitation
Center-Butner 751,827 766,034
4. Walter B. Jones Alcoholic
Rehabilitation Center-
Greenville 745,573 782,935
5. Dorothea Dix Hospital 10,960,722 10,958,823
6. Broughton Hospital 8,434,800 8,717,080
7. Western Carolina Center 5,677,798 6,039,150
8. Cherry Hospital 9,627,536 9,929,167
9. O'Berry Center 5,309,923 5,386,268
10. John Umstead Hospital 7,160,218 7,347,368
11. Murdoch Center 7,232,091 7,515,085
12. Caswell Center 6,904,876 7,053,683
13. Wright School 262,070 271,073
Advisory Council on Mental
Retardation 406,034 410,822
North Carolina Orthopedic
Hospital 864,796 880,540
North Carolina Cerebral Palsy
Hospital 421,893 425,942
North Carolina Sanatorium System:
1. General Administration 97,198 98,335
2. North Carolina Sanatorium 2,053,960 2,109,933
3. Western North Carolina
Sanatorium 1,892,747 1,920,482
4. Eastern North Carolina
Sanatorium 2,436,031 2,543,047
5. Gravely Sanatorium 994,245 1,005,452
North Carolina Cancer Institute,
Inc. 26,000 26,000
Asheville Orthopedic Hospital 205,000 205,000
Subtotal-Health and Hospitals $ 101,710,768 $ 104,337,817
IX. RESOURCE DEVELOPMENT AND PRESERVATION
Department of Conservation and
Development:
1. Department of Conservation
and Development $ 9,840,675 $ 9,933,636
2. Kerr Reservoir Development
Commission-Nutbush Conservation
Area 120,657 113,459
Department of Water and Air
Resources 1,848,752 1,914,989
North Carolina National Park,
Parkway and Forests Development
Commission 12,175 12,193
Industrial Extension Service-
North Carolina State University
at Raleigh 487,741 500,596
State Ports Authority 751,436 259,136
Rural Electrification Authority 109,565 111,542
Confederate Museum-Richmond,
Virginia 200 200
Confederate Cemetery-Raleigh,
North Carolina 350 350
Garden Clubs of North Carolina,
Inc.-The Elizabethan Garden 13,000 13,000
Brevard Music Center 32,500 32,500
Subtotal-Resource Development
and Preservation $ 13,217,051 $ 12,891,601
X. AGRICULTURE
Department of Agriculture $ 6,018,882 $ 6,241,648
Agricultural Experiment Station-
North Carolina State University
at Raleigh 7,276,345 7,572,745
Cooperative Agricultural Extension
Service-North Carolina State
University at Raleigh 6,139,123 6,428,171
State Soil and Water Conservation
Committee 301,474 303,063
Subtotal-Agriculture $ 19,735,824 $ 20,545,627
XI. DEBT SERVICE
Interest on Bonds $ 6,266,260 $ 6,846,030
Redemption of Bonds 12,365,000 13,870,000
Subtotal-Debt Service $ 18,631,260 $ 20,716,030
XII. RESERVES
Contingency and Emergency:
To provide for contingency and emergency expenditures for any purpose authorized by law for which no specific appropriation has been made, or for which inadvertently an insufficient appropriation has been made. Allotments are to be made from this appropriation under the provisions of G.S. 143-12, or such other statutes as may be applicable. $ 2,000,000 $ 1,500,000
Salary Increases of State
Employees Subject to the
Personnel Act and Administrative
Personnel of the
Judicial Department 16,522,460 23,872,980
Salary Adjustments of State
Employees 4,546,954 5,352,323
Reserve for Social Security 196,900 3,503,100
Teachers' and State Employees'
Retirement System:
1. Reserve for Hospitalization-Medical Insurance
and Disability Salary Continuation Benefits ______________ 16,090,776
Subtotal-Reserves $ 23,266,314 $ 50,319,179
TOTAL GENERAL FUND $ 1,080,757,239 $ 1,154,437,784
HIGHWAY FUND
Sec. 3. Appropriations from the Highway Fund of the State for the expense of collecting revenues, for the service of the highway debt, and for the maintenance of the highway activities, are hereby made for the two fiscal years ending June 30, 1972, and June 30, 1973, respectively, according to the following schedule:
