GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2005
S 6
SENATE BILL 622
Appropriations/Base Budget Committee Substitute Adopted 5/3/05
Pensions & Retirement and Aging Committee Substitute Adopted 5/3/05
Fourth Edition Engrossed 5/5/05
House Committee Substitute Favorable 6/14/05
House Committee Substitute #2 Favorable 6/15/05
|
Short Title: 2005 Appropriations Act. |
(Public) |
|
|
Sponsors: |
|
|
|
Referred to: |
|
|
March 17, 2005
A BILL TO BE ENTITLED
AN ACT TO MAKE BASE BUDGET APPROPRIATIONS FOR CURRENT OPERATIONS OF STATE DEPARTMENTS, INSTITUTIONS, AND AGENCIES, AND FOR OTHER PURPOSES; to increase fees for licensing of proprietary schools as recommended by the state board; to expand the express review program under the DENR statewide; to increase the charge for appellate division reports to the actual cost; to increase court costs in criminal actions FOR the supplemental pension benefits for sheriffs; to permanently increase the excise tax on cigarettes By 25¢ a pack beginning July 1, 2005; to permanently increase the excise tax rate on tobacco products other than cigarettes and cigars to 6% beginning July 1, 2005; to equalize the gross premiums tax rates by setting the rate FOR HMOs at 1.9% beginning January 1, 2006; to set the privilege tax on entertainments and movies at 7%; to provide a tax credit equal to 15% of qualifying expenses for certain film productions occurring in this state; to provide for a tax credit of up to $400.00 per employee for small businesses who provide health insurance coverage for employees; to set the insurance regulatory charge at 5.5%; to set the regulatory fee for utilities commission at 0.12%; to set the newborn screening fee at $14.00; to set numerous fees in the DHHS, division of facility services; to increase various Agricultural fees; to increase the cap for cama permit fees to $800.00; to increase general court fees for criminal cases by $9.50; to increase court fees for civil cases by $10.00; to increase the maximum court fee for the administration of estates and trusts to $6,000; to increase the fee for expunction to $125.00; to increase the fees for electronic monitoring; to increase the court costs for failure to wear a seat belt to $75.00; to increase butner property taxes to a rate of 25¢ per $100.00 valuation; to set fees for the police information network; to increase various department of transportation fees; and to allow the industrial commission to establish fees by rule.
The General Assembly of North Carolina enacts:
PART i. INtroduction and title of act
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 1.1. The appropriations made in this act are for maximum amounts necessary to provide the services and accomplish the purposes described in the budget in accordance with the Executive Budget Act. Savings shall be effected where the total amounts appropriated are not required to perform these services and accomplish these purposes and the savings shall revert to the appropriate fund at the end of each fiscal year, except as otherwise provided by law.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 1.2. This act shall be known as the "Current Operations and Capital Improvements Appropriations Act of 2005."
PART iI. current operations and expansion/general fund
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
CURRENT OPERATIONS AND EXPANSION/GENERAL FUND
SECTION 2.1. 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 made for the biennium ending June 30, 2007, according to the following schedule:
Current Operations – General Fund 2005‑2006 2006‑2007
EDUCATION
Community Colleges System Office $ 775,206,482 $ 763,366,425
Department of Public Instruction 6,664,813,995 6,638,750,147
University of North Carolina – Board of Governors
Appalachian State University 95,723,206 96,112,508
East Carolina University:
Academic Affairs 149,258,329 152,405,105
Health Affairs 45,314,949 45,321,933
Elizabeth City State University 28,557,992 28,159,455
Fayetteville State University 42,743,828 42,798,406
North Carolina Agricultural and Technical
State University 75,302,121 75,127,553
North Carolina Central University 58,325,133 58,083,922
North Carolina School of the Arts 21,316,022 20,853,451
North Carolina State University:
Academic Affairs 295,194,174 300,333,788
Agricultural Extension 35,497,987 35,384,433
Agricultural Research 44,884,495 44,952,506
University of North Carolina at Asheville 29,194,226 29,733,101
University of North Carolina at Chapel Hill:
Academic Affairs 207,951,612 216,911,650
Health Affairs 161,817,995 164,024,559
Area Health Education Centers 44,743,422 44,743,422
University of North Carolina at Charlotte 128,872,610 130,553,102
University of North Carolina at Greensboro 111,426,487 112,582,103
University of North Carolina at Pembroke 38,515,524 38,823,063
University of North Carolina at Wilmington 73,563,667 75,855,057
Western Carolina University 69,533,618 69,947,116
Winston‑Salem State University 47,760,006 47,489,842
General Administration 48,864,530 48,926,344
University Institutional Programs 35,866,059 34,174,482
Related Educational Programs 115,329,807 116,360,229
North Carolina School of Science and Mathematics 14,355,420 14,313,392
UNC Hospitals at Chapel Hill 38,670,494 38,634,764
Total University of North Carolina –
Board of Governors $ 2,058,583,713 $ 2,082,605,286
HEALTH AND HUMAN SERVICES
Department of Health and Human Services
Office of the Secretary $ 114,593,090 $ 113,593,090
Division of Aging 29,595,139 29,495,139
Division of Blind Services/Deaf/HH 9,561,797 9,681,220
Division of Child Development 265,981,736 268,588,518
Division of Education Services 33,852,267 34,281,895
Division of Facility Services 13,102,629 13,569,760
Division of Medical Assistance 2,553,639,668 2,817,546,300
Division of Mental Health 601,583,655 602,869,039
NC Health Choice 76,706,650 97,511,380
Division of Public Health 150,273,266 144,475,524
Division of Social Services 190,384,693 193,664,285
Division of Vocational Rehabilitation 41,755,526 42,142,193
Total Health and Human Services $ 4,081,030,116 $ 4,367,418,343
NATURAL AND ECONOMIC RESOURCES
Department of Agriculture and Consumer Services $ 51,021,684 $ 50,616,509
Department of Commerce
Commerce 49,265,070 35,278,265
Commerce State‑Aid 29,472,085 12,222,085
NC Biotechnology Center 12,083,395 10,583,395
Rural Economic Development Center 25,852,607 25,552,607
Department of Environment and Natural Resources 170,428,004 163,019,324
DENR Clean Water Management Trust Fund 62,000,000 62,000,000
Department of Labor 14,684,807 14,700,179
JUSTICE AND PUBLIC SAFETY
Department of Correction $ 1,029,449,707 $ 1,050,558,023
Department of Crime Control and Public Safety 35,576,632 35,974,945
Judicial Department 341,682,284 343,820,429
Judicial Department – Indigent Defense 94,402,142 89,431,697
Department of Justice 78,990,095 79,060,076
Department of Juvenile Justice and
Delinquency Prevention 141,010,329 138,610,329
GENERAL GOVERNMENT
Department of Administration $ 58,934,261 $ 58,818,473
Office of Administrative Hearings 2,987,410 2,969,712
Department of State Auditor 10,850,737 10,840,918
Office of State Controller 10,043,268 10,044,511
Department of Cultural Resources
Cultural Resources 66,834,719 61,883,584
Roanoke Island Commission 1,783,374 1,783,374
State Board of Elections 5,067,543 5,069,307
General Assembly 42,984,588 46,965,432
Office of the Governor
Office of the Governor 5,324,590 5,344,528
Office of State Budget and Management 5,019,735 5,021,795
OSBM – Reserve for Special Appropriations 5,636,429 4,311,429
Housing Finance Agency 4,750,945 4,750,945
Department of Insurance
Insurance 28,088,214 28,110,582
Insurance –
Volunteer Safety Workers' Compensation 2,500,000 4,500,000
Office of Lieutenant Governor 754,737 753,037
Department of Revenue 82,128,036 81,245,969
Department of Secretary of State 8,784,018 8,764,932
Department of State Treasurer
State Treasurer 8,690,595 8,295,843
State Treasurer – Retirement for
Fire and Rescue Squad Workers 8,551,457 8,551,457
TRANSPORTATION
Department of Transportation $ 0 $ 0
RESERVES, ADJUSTMENTS, AND DEBT SERVICE
Reserve for Compensation Increases $ 237,728,000 $ 229,728,000
Salary Adjustment Fund: 2005‑2007 Biennium 4,500,000 4,500,000
Salary Adjustment Fund: 2004‑2005 Fiscal Year 4,500,000 4,500,000
Reserve for Teachers' and State Employees'
Retirement Contribution 13,810,800 13,810,800
Reserve for Retirement System Payback 25,000,000 0
Reserve for Death Benefit Trust 12,899,200 12,899,200
Reserve for Disability Income Plan 6,586,500 6,586,500
Reserve for State Health Plan 137,400,000 183,200,000
Contingency and Emergency Fund 5,000,000 5,000,000
Reserve for Information Technology Rate Adjustments (2,300,000) (2,300,000)
Information Technology Fund 24,375,000 8,025,000
MH/DD/SAS Trust Fund 10,000,000 0
Health and Wellness Trust Fund Senior Rx Program 14,000,000 0
Reserve for Job Development Investment Grants (JDIG) 9,000,000 9,000,000
Reserve for Housing Finance 5,000,000 0
Reserve for HB 1048 – DWI Task Force
Recommendations 1,000,000 0
Reserve for Increased Fuel Costs 3,000,000 0
Debt Service
General Debt Service 489,544,211 619,291,140
Federal Reimbursement 1,616,380 1,616,380
TOTAL CURRENT OPERATIONS –
GENERAL FUND $ 17,077,927,894 $ 17,417,450,912
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
GENERAL FUND AVAILABILITY STATEMENT
SECTION 2.2.(a) The General Fund availability used in developing the 2005‑2007 biennial budget is shown below:
FY 2005‑2006 FY 2006‑2007
Unappropriated Balance Remaining
from Previous Year $ 0 $ 146,394,939
Projected Over Collections FY 2004‑2005 527,200,000 0
Projected Reversions FY 2004‑2005 75,000,000 0
Less Earmarkings of Year‑End Credit Balance
Savings Reserve Account (170,000,000) 0
Repairs and Renovations (102,955,000) 0
Beginning Unreserved Credit Balance $ 329,245,000 $ 146,394,939
Revenues Based on Existing Tax Structure $ 15,250,100,000 $ 15,903,000,000
Nontax Revenues
Investment Income 75,300,000 78,500,000
Judicial Fees 142,200,000 147,900,000
Disproportionate Share 100,000,000 100,000,000
Insurance 56,600,000 58,800,000
Other Nontax Revenues 150,400,000 161,800,000
Highway Trust Fund/Use Tax
Reimbursement Transfer 252,558,117 252,663,009
Highway Fund Transfer 16,200,000 16,200,000
Subtotal Nontax Revenues $ 793,258,117 $ 815,863,009
Total General Fund Availability $ 16,372,603,117 $ 16,865,257,948
Adjustments to Availability: 2005 Session
Streamlined Sales Tax Changes 61,700,000 89,500,000
Extend 4.5% Sales Tax Rate 413,400,000 458,700,000
Other Sales Tax Changes:
Apply Sales Tax to Service Contracts
and Warranties 10,100,000 16,800,000
Apply Sales Tax to Candy 11,000,000 15,800,000
Excise Tax on Cigarettes and
Other Tobacco Products 142,000,000 165,000,000
Extend Marginal Individual Income
Tax Rate of 8.25% 40,200,000 91,700,000
Continue Use Tax Line on Individual Returns 3,200,000 3,200,000
Conform Estate Tax to Federal Sunset 30,600,000 121,600,000
Film Industry Jobs Incentives (6,000,000) (6,000,000)
IRC Update – Partial Conformance (8,000,000) (10,700,000)
Small Business Tax Credit for
Health Insurance Coverage (17,700,000) (39,800,000)
Privilege Tax on Entertainment 18,000,000 30,000,000
Gross Premium Tax Rate on
Health Maintenance Organizations 14,300,000 14,300,000
Increase Earmarking for NC Grape Growers Council (150,000) (150,000)
Justice and Public Safety Fees 20,428,271 20,428,271
Transfer from Tobacco Trust Fund 34,000,000 30,000,000
Transfers from Special Revenue and Other Funds 9,803,950 0
Reimburse Debt Service for Certain Capital
Facilities and Land Acquisition
per S.L. 2004‑179 5,958,723 21,060,827
Adjust Transfer from Insurance Regulatory Fund 256,513 243,813
Adjust Transfer from Treasurer's Office 468,478 67,478
DOR‑Revenue Enhancement Initiative 97,500,000 97,500,000
Proceeds from the Sale of Polk Building 4,977,781 0
Subtotal Adjustments to Availability:
2005 Session $ 886,043,716 $ 1,119,250,389
Revised General Fund Availability $ 17,258,646,833 $ 17,984,508,337
Less: General Fund Appropriations ($17,112,251,894) ($17,417,450,912)
Unappropriated Balance Remaining $ 146,394,939 $ 567,057,425
SECTION 2.2.(c) G.S. 143‑15.3 is amended by adding a new subsection to read:
"(a2) The transfer of funds to the Savings Reserve Account in accordance with this section or any other provision of law is not an "appropriation made by law", as that phrase is used in Article V, Section 7(1) of the North Carolina Constitution."
This subsection becomes effective June 30, 2005.
SECTION 2.2.(d) Notwithstanding G.S. 143‑15.2 and G.S. 143‑15.3A, the State Controller shall transfer one hundred two million nine hundred fifty‑five thousand dollars ($102,955,000) from the unreserved credit balance to the Repairs and Renovations Reserve Account on June 30, 2005. Funds transferred under this section to the Repairs and Renovations Reserve Account are appropriated for the 2005‑2006 fiscal year to be used in accordance with G.S. 143‑15.3A. This subsection becomes effective June 30, 2005.
SECTION 2.2.(e) When the Highway Trust Fund was created in 1989, the revenue from the sales tax on motor vehicles was transferred from the General Fund to the Highway Trust Fund. To offset this loss of revenue from the General Fund, the Highway Trust Fund was required to transfer one hundred seventy million dollars ($170,000,000) to the General Fund each year, an amount equal to the revenue in 1989 from the sales tax on motor vehicles. This transfer did not, however, make the General Fund whole after the transfer of the sales tax revenue because no provision has been made to adjust the amount for the increased volume of transactions and increased vehicle prices. The additional eighty million dollars ($80,000,000) transferred from the Highway Trust Fund to the General Fund by this act is an effort to recover a portion of the sales tax revenues that would have gone to the General Fund over the last 16 years.
SECTION 2.2.(f) Notwithstanding G.S. 105‑187.9(b)(1), the sum to be transferred under that subdivision for the 2005‑2006 fiscal year and for the 2006‑2007 fiscal year is two hundred fifty million dollars ($250,000,000).
SECTION 2.2.(g) Section 2.2(g) of S.L. 2002‑126 is repealed.
Fund Amount Transferred
Department of Environment and Natural Resources
Budget Code 24300, Fund Code 2338 (DAQ‑Inspections
and Maintenance – Air Pollution) $ 300,000
Budget Code 24300, Fund Code 2106 (DEH – Sleep Products) 200,000
Budget Code 24300, Fund Code 2735 (DLR – Sedimentation Fees) 200,000
Budget Code 24306, Fund Code 2127 (DWM – Clean‑Up Dry
Cleaning Solvent) 4,350,000
Budget Code 24300, Fund Code 2310 (DWQ – Well Construction Fund) 100,000
Budget Code 24300, Fund Code 2335 (DWQ – Lab Certification Fees) 100,000
Budget Code 24300, Fund Code 2341 (DWQ – Water Permits) 500,000
Budget Code 64306, Fund Code 6341 (DWQ – WW Treatment
Maintenance and Repair) 100,000
Budget Code 24304, Fund Code 2982 (DWQ – Riparian Buffer
Restoration) 2,000,000
Department of Correction
Budget Code 24502 (Inmate Canteen/Welfare Fund) 440,000
Judicial Department
Budget Code 22005, Fund Code 2263 (Worthless Check Fund) 100,000
Department of Administration
Budget Code 24160, Fund Code 2000 (NC Flex) 913,950
PART iII. current operations and expansion/highway fund
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
CURRENT OPERATIONS AND EXPANSION/HIGHWAY FUND
SECTION 3.1. Appropriations from the State Highway Fund for the maintenance and operation of the Department of Transportation and for other purposes as enumerated are made for the biennium ending June 30, 2007, according to the following schedule:
Current Operations – Highway Fund 2005‑2006 2006‑2007
Department of Transportation
Administration $ 93,888,317 $ 95,100,980
Division of Highways
Administration 30,621,612 30,632,164
Construction 139,010,000 139,750,000
Maintenance 832,457,458 830,423,288
Planning and Research 4,280,000 4,280,000
OSHA Program 425,000 425,000
Ferry Operations 21,264,811 21,264,811
State Aid
Municipalities 91,910,000 92,650,000
Public Transportation 66,466,447 89,866,447
Railroads 16,531,153 15,531,153
Governor's Highway Safety 293,118 293,118
Division of Motor Vehicles 96,047,914 95,468,137
Other State Agencies 236,639,318 231,279,392
Reserves and Transfers 23,174,852 25,274,852
TOTAL $ 1,653,010,000 $ 1,672,239,342
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
HIGHWAY FUND AVAILABILITY STATEMENT
SECTION 3.2. The Highway Fund availability used in developing the 2005‑2007 biennial budget is shown below:
Highway Fund Availability Statement 2005‑2006 2006‑2007
Beginning Credit Balance $ 10,490,000 $ ‑
Estimated Revenue 1,642,520,000 1,712,940,000
Estimated Reversions ‑ ‑
Total Highway Fund Availability $ 1,653,010,000 $ 1,712,940,000
PART iv. highway trust fund appropriations
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
HIGHWAY TRUST FUND APPROPRIATIONS
SECTION 4.1. Appropriations from the State Highway Trust Fund for the maintenance and operation of the Department of Transportation and for other purposes as enumerated are made for the biennium ending June 30, 2007, according to the following schedule:
Current Operations – Highway Trust Fund 2005‑2006 2006‑2007
Intrastate System $ 472,112,366 $ 496,924,658
Urban Loops 190,902,579 200,935,637
Aid to Municipalities 49,535,599 52,138,988
Secondary Roads 86,825,599 90,358,988
Program Administration 41,295,740 42,918,720
Transfer to General Fund 252,558,117 252,663,009
GRAND TOTAL CURRENT OPERATIONS
AND EXPANSION $ 1,093,230,000 $ 1,135,940,000
Requested by: Representatives Insko, Barnhart
SECTION 5.1.(a) Appropriations from federal block grant funds are made for the fiscal year ending June 30, 2006, according to the following schedule:
COMMUNITY SERVICES BLOCK GRANT
01. Community Action Agencies $ 15,071,666
02. Limited Purpose Agencies 837,315
03. Department of Health and Human Services
to administer and monitor
the activities of the
Community Services Block Grant 837,315
TOTAL COMMUNITY SERVICES BLOCK GRANT $ 16,746,296
SOCIAL SERVICES BLOCK GRANT
01. County departments of social services $ 28,868,189
(Transfer from TANF – $4,500,000)
02. Allocation for in‑home services provided
by county departments of
social services 2,101,113
03. Adult day care services 2,155,301
04. Child Protective Services/CPS Investigative
Services/Child Medical Evaluation Program 238,321
05. Foster Care Services – CCI's 1,706,063
06. Division of Aging and Adult Services – Home and Community
Care Block Grant 1,834,077
07. UNC‑CH CARES Program for training and
consultation services 247,920
08. Mental Health Services Program 422,003
09. Division of Mental Health, Developmental Disabilities, and
Substance Abuse Services – Developmentally Disabled
Services Program 5,000,000
10. Division of Mental Health, Developmental Disabilities,
and Substance Abuse Services 3,234,601
11. Division of Services for the Blind – Independent
Living Program 3,182,987
12. Division of Vocational Rehabilitation Services –
Easter Seals Society/UCP 188,263
13. Office of the Secretary – Office of Economic
Opportunity for N.C. Senior Citizens'
Federation for outreach services to
low‑income elderly persons 41,302
14. Child Care Subsidies 3,150,000
15. Division of Facility Services –
Adult Care Licensure Program 411,897
16. Division of Facility Services –
Mental Health Licensure 205,668
17. State administration 1,706,017
18. Division of Mental Health, Developmental
Disabilities, and Substance Abuse Services –
Administration 18,098
19. Division of Facility Services 37,204
20. Office of the Secretary – NC Interagency Council
for Coordinating Homeless Programs 250,000
21. Department of Administration
for the N.C. State Commission of Indian Affairs
In‑Home Services Program for the Elderly 203,198
22. Transfer to Preventative Health Services Block
Grant for HIV/AIDS education, counseling, and
testing 145,819
TOTAL SOCIAL SERVICES BLOCK GRANT $ 55,348,041
LOW‑INCOME ENERGY BLOCK GRANT
01. Energy Assistance Programs $ 13,208,740
02. Crisis Intervention 9,592,387
03. Administration 3,186,258
County DSS $1,930,734
Division of Social Services $ 300,000
Division of Mental Health, Developmental
Disabilities, and Substance Abuse
Services $ 7,146
Local Residential Energy Efficiency
Service Providers $ 353,820
Office of the Secretary $ 594,558
04. Weatherization Program 4,343,072
05. Department of Administration –
N.C. State Commission of Indian Affairs 54,840
06. Heating Air Repair and Replacement Program 2,025,687
TOTAL LOW‑INCOME ENERGY BLOCK GRANT $ 32,410,984
MENTAL HEALTH SERVICES BLOCK GRANT
01. Provision of community‑based
services for severe and persistently
mentally ill adults $ 6,983,202
02. Provision of community‑based
services to children 3,921,991
03. Comprehensive Treatment Services
Program for Children 1,500,000
04. Administration 568,911
TOTAL MENTAL HEALTH SERVICES BLOCK GRANT $ 12,974,104
SUBSTANCE ABUSE PREVENTION
AND TREATMENT BLOCK GRANT
01. Provision of community‑based
alcohol and drug abuse services,
tuberculosis services, and services
provided by the Alcohol and Drug Abuse
Treatment Centers $ 20,441,082
02. Continuation of services for
pregnant women and women
with dependent children 8,069,524
03. Continuation of services to
IV drug abusers and others at risk
for HIV diseases 4,816,378
04. Child Substance Abuse Prevention 5,835,701
05. Provision of services to children
and adolescents 4,940,500
06. Juvenile Services – Family Focus 851,156
07. Allocation to the Division of Public Health
for HIV/STD Risk Reduction Projects 383,980
08. Allocation to the Division of Public Health
for HIV/STD Prevention by County Health
Departments 209,576
09. Allocation to the Division of Public Health
for the Maternal and Child Health Hotline 37,779
10. Administration 2,596,307
TOTAL SUBSTANCE ABUSE PREVENTION
AND TREATMENT BLOCK GRANT $ 48,181,983
CHILD CARE AND DEVELOPMENT FUND BLOCK GRANT
01. Child care subsidies $158,708,393
02. Quality and availability initiatives 33,059,644
03. Administrative expenses 7,163,654
04. Transfer from TANF Block Grant for
child care subsidies 81,292,880
TOTAL CHILD CARE AND DEVELOPMENT FUND
BLOCK GRANT $280,224,571
TEMPORARY ASSISTANCE TO NEEDY FAMILIES
(TANF) BLOCK GRANT
01. Work First Cash Assistance $107,794,365
02. Work First County Block Grants 94,653,315
03. Child Welfare Workers for local DSS 12,452,391
04. Support Our Students – Department of
Juvenile Justice and Delinquency
Prevention 2,749,642
05. Family Violence Prevention 1,200,000
06. Work First – After‑School Services for
At‑Risk Children
YWCA Central Carolinas
Youth Development Programs $176,000 2,249,642
07. Division of Social Services –
Administration 356,291
08. Office of the Secretary –
Administration 60,249
09. Child Welfare Training 2,550,000
10. Boys and Girls Clubs 1,000,000
11. Work Central Career Advancement Center 550,000
12. Special Children's Adoption Fund 3,000,000
13. Maternity Homes 838,000
14. After‑School Programs for At‑Risk Youth in
Middle Schools 500,000
15. Pregnancy Prevention Initiatives 2,500,000
16. Subsidized Child Care for TANF Recipients 35,331,547
17. TANF Automation Projects 592,500
18. NC FAST Implementation 2,717,298
19. Transfer to the Child Care and
Development Fund Block Grant
for child care subsidies 81,292,880
20. Transfer to Social Services Block Grant for
County Departments of Social Services for
Children's Services 4,500,000
TOTAL TEMPORARY ASSISTANCE TO NEEDY FAMILIES
(TANF) BLOCK GRANT $356,888,120
MATERNAL AND CHILD HEALTH BLOCK GRANT
01. Healthy Mothers/Healthy Children
Block Grants to Aid‑to‑County 9,189,236
02. Children's Health Services Aid‑to‑County 7,364,216
03. Healthy Beginnings Aid‑to‑County 404,559
04. Maternal Health Aid‑to‑County 397,761
05. Children's Health Services 2,878,883
06. Office of Women's Health and
Maternal Health Activities 114,063
07. State Center for Health Statistics 28,874
08. Local Technical Assistance & Training 46,866
09. Injury and Violence Prevention 149,438
10. Office of Minority Health 99,352
11. Special Supplemental Nutrition Program
for Women, Infants and Children (WIC) 25,713
12. Immunization Program – Vaccine Distribution 819,997
13. Administration 518,137
14. Adolescent Pregnancy Prevention Coalition of NC 150,000
TOTAL MATERNAL AND CHILD
HEALTH BLOCK GRANT $ 22,207,095
PREVENTIVE HEALTH SERVICES BLOCK GRANT
01. Statewide Health Promotion Programs $3,653,520
02. Rape Crisis/Victims' Services
Program – Council for Women 197,112
03. Transfer from Social Services
Block Grant – HIV/AIDS education,
counseling, and testing 145,819
04. Oral Health 134,251
05. Administration and Program Support 121,271
06. Osteoporosis Task Force Operating Costs 150,000
TOTAL PREVENTIVE HEALTH SERVICES BLOCK GRANT $4,401,973
GENERAL PROVISIONS
SECTION 5.1.(b) Information to Be Included in Block Grant Plans. – The Department of Health and Human Services shall submit a separate plan for each Block Grant received and administered by the Department, and each plan shall include the following:
(1) A delineation of the proposed allocations by program or activity, including State and federal match requirements.
