GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2005
S 7
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
Seventh Edition Engrossed 6/16/05
|
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 6,665,028,995 6,639,040,147
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 69,318,618 69,657,116
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 $ 2,058,368,713 $ 2,082,315,286
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 $ 51,061,684 $ 50,656,509
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 170,388,004 162,979,324
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 42,934,588 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 5,686,429 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 $ 91,585,812 $ 94,034,411
Division of Highways
Administration 30,621,612 30,632,164
Construction 139,010,000 139,750,000
Maintenance 831,680,458 828,853,288
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 17,308,153 17,101,153
Governor's Highway Safety 293,118 293,118
Division of Motor Vehicles 96,047,914 95,468,137
Other State Agencies 238,941,823 232,345,961
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
eight hundred twelve thousand five hundred dollars ($2,812,500) 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 eight hundred twelve thousand five hundred dollars ($4,812,500) 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: Representative McLawhorn
TEACHER WORKING CONDITIONS SURVEY
SECTION 7.40.(a) Funds in the amount of two hundred fifteen thousand dollars ($215,000) for the 2005-2006 fiscal year and two hundred ninety thousand dollars ($290,000) for the 2006-2007 fiscal year are appropriated in section 2.1 of this act to administer the Governor's Teacher Working Conditions Survey Initiative. These funds shall be used by the State Board of Education, in collaboration with the North Carolina Professional Teaching Standards Commission to (i) administer the survey on a biennial basis, (ii) establish an advisory board to oversee implementation of recommendations from the survey, and (iii) support the NC Network in providing customized analysis to incorporate in school improvement plans.
SECTION 7.40.(b) The State Board of Education may supplement these funds with gifts or other private funds donated for this purpose.
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 Crawford, Yongue
TEACH FOR AMERICA
SECTION 7.60. Funds in the amount of two hundred thousand dollars ($200,000) for the 2005-2006 fiscal year and two hundred thousand dollars ($200,000) for the 2006-2007 fiscal year are appropriated in section 2.1 of this act to recruit additional teachers through the Teach for America Program.
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 Howard, Holliman
Davidson County Community College Truck Driver Training
SECTION 8.16. Of the funds appropriated to the Community College System Office for the State Board Reserve in FY05-06, $39,500 shall be used to start a Truck Driver Training Program at the Davie Campus of Davidson County Community College. Beginning in FY06-07, Davidson County Community College's Davie Campus Truck Driver Training Program shall be included in the Special Allotments line item at the same level as the other Truck Driver Training Programs. The State Board of Community Colleges shall report the anticipated cost of the new program to the House Appropriations Subcommittee on Education by May 15, 2006.
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.
Requested by: Representatives Jeffus, Tolson, Yongue
ENROLLMENT GROWTH FUNDING MODEL
Requested by: Representatives Jeffus, Tolson, Yongue
UNC-NCCCS 2+2 E-LEARNING INITIATIVE
Requested by: Representatives Jeffus, Tolson, Yongue
USE OF ESCHEAT FUND FOR NEED-BASED FINANCIAL AID PROGRAMS
The SEAA shall perform all of the administrative functions necessary to implement this program of financial aid. The SEAA shall conduct periodic evaluations of expenditures of the Scholarship Programs to determine if allocations are utilized to ensure access to institutions of higher learning and to meet the goals of the respective programs. The SEAA may make recommendations for redistribution of funds to The University of North Carolina and the President of the Community College System regarding their respective scholarship programs, who then may authorize redistribution of unutilized funds for a particular fiscal year.
The SEAA shall administer these funds and shall establish any additional criteria needed to award these scholarship loans, the conditions for forgiving the loans, and the collection of the loan repayments when necessary.
Requested by: Representatives Jeffus, Tolson, Yongue
Requested by: Representatives Jeffus, Tolson, Yongue
INFORMATION TECHNOLOGY PROCUREMENT
Requested by: Representatives Jeffus, Tolson, Yongue
BOARD OF GOVERNORS' DENTAL SCHOLARSHIPS
Requested by: Representatives Jeffus, Tolson, Yongue
BOARD OF GOVERNORS' MEDICAL SCHOLARSHIPS
Requested by: Representatives Jeffus, Tolson, Yongue
"§ 116-209.38. Future Teachers of North Carolina Scholarship Loan Fund.
(a) There is established the Future Teachers of North Carolina Scholarship Loan Fund. The purpose of the Fund is to provide a two-year scholarship loan of six thousand five hundred dollars ($6,500) per year for any North Carolina student pursuing a college degree to teach in the public schools of the State. The scholarship loan shall be paid only for the student's junior and senior years. The scholarship loan is available if the student is enrolled in a State institution of higher education or a private institution of higher education located in this State that has an accredited teacher preparation program for students planning to become certified teachers in North Carolina. The State Education Assistance Authority shall administer the Fund and shall award 100 scholarship loans annually.
(b) The Board of Governors of The University of North Carolina, in consultation with the State Board of Education and the State Board of Community Colleges, shall develop the criteria for awarding the scholarship loans under this section and shall adopt very stringent standards for awarding these scholarship loans to ensure that only the best students receive them. Additional criteria for awarding a scholarship loan under this section shall include all of the following:
(1) The student is one who either: (i) maintained a "B" or better average in college and is enrolled as a junior or senior in a teacher preparation program at any of the institutions described by subsection (a) of this section; or (ii) completed a college transfer curriculum at a community college in the State's community college system, maintained a "B" or better average in the community college courses, and is accepted and enrolled in a teacher preparation program at one of the institutions described by subsection (a) of this section.
(2) The student agrees to become certified in math, science, special education, or English as a Second Language and teach full-time in that subject area in a North Carolina public school for four years within five years after graduation.
(3) Any additional criteria that the Board of Governors of The University of North Carolina, in consultation with the State Board of Education and the State Board of Community Colleges, considers necessary to administer the Fund effectively.
(c) If a student who is awarded a scholarship loan under this section fails to comply with the provisions of this section or the terms of the agreement awarding the scholarship loan, then the student shall repay the full amount of the scholarship loan provided to the student and the appropriate amount of interest as determined by the State Education Assistance Authority.
(d) The Board of Governors of The University of North Carolina, the State Board of Education, and the State Board of Community Colleges shall: (i) prepare a clear written explanation of the Future Teachers of North Carolina Scholarship Fund and the information regarding the availability and criteria for awarding the scholarship loans, and (ii) shall provide that information to the appropriate counselors in each local school system and the appropriate institutions of higher education and shall charge those counselors to inform students about the scholarship loans and to encourage them to apply for the scholarship loans.
(e) The Board of Governors of The University of North Carolina shall adopt rules to implement this section.
(f) The Board of Governors of The University of North Carolina shall report to the Joint Legislative Education Oversight Committee by March 1 each year regarding the Fund and scholarship loans awarded from the Fund."
Requested by: Representatives Jeffus, Tolson, Yongue
UNC-ASHEVILLE RETAIN SALE PROCEEDS
Requested by: Representatives Jeffus, Tolson, Yongue
UNC BOND PROJECT MODIFICATIONS
(1) Reducing the allocation to "King Hall Classroom Building-Comprehensive Renovation" by three million one hundred sixty-eight thousand six hundred eighty-nine dollars ($3,168,689) to create a total allocation of three hundred fifty-eight thousand seven hundred eleven dollars ($358,711).
(2) Increasing the allocation to "General Classroom Building" by six hundred seventy-nine thousand seven hundred seventy-eight dollars ($679,778) to create a total allocation of thirteen million three hundred twenty-six thousand seven hundred seventy-eight dollars ($13,326,778).
(3) Increasing the allocation to "Academic & Classroom Facilities" by nine hundred ninety-one thousand one hundred twenty-three dollars ($991,123) to create a total allocation of thirty-four million twenty-three thousand two hundred twenty-three dollars ($34,023,223).
(4) Increasing the allocation to "Hinton James Hall Classroom Building-Comprehensive Renovation" by one hundred seventy-six thousand six hundred nine dollars ($176,609) to create a total allocation of two million eight hundred six thousand five hundred sixty-one dollars ($2,806,561).
(5) Increasing the allocation to "Kenan Auditorium-Comprehensive Renovation" by one hundred fifty-one thousand seven hundred forty-nine dollars ($151,749) to create a total allocation of two million seventy-three thousand seven hundred twenty-four dollars ($2,073,724).
(6) Increasing the allocation to "Friday Hall Laboratory Building-Comprehensive Renovation" by one million one hundred sixty-nine thousand four hundred thirty dollars ($1,169,430) to create a total allocation of eight million eight hundred sixty-two thousand eight hundred thirty dollars ($8,862,830).
(1) Reducing the allocation to "West Residence Hall-Comprehensive Renovation" by eight hundred seventy-nine thousand three hundred dollars ($879,300) to a total allocation of ninety-eight thousand dollars ($98,000).
(2) Reducing the allocation to "Campuswide Infrastructure Improvements" by one million seven hundred thirty thousand three hundred eighty-two dollars ($1,730,382) to a total allocation of two hundred sixty-six thousand two hundred eighteen dollars ($266,218).
(3) Adding a new project entitled "North and Belk Residence Halls-Fire Safety Improvements and Renovations $879,300".
(4) Adding a new project entitled "Biotechnology Teaching Labs and Classroom Building $1,730,382".
(1) Reducing the allocation to "Killian Education & Allied Professional Bldg.-Partial Renovation" by one million two hundred ninety-seven thousand nine hundred twenty-four dollars ($1,297,924) to a total allocation of two hundred forty-eight thousand three hundred seventy-six dollars ($248,376).
(2) Reducing the allocation to "Conversion of Old Student Health Center to Residential & Academic Space" by one million four hundred ninety-six thousand nine hundred forty-five dollars ($1,496,945) to a total allocation of three hundred ninety thousand one hundred fifty-five dollars ($390,155).
(3) Increasing the allocation to "Stillwell Lab Bldg-Comprehensive Renovation" by two million seven hundred ninety-four thousand eight hundred sixty-nine dollars ($2,794,869) to a total allocation of seventeen million eight hundred fifty-two thousand three hundred sixty-nine dollars ($17,852,369).
Requested by: Representatives Jeffus, Tolson, Yongue
REPEAL NC SCHOOL OF SCIENCE AND MATH TUITION GRANT
SECTION 9.14.(a) G.S. 116-238.1 is repealed.
Requested by: Representatives Jeffus, Tolson, Yongue
NORTH CAROLINA AGRICULTURAL AND TECHNICAL STATE UNIVERSITY FUNDS
Requested by: Representatives Jeffus, Tolson, Yongue
TRANSFER PROSPECTIVE TEACHER SCHOLARSHIP LOAN AND TEACHER ASSISTANT SCHOLARSHIP LOAN TO THE NC STATE EDUCATION ASSISTANCE AUTHORITY
"§ 116-209.33.
Establishment of fund.Scholarship Loan Fund for Prospective Teachers.
(a) There is established a revolving fund known as the "Scholarship Loan Fund for Prospective Teachers". The purpose of the Fund is to provide scholarship loans to qualified individuals who are pursuing college degrees to become teachers. The State Education Assistance Authority shall administer the Fund.
(b) Criteria The
State Education Assistance Authority, in consultation with the State Board of
Education, shall develop criteria for awarding scholarship loans from the
fund shall include measures the Fund. These criteria shall include:
(1) Measures of academic performance including grade point averages, scores on standardized tests, class rank, and recommendations of guidance counselors and principals.
(2) North Carolina residency. - For purposes of this section, residency shall be determined by the same standard as residency for tuition purposes pursuant to G.S. 116-143.1.
(3) The geographic areas or subjects of instruction in which the demand for teachers is greatest.
(4) To the extent practical, an equal number of scholarships shall be awarded in each of the State's Congressional Districts.
(5) Any additional criteria that the State Education Assistance Authority considers necessary to administer the Fund effectively, including the following:
a. Consideration of the appropriate numbers of minority applicants and applicants from diverse socioeconomic backgrounds to receive scholarships pursuant to this section.
b. Consideration of the commitment an individual applying to receive funds demonstrates to the profession of teaching.
(c) The Superintendent
of Public InstructionState Education Assistance Authority may
earmark each year up to twenty percent (20%) of the funds available for
scholarship loans each yearunder this section for awards to
applicants who have been employed for at least one year as teacher
assistants and who are currently employed as teacher assistants. Preference for
these scholarship loans from funds earmarked for teacher assistants shall be
given first to applicants who worked as teacher assistants for at least five
years and whose positions as teacher assistants were abolished and then to
applicants who already hold a baccalaureate degree or who have already been
formally admitted to an approved teacher education program in North Carolina.
The criteria for awarding scholarship loans to applicants who worked as teacher
assistants for at least five years and whose positions as teacher assistants
were abolished shall include whether the teacher assistant has been admitted to
an approved teacher education program in North Carolina.for the Teacher
Assistant Scholarship Fund established in G.S. 116-209.35.
The Superintendent of Public Instruction may further
earmark a portion of these funds each year for two-year awards to applicants
who have been employed for at least one year as teacher assistants to attend
community colleges to get other skills of use in public schools or to get an
early childhood associate degree. The provisions of this Article shall apply to
these scholarship loans except that a recipient of one of these scholarship
loans may receive credit upon the amount due by reason of the loan as provided
in G.S. 115C-471(5) or by working in a nonteaching position in the North
Carolina public schools or by working in a licensed child care center in North
Carolina."
"§ 116-209.34.
Fund administered by State Superintendent of Public Instruction; rules and
regulations.State Education Assistance Authority; rule-making authority.
(a) The
Scholarship Loan Fund for Prospective Teachers shall be administered by the
State Superintendent of Public Instruction, under rules adopted by the State
Board of Education and subject to the following directions and limitations:The
State Education Assistance Authority shall establish the terms and conditions
for the scholarship loans consistent with the following:
(1) Any resident of
North Carolina who is interested in preparing to teach in the public schools of
the State may apply in writing to the State Superintendent of Public
Instruction for a regular scholarship loan in the amount of not more than two
thousand five hundred dollars ($2,500) per academic school year. An applicant
who has been employed for at least one year as a teacher assistant and who is
currently employed as a teacher assistant may apply for a scholarship loan from
funds earmarked for teacher assistants in the amount of not more than one
thousand two hundred dollars ($1,200) per academic school year.The loan
amount shall be not more than four thousand dollars ($4,000) per academic
school year for a maximum of four years for applicants who are pursuing a
college degree to become a teacher.