III. PUBLIC SAFETY AND REGULATION
1971-72 1972-73
Department of Motor Vehicles $ 28,153,110 $ 30,150,461
Transportation Inspection
(Utilities Commission) 255,918 259,063
Gasoline and Oil Inspection
Service (Department of
Agriculture) 499,759 493,542
Governor's Highway Safety
Program 2,122,732 2,128,546
Subtotal-Public Safety and
Regulation $ 31,031,519 $ 33,031,612
VI. EDUCATION
Driver Training and Safety
Education $ 2,800,216 $ 2,727,765
VII. HIGHWAYS
State Highway Commission:
1. Merit Salary Increments $ 4,022,575 $ 6,610,663
2. Reserve for Contingencies 500,000 500,000
3. General Administration 3,979,397 3,989,956
4. Engineering Administration
and Supervision 8,701,065 8,626,211
5. State Maintenance and
Construction:
a. Primary System 80,657,955 81,646,326
b. Secondary System 62,500,000 64,500,000
c. Urban System 21,000,000 21,500,000
d. Public Service Roads 2,206,000 1,500,000
6. State Funds to Match Federal
Aid Highway Planning Survey
and Highway Planning
Research 800,000 800,000
7. State Funds to Match Federal
Aid Construction 47,974,000 47,974,000
8. State Aid to Municipalities 26,062,500 27,250,000
9. Employer's Contribution-
Retirement 6,585,196 6,780,046
10. Employer's Contribution-
Social Security 4,083,648 4,386,685
Subtotal-Highways $ 269,072,336 $ 276,063,887
XI. DEBT SERVICE
Bond Fund Act of 1965-Interest
and Redemption $ 17,147,000 $ 11,769,000
Highway Bond Anticipation Notes-
Interest and Redemption 10,400,000 10,100,000
Subtotal-Debt Service $ 27,547,000 $ 21,869,000
XII. RESERVES
Salary Adjustments of Highway
Fund Employees $ 1,907,632 $ 2,607,632
Salary Increases of Highway Fund
Employees Subject to the
Personnel Act 7,784,579 13,638,915
Teachers' and State Employees'
Retirement System:
Hospitalization-Medical
Insurance & Disability
Salary Continuation Benefits-
Highway Fund Employees 2,206,152
Reserve for Social Security 17,660 170,302
Subtotal-Reserves $ 9,709,871 $ 18,623,001
TOTAL HIGHWAY FUND $ 340,160,942 $ 352,315,265
Transfers and changes may be made in the Highway Fund from Salary Increases, Salary Adjustments and Reserve for Social Security to other appropriations in the Highway Fund by authorization of the Director of the Budget. Transfers and changes may be made from the Reserve for Contingencies to other appropriations in the Highway Fund by authorization of the Governor and Council of State. Transfers and changes may be made to and/or from Title VII — 3, 4, 5(a), 5(b), 5(c), 5(d), 6, and 7 by authorization of the Director of the Budget: Provided, Title VII — 5(a), 5(b), 5(c), 5(d), shall not be reduced by more than thirty percent (30%) of the appropriations herein stated for State Maintenance and Construction Systems and Title VII-6 and 7 shall not be reduced by more than ten percent (10%) of the appropriations herein stated. In the event that the State revenues accruing to the Highway Fund exclusive of one cent (l¢) gasoline tax for Debt Service exceed the estimated revenues for each year of the biennium, to wit, three hundred seven million, five hundred eighty-five thousand dollars ($307,585,000) for the fiscal year 1971-72, and three hundred twenty million, nine hundred ninety-five thousand dollars ($320,995,000) for the fiscal year 1972-73, such excesses may be allocated in the next succeeding year by the Director of the Budget, to increase the appropriations under Titles III, VI, VII - 3, 4, 5(a), 5(b), 5(c), 5(d), 6 and 7, and XII. Increases in Highway Fund surplus from sources other than revenues may be allocated in the next succeeding year by the Director of the Budget, to increase the appropriations under Titles III, VI, VII - 3, 4, 5(a), 5(b), 5(c), 5(d), 6 and 7, and XII.