(2) A delineation of the proposed State and local administrative expenditures.
(3) An identification of all new positions to be established through the Block Grant, including permanent, temporary, and time‑limited positions.
(4) A comparison of the proposed allocations by program or activity with two prior years' program and activity budgets and two prior years' actual program or activity expenditures.
(5) A projection of current year expenditures by program or activity.
(6) A projection of federal Block Grant funds available, including unspent federal funds from the current and prior fiscal years.
SECTION 5.1.(c) Changes in Federal Fund Availability. – If the Congress of the United States increases the federal fund availability for any of the Block Grants administered by the Department of Health and Human Services from the amounts appropriated in this section, the Department shall allocate the increase proportionally across the program and activity appropriations identified for that Block Grant in this section. In allocating an increase in federal fund availability, the Department shall not propose funding for new programs or activities not appropriated in this section or increase State administrative expenditures.
If the Congress of the United States decreases the federal fund availability for any of the Block Grants administered by the Department of Health and Human Services from the amounts appropriated in this section, the Department shall reduce State administration by at least the percentage of the reduction in federal funds. After determining the State administration, the remaining reductions shall be allocated proportionately across the program and activity appropriations identified for that Block Grant in this section. In allocating a decrease in federal fund availability, the Department shall not eliminate the funding for a program or activity appropriated in this section unless it is related to the State administration.
Prior to allocating the change in federal fund availability, the proposed allocation must be approved by the Office of State Budget and Management. If the Department adjusts the allocation of any Block Grant due to changes in federal fund availability, then a report shall be made to the Joint Legislative Commission on Governmental Operations, the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division.
SECTION 5.1.(d) All changes to the budgeted allocations to the Block Grants administered by the Department of Health and Human Services that are not specifically addressed in this section shall be approved by the Office of State Budget and Management, and a report shall be submitted to the Joint Legislative Commission on Governmental Operations for review prior to implementing the changes. All changes to the budgeted allocations to the Block Grant shall be reported immediately to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division.
SECTION 5.1.(e) The Department of Health and Human Services shall develop a monitoring and oversight plan for all recipients, both public and private, and subrecipients of the federal Block Grant funding. The plan shall be modeled after the Department's performance contracting initiative and include the following:
(1) Performance standards for recipients.
(2) Financial audit standards for non‑State entities equivalent to the requirements in G.S. 143‑6.2 for non‑State entities receiving State funds.
(3) Means for collecting performance data from recipients.
(4) Any other information necessary for monitoring and overseeing the use of Block Grant funding.
The Department shall provide the plan to the Fiscal Research Division by January 1, 2006.
SECTION 5.1.(f) The Department of Health and Human Services shall report to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division on positions funded from federal Block Grants. The report shall include the following for each Block Grant:
(1) All State positions currently funded through the Block Grant, including permanent, temporary, and time‑limited positions.
(2) Budgeted salary and fringe benefits for each position.
(3) Identify the percentage of Block Grant funds used to fund each position.
The report shall be submitted no later than December 1, 2005.
SOCIAL SERVICES BLOCK GRANT
LOW‑INCOME HOME ENERGY ASSISTANCE PROGRAM
SECTION 5.1.(h) Additional emergency contingency funds received may be allocated for Energy Assistance Payments or Crisis Intervention Payments without prior consultation with the Joint Legislative Commission on Governmental Operations. Additional funds received shall be reported to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division upon notification of the award. The Department of Health and Human Services shall not allocate funds for any activities, including increasing administration, other than assistance payments, without prior consultation with the Joint Legislative Commission on Governmental Operations.
MENTAL HEALTH BLOCK GRANT
SECTION 5.1.(i) The sum of one million five hundred thousand dollars ($1,500,000) appropriated in this section in the Mental Health Block Grant to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2005‑2006 fiscal year, and the sum of four hundred twenty‑two thousand three dollars ($422,003) appropriated in this section in the Social Services Block Grant to the Department of Health and Human Services, Division of Social Services, for the 2005‑2006 fiscal year shall be used to continue a Comprehensive Treatment Services Program for Children in accordance with Section 10.25 of this act.
SECTION 5.1.(j) The Department of Health and Human Services shall contract with the University of North Carolina at Chapel Hill for the purpose of providing psychology student stipends in the amount of fifty thousand dollars ($50,000) for the 2005‑2006 fiscal year. Twenty‑five thousand dollars ($25,000) of this contract shall be paid from the Mental Health Block Grant.
CHILD CARE AND DEVELOPMENT FUND BLOCK GRANT
SECTION 5.1.(k) The sum of no more than four hundred thousand dollars ($400,000) appropriated in this section to the Department of Health and Human Services in the Child Care and Development Fund Block Grant may be used for the operations of the Medical Child Care Pilot.
SECTION 5.1.(l) Payment for subsidized child care services provided with federal TANF funds shall comply with all regulations and policies issued by the Division of Child Development and School Readiness for the subsidized child care program.
SECTION 5.1.(m) If funds appropriated through the Child Care and Development Fund Block Grant for any program cannot be obligated or spent in that program within the obligation or liquidation periods allowed by the federal grants, the Department may move funds to child care subsidies, unless otherwise prohibited by federal requirements of the grant, in order to use the federal funds fully.
TEMPORARY ASSISTANCE FOR NEEDY FAMILIES BLOCK GRANT (TANF)
SECTION 5.1.(n) The sum of four hundred sixteen thousand five hundred forty dollars ($416,540) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services, Division of Social Services, for the 2005‑2006 fiscal year shall be used to support administration of TANF‑funded programs.
SECTION 5.1.(o) The sum of two million seven hundred forty‑nine thousand six hundred forty‑two dollars ($2,749,642) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services and transferred to the Department of Juvenile Justice and Delinquency Prevention for the 2005‑2006 fiscal year shall be used to support the existing Support Our Students Program, including gang prevention, and to expand the Program statewide, focusing on low‑income communities in unserved areas. These funds shall not be used for administration of the Program.
SECTION 5.1.(p) The sum of one million two hundred thousand dollars ($1,200,000) appropriated under this section in the TANF Block Grant to the Department of Health and Human Services, Division of Social Services, for the 2005‑2006 fiscal year shall be used to provide domestic violence services to Work First recipients. These funds shall be used to provide domestic violence counseling, support, and other direct services to clients. These funds shall not be used to establish new domestic violence shelters or to facilitate lobbying efforts. The Division of Social Services may use up to seventy‑five thousand dollars ($75,000) in TANF funds to support one administrative position within the Division of Social Services to implement this subsection.
Each county department of social services and the local domestic violence shelter program serving the county shall jointly develop a plan for utilizing these funds. The plan shall include the services to be provided and the manner in which the services shall be delivered. The county plan shall be signed by the county social services director or the director's designee and the domestic violence program director or the director's designee and submitted to the Division of Social Services by December 1, 2005. The Division of Social Services, in consultation with the Council for Women, shall review the county plans and shall provide consultation and technical assistance to the departments of social services and local domestic violence shelter programs, if needed.
The Division of Social Services shall allocate these funds to county departments of social services according to the following formula: (i) each county shall receive a base allocation of five thousand dollars ($5,000); and (ii) each county shall receive an allocation of the remaining funds based on the county's proportion of the statewide total of the Work First caseload as of July 1, 2005, and the county's proportion of the statewide total of the individuals receiving domestic violence services from programs funded by the Council for Women as of July 1, 2005. The Division of Social Services may reallocate unspent funds to counties that submit a written request for additional funds.
The Department of Health and Human Services shall report on the uses of these funds no later than March 1, 2006, to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division.
SECTION 5.1.(q) The sum of two million two hundred forty‑nine thousand six hundred forty‑two dollars ($2,249,642) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services, Division of Social Services, shall be used to expand after‑school programs and services for at‑risk children. The Department shall develop and implement a grant program to award grants to community‑based programs that demonstrate the ability to reach children at risk of teen pregnancy, school dropout, and gang participation. The Department shall award grants to community‑based organizations that demonstrate the ability to develop and implement linkages with local departments of social services, area mental health programs, schools, and other human services programs in order to provide support services and assistance to the child and family. These funds may be used to fund one position within the Division of Social Services to coordinate at‑risk after‑school programs and shall not be used for other State administration. The Department shall report no later than March 1, 2006, on its progress in complying with this section to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division.
SECTION 5.1.(s) The sum of two million five hundred fifty thousand dollars ($2,550,000) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services, Division of Social Services, for fiscal year 2005‑2006 shall be used to support various child welfare training projects as follows:
(1) Provide a regional training center in southeastern North Carolina.
(2) Support the Masters Degree in Social Work/Baccalaureate Degree in Social Work Collaborative.
(3) Provide training for residential child care facilities.
(4) Provide for various other child welfare training initiatives.
SECTION 5.1.(t) The sum of eight hundred thirty‑eight thousand dollars ($838,000) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services shall be used to purchase services at maternity homes throughout the State.
SECTION 5.1.(u) The sum of three million dollars ($3,000,000) appropriated in this section in the TANF Block Grant to the Department of Health and Human Services, Special Children Adoption Fund, for the 2005‑2006 fiscal year shall be used in accordance with Section 10.48 of this act. The Division of Social Services, in consultation with the North Carolina Association of County Directors of Social Services and representatives of licensed private adoption agencies, shall develop guidelines for the awarding of funds to licensed public and private adoption agencies upon the adoption of children described in G.S. 108A‑50 and in foster care. Payments received from the Special Children Adoption Fund by participating agencies shall be used exclusively to enhance the adoption services program. No local match shall be required as a condition for receipt of these funds.
SECTION 5.1.(v) The sum of one million seven hundred six thousand sixty three dollars ($1,706,063) appropriated in this section in the TANF Block Grant and transferred to the Social Services Block Grant to the Department of Health and Human Services, Division of Social Services, for child caring agencies for the 2005‑2006 fiscal year shall be allocated to the State Private Child Caring Agencies Fund.
SECTION 5.1.(w) The sum of one million dollars ($1,000,000) appropriated in this section to the Department of Health and Human Services in the TANF Block Grant for Boys and Girls Clubs shall be used to make grants for approved programs. The Department of Health and Human Services, in accordance with federal regulations for the use of TANF Block Grant funds, shall administer a grant program to award funds to the Boys and Girls Clubs across the State in order to implement programs that improve the motivation, performance, and self‑esteem of youths and to implement other initiatives that would be expected to reduce gang participation, school dropout, and teen pregnancy rates. The Department shall encourage and facilitate collaboration between the Boys and Girls Clubs and Support Our Students, Communities in Schools, and similar programs to submit joint applications for the funds if appropriate.
SECTION 5.1.(x) The sum of five hundred fifty thousand dollars ($550,000) appropriated in this section to the Department of Health and Human Services in the TANF Block Grant shall be transferred to Work Central, Inc. Work Central, Inc., shall report on the number of people served and the services received as a result of the receipt of funds. The report shall contain expenditure data, including the amount of funds used for administration and direct training. The report shall also include the number of people who have been employed as a direct result of services provided by Work Central, Inc., including the length of employment in the new position. The Department of Health and Human Services shall evaluate the program and ensure that services provided are not duplicative of local employment security commissions in the nine counties served by Work Central, Inc. The evaluation report shall be submitted to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division no later than May 1, 2006.
SECTION 5.1.(y) The sum of two million seven hundred seventeen thousand two hundred ninety‑eight dollars ($2,717,298) in this section appropriated to the Department of Health and Human Services in the TANF Block Grant shall be used to implement N.C. FAST (North Carolina Families Accessing Services through Technology). The N.C. FAST Program involves the entire automation initiative through which families access services and local departments of social services deliver benefits, supervised by the Department of Health and Human Services, Divisions of Social Services, Aging and Adult Services, Medical Assistance, and Child Development. The statewide automated initiative shall be implemented in compliance with federal regulations in order to ensure federal financial participation in the project. The Department of Health and Human Services shall report on its compliance with this subsection to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division no later than January 1, 2006.
MATERNAL AND CHILD HEALTH BLOCK GRANT
SECTION 5.1.(aa) If federal funds are received under the Maternal and Child Health Block Grant for abstinence education, pursuant to section 912 of Public Law 104‑193 (42 U.S.C. § 710), for the 2005‑2006 fiscal year, then those funds shall be transferred to the State Board of Education to be administered by the Department of Public Instruction. The Department of Public Instruction shall use the funds to establish an Abstinence Until Marriage Education Program and shall delegate to one or more persons the responsibility of implementing the program and G.S. 115C‑81(e1)(4). The Department of Public Instruction shall carefully and strictly follow federal guidelines in implementing and administering the abstinence education grant funds.
SECTION 5.1.(bb) The Department of Health and Human Services shall ensure that there will be follow‑up testing in the Newborn Screening Program.
SECTION 5.1.(cc) Of the funds budgeted in the Maternal and Child Health Block Grant, three million two hundred fifty thousand dollars ($3,250,000) shall be used for a school nurse funding initiative for the 2005‑2006 fiscal year. The Department of Health and Human Services, Division of Public Health, in conjunction with the Department of Public Instruction, shall provide funds to communities to hire school nurses. The program will fund approximately 65 time‑limited nurses. The criteria shall include determining the areas in the greatest need for school nurses with the greatest inability to pay for these nurses. Among other criteria, consideration shall also be given to (i) the current nurse‑to‑student ratio; (ii) the economic status of the community; and (iii) the health needs of area children.
There shall be no supplanting of local or Title I funds with these block grant funds. Communities shall maintain their current level of effort and funding for school nurses. No block grant funds shall be used for funding nurses for State agencies. All funding shall be used for direct services.
The Department of Health and Human Services shall report on the use of funds allocated under this section by December 1, 2005, to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division.
Requested by: Representatives Hunter, Warren
COMMUNITY DEVELOPMENT BLOCK GRANT
01. State Administration $ 1,000,000
02. Urgent Needs and Contingency 1,000,000
03. Scattered Site Housing 13,200,000
04. Economic Development 8,710,000
05. Community Revitalization 13,500,000
06. State Technical Assistance 450,000
07. Housing Development 2,000,000
08. Infrastructure 5,140,000
TOTAL COMMUNITY DEVELOPMENT
BLOCK GRANT – 2006 Program Year $ 45,000,000
(1) A reallocation is required because of an emergency that poses an imminent threat to public health or public safety, the Director of the Budget may authorize the reallocation without consulting the Commission. The Department of Commerce shall report to the Commission on the reallocation no later than 30 days after it was authorized and shall identify in the report the emergency, the type of action taken, and how it was related to the emergency.
(2) The State will lose federal block grant funds or receive less federal block grant funds in the next fiscal year unless a reallocation is made, the Department of Commerce shall provide a written report to the Commission on the proposed reallocation and shall identify the reason that failure to take action will result in the loss of federal funds. If the Commission does not hear the issue within 30 days of receipt of the report, the Department may take the action without consulting the Commission.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
APPROPRIATION OF CASH BALANCES AND RECEIPTS
(1) For all budget codes listed in "State of North Carolina, Recommended Continuation Budget 2005‑2007, Volumes 1 through 6", cash balances and receipts are appropriated up to the amounts specified in Volumes 1 through 6, as adjusted by the General Assembly, for the 2005‑2006 fiscal year and the 2006‑2007 fiscal year. Funds may be expended only for the programs, purposes, objects, and line items specified in Volumes 1 through 6, or otherwise authorized by the General Assembly.
(2) For all budget codes that are not listed in "State of North Carolina, Recommended Continuation Budget 2005‑2007, Volumes 1 through 6", cash balances and receipts are appropriated for each year of the 2005‑2007 fiscal biennium up to the level of actual expenditures for the 2004‑2005 fiscal year, unless otherwise provided by law. Funds may be expended only for the programs, purposes, objects, and line items authorized for the 2004‑2005 fiscal year.
(3) Notwithstanding subdivisions (1) and (2) of this subsection, any receipts that are required to be used to pay debt service requirements for various outstanding bond issues and certificates of participation are appropriated up to the actual amounts received for the 2005‑2006 fiscal year and the 2006‑2007 fiscal year and shall be used only to pay debt service requirements.
(4) Notwithstanding subdivisions (1) and (2) of this subsection, cash balances and receipts of funds that meet the definition issued by the Governmental Accounting Standards Board of a trust or agency fund are appropriated for and in the amounts required to meet the legal requirements of the trust agreement for the 2005‑2006 fiscal year and the 2006‑2007 fiscal year.
All these cash balances, federal funds, departmental receipts, grants, and gifts shall be expended and reported in accordance with the provisions of the Executive Budget Act, except as otherwise provided by law and this section.
Overrealized receipts are appropriated up to the amounts necessary to implement this subsection.
In addition to the consultation and reporting requirements set out in G.S. 143‑23 and G.S. 143‑27, the Office of State Budget and Management shall report to the Joint Legislative Commission on Governmental Operations and to the Fiscal Research Division of the Legislative Services Office within 30 days after the end of each quarter on any overrealized receipts approved for expenditure under this subsection by the Director of the Budget. The report shall include the source of the receipt, the amount overrealized, the amount authorized for expenditure, and the rationale for expenditure.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
CONTINGENCY AND EMERGENCY FUND ALLOCATIONS
SECTION 6.2. Funds in the amount of five million dollars ($5,000,000) for the 2005‑2006 fiscal year and five million dollars ($5,000,000) for the 2006‑2007 fiscal year are appropriated in this act to the Contingency and Emergency Fund. Of these funds:
(1) Up to five hundred thousand dollars ($500,000) for the 2005‑2006 fiscal year may be used for purposes related to the Base Realignment and Closure Act (BRAC); and
(2) Up to five hundred thousand dollars ($500,000) for the 2005‑2006 fiscal year and up to five hundred thousand dollars ($500,000) for the 2006‑2007 fiscal year may be expended for purposes other than those set out in G.S. 143‑23(a1)(2) or in subdivision (1) of this section.
The remainder of these funds shall be expended for purposes outlined in G.S. 143‑23(a1)(2).
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
EXPENDITURES OF FUNDS IN RESERVES LIMITED
SECTION 6.3. All funds appropriated by this act into reserves may be expended only for the purposes for which the reserves were established.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
BUDGET REPORTS ACCURATELY REFLECT PROJECTED RECEIPTS, EXPENDITURES, FUND BALANCES, AND ACTUAL COLLECTIONS
SECTION 6.4. G.S. 143‑11(a) reads as rewritten:
"§
143‑11. Survey of departments. departments and recommended
budget report.