(2) All scholarship loans
shall be evidenced by notes made payable to the State Board of Education Authority
that bear interest at the rate of ten percent (10%) per annum from and
after September 1 following fulfillment by a prospective teacher of the
requirements for a certificate based upon the entry level degree; or in the
case of persons already teaching in the public schools who obtain scholarship
loans, the notes shall bear interest at the prescribed rate from and after
September 1 of the school year beginning immediately after the use of the
scholarship loans; or in the event any such scholarship is terminated under the
provisions of subdivision (3) of this section, the notes shall bear interest
from the date of termination. A minor recipient who signs a note shall also
obtain the endorsement thereon by a parent, if there be a living parent, unless
the endorsement is waived by the Superintendent of Public Instruction. The
minor recipient shall be obligated upon the note as fully as if the recipient
were of age and shall not be permitted to plead such minority as a defense in
order to avoid the obligations undertaken upon the notes.year, beginning
September 1 after graduation, or immediately after termination of the
scholarship loan, whichever is earlier.
(3) Each recipient of a
scholarship loan under the provisions of this program shall be eligible for scholarship
loans each year until the recipient has qualified for a certificate based upon
the entry level degree, but the recipient shall not be so eligible for more
than the minimum number of years normally required for qualifying for the
certificate. The permanent withdrawal of any recipient from college or failure
of the recipient to do college work in a manner acceptable to the State
Superintendent of Public Instruction shall immediately forfeit the recipient's
right to retain the scholarship and subject the scholarship to termination by
the State Superintendent of Public Instruction in the Superintendent's
discretion. A scholarship loan shall be terminated upon the recipient's
withdrawing from school or a finding by the Authority that the recipient fails
to meet the standards set by the Authority. All terminated scholarships
shall be regarded as vacant and subject to being awarded to other eligible
persons.
(4) Except under
emergency conditions applicable to the State Superintendent of Public Instruction,
recipients of scholarship loans shall enter the public school system of North
Carolina at the beginning of the next school term after qualifying for a
certificate based upon the entry level degree or, in case of persons already
teaching in the public schools, at the beginning of the next school term after
the use of the loan. All teaching service for which the recipient of any
scholarship loan is obligated shall be rendered by August 31 of the seventh
school year following graduation.
(5)(4) For each full school year taught
in a North Carolina public school, the recipient of a scholarship loan shall
receive credit upon the amount due by reason of the loan equal to the loan
amount for a school year as provided in the note plus credit for the total interest
accrued on that amount. Also, the recipient of the loan shall receive credit
upon the total amount due by reason of all four years of the loan if the
recipient teaches for three consecutive years, The Authority shall
forgive a four-year loan if, within seven years after graduation, the recipient
teaches for four years at a North Carolina public school or at a school
operated by the United States government in North Carolina. The Authority shall
also forgive a four-year loan if, within seven years after graduation, the
recipient teaches for three consecutive years, or for three years
interrupted only by an approved leave of absence, at a North Carolina public
school that is in a low-performing school system or a school system on warning
status at the time the recipient accepts employment with the local school
administrative unit. In lieu of teaching in the public school, a recipient
may elect to pay in cash the full amount of scholarship loans received plus
interest then due thereon or any part thereof that has not been canceled by the
State Board of Education by reason of teaching service rendered.For
loans of less than four years, the Authority shall forgive one year for each
year the recipient teaches, within four years of graduation, at a North Carolina
public school or a school operated by the United States government in North
Carolina.
(6)(5) If any recipient of a
scholarship loan dies during the period of attendance at a college or
university under a scholarship loan or before the scholarship loan is satisfied
by payment or teaching service, any balance shall be automatically canceled.
If any recipient of a scholarship
loan fails to fulfill the recipient's obligations under subdivision (4) of this
section, other than as provided above, the amount of the loan and accrued
interest, if any, shall be due and payable from the time of failure to fulfill
the recipient's obligations. The Authority may forgive or reduce any
loan payment if the Authority considers that extenuating circumstances exist
that would make teaching or repayment impossible.
(7)(6) The State Superintendent of
Public Instruction shall award scholarship loans with due consideration to
factors and circumstances such as aptitude, purposefulness, scholarship,
character, financial need, and geographic areas or subjects of instruction in
which the demands for teachers are greatest. Since the primary purpose of this
Article is to attract worthy young people to the teaching profession,
preference for scholarship loans, except for the scholarship loans from funds
earmarked for teacher assistants, shall be given to high school seniors in the
awarding of scholarships. In awarding scholarship loans from funds earmarked
for teacher assistants, preference shall be given to applicants who have
already earned a baccalaureate degree or who have been formally admitted to an
approved teacher education program in North Carolina.The Authority shall
ensure that all repayments, including the accrued interest, are placed in the
Fund.
(b) The State Education Assistance Authority, in consultation with the State Board of Education, shall adopt rules to implement G.S. 116-209.33, 116-209.34, and 116-209.35."
Requested by: Representatives Jeffus, Tolson, Yongue
UNIVERSITY SYSTEM AND COMMUNITY COLLEGE SYSTEM JOINT STUDY OF HIGHER EDUCATION STRATEGY/AMEND REPORTING REQUIREMENT
SECTION 9.18. Section 6.2 of S.L. 2004-179 reads as rewritten:
"SECTION 6.2. These studies shall be designed to
provide information and recommendations that will assist the General Assembly
in setting priorities for funding to address the strategic higher education
needs of the State. The Board of Governors, the State Board, and their
consultant shall periodically report their findings to a higher education
programming subcommittee of the Joint Legislative Education Oversight
Committee. The two boards and their consultant shall report the preliminary
results of the study to the General Assembly and to the Joint Legislative
Education Oversight Committee by April 15, 2005, June 15, 2005, and
shall file a final report and recommendations with the General Assembly and the
Joint Legislative Education Oversight Committee no later than December 31,
2005.December 31, 2006."
Requested by: Representatives Jeffus, Tolson, Yongue
DISTINGUISHED PROFESSORS ENDOWMENT TRUST FUND
SECTION 9.21.(a) G.S. 116-41.15 reads as rewritten:
"§ 116-41.15. Distinguished Professors Endowment Trust Fund; allocation; administration.
(a) For constituent institutions other than focused growth institutions and special needs institutions, the amount appropriated to the trust shall be allocated by the Board as follows:
(1) On the basis of one three hundred thirty-four thousand dollar ($334,000) challenge grant for each six hundred sixty-six thousand dollars ($666,000) raised from private sources; or
(2) On the basis of one
one hundred sixty-seven thousand dollar ($167,000) challenge grant for each
three hundred thirty-three thousand dollars ($333,000) raised from private sources.sources;
or
(3) On the basis of one challenge grant of up to six hundred sixty-seven thousand dollars ($667,000) for funds raised from private sources in twice the amount of the challenge grant.
If an institution chooses to pursue the use of the allocated
challenge grant funds described in either subdivision (1) or(1),
subdivision (2) (2), or subdivision (3) of this subsection, the challenge
grant funds shall be matched by funds from private sources on a
two-to-one basis.the basis of two dollars of private funds for every one
dollar of State funds.
(b) For focused growth institutions and special needs institutions, the amount appropriated to the trust shall be allocated by the Board as follows:
(1) On the basis of one five hundred thousand dollar ($500,000) challenge grant for each five hundred thousand dollars ($500,000) raised from private sources; or
(2) On the basis of one
two hundred fifty thousand dollar ($250,000) challenge grant for each two
hundred fifty thousand dollars ($250,000) raised from private sources.sources;
or
(3) On the basis of one challenge grant of up to one million dollars ($1,000,000) for funds raised from private sources in the same amount as the challenge grant.
If an institution chooses to pursue the use of the allocated
challenge grant funds described in either subdivision (1) or(1),
subdivision (2)(2), or subdivision (3) of this subsection, the challenge
grant funds shall be matched by funds from private sources on a
one-to-one basis.the basis of one dollar of private funds for every
dollar of State funds.
(c) Matching funds shall come from contributions made after July 1, 1985, and pledged for the purposes specified by G.S. 116-41.14. Each participating constituent institution's board of trustees shall establish its own Distinguished Professors Endowment Trust Fund, and shall maintain it pursuant to the provision of G.S. 116-36 to function as a depository for private contributions and for the State matching funds for the challenge grants. The State matching funds shall be transferred to the constituent institution's Endowment Fund upon notification that the institution has received and deposited the appropriate amount required by this section in its own Distinguished Professors Endowment Trust Fund. Only the net income from that account shall be expended in support of the distinguished professorship thereby created."
SECTION 9.21.(b) G.S. 116-41.16 reads as rewritten:
"§ 116-41.16. Distinguished Professors Endowment Trust Fund; contribution commitments.
(a) For constituent institutions other than focused growth institutions and special needs institutions, contributions may also be eligible for matching if there is:
(1) A commitment to make a donation of at least six hundred sixty-six thousand dollars ($666,000), as prescribed by G.S. 143-31.4, and an initial payment of one hundred eleven thousand dollars ($111,000) to receive a grant described in G.S. 116-41.15(a)(1); or
(2) A commitment to make a
donation of at least three hundred thirty-three thousand dollars ($333,000), as
prescribed by G.S. 143-31.4, and an initial payment of fifty-five thousand
five hundred dollars ($55,500) to receive a grant described in G.S. 116-41.15(a)(2);(2);
or
(3) A commitment to make a donation in excess of six hundred sixty-six thousand dollars ($666,000), as prescribed by G.S. 143-31.4, and an initial payment of one-sixth of the committed amount to receive a grant described in G.S. 116-41.15(a)(3);
and if the initial payment is accompanied by a written pledge to provide the balance within five years after the date of the initial payment. Each payment on the balance shall be no less than the amount of the initial payment and shall be made on or before the anniversary date of the initial payment. Pledged contributions may not be matched prior to the actual collection of the total funds. Once the income from the institution's Distinguished Professors Endowment Trust Fund can be effectively used pursuant to G.S. 116-41.17, the institution shall proceed to implement plans for establishing an endowed chair.
(b) For focused growth institutions and special needs institutions, contributions may also be eligible for matching if there is:
(1) A commitment to make a donation of at least five hundred thousand dollars ($500,000), as prescribed by G.S. 143-31.4, and an initial payment of eighty-three thousand three hundred dollars ($83,300) to receive a grant described in G.S. 116-41.5(b)(1); or
(2) A commitment to make a
donation of at least two hundred fifty thousand dollars ($250,000), as
prescribed by G.S. 143-31.4, and an initial payment of forty-one thousand
six hundred dollars ($41,600) to receive a grant described in G.S. 116-41.15(b)(2);(2);
or
(3) A commitment to make a donation in excess of five hundred thousand dollars ($500,000), as prescribed by G.S. 143-31.4, and an initial payment of one-sixth of the committed amount to receive a grant described in G.S. 116-41.15(b)(3);
and if the initial payment is accompanied by a written pledge to provide the balance within five years after the date of the initial payment. Each payment on the balance shall be no less than the amount of the initial payment. Pledged contributions may not be matched prior to the actual collection of the total funds. Once the income from the institution's Distinguished Professors Endowment Trust Fund can be effectively used pursuant to G.S. 116-41.17, the institution shall proceed to implement plans for establishing an endowed chair."
SECTION 9.21.(c) G.S. 116-41.17 reads as rewritten:
"§ 116-41.17. Distinguished Professors Endowment Trust Fund; establishment of chairs.
When the sum of the challenge grant and matching funds in the
Scholars' Distinguished Professors Endowment Trust Fund reaches:
(1) One million dollars
($1,000,000), if the sum of funds described in G.S. 116-41.15(1); or
G.S. 116-41.15(a)(1) or G.S. 116-41.15(b)(1); or
(2) Five hundred thousand
dollars ($500,000), if the sum of funds described in G.S. 116-41.15(2);G.S.
116-41.15(a)(2) or G.S. 116-41.15(b)(2); or
(3) An amount up to two million dollars ($2,000,000), if the sum of funds described in G.S. 116-41.15(a)(3) or G.S. 116-41.15(b)(3);
the board of trustees may recommend to the Board, for its approval, the establishment of an endowed chair or chairs. The Board, in considering whether to approve the recommendation, shall include in its consideration the programs already existing in The University of North Carolina. If the Board approves the recommendation, the chair or chairs shall be established. The chair or chairs, the property of the constituent institution, may be named in honor of a donor, benefactor, or honoree of the institution, at the option of the board of trustees."
Requested by: Representatives Jeffus, Tolson, Yongue
UNC MAY ENCOURAGE THE ESTABLISHMENT OF PRIVATE, NONPROFIT CORPORATIONS TO SUPPORT THE UNIVERSITY SYSTEM AND ASSIGN UNC EMPLOYEES TO ASSIST WITH THOSE CORPORATIONS
"Part 2B. Private, Nonprofit Corporations.
"§ 116-30.20. Establishment of private, nonprofit corporations.
The Board of Governors of The University of North Carolina shall encourage the establishment of private, nonprofit corporations to support the constituent institutions of The University of North Carolina and The University System. The President of The University of North Carolina and the chancellors of the constituent institutions may assign employees to assist with the establishment and operation of a nonprofit corporation and may make available to the corporation office space, equipment, supplies, and other related resources; provided, the sole purpose of the corporation is to support The University of North Carolina or one or more of its constituent institutions.
The board of directors of each such private, nonprofit corporation shall secure and pay for the services of The University System's internal auditors or employ a certified public accountant to conduct an audit of the financial accounts of the corporation. The board of directors shall transmit to the Board of Governors a copy of the annual financial audit report of the private, nonprofit corporation."
Requested by: Representatives Jeffus, Tolson, Yongue
ELIMINATE REPORTING REQUIREMENT FOR SCHOOL ADMINISTRATOR TRAINING PROGRAMS
SECTION 9.23. G.S. 116-74.21 reads as rewritten:
"§ 116-74.21. Establishment of a competitive proposal process for school administrator programs.
(a) The Board of Governors shall develop and implement a competitive proposal process and criteria for assessing proposals to establish school administrator training programs within the constituent institutions of The University of North Carolina. To facilitate the development of the programs, program criteria, and the proposal process, the Board of Governors may convene a panel of national school administrator program experts and other professional training program experts to assist it in designing the program, the proposal process, and criteria for assessing the proposals.