The design, construction, maintenance, and repair of institutional streets, roads and driveways authorized under the provisions of this act shall be undertaken by the State Highway Commission at the earliest possible time following the passage of this act, with the cost thereof to be paid from the Highway Fund; in accordance with the following schedule:
Page and Item
in Vol. Ill of the
Institution Recommended Budget Amount
University of North
Carolina at Chapel Hill
Health Affairs Page 32 Item 1 $ 40,000
University of North
Carolina at Asheville 43 2 25,000
Pembroke State University 72 6 100,000
Winston-Salem State University 75 2 65,000
North Carolina Central University 87 6 12,000
North Carolina School of the Arts 90 4 46,000
North Carolina School for the Deaf 95 8 70,000
9 20,000
Western Carolina Center Murdoch 115 3 165,000
Murdoch Center 124 3 85,000
Fayetteville State University-
Extension of Edgecombe Avenue 78,000
University of North Carolina at Chapel Hill Health Affairs University of North Carolina at Asheville University Center
Sec. 4. There is hereby appropriated out of funds available in the various Special Funds sufficient amounts to carry on required activities included under each Fund's operations subject to provisions of the Executive Budget Act, Chapter 143, Article 1, General Statutes of North Carolina.
GENERAL PROVISIONS
Sec. 5. All insurance and all official fidelity and surety bonds authorized for the several departments, institutions, and agencies shall be effected and placed by the Insurance Department, and the cost of such placement shall be paid by the department, institution, or agency involved upon bills rendered to and approved by the Insurance Commissioner.
SPECIAL PROVISIONS
Sec. 6. Appropriations made herein to the various State agencies for the purpose of purchasing medical, dental, optometric, and hospital services, including all services provided under Title XIX of the Social Security Act, and for care in homes for the aged, shall be disbursed on the basis of rates and fee schedules approved by the Advisory Budget Commission or as specifically established by this act.
Sec. 7. Funds appropriated herein to the State Department of Social Services for medical assistance (Medicaid) are to be expended in accordance with the following schedule of services, eligibility and payment rates:
Eligibility
Categorically Medically Payment
Service Needy Needy Rates
Inpatient X X Allowable Costs
limted to 10 days
per spell of
illness
Outpatient Hospital X X Pay 90% of
allowable costs
Mental Hospitals X X Allowable Costs
Nursing Homes X Pay allowable cost
Up to $14 per day
Drugs X X Pay $1.75 service
fee per prescript-
tion plus actual
drug cost
Physicians X X Pay 90% of allow-
able usual and
customary charges
Chiropractors X Pay 90% of allow-
able usual and
customary charges
Dental X X Pay 90% of allow-
able usual and
customary charges
for fillings, ex-
tractions, prophy-
laxis & fluoride,
X-rays, relief of
pain and denture
repairs
Home Health X X Pay 90% of allow-
able costs
Optical Services X X Pay 90% of allow-
able usual and
customary charges
Medicare Buy In X X Actual Cost
It is the intent of the General Assembly that the State will pay ninety percent(90'/) and the counties will pay ten percent (10%) of the non-federal costs of applicable services under the Medicaid Program.
It is the further intent of the General Assembly that the State Board of Social Services will carefully review the rate of expenditure during the 1971-73 biennium in the Medicaid Program. If the rate of expenditure is determined to be in excess of funds available in the Department of Social Services, the scope of services and/or the rate of reimbursement for services may be reduced to remain within available funds. Any necessary reduction in services or reimbursement rates will be subject to the approval of the Governor and the Advisory Budget Commission.
The State Board of Social Services is directed to implement a reasonable recipient co-payment requirement in the Medicaid Program, as may be approved by the Advisory Budget Commission, when such co-payment requirement is permissible under federal law.
Sec. 8. It is the intent and purpose of this act that all divisions of the Department of Local Affairs except the Division of Human Resources be transferred to the Department of Conservation and Development, and that the Division of Human Resources be transferred to the Department of Social Services. It is the further intent and purpose that the Director of the Budget be authorized to transfer supporting appropriations to the affected departments within three months after July 1, 1971.