(a) On or before the fifteenth day of December, biennially in the even‑numbered years, the Director shall make a complete, careful survey of the operation and management of all the departments, bureaus, divisions, officers, boards, commissions, institutions, and agencies and undertakings of the State and all persons or corporations who use or expend State funds, in the interest of economy and efficiency, and of obtaining a working knowledge upon which to base recommendations to the General Assembly as to appropriations for maintenance and special funds and capital expenditures for the succeeding biennium. If the Director and the Commission shall agree in their recommendations for the budget for the next biennial period, he shall prepare their report in the form of a proposed budget, together with such comment and recommendations as they may deem proper to make. If the Director and Commission shall not agree in substantial particulars, the Director shall prepare the proposed budget based on his own conclusions and judgment, and the Commission or any of its members retain the right to submit separately to the General Assembly such statement of disagreement and the particulars thereof as representing their views. The budget report shall contain a complete and itemized plan of all proposed expenditures for each State department, bureau, board, division, institution, commission, State agency or undertaking, person or corporation who receives or may receive for use and expenditure any State funds, in accordance with the classification of funds and accounts adopted by the State Controller, and of the estimated revenues and borrowings for each year in the ensuing biennial period beginning with the first day of July thereafter. Opposite each line item of the proposed expenditures, the budget shall show in separate parallel columns:
(1) Proposed expenditures and receipts for each fiscal year of the biennium;
(2) The certified budget for the preceding fiscal year;
(3) The currently authorized budget for the preceding fiscal year;
(4) Actual expenditures and receipts for the most recent fiscal year for which actual expenditure information is available; and
(5) Proposed increases and decreases.
Revenue and expenditure information shall be no less specific than the two‑digit level in the State Accounting System Chart of Accounts as prescribed by the State Controller. The budget shall clearly differentiate between general fund expenditures for operating and maintenance, special fund expenditures for any purpose, and proposed capital improvements. The budget report shall include accurate projections of receipts, expenditures, and fund balances for all budget codes, funds, and accounts. Estimated receipts, including tuition collected by university or community college institutions, shall be adjusted to reflect actual collections from the previous fiscal year, unless the Director either (i) recommends a change that will result in collections in the budget year that differ from the actual collections of the prior year or (ii) otherwise determines there is a more reasonable basis upon which to accurately project receipts."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
AUTHORIZATION TO ESTABLISH RECEIPT‑SUPPORTED POSITIONS
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
develop and implement OVERHEAD COST RECOVERY
(1) For each receipt, determine the authority and requirements for the allocation of overhead costs and collection of overhead receipts.
(2) For each receipt for which the State currently redirects a portion for overhead costs, ensure that all future receipts revert to the General Fund in accordance with the State Budget Manual, except as otherwise required by law.
(3) For each receipt for which the State does not currently redirect a portion for overhead costs, establish an indirect cost allocation methodology and redirect a portion of future receipts for overhead costs to the General Fund, except as otherwise required by law.
(5) Estimate the anticipated reimbursement to the General Fund for the 2006‑2007 fiscal year.
(6) Effective with the 2006‑2007 fiscal year, the Office of State Budget and Management shall implement the overhead cost recovery program to maximize reimbursement of statewide indirect costs supported by the General Fund.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
PRIOR CONSULTATION WITH THE JOINT LEGISLATIVE COMMISSION ON GOVERNMENTAL OPERATIONS
"§ 120‑76.1. Prior consultation with the Commission.
(a) Notwithstanding
the provisions of this subdivision G.S. 120‑76(8) or
any other provision of law requiring prior consultation by the Governor with
the Commission, whenever an expenditure is required because of an emergency
that poses an imminent threat to public health or public safety, and is either
the result of a natural event, such as a hurricane or a flood, or an accident,
such as an explosion or a wreck, the Governor may take action under this
subsection without consulting the Commission if the action is determined by
the Governor to be related to the emergency. The Governor shall report to the
Commission on any expenditures made under this paragraph subsection no
later than 30 days after making the expenditure and shall identify in the report
the emergency, the type of action taken, and how it was related to the
emergency.
(b) Any agency, board, commission, or other entity required under G.S. 120‑76(8) or any other provision of law to consult with the Commission prior to taking an action shall submit a detailed report of the action under consideration to the Chairs of the Commission, the Commission Assistant, and the Fiscal Research Division of the General Assembly. If the Commission does not hold a meeting to hear the consultation within 60 days of receiving the submission of the detailed report, the consultation requirement is satisfied."
SECTION 6.7.(b) G.S. 143‑23(a1) reads as rewritten:
"(a1) Notwithstanding the provisions of subsection (a) of this section, a department, institution, or other spending agency may, with approval of the Director of the Budget, spend more than was appropriated for:
(1) An object or line item within a purpose or program so long as the total amount expended for the purpose or program is no more than was appropriated from all sources for the purpose or program for the fiscal period;
(2) A purpose or program, without consultation with the Joint Legislative Commission on Governmental Operations, if the overexpenditure of the purpose or program is:
a. Required by a court, Industrial Commission, or administrative hearing officer's order;
b. Required to respond to an unanticipated disaster such as a fire, hurricane, or tornado; or
c. Required to call out the National Guard.
The Director of the Budget shall report on a quarterly basis to the Joint Legislative Commission on Governmental Operations on any overexpenditures under this subdivision; or
(3) A purpose or program, after consultation with the Joint Legislative Commission on Governmental Operations in accordance with G.S. 120‑76(8), and only if: (i) the overexpenditure is required to continue the purpose or programs due to complications or changes in circumstances that could not have been foreseen when the budget for the fiscal period was enacted and (ii) the scope of the purpose or program is not increased. The consultation is required as follows:
a. For a purpose or program with a certified budget of up to five million dollars ($5,000,000), consultation is required when the authorization for the overexpenditure exceeds ten percent (10%) of the certified budget;
b. For a purpose or program with a certified budget of from five million dollars ($5,000,000) up to twenty million dollars ($20,000,000), consultation is required when the authorization for the overexpenditure exceeds five hundred thousand dollars ($500,000) or seven and one‑half percent (7.5%) of the certified budget, whichever is greater;
c. For a purpose or program with a certified budget of twenty million dollars ($20,000,000) or more, consultation is required when the authorization for the overexpenditure exceeds one million five hundred thousand dollars ($1,500,000) or five percent (5%) of the certified budget, whichever is greater;
d. For a purpose or program supported by federal funds or when expenditures are required for the reasons set out in subdivision (2) of this subsection, no consultation is required.
If the Joint Legislative
Commission on Governmental Operations does not meet for more than 30 days, the
Director of the Budget may satisfy the requirements of the subsection to report
to or consult with the Commission by reporting to or consulting with a joint
meeting of the Chairs of the Appropriations Committees of the Senate and the
House of Representatives."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
CONSULTATION NOT REQUIRED PRIOR TO ESTABLISHING OR INCREASING FEES IN ACCORDANCE WITH BUDGET ACT
SECTION 6.8.(b) This section expires June 30, 2007.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
STATE MONEY RECIPIENTS/CONFLICT OF INTEREST POLICY/vendor fraud
SECTION 6.9.(a) G.S. 143‑6.2 reads as rewritten:
"§ 143‑6.2. Use of State funds by non‑State entities.
(a) Disbursement and Use of State Funds. – Every non‑State entity that receives, uses, or expends any State funds shall use or expend the funds only for the purposes for which they were appropriated by the General Assembly. State funds include federal funds that flow through the State. For the purposes of this section, the term "non‑State entity" means a firm, corporation, partnership, association, unit of local government, public authority, or any other person, organization, group, or governmental entity that is not a State agency, department, or institution. For the purposes of this section, "unit of local government" has the meaning set out in G.S. 159‑7(15) and "public authority" has the meaning set out in G.S. 159‑7(10).
(a1) Every non‑State entity subject to the provisions of subsection (a) of this section shall file with the State agency or department disbursing funds to the entity a copy of that entity's policy addressing conflicts of interest that may arise involving the entity's management employees and the members of its board of directors or other governing body before funds may be disbursed to the entity. The policy shall address situations in which any of these individuals may directly or indirectly benefit, except as the entity's employees or members of the board or other governing body, from the entity's disbursing of State funds, and shall include actions to be taken by the entity or the individual, or both, to avoid conflicts of interest and the appearance of impropriety.
(a2) A vendor of goods or services that receives payment from a State agency or department shall not be required to file a conflict of interest policy with the State agency or department disbursing funds.
(b) For the purposes of this section, the term "grantee" means a non‑State entity that receives a grant of State funds from a State agency, department, or institution but does not include any non‑State entity subject to the audit and other reporting requirements of the Local Government Commission. The term "grantee" shall not include a vendor of goods or services. The term "subgrantee" means a non‑State entity that receives a grant of State funds from a grantee or from another subgrantee but does not include any non‑State entity subject to the audit and other reporting requirements of the Local Government Commission. The terms "State grant funds" and "State grants" do not include any payment made by the Medicaid program, the Teachers' and State Employees' Comprehensive Major Medical Plan, or other similar medical programs.
(c) Compliance by Non‑State Entities. – If the Director of the Budget finds that a non‑State entity has spent or encumbered State funds for an unauthorized purpose, the Director shall take appropriate administrative action to ensure that no further irregularities occur and shall report to the Attorney General any facts that pertain to an apparent violation of a criminal law or an apparent instance of malfeasance, misfeasance, or nonfeasance in connection with the use of State funds.
(c1) Fraud by Vendors. – If the Director of the Budget finds that a vendor of goods or services may have obtained State funds fraudulently, the Director shall report all facts that pertain to the alleged fraud to the Attorney General and to the appropriate local law enforcement authorities.
(d) The Office of State Budget and Management shall adopt rules to ensure the uniform administration of State grants by all grantor State agencies and grantees or subgrantees. The rules shall establish policies and procedures for disbursements of grants and for State agency oversight, monitoring, and evaluation of grantees and subgrantees. Such policies and procedures shall:
(1) Ensure that the purpose and reporting requirements of each grant are specified to the grantee.
(2) Ensure that grantees specify the purpose and reporting requirements for grants made to subgrantees.
(3) Ensure that funds are spent in accordance with the purposes for which they were granted.
(4) Hold the grantees and subgrantees accountable for the legal and appropriate expenditure of State grant funds.
(5) Provide for adequate oversight and monitoring to prevent the misuse of State funds.
(6) Establish mandatory periodic reporting requirements for grantees and subgrantees, including methods of reporting, to provide financial and program performance information. The mandatory periodic reporting requirements shall require grantees and subgrantees to file with the State Auditor copies of reports and statements that are filed with State agencies pursuant to this subsection.
(7) Require grantees and subgrantees to maintain reports, records, and other information to properly account for the expenditure of all State grant funds and to make such reports, records, and other information available to the grantor State agency for oversight, monitoring, and evaluation purposes.
(8) Require grantees and subgrantees to ensure that work papers in the possession of their auditors are available to the State Auditor for the purposes set out in subsection (h) of this section.
(9) Require grantees to be responsible for managing and monitoring each project, program, or activity supported by State grant funds and each subgrantee project, program, or activity supported by State grant funds.
(10) Provide procedures for the suspension of further disbursements or use of State grant funds for noncompliance with these rules or other inappropriate use of the funds.
(11) Provide procedures for use in appropriate circumstances for reinstatement of disbursements that have been suspended for noncompliance with these rules or other inappropriate use of State grant funds.
(12) Provide procedures for the recovery and return to the grantor State agency of unexpended State grant funds from a grantee or subgrantee if the grantee or subgrantee is unable to fulfill the purposes of the grant.
(13) Require grantees to report their policies addressing conflicts of interest that may arise involving the entity's management employees and the members of its board of directors or other governing body before funds may be disbursed to the entity. The policy shall meet the requirements of subsection (a1) of this section.
(e) Notwithstanding the provisions of G.S. 150B‑2(8a)b, rules adopted pursuant to subsection (d) of this section are subject to the provisions of Chapter 150B of the General Statutes.
(f) The Office of State Budget and Management shall consult with the Office of the State Auditor and the Attorney General in establishing the rules required by subsection (d) of this section.
(g) The Office of State Budget and Management, after consultation with the administering agency, shall have the power to suspend disbursement of State grant funds to grantees or subgrantees, to prevent further use of State grant funds already disbursed, and to recover State grant funds already disbursed for noncompliance with rules adopted pursuant to subsection (d) of this section. If the grant funds are a pass‑through of funds granted by an agency of the United States, then the Office of State Budget and Management must consult with the granting agency of the United States and the State agency that is the recipient of the pass‑through funds prior to taking the actions authorized by this subsection.
(h) Audit Oversight. – The State Auditor has audit oversight, with respect to State grant funds received by the grantee or subgrantee, pursuant to Article 5A of Chapter 147 of the General Statutes, of every grantee or subgrantee that receives, uses, or expends State grant funds. A grantee or subgrantee must, upon request, furnish to the State Auditor for audit all books, records, and other information necessary for the State Auditor to account fully for the use and expenditure of State grant funds received by the grantee or subgrantee. The grantee or subgrantee must furnish any additional financial or budgetary information requested by the State Auditor, including audit work papers in the possession of any auditor of a grantee or subgrantee directly related to the use and expenditure of State grant funds.
(i) Not later than May 1, 2007, and by May 1 of every succeeding year, the Office of State Budget and Management shall report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on all grantees or subgrantees that failed to comply with this section during the prior fiscal year, including the amount of State funds that were disbursed to each of those grantees or subgrantees during that fiscal year and the amount of State funds that were withheld.
(j) Grantor State agencies shall submit a list to the State Auditor, in the format prescribed by the State Auditor, by October 31 each year of every grantee to which the agency disbursed State funds in the prior fiscal year, the amount disbursed, the amount disbursed to each grantee, and other such information as required by the State Auditor to comply with the requirements set forth in this section.
(k) Civil Actions. – Civil actions to recover State funds or to obtain other mandatory orders in the name of the State on relation of the Attorney General, or in the name of the Office of State Budget and Management, shall be filed in the General Court of Justice in Wake County."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
NON‑STATE ENTITIES SHALL NOT HAVE OUTSTANDING TAX ASSESSMENTS/APPLICABILITY OF REPORTING REQUIREMENTS
SECTION 6.10.(a) G.S. 143‑6.2 is amended by adding a new subsection to read:
"(c1) No Overdue Tax Debts. – No grantee or subgrantee shall receive a grant of State funds from a State agency, department, or institution if the grantee or subgrantee has any overdue tax debts, as defined by G.S. 105‑243.1, at the federal, State, or local level."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
INFORMATION TECHNOLOGY fund availability statement
FY 2005‑2006 FY 2006‑2007
Receipts from Information Technology
Enterprise Fee (G.S. 147‑33.82) $5,000,000 $5,000,000
Transfer from June 30, 2005, Information Technology
Services Internal Service Fund cash balance to
support statewide IT initiatives $5,000,000
Appropriation from General Fund $24,375,000 $8,025,000
Total Funds Available $34,375,000 $13,025,000.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
INFORMATION TECHNOLoGY APPROPRIATIONS
Office of Information Technology Services FY 2005‑2006 FY 2006‑2007
To establish two project management assistant
positions and one enterprise licensing position
and to purchase and maintain asset management
software and enterprise licenses. $1,600,000 $1,400,000
To continue existing activities including project
management assistance, security, asset management,
legal support, and legacy system assessment. $5,100,000 $3,300,000
To provide services previously supported by
cross subsidies in the rate structure, including
State portal maintenance, security services,
enterprise identity management, and office
operations. $6,300,000 $5,800,000
To facilitate consolidation of information
technology services in State agencies. $500,000
Office of State Controller
To initiate replacement of the State's personnel
and payroll systems consistent with the analysis
and findings of the Statewide Business Infra‑
structure study. $20,875,000 $2,525,000
Total Appropriation $34,375,000 $13,025,000
Funds appropriated under this section are subject to the reporting requirement set out in G.S. 147‑33.72H.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Monitor and Evaluate Lease Purchase Activity
(1) Develop and implement a management process that does all of the following:
a. Standardizes the criteria used by executive branch agencies to evaluate the business case for acquisitions by lease purchase.
b. Provides for executive branch agency budget submissions that clearly show current and proposed debt service requirements occasioned by existing and proposed lease purchase agreements.
c. Provides that all lease purchase agreements entered into by executive branch agencies are centrally inventoried and monitored.
d. Includes debt accruing through lease purchase activity by executive branch agencies in the annual report of the Debt Affordability Advisory Committee required by G.S. 142‑101.
e. Evaluates the advantages of a pooled or master lease arrangement.
(2) Prepare a consolidated report summarizing by State agency all lease purchase expenditures in the current fiscal year and all lease purchase expenditures planned for the upcoming fiscal year and submit the report to the Chairs of the House of Representatives and Senate Appropriations Committees and to the Fiscal Research Division on the first day of the 2006 and 2007 Regular Sessions of the General Assembly.
SECTION 6.17.(b) This section does not apply to The University of North Carolina.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
PRIVATE license PLATES on publicly owned motor vehicles
SECTION 6.18.(a) Section 6.14(b) of S.L. 2001‑424 is repealed.
SECTION 6.18.(b) This section becomes effective April 30, 2005.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 6.19. G.S. 143B‑426.39 reads as rewritten:
"§ 143B‑426.39. Powers and duties of the State Controller.
The State Controller shall:
…
(6) Operate a central
payroll system, in accordance with G.S. 143‑3.2 and 143‑34.1.
Prescribe, develop, operate, and maintain a uniform payroll system, in
accordance with G.S. 143‑3.2 and G.S. 143‑34.1, for all
State agencies. This uniform payroll system shall be designed to assure
compliance with all legal and constitutional requirements. When the State
Controller finds it expedient to do so because of a State agency's size and
location, the State Controller may authorize a State agency to operate its own
payroll system. Any State agency authorized by the State Controller to operate
its own payroll system shall comply with the requirements adopted by the State
Controller.
…."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
study state construction inspections
(1) The scope and nature of each type of inspection of private and public construction projects performed or required by State agencies.
(2) The extent to which State inspections overlap with inspections performed by local governments.
(3) The total cost of the State's inspection of public and private construction projects.
(4) The comparative efficiencies and efficacies of each type of inspection of private and public construction projects performed or required by State agencies to determine whether:
a. The inspections can be combined to save the costs of administrations and to limit any hardships on public and private entities engaged in construction projects.
b. Any inspections should be otherwise modified in scope or eliminated.
(5) The level of training of the various inspectors in the State agencies and whether the training is satisfactory for the types of inspections performed.
(6) Any other matter related to increasing the efficiency and efficacy of the State's inspection of public and private construction projects.
SECTION 6.20.(b) The Commission shall consist of 14 members appointed as follows:
(1) Five voting members appointed by the Speaker of the House of Representatives.
(2) Five voting members appointed by the President Pro Tempore of the Senate.
(3) Four nonvoting ex officio members, or their designees, including the Commissioner of Labor, the Commissioner of Insurance, the Secretary of Administration, and the Secretary of Health and Human Services.
The Speaker of the House of Representatives and the President Pro Tempore of the Senate shall each appoint a cochair for the Commission. The Commission may contract for consultant services as provided by G.S. 120‑32.02. Upon approval of the Legislative Services Commission, the Legislative Services Officer shall assign professional and clerical staff to assist in the work of the Commission. Clerical staff shall be furnished to the Commission through the offices of the House of Representatives and the Senate Directors of Legislative Assistants. The Commission may meet in the Legislative Building or the Legislative Office Building upon the approval of the Legislative Services Commission. Members of the Commission shall receive per diem, subsistence, and travel allowances at the rate established in G.S. 120‑3.1. The appointing authority shall fill vacancies.
The Commission, while in the discharge of its official duties, may exercise all the powers provided under the provisions of G.S. 120‑19 through G.S. 120‑19.4, including the power to request all officers, agents, agencies, and departments of the State to provide any information, data, or documents within their possession, ascertainable from their records, or otherwise available to them, and the power to subpoena witnesses.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Gibson
CLEAN WATER MANAGEMENT TRUST FUND board of trustees/STUDY STEWARDSHIP of conservation easements
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
COMMISSION ON STATE PROPERTY FUNDS
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Insko
COLLABORATION AMONG DEPARTMENTS OF ADMINISTRATION, health and human services, JUVENILE JUSTICE AND DELINQUENCY PREVENTION, and PUBLIC INSTRUCTION ON SCHOOL‑BASED CHILD AND FAMILY TEAM INITIATIVE
SECTION 6.24.(a) Department of Public Instruction. –
(1) Program established. – There is established the School‑Based Child and Family Team Initiative. The purpose of the Initiative is to identify and coordinate appropriate community services and supports for children at risk of school failure or out‑of‑home placement in order to address the physical, social, legal, emotional, and developmental factors that affect academic performance. The Department of Health and Human Services, the Department of Public Instruction, the Department of Juvenile Justice and Delinquency Prevention, the Administrative Office of the Courts, and other State agencies that provide services for children shall share responsibility and accountability to improve outcomes for these children and their families. The Initiative shall be based on the following principles:
a. The development of a strong infrastructure of interagency collaboration;
b. One child, one team, one plan;
c. Individualized strengths‑based care;
d. Accountability;
e. Cultural competence;
f. Children at risk of school failure or out‑of‑home placement may enter the system through any participating agency;
g. Services shall be specified, delivered, and monitored through a unified Child and Family Plan that is outcome‑oriented and evaluation‑based;
h. Services shall be the most efficient in terms of cost and effectiveness and shall be delivered in the most natural settings possible;
i. Out‑of‑home placements for children shall be a last resort and shall include concrete plans to bring the children back to a stable, permanent home, their schools, and their community; and
j. Families and consumers shall be involved in decision making throughout service planning, delivery, and monitoring.