(b) No more than 12 school administrator programs shall be established under the competitive proposal program. In selecting campus sites, the Board of Governors shall be sensitive to the racial, cultural, and geographic diversity of the State. Special priority shall be given to the following factors: (i) the historical background of the institutions in training educators; (ii) the ability of the sites to serve the geographic regions of the State, such as, the far west, the west, the triad, the piedmont, and the east; and, (iii) whether the type of roads and terrain in a region make commuting difficult. A school administrator program may provide for instruction at one or more campus sites.
(c) The Board of
Governors shall study the issue of supply and demand of school administrators
to determine the number of school administrators to be trained in the programs
in each year of each biennium. The Board of Governors shall report the
results of this study to the Joint Legislative Education Oversight Committee no
later than March 1, 1994, and annually thereafter.the biennium and
report the results of this study to the Joint Legislative Education Oversight
Committee no later than March 1 annually.
(d) The Board of Governors shall develop a budget for the programs established under subsection (a) of this section that reflects the resources necessary to establish and operate school administrator programs that meet the vision of the report submitted to the 1993 General Assembly by the Educational Leadership Task Force.
(e) The Board
of Governors shall report annually on the implementation of the act no later
than December 1 of each year."
Requested by: Representatives Jeffus, Tolson, Yongue
CONTINUE ACADEMIC COMMON MARKET PROGRAM
"§ 116-43.10. Academic Common Market program.
(a) The Southern Regional Education Board operates an Academic Common Market program. Under this program, qualified students from participating states may apply to attend programs at public universities in participating states that are not available in their home state's university system. North Carolina's participation for graduate programs provides a cost-effective means of offering educational access for North Carolina residents. North Carolinians are able to attend graduate programs that are not available at The University of North Carolina at reduced rates, and the State avoids the cost associated with the development of new academic programs.
(b) The Board of Governors of The University of North Carolina may continue participation in the Southern Regional Education Board's Academic Common Market at the graduate program level. The Board of Governors shall examine the graduate programs offered in The University of North Carolina System and select for participation only those graduate programs that are likely to be unique or are not commonly available in other Southern Regional Education Board states. Out-of-state tuition shall be waived for students who are residents of other Southern Regional Education Board states and who are participating in the Academic Common Market program. If accepted into The University of North Carolina graduate programs that are part of the Academic Common Market, these students shall pay in-State tuition and shall be treated for all purposes of The University of North Carolina as residents of North Carolina.
(c) Once a student is enrolled in The University of North Carolina System under the Academic Common Market program, the student shall be entitled to pay in-State tuition as long as the student is enrolled in that graduate program. The Board of Governors shall provide a report on the Academic Common Market program to the Joint Legislative Education Oversight Committee by September 2007 and each biennium thereafter."
Requested by: Representatives Jeffus, Tolson, Yongue
BRODY SCHOOL OF MEDICINE AT ECU/MEDICARE RECEIPTS/FAMILY MEDICINE CENTER
SECTION 9.26.(a) G.S. 116-36.6 reads as rewritten:
"§ 116-36.6.
Brody School of Medicine at East Carolina University School of
Medicine; University; Medicare receipts.
The Brody School of Medicine at East Carolina
University School of Medicine shall request, on a regular basis
consistent with the State's cash management plan, funds earned by the School
from Medicare reimbursements for education costs. Upon receipt, these funds
shall be allocated as follows:
(1) The portion of the Medicare reimbursement generated through the effort and expense of the Brody School of Medicine's Medical Faculty Practice Plan shall be transferred to the appropriate Medical Faculty Practice Plan account within the School of Medicine. The Medical Faculty Practice Plan shall assume responsibility for any of these funds that subsequently must be refunded due to final audit settlements.
(2) The funds
from this source budgeted by the General Assembly as part of the School of
Medicine's General Fund budget code shall be credited to that code as a
receipt.
(3) The
remainder of the funds shall be transferred to a special fund account on
deposit with the State Treasurer. This special fund account shall be used for
any necessary repayment of Medicare funds due to final audit settlements for
funds allocated under subdivision (2) of this subsection. When the amount of
these reimbursement funds has been finalized by audit for each year, those
funds remaining in the special fund shall be available for specific capital
improvement projects for the East Carolina University School of Medicine.
Requests by East Carolina University for use of these funds shall be made to
the Board of Governors of The University of North Carolina. Approval of
projects by the Board of Governors shall be reported to the Joint Legislative
Commission on Governmental Operations, and the reports shall include projected
costs and sources of funds for operation of the approved projects.
(2a) Funds that were received pursuant to this section prior to July 1, 2005, and that were transferred to a special fund account on deposit with the State Treasurer are appropriated to the Brody School of Medicine at East Carolina University and may be expended by the Brody School of Medicine for the family medicine center and for purposes consistent with its stated mission."
Requested by: Representatives Jeffus, Tolson, Yongue
ENHANCE NUTRITION IN UNIVERSITY AND COMMUNITY COLLEGE FOOD PROGRAMS
Requested by: Representatives Jeffus, Tolson, Yongue
Scholarship Loan for Prospective Coaches
"§ 116-209.36. Coaching and Assistant Coaching Scholarship Fund.
(a) There is established the Coaching and Assistant Coaching Scholarship Fund. The purpose of the Fund is to provide scholarship loans to students who are pursuing college degrees to become public schoolteachers and coaches. Coaching and Assistant Coaching Fellows shall be offered a curriculum that advances coaching skills and that instills a strong motivation not only to remain in the coaching profession but to provide leadership in the schools where they coach. The State Education Assistance Authority shall administer the Fund. The Fund shall provide 25 scholarship loans per year.
(b) Criteria for awarding the scholarship loans shall be developed by the State Education Assistance Authority in consultation with the Board of Governors of The University of North Carolina and shall include all of the following:
(1) An applicant shall be enrolled in an accredited bachelors degree program in an institution of higher education in North Carolina.
(2) All students shall enter into a legal agreement and promissory note with the Authority to accept employment as a coach or coaching assistant in an elementary or secondary school in North Carolina in exchange for receiving any funds, which agreement shall include stipulation that the student agrees to accept employment in rural or other need-based counties.
(3) An applicant shall be a resident of North Carolina. For purposes of this section, residency shall be determined by the same standard as residency for tuition purposes pursuant to G.S. 116-143.1.
(4) Any additional criteria that the State Education Assistance Authority considers necessary to administer the Fund effectively, including all of the following:
a. Consideration of the appropriate numbers of minority applicants and applicants from diverse socioeconomic backgrounds to receive scholarships pursuant to this section.
b. Consideration of the academic qualifications of the individuals applying to receive funds.
c. Consideration of the commitment an individual applying to receive funds demonstrates to the profession of coaching.
(c) The State Education Assistance Authority shall: (i) prepare a clear written explanation of the Coaching and Assistant Coaching Scholarship Fund and the information regarding the availability and criteria for awarding the scholarships, and (ii) provide that information to the appropriate counselors in each local school system and shall charge those counselors to inform students about the scholarships and to encourage them to apply for the scholarships.
(d) The State Education Assistance Authority shall administer the Fund and shall ensure that the loan amount is limited to four thousand dollars ($4,000) per recipient per year.
(e) The Authority shall ensure that the following loan cancellations and repayment schedules apply to all funds distributed pursuant to this section:
(1) The individual who graduates with a bachelors degree and who works as a school coach or coaching assistant in a rural or other need-based area of North Carolina shall have that amount of the loan cancelled that is based on the amount of time employed and the number of academic years funds were received. One full year of employment shall cancel one academic year's loan.
(2) The individual who graduates with a bachelors degree and who works as a school coach or assistant coach in a rural or other need-based area of North Carolina for the equivalent of the total number of academic years funds were received shall have the entire loan cancelled.
(3) The individual who graduates with a bachelors degree and who does not work as a school coach or assistant coach in a rural or other need-based area of North Carolina for any or all of the equivalent of the number of years funds were received shall repay the loan to the Authority according to a schedule prescribed in the promissory note, plus ten percent (10%) annual interest.
(4) The individual who does not graduate with a bachelors degree shall repay the loan according to a schedule prescribed by the Authority, not to exceed fifteen percent (15%) annual interest. In establishing a schedule and interest rate, the Authority shall take into consideration the reasons the individual did not graduate with a bachelors degree.
The Authority shall ensure that all repayments, including accrued interest, shall be placed in the Fund.
The Authority may forgive or reduce any loan repayment if the Authority considers that extenuating circumstances exist that would make repayment impossible.
(f) The State Education Assistance Authority, in consultation with the Board of Governors of The University of North Carolina, shall adopt rules to implement this section.
(g) The State Education Assistance Authority shall report to the Joint Legislative Education Oversight Committee by March 1 each year regarding the Fund and scholarships awarded from the Fund."
Requested by: Representatives Jeffus, Tolson, Yongue
Limit out-of-state enrollment in the North Carolina School of the Arts
SECTION 9.32. G.S. 116-64 reads as rewritten:
"§ 116-64. Establishment of school.
(a) There is hereby established, and there shall be maintained, a school for the professional training of students having exceptional talent in the performing arts which shall be defined as an educational institution of the State, to serve the students of North Carolina and other states, particularly other states of the South. The school shall be designated the "North Carolina School of the Arts".
(b) Beginning with the fall of 2007, the North Carolina School of the Arts shall limit the proportion of nonresident students as defined in G.S. 116-143.1 in the entering freshman class to forty percent (40%). By the fall of 2008, and continuing each academic year thereafter, the proportion of nonresident students as defined in G.S. 116-143.1 in the entering freshman class shall be limited to thirty-five percent (35%)."
Requested by: Representatives Jeffus, Tolson, Yongue
SECTION 9.33. G.S. 90-171.61 is amended by adding a new subsection to read:
"(b1) If a recipient is awarded a scholarship loan under this program and is enrolled, or accepted for enrollment, in a baccalaureate nursing program, but is unable to pursue the course of study in nursing for a semester due to limited faculty resources at the institution for that semester, then the recipient shall continue to receive the scholarship loan for that semester and shall not be required to forfeit or repay the scholarship loan for that semester provided that the recipient remains otherwise eligible for the program. This waiver shall be valid for only one semester of study and may extend a recipient's eligibility for funding under the program by no more than one semester."
Requested by: Representatives Jeffus, Tolson, Yongue
Professional Development Programs for Public School Employees
SECTION 9.34.(a) G.S. 115C-12(26) 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:
…
(26) Duty to Monitor and Make
Recommendations Regarding Professional Development Programs. - The State Board
of Education shall identify State and local needs for professional
development for professional public school employees based upon the State's
educational priorities for improving student achievement. The State Board also
shall recommend strategies for addressing these needs. The strategies must be
research-based, proven in practice, and designed for data-driven evaluation.
The State Board shall report its findings and recommendations to the Joint
Legislative Education Oversight Committee, the President Pro Tempore of the
Senate, the Speaker of the House of Representatives, and the Board of Governors
of The University of North Carolina prior to January 15, 2002, and shall
review, revise, and resubmit those findings and recommendations annually
thereafter. The State Board shall evaluate the reports submitted by the Board
of Governors under G.S. 116-11(12a) to determine whether the
programs for professional development provided by the Center for School
Leadership Development address the State and local needs identified by the
State Board and whether the programs are using the strategies recommended by
the State Board. Prior to January 15th of each year, the State Board shall
report the results of its analysis to the Board of Governors and to the Joint
Legislative Education Oversight Committee. Education, in collaboration
with the Board of Governors of The University of North Carolina, shall identify
and make recommendations regarding meaningful professional development programs
for professional public school employees. The programs shall be aligned with
State education goals and directed toward improving student academic
achievement. The State Board shall annually evaluate and, after consultation
with the Board of Governors, make recommendations regarding professional
development programs based upon reports submitted by the Board of Governors
under G.S. 116-11(12a)."
SECTION 9.34.(b) G.S. 116-11(12a) reads as rewritten:
"§ 116-11. Powers and duties generally.
The powers and duties of the Board of Governors shall include the following:
…
(12a) Notwithstanding any other law, theThe
Board of Governors of The University of North Carolina shall implement, administer,
and revise programs for meaningful professional development for professional
public school employees in accordance with based upon the
evaluations and recommendations made by the State Board of Education under
G.S. 115C-12(26). The programs shall be aligned with State education goals
and directed toward improving student academic achievement. The Board of
Governors shall submit to the State Board of Education an annual written report
that uses data to assess and evaluate the effectiveness of the programs for
professional development offered by the Center for School Leadership
Development. The report shall clearly document how the programs address the
State needs identified by the State Board of Education and whether the programs
are utilizing the strategies recommended by the State Board. The Board of
Governors also shall submit this report to the Joint Legislative Education
Oversight Committee, the President Pro Tempore of the Senate, and the Speaker
of the House of Representatives prior to September 15th of each year.The
Board of Governors shall submit to the State Board of Education an annual
report evaluating the professional development programs administered by the
Board of Governors."
Requested by: Representatives Jeffus, Tolson, Yongue
Study In-State Teacher Tuition Benefit
Requested by: Representatives Jeffus, Tolson, Yongue
Prorate Legislative Tuition Grant for Part-time students in Education and Nursing
SECTION 9.36. G.S. 116-21.2 reads as rewritten:
"§ 116-21.2. Legislative tuition grants to aid students attending private institutions of higher education.
(a) In addition to any funds appropriated pursuant to G.S. 116-19 and in addition to all other financial assistance made available to institutions, or to students attending these institutions, there is granted to each full-time North Carolina undergraduate student attending an approved institution as defined in G.S. 116-22, a sum, to be determined by the General Assembly for each academic year which shall be distributed to the student as provided by this subsection.
(a1) In addition to any funds appropriated pursuant to G.S. 116-19 and in addition to all other financial assistance made available to institutions, or to students attending these institutions, there is granted to each North Carolina student who is enrolled as a part-time undergraduate in a course of study for nursing or teaching at an approved institution as defined in G.S. 116-22, a pro rata share of the tuition grant provided for by subsection (a) of this section.
(b) The tuition grants provided for in this section shall be administered by the State Education Assistance Authority pursuant to rules adopted by the State Education Assistance Authority not inconsistent with this section. The State Education Assistance Authority shall not approve any grant until it receives proper certification from an approved institution that the student applying for the grant is an eligible student. Upon receipt of the certification, the State Education Assistance Authority shall remit at the times as it prescribes the grant to the approved institution on behalf, and to the credit, of the student.