Sec. 9. The Director of the Budget is authorized and empowered to transfer, as between the three institutions, the appropriations made in this act for the North Carolina School for the Deaf, the Eastern North Carolina School for the Deaf, and the Governor Morehead School, and as between the eight training schools under the jurisdiction of the Board of Juvenile Correction, the appropriations made to any of them, when in his opinion it shall be deemed to be in the best interest of the State.
Sec. 10. It is the intent of the General Assembly that funds appropriated herein to the State Board of Education for a Public Kindergarten Program be allocated to give first priority to continuation of State or Elementary and Secondary Education Act of 1965, Title III, federally-supported kindergarten classes conducted in a public school unit for the 1970-71 school year.
Sec. 11. It is the intention of this act that, as to new units except as herein authorized, no recommendations for establishment of additional units shall be made by the Department of Community Colleges in the absence of a showing of a clear and urgent need in a particular area of the State. It is the further intention of this act that it shall be the announced policy of the Department of Community Colleges that, as to capital improvement projects, no construction contracts may be let until it has been clearly established that funds are available for the related permanent equipment.
Funds appropriated herein to the State Board of Education, Department of Community Colleges, to purchase equipment for the Community Colleges institutions, (Code 18072) shall be permanent appropriations, and unexpended portions of these appropriations shall not revert to the General Fund at the end of the biennium.
Sec. 12. The Director of the Budget shall require that the Highway Fund, other special funds employing personnel and other operations employing personnel which are designated by the Governor and Advisory Budget Commission as self-supporting operations shall budget as a line item object of expenditure sufficient funds to pay their employer proportion of contributions to the Teachers' and State Employees' Retirement System as required by the act creating said system.
No part of the appropriations made in Section 2 of this act shall be used to supply the State's or employer's contribution for retirement system purposes or Social Security purposes with respect to the compensation of any State employee (1) whose compensation is paid out of receipts of any State institution or agency (other than gifts, including foundation funds), which receipts are deposited in institutional funds for the specific purpose of paying the compensation of such employee, or (2) who performs his duties for an operation or activity designated by the Director of the Budget as a self-supporting operation or activity, or (3) who performs his duties for an operation or activity not supported by an appropriation from the State General Fund. In those instances in which an employee's salary is paid in part from the General Fund or from gifts (including foundations) and in part from receipts of the State institution or agency (other than gifts, including foundation funds), which receipts are deposited in institutional funds for the specific purpose of paying part of the compensation of such State employee, the appropriations described above shall be used to pay a portion of the employer's contribution for retirement and social security equal to that proportion of the employee's total salary paid from the General Fund or from gifts (including foundations), and the remainder of the employer's contribution shall be paid from the same sources as supply the remainder of such employee's salary. It is the intent and purpose of this act that, when retirement system or social security matching funds are required to be made on behalf of the State as an employer in the situations described above in this paragraph, such matching funds to the extent necessary shall be paid out of the funds of the institution or operation or activity described above in this paragraph. Notwithstanding the restrictions in this paragraph, the Director of the Budget is authorized and empowered to promulgate rules and regulations to apply to receipts-supported operations of a central services nature where the payments for services originate from appropriations, to the end that the effective purchasing power of such appropriations shall not be materially reduced as a result of payment of the employer's contribution for retirement and social security. Any question as to the applicability of this paragraph shall be resolved by the Director of the Budget and the Advisory Budget Commission.
Sec. 13. It is the intent and purpose of this act that the Director of the Budget authorize the employment of personnel for the Probation Commission to the extent to which the funds appropriated therefor will permit, provided, however, that such employment does not permit the ratio of probationers to probation officers to drop below 80 to 1.
Sec. 14. It is the intent and purpose of this act to establish and maintain an adequate level of direct patient care in each of the mental health institutions.
Positions recommended in the budgets for the 1971-73 biennium shall not be reclassified or funds reallocated to the extent that the level of direct patient care would be reduced.