(2) Local level responsibilities. – In coordination with the North Carolina Child and Family Leadership Council (Council), the local board of education shall establish the School‑Based Child and Family Team Initiative (Initiative) at designated schools and shall appoint the Child and Family Team Leaders who shall be a school nurse and a school social worker. Each local management entity that has any selected schools in its catchment area shall appoint a Care Coordinator, and any Department of Social Services that has a selected school in its catchment area shall appoint a Child and Family Teams Facilitator. The Care Coordinators and Child and Family Team Facilitators shall have as their sole responsibility working with the selected schools in their catchment areas and shall provide training to school‑based personnel, as required. The Child and Family Team Leaders shall identify and screen children who are potentially at risk of academic failure or out‑of‑home placement due to physical, social, legal, emotional, or developmental factors. Based on the screening results, responsibility for developing, convening, and implementing the Child and Family Team is as follows:
a. School personnel shall take the lead role for those children and their families whose primary unmet needs are related to academic achievement.
b. The local management entity shall take the lead role for those children and their families whose primary unmet needs are related to mental health, substance abuse, and/or developmental disabilities and who meet the criteria for the target population established by the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services.
c. The local Department of Public Health shall take the lead role for those children and their families whose primary unmet needs are health‑related.
d. The Department of Social Services Facilitator shall take the lead for those children and their families whose primary unmet needs are related to child welfare, abuse, or neglect.
e. A representative from the district court or juvenile justice shall take the lead for those children and their families whose primary unmet needs are related to community safety or legal issues.
A representative from each agency shall participate as a member of the Team as needed. Team members shall coordinate, monitor, and assure the successful implementation of a unified Child and Family Plan.
(3) Reporting requirements. – School‑Based Child and Family Team Leaders shall provide data to the Council for inclusion in their report to the North Carolina General Assembly. The report shall include the following:
a. The number of and other demographic information on children served;
b. The amount and source of funds expended to implement the Initiative;
c. Information on how families and consumers are involved in decision making throughout service planning, delivery, and monitoring;
d. Information on the number of children screened, the number of children assigned to a Team, and the service needs of the children served;
e. Information on the placement of children in programs or facilities outside the child's home and outside the child's county and the average length of stay in residential treatment, transition, and return to home;
f. The number of children diverted from institutions, other out‑of‑home placements, or from the custody of the department of social services because of unmet behavioral health needs;
g. A description of the services provided;
h. Other information as required by the Council to evaluate success in local programs and ensure appropriate outcomes; and
i. Recommendations on needed improvements.
(4) Local Advisory Committee. – In each county with a participating school, a Local Child and Family Team Advisory Committee shall be chaired by the superintendent of the local LEA and the head of a participating county agency as elected by the Committee. The Committee shall include the directors of the county departments of social services and health, the directors of the local management entity, the chief district court judge, the chief court counselor, and representatives of other agencies providing services to children, as designated by the Committee. The members of the Committee shall meet as needed to monitor and support the successful implementation of the School‑Based Child and Family Team Initiative.
The Local Child and Family Team Advisory Committee may designate existing cross‑agency collaboratives or councils as working groups or to provide assistance in accomplishing established goals.
SECTION 6.24.(b) Department of Administration.
(1) North Carolina Child and Family Leadership Council established. – There is established the North Carolina Child and Family Leadership Council (Council). The Council shall be located within the Department of Administration for organizational and budgetary purposes.
(2) Purpose. – The purpose of the Council is to review and advise the Governor in the development of the School‑Based Child and Family Teams Initiative and to ensure the active participation and collaboration in the Initiative by all State agencies and their local counterparts providing services to children in order to increase the academic success and reduce out‑of‑home and out‑of‑county placements of children at risk of academic failure.
(3) Membership. – The Superintendent of Public Instruction and the Secretary of Health and Human Services shall serve as cochairs of the Council. Council membership shall include the Secretary of the Department of Juvenile Justice and Delinquency Prevention, the Director of the Administrative Office of the Courts, and other members as appointed by the Governor.
(4) The Council may:
a. As needed, sign an annual memorandum of agreement (MOA) among the named State agencies to define the purposes of the program and to ensure that program goals are accomplished.
b. As needed, recommend a local MOA to be signed annually by the superintendent of the local LEA, the directors of the county departments of social services and health, the directors of the local management entity, the chief district court judge, the chief court counselor.
c. Increase capacity in the school setting to address the needs of children in need of academic, health, mental health, social, and legal services.
d. Resolve State policy issues, as identified at the local level, which interfere with effective implementation of the Child and Family Team Initiative.
e. Direct the integration of resources as needed to meet goals and ensure that the Initiative promotes the most effective and efficient use of resources and eliminates duplication of effort.
f. Ensure that children receiving services are screened initially to identify needs and assessed periodically to determine progress and sustained improvement in educational, health, safety, behavioral, and social outcomes.
g. Establish criteria for defining success in local programs and ensure appropriate outcomes.
h. Develop an evaluation process based on expected outcomes to ensure the goals and objectives of this initiative are achieved.
i. Review progress made on integrating policies and resources across State agencies, reaching expected outcomes, and accomplishing other goals.
j. Report semiannually on progress made to the Office of the Governor and the General Assembly.
The Council may designate existing cross‑agency collaboratives or councils as working groups or to provide assistance in accomplishing established goals.
(5) Program services. – In order to ensure that children receiving services are appropriately served, the affected State and local agencies shall:
a. Provide only those services that are known to be effective based upon research or national standards of best practices.
b. Develop uniform screening mechanisms and a set of outcomes that are shared across affected State agencies to measure children's progress in home, school, and community settings.
c. Review services provided across affected State agencies to ensure that children's needs are met.
d. Eliminate cost shifting and facilitate cost‑sharing among governmental agencies with respect to service development, service delivery, and monitoring for participating children and their families.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Limit Sale of Dorothea Dix and Blue Ridge Road Properties
SECTION 6.25. G.S. 146‑27 reads as rewritten:
"§
146‑27. The role of the Department of Administration in sales, leases,
and rentals.rentals; approval by General Assembly.
(a) General. – Every Except
as otherwise provided by this section, every sale, lease, rental, or gift
of land owned by the State or by any State agency shall be made by the
Department of Administration and approved by the Governor and Council of State.
A lease or rental of land owned by the State may not exceed a period of 99
years. The Department of Administration may initiate proceedings for sales,
leases, rentals, and gifts of land owned by the State or by any State agency.
(b) Large Disposition. – If a proposed disposition is a sale or gift of land with an appraised value of at least twenty‑five thousand dollars ($25,000), the sale or gift shall not be made until after consultation with the Joint Legislative Commission on Governmental Operations.
(c) Exceptions. – Notwithstanding any other provision of law, the following State‑owned property shall not be sold without the prior approval of the General Assembly:
(1) The property encompassing the Dorothea Dix Hospital campus.
(2) The property described in the 1995 Capital Area Master Plan for State Government, Blue Ridge Road Area, developed by O'Brien/Atkins, except for the Special Development District."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
AHEC STUDY/HORACE WILLIAMS AIRPORT
The University of North Carolina at Chapel Hill shall operate the Horace Williams Airport and continue air transportation support for the AHEC program and the public from that location until 30 days after sine die adjournment of the 2005 Regular Session of the General Assembly.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
No funds budgeted for replaced equipment
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
RIGHT OF INSURED TO REDEEM HEALTH CARE OR PRESCRIPTION DRUG BENEFIT.
SECTION 6.28. G.S. 58‑50‑30 is amended by adding the following new subsection to read:
"(g1) An insured beneficiary under a health benefit plan shall have the right to redeem a health care or prescription drug benefit at any provider or pharmacy. The insurer, third‑party administrator, or any other entity providing a health care or prescription drug benefit for the insurer shall redeem the health care or prescription drug benefit and reimburse the provider or pharmacy in the same manner, to the same extent, at the same rate, and on the same payment schedule as the insurer, third‑party administrator, or other entity would to a provider or pharmacy that is a party to a provider or pharmacy provider contract."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
HEALTH BENEFIT PLAN CO‑PAYMENTS
SECTION 6.29. G.S. 58‑50‑30(a3) reads as rewritten:
"(a3) Whenever any health benefit plan, subscriber contract, or policy of insurance issued by a health maintenance organization, hospital or medical service corporation, or insurer governed by Articles 1 through 67 of this Chapter provides coverage for medically necessary treatment, the insurer shall not impose any limitation on treatment or levels of coverage if performed by a duly licensed chiropractor acting within the scope of the chiropractor's practice as defined in G.S. 90‑151 unless a comparable limitation is imposed on the medically necessary treatment if performed or authorized by any other duly licensed physician. An insurer shall not impose as a limitation on treatment or level of coverage a co‑payment amount charged to the insured for chiropractic services that is higher than the co‑payment amount charged to the insured for the services of a duly licensed primary care physician for the same medically necessary treatment or condition."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Training Retirement systems division Personnel
SECTION 6.30. Of the funds appropriated from the General Fund to the Department of State Treasurer, Retirement Systems Division, the sum of up to one hundred twenty‑eight thousand three hundred fifty dollars ($128,350) may be used in each year of the 2005‑2007 fiscal biennium to provide training for Retirement Systems Division employees to meet the increasing demands on the Retirement Systems due to record retirements of public employees over the next 17 years. The Division shall report annually to the General Assembly on the training that has been provided to its staff to meet these increasing demands.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Amend the Tobacco Reserve Fund to Promote the Health and Wellness of the State's Citizens and Economic Development
SECTION 6.32.(a) G.S. 66‑291(b)(2) reads as rewritten:
"(2) To the extent that a
tobacco product manufacturer establishes that the amount it was required to
place into escrow on account of units sold in the State in a particular
year was greater than the State's allocable share of the total payments that
such manufacturer would have been required to make in that year under the
Master Settlement Agreement (as determined pursuant to section IX(i)(2) of the
Master Settlement Agreement, and before any of the adjustments or offsets
described in section IX(i)(3) of that Agreement other than the Inflation
Adjustment)the Master Settlement Agreement payments, as determined
pursuant to Section IX(i) of that agreement, including after final
determination of all adjustments, that the manufacturer would have been
required to make on account of the units sold had it been a participating
manufacturer, the excess shall be released from escrow and revert back to such
tobacco product manufacturer; or".
SECTION 6.32.(b) If this section, or any portion of the amendment made to G.S. 66‑291(b)(2) by this section, is held by a court of competent jurisdiction to be unconstitutional, then G.S. 66‑291(b)(2) shall be deemed to be repealed in its entirety. If G.S. 66‑291(b)(2) shall thereafter be held by a court of competent jurisdiction to be unconstitutional, then this section shall be repealed, and G.S. 66‑291(b)(2) shall be restored as if no amendments had been made by this section. Neither any judicial holding of unconstitutionality nor the repeal of G.S. 66‑291(b)(2) shall affect, impair, or invalidate any other portion of Part 1 of Article 37 of Chapter 66 of the General Statutes or the application of Part 1 of Article 37 of Chapter 66 of the General Statutes to any other person or circumstance, and the remaining portions of Part 1 of Article 37 of Chapter 66 of the General Statutes shall at all times continue in full force and effect.
SECTION 6.32.(c) This section becomes effective October 1, 2006.
Requested by: Representatives Jeffus, Tolson, Yongue
These funds shall be allocated to individuals according to rules adopted by the State Board of Education.
2005‑2006 Monthly Salary Schedule
"A" Teachers
Years of Experience "A" Teachers NBPTS Certification
0 $2,558 N/A
1 $2,600 N/A
2 $2,644 N/A
3 $2,800 $3,136
4 $2,941 $3,294
5 $3,075 $3,444
6 $3,204 $3,588
7 $3,308 $3,705
8 $3,356 $3,759
9 $3,406 $3,815
10 $3,456 $3,871
11 $3,505 $3,926
12 $3,557 $3,984
13 $3,607 $4,040
14 $3,660 $4,099
15 $3,715 $4,161
16 $3,770 $4,222
17 $3,825 $4,284
18 $3,884 $4,350
19 $3,942 $4,415
20 $4,000 $4,480
21 $4,063 $4,551
22 $4,124 $4,619
23 $4,189 $4,692
24 $4,254 $4,764
25 $4,319 $4,837
26 $4,386 $4,912
27 $4,454 $4,988
28 $4,524 $5,067
29 $4,596 $5,148
2005‑2006 Monthly Salary Schedule
"M" Teachers
Years of Experience "M" Teachers NBPTS Certification
0 $2,814 N/A
1 $2,860 N/A
2 $2,908 N/A
3 $3,080 $3,450
4 $3,235 $3,623
5 $3,383 $3,789
6 $3,524 $3,947
7 $3,639 $4,076
8 $3,692 $4,135
9 $3,747 $4,197
10 $3,802 $4,258
11 $3,856 $4,319
12 $3,913 $4,383
13 $3,968 $4,444
14 $4,026 $4,509
15 $4,087 $4,577
16 $4,147 $4,645
17 $4,208 $4,713
18 $4,272 $4,785
19 $4,336 $4,856
20 $4,400 $4,928
21 $4,469 $5,005
22 $4,536 $5,080
23 $4,608 $5,161
24 $4,679 $5,240
25 $4,751 $5,321
26 $4,825 $5,404
27 $4,899 $5,487
28 $4,976 $5,573
29 $5,056 $5,663
Certified psychologists with certification based on academic preparation at the six‑year degree level shall receive a salary supplement of one hundred twenty‑six dollars ($126.00) per month in addition to the compensation provided for certified psychologists. Certified psychologists with certification based on academic preparation at the doctoral degree level shall receive a salary supplement of two hundred fifty‑three dollars ($253.00) per month in addition to the compensation provided for certified psychologists.
Speech pathologists and audiologists with certification based on academic preparation at the six‑year degree level shall receive a salary supplement of one hundred twenty‑six dollars ($126.00) per month in addition to the compensation provided for speech pathologists and audiologists. Speech pathologists and audiologists with certification based on academic preparation at the doctoral degree level shall receive a salary supplement of two hundred fifty‑three dollars ($253.00) per month in addition to the compensation provided for speech pathologists and audiologists.
Requested by: Representatives Jeffus, Tolson, Yongue
SCHOOL‑BASED ADMINISTRATOR SALARY SCHEDULE
2005‑2006
Principal and Assistant Principal Salary Schedules
Classification
Yrs. of Assistant Prin I Prin II Prin III Prin IV
Exp Principal (0‑10) (11‑21) (22‑32) (33‑43)
0‑4 3,267 ‑ ‑ ‑ ‑
5 3,417 ‑ ‑ ‑ ‑
6 3,559 ‑ ‑ ‑ ‑
7 3,675 ‑ ‑ ‑ ‑
8 3,728 3,728 ‑ ‑ ‑
9 3,783 3,783 ‑ ‑ ‑
10 3,839 3,839 3,895 ‑ ‑
11 3,895 3,895 3,951 ‑ ‑
12 3,951 3,951 4,007 4,066 ‑
13 4,007 4,007 4,066 4,127 4,187
14 4,066 4,066 4,127 4,187 4,251
15 4,127 4,127 4,187 4,251 4,314
16 4,187 4,187 4,251 4,314 4,379
17 4,251 4,251 4,314 4,379 4,445
18 4,314 4,314 4,379 4,445 4,514
19 4,379 4,379 4,445 4,514 4,582
20 4,445 4,445 4,514 4,582 4,654
21 4,514 4,514 4,582 4,654 4,726
22 4,582 4,582 4,654 4,726 4,798
23 4,654 4,654 4,726 4,798 4,872
24 4,726 4,726 4,798 4,872 4,949
25 4,798 4,798 4,872 4,949 5,027
26 4,872 4,872 4,949 5,027 5,107
27 4,949 4,949 5,027 5,107 5,209
28 5,027 5,027 5,107 5,209 5,313
29 5,107 5,107 5,209 5,313 5,419
30 5,209 5,209 5,313 5,419 5,527
31 5,313 5,313 5,419 5,527 5,638
32 ‑ 5,419 5,527 5,638 5,751
33 ‑ ‑ 5,638 5,751 5,866
34 ‑ ‑ 5,751 5,866 5,983
35 ‑ ‑ ‑ 5,983 6,103
36 ‑ ‑ ‑ 6,103 6,225
37 ‑ ‑ ‑ ‑ 6,350
2005‑2006
Principal and Assistant Principal Salary Schedules
Classification
Yrs. of PrinV PrinVI PrinVII PrinVIII
Exp (44‑54) (55‑65) (66‑100) (101+)
0‑14 4,314 ‑ ‑ ‑
15 4,379 ‑ ‑ ‑
16 4,445 4,514 ‑ ‑
17 4,514 4,582 4,726 ‑
18 4,582 4,654 4,798 4,872
19 4,654 4,726 4,872 4,949
20 4,726 4,798 4,949 5,027
21 4,798 4,872 5,027 5,107
22 4,872 4,949 5,107 5,209
23 4,949 5,027 5,209 5,313
24 5,027 5,107 5,313 5,419
25 5,107 5,209 5,419 5,527
26 5,209 5,313 5,527 5,638
27 5,313 5,419 5,638 5,751
28 5,419 5,527 5,751 5,866
29 5,527 5,638 5,866 5,983
30 5,638 5,751 5,983 6,103
31 5,751 5,866 6,103 6,225
32 5,866 5,983 6,225 6,350
33 5,983 6,103 6,350 6,477
34 6,103 6,225 6,477 6,607
35 6,225 6,350 6,607 6,739
36 6,350 6,477 6,739 6,874
37 6,477 6,607 6,874 7,011
38 6,607 6,739 7,011 7,151
39 ‑ 6,874 7,151 7,294
40 ‑ 7,011 7,294 7,440
41 ‑ ‑ 7,440 7,589
Number of Teachers
Classification Supervised
Assistant Principal
Principal I Fewer than 11 Teachers
Principal II 11‑21 Teachers
Principal III 22‑32 Teachers
Principal IV 33‑43 Teachers
Principal V 44‑54 Teachers
Principal VI 55‑65 Teachers
Principal VII 66‑100 Teachers
Principal VIII More than 100 Teachers
The number of teachers supervised includes teachers and assistant principals paid from State funds only; it does not include teachers or assistant principals paid from non‑State funds or the principal or teacher assistants.
The beginning classification for principals in alternative schools and in cooperative innovative high school programs shall be the Principal III level. Principals in alternative schools who supervise 33 or more teachers shall be classified according to the number of teachers supervised.
If a principal is reassigned to a lower job classification because the principal is transferred to a school within a local school administrative unit with a smaller number of State‑allotted teachers, the principal shall be placed on the salary schedule as if the principal had served the principal's entire career as a principal at the lower job classification.
This subsection applies to all transfers on or after the effective date of this section, except transfers in school systems that have been created, or will be created, by merging two or more school systems. Transfers in these merged systems are exempt from the provisions of this subsection for one calendar year following the date of the merger.
Requested by: Representatives Jeffus, Tolson, Yongue
School Administrator I $2,932 $5,533
School Administrator II $3,112 $5,869
School Administrator III $3,303 $6,225
School Administrator IV $3,436 $6,474
School Administrator V $3,574 $6,735
School Administrator VI $3,792 $7,143
School Administrator VII $3,945 $7,430
The local board of education shall determine the appropriate category and placement for each assistant superintendent, associate superintendent, director/coordinator, supervisor, or finance officer within the salary ranges and within funds appropriated by the General Assembly for central office administrators and superintendents. The category in which an employee is placed shall be included in the contract of any employee.
Superintendent I $4,187 $7,883
Superintendent II $4,445 $8,359
Superintendent III $4,716 $8,868
Superintendent IV $5,005 $9,406
Superintendent V $5,312 $9,980
The local board of education shall determine the appropriate category and placement for the superintendent based on the average daily membership of the local school administrative unit and within funds appropriated by the General Assembly for central office administrators and superintendents.
Requested by: Representatives Jeffus, Tolson, Yongue
For part‑time employees, the pay increase shall be pro rata based on the number of hours worked.
Requested by: Representatives Jeffus, Tolson, Yongue
BONUS FOR CERTIFIED PERSONNEL AT THE TOP OF THEIR SALARY SCHEDULES
For permanent part‑time personnel, the one‑time bonus shall be adjusted pro rata. Personnel defined under G.S. 115C‑325(a)(5a) are not eligible to receive the bonus.
Requested by: Representatives Jeffus, Tolson, Yongue
SUPPLEMENTAL FUNDING IN LOW‑WEALTH COUNTIES
SECTION 7.6.(a) Funds for Supplemental Funding. – The General Assembly finds that it is appropriate to provide supplemental funds in low‑wealth counties to allow those counties to enhance the instructional program and student achievement. Therefore, funds are appropriated to State Aid to Local School Administrative Units for the 2005‑2006 fiscal year and the 2006‑2007 fiscal year to be used for supplemental funds for the schools.
SECTION 7.6.(b) Use of Funds for Supplemental Funding. – All funds received pursuant to this section shall be used only: (i) to provide instructional positions, instructional support positions, teacher assistant positions, clerical positions, school computer technicians, instructional supplies and equipment, staff development, and textbooks; (ii) for salary supplements for instructional personnel and instructional support personnel; and (iii) to pay an amount not to exceed ten thousand dollars ($10,000) of the plant operation contract cost charged by the Department of Public Instruction for services.
Local boards of education are encouraged to use at least twenty‑five percent (25%) of the funds received pursuant to this section to improve the academic performance of children who are performing at Level I or II on either reading or mathematics end‑of‑grade tests in grades 3‑8 and children who are performing at Level I or II on the writing tests in grades 4 and 7. Local boards of education shall report to the State Board of Education on an annual basis on funds used for this purpose, and the State Board shall report this information to the Joint Legislative Education Oversight Committee. These reports shall specify how these funds were targeted and used to implement specific improvement strategies of each local school administrative unit and its schools, such as teacher recruitment, closing the achievement gap, improving student accountability, addressing the needs of at‑risk students, and establishing and maintaining safe schools.
SECTION 7.6.(c) Definitions. – As used in this section:
(1) "Anticipated county property tax revenue availability" means the county‑adjusted property tax base multiplied by the effective State average tax rate.
(2) "Anticipated total county revenue availability" means the sum of the:
a. Anticipated county property tax revenue availability,
b. Local sales and use taxes received by the county that are levied under Chapter 1096 of the 1967 Session Laws or under Subchapter VIII of Chapter 105 of the General Statutes,
c. Sales tax hold harmless reimbursement received by the county under G.S. 105‑521, and
d. Fines and forfeitures deposited in the county school fund for the most recent year for which data are available.
(3) "Anticipated total county revenue availability per student" means the anticipated total county revenue availability for the county divided by the average daily membership of the county.
(4) "Anticipated State average revenue availability per student" means the sum of all anticipated total county revenue availability divided by the average daily membership for the State.
(5) "Average daily membership" means average daily membership as defined in the North Carolina Public Schools Allotment Policy Manual, adopted by the State Board of Education. If a county contains only part of a local school administrative unit, the average daily membership of that county includes all students who reside within the county and attend that local school administrative unit.