(c) In Except
as provided in subsection (a1) of this section, in the event a student on
whose behalf a grant has been paid is not enrolled and carrying a minimum
academic load as of the tenth classroom day following the beginning of the
school term for which the grant was paid, the institution shall refund the full
amount of the grant to the State Education Assistance Authority. Each approved
institution shall be subject to examination by the State Auditor for the
purpose of determining whether the institution has properly certified
eligibility and enrollment of students and credited grants paid on behalf of
the students.
(d) In the event there
are not sufficient funds to provide each eligible student with a full grant:grant
or a pro rata grant as provided by subsections (a) and (a1) of this section:
(1) The Board of Governors of The University of North Carolina, with the approval of the Office of State Budget and Management, may transfer available funds to meet the needs of the programs provided by subsections (a) and (b) of this section; and
(2) Each eligible student shall receive a pro rata share of funds then available for the remainder of the academic year within the fiscal period covered by the current appropriation.
(e) Any remaining funds shall revert to the General Fund."
Requested by: Representatives Jeffus, Tolson, Yongue
Center for Craft, Creativity, and Design
Requested by: Representative McLawhorn
FUNDS FOR THE NORTH CAROLINA CENTER ON THE ADVANCEMENT OF TEACHING
SECTION 9.38. Funds in the amount of one million two hundred eighty-five thousand dollars ($1,285,000) for the 2005-2006 fiscal year and one million two hundred ten thousand dollars ($1,210,000) for the 2006-2007 fiscal year are appropriated in section 2.1 of this act in expansion funds for the North Carolina Center on the Advancement of Teaching.
PART X. DEPARTMENT OF HEALTH AND HUMAN SERVICES
Requested by: Representatives Insko, Barnhart
(1) A detailed business plan.
(2) An information technology plan directly tied to business requirements.
(3) An IT architecture.
The Department of Health and Human Services shall ensure that the planning documents extend three to five years and include detailed shortfall analyses and associated cost assessments. The Department of Health and Human Services shall forward the documents to the Office of Information Technology Services, the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division by December 1, 2005. The Office of Information Technology Services shall review the documents and report its findings and recommendations to the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division by January 31, 2006.
(1) A detailed description of the project.
(2) A description of how the project improves Department operations and service to customers.
(3) The projected cost of the project by year and phase.
(4) Deliverables required to implement each phase of the system.
(5) The date that each deliverable is to be implemented.
(6) The cost of implementing each deliverable.
(7) What capabilities each deliverable adds to the project.
Requested by: Representatives Insko, Barnhart
SECTION 10.2. Article 3 of Chapter 143B is amended by adding the following new Part to read:
"Part 34. Office of Policy and Planning.
"§ 143B-216.70. Office of Policy and Planning.
(a) To promote coordinated policy development and strategic planning for the State's health and human services systems, the Secretary of Health and Human Services shall establish an Office of Policy and Planning from existing resources across the Department. The Director of the Office of Policy and Planning shall report directly to the Secretary and shall have the following responsibilities:
(1) Coordinate the development of departmental policies, plans, and rules, in consultation with the Divisions of the Department.
(2) Development of a departmental process for the development and implementation of new policies, plans, and rules.
(3) Development of a departmental process for the review of existing policies, plans, and rules to ensure that departmental policies, plans, and rules are relevant.
(4) Coordination and review of all departmental policies before dissemination to ensure that all policies are well-coordinated within and across all programs.
(5) Implementation of ongoing strategic planning that integrates budget, personnel, and resources with the mission and operational goals of the Department.
(6) Review, disseminate, monitor, and evaluate best practice models.
(b) Under the direction of the Secretary of Health and Human Services, the Director of the Office of Policy and Planning shall have the authority to direct Divisions, offices, and programs within the Department to conduct periodic reviews of policies, plans, and rules and shall advise the Secretary when it is determined to be appropriate or necessary to modify, amend, and repeal departmental policies, plans, and rules. All policy and management positions within the Office of Policy and Planning are exempt positions as that term is defined in G.S. 126-5."
Requested by: Representatives Insko, Barnhart
SENIOR CARES PROGRAM ADMINISTRATION
SECTION 10.4.(a) The Department of Health and Human Services may administer the "Senior Cares" prescription drug access program approved by the Health and Wellness Trust Fund Commission and funded from the Health and Wellness Trust Fund.
SECTION 10.4.(b) This section expires December 31, 2005.
Requested by: Representatives Insko, Barnhart
NONMEDICAID REIMBURSEMENT CHANGES
SECTION 10.5. Providers of medical services under the various State programs, other than Medicaid, offering medical care to citizens of the State shall be reimbursed at rates no more than those under the North Carolina Medical Assistance Program.
The Department of Health and Human Services may reimburse hospitals at the full prospective per diem rates without regard to the Medical Assistance Program's annual limits on hospital days. When the Medical Assistance Program's per diem rates for inpatient services and its interim rates for outpatient services are used to reimburse providers in non-Medicaid medical service programs, retroactive adjustments to claims already paid shall not be required.
Notwithstanding the provisions of paragraph one, the Department of Health and Human Services may negotiate with providers of medical services under the various Department of Health and Human Services programs, other than Medicaid, for rates as close as possible to Medicaid rates for the following purposes: contracts or agreements for medical services and purchases of medical equipment and other medical supplies. These negotiated rates are allowable only to meet the medical needs of its non-Medicaid eligible patients, residents, and clients who require such services which cannot be provided when limited to the Medicaid rate.
Maximum net family annual income eligibility standards for services in these programs shall be as follows:
Medical Eye Rehabilitation Except
Family Size Care Adults DSB Over 55 Grant Other
1 $4,860 $8,364 $4,200
2 5,940 10,944 5,300
3 6,204 13,500 6,400
4 7,284 16,092 7,500
5 7,821 18,648 7,900
6 8,220 21,228 8,300
7 8,772 21,708 8,800
8 9,312 22,220 9,300
The eligibility level for children in the Medical Eye Care Program in the Division of Services for the Blind shall be one hundred percent (100%) of the federal poverty guidelines, as revised annually by the United States Department of Health and Human Services and in effect on July 1 of each fiscal year. The eligibility level for adults 55 years of age or older who qualify for services through the Division of Services for the Blind, Independent Living Rehabilitation Program, shall be two hundred percent (200%) of the federal poverty guidelines, as revised annually by the United States Department of Health and Human Services and in effect on July 1 of each fiscal year. The eligibility level for adults in the Atypical Antipsychotic Medication Program in the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services shall be one hundred fifty percent (150%) of the federal poverty guidelines, as revised annually by the United States Department of Health and Human Services and in effect on July 1 of each fiscal year. Additionally, those adults enrolled in the Atypical Antipsychotic Medication Program who become gainfully employed may continue to be eligible to receive State support, in decreasing amounts, for the purchase of atypical antipsychotic medication and related services up to three hundred percent (300%) of the poverty level.
State financial participation in the Atypical Antipsychotic Medication Program for those enrollees who become gainfully employed is as follows:
Income State Participation Client Participation
(% of poverty)
0-150% 100% 0%
151-200% 75% 25%
201-250% 50% 50%
251-300% 25% 75%
300% and over 0% 100%
The Department of Health and Human Services shall contract at, or as close as possible to, Medicaid rates for medical services provided to residents of State facilities of the Department.
Requested by: Representatives Insko, Barnhart
SECTION 10.6. With the approval of the Office of State Budget and Management, the Department of Health and Human Services may use funds appropriated in this act for across-the-board salary increases and performance pay to offset similar increases in the costs of contracting with private and independent universities for the provision of physician services to clients in facilities operated by the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services. This offsetting shall be done in the same manner as is currently done with the constituent institutions of The University of North Carolina.
Requested by: Representatives Insko, Barnhart
SECTION 10.7.(a) The Secretary of the Department of Health and Human Services, the Secretary of the Department of Environment and Natural Resources, and the Secretary of the Department of Correction may provide medical liability coverage not to exceed one million dollars ($1,000,000) per incident on behalf of employees of the Departments licensed to practice medicine or dentistry, on behalf of all licensed physicians who are faculty members of The University of North Carolina who work on contract for the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services for incidents that occur in Division programs, and on behalf of physicians in all residency training programs from The University of North Carolina who are in training at institutions operated by the Department of Health and Human Services. This coverage may include commercial insurance or self-insurance and shall cover these individuals for their acts or omissions only while they are engaged in providing medical and dental services pursuant to their State employment or training.
SECTION 10.7.(b) The coverage provided under this section shall not cover any individual for any act or omission that the individual knows or reasonably should know constitutes a violation of the applicable criminal laws of any state or the United States or that arises out of any sexual, fraudulent, criminal, or malicious act or out of any act amounting to willful or wanton negligence.
SECTION 10.7.(c) The coverage provided pursuant to this section shall not require any additional appropriations and shall not apply to any individual providing contractual service to the Department of Health and Human Services, the Department of Environment and Natural Resources, or the Department of Correction, with the exception that coverage may include physicians in all residency training programs from The University of North Carolina who are in training at institutions operated by the Department of Health and Human Services and licensed physicians who are faculty members of The University of North Carolina who work for the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services.
Requested by: Representatives Insko, Barnhart
DHHS PAYROLL DEDUCTION FOR CHILD CARE SERVICES
"§ 143B-139.6B. Department of Health and Human Services; authority to deduct payroll for child care services.
Notwithstanding G.S. 143-3.3 and pursuant to rules adopted by the State Controller, an employee of the Department of Health and Human Services may, in writing, authorize the Department to periodically deduct from the employee's salary or wages paid for employment by the State, a designated lump sum to be paid to satisfy the cost of services received for child care provided by the Department."
Requested by: Representatives Insko, Barnhart
COMMUNITY HEALTH CENTERS FUNDS
(1) Increase access to preventative and primary care services by uninsured or medically indigent patients in existing or new health center locations;
(2) Establish community health center services in counties where no such services exist;
(3) Create new services or augment existing services provided to uninsured or medically indigent patients, including primary care and preventative medical services, dental services, pharmacy, and behavioral health; and
(4) Increase capacity necessary to serve the uninsured by enhancing or replacing facilities, equipment, or technologies.
Grant funds may not be used to enhance or increase compensation or other benefits of personnel, administrators, directors, consultants, or any other parties. Grant funds may not be used to finance or satisfy any existing debt.
Requested by: Representatives Insko, Barnhart
Requested by: Representatives Insko, Barnhart
SECTION 10.11.(a) Funds appropriated in this act for services provided in accordance with Title XIX of the Social Security Act (Medicaid) are for both the categorically needy and the medically needy. Funds appropriated for these services shall be expended in accordance with the following schedule of services and payment bases. All services and payments are subject to the language at the end of this subsection.
Services and payment bases:
(1) Hospital inpatient. - Payment for hospital inpatient services will be prescribed in the State Plan as established by the Department of Health and Human Services.
(2) Hospital outpatient. - Eighty percent (80%) of allowable costs or a prospective reimbursement plan as established by the Department of Health and Human Services.
(3) Nursing facilities. - Payment for nursing facility services will be prescribed in the State Plan as established by the Department of Health and Human Services. Nursing facilities providing services to Medicaid recipients who also qualify for Medicare must be enrolled in the Medicare program as a condition of participation in the Medicaid program. State facilities are not subject to the requirement to enroll in the Medicare program. Residents of nursing facilities who are eligible for Medicare coverage of nursing facility services must be placed in a Medicare-certified bed. Medicaid shall cover facility services only after the appropriate services have been billed to Medicare. The Division of Medical Assistance shall allow nursing facility providers sufficient time from the effective date of this act to certify additional Medicare beds if necessary. In determining the date that the requirements of this subdivision become effective, the Division of Medical Assistance shall consider the regulations governing certification of Medicare beds and the length of time required for this process to be completed.
(4) Intermediate care facilities for the mentally retarded. - As prescribed in the State Plan as established by the Department of Health and Human Services.
(5) Drugs. - Drug costs as allowed by federal regulations plus a professional services fee per month, excluding refills for the same drug or generic equivalent during the same month. Reimbursement shall be available for up to five brand-name prescription drugs per recipient per month, including refills, and for an unlimited number of generic prescription drugs per recipient, per month. Payments for drugs are subject to the provisions of subsection (h) of this section and to the provisions at the end of this subsection or in accordance with the State Plan adopted by the Department of Health and Human Services, consistent with federal reimbursement regulations. Payment of the professional services fee shall be made in accordance with the State Plan adopted by the Department of Health and Human Services, consistent with federal reimbursement regulations. The professional services fee shall be five dollars and sixty cents ($5.60) per prescription for generic drugs and four dollars ($4.00) per prescription for brand-name drugs. Adjustments to the professional services fee shall be established by the General Assembly. In addition to the professional services fee, the Department may pay an enhanced fee for pharmacy services. As used in this subsection, "brand name" means the proprietary name the manufacturer places upon a drug product or on its container, label, or wrapping at the time of packaging; and "established name" has the same meaning as in section 502(e)(3) of the Federal Food, Drug, and Cosmetic Act as amended, 21 U.S.C. § 352(e)(3).
(6) Physicians, chiropractors, podiatrists, optometrists, dentists, certified nurse midwife services, nurse practitioners. - Fee schedules as developed by the Department of Health and Human Services. Payments for dental services are subject to the provisions of subsection (g) of this section.
(7) Community Alternative Program, EPSDT screens. - Payment to be made in accordance with the rate schedule developed by the Department of Health and Human Services.
(8) Home health and related services, private duty nursing, clinic services, prepaid health plans, durable medical equipment. - Payment to be made according to reimbursement plans developed by the Department of Health and Human Services.
(9) Medicare Buy-In. - Social Security Administration premium.
(10) Ambulance services. - Uniform fee schedules as developed by the Department of Health and Human Services. Public ambulance providers will be reimbursed at cost.
(11) Hearing aids. - Wholesale cost plus a dispensing fee to the provider.
(12) Rural health clinic services. - Provider-based, reasonable cost; nonprovider-based, single-cost reimbursement rate per clinic visit.
(13) Family planning. - Negotiated rate for local health departments. For other providers, see specific services, for instance, hospitals, physicians.
(14) Independent laboratory and X-ray services. - Uniform fee schedules as developed by the Department of Health and Human Services.
(15) Optical supplies. - Payment for materials is made to a contractor in accordance with 42 C.F.R. § 431.54(d). Fees paid to dispensing providers are negotiated fees established by the State agency based on industry charges.
(16) Ambulatory surgical centers. - Payment as prescribed in the reimbursement plan established by the Department of Health and Human Services.
