GENERAL ASSEMBLY OF NORTH CAROLINA

1983 SESSION

 

 

CHAPTER 284

SENATE BILL 254

 

AN ACT TO ALLOW THE GOVERNING BODY OF GASTON COUNTY OR ITS MUNICIPALITIES TO CONTRACT WITH BANKS AND OTHER FINANCIAL INSTITUTIONS FOR RECEIPT OF PAYMENT OF PROPERTY TAXES.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 105-321 is amended by adding a new subsection to read:

"(e)      The governing body of a taxing unit may contract with a bank or other financial institution for receipt of payment of taxes payable at par. Discounts for early payment of taxes shall be allowed by a financial institution that contracts with a taxing unit pursuant to this subsection to the same extent as allowed by the tax collector. A financial institution that contracts with a taxing unit for receipt of payment of taxes shall furnish a bond to the taxing unit conditioned upon faithful performance of the contract in a form and amount satisfactory to the governing body of the taxing unit. A governing body of a taxing unit that contracts with a financial institution pursuant to this subsection shall publish a timely notice of the institution at which taxpayers may pay their taxes in a newspaper having general circulation within the taxing unit. The cost of publishing this notice shall be paid by the taxing unit. No notice is required, however, if the financial institution receives payments only through the mail."

Sec. 2.  The first sentence of G.S. 105-353 is amended by inserting between the word "collector" and the period following that word the phrase "or at a financial institution with which the taxing unit has contracted for receipt of payment of taxes".

Sec. 3.  G.S. 105-357(b) is amended by adding a new paragraph preceding subdivision (1) to read:

"A financial institution with which a taxing unit has contracted for receipt of payment of taxes may accept an uncertified check in payment of taxes, but may not issue a receipt for payment of taxes made by uncertified check. If the check is honored, the financial institution shall so notify the tax collector, who shall, upon request of the taxpayer, issue a receipt for payment of the taxes. If the check is returned unpaid, the financial institution shall so notify the tax collector, who shall proceed to collect the taxes by use of any remedy allowed for collection of taxes or by bringing a civil or criminal action on the check."

Sec. 4.  This act applies only to Gaston County.

Sec. 5.  This act is effective upon ratification.

In the General Assembly read three times and ratified, this the 9th day of May, 1983.