(6) "County‑adjusted property tax base" shall be computed as follows:
a. Subtract the present‑use value of agricultural land, horticultural land, and forestland in the county, as defined in G.S. 105‑277.2, from the total assessed real property valuation of the county,
b. Adjust the resulting amount by multiplying by a weighted average of the three most recent annual sales assessment ratio studies,
c. Add to the resulting amount the:
1. Present‑use value of agricultural land, horticultural land, and forestland, as defined in G.S. 105‑277.2,
2. Value of property of public service companies, determined in accordance with Article 23 of Chapter 105 of the General Statutes, and
3. Personal property value for the county.
(7) "County‑adjusted property tax base per square mile" means the county‑adjusted property tax base divided by the number of square miles of land area in the county.
(8) "County wealth as a percentage of State average wealth" shall be computed as follows:
a. Compute the percentage that the county per capita income is of the State per capita income and weight the resulting percentage by a factor of five‑tenths,
b. Compute the percentage that the anticipated total county revenue availability per student is of the anticipated State average revenue availability per student and weight the resulting percentage by a factor of four‑tenths,
c. Compute the percentage that the county‑adjusted property tax base per square mile is of the State‑adjusted property tax base per square mile and weight the resulting percentage by a factor of one‑tenth,
d. Add the three weighted percentages to derive the county wealth as a percentage of the State average wealth.
(9) "Effective county tax rate" means the actual county tax rate multiplied by a weighted average of the three most recent annual sales assessment ratio studies.
(10) "Effective State average tax rate" means the average of effective county tax rates for all counties.
(10a) "Local current expense funds" means the most recent county current expense appropriations to public schools, as reported by local boards of education in the audit report filed with the Secretary of the Local Government Commission pursuant to G.S. 115C‑447.
(11) "Per capita income" means the average for the most recent three years for which data are available of the per capita income according to the most recent report of the United States Department of Commerce, Bureau of Economic Analysis, including any reported modifications for prior years as outlined in the most recent report.
(12) "Sales assessment ratio studies" means sales assessment ratio studies performed by the Department of Revenue under G.S. 105‑289(h).
(13) "State average current expense appropriations per student" means the most recent State total of county current expense appropriations to public schools, as reported by local boards of education in the audit report filed with the Secretary of the Local Government Commission pursuant to G.S. 115C‑447.
(14) "State average adjusted property tax base per square mile" means the sum of the county‑adjusted property tax bases for all counties divided by the number of square miles of land area in the State.
(14a) "Supplant" means to decrease local per student current expense appropriations from one fiscal year to the next fiscal year.
(15) "Weighted average of the three most recent annual sales assessment ratio studies" means the weighted average of the three most recent annual sales assessment ratio studies in the most recent years for which county current expense appropriations and adjusted property tax valuations are available. If real property in a county has been revalued one year prior to the most recent sales assessment ratio study, a weighted average of the two most recent sales assessment ratios shall be used. If property has been revalued the year of the most recent sales assessment ratio study, the sales assessment ratio for the year of revaluation shall be used.
SECTION 7.6.(d) Eligibility for Funds. – Except as provided in subsection (h) of this section, the State Board of Education shall allocate these funds to local school administrative units located in whole or in part in counties in which the county wealth as a percentage of the State average wealth is less than one hundred percent (100%).
SECTION 7.6.(e) Allocation of Funds. – Except as provided in subsection (g) of this section, the amount received per average daily membership for a county shall be the difference between the State average current expense appropriations per student and the current expense appropriations per student that the county could provide given the county's wealth and an average effort to fund public schools. (To derive the current expense appropriations per student that the county could be able to provide given the county's wealth and an average effort to fund public schools, multiply the county wealth as a percentage of State average wealth by the State average current expense appropriations per student.)
The funds for the local school administrative units located in whole or in part in the county shall be allocated to each local school administrative unit located in whole or in part in the county based on the average daily membership of the county's students in the school units.
If the funds appropriated for supplemental funding are not adequate to fund the formula fully, each local school administrative unit shall receive a pro rata share of the funds appropriated for supplemental funding.
SECTION 7.6.(f) Formula for Distribution of Supplemental Funding Pursuant to This Section Only. – The formula in this section is solely a basis for distribution of supplemental funding for low‑wealth counties and is not intended to reflect any measure of the adequacy of the educational program or funding for public schools. The formula is also not intended to reflect any commitment by the General Assembly to appropriate any additional supplemental funds for low‑wealth counties.
SECTION 7.6.(g) Minimum Effort Required. – Counties that had effective tax rates in the 1996‑1997 fiscal year that were above the State average effective tax rate but that had effective rates below the State average in the 1997‑1998 fiscal year or thereafter shall receive reduced funding under this section. This reduction in funding shall be determined by subtracting the amount that the county would have received pursuant to Section 17.1(g) of Chapter 507 of the 1995 Session Laws from the amount that the county would have received if qualified for full funding and multiplying the difference by ten percent (10%). This method of calculating reduced funding shall apply one time only.
This method of calculating reduced funding shall not apply in cases in which the effective tax rate fell below the statewide average effective tax rate as a result of a reduction in the actual property tax rate. In these cases, the minimum effort required shall be calculated in accordance with Section 17.1(g) of Chapter 507 of the 1995 Session Laws.
If the county documents that it has increased the per student appropriation to the school current expense fund in the current fiscal year, the State Board of Education shall include this additional per pupil appropriation when calculating minimum effort pursuant to Section 17.1(g) of Chapter 507 of the 1995 Session Laws.
SECTION 7.6.(h) Nonsupplant Requirement. – A county in which a local school administrative unit receives funds under this section shall use the funds to supplement local current expense funds and shall not supplant local current expense funds. For the 2005‑2007 fiscal biennium, the State Board of Education shall not allocate funds under this section to a county found to have used these funds to supplant local per student current expense funds. The State Board of Education shall make a finding that a county has used these funds to supplant local current expense funds in the prior year, or the year for which the most recent data are available, if:
(1) The current expense appropriation per student of the county for the current year is less than ninety‑five percent (95%) of the average of the local current expense appropriations per student for the three prior fiscal years; and
(2) The county cannot show: (i) that it has remedied the deficiency in funding or (ii) that extraordinary circumstances caused the county to supplant local current expense funds with funds allocated under this section.
The State Board of Education shall adopt rules to implement this section.
SECTION 7.6.(i) Reports. – The State Board of Education shall report to the Joint Legislative Education Oversight Committee prior to May 1, 2006, if it determines that counties have supplanted funds.
SECTION 7.6.(j) Department of Revenue Reports. – The Department of Revenue shall provide to the Department of Public Instruction a preliminary report for the current fiscal year of the assessed value of the property tax base for each county prior to March 1 of each year and a final report prior to May 1 of each year. The reports shall include for each county the annual sales assessment ratio and the taxable values of (i) total real property, (ii) the portion of total real property represented by the present‑use value of agricultural land, horticultural land, and forestland as defined in G.S. 105‑277.2, (iii) property of public service companies determined in accordance with Article 23 of Chapter 105 of the General Statutes, and (iv) personal property.
Requested by: Representatives Jeffus, Tolson, Yongue
SMALL SCHOOL SYSTEM SUPPLEMENTAL FUNDING
(1) Round all fractions of positions to the next whole position.
(2) Provide five and one‑half additional regular classroom teachers in counties in which the average daily membership per square mile is greater than four, and seven additional regular classroom teachers in counties in which the average daily membership per square mile is four or fewer.
(3) Provide additional program enhancement teachers adequate to offer the standard course of study.
(4) Change the duty‑free period allocation to one teacher assistant per 400 average daily membership.
(5) Provide a base for the consolidated funds allotment of at least seven hundred forty thousand seventy‑four dollars ($740,074), excluding textbooks for the 2005‑2006 fiscal year and a base of seven hundred forty thousand seventy‑four dollars ($740,074) for the 2006‑2007 fiscal year.
(6) Allot vocational education funds for grade 6 as well as for grades 7‑12.
If funds appropriated for each fiscal year for small school system supplemental funding are not adequate to fully fund the program, the State Board of Education shall reduce the amount allocated to each county school administrative unit on a pro rata basis. This formula is solely a basis for distribution of supplemental funding for certain county school administrative units and is not intended to reflect any measure of the adequacy of the educational program or funding for public schools. The formula is also not intended to reflect any commitment by the General Assembly to appropriate any additional supplemental funds for such county administrative units.
SECTION 7.7.(b) Nonsupplant Requirement. – A county in which a local school administrative unit receives funds under this section shall use the funds to supplement local current expense funds and shall not supplant local current expense funds. For the 2005‑2007 fiscal biennium, the State Board of Education shall not allocate funds under this section to a county found to have used these funds to supplant local per student current expense funds. The State Board of Education shall make a finding that a county has used these funds to supplant local current expense funds in the prior year, or the year for which the most recent data are available, if:
(1) The current expense appropriation per student of the county for the current year is less than ninety‑five percent (95%) of the average of the local current expense appropriations per student for the three prior fiscal years; and
(2) The county cannot show: (i) that it has remedied the deficiency in funding or (ii) that extraordinary circumstances caused the county to supplant local current expense funds with funds allocated under this section.
The State Board of Education shall adopt rules to implement this section.
SECTION 7.7.(c) Phase‑Out Provisions. – If a local school administrative unit becomes ineligible for funding under this formula solely because of an increase in the county‑adjusted property tax base per student of the county in which the local school administrative unit is located, funding for that unit shall be phased out over a two‑year period. For the first year of ineligibility, the unit shall receive the same amount it received for the prior fiscal year. For the second year of ineligibility, it shall receive one‑half of that amount.
If a local school administrative unit becomes ineligible for funding under this formula solely because of an increase in the population of the county in which the local school administrative unit is located, funding for that unit shall be continued for five years after the unit becomes ineligible.
SECTION 7.7.(d) Definitions. – As used in this section:
(1) "Average daily membership" means within two percent (2%) of the average daily membership as defined in the North Carolina Public Schools Allotment Policy Manual adopted by the State Board of Education.
(2) "County‑adjusted property tax base per student" means the total assessed property valuation for each county, adjusted using a weighted average of the three most recent annual sales assessment ratio studies, divided by the total number of students in average daily membership who reside within the county.
(2a) "Local current expense funds" means the most recent county current expense appropriations to public schools, as reported by local boards of education in the audit report filed with the Secretary of the Local Government Commission pursuant to G.S. 115C‑447.
(3) "Sales assessment ratio studies" means sales assessment ratio studies performed by the Department of Revenue under G.S. 105‑289(h).
(4) "State‑adjusted property tax base per student" means the sum of all county‑adjusted property tax bases divided by the total number of students in average daily membership who reside within the State.
(4a) "Supplant" means to decrease local per student current expense appropriations from one fiscal year to the next fiscal year.
(5) "Weighted average of the three most recent annual sales assessment ratio studies" means the weighted average of the three most recent annual sales assessment ratio studies in the most recent years for which county current expense appropriations and adjusted property tax valuations are available. If real property in a county has been revalued one year prior to the most recent sales assessment ratio study, a weighted average of the two most recent sales assessment ratios shall be used. If property has been revalued during the year of the most recent sales assessment ratio study, the sales assessment ratio for the year of revaluation shall be used.
SECTION 7.7.(e) Reports. – The State Board of Education shall report to the Joint Legislative Education Oversight Committee prior to May 1, 2006, if it determines that counties have supplanted funds.
SECTION 7.7.(f) Use of Funds. – Local boards of education are encouraged to use at least twenty percent (20%) of the funds they receive pursuant to this section to improve the academic performance of children who are performing at Level I or II on either reading or mathematics end‑of‑grade tests in grades 3‑8 and children who are performing at Level I or II on the writing tests in grades 4 and 7. Local boards of education shall report to the State Board of Education on an annual basis on funds used for this purpose, and the State Board shall report this information to the Joint Legislative Education Oversight Committee. These reports shall specify how these funds were targeted and used to implement specific improvement strategies of each local school administrative unit and its schools such as teacher recruitment, closing the achievement gap, improving student accountability, addressing the needs of at‑risk students, and establishing and maintaining safe schools.
Requested by: Representatives Jeffus, Tolson, Yongue
DISADVANTAGED STUDENT SUPPLEMENTAL FUNDING
Funds received for disadvantaged student supplemental funding shall be used, consistent with the policies and procedures adopted by the State Board of Education, only to:
(1) Provide instructional positions or instructional support positions and/or professional development;
(2) Provide intensive in‑school and/or after‑school remediation;
(3) Purchase diagnostic software and progress‑monitoring tools; and
(4) Provide funds for teacher bonuses and supplements. The State Board of Education shall set a maximum percentage of the funds that may be used for this purpose.
The State Board of Education may require districts receiving funding under the Disadvantaged Student Supplemental Fund to purchase the Education Value Added Assessment System in order to provide in‑depth analysis of student performance and help identify strategies for improving student achievement.
(1) Evaluate the strategies implemented by local school administrative units with Disadvantaged Student Supplemental Funds and other supplemental funds and assess their impact on student performance; and
(2) Evaluate the efficiency and effectiveness of the technical assistance and support provided to local school administrative units by the Department of Public Instruction.
The State Board of Education shall report the results of the evaluation to the Office of State Budget and Management, the Joint Legislative Education Oversight Committee, and the Fiscal Research Division by February 15, 2006, and by January 15 of each subsequent year.
Requested by: Representatives Jeffus, Tolson, Yongue
STUDENTS WITH LIMITED ENGLISH PROFICIENCY
The State Board shall allocate these funds to local school administrative units and to charter schools under a formula that takes into account the average percentage of students in the units or the charters over the past three years who have limited English proficiency. The State Board shall allocate funds to a unit or a charter school only if (i) average daily membership of the unit or the charter school includes at least 20 students with limited English proficiency or (ii) students with limited English proficiency comprise at least two and one‑half percent (2.5%) of the average daily membership of the unit or charter school. For the portion of the funds that is allocated on the basis of the number of identified students, the maximum number of identified students for whom a unit or charter school receives funds shall not exceed ten and six‑tenths percent (10.6%) of its average daily membership.
Local school administrative units shall use funds allocated to them to pay for classroom teachers, teacher assistants, tutors, textbooks, classroom materials/instructional supplies/equipment, transportation costs, and staff development of teachers for students with limited English proficiency.
A county in which a local school administrative unit receives funds under this section shall use the funds to supplement local current expense funds and shall not supplant local current expense funds.
SECTION 7.9.(b) The Department of Public Instruction shall prepare a current head count of the number of students classified with limited English proficiency by December 1 of each year.
Students in the head count shall be assessed at least once every three years to determine their level of English proficiency. A student who scores "superior" on the standard English language proficiency assessment instrument used in this State shall not be included in the head count of students with limited English proficiency.
Requested by: Representatives Jeffus, Tolson, Yongue
FLEXIBILITY FOR THE HIGHEST PRIORITY ELEMENTARY SCHOOLS
Requested by: Representatives Jeffus, Tolson, Yongue
AT‑RISK STUDENT SERVICES/ALTERNATIVE SCHOOLS
Requested by: Representatives Jeffus, Tolson, Yongue
FUNDS FOR CHILDREN WITH DISABILITIES
The dollar amounts allocated under this section for children with disabilities shall also adjust in accordance with legislative salary increments, retirement rate adjustments, and health benefit adjustments for personnel who serve children with disabilities.
Requested by: Representatives Jeffus, Tolson, Yongue
FUNDS FOR ACADEMICALLY GIFTED CHILDREN
The dollar amounts allocated under this section for academically or intellectually gifted children shall also adjust in accordance with legislative salary increments, retirement rate adjustments, and health benefit adjustments for personnel who serve academically or intellectually gifted children.
Requested by: Representatives Jeffus, Tolson, Yongue
EXPENDITURE OF FUNDS TO IMPROVE STUDENT ACCOUNTABILITY
SECTION 7.14.(a) Funds appropriated for the 2005‑2006 and 2006‑2007 fiscal years for Student Accountability Standards shall be used to assist students to perform at or above grade level in reading and mathematics in grades 3‑8 as measured by the State's end‑of‑grade tests. The State Board of Education shall allocate these funds to LEAs based on the number of students who score at Level I or Level II on either reading or mathematics end‑of‑grade tests in grades 3‑8. Funds in the allocation category shall be used to improve the academic performance of (i) students who are performing at Level I or II on either reading or mathematics end‑of‑grade tests in grades 3‑8 or (ii) students who are performing at Level I or II on the writing tests in grades 4 and 7. These funds may also be used to improve the academic performance of students who are performing at Level I or II on the high school end‑of‑course tests. These funds shall not be transferred to other allocation categories or otherwise used for other purposes. Except as otherwise provided by law, local boards of education may transfer other funds available to them into this allocation category.
The principal of a school receiving these funds, in consultation with the faculty and the site‑based management team, shall implement plans for expending these funds to improve the performance of students.
Local boards of education are encouraged to use federal funds such as Title I Comprehensive School Reform Development Funds and to examine the use of State funds to ensure that every student is performing at or above grade level in reading and mathematics.
These funds shall be allocated to local school administrative units for the 2005‑2006 fiscal year within 30 days of the date this act becomes law.
SECTION 7.14.(b) Funds appropriated for Student Accountability Standards shall not revert at the end of each fiscal year but shall remain available for expenditure until August 31 of the subsequent fiscal year.
Requested by: Representatives Jeffus, Tolson, Yongue
SECTION 7.15. The State Board of Education may expend up to five hundred thousand dollars ($500,000) each year for the 2005‑2006 and 2006‑2007 fiscal years from unexpended funds for certified employees' salaries to pay expenses related to pending litigation.
Requested by: Representatives Jeffus, Tolson, Yongue
BASE BUDGET REDUCTION TO DEPARTMENT OF PUBLIC INSTRUCTION
Requested by: Representatives Jeffus, Tolson, Yongue
REPLACEMENT SCHOOL BUSES FUNDS
SECTION 7.17.(a) The State Board of Education may impose any of the following conditions on allotments to local boards of education for replacement school buses:
(1) The local board of education shall use the funds only to make the first, second, or third year's payment on a financing contract entered into pursuant to G.S. 115C‑528.
(2) The term of a financing contract entered into under this section shall not exceed three years.
(3) The local board of education shall purchase the buses only from vendors selected by the State Board of Education and on terms approved by the State Board of Education.
(4) The Department of Administration, Division of Purchase and Contract, in cooperation with the State Board of Education, shall solicit bids for the direct purchase of school buses and activity buses and shall establish a statewide term contract for use by the State Board of Education. Local boards of education and other agencies shall be eligible to purchase from the statewide term contract. The State Board of Education shall also solicit bids for the financing of school buses.
(5) A bus financed pursuant to this section shall meet all federal motor vehicle safety regulations for school buses.
(6) Any other condition the State Board of Education considers appropriate.
SECTION 7.17.(b) Any term contract for the purchase or lease‑purchase of school buses or school activity buses shall not require vendor payment of the electronic procurement transaction fee of the North Carolina E‑Procurement Service.
Requested by: Representatives Jeffus, Tolson, Yongue
EXPENDITURES FOR DRIVING ELIGIBILITY CERTIFICATES
SECTION 7.18. G.S. 115C‑12(28) reads as rewritten:
"§ 115C‑12. Powers and duties of the Board generally.
The general supervision and administration of the free public school system shall be vested in the State Board of Education. The State Board of Education shall establish policy for the system of free public schools, subject to laws enacted by the General Assembly. The powers and duties of the State Board of Education are defined as follows:
…
(28) Duty to Develop Rules for Issuance of Driving Eligibility Certificates. – The State Board of Education shall adopt the following rules to assist schools in their administration of procedures necessary to implement G.S. 20‑11 and G.S. 20‑13.2:
a. To define what is equivalent to a high school diploma for the purposes of G.S. 20‑11 and G.S. 20‑13.2. These rules shall apply to all educational programs offered in the State by public schools, charter schools, nonpublic schools, or community colleges.
b. To establish the procedures a person who is or was enrolled in a public school or in a charter school must follow and the requirements that person shall meet to obtain a driving eligibility certificate.
c. To require the person who is required under G.S. 20‑11(n) to sign the driving eligibility certificate to provide the certificate if he or she determines that one of the following requirements is met:
1. The person seeking the certificate is eligible for the certificate under G.S. 20‑11(n)(1) and is not subject to G.S. 20‑11(n1).
2. The person seeking the certificate is eligible for the certificate under G.S. 20‑11(n)(1) and G.S. 20‑11(n1).
These rules shall apply to public schools and charter schools.
d. To provide for an appeal to an appropriate education authority by a person who is denied a driving eligibility certificate. These rules shall apply to public schools and charter schools.
e. To define exemplary student behavior and to define what constitutes the successful completion of a drug or alcohol treatment counseling program. These rules shall apply to public schools and charter schools.
The State Board also shall develop policies as to when it is appropriate to notify the Division of Motor Vehicles that a person who is or was enrolled in a public school or in a charter school no longer meets the requirements for a driving eligibility certificate.
The State Board shall develop a form for parents, guardians, or emancipated juveniles, as appropriate, to provide their written, irrevocable consent for a school to disclose to the Division of Motor Vehicles that the student no longer meets the conditions for a driving eligibility certificate under G.S. 20‑11(n)(1) or G.S. 20‑11(n1), if applicable, in the event that this disclosure is necessary to comply with G.S. 20‑11 or G.S. 20‑13.2. Other than identifying under which statutory subsection the student is no longer eligible, no other details or information concerning the student's school record shall be released pursuant to this consent. This form shall be used for students enrolled in public schools or charter schools.
The State Board of Education may use funds appropriated for drivers education to cover the costs of driving eligibility certificates."
Requested by: Representatives Jeffus, Tolson, Yongue
DISCREPANCIES BETWEEN ANTICIPATED AND ACTUAL ADM
SECTION 7.19.(a) If the State Board of Education does not have sufficient resources in the ADM Contingency Reserve line item to make allotment adjustments in accordance with the Allotment Adjustments for ADM Growth provisions of the North Carolina Public Schools Allotment Policy Manual, the State Board of Education may use funds appropriated to State Aid for Public Schools for this purpose.
SECTION 7.19.(b) If the higher of the first or second month average daily membership in a local school administrative unit is at least two percent (2%) or 100 students lower than the anticipated average daily membership used for allotments for the unit, the State Board of Education shall reduce allotments for the unit. The reduced allotments shall be based on the higher of the first or second month average daily membership plus one‑half of the number of students overestimated in the anticipated average daily membership.