(17) Medicare crossover claims. - By not later than October 1, 2005, the Department shall apply Medicaid medical policy to Medicare claims for dually eligible recipients. The Department shall pay an amount up to the actual coinsurance or deductible or both, in accordance with the State Plan, as approved by the Department of Health and Human Services.
(18) Physical therapy and speech therapy. - Services limited to EPSDT-eligible children. Payments are to be made only to qualified providers at rates negotiated by the Department of Health and Human Services. Physical therapy (including occupational therapy) and speech therapy services are subject to prior approval and utilization review.
(19) Personal care services. - Payment in accordance with the State Plan approved by the Department of Health and Human Services.
(20) Case management services. - Reimbursement in accordance with the availability of funds to be transferred within the Department of Health and Human Services.
(21) Hospice. - Services may be provided in accordance with the State Plan developed by the Department of Health and Human Services.
(22) Other mental health services. - Unless otherwise covered by this section, coverage is limited to:
a. Services as defined by the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services and approved by the Centers for Medicare and Medicaid Services (CMS) when provided in agencies meeting the requirements of the rules established by the Commission for Mental Health, Developmental Disabilities, and Substance Abuse Services, and reimbursement is made in accordance with a State Plan developed by the Department of Health and Human Services not to exceed the upper limits established in federal regulations, and
b. For children eligible for EPSDT services provided by:
1. Licensed or certified psychologists, licensed clinical social workers, certified clinical nurse specialists in psychiatric mental health advanced practice, nurse practitioners certified as clinical nurse specialists in psychiatric mental health advanced practice, licensed psychological associates, licensed professional counselors, licensed marriage and family therapists, certified clinical addictions specialists, and certified clinical supervisors, when Medicaid-eligible children are referred by the Community Care of North Carolina primary care physician, a Medicaid-enrolled psychiatrist, or the area mental health program or local management entity, and
2. Institutional providers of residential services as defined by the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services and approved by the Centers for Medicare and Medicaid Services (CMS) for children and Psychiatric Residential Treatment Facility services that meet federal and State requirements as defined by the Department.
c. For Medicaid-eligible adults, services provided by licensed or certified psychologists, licensed clinical social workers, certified clinical nurse specialists in psychiatric mental health advanced practice, and nurse practitioners certified as clinical nurse specialists in psychiatric mental health advanced practice, licensed psychological associates, licensed professional counselors, licensed marriage and family therapists, certified clinical addictions specialists, and certified clinical supervisors, Medicaid-eligible adults may be self-referred.
d. Payments made for services rendered in accordance with this subdivision shall be to qualified providers in accordance with approved policies and the State Plan. Nothing in sub-subdivision b. or c. of this subdivision shall be interpreted to modify the scope of practice of any service provider, practitioner, or licensee, nor to modify or attenuate any collaboration or supervision requirement related to the professional activities of any service provider, practitioner, or licensee. Nothing in sub-subdivision b. or c. of this subdivision shall be interpreted to require any private health insurer or health plan to make direct third-party reimbursements or payments to any service provider, practitioner, or licensee.
e. The Department of Health and Human Services shall not enroll licensed psychological associates, licensed professional counselors, licensed marriage and family therapists, certified clinical addiction specialists, and certified clinical supervisors until all of the following conditions have been met:
1. The fiscal impact of payments to these qualified providers has been projected;
2. Funding for any projected requirements in excess of budgeted Division of Medical Assistance funding has been identified from within State funds appropriated to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services to support area mental health programs or county programs, or identified from other sources; and
3. Approval has been obtained from the Office of State Budget and Management to transfer these State or other source funds from the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services to the Division of Medical Assistance. Upon approval and implementation, the Department of Health and Human Services shall, on a quarterly basis, provide a status report to the Office of State Budget and Management and the Fiscal Research Division.
Notwithstanding G.S. 150B-21.1(a), the Department of Health and Human Services may adopt temporary rules in accordance with Chapter 150B of the General Statutes further defining the qualifications of providers and referral procedures in order to implement this subdivision. Coverage policy for services defined by the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services under sub-subdivisions a. and b.2. of this subdivision shall be established by the Division of Medical Assistance.
(23) Medically necessary prosthetics or orthotics. - Reimbursement in accordance with the State Plan approved by the Department of Health and Human Services, except that in order to be eligible for reimbursement, providers must be Board certified not later than July 1, 2005. Medically necessary prosthetics and orthotics are subject to prior approval and utilization review.
(24) Health insurance premiums. - Payments to be made in accordance with the State Plan adopted by the Department of Health and Human Services consistent with federal regulations.
(25) Medical care/other remedial care. - Services not covered elsewhere in this section include related services in schools; health professional services provided outside the clinic setting to meet maternal and infant health goals; and services to meet federal EPSDT mandates. Services addressed by this subdivision are limited to those prescribed in the State Plan as established by the Department of Health and Human Services.
(26) Pregnancy-related services. - Covered services for pregnant women shall include nutritional counseling, psychosocial counseling, and predelivery and postpartum home visits by maternity care coordinators and public health nurses.
Services and payment bases may be changed with the approval of the Director of the Budget.
Payment is limited to Medicaid-enrolled providers that purchase a performance bond in an amount not to exceed one hundred thousand dollars ($100,000) naming as beneficiary the Department of Health and Human Services, Division of Medical Assistance, or provide to the Department a validly executed letter of credit or other financial instrument issued by a financial institution or agency honoring a demand for payment in an equivalent amount. The Department may waive or limit the requirements of this paragraph for one or more classes of Medicaid-enrolled providers based on the provider's dollar amount of monthly billings to Medicaid or the length of time the provider has been licensed in this State to provide services. In waiving or limiting requirements of this paragraph, the Department shall take into consideration the potential fiscal impact of the waiver or limitation on the State Medicaid Program. The Department may adopt temporary rules in accordance with G.S. 150B-21.1 as necessary to implement this provision.
Reimbursement is available for up to 24 visits per recipient per year to any one or a combination of the following: physicians, clinics, hospital outpatient, optometrists, chiropractors, and podiatrists. Prenatal services, all EPSDT children, emergency rooms, and mental health services subject to independent utilization review are exempt from the visit limitations contained in this paragraph. Exceptions may be authorized by the Department of Health and Human Services where the life of the patient would be threatened without such additional care.
SECTION 10.11.(b) Allocation of Nonfederal Cost of Medicaid. - The State shall pay eighty-five percent (85%); the county shall pay fifteen percent (15%) of the nonfederal costs of all applicable services listed in this section. In addition, the State shall pay eighty-five percent (85%); the county shall pay fifteen percent (15%) of the federal Medicare Part D clawback payments under the Medicare Modernization Act of 2004.
SECTION 10.11.(c) Co-Payment for Medicaid Services. - The Department of Health and Human Services may establish co-payments up to the maximum permitted by federal law and regulation and required by this subsection in order to achieve reductions in the budget in fiscal years 2005-2006 and 2006-2007.
Categorically Needy Medically Needy
WFFA*
Family Standard Families and
Size of Need Children Income
Level AA, AB, AD*
1 $4,344 $2,172 $2,900
2 5,664 2,832 3,800
3 6,528 3,264 4,400
4 7,128 3,564 4,800
5 7,776 3,888 5,200
6 8,376 4,188 5,600
7 8,952 4,476 6,000
8 9,256 4,680 6,300
*Work First Family Assistance (WFFA); Aid to the Aged (AA); Aid to the Blind (AB); and Aid to the Disabled (AD).
The payment level for Work First Family Assistance shall be fifty percent (50%) of the standard of need.
These standards may be changed with the approval of the Director of the Budget with the advice of the Advisory Budget Commission.
SECTION 10.11.(e) The Department of Health and Human Services, Division of Medical Assistance, shall provide Medicaid coverage to all elderly, blind, and disabled people who have incomes equal to or less than one hundred percent (100%) of the federal poverty guidelines, as revised each April 1.
Monthly Net Wages Monthly Incentive Allowance
$1.00 to $100.99 Up to $50.00
$101.00 to $200.99 $80.00
$201.00 to $300.99 $130.00
$301.00 and greater $212.00.
SECTION 10.11.(g) Dental Coverage Limits. - Dental services shall be provided on a restricted basis in accordance with rules adopted by the Department to implement this subsection.
SECTION 10.11.(h) The Department of Health and Human Services shall not impose prior authorization requirements under the State Medical Assistance Program on medications prescribed for Medicaid recipients for the treatment of: (i) mental illness, including, but not limited to, medications for schizophrenia, bipolar disorder, and major depressive disorder, or (ii) HIV/AIDS.
SECTION 10.11.(i) Exceptions to Service Limitations, Eligibility Requirements, and Payments. - Service limitations, eligibility requirements, and payments bases in this section may be waived by the Department of Health and Human Services, with the approval of the Director of the Budget, to allow the Department to carry out pilot programs for prepaid health plans, contracting for services, managed care plans, or community-based services programs in accordance with plans approved by the United States Department of Health and Human Services or when the Department determines that such a waiver will result in a reduction in the total Medicaid costs for the recipient. The Department of Health and Human Services may proceed with planning and development work on the Program of All-Inclusive Care for the Elderly.
SECTION 10.11.(j) Volume Purchase Plans and Single Source Procurement. - The Department of Health and Human Services, Division of Medical Assistance, may, subject to the approval of a change in the State Medicaid Plan, contract for services, medical equipment, supplies, and appliances by implementation of volume purchase plans, single source procurement, or other contracting processes in order to improve cost containment.
SECTION 10.11.(k) Cost-Containment Programs. - The Department of Health and Human Services, Division of Medical Assistance, may undertake cost-containment programs, including contracting for services, preadmissions to hospitals, and prior approval for certain outpatient surgeries before they may be performed in an inpatient setting.
SECTION 10.11.(l) For all Medicaid eligibility classifications for which the federal poverty level is used as an income limit for eligibility determination, the income limits will be updated each April 1 immediately following publication of federal poverty guidelines.
SECTION 10.11.(m) The Department of Health and Human Services shall provide Medicaid to 19-, 20-, and 21-year-olds in accordance with federal rules and regulations.
(1) Pregnant women with incomes equal to or less than one hundred eighty-five percent (185%) of the federal poverty guidelines as revised each April 1 shall be covered for Medicaid benefits.
(2) Infants under the age of one with family incomes equal to or less than one hundred eighty-five percent (185%) of the federal poverty guidelines as revised each April 1 shall be covered for Medicaid benefits.
(3) Children aged one through five with family incomes equal to or less than one hundred thirty-three percent (133%) of the federal poverty guidelines as revised each April 1 shall be covered for Medicaid benefits.
(4) Children aged six through 18 with family incomes equal to or less than the federal poverty guidelines as revised each April 1 shall be covered for Medicaid benefits.
(5) The Department of Health and Human Services shall provide Medicaid coverage for adoptive children with special or rehabilitative needs regardless of the adoptive family's income.
Services to pregnant women eligible under this subsection continue throughout the pregnancy but include only those related to pregnancy and to those other conditions determined by the Department as conditions that may complicate pregnancy. In order to reduce county administrative costs and to expedite the provision of medical services to pregnant women, to infants, and to children described in subdivisions (3) and (4) of this subsection, no resources test shall be applied.
SECTION 10.11.(o) Medicaid enrollment of categorically needy families with children shall be continuous for one year without regard to changes in income or assets.
SECTION 10.11.(q) If first approved by the Office of State Budget and Management, the Division of Medical Assistance, Department of Health and Human Services, may use funds that are identified to support the cost of development and acquisition of equipment and software through contractual means to improve and enhance information systems that provide management information and claims processing. The Department of Health and Human Services shall identify adequate funds to support the implementation and first year's operational costs that exceed the currently allocated funds for the new contract for the fiscal agent for the Medicaid Management Information System.
SECTION 10.11.(r) The Department of Health and Human Services may adopt temporary or emergency rules according to the procedures established in G.S. 150B-21.1 and G.S. 150B-21.1A when it finds that these rules are necessary to maximize receipt of federal funds within existing State appropriations, to reduce Medicaid expenditures, and to reduce fraud and abuse. Prior to the filing of these temporary or emergency rules with the Rules Review Commission and the Office of Administrative Hearings, the Department shall consult with the Office of State Budget and Management on the possible fiscal impact of the temporary or emergency rule and its effect on State appropriations and local governments.
SECTION 10.11.(s) The Department shall report to the Fiscal Research Division of the Legislative Services Office and to the House of Representatives Appropriations Subcommittee on Health and Human Services and the Senate Appropriations Committee on Health and Human Services or the Joint Legislative Health Care Oversight Committee on any change it anticipates making in the Medicaid program that impacts the type or level of service, reimbursement methods, or waivers, any of which require a change in the State Plan or other approval by the Centers for Medicare and Medicaid Services (CMS). The reports shall be provided at the same time they are submitted to CMS for approval.
SECTION 10.11.(t) The Department of Health and Human Services shall provide Medicaid coverage for family planning services to men and women of childbearing age with family income equal to or less than one hundred eighty-five percent (185%) of the federal poverty level under the family planning demonstration waiver approved by the federal government. Implementation shall be made by October 1, 2005. The Department may use up to six hundred seventy-five thousand dollars ($675,000) of funds in the Women's Health Services Fund to provide State matching funds for the family-planning demonstration waiver. The remainder of the funds in the Women's Health Services Fund shall be used for community-based organizations that are currently receiving these funds in accordance with the purposes of the Fund.
SECTION 10.11.(u) The Department of Health and Human Services may apply federal transfer of assets policies, as described in Title XIX, section 1917(c) of the Social Security Act, including the attachment of liens, to real property excluded as "income producing", tenancy-in-common, or as nonhomesite property made "income producing" under Title XIX, section 1902(r)(2) of the Social Security Act. The transfer of assets policy shall apply only to an institutionalized individual or the individual's spouse as defined in Title XIX, section 1917(c) of the Social Security Act. This subsection becomes effective no earlier than October 1, 2001. Federal transfer of asset policies and attachment of liens to properties excluded as tenancy-in-common or as nonhomesite property made "income producing" in accordance with this subsection shall become effective not earlier than November 1, 2002.
SECTION 10.11.(v) When implementing the Supplemental Security Income (SSI) method for considering equity value of income-producing property, the Department shall, to the maximum extent possible, employ procedures to mitigate the hardship to Medicaid enrollees occurring from application of the Supplemental Security Income (SSI) method.