Sec. 15. Upon the recommendation of the Board of Higher Education, the Director of the Budget is authorized and empowered, when in his opinion it is in the best interest of the State to do so, to transfer portions of the operating funds appropriated herein from one or more senior institutions experiencing enrollment below its approved level to one or more senior institutions experiencing enrollment substantially above its approved level. The senior institutions shall include, for this purpose, the regional universities, the various campuses of the University of North Carolina, and the North Carolina School of the Arts.
Sec. 16. It is the intent of this act that the enrollment levels as approved herein for the budgets of the senior institutions of higher education shall be closely adhered to insofar as is practicable. The president or chancellor of any institution which is substantially over-enrolled during the biennium shall be called upon to explain to the Board of Higher Education and to the succeeding General Assembly the reasons for the failure of the institution to control the size of enrollment.
Sec. 17. The Director of the Budget is authorized to permit the use of unexpended 1971-72 appropriations from non-salary line items in affected budgets for the purchase of initial inventories and equipment for central services revolving funds at State institutions.
Sec. 18. It is the intent and purpose of this act that funds appropriated herein for travel and postage shall be conserved by the agencies so that additional funds for either of these purposes will not be required during the biennium 1971-73. Agencies are required to exercise strict control over such expenditures, to the end that appropriations shall be sufficient for these purposes without transfer of additional funds.
Sec. 19. Subject to a recommendation of the Director of the Budget, funds not to exceed one hundred and fifty thousand dollars ($150,000) for each year of the biennium 1971‑73 may be allotted out of the Contingency and Emergency Appropriation for use by the State Department of Agriculture, North Carolina Agricultural Experiment Station, and the U. S. Department of Agriculture, for a witch weed control program and/or for payment of hog cholera indemnities.
Sec. 20. Appropriations made herein to the Department of Social Services for the purpose of providing State matching funds for improvements in local confinement facilities shall be disbursed on the basis of the State plan for such assistance developed by the Department of Social Services subject to the approval of the Advisory Budget Commission.
Sec. 21. The Director of the Budget, upon the recommendation of the Board of Higher Education in consultation with the School of Medicine of the University of North Carolina, is authorized and empowered, upon approval of the Advisory Budget Commission, to disburse from appropriations made herein funds to enable the School of Medicine of the University of North Carolina to set up advanced medical student clinical clerkships and house staff rotations in community hospitals in non-urban areas of North Carolina, and in particular Eastern North Carolina.
Sec. 22. The Director of the Budget is authorized and empowered to transfer from the appropriations for Reserve for Social Security Increases, such amounts as may be required to pay the increased employer's matching contribution for social security as required effective January 1, 1972.
Sec. 23. Subject to rules and regulations promulgated by the Department of Administration and approved by the Director of the Budget, any State department, institution, or agency of the State is hereby authorized to expend, from appropriations made in this act, funds to pay the expenses of transporting the household goods and furniture of an employee and members of his household when the transfer of such employee is considered by the Director of the Budget to be in the best interests of the State.
SALARIES AND WAGES
Sec. 24. The Director of the Budget is authorized and empowered to transfer from the appropriations for Salary Increases of State Employees subject to the Personnel Act and Administrative Personnel of the Judicial Department, such amounts, including the retirement and social security contributions, as may be required to increase salaries in effect on June 30, 1971, for all permanent employees by five percent (5%) commencing July 1, 1971, and by an additional five percent (5%) commencing July 1, 1972, rounded to conform to the steps in such salary ranges as may be adopted by the State Personnel Board. For an employee whose salary is not equal to a specific pay rate within the present salary schedule, the annual increase will be the amount applicable to the next lower pay rate.
The Director of the Budget is further authorized to transfer any unexpended balances which may remain, after the provisions of this section have been fully met, from the appropriations for Salary Increases of State Employees subject to the Personnel Act and Administrative Personnel of the Judicial Department to the appropriations for Salary Adjustments of State Employees.