The allotments reduced pursuant to this subsection shall include only those allotments that may be increased pursuant to the Allotment Adjustments for ADM Growth provisions of the North Carolina Public Schools Allotment Policy Manual.
Requested by: Representatives Jeffus, Tolson, Yongue
CHARTER SCHOOL ADVISORY COMMITTEE/CHARTER SCHOOL EVALUATION
Requested by: Representatives Jeffus, Tolson, Yongue
MENTOR TEACHER FUNDS MAY BE USED FOR FULL‑TIME MENTORS
SECTION 7.21.(a) The State Board of Education shall grant flexibility to a local board of education regarding the use of mentor funds to provide mentoring support, provided the local board submits a detailed plan on the use of the funds to the State Board and the State Board approves that plan. The plan shall include information on how all mentors in the local school administrative unit have been or will be adequately trained to provide mentoring support.
Local boards of education shall use funds allocated for mentor teachers to provide mentoring support to all State‑paid newly certified teachers, second‑year teachers who were assigned mentors during the prior school year, and entry‑level instructional support personnel who have not previously been teachers.
SECTION 7.21.(b) The State Board, after consultation with the Professional Teaching Standards Commission, shall adopt standards for mentor training.
SECTION 7.21.(c) Each local board of education with a plan approved pursuant to subsection (a) of this section shall report to the State Board on the impact of its mentor program on teacher retention. The State Board shall analyze these reports to determine the characteristics of mentor programs that are most effective in retaining teachers and shall report its findings to the Joint Legislative Education Oversight Committee by October 15, 2006.
SECTION 7.21.(d) In addition to the report required in subsection (c) of this section, the State shall also evaluate the effectiveness of a representative sample of local mentor programs and report on its findings to the Joint Legislative Education Oversight Committee and the Fiscal Research Division by December 15, 2006. The evaluation shall focus on quantitative evidence, quality of service delivery, and satisfaction of those involved. The report shall include the results of the evaluation and recommendations both for improving mentor programs generally and for an appropriate level of State support for mentor programs.
Requested by: Representatives Jeffus, Tolson, Yongue
VISITING INTERNATIONAL EXCHANGE TEACHERS
SECTION 7.22.(a) G.S. 115C‑105.25(b) is amended by adding a new subdivision to read:
"(5a) Positions allocated for classroom teachers may be converted to dollar equivalents to contract for visiting international exchange teachers. These positions shall be converted at the statewide average salary for classroom teachers, including benefits. The converted funds shall be used only to cover the costs associated with bringing visiting international exchange teachers to the local school administrative unit through a State‑approved visiting international exchange teacher program and supporting the visiting exchange teachers."
Requested by: Representatives Jeffus, Tolson, Yongue
FUNDS TO IMPLEMENT THE ABCS OF PUBLIC EDUCATION
SECTION 7.23.(a) The State Board of Education shall use funds appropriated in this act for State Aid to Local School Administrative Units to provide incentive funding for schools that met or exceeded the projected levels of improvement in student performance during the 2004‑2005 school year, in accordance with the ABCs of Public Education Program. In accordance with State Board of Education policy:
(1) Incentive awards in schools that achieve higher than expected improvements may be:
a. Up to one thousand five hundred dollars ($1,500) for each teacher and for certified personnel; and
b. Up to five hundred dollars ($500.00) for each teacher assistant.
(2) Incentive awards in schools that meet the expected improvements may be:
a. Up to seven hundred fifty dollars ($750.00) for each teacher and for certified personnel; and
b. Up to three hundred seventy‑five dollars ($375.00) for each teacher assistant.
Requested by: Representatives Jeffus, Tolson, Yongue
Requested by: Representatives Jeffus, Tolson, Yongue
FUNDS FOR THE TESTING AND IMPLEMENTATION OF THE NEW STUDENT INFORMATION SYSTEM
SECTION 7.25.(b) This section becomes effective June 30, 2005.
Requested by: Representatives Jeffus, Tolson, Yongue
PUBLIC SCHOOL BUILDING CAPITAL AND TECHNOLOGY FUND
"Article 38A.
Public School Building Capital and Technology Fund."
SECTION 7.26.(b) G.S. 115C‑546.1 reads as rewritten:
"§ 115C‑546.1. Creation of Fund; administration.
(a) There is created the Public School Building Capital and Technology Fund. The Fund shall be used to assist county governments in meeting their public school building capital needs and their equipment needs under their local school technology plans.
(b) Each calendar quarter,
the Secretary of Revenue shall remit to the State Treasurer for credit to
the Public School Building Capital Fund an amount equal to the
applicable fraction provided in the table below five sixty‑ninths (5/69)
of the net collections received during the previous quarter by the
Department of Revenue under G.S. 105‑130.3. Of these funds, two million seven hundred sixty-two
thousand five hundred dollars ($2,762,500) shall be for credit to the
State Public School Fund, and the remainder shall be for credit to the Public
School Capital and Technology Fund. All funds deposited in the Public
School Building Capital and Technology Fund shall be invested as
provided in G.S. 147‑69.2 and G.S. 147‑69.3.
Period Fraction
10/1/97 to
9/30/98 One‑fifteenth (1/15)
10/1/98 to
9/30/99 Two twenty‑ninths (2/29)
10/1/99 to
9/30/00 One‑fourteenth (1/14)
After 9/30/00 Five
sixty‑ninths (5/69)
(c) The Fund shall be administered by the Department of Public Instruction. "
SECTION 7.26.(c) Notwithstanding the provisions of G.S. 115C‑546.1(b), as rewritten by subsection (a) of this section, for the first quarter of the 2005‑2006 fiscal year only, the Secretary of Revenue shall remit to the State Treasurer an amount equal to five sixty‑ninths of the net collections received during the previous quarter by the Department of Revenue under G.S. 105‑130.3. Of these funds, four million seven hundred sixty-two thousand five hundred dollars ($4,762,500) shall be for credit to the State Public School Fund, and the remainder shall be for credit to the Public School Capital and Technology Fund.
Requested by: Representatives Jeffus, Tolson, Yongue
LEA SALES TAX REFUND REPORTING
SECTION 7.27.(a) G.S. 105‑164.14(c) reads as rewritten:
"(c) Certain Governmental Entities. – A governmental entity listed in this subsection is allowed an annual refund of sales and use taxes paid by it under this Article on direct purchases of tangible personal property and services, other than electricity and telecommunications service. Sales and use tax liability indirectly incurred by a governmental entity on building materials, supplies, fixtures, and equipment that become a part of or annexed to any building or structure that is owned or leased by the governmental entity and is being erected, altered, or repaired for use by the governmental entity is considered a sales or use tax liability incurred on direct purchases by the governmental entity for the purpose of this subsection. A request for a refund must be in writing and must include any information and documentation required by the Secretary. A request for a refund is due within six months after the end of the governmental entity's fiscal year. The Secretary shall make an annual report to the Department of Public Instruction and the Fiscal Research Division of the General Assembly by January 1 of the amount of refunds, identified by taxpayer, claimed under subdivisions (2b) and (2c) of this subsection over the preceding year.
This subsection applies only to the following governmental entities:
(1) A county.
(2) A city as defined in G.S. 160A‑1.
(2a) A consolidated city‑county as defined in G.S. 160B‑2.
(2b) A local school administrative unit.
(2c) A joint agency created by interlocal agreement among local school administrative units pursuant to G.S. 160A‑462 to jointly purchase food service‑related materials, supplies, and equipment on their behalf.
(3) A metropolitan sewerage district or a metropolitan water district in this State.
(4) A water and sewer authority created under Chapter 162A of the General Statutes.
(5) A lake authority created by a board of county commissioners pursuant to an act of the General Assembly.
(6) A sanitary district.
(7) A regional solid waste management authority created pursuant to G.S. 153A‑421.
(8) An area mental health, developmental disabilities, and substance abuse authority, other than a single‑county area authority, established pursuant to Article 4 of Chapter 122C of the General Statutes.
(9) A district health department, or a public health authority created pursuant to Part 1A of Article 2 of Chapter 130A of the General Statutes.
(10) A regional council of governments created pursuant to G.S. 160A‑470.
(11) A regional planning and economic development commission or a regional economic development commission created pursuant to Chapter 158 of the General Statutes.
(12) A regional planning commission created pursuant to G.S. 153A‑391.
(13) A regional sports authority created pursuant to G.S. 160A‑479.
(14) A public transportation authority created pursuant to Article 25 of Chapter 160A of the General Statutes.
(14a) A facility authority created pursuant to Part 4 of Article 20 of Chapter 160A of the General Statutes.
(15) A regional public transportation authority created pursuant to Article 26 of Chapter 160A of the General Statutes, or a regional transportation authority created pursuant to Article 27 of Chapter 160A of the General Statutes.
(16) A local airport authority that was created pursuant to a local act of the General Assembly.
(17) A joint agency created by interlocal agreement pursuant to G.S. 160A‑462 to operate a public broadcasting television station.
(18) Repealed by Session Laws 2001‑474, s. 7, effective November 29, 2001.
(19) Repealed by Session Laws 2001‑474, s. 7, effective November 29, 2001.
(20) A constituent institution of The University of North Carolina, but only with respect to sales and use tax paid by it for tangible personal property or services that are eligible for refund under this subsection acquired by it through the expenditure of contract and grant funds.
(21) The University of North Carolina Health Care System.
(22) A regional natural gas district created pursuant to Article 28 of Chapter 160A of the General Statutes."
SECTION 7.27.(b) G.S. 105‑259(b) is amended by adding a new subdivision to read:
"(b) Disclosure Prohibited. – An officer, an employee, or an agent of the State who has access to tax information in the course of service to or employment by the State may not disclose the information to any other person unless the disclosure is made for one of the following purposes:
…
(32) To provide the report required under G.S. 105‑164.14(c) to the Department of Public Instruction and the Fiscal Research Division of the General Assembly."
Requested by: Representatives Jeffus, Tolson, Yongue
REVIEW OF STANDARDS FOR MASTERS IN SCHOOL ADMINISTRATION PROGRAMS
Requested by: Representatives Jeffus, Tolson, Yongue
EVALUATION OF SCHOOL PRINCIPALS
SECTION 7.29. Chapter 115C of the General Statutes is amended by adding a new section to read:
"§ 115C‑286.1. Evaluations of principals.
Local school administrative units shall evaluate all principals and assistant principals at least once each year. Either the superintendent or the superintendent's designee shall conduct the evaluations.
The State Board shall determine the standards and criteria to be used in the evaluations. A local board shall use the performance standards and criteria adopted by the State Board unless the board develops an alternative evaluation that is properly validated and that includes standards and criteria similar to those adopted by the State Board."
Requested by: Representatives Jeffus, Tolson, Yongue
The State Board shall disseminate this information about best practices to schools and school systems across the State.
Requested by: Representatives Jeffus, Tolson, Yongue
Funds shall not be allotted until Learn and Earn high schools are certified as operational.
Requested by: Representatives Jeffus, Tolson, Yongue
FLEXIBILITY FOR HIGH SCHOOL INNOVATION
SECTION 7.33.(a) Part 9 of Article 16 of Chapter 115C of the General Statutes reads as rewritten:
"Part 9. Cooperative Innovative High School Programs.
"§ 115C‑238.50. Purpose.
(a) The purpose of this Part
is to authorize boards of trustees of community colleges and local boards of
education to jointly establish local boards of education to jointly
establish with one or more boards of trustees cooperative innovative
programs in high schools and community colleges or universities that
will expand students' opportunities for educational success through high
quality instructional programming. These cooperative innovative high school
programs shall target:
(1) High school students who are at risk of dropping out of school before attaining a high school diploma; or
(2) High school students who would benefit from accelerated academic instruction.
(b) All the cooperative innovative high school programs established under this Part shall:
(1) Prepare students adequately for future learning in the workforce or in an institution of higher education.
(2) Expand students' educational opportunities within the public school system.
(3) Be centered on the core academic standards represented by the college preparatory or tech prep program of study as defined by the State Board of Education.
(4) Encourage the cooperative
or shared use of resources, personnel, and facilities between public schools
and community colleges. colleges or universities, or both.
(5) Integrate and emphasize both academic and technical skills necessary for students to be successful in a more demanding and changing workplace.
(6) Emphasize parental involvement and provide consistent counseling, advising, and parent conferencing so that parents and students can make responsible decisions regarding course taking and can track the students' academic progress and success.
(7) Be held accountable for meeting measurable student achievement results.
(8) Encourage the use of different and innovative teaching methods.
(9) Establish joint institutional responsibility and accountability for support of students and their success.
(10) Effectively utilize
existing funding sources for high school, community college, university,
and vocational programs and actively pursue new funding from other sources.
(11) Develop methods for early identification of potential participating students in the middle grades and through high school.
(12) Reduce the percentage of students needing remedial courses upon their initial entry from high school into a college or university.
(c) Programs developed under this Part that target students who are at risk of dropping out of high school before attaining a high school diploma shall:
(1) Provide these students with the opportunity to graduate from high school possessing the core academic skills needed for postsecondary education and high‑skilled employment.
(2) Enable students to complete a technical or academic program in a field that is in high demand and has high wages.
(3) Set and achieve goals
that significantly reduce dropout rates and raise high school and community college
retention, certification, and degree completion rates.
(4) Enable students who complete these programs to pass employer exams, if applicable.
(d) Cooperative innovative high school programs that offer accelerated learning programs shall:
(1) Provide a flexible, customized program of instruction for students who would benefit from accelerated, higher level coursework or early graduation from high school.
(2) Enable students to obtain
a high school diploma in less than four years and years, to begin
or complete an associate degree program or program, to master a
certificate or vocational program.program, or to earn up to two years
of college credit.
(3) Offer a college preparatory academic core and in‑depth studies in a career or technical field that will lead to advanced programs or employment opportunities in engineering, health sciences, or teaching.
(e) Cooperative innovative
high school programs may include the creation of a school within a school, a
technical high school, or a high school or technical center located on the campus
of a community college.college or university.
(f) Students are eligible to attend these programs as early as ninth grade.
"§ 115C‑238.50A. Definitions.
The following definitions apply in this Part:
(1) Constituent institution. – A constituent institution as defined in G.S. 116‑2(4).
(2) Education partner. – An education partner as provided in G.S. 115C‑238.52.
(3) Governing board. – The State Board of Community Colleges, the Board of Governors of The University of North Carolina, or the Board of the North Carolina Independent Colleges and Universities.
(4) Local board of trustees. – The board of trustees of a community college, constituent institution of The University of North Carolina, or private college located in North Carolina.
"§ 115C‑238.51. Application process.
(a) A local board of
education and a at least one local board of trustees of a
community college shall jointly apply to establish a cooperative innovative
high school program under this Part.
(b) The application shall contain at least the following information:
(1) A description of a program that implements the purposes in G.S. 115C‑238.50.
(2) A statement of how the program relates to the Economic Vision Plan adopted for the economic development region in which the program is to be located.
(3) The facilities to be used by the program and the manner in which administrative services of the program are to be provided.
(4) A description of student academic and vocational achievement goals and the method of demonstrating that students have attained the skills and knowledge specified for those goals.
(5) A description of how the program will be operated, including budgeting, curriculum, transportation, and operating procedures.
(6) The process to be followed by the program to ensure parental involvement.
(7) The process by which students will be selected for and admitted to the program.
(8) A description of the funds that will be used and a proposed budget for the program. This description shall identify how the average daily membership (ADM) and full‑time equivalent (FTE) students are counted.
(9) The qualifications required for individuals employed in the program.
(10) The number of students to be served.
(11) A description of how the program's effectiveness in meeting the purposes in G.S. 115C‑238.50 will be measured.
(c) The application shall be
submitted to the State Board of Education and the State Board of Community
Colleges applicable governing Boards by November 1 of each year. The
State Board of Education and the State Board of Community Colleges Boards
shall appoint a joint advisory committee to review the applications and to
recommend to the State Boards those programs that meet the requirements
of this Part and that achieve the purposes set out in G.S. 115C‑238.50.
(d) The State Board of
Education and the State Board of Community Colleges shall approve two
cooperative innovative high school programs in each of the State's economic
development regions. The State Boards may approve programs
recommended by the joint advisory committee or may approve other programs that
were not recommended. The State Boards shall approve all applications by
March 15 of each year. No application shall be approved unless the State Boards
State Board of Education and the applicable governing Board find
that the application meets the requirements set out in this Part and that
granting the application would achieve the purposes set out in G.S. 115C‑238.50.
Priority shall be given to applications that are most likely to further State
education policies, to address the economic development needs of the economic
development regions in which they are located, and to strengthen the
educational programs offered in the local school administrative units in which
they are located.
"§ 115C‑238.52. Participation by other education partners.
(a) Any or all of the following education partners may participate in the development of a cooperative innovative program under this Part that is targeted to high school students who would benefit from accelerated academic instruction:
(1) A constituent
institution of The University of North Carolina.
(2) A private
college or university located in North Carolina.
(3) A private business or organization.
(4) The county board of commissioners in the county in which the program is located.
(b) Any or all of the education partners listed in subsection (a) of this section that participate shall:
(1) Jointly apply with the
local board of education and the local board of trustees of the community
college to establish a cooperative innovative program under this Part.
(2) Be identified in the application.
(3) Sign the written agreement under G.S. 115C‑238.53(b).
"§ 115C‑238.53. Program operation.
(a) A program approved by
the State shall be is accountable to the local board of
education.
(b) A program approved under
this Part shall operate under the terms of a written agreement signed by the
local board of education, local board of trustees of the community college, trustees,
State Board of Education, and State Board of Community Colleges. applicable
governing Board. The agreement shall incorporate the information provided
in the application, as modified during the approval process, and any terms and
conditions imposed on the program by the State Board of Education and the State
Board of Community Colleges. applicable governing Board. The
agreement may be for a term of no longer than five school years.
(c) A program may be
operated in a facility owned or leased by the local board of education, the
local board of trustees of the community college, trustees, or
the education partner, if any.
(d) A program approved under this Part shall provide instruction each school year for at least 180 days during nine calendar months, shall comply with laws and policies relating to the education of students with disabilities, and shall comply with Article 27 of this Chapter.
(e) A program approved under
this Part may use State, federal, and local funds allocated to the local school
administrative unit, to the State Board of Community Colleges, applicable
governing Board, and to the community college or university to
implement the program. If there is an education partner and if it is a public
body, the program may use State, federal, and local funds allocated to that
body.
(f) Except as provided in
this Part and pursuant to under the terms of the agreement, a
program is exempt may be exempted by the applicable governing Board from
laws and rules applicable to a local board of education, a local school
administrative unit, a community college, a constituent institution, or
a local board of trustees of a community college.trustees.
"§ 115C‑238.54. Funds for programs.
(a) The Department of Public Instruction shall assign a school code for each program that is approved under this Part. All positions and other State and federal allotments that are generated for this program shall be assigned to that school code. Notwithstanding G.S. 115C‑105.25, once funds are assigned to that school code, the local board of education may use these funds for the program and may transfer these funds between funding allotment categories.
(b) The local board of
trustees of a community college may allocate State and federal funds for
a program that is approved under this Part.
(c) An education partner under G.S. 115C‑238.52 that is a public body may allocate State, federal, and local funds for a program that is approved under this Part.
(d) If not an education partner under G.S. 115C‑238.52, a county board of commissioners in a county where a program is located may nevertheless appropriate funds to a program approved under this Part.
(e) The local board of
education and the local board of trustees of the community college are
strongly encouraged to seek funds from sources other than State, federal, and
local appropriations. They are strongly encouraged to seek funds the Education
Cabinet identifies or obtains under G.S. 116C‑4.
"§ 115C‑238.55. Evaluation of programs.
The State Board of Education and
the State Board of Community Colleges governing Boards shall
evaluate the success of students in programs approved under this Part. Success
shall be measured by high school retention rates, high school completion rates,
high school dropout rates, certification and associate degree completion,
admission to four‑year institutions, postgraduation employment in career
or study‑related fields, and employer satisfaction of employees who
participated in and graduated from the programs. Beginning October 15, 2005,
and annually thereafter, the Boards shall jointly report to the Joint
Legislative Education Oversight Committee on the evaluation of these programs.
If, by October 15, 2006, the Boards determine any or all of these programs have
been successful, they shall jointly develop a prototype plan for similar
programs that could be expanded across the State. This plan shall be included
in their report to the Joint Legislative Education Oversight Committee that is
due by October 15, 2007."
The plan shall include, but not be limited to, the following aspects of the proposed programs:
(1) Programmatic design including location, curriculum, student access, and calendar.
(2) Projected costs of operation, including instructional, administrative, transportation, capital, and other costs.
(3) Any plans for coordination with institutes of higher education.
(4) Proposed implementation schedule.
Requested by: Representatives Jeffus, Tolson, Yongue
FUNDS FOR EDUCATION OF STUDENTS AT ECKERD YOUTH ALTERNATIVES THERAPEUTIC CAMP
Requested by: Representatives Jeffus, Tolson, Yongue
MINIMIZE TIME DEVOTED TO STANDARDIZED TESTS
SECTION 7.37. G.S. 115C‑174.12(a) reads as rewritten:
"(a) The State Board of Education shall establish policies and guidelines necessary for minimizing the time students spend taking tests administered through State and local testing programs, for minimizing the frequency of field testing at any one school, and for otherwise carrying out the provisions of this Article. These policies and guidelines shall include the following:
(1) Schools shall devote no more than two days of instructional time per year to the taking of practice tests that do not have the primary purpose of assessing current student learning;
(2) Students in a school shall not be subject to field tests or national tests during the two‑week period preceding the administration of end‑of‑grade tests, end‑of‑course tests, or the school's regularly scheduled final exams; and
(3) No school shall participate in more than two field tests at any one grade level during a school year unless that school volunteers, through a vote of its school improvement team, to participate in an expanded number of field tests.
These policies shall reflect standard testing practices to insure reliability and validity of the sample testing. The results of the field tests shall be used in the final design of each test. The State Board of Education's policies regarding the testing of children with disabilities shall (i) provide broad accommodations and alternate methods of assessment that are consistent with a child's individualized education program and section 504 (29 U.S.C. § 794) plans, (ii) prohibit the use of statewide tests as the sole determinant of decisions about a child's graduation or promotion, and (iii) provide parents with information about the Statewide Testing Program and options for students with disabilities. The State Board shall report its proposed policies and proposed changes in policies to the Joint Legislative Education Oversight Committee prior to adoption.