SECTION 10.11.(w) Unless required for compliance with federal law, the Department shall not change medical policy affecting the amount, sufficiency, duration, and scope of health care services and who may provide services until the Division of Medical Assistance has prepared a five-year fiscal analysis documenting the increased cost of the proposed change in medical policy and submitted it for Departmental review. If the fiscal impact indicated by the fiscal analysis for any proposed medical policy change exceeds three million dollars ($3,000,000) in total requirements for a given fiscal year, then the Department shall submit the proposed policy change with the fiscal analysis to the Office of State Budget and Management and the Fiscal Research Division. The Department shall not implement any proposed medical policy change exceeding three million dollars ($3,000,000) in total requirements for a given fiscal year unless the source of State funding is identified and approved by the Office of State Budget and Management. The Department shall provide the Office of State Budget and Management and the Fiscal Research Division a quarterly report itemizing all medical policy changes with total requirements of less than three million dollars ($3,000,000).
SECTION 10.11.(x) The Department shall develop, amend, and adopt medical coverage policy in accordance with the following:
(1) During the development of new medical coverage policy or amendment to existing medical coverage policy, consult with and seek the advice of the Physician Advisory Group of the North Carolina Medical Society and other organizations the Secretary deems appropriate. The Secretary shall also consult with and seek the advice of officials of the professional societies or associations representing providers who are affected by the new medical coverage policy or amendments to existing medical coverage policy.
(2) At least 45 days prior to the adoption of new or amended medical coverage policy, the Department shall:
a. Publish the proposed new or amended medical coverage policy on the Department's Web site;
b. Notify all Medicaid providers of the proposed, new, or amended policy; and
c. Upon request, provide persons copies of the proposed medical coverage policy.
(3) During the 45-day period immediately following publication of the proposed new or amended medical coverage policy, accept oral and written comments on the proposed new or amended policy.
(4) If, following the comment period, the proposed new or amended medical coverage policy is modified, then the Department shall, at least 15 days prior to its adoption:
a. Notify all Medicaid providers of the proposed policy;
b. Upon request, provide persons notice of amendments to the proposed policy; and
c. Accept additional oral or written comments during this 15-day period.
Requested by: Representatives Insko, Barnhart
DISPOSITION OF DISPROPORTIONATE SHARE RECEIPTS
SECTION 10.12.(b) For each year of the 2005-2007 fiscal biennium, as it receives funds associated with Disproportionate Share Payments from State hospitals, the Department of Health and Human Services, Division of Medical Assistance, shall deposit up to one hundred million dollars ($100,000,000) of these Disproportionate Share Payments to the Department of State Treasurer for deposit as nontax revenue. Any Disproportionate Share Payments collected in excess of one hundred million dollars ($100,000,000) shall be reserved by the State Treasurer for future appropriations.
Requested by: Representatives Insko, Barnhart
SECTION 10.13.(b) Effective July 1, 2000, the county share of the cost of Medicaid Personal Care Services paid to adult care homes shall be decreased incrementally each fiscal year until the county share reaches fifteen percent (15%) of the nonfederal share by State fiscal year 2009-2010.
Requested by: Representatives Insko, Barnhart
MEDICAID COST CONTAINMENT ACTIVITIES
Requested by: Representatives Insko, Barnhart
MEDICAID RESERVE FUND TRANSFER
Requested by: Representatives Insko, Barnhart
EXPAND COMMUNITY CARE OF NORTH CAROLINA MANAGEMENT TO ADDITIONAL MEDICAID RECIPIENTS
Requested by: Representatives Insko, Barnhart
TICKET TO WORK/MEDICAID ELIGIBILITY STUDY
Requested by: Representatives Insko, Barnhart
MEDICAID PERSONAL CARE SERVICES LIMITATIONS
Requested by: Representative Insko
Requested by: Representative Nye
Implement Electronic Quality Prescription Management Program
Requested by: Representatives Insko, Barnhart
COMMUNITY ALTERNATIVE PROGRAMS REIMBURSEMENT SYSTEM
SECTION 10.20.(a) The Department of Health and Human Services, Division of Medical Assistance, shall study developing a new system for reimbursing the Community Alternatives Programs. The new system shall:
(1) Use a case-mix reimbursement system, similar to the one used by nursing facilities and home health agencies, to determine the level of care provided and the amount paid for the care provided;
(2) Incorporate into the case-mix system, the home environment and social support systems; and
(3) Use the Resource Utilization Groups-III (RUG-III) to determine the level of need for Community Alternatives Programs services.
Requested by: Representatives Insko, Barnhart
DMA ACCESS TO HEALTH INSURANCE INFORMATION TO ENSURE RECOUPMENT OF MEDICAID FUNDS SPENT ON MEDICAL CARE COVERED BY INSURANCE
"§ 58-50-46. Insurers to provide certain information to Department of Health and Human Services.
(a) As used in this section, the terms:
(1) 'Department' means the Department of Health and Human Services.
(2) 'Division' means the Division of Medical Assistance of the Department of Health and Human Services.
(3) 'Health benefit plan' and 'insurer' have the meaning applicable under G.S. 58-3-167.
(4) 'Medical assistance' means medical assistance benefits provided under the State Medical Assistance Plan.
(b) Every insurer issuing a health benefit plan shall provide to the Department of Health and Human Services, upon its request, information, including automated data matches conducted under the direction of the Department of Health and Human Services, Division of Medical Assistance, as necessary for the purpose of identifying individuals covered under the insurer's health benefit plans who are also recipients of medical assistance. To facilitate the Division in obtaining this and other related information, every insurer shall:
(1) Cooperate with the Division to determine whether a named individual who is a recipient of medical assistance may be covered under the insurer's health benefit plan and eligible to receive benefits under the health benefit plan for services provided under the State Medical Assistance Plan;
(2) Accept the Division's authorization for the provision of medical services on behalf of the recipient of medical assistance as the insurer's authorization for the provision of services covered under the insurer's health benefit plan; and
(3) Respond to the request for information within 30 working days after receipt of written proof of loss or claim for payment for health care services provided to a recipient of medical assistance who is covered by the insurer's health benefit plan.
(c) An insurer that complies with this section shall not be liable on that account in any civil or criminal action or proceedings brought by an individual covered under the insurer's health benefit plan, or the individual's beneficiaries."
SECTION 10.21.(b) G.S. 108A-70 reads as rewritten:
"§ 108A-70. Recoupment of amounts spent on medical care.
(a) The Department may garnish the wages, salary, or other employment income of, and the Secretary of Revenue shall withhold amounts from State tax refunds to, any person who:
(1) Is required by court or administrative order to provide health benefit plan coverage for the cost of health care services to a child eligible for medical assistance under Medicaid; and
(2) Has received payment from a third party for the costs of such services; but
(3) Has not used such payments to reimburse, as appropriate, either the other parent or guardian of the child or the provider of the services;
to the extent necessary to reimburse the Department for expenditures for such costs under this Part; provided, however, claims for current and past due child support shall take priority over any such claims for the costs of such services.
(b) To the extent that payment for covered services has been made under G.S. 108A-55 for health care items or services furnished to an individual, in any case where a third party has a legal liability to make payments, the Department of Health and Human Services is considered to have acquired the rights of the individual to payment by any other party for those health care items or services.
(c) The Department of Health and Human Services, Division of Medical Assistance, may request, receive, and use information obtained pursuant to G.S. 58-50-46 in order to enforce this section."
Requested by: Representatives Nye, Barnhart
VERIFICATION OF STATE RESIDENCY FOR MEDICAL ASSISTANCE
SECTION 10.21A.(a) G.S. 108A-24(6) reads as rewritten:
"(6) "Resident," unless otherwise defined by federal regulation, is a person who is living in North Carolina at the time of application with the intent to remain permanently or for an indefinite period; or who is a person who enters North Carolina seeking employment or with a job commitment. For purposes of Part 6 of this Article, a person is not a resident of this State if the person is determined ineligible for medical assistance benefits under G.S. 108A-55.3."
"§ 108A-55.3. Verification of State residency required for medical assistance.
(a) At the time of application for medical assistance benefits, the applicant shall provide satisfactory proof that the applicant is a resident of North Carolina and that the applicant is not maintaining a temporary residence or abode incident to receiving medical assistance under this Part.
(b) An applicant may meet the requirements of subsection (a) of this section by providing at least two of the following documents:
(1) A valid North Carolina drivers license.
(2) A current North Carolina rent or mortgage payment receipt or utility bill in the applicant's name with the applicant's current address.
(3) A valid North Carolina motor vehicle registration in the applicant's name and showing the applicant's current address.
(4) A document showing that the applicant is employed in this State.
(5) One or more documents proving that the applicant's domicile in a prior state of residency has been terminated.
(6) Tax records.
(7) A document showing that the applicant has registered with a public or private employment service in this State.
(8) Evidence that the applicant has enrolled the applicant's children in a public or private school or child care facility located in this State.
(9) Evidence that the applicant is receiving public assistance other than medical assistance in this State.
(10) Records from a health department located in this State.
(11) Evidence of other social or economic relationships with the State.
(c) For applicants, including those who are homeless, who declare under penalty of perjury that they do not have one of the verifying documents in subsection (b) of this section, any other evidence that verifies residence may be considered. However, a declaration, affidavit, or other statement from the applicant or another person that the applicant is a resident is insufficient in the absence of other credible evidence.
(d) The Division of Medical Assistance shall not provide payment for medical assistance provided to an applicant unless or until the applicant has met the requirements of this section.
(e) Unless otherwise provided for under Title 19 of the Social Security Act, a child under age 18 is a resident of the state where the child's parent or legal guardian is domiciled.
(f) This section does not apply to an applicant whose eligibility for medical assistance is excepted from State residency requirements under federal law."
Requested by: Representatives Nye, Insko, Barnhart
MEDICAID TRANSFER OF ASSETS POLICY APPLICABLE TO TRANSFER OF LIFE ESTATES
Federal transfer of assets policies to "income producing" real property under Title XIX, Section 1902(r)(2) of the Social Security Act shall become effective not earlier than October 1, 2001. Federal transfer of asset policies applied to real property excluded as tenancy-in-common, or as nonhomesite property made "income producing" in accordance with this subsection shall become effective not earlier than November 1, 2002. Federal transfer of asset policies applied to life estates in accordance with this subsection shall become effective not earlier than October 1, 2005.
Requested by: Representative Nye
MEDICAID ESTATE RECOVERY TO INCLUDE LIENS ON REAL PROPERTY
SECTION 10.21C.(a) G.S. 108A-70.5 reads as rewritten:
"§ 108A-70.5. Medicaid Estate Recovery Plan.
(a) There is established
in the Department of Health and Human Services, the Medicaid Estate Recovery
Plan, as required by the Omnibus Budget Reconciliation Act of 1993, to
recover from the estates of recipients of medical assistance an equitable
amount of the State and federal shares of the cost paid the recipient.1993.
The Department shall administer the program in accordance with applicable
federal law and regulations, including those under Title XIX of the Social
Security Act, 42 U.S.C. § 1396(p). To the extent allowed by section 1396(p)
of Title XIX of the Social Security Act, the Department may impose liens
against real property, including the home, of a recipient of medical
assistance.
(b) As used in this section:
(1) "Medical assistance" means medical care services paid for by the North Carolina Medicaid Program on behalf of the recipient:
a. If the
recipient of any age is receiving these medical care services as
an inpatient in a nursing facility, intermediate care facility for the mentally
retarded, or other medical institution, and cannot reasonably be expected to be
discharged to return home; or
b. If the
recipient is 55 years of age or older and is receiving these medical care
services, including related hospital care and prescription drugs, for nursing
facility services, personal care services, or home- and community-based
services.one or more of the following medical care services:
1. Nursing facility services.
2. Home and community-based services.
3. Hospital care and prescription drugs related to nursing facility services or home and community-based services.
4. Personal care services.
5. Medicare premiums.
6. Private duty nursing.
7. Home health aide services.
8. Home health therapy.
9. Speech pathology services.
10. Hospice services.
(2) "Estate" means all the real and personal property considered assets of the estate available for the discharge of debt pursuant to G.S. 28A-15-1.
(3) 'Home' means property in which a recipient has, or had immediately before or at the time of the recipient's death, an ownership interest or legal title to, consisting of the recipient's dwelling and the land used and operated in connection with the dwelling.
(c) The amount the
Department recovers from the estate of any recipient shall not exceed the
amount of medical assistance made on behalf of the recipient and shall be
recoverable only for medical care services prescribed in subsection (b) of this
section. The To the extent that allowable Medicaid claims are not
satisfied as a result of the execution of any liens held by the Department, the
Department is a fifth-class creditor, as prescribed in G.S. 28A-19-6,
for purposes of determining the order of claims against an estate; provided, however,
that judgments in favor of other fifth-class creditors docketed and in force
before the Department seeks recovery for medical assistance shall be paid prior
to recovery by the Department.
(d) The Department of
Health and Human Services shall adopt rules pursuant to Chapter 150B of the
General Statutes to implement the Plan, including rules to waive whole or
partial recovery when this recovery would be inequitable because it would
work an undue hardship or because it would not be administratively cost-effective
and rules to ensure that all recipients are notified that their estates are
subject to recovery at the time they become eligible to receive medical
assistance.
(e) Regarding trusts that contain the assets of an individual who is disabled as defined in Title 19 of Section 1014(a)(3) of the Social Security Act, as amended, if the trust is established and managed by a nonprofit association, to the extent that amounts remaining in the beneficiary's account upon the death of the beneficiary are not retained by the nonprofit association, the trust pays to the Department from these remaining amounts in the account an amount equal to the total amount of medical assistance paid on behalf of the beneficiary under the North Carolina Medicaid Program."
"§ 108A-70.6. Postponement of estate recovery required in cases of undue hardship.
(a) The Department shall postpone or waive estate recovery, including the execution of a lien in whole or in part, when the Department determines that the estate recovery or the execution of the lien would work an undue hardship to an heir or a beneficiary of the Medicaid recipient.
(b) A claim of undue hardship to an heir or beneficiary shall be made in writing to the Department within 30 days after the receipt of notification of the Medicaid lien or claim. The claim for hardship shall describe the financial circumstance of the heir or beneficiary and the basis for the claim.