The provisions of this section shall be applied to increase salaries paid out of special funds or from sources other than tax revenues, provided the necessary funds are made available from operations or from sponsoring agents. The Director of the Budget is authorized and empowered to allocate, out of special operating funds under which personnel are employed, sufficient funds to conform with the provisions of this section, provided funds are available or made available by sponsoring agents.
Salaries for positions which are paid partially from the General Fund and partially from sources other than the General Fund shall be increased from the General Fund appropriation to the extent of the proportionate part paid from the General Fund.
The salary increases for employees whose salaries are paid from receipts derived from self-supporting activities shall be contingent upon availability of funds out of receipts, except that for employees whose salaries are paid from receipts-supported operations of a central-services nature, where the payments for services originate from appropriations, the Director of the Budget is authorized and empowered to promulgate rules and regulations to provide for the salary increases of these employees to the end that the effective purchasing power of such appropriations for services shall not be materially reduced. Any question as to the applicability of this paragraph shall be resolved by the Director of the Budget and the Advisory Budget Commission.
The salary increases shall not affect the status of eligibility for automatic and/or merit salary increments for which the employee may be eligible for the fiscal years 1971-72 and 1972-73 notwithstanding the granting of the legislative salary increase.
The salary range for all employees under the Personnel Act shall be increased, so far as the maximum is concerned, by amounts corresponding to those of this legislative salary increase to the end that, after the salary increase provided for in this act is made, every employee will continue to have the same relative position with respect to salary increases and future increments as he would have had if the salary increases provided by this act had not been made.
The salary increase provided in this act to be effective July 1, 1971, shall not apply to persons separated from State services due to resignation, dismissal, reduction in force, death or retirement, whose last work day is prior to July 1, 1971; and the salary increase provided in this act to be effective July 1, 1972, shall not apply to persons separated from State service due to resignation, dismissal, reduction in force, death, or retirement, whose last work day is prior to July 1, 1972.
Sec. 25. The Director of the Budget is authorized and empowered to transfer to General Fund budget codes from the General Fund Salary Adjustment appropriation, and to Highway Fund budget codes from the Highway Fund Salary Adjustment appropriation, such amounts as may be required to support (a) approved salary adjustments made necessary by difficulties in recruiting and holding qualified employees in State Government, and (b) such premium pay and shift differential schedules as may be adopted by the State Personnel Board. These funds are intended to be transferred only when the use of salary reserve funds in individual operating budgets is not feasible.
Sec. 26. The salary of the Chief Justice of the Supreme Court shall be thirty-four thousand dollars ($34,000) per annum, and the salaries of each of the Associate Justices of the Supreme Court shall be thirty-three thousand dollars ($33,000) per annum; the salary of the Chief Judge of the Court of Appeals shall be thirty-one thousand five hundred dollars ($31,500) per annum, and the salaries of the Judges of said Court shall be thirty thousand five hundred dollars ($30,500) per annum; the salaries of the Judges of the Superior Court shall be twenty-five thousand five hundred dollars ($25,500) per annum; the salary of the Chief Judge of each District Court shall be twenty thousand five hundred dollars ($20,500) per annum, and the salary of each District Court Judge shall be nineteen thousand five hundred dollars ($19,500) per annum; the salary of each Solicitor shall be twenty-three thousand dollars ($23,000) per annum, and the salaries of the Assistant Solicitors shall average fourteen thousand five hundred dollars ($14,500) per annum. The salary of the Administrative Officer of the Courts shall be twenty-seven thousand five hundred dollars ($27,500) per annum, and the salary of the Assistant Administrative Officer of the Courts shall be twenty thousand dollars ($20,000) per annum.
EFFECTIVE
Sec. 27. The provisions of the Executive Budget Act, Chapter 143, Article 2 of the General Statutes, are re-enacted and shall remain in full force and effect, and are incorporated in this act by reference.
Sec. 28. If any section or provision of this act be declared unconstitutional or invalid by the courts, the same shall not affect the validity of the act as a whole or any part other than the part so declared to be unconstitutional or invalid.
Sec. 29. All laws and clauses of laws in conflict with this act are hereby repealed.
Sec. 30. This act shall become effective on July 1, 1971.
In the General Assembly read three times and ratified, this the 30th day of June, 1971.