The State Board of Education may appoint an Advisory Council on Testing to assist in carrying out its responsibilities under this Article."
Requested by: Representatives Jeffus, Tolson, Yongue
PLAN AND FUNDING FOR A VIRTUAL HIGH SCHOOL
SECTION 7.41.(b) As used in this section, "E‑learning" is electronic learning that includes a wide set of applications and processes, such as Web‑based learning, computer‑based learning, virtual classrooms, and digital collaboration. It includes the delivery of content via Internet, intranet/extranet (LAN/WAN), audiotape, videotape, satellite broadcast, interactive television, and CD‑ROM.
The State Board of Education shall include in the pilot program instruction on personal financial literacy. This instruction shall be designed to equip students with the knowledge and skills they need, before they become self‑supporting, to make critical decisions regarding their personal finances. The components of instruction shall include, at a minimum, consumer financial education, personal finance, and personal credit.
Requested by: Representatives Jeffus, Tolson, Yongue
FEASIBILITY STUDY FOR DEVELOPING REGIONAL EDUCATION NETWORKS
The study shall include (i) an evaluation of existing technology and service applications such as the statewide infrastructure, the North Carolina Research and Education Network, and networks such as Winston‑Net and (ii) an evaluation of newer technology such as wireless broadband access. It shall recommend ways to maximize the use of these existing resources to support growth in broadband service access to the State, including underserved regions.
The North Carolina Rural Economic Development Center and the e‑NC Authority shall report the results of the study to the 2006 Regular Session of the 2005 General Assembly.
Requested by: Representatives Jeffus, Tolson, Yongue
assistance with SCHOOL TECHNOLOGY NEEDS
SECTION 7.43.(a) G.S. 115C‑102.6A(c) is amended by adding a new subdivision to read:
"(c) Components of the State school technology plan shall include at least the following:
…
(17) A baseline template for:
a. Technology and service application infrastructure, including broadband connectivity, personnel recommendations, and other resources needed to operate effectively from the classroom desktop to local, regional, and State networks, and
b. An evaluation component that provides for local school administrative unit accountability for maintaining quality upgradeable systems."
SECTION 7.43.(c) G.S. 115C‑102.7 is amended by adding the following new subsection to read:
"(c) The Department of Public Instruction shall randomly check local school system technology plans to ensure that local school administrative units are implementing their plans as approved. The Department shall report to the State Board of Education and the State Chief Information Officer on which local school administrative units are not complying with their plans. The report shall include the reasons these local school administrative units are out of compliance and a recommended plan of action to support each of these local school administrative units in carrying out their plans."
The State Board shall report the results of this study to the 2006 Regular Session of the 2005 General Assembly.
SECTION 7.43.(f) 2IIn order to provide assistance to local school administrative units with E‑rate applications, the Department of Public Instruction shall, within existing funds, ensure that a minimum of one full‑time coordinator is assigned this responsibility. The Department shall notify local school administrative units about the person or office assigned the responsibility of providing assistance with E‑rate applications.
The Department shall provide the State Board of Education with an annual report on E‑rate, including funding, commitments, and enrollment by local school administrative units.
As used in this section, "E‑rate" is the mechanism to provide discount rates to support universal telecommunications services for use by schools and libraries as provided in section 254 of the federal Telecommunications Act of 1996.
Requested by: Representatives Jeffus, Tolson, Yongue
(1) Develop a plan to get the State moving toward the national average in teacher salaries by 2008 and toward the top 10 states in the nation by 2010.
(2) Consider strategies for maintaining the lead in teacher salaries in the Southeastern United States.
(3) Consider the need to reduce the number of steps on the teacher salary schedule, increase the beginning teacher salary, and enable an individual to reach the maximum salary sooner.
(4) Perform a market‑sensitive analysis of the skills and knowledge needed to be a successful teacher to determine what it takes to make the schedule attractive and competitive.
(5) Consider the placement of appropriate extraordinary increases on schedule for achievement of career status, teacher retention, and other purposes.
(6) Determine the need to modify the masters schedule differential.
(7) Determine the need to modify the alternative salary schedules to reward different levels of academic preparation and career accomplishments such as attainment of national certification.
(8) Consider the appropriate relationship of the school counselor's and psychologist's schedules to the schedules for other members of the school‑based staff.
(9) Determine the need to modify the administrator salary schedule.
(10) Consider how personal leave and other fringe benefits contribute to the compensation packages for employees.
(11) Consider the need to modify pay scales for teacher assistants and other noncertified personnel.
(12) Consider other matters the Committee deems appropriate.
The Committee shall report the results of its study to the 2006 Regular Session of the 2005 General Assembly.
Requested by: Representatives Jeffus, Tolson, Yongue
zero‑based budget review of the Department of Public Instruction
The Speaker of the House of Representatives shall designate one Representative as cochair, and the President Pro Tempore shall designate one Senator as cochair. Vacancies on the Commission shall be filled by the same appointing authority as made the initial appointment.
(1) Consider the mission and goals of the Department, as set out in statutes and in the rules, policies, and practices of the Department;
(2) Evaluate the mission and goals of the Department in view of the Leandro decision, the No Child Left Behind Act of 2001, the academic performance of students in the public schools, and the needs of the State and its citizens, and propose any necessary revisions;
(3) Evaluate the efficiency and effectiveness of the Department of Public Instruction in furthering the missions and goals of the Department, including any proposed revisions. This evaluation shall include (i) the role of the Department of Public Instruction, its administrative structure, organization, and its statutory powers and duties; (ii) the role of the State Board of Education as the head of the Department of Public Instruction, its composition, organization, and constitutional and statutory powers and duties; and (iii) the role of the State Superintendent as secretary and chief administrative officer of the State Board, the State Superintendent's selection, and the State Superintendent's constitutional and statutory powers and duties;
(4) Evaluate each program within the Department to determine (i) whether and to what extent it is required by State or federal law; (ii) what extent it achieves the mission and goals of the Department; and (iii) whether there are alternative ways to achieve the mission and goals of the Department, including proposed revisions, in a more efficient and effective manner;
(5) Assess the activities performed in each program, the major benefits provided by the program, the current cost and staffing levels for the program, the rationale for the cost and staffing levels, and the administrative and other overhead costs of the program;
(6) Determine the level of funding and staff necessary to accomplish the goals and missions of the Department, including proposed revisions, without regard to past levels of funding.
The Legislative Services Commission, through the Legislative Services Officer, shall assign professional staff to assist the Commission in its work. The House of Representatives' and the Senate's Supervisors of Clerks shall assign clerical staff to the Commission, and the expenses relating to the clerical employees shall be borne by the Commission. The Commission may contract for professional, clerical, or consultant services as provided by G.S. 120‑32.02. If the Commission hires a consultant, the consultant shall not be a State employee or a person currently under contract with the State to provide services.
All State departments and agencies and local governments and their subdivisions shall furnish the Commission with any information in their possession or available to them.
The Legislative Services Commission, through the Legislative Services Officer, shall assign professional staff to assist the Commission in its work. The House of Representatives' and the Senate's Supervisors of Clerks shall assign clerical staff to the Commission, and the expenses relating to the clerical employees shall be borne by the Commission.
Requested by: Representatives Jeffus, Tolson, Yongue
SECTION 7.50. G.S. 115C‑296 reads as rewritten:
"§
115C‑296. Board sets certification Certification requirements.
(a) State Board of
Education Shall Certify Teachers. – The State Board of Education shall have
entire control of certifying all applicants for teaching positions in
all public elementary and high schools of North Carolina; and it Carolina,
subject to laws enacted by the General Assembly. An applicant must meet the requirements
for a highly qualified teacher under the No Child Left Behind Act of 2001, 20
U.S.C. § 6301, et seq., to be certified in North Carolina. The State Board shall
prescribe the rules and regulations for the renewal and extension of all
certificates and shall determine and fix the salary for each grade and type of
certificate which that it authorizes.
The State Board of Education
may require an applicant for an initial bachelors degree certificate or
graduate degree certificate to demonstrate the applicant's academic and
professional preparation by achieving a prescribed minimum score on a standard
examination appropriate and adequate for that purpose. The
(a1) Certification of Beginning In‑State and Out‑of‑State Teachers. – The certification requirements for an initial bachelors degree certificate or masters degree certificate for a beginning teacher who has completed an approved teacher education program and who is an in‑State applicant or an applicant from another state shall include the following:
(1) An applicant for a certificate as an elementary education teacher or a special education teacher shall demonstrate academic and professional preparation by either (i) achieving a prescribed minimum score on a standard examination appropriate and adequate for that purpose or (ii) otherwise meeting the requirements for a highly qualified teacher under the No Child Left Behind Act of 2001.
(2) An applicant for a certificate in all other areas of certification shall demonstrate academic and professional preparation by either (i) achieving a prescribed minimum score on a standard examination appropriate and adequate for that purpose, (ii) completing an appropriate academic major, graduate degree, or comparable coursework, or (iii) otherwise meeting the requirements for a highly qualified teacher under the No Child Left Behind Act of 2001.
(a2) Certification of Teachers From Other States With Less Than Three Years of Experience. – A teacher from another state who (i) has less than three years of experience as a full‑time classroom teacher, (ii) is fully certified and highly qualified, as provided in the No Child Left Behind Act of 2001 in that other state, and (iii) is employed as a teacher by a local school administrative unit in North Carolina, is deemed to have satisfied the academic and professional preparation required to receive initial certification in North Carolina, except as otherwise provided in the No Child Left Behind Act of 2001. The initial certification shall be granted for the period of time necessary for the teacher to acquire three years of full‑time teaching experience in North Carolina and the other state combined, whichever is longer.
(a3) Certification of In‑State and Out‑of‑State Teachers With at Least Three Years of Experience. – A teacher from North Carolina or another state who (i) has three or more years of experience as a full‑time teacher, (ii) is fully certified and highly qualified as provided in the No Child Left Behind Act of 2001 in North Carolina or in that other state, and (iii) is employed as a teacher by a local school administrative unit in North Carolina, is deemed to have satisfied the academic and professional preparation required to receive continuing certification in North Carolina, except as otherwise provided in the No Child Left Behind Act of 2001.
(a4) Certification of Visiting International Faculty. – The State Board of Education shall issue an international faculty certificate to an individual on a cultural exchange visa who (i) has a university degree and a teaching certificate in his or her country, (ii) is qualified in his or her home country to teach the subjects he or she will teach, (iii) speaks English proficiently, and (iv) meets the definition of highly qualified under the No Child Left Behind Act of 2001. The certificate shall be granted for the period of time during which the teacher holds a cultural exchange visa, not to exceed three consecutive years.
An individual on a cultural exchange visa shall not be eligible to receive any other teacher certificate.
(a5) Testing Requirements. – An applicant for teacher certification shall not be required to take and pass a standard examination except as required by subsection (a1) of this section or the No Child Left Behind Act of 2001.
The State Board of
Education shall permit an applicant to fulfill any such testing
requirement before or during the applicant's second year of teaching provided
the applicant took the examination at least once during the first year of
teaching. The State Board of Education shall make any required standard initial
certification exam sufficiently rigorous and raise the prescribed minimum score
as necessary to ensure that each applicant has adequate academic and
professional preparation to teach.
(a1) The State Board
shall adopt policies that establish the minimum scores for any required
standard examinations and other measures necessary to assess the qualifications
of professional personnel as required under subsection (a)(a1) of
this section.section or the No Child Left Behind Act of 2001. For
purposes of this subsection, the State Board shall not be subject to Article 2A
of Chapter 150B of the General Statutes. At least 30 days prior to changing any
policy adopted under this subsection, the State Board shall provide written
notice to all North Carolina schools of education and to all local boards of
education. The written notice shall include the proposed revised policy.
(a2) (a6) Fees
for Teacher Certification. – The State Board of Education shall impose the
following schedule of fees for teacher certification and administrative
changes:
(1) Application for demographic or administrative changes to a certificate, $30.00.
(2) Application for a duplicate certificate or for copies of documents in the certification files, $30.00.
(3) Application for a renewal, extension, addition, upgrade, and variation to a certificate, $55.00.
(4) Initial application for New, In‑State Approved Program Graduate, $55.00.
(5) Initial application for Out
of State certificate, certificate for a teacher from another state, $85.00.
(6) All other applications, $85.00.
The applicant must pay the fee at the time the application is submitted.
(b) Standards for Teacher and School Administrator Education Programs, Entry Into Teacher Education Programs, and Continuing Certification. – It is the policy of the State of North Carolina to maintain the highest quality teacher education programs and school administrator programs in order to enhance the competence of professional personnel certified in North Carolina. To the end that teacher preparation programs are upgraded to reflect a more rigorous course of study, the State Board of Education, as lead agency in coordination and cooperation with the University Board of Governors, the Board of Community Colleges and such other public and private agencies as are necessary, shall continue to refine the several certification requirements, standards for approval of institutions of teacher education, standards for institution‑based innovative and experimental programs, standards for implementing consortium‑based teacher education, and standards for improved efficiencies in the administration of the approved programs. The certification program shall provide for initial certification after completion of preservice training, continuing certification after three years of teaching experience, and certificate renewal every five years thereafter, until the retirement of the teacher. The last certificate renewal received prior to retirement shall remain in effect for five years after retirement.
The State Board of Education, as lead agency in coordination with the Board of Governors of The University of North Carolina and any other public and private agencies as necessary, shall continue to raise standards for entry into teacher education programs.
The State Board of Education, in consultation with the Board of Governors of The University of North Carolina, shall evaluate and develop enhanced requirements for continuing certification. The new requirements shall reflect more rigorous standards for continuing certification and to the extent possible shall be aligned with quality professional development programs that reflect State priorities for improving student achievement.
The State Board of Education,
in consultation with local boards of education and the Board of Governors of
The University of North Carolina, shall reevaluate and enhance the requirements
for renewal of teacher certificates. The State Board shall consider
modifications in the certificate renewal achievement and to make it a mechanism
for teachers to renew continually their knowledge and professional skills. The
State Board shall adopt new standards for the renewal of teacher certificates
by May 15, 1998.
The standards for approval of institutions of teacher education shall require that teacher education programs for students who do not major in special education include demonstrated competencies in the identification and education of children with learning disabilities. The State Board of Education shall incorporate the criteria developed in accordance with G.S. 116‑74.21 for assessing proposals under the School Administrator Training Program into its school administrator program approval standards.
All North Carolina institutions of higher education that offer teacher education programs, masters degree programs in education, or masters degree programs in school administration shall provide performance reports to the State Board of Education. The performance reports shall follow a common format, shall be submitted according to a plan developed by the State Board, and shall include the information required under the plan developed by the State Board.
(b1) Performance Reports
for Teacher and School Administrator Education Programs. – The State Board
of Education shall develop a plan to provide a focused review of teacher
education programs and the current process of accrediting these programs in
order to ensure that the programs produce graduates that are well prepared to
teach. The plan shall include the development and implementation of a school of
education performance report for each teacher education program in North
Carolina. The performance report shall include at least the following elements:
(i) quality of students entering the schools of education, including the
average grade point average and average score on preprofessional skills tests
that assess reading, writing, math and other competencies; (ii) graduation
rates; (iii) time‑to‑graduation rates; (iv) average scores of graduates
on professional and content area examination for the purpose of certification;
(v) percentage of graduates receiving initial certification; (vi) percentage of
graduates hired as teachers; (vii) percentage of graduates remaining in
teaching for four years; (viii) graduate satisfaction based on a common survey;
and (ix) employer satisfaction based on a common survey. The performance
reports shall follow a common format. The performance reports shall be
submitted annually. The State Board of Education shall develop and implement
a plan to be implemented beginning in the 1998‑99 school year to
reward and sanction approved teacher education programs and masters of
education programs and to revoke approval of those programs based on the
performance reports and other criteria established by the State Board of
Education.
The State Board also shall develop and implement a plan for annual performance reports for all masters degree programs in education and school administration in North Carolina. To the extent it is appropriated, the performance report shall include similar indicators to those developed for the performance report for teacher education programs. The performance reports shall follow a common format.
Both plans for performance reports also shall include a method to provide the annual performance reports to the Board of Governors of The University of North Carolina, the State Board of Education, and the boards of trustees of the independent colleges. The State Board of Education shall review the schools of education performance reports and the performance reports for masters degree programs in education and school administration each year the performance reports are submitted. The State Board shall submit the performance report for the 1999‑2000 school year to the Joint Legislative Education Oversight Committee by December 15, 2000. Subsequent performance reports shall be submitted to the Joint Legislative Education Oversight Committee on an annual basis by October 1.
(c) Lateral Entry. – It
is the policy of the State of North Carolina to encourage lateral entry into
the profession of teaching by skilled individuals from the private sector. To
this end, before the 1985‑86 school year begins, the State Board of
Education shall develop criteria and procedures to accomplish the employment of
such individuals as classroom teachers. Regardless of credentials or
competence, no one shall begin teaching above the middle level of
differentiation. Skilled individuals who choose to enter the profession of
teaching laterally may be granted a provisional an alternative teaching
certificate for no more than five three years prior to
completing the requirements for lateral entry and shall be required to
obtain certification before contracting for a sixth fourth year of
service with any local administrative unit in this State.
It is further the policy of the State of North Carolina to ensure that local boards of education can provide the strongest possible leadership for schools based upon the identified and changing needs of individual schools. To this end, before the 1994‑95 school year begins, the State Board of Education shall carefully consider a lateral entry program for school administrators to ensure that local boards of education will have sufficient flexibility to attract able candidates.
(d) Suspension and Revocation of Certificates. – The State Board shall adopt rules to establish the reasons and procedures for the suspension and revocation of certificates. The State Board shall revoke the certificate of a teacher or school administrator if the State Board receives notification from a local board or the Secretary of Health and Human Services that a teacher or school administrator has received an unsatisfactory or below standard rating under G.S. 115C‑333(d). In addition, the State Board may revoke or refuse to renew a teacher's certificate when:
(1) The Board identifies the school in which the teacher is employed as low‑performing under G.S. 115C‑105.37 or G.S. 143B‑146.5; and
(2) The State Board shall automatically revoke the certificate of a teacher or school administrator without the right to a hearing upon receiving verification of the identity of the teacher or school administrator together with a certified copy of a criminal record showing that the teacher or school administrator has entered a plea of guilty or nolo contendere to or has been finally convicted of any of the following crimes: Murder in the first or second degree, G.S. 14‑17; Conspiracy or solicitation to commit murder, G.S. 14‑18.1; Rape or sexual offense as defined in Article 7A of Chapter 14 of the General Statutes. Felonious assault with deadly weapon with intent to kill or inflicting serious injury, G.S. 14‑32; Kidnapping, G.S. 14‑39; Abduction of children, G.S. 14‑41; Crime against nature, G.S. 14‑177; Incest, G.S. 14‑178 or G.S. 14‑179; Employing or permitting minor to assist in offense against public morality and decency, G.S. 14‑190.6; Dissemination to minors under the age of 16 years, G.S. 14‑190.7; Dissemination to minors under the age of 13 years, G.S. 14‑190.8; Displaying material harmful to minors, G.S. 14‑190.14; Disseminating harmful material to minors, G.S. 14‑190.15; First degree sexual exploitation of a minor, G.S. 14‑190.16; Second degree sexual exploitation of a minor, G.S. 14‑190.17; Third degree sexual exploitation of a minor, G.S. 14‑190.17A; Promoting prostitution of a minor, G.S. 14‑190.18; Participating in prostitution of a minor, G.S. 14‑190.19; Taking indecent liberties with children, G.S. 14‑202.1; Solicitation of child by computer to commit an unlawful sex act, G.S. 14‑202.3; Taking indecent liberties with a student, G.S. 14‑202.4; Prostitution, G.S. 14‑204; and child abuse under G.S. 14‑318.4. The Board shall mail notice of its intent to act pursuant to this subdivision by certified mail, return receipt requested, directed to the teacher or school administrator at their last known address. The notice shall inform the teacher or school administrator that it will revoke the person's certificate unless the teacher or school administrator notifies the Board in writing within 10 days after receipt of the notice that the defendant identified in the criminal record is not the same person as the teacher or school administrator. If the teacher or school administrator provides this written notice to the Board, the Board shall not revoke the certificate unless it can establish as a fact that the defendant and the teacher or school administrator are the same person.
(3) In addition, the State Board may revoke or refuse to renew a teacher's certificate when:
a. The Board identifies the school in which the teacher is employed as low‑performing under G.S. 115C‑105.37 or G.S. 143B‑146.5; and
b. The assistance team assigned to that school makes the recommendation to revoke or refuse to renew the teacher's certificate for one or more reasons established by the State Board in its rules for certificate suspension or revocation.
The State Board may issue subpoenas for the purpose of obtaining documents or the testimony of witnesses in connection with proceedings to suspend or revoke certificates. In addition, the Board shall have the authority to contract with individuals who are qualified to conduct investigations in order to obtain all information needed to assist the Board in the proper disposition of allegations of misconduct by certificated persons.
(e) Mentor Program. – The State Board of Education shall develop a mentor program to provide ongoing support for teachers entering the profession. In developing the mentor program, the State Board shall conduct a comprehensive study of the needs of new teachers and how those needs can be met through an orientation and mentor support program. For the purpose of helping local boards to support new teachers, the State Board shall develop and distribute guidelines which address optimum teaching load, extracurricular duties, student assignment, and other working condition considerations. These guidelines shall provide that initially certified teachers not be assigned extracurricular activities unless they request the assignments in writing and that other noninstructional duties of these teachers be minimized. The State Board shall develop and coordinate a mentor teacher training program. The State Board shall develop criteria for selecting excellent, experienced, and qualified teachers to be participants in the mentor teacher training program.
(f) Masters/Advanced Competencies Certificate. – The State Board of Education, after consultation with the Board of Governors of The University of North Carolina, shall develop a new category of teacher certificate known as the "Masters/Advanced Competencies" certificate. To receive this certificate, an applicant shall successfully complete a masters degree program that includes rigorous academic preparation in the subject area which the applicant will teach and in the skills and knowledge expected of a master teacher or the applicant shall demonstrate to the satisfaction of the State Board that the candidate has acquired the skills and knowledge expected of a master teacher.
Persons who qualify for a "G" certificate prior to September 1, 2000, shall be awarded a "Masters/Advanced Competencies" certificate without meeting additional requirements. On and after September 1, 2000, no additional "G" certificates shall be awarded.