(c) An undue hardship exists if:
(1) The property subject to the lien has a tax value less than or equal to thirty thousand dollars ($30,000);
(2) The property subject to the lien is the sole source of income for a surviving heir or beneficiary, and the loss of the net income derived from the property would result in the heir's or beneficiary's annual gross income to fall below one hundred percent (100%) of the federal poverty guidelines in the year in which the hardship is claimed; or
(3) The sale of the property would be required to satisfy the Department's claim, and all of the following conditions are met:
a. The heir or beneficiary resided in the decedent's home on a continual basis for at least 24 months immediately prior to the date of the recipient's death and the heir or beneficiary was using the property as a principal place of residence on the date of the recipient's death;
b. The heir or beneficiary has, from the time the Department first presents its claim for recovery against the deceased recipient's estate and after, annual gross income in the amount not exceeding one hundred fifty percent (150%) of the federal poverty income standard;
c. The heir or beneficiary owns no other real property or agrees to sell other real property in partial payment of the Department's claim; and
d. The heir or beneficiary owns other assets not exceeding a net value of thirty thousand dollars ($30,000).
"§ 108A-70.7. Notice of claim or lien.
(a) The Department shall provide each applicant for medical assistance, or the applicant's representative, written notice that:
(1) Receipt of medical assistance may result in a Medicaid claim or lien upon the recipient's estate, including the recipient's home, to recover costs paid on behalf of the recipient for medical assistance in accordance with G.S. 108A-70.5; and
(2) Receipt of medical assistance as an inpatient in a nursing facility, intermediate care facility for the mentally retarded, or other medical institution, when the recipient cannot reasonably be expected to be discharged to return home may result in a lien upon the recipient's home prior to the recipient's death in accordance with G.S. 108A-70.5.
(b) Notice under this section shall also explain the hardship conditions under which estate recovery, including the execution of a lien, may be postponed or waived.
"§ 108A-70.8. County departments of social services to provide information.
The Department may require the county department of social services administering medical assistance to gather and provide the Department with the information and administrative or legal assistance needed to recover medical assistance under G.S. 108A-70.5. The Department shall pay to the county department of social services an amount equal to twenty percent (20%) of the State share of recovery collected by the Department. The Department may withhold payments under this section for a county department's failure to comply with the Department's requirements under this section."
Requested by: Representatives Wright, Stam
MEDICAID WAIVER/TRANSFER OF ASSETS LOOK-BACK
SECTION 10.21D. The Department of Health and Human Services, Division of Medical Assistance, shall request a waiver from the Centers for Medicare and Medicaid Services (CMS) such that the look-back period for determining transfer of assets for the purpose of establishing or retaining eligibility for Medicaid may be increased from three years to five years and from five to eight years for purposes of estate recovery. If the waiver is granted, the Department shall implement the waiver. If the waiver is implemented, the increased look-back period shall apply to applications for establishing or retaining eligibility submitted on and after the effective date of the waiver. The Department shall report on the status of the waiver 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 not later than April 1, 2006.
Requested by: Representatives Insko, Barnhart
NC HEALTH CHOICE APPROPRIATIONS/CLAIMS PROCESSING
SECTION 10.22.(d) Effective July 1, 2007, G.S. 108A-70.20 reads as rewritten:
"§ 108A-70.20. Program established.
The Health Insurance Program for Children is established. The
Program shall be administered by the Department of Health and Human Services in
accordance with this Part and as required under Title XXI and related federal
rules and regulations. Administration of Program benefits and claims
processing shall be as provided under Part 5 of Article 3 of Chapter 135 of the
General Statutes."
SECTION 10.22.(e) G.S. 108A-70.21(b) and (d) read as rewritten:
"(b) Benefits. - Except as
otherwise provided for eligibility, fees, deductibles, copayments, and other
cost-sharing charges, health benefits coverage provided to children eligible
under the Program shall be equivalent to coverage provided for dependents under
the North Carolina Teachers' and State Employees' Comprehensive Major Medical
Plan, including optional prepaid plans. Prescription drug providers shall
accept as payment in full, for outpatient prescriptions filled, ninety percent
(90%) of the average wholesale price for the prescription drug or the amounts
published by the Centers for Medicare and Medicaid Services plus a dispensing
fee of five dollars and sixty cents ($5.60) per prescription for generic drugs
and four dollars ($4.00) per prescription for brand name drugs. All otherExcept
for dental care providers, health care providers providing services to
Program enrollees shall accept as payment in full for services rendered the
maximum allowable charges under the North Carolina Teachers' and State
Employees' Comprehensive Major Medical Plan State Medical Assistance
Program for services less any copayments assessed to enrollees under this
Part. Dental care providers providing services to Program enrollees shall
accept as payment in full for services rendered the maximum allowable charges
under the Teachers' and State Employees' Comprehensive Major Medical Plan for
services less any co-payments assessed to enrollees under this Part. No
child enrolled in the Plan's self-insured indemnity program shall be required
by the Plan to change health care providers as a result of being enrolled in
the Program.
In addition to the benefits provided under the Plan, the following services and supplies are covered under the Health Insurance Program for Children established under this Part:
(1) Dental: Oral examinations, teeth cleaning, and scaling twice during a 12-month period, full mouth X-rays once every 60 months, supplemental bitewing X-rays showing the back of the teeth once during a 12-month period, fluoride applications twice during a 12-month period, fluoride varnish, sealants, simple extractions, therapeutic pulpotomies, prefabricated stainless steel crowns, and routine fillings of amalgam or other tooth-colored filling material to restore diseased teeth. No benefits are to be provided for services under this subsection that are not performed by or upon the direction of a dentist, doctor, or other professional provider approved by the Plan nor for services and materials that do not meet the standards accepted by the American Dental Association.
(2) Vision: Scheduled routine eye examinations once every 12 months, eyeglass lenses or contact lenses once every 12 months, routine replacement of eyeglass frames once every 24 months, and optical supplies and solutions when needed. Optical services, supplies, and solutions must be obtained from licensed or certified ophthalmologists, optometrists, or optical dispensing laboratories. Eyeglass lenses are limited to single vision, bifocal, trifocal, or other complex lenses necessary for a Plan enrollee's visual welfare. Coverage for oversized lenses and frames, designer frames, photosensitive lenses, tinted contact lenses, blended lenses, progressive multifocal lenses, coated lenses, and laminated lenses is limited to the coverage for single vision, bifocal, trifocal, or other complex lenses provided by this subsection. Eyeglass frames are limited to those made of zylonite, metal, or a combination of zylonite and metal. All visual aids covered by this subsection require prior approval of the Plan. Upon prior approval by the Plan, refractions may be covered more often than once every 12 months.
(3) Hearing: Auditory diagnostic testing services and hearing aids and accessories when provided by a licensed or certified audiologist, otolaryngologist, or other hearing aid specialist approved by the Plan. Prior approval of the Plan is required for hearing aids, accessories, earmolds, repairs, loaners, and rental aids.
The Department may provide services to children aged birth through five years enrolled in the Program through the State Medical Assistance managed care program. Services provided through the managed care program shall be paid from Program funds.
…
(d) Cost-Sharing. - There shall be no deductibles, copayments, or other cost-sharing charges for families covered under the Program whose family income is at or below one hundred fifty percent (150%) of the federal poverty level, except that fees for outpatient prescription drugs are applicable and shall be one dollar ($1.00) for each outpatient generic prescription drug and for each outpatient brand-name prescription drug for which there is no generic substitution available. The fee for each outpatient brand-name prescription drug for which there is a generic substitution available is three dollars ($3.00). Families covered under the Program whose family income is above one hundred fifty percent (150%) of the federal poverty level shall be responsible for copayments to providers as follows:
(1) Five dollars ($5.00)
per child for each visit to a provider, except that there shall be no copayment
required for well-baby, well-child,well child or age-appropriate
immunization services;
(2) Five dollars ($5.00) per child for each outpatient hospital visit;
(3) A one dollar ($1.00) fee for each outpatient generic prescription drug and for each outpatient brand-name prescription drug for which there is no generic substitution available. The fee for each outpatient brand-name prescription drug for which there is a generic substitution available is ten dollars ($10.00).
(4) Twenty dollars ($20.00) for each emergency room visit unless:
a. The child is admitted to the hospital, or
b. No other reasonable care was available as determined by the Claims Processing Contractor of the North Carolina Teachers' and State Employees' Comprehensive Major Medical Plan.
Copayments required under this subsection for prescription drugs apply only to prescription drugs prescribed on an outpatient basis."
Requested by: Representatives Insko, Barnhart
LONG-TERM PLAN FOR MEETING MENTAL HEALTH, DEVELOPMENTAL DISABILITIES, AND SUBSTANCE ABUSE SERVICES NEEDS
(1) The services needed at the community level within each LME in order to ensure an adequate level of services to the average number of persons needing the services based on population projections.
(2) The full continuum of services needed for each disability group within an LME, including:
a. Which services could be regional or multi-LME based;
b. What percent of the population each LME would expect to use State-level facilities; and
c. An inventory of existing services within each LME for each disability group, and the gaps that exist;
(3) Projected growth in services for each disability group within each LME or region that can reasonably be managed over the ensuing five-year period; and
(4) Projected start-up costs and the total funding needed in each year from the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs to implement the long-range plan.
Funds shall not be transferred from the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs until the Secretary has consulted with the Joint Legislative Commission on Governmental Operations, the Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services, and the Chairs of the Senate Appropriations Committee on Health and Human Services and the House of Representatives Appropriations Subcommittee on Health and Human Services.
Requested by: Representatives Insko, Barnhart
COMPREHENSIVE TREATMENT SERVICES PROGRAM
(1) Behavioral health screening for all children at risk of institutionalization or other out-of-home placement.
(2) Appropriate and medically necessary residential and nonresidential services for deaf children.
(3) Appropriate and medically necessary residential and nonresidential treatment services, including placements for sexually aggressive youth.
(4) Appropriate and medically necessary residential and nonresidential treatment services, including placements for youths needing substance abuse treatment services and children with serious emotional disturbances.
(5) Multidisciplinary case management services, as needed.
(6) A system of utilization review specific to the nature and design of the Program.
(7) Mechanisms to ensure that children are not placed in department of social services custody for the purpose of obtaining mental health residential treatment services.
(8) Mechanisms to maximize current State and local funds and to expand use of Medicaid funds to accomplish the intent of this Program.
(9) Other appropriate components to accomplish the Program's purpose.
(10) The Secretary of the Department of Health and Human Services may enter into contracts with residential service providers.
(11) A system of identifying and tracking children placed outside of the family unit in group homes, therapeutic foster care home settings, and other out-of-home placements.
SECTION 10.25.(b) In order to ensure that children at risk for institutionalization or other out-of-home placement are appropriately served by the mental health, developmental disabilities, and substance abuse services system, the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, shall do the following with respect to services provided to these children:
(1) Provide only those treatment services that are medically necessary.
(2) Implement utilization review of services provided.
(3) Adopt the following guiding principles for the provision of services:
a. Service delivery system must be outcome-oriented and evaluation-based.
b. Services should be delivered as close as possible to the child's home.
c. Services selected should be those that are most efficient in terms of cost and effectiveness.
d. Services should not be provided solely for the convenience of the provider or the client.
e. Families and consumers should be involved in decision making throughout treatment planning and delivery.
(4) Implement all of the following cost-reduction strategies:
a. Preauthorization for all services except emergency services.
b. Levels of care to assist in the development of treatment plans.
c. Clinically appropriate services.
SECTION 10.25.(c) The Department shall collaborate with other affected State agencies such as the Department of Juvenile Justice and Delinquency Prevention, the Department of Public Instruction, the Administrative Office of the Courts, and with local departments of social services, area mental health programs, and local education agencies to eliminate cost shifting and facilitate cost-sharing among these governmental agencies with respect to the treatment and placement services.
SECTION 10.25.(d) The Department shall not allocate funds appropriated for Program services until a Memorandum of Agreement has been executed between the Department of Health and Human Services, the Department of Public Instruction, and other affected State agencies. The Memorandum of Agreement shall address specifically the roles and responsibilities of the various departmental divisions and affected State agencies involved in the administration, financing, care, and placement of children at risk of institutionalization or other out-of-home placement. The Department shall not allocate funds appropriated in this act for the Program until Memoranda of Agreement between local departments of social services, area mental health programs, local education agencies, and the Administrative Office of the Courts and the Department of Juvenile Justice and Delinquency Prevention, as appropriate, are executed to effectuate the purpose of the Program. The Memoranda of Agreement shall address issues pertinent to local implementation of the Program, including provision for the immediate availability of student records to a local school administrative unit receiving a child placed in a residential setting outside the child's home county.
SECTION 10.25.(e) Notwithstanding any other provision of law to the contrary, services under the Comprehensive Treatment Services Program are not an entitlement for non-Medicaid eligible children served by the Program.
SECTION 10.25.(f) Of the funds appropriated in this act for the Comprehensive Treatment Services Program, the Department of Health and Human Services shall establish a reserve of three percent (3%) to ensure availability of these funds to address specialized needs for children with unique or highly complex problems.
SECTION 10.25.(g) The Department of Health and Human Services, in conjunction with the Department of Juvenile Justice and Delinquency Prevention, the Department of Public Instruction, and other affected agencies, shall report on the following Program information:
(1) The number and other demographic information of children served.
(2) The amount and source of funds expended to implement the Program.
(3) Information regarding the number of children screened, specific placement of children, including the placement of children in programs or facilities outside of the child's home county, and treatment needs of children served.
(4) The average length of stay in residential treatment, transition, and return to home.
(5) The number of children diverted from institutions or other out-of-home placements such as training schools and State psychiatric hospitals and a description of the services provided.
(6) Recommendations on other areas of the Program that need to be improved.
(7) Other information relevant to successful implementation of the Program.
SECTION 10.25.(h) The Department shall submit a report on December 1, 2005, on the implementation of this section and a final report not later than April 1, 2006, to the House of Representatives Appropriations Subcommittee on Health and Human Services, the Senate Appropriations Committee on Health and Human Services, the Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services, and the Fiscal Research Division.
Requested by: Representatives Insko, Barnhart
CHILD AND FAMILY TEAMS/INTEGRATED SERVICES PROGRAM FOR childREN AND FAMILIES
(1) One child, one team, one plan; and
(2) A child "at risk" may enter the system of care through any participating agency.
(3) Services shall be:
a. Specified in one unified Child and Family Plan that is outcome-oriented and evaluation-based;
b. Planned, delivered, and monitored through one unified School- or Community-Based Child and Family Team;
c. Delivered as close as possible to the child's home;
d. The most efficient in terms of cost and effectiveness;
e. 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
f. Families and consumers shall be involved in decision making throughout service planning, delivery, and monitoring.