(g) Provisional Licenses, Temporary Permits, and Emergency Permits. – Notwithstanding any other provision of this section, the State Board of Education shall continue to issue provisional licenses, temporary permits, and emergency permits that are valid through June 30, 2006, on the same basis as they were issued prior to July 1, 2005."
Requested by: Representatives Jeffus, Tolson, Yongue
redirect refundable sales to State Public School Fund
SECTION 7.51.(a) G.S. 105‑164.14(c)(2b) and (2c) are repealed.
"§ 105‑164.44H. Transfer to State Public School Fund.
Each fiscal year, the Secretary of Revenue shall transfer at the end of each quarter from the State sales and use tax net collections received by the Department of Revenue under Article 5 of Chapter 105 of the General Statutes to the State Treasurer for the State Public School Fund, one‑fourth of the amount transferred the preceding fiscal year plus or minus the percentage of that amount by which the total collection of State sales and use taxes increased or decreased during the preceding fiscal year."
Requested by: Representatives Jeffus, Tolson, Yongue
SMALL SPECIALTY HIGH SCHOOLS PILOT PROGRAM
Requested by: Representatives Jeffus, Tolson, Yongue
Ensure DHHS Schools Receive Federal Funds
SECTION 7.54.(b) G.S. 115C‑66 reads as rewritten:
"§ 115C‑66. Administrative units classified.
Each county of the State shall be classified as a county school administrative unit, the schools of which, except in city administrative units, shall be under the general supervision and control of a county board of education with a county superintendent as the administrative officer.
A city school administrative unit shall be classified as an area within a county or adjacent parts of two or more contiguous counties which has been or may be approved by the State Board of Education as such a unit for purposes of school administration. The general administration and supervision of a city administrative unit shall be under the control of a board of education with a city superintendent as the administrative officer.
All local school administrative units, whether city or county, shall be dealt with by the State school authorities in all matters of school administration in the same way.
For purposes of eligibility for federal grant funds, the Department of Health and Human Services is hereby classified as a public authority, which is the school administrative agency for the schools that it operates, and shall be considered as such by the State school authorities in the administration and distribution of federal grant funds."
Requested by: Representatives Jeffus, Tolson, Yongue
ESTABLISH THE office of SCHOOL READINESS IN THE DEPARTMENT OF public instruction
SECTION 7.55.(b) The More at Four prekindergarten program shall be transferred from the Office of the Governor to the Department of Public Instruction and will become part of the Office of School Readiness. This transfer shall have all the elements of a Type I transfer, as defined in G.S. 143A‑6.
SECTION 7.55.(c) The Head Start Collaboration Office shall be transferred from the Department of Health and Human Services to the Office of School Readiness.
SECTION 7.55.(d) The More at Four Task Force shall be reconstituted and renamed the North Carolina School Readiness Task Force. The Superintendent of Public Instruction and the Secretary of the Department of Health and Human Services shall appoint the members of the North Carolina School Readiness Task Force from representatives of publicly funded prekindergarten programs and services, including the More at Four prekindergarten program, preschool programs in the public schools, Head Start, the North Carolina Partnership for the Children, Inc., as well as other stakeholders, including Early Intervention and the Division of Child Development.
Requested by: Representatives Jeffus, Tolson, Yongue
Purchases for the student transportation system
SECTION 7.56. G.S. 115C‑522(a) reads as rewritten:
"(a) It shall be the duty of local boards of education to purchase or exchange all supplies, equipment, and materials, and these purchases shall be made in accordance with Article 8 of Chapter 143 of the General Statutes. These purchases may be made from contracts made by the Department of Administration. Title to instructional supplies, office supplies, fuel and janitorial supplies, enumerated in the current expense fund budget and purchased out of State funds, shall be taken in the name of the local board of education which shall be responsible for the custody and replacement: Provided, that no contracts shall be made by any local school administrative unit for purchases unless provision has been made in the budget of the unit to pay for the purchases, unless surplus funds are on hand to pay for the purchases, or unless the contracts are made pursuant to G.S. 115C‑47(28) and G.S. 115C‑528 and adequate funds are available to pay in the current fiscal year the sums obligated for the current fiscal year.
Tires for the student
transportation system shall be purchased from the statewide term contract. The
State Board of Education shall adopt rules regarding equipment standards for other
supplies, equipment, and materials related to student transportation.
The transportation.
The State Board may adopt guidelines for any commodity that needs safety features. If a commodity that needs safety features is available on statewide term contract, any guidelines adopted by the State Board must at a minimum meet the safety standards of the statewide term contract. Compliance with Article 8 of Chapter 143 of the General Statutes is not mandatory for the purchase of published books, manuscripts, maps, pamphlets, and periodicals.
(1) Where competition is available, local school administrative units may utilize the:
a. E‑Quote service of the NC E‑Procurement system as one means of solicitation in seeking informal bids for purchases subject to the bidding requirements of G.S. 143‑131; and
b. Division of Purchase and Contract's electronic Interactive Purchasing System as one means of advertising formal bids on purchases subject to the bidding requirements of G.S. 143‑129 and applicable rules regarding advertising. This sub‑subdivision does not prohibit a local school administrative unit from using other methods of advertising.
(2) In order to provide an efficient transition of purchasing procedures, the Secretary of the Department of Administration and the local school administrative units shall establish a local school administrative unit purchasing user group. The user group shall be comprised of a proportionate number of representatives from the Department of Administration and local school administrative unit purchasing and finance officers. The user group shall examine any issues that may arise between the Department of Administration and local school administrative units, including the new relationship between the Department and the local school administrative units, the appropriate exchange of information, the continued efficient use of E‑Procurement, appropriate bid procedures, and any other technical assistance that may be necessary for the purchase of supplies and materials."
Requested by: Representative Dickson
study of school transportation
SECTION 7.57. Of the funds appropriated for Low‑Wealth Supplemental Funding for the 2005-2006 fiscal year, the Department of Public Instruction shall use up to two hundred thousand dollars ($200,000) for a study of the current allotment formula for school transportation. The study shall be conducted by an independent consultant.
In the course of the study, the consultant shall consider whether (i) the current formula sufficiently encourages the efficient and effective use of school transportation funds by urban and rural school systems, (ii) the formula is adequately and equitably meeting the needs of school systems, and (iii) the formula is appropriate in light of the Leandro litigation. The consultant shall also propose options for reducing the severe and growing disparity in funding that exists under the formula among local school administrative units.
The consultant shall report the results of its study to the State Board of Education by December 1, 2005. The State Board of Education shall consider the consultant's report and shall report its recommendations to the Joint Legislative Education Oversight Committee by March 15, 2006.
Requested by: Representative Hilton
AUTHORIZATION FOR ADDITIONAL CHARTER SCHOOLS
SECTION 7.58.(a) G.S. 115C‑238.29D(b) reads as rewritten:
"(b) The State Board
shall authorize no more than five charter schools per year in one local school
administrative unit. The State Board shall authorize no more than 100 110
charter schools statewide. statewide for the 2005-2006 fiscal
year, 120 for the 2006-2007 fiscal year, and 130 for the 2007-2008 and subsequent
fiscal years. If more than five charter schools in one local school
administrative unit or more than 100 the maximum number of schools
permitted statewide meet the standards for final approval, the State
Board shall give priority to applications that are most likely to further State
education policies and to strengthen the educational program offered in the
local school administrative units in which they are located."
SECTION 7.58.(b) This section shall become effective only if North Carolina receives a federal grant under the Public Charter Schools Program for start-up funds for charter schools for the 2005-2006 fiscal year.
Requested by: Representative Daughtry
schools must spend up to 60% of expansion funds in the classroom
SECTION 7.59. It is the intent of the General Assembly that each local administrative unit spends at least sixty percent (60%) of the State expansion budget funding it receives in the classroom. Expenditures in the classroom shall include expenditures for instructional personnel and for supplies, equipment, textbooks, and materials in the classroom.
The State Board of Education shall monitor these expenditures and report to the Joint Legislative Education Oversight Committee prior to September 15, 2006, and September 15, 2007, on local school administrative units that do not comply with this intent.
Requested by: Representatives Jeffus, Tolson, Yongue
USE OF FUNDS FOR THE COLLEGE INFORMATION SYSTEM PROJECT
SECTION 8.1.(a) Funds appropriated to the Community Colleges System Office for the College Information System Project shall not revert at the end of the 2004‑2005 fiscal year but shall remain available until expended.
SECTION 8.1.(b) The Community Colleges System Office shall report on a quarterly basis to the Joint Legislative Education Oversight Committee on the implementation of the College Information System Project.
SECTION 8.1.(c) Subsection (a) of this section becomes effective June 30, 2005.
Requested by: Representatives Jeffus, Tolson, Yongue
SECTION 8.2.(b) This section becomes effective June 30, 2005.
Requested by: Representatives Jeffus, Tolson, Yongue
SALARIES OF COMMUNITY COLLEGE FACULTY AND PROFESSIONAL STAFF
SECTION 8.3.(a) The minimum salaries for community college faculty shall be based on the following education levels:
(1) Vocational Diploma/Certificate or Less. – This education level includes faculty members who are high school graduates, have vocational diplomas, or have completed one year of college.
(2) Associate Degree or Equivalent. – This education level includes faculty members who have an associate degree or have completed two or more years of college but have no degree.
(3) Bachelors Degree.
(4) Masters Degree or Education Specialist.
(5) Doctoral Degree.
SECTION 8.3.(b) For the 2005‑2006 school year, the minimum salaries for nine‑month, full‑time, curriculum community college faculty shall be as follows:
Education Level Minimum Salary
2005‑2006
Vocational Diploma/Certificate or Less $29,795
Associate Degree or Equivalent $30,246
Bachelors Degree $32,204
Masters Degree or Education Specialist $33,940
Doctoral Degree $36,443
No full‑time faculty member shall earn less than the minimum salary for his or her education level.
The pro rata hourly rate of the minimum salary for each education level shall be used to determine the minimum salary for part‑time faculty members.
(1) It is the intent of the General Assembly to encourage community colleges to make faculty salaries a priority and to reward colleges that have taken steps to achieve the national average, therefore:
a. If the average faculty salary at a community college is one hundred percent (100%) or more of the national average community college faculty salary, the college may transfer up to eight percent (8%) of the State funds allocated to it for faculty salaries.
b. If the average faculty salary at a community college is at least ninety‑five percent (95%) but less than one hundred percent (100%) of the national average community college faculty salary, the college may transfer up to six percent (6%) of the State funds allocated to it for faculty salaries.
c. If the average faculty salary at a community college is at least ninety percent (90%) but less than ninety‑five percent (95%) of the national average community college faculty salary, the college may transfer up to five percent (5%) of the State funds allocated to it for faculty salaries.
d. If the average faculty salary at a community college is at least eighty‑five percent (85%) but less than ninety percent (90%) of the national average community college faculty salary, the college may transfer up to three percent (3%) of the State funds allocated to it for faculty salaries.
e. If the average faculty salary at a community college is eighty‑five percent (85%) or less of the national average community college faculty salary, the college may transfer up to two percent (2%) of the State funds allocated to it for faculty salaries.
Except as provided by subdivision (2) of this subsection, a community college shall not transfer a greater percentage of the State funds allocated to it for faculty salaries than is authorized by this subsection.
(2) With the approval of the State Board of Community Colleges, a community college at which the average faculty salary is eighty‑five percent (85%) or less of the national average may transfer a greater percentage of the State funds allocated to it for faculty salaries than is authorized by sub‑subdivision e. of subdivision (1) of this subsection. The State Board shall approve the transfer only for purposes that directly affect student services.
(3) A local community college may use all State funds allocated to it except for Literacy Funds and Funds for New and Expanding Industry Training to increase faculty salaries.
SECTION 8.3.(d) As used in this section:
(1) "Average faculty salary at a community college" means the total nine‑month salary from all sources of all nine‑month, full‑time, curriculum faculty at the college, as determined by the North Carolina Community College System on October 1 of each year.
(2) "National average community college faculty salary" means the nine‑month, full‑time, curriculum salary average, as published by the Integrated Postsecondary Education Data System (IPEDS), for the most recent year for which data are available.
SECTION 8.3.(e) The State Board of Community Colleges shall adopt rules to implement the provisions of this section.
SECTION 8.3.(f) The State Board of Community Colleges shall report to the appropriations subcommittees on education, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Fiscal Research Division, and the Office of State Budget and Management by December 1, 2005, and every year thereafter through December 1, 2009, on the implementation of this section.
SECTION 8.3.(g) Funds appropriated in this act for salary increases shall be used to increase faculty and professional staff salaries by an average of two percent (2%). These increases are in addition to other salary increases provided for in this act and shall be calculated on the average salaries prior to the issuance of the compensation increase. Colleges may provide additional increases from funds available.
The State Board of Community Colleges shall adopt rules to ensure that these funds are used only to move faculty and professional staff to the respective national averages. These funds shall not be transferred by the State Board or used for any other budget purpose by the community colleges.
Requested by: Representatives Jeffus, Tolson, Yongue
WORKFORCE DEVELOPMENT PROGRAMS
SECTION 8.4.(b) G.S. 115D‑5.1, as enacted by subsection (a) of this section, reads as rewritten:
"§ 115D‑5.1. Workforce Development Programs.
(a) Community colleges shall assist in the preemployment and in‑service training of employees in industry, business, agriculture, health occupation and governmental agencies. Such training shall include instruction on worker safety and health standards and practices applicable to the field of employment. The State Board of Community Colleges shall make appropriate regulations including the establishment of maximum hours of instruction which may be offered at State expense in each in‑plant training program. No instructor or other employee of a community college shall engage in the normal management, supervisory and operational functions of the establishment in which the instruction is offered during the hours in which the instructor or other employee is employed for instructional or educational purposes.
(b) The North Carolina Community College System's New and Expanding Industry Training (NEIT) Program Guidelines, which were adopted by the State Board of Community Colleges on April 18, 1997, apply to all funds appropriated for the Program after June 30, 1997. A project approved as an exception under these Guidelines, or these Guidelines as modified by the State Board of Community Colleges, shall be approved for one year only.
(c) The State Board of Community Colleges shall report to the Joint Legislative Education Oversight Committee on September 1 of each year on expenditures for the New and Expanding Industry Training Program each fiscal year. The report shall include, for each company or individual that receives funds for the New and Expanding Industry Training Program:
(1) The total amount of funds received by the company or individual;
(2) The amount of funds per trainee received by the company or individual;
(3) The amount of funds received per trainee by the community college training the trainee;
(4) The number of trainees trained by company and by community college; and
(5) The number of years the companies or individuals have been funded.
(d) Funds available to the New and Expanding Industry Training Program shall not revert at the end of a fiscal year but shall remain available until expended.
(e) There is created within the North Carolina Community College System the Customized Industry Training (CIT) Program. The CIT Program shall offer programs and training services as new options for assisting existing business and industry to remain productive, profitable, and within the State. Before a business or industry qualifies to receive assistance under the CIT Program, the President of the North Carolina Community College System shall determine that:
(1) The business is making an appreciable capital investment;
(2) The business is deploying new technology; and
(3) The skills of the workers will be enhanced by the assistance.
The State Board shall report on an annual basis to the Joint Legislative Education Oversight Committee on:
(1) The total amount of funds received by a company under the CIT Program;
(2) The amount of funds per trainee received by that company;
(3) The amount of funds received per trainee by the community college delivering the training;
(4) The number of trainees trained by the company and community college; and
(5) The number of years that company has been funded.
The State Board shall adopt rules and policies to implement this section."
SECTION 8.4.(d) G.S. 115D‑5.1(d), as enacted by this section, becomes effective June 30, 2005.
Requested by: Representatives Jeffus, Tolson, Yongue
REPORT ON THE ADEQUACY OF MULTICAMPUS FUNDS
Notwithstanding any other provision of law, funds appropriated to the Community Colleges System Office for multicampus colleges or off‑campus centers shall be used only for the administration of the multicampus college or off‑campus center for which the funds were allotted. These funds shall not be transferred to any other campus or center, or used for any other purpose.
Requested by: Representatives Jeffus, Tolson, Yongue
EDUCATION PROGRAM AUDITING FUNCTION
SECTION 8.6. G.S. 115D‑5(m) reads as rewritten:
"(m) The State Board
of Community Colleges shall require auditors of community college programs to
use a statistically valid sample size in performing program audits of community
colleges. The State Board of Community Colleges shall maintain an
education program auditing function that conducts an annual audit of each
community college operating under the provisions of this Chapter. The purpose
of the annual audit shall be to ensure that college programs and related fiscal
operations comply with State law, State regulations, State Board policies, and
System Office guidance. The State Board of Community Colleges shall require
auditors of community college programs to use a statistically valid sample size
in performing program audits of community colleges. All education program audit
findings shall be forwarded to the college president, local college board of
trustees, the State Board of Community Colleges, and the State Auditor. The
State Board shall assess a twenty‑five percent (25%) fiscal penalty in
addition to the audit exception on all audits of both dollars and student
membership hours excepted when the audit exceptions result from nonprocessing
errors."
Requested by: Representatives Jeffus, Tolson, Yongue
FERRY BOAT OPERATOR TRAINING FEASIBILITY STUDY
(1) Types of training needed and whether it is feasible for the community colleges to provide this training.
(2) Estimated number of students.
(3) Estimated employment opportunities for the students.
(4) Start‑up costs for the program and resources for those costs.
(5) Location of the training.
Requested by: Representatives Jeffus, Tolson, Yongue
EXTEND THE SUNSET ON TRAINING AND REEMPLOYMENT CONTRIBUTIONS MADE BY EMPLOYERS
"Section 8. Section 1 of this
act is effective with respect to calendar quarters beginning on or after April
1, 1999. Section 7 of this act becomes effective July 1, 1999. The remainder of
this act is effective with respect to calendar quarters beginning on or after
January 1, 2000. G.S. 96‑6.1, as enacted by Section 2 of this
act, is repealed effective with respect to calendar quarters beginning on or
after January 1, 2006."
SECTION 8.8.(b) G.S. 96‑6.1 is amended by adding a new subsection to read:
"(c) Sunset. – This section is repealed effective with respect to calendar quarters beginning on or after January 1, 2011."
Requested by: Representatives Jeffus, Tolson, Yongue
DEFENSE TECHNOLOGY INNOVATION CENTER
SECTION 8.11. Funds appropriated in this act for North Carolina Electronics and Information Technologies Association's Defense Technology Innovation Center shall be used for the following:
(1) Site selection and acquisition, including the purchase or lease of real property to house the Center; the construction of buildings or other site structures; the improvement or refurbishment of existing structures to provide appropriate laboratory and administrative space; and the improvement of existing infrastructure at the facility, including improvements to utility, telecommunications, and Internet infrastructure.
(2) Equipment acquisition, including acquisition of laboratory equipment and supplies and office furniture, equipment, and supplies.
(3) Employment of staff to support the mission of the Center and to oversee day‑to‑day operations of the Center.
(4) Implementation of a comprehensive business and marketing plan for the Center.
(5) Development of a tenant screening process and the recruitment of appropriate tenants for the Center.
(6) Administration and operation of the Center and the development of a sustainable business plan for the Center.
Requested by: Representatives Jeffus, Tolson, Yongue
COMMUNITY COLLEGE CAPITAL FUNDS
Requested by: Representatives Jeffus, Tolson, Yongue
IMPLEMENT PROPRIETARY SCHOOLS LICENSING FEE INCREASE
SECTION 8.14. The State Board of Community Colleges may implement an increase in fees for licensing of proprietary schools in accordance with the following fee schedule adopted by the State Board of Community Colleges on November 18, 2004:
Initial License Fee $2,500
License Renewal Fee $1,250 plus $50.00 per program
Program Addition Fee $200.00
Single Course Addition Fee $200.00
Relocation/Site Visit Fee $400.00
Remote Site Initial Fee $1,000
Remote Site Renewal Fee $750.00
Site Assessment $200.00
Requested by: Representatives Jeffus, Tolson, Yongue
EXEMPT COMMUNITY COLLEGE MASSAGE AND BODYWORK THERAPY PROGRAMS FROM LICENSURE BY THE NORTH CAROLINA BOARD OF MASSAGE AND BODYWORK THERAPY
SECTION 8.15. G.S. 90‑631 reads as rewritten:
"§ 90‑631. Massage and bodywork therapy schools.
(a) The Board shall establish rules for the approval of massage and bodywork therapy schools. These rules shall include:
(1) Basic curriculum standards that ensure graduates have the education and skills necessary to carry out the safe and effective practice of massage and bodywork therapy.
(2) Standards for faculty and learning resources.
(3) Requirements for reporting changes in instructional staff and curriculum.
(4) A description of the process used by the Board to approve a school.
Any school that offers a training
program in massage and bodywork therapy may make application for approval to
the Board. The Board shall grant approval to schools, whether in this State or
another state, that meet the criteria established by the Board. The Board shall
maintain a list of approved schools.schools and a list of community
college programs operating pursuant to subsection (b) of this section.
(b) A massage and bodywork therapy program operated by a North Carolina community college that is accredited by the Southern Association of Colleges and Schools is exempt from the approval process, licensure process, or both, established by the Board. The college shall certify annually to the Board that the program meets or exceeds the minimum standards for curriculum, faculty, and learning resources established by the Board. Students who complete the program shall qualify for licenses from the Board as if the program were approved, licensed, or both, by the Board.
(c) A massage and bodywork therapy program operated by a degree or diploma granting college or university that offers a degree or diploma in massage therapy and is accredited by any accrediting agency that is recognized by the United States Department of Education and is licensed by the North Carolina Community College System or The University of North Carolina Board of Governors is exempt from the approval process, licensure process, or both, established by the Board. The college or university shall certify annually to the Board that the program meets or exceeds the minimum standards for curriculum, faculty, and learning resources established by the Board. Students who complete the program shall qualify for licenses from the Board as if the program were approved, licensed, or both, by the Board."
Requested by: Representatives Jeffus, Tolson, Yongue
Requested by: Representatives Jeffus, Tolson, Yongue
ENROLLMENT GROWTH FUND/ENCOURAGE PARTNERSHIPS FOR NEW 2 + 2 PROGRAMS
The Board of Governors shall report to the Joint Legislative Education Oversight Committee by February 1, 2006, regarding the implementation of this subsection and shall include in its report the following: a list of each program receiving funds under this subsection, the amount received by the program, and the purpose for which the funds were used.