The Council shall meet at least quarterly to:
(1) Develop a memorandum of agreement (MOA) to be reviewed and signed annually among the named State agencies to define the purposes of the program and to ensure that program goals are accomplished.
(2) Work with local collaboratives or councils to develop a local MOA.
(3) Develop a plan and time line for implementation of school-based child and family teams.
(4) Respond to and resolve State policy issues identified at the local level which interfere with effective implementation of the Program.
(5) Direct the integration of resources as needed to meet goals.
(6) Ensure appropriate outcomes.
(7) Establish criteria for defining success in local programs.
(8) Review progress made on integrating policies and resources across State agencies, reaching definitive child and family outcomes, and accomplishing other goals.
(9) 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.
In accordance with the local MOA, each local committee shall develop a plan for integrating children's services. The plan shall include:
(1) Specified outcomes;
(2) Implementation process, including milestones;
(3) Program organization and agency responsibilities;
(4) Criteria for measuring program success;
(5) Reporting requirements;
(6) Administrative and technology support requirements;
(7) Training requirements;
(8) Resources requirements;
(9) Time periods in which the specified services must be provided; and
(10) Defined commitments of staff leadership and time across agencies and at multiple levels.
The plan shall be implemented in each county using all available resources.
(1) Provide only those services that are known to be effective based upon research or national standards of best practices.
(2) Develop a set of outcomes that are shared across affected State agencies to measure children's progress in home, school, and community settings.
(3) Implement utilization review of services provided across affected State agencies to ensure that children's needs are met.
(4) Named State agencies, local departments of social services, local management entities and their provider communities, and local education agencies shall eliminate cost shifting and shall facilitate cost-sharing among governmental agencies with respect to service development, service delivery, and monitoring for Program children and their families.
(1) The number and other demographic information of children served.
(2) The amount and source of funds expended to implement the Program.
(3) Information regarding how families and consumers are involved in decision making throughout service planning, delivery, and monitoring.
(4) Information regarding the number of children screened, specific placement of children, including the placement of children in programs or facilities outside of the child's home, outside the child's county, and service needs of children served.
(5) The average length of stay in residential treatment, transition, and return to home.
(6) The number of children diverted from institutions or other out-of-home placements such as detention, Youth Development Centers, State psychiatric hospitals, those diverted from the custody of the department of social services because of unmet behavioral health needs, and a description of the services provided.
(7) Recommendations on other areas of the Program that need improvement.
(8) Efficiencies created by implementing the Program.
(9) Other information relevant to successful implementation of the Program.
Requested by: Representatives Insko, Barnhart
SERVICES TO MULTIPLY DIAGNOSED ADULTS
(1) Implement the following guiding principles for the provision of services:
a. Service delivery system must be outcome-oriented and evaluation-based.
b. Services should be delivered as close as possible to the consumer's home.
c. Services selected should be those that are most efficient in terms of cost and effectiveness.
d. Services should not be provided solely for the convenience of the provider or the client.
e. Families and consumers should be involved in decision making throughout treatment planning and delivery.
(2) Provide those treatment services that are medically necessary.
(3) Implement utilization review of services provided.
SECTION 10.26.(b) The Department of Health and Human Services shall implement all of the following cost-reduction strategies:
(1) Preauthorization for all services except emergency services.
(2) Criteria for determining medical necessity.
(3) Clinically appropriate services.
SECTION 10.26.(c) No State funds shall be used for the purchase of single-family or other residential dwellings to house multiply diagnosed adults.
SECTION 10.26.(d) The Department shall submit a progress report on implementation of this section not later than February 1, 2006, and a final report not later than May 1, 2006, to the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, the Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services, and the Fiscal Research Division.
Requested by: Representatives Insko, Barnhart
EXTEND MENTAL HEALTH CONSUMER ADVOCACY PROGRAM CONTINGENT UPON FUNDS APPROPRIATED BY THE 2007 GENERAL ASSEMBLY
"SECTION 4. Sections 1.1 through 1.21(b) of this
act become effective July 1, 2002. Section 2 of this act becomes effective
only if funds are appropriated by the 2005 General Assembly for
that purpose. Section 2 of this act becomes effective July 1 of the fiscal
year for which funds are appropriated by the 2005 General Assembly for
that purpose. The remainder of this act is effective when it becomes law."
Requested by: Representatives Insko, Barnhart
TRANSITION PLANNING FOR STATE PSYCHIATRIC HOSPITALS
(1) Individuals shall be provided acute psychiatric care in non-State facilities when appropriate.
(2) Individuals shall be provided acute psychiatric care in State facilities only when non-State facilities are unavailable.
(3) Individuals shall receive evidenced-based psychiatric services and care that are cost-efficient.
(4) The State shall minimize cost shifting to other State and local facilities or institutions.
SECTION 10.28.(b) The Department of Health and Human Services shall conduct an analysis of the individual patient service needs and shall develop and implement an individual transition plan, as appropriate, for patients in each hospital. The State shall ensure that each individual transition plan, as appropriate, shall take into consideration the availability of appropriate alternative placements based on the needs of the patient and within resources available for the mental health, developmental disabilities, and substance abuse services system. In developing each plan, the Department shall consult with the patient and the patient's family or other legal representative.
SECTION 10.28.(c) In accordance with the plan established in subsections (a) and (b) of this section, any nonrecurring savings in State appropriations that result from reductions in beds or services shall be placed in the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs. These funds shall be used to facilitate the transition of clients into appropriate community-based services and supports in accordance with G.S. 143-15.3D. Recurring savings realized through implementation of this section shall be retained by the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, (i) for implementation of subsections (a) and (b) of this section and (ii) to support the recurring costs of additional community-based placements from Division facilities in accordance with Olmstead vs. L.C. & E.W.
SECTION 10.28.(d) The Department of Health and Human Services shall submit reports on the status of implementation of this section to the Joint Legislative Commission on Governmental Operations, the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, the Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services, and the Fiscal Research Division. These reports shall be submitted on December 1, 2005, and May 1, 2006.
Requested by: Representatives Insko, Barnhart
MENTAL RETARDATION CENTER DOWNSIZING
SECTION 10.29.(a) In accordance with the Department of Health and Human Services' plan for mental health, developmental disabilities, and substance abuse services system reform, the Department shall ensure that the downsizing of the State's regional mental retardation facilities is continuously based upon residents' needs and the availability of community-based services with a targeted goal of four percent (4%) each year. The Department shall implement cost-containment and reduction strategies to ensure the corresponding financial and staff downsizing of each facility. The Department shall manage the client population of the mental retardation centers in order to ensure that placements for ICF/MR level of care shall be made in non-State facilities. Admissions to State ICF/MR facilities are permitted only as a last resort and only upon approval of the Department. The corresponding budgets for each of the State mental retardation centers shall be reduced, and positions shall be eliminated as the census of each facility decreases. At no time shall mental retardation center positions be transferred to other units within a facility or assigned nondirect care activities such as outreach.
SECTION 10.29.(b) The Department of Health and Human Services shall apply any savings in State appropriations in each year of the 2005-2007 fiscal biennium that result from reductions in beds or services as follows:
(1) The Department shall place nonrecurring savings in the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs and use the savings to facilitate the transition of clients into appropriate community-based services and support in accordance with G.S. 143-15.3D;
(2) The Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, shall retain recurring savings realized through implementation of this section to support the recurring costs of additional community-based placements from Division facilities in accordance with Olmstead vs. L.C. & E.W. In determining the savings in this section, savings shall include all savings realized from the downsizing of the State mental retardation centers, including the savings in direct State appropriations in the budgets of the State mental retardation centers; and
(3) The Department of Health and Human Services, Division of Medical Assistance, shall transfer any recurring Medicaid savings resulting from the downsizing of State-operated MR centers from the ICF-MR line in Medicaid to the CAP-MR/DD line.
SECTION 10.29.(c) Notwithstanding G.S. 122C-181(c), the Secretary of Health and Human Services shall close one mental retardation center effective July 1, 2006. The Department of Health and Human Services shall maintain downsizing of other mental retardation centers occurring in the 2005-2006 fiscal year for the 2006-2007 fiscal year. The Department shall accomplish downsizing in accordance with this section and the State Plan for Mental Health, Developmental Disabilities, and Substance Abuse Services. The Department shall use all savings resulting from downsizing occurring on and after July 1, 2005, as set forth in subsection (b) of this section.
SECTION 10.29.(d) The Department of Health and Human Services shall report on its progress in complying with this section to the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division. The Department shall submit the progress report no later than January 15, 2006, and submit a final report no later than May 1, 2006.
Requested by: Representatives Insko, Barnhart
PRIVATE AGENCY UNIFORM COSt-FINDING REQUIREMENT
SECTION 10.30. G.S. 122C-147.2 reads as rewritten:
"§ 122C-147.2. Purchase of services and reimbursement rates.
(a) When funds are used to purchase services, the following provisions apply:
(1) Reimbursement rates
for specific types of service shall be negotiated between the Secretary and the
area authority. The negotiation shall begin with the rate determined by the a
standardized cost-finding and rate-setting procedure that is required by
G.S. 122C-143.2(a) or by another method approved by the Secretary.
(2) The reimbursement rate used for the payment of services shall incorporate operating and administrative costs, including costs for property in accordance with G.S. 122C-147.
(b) To ensure uniformity in rates charged to area programs and funded with State-allocated resources, the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services of the Department of Health and Human Services may require a private agency that provides services under contract with an area program or county program, except for hospital services that have an established Medicaid rate, to complete an agency-wide uniform cost finding in accordance with subsection (a) of this section. The resulting cost shall be the maximum included for the private agency in the contracting area program's unit cost finding. If a private agency fails to timely and accurately complete the required agency-wide uniform cost finding in a manner acceptable to the Department's controller's office, the Department may suspend all Department funding and payment to the private agency until such time as an acceptable cost finding has been completed by the private agency and approved by the Department's controller's office."
Requested by: Representatives Insko, Barnhart
DHHS POLICIES AND PROCEDURES IN DELIVERING COMMUNITY MENTAL HEALTH, DEVELOPMENTAL DISABILITIES, AND SUBSTANCE ABUSE SERVICES
(1) The provision of services to adults and children as defined in the Mental Health System Reform State Plan as priority or targeted populations.
(2) A revised system of allocating State and federal funds to area mental health authorities and county programs that reflects projected needs, including the impact of system reform efforts rather than historical allocation practices and spending patterns.
(3) The provision of services to children not deemed eligible for the Comprehensive Treatment Services Program for Children, but who would otherwise be in need of medically necessary treatment services to prevent out-of-home placement.
(4) The provision of services in the community to adults remaining in and being placed in State institutions addressed in Olmstead v. L.C. & E.W.
Area mental health, developmental disabilities, and substance abuse services authorities and county programs shall use all funds appropriated for and necessary to provide mental health, developmental disabilities, and substance abuse services to meet the need for these services.
The Department, in consultation with the area mental health authorities and county programs, 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 Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services on the progress in implementing these changes. The report shall be submitted on October 1, 2005, and February 1, 2006.
Requested by: Representatives Insko, Barnhart
RULES PERTAINING TO CONFLICT OF INTEREST IN REFERRALS TO PROVIDER AGENCIES
SECTION 10.33. G.S. 122C-26 reads as rewritten:
"§ 122C-26. Powers of the Commission.
In addition to other powers and duties, the Commission shall exercise the following powers and duties:
(1) Adopt, amend, and repeal rules consistent with the laws of this State and the laws and regulations of the federal government to implement the provisions and purposes of this Article;
(2) Issue declaratory rulings needed to implement the provisions and purposes of this Article;
(3) Adopt rules governing appeals of decisions to approve or deny licensure under this Article;
(4) Adopt rules for the waiver of rules adopted under this Article; and
(5) Adopt rules applicable to facilities licensed under this Article:
a. Establishing personnel requirements of staff employed in facilities;
b. Establishing qualifications of facility administrators or directors;
c.
Establishing requirements for death reporting including confidentiality
provisions related to death reporting; and
d.
Establishing requirements for patient advocates. advocates; and
e. Providing that facility personnel that have a pecuniary interest in any provider agency that provides services to facility clients may not refer facility clients to provider agencies."
Requested by: Representatives Insko, Barnhart
LEGISLATIVE OVERSIGHT COMMITTEE ON MENTAL HEALTH, DEVELOPMENTAL DISABILITIES, AND SUBSTANCE ABUSE SERVICES TO STUDY OVERSIGHT AND MONITORING BY DEPARTMENT OF HEALTH AND HUMAN SERVICES OF SERVICES TO MENTAL HEALTH CONSUMERS
Requested by: Representative Insko
APPEALS PROCESS FOR CLIENTS OF MENTAL HEALTH, DEVELOPMENTAL DISABILITIES, AND SUBSTANCE ABUSE SERVICES PROGRAMS
SECTION 10.35. G.S. 122C-151.2 reads as rewritten:
"§ 122C-151.2.
Appeal by area authorities and county programs.programs; rules
governing appeals process for clients of area authorities or county programs.
(a) The area authority or county program may appeal to the Commission any action regarding rules under the jurisdiction of the Commission or rules under the joint jurisdiction of the Commission and the Secretary.
(b) The area authority or county program may appeal to the Secretary any action regarding rules under the jurisdiction of the Secretary.
(b1) The Commission shall adopt rules governing an appeals process for clients to the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services and the Secretary. The appeals process shall ensure that area authority and county program services meet the requirements of applicable statutes and the rules of the Commission and the Secretary.
(b2) By January 1, 2006, the Department of Health and Human Services shall consult with the State Consumers and Families Advisory Council to develop and implement a standardized appeals process to be followed by each local management entity (LME). The appeals process shall include a requirement that the LMEs inform each client of the client's right to complain directly to the State Office of Consumer Empowerment and Customer Services in the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services.
(c) Appeals shall be conducted according to rules adopted by the Commission and Secretary and in accordance with Chapter 150B of the General Statutes."
Requested by: Representatives Insko, Barnhart
DHHS STUDY OF ACCREDITATION OF RESIDENTIAL TREATMENT FACILITIES
(1) The financial and other impact accreditation will have on the facilities affected.
(2) The feasibility of developing an alternative to accreditation for small facilities.
(3) The potential for a reduction in the number of visits required by a local management entity if a residential facility were accredited.
(4) Review of accreditation requirements of other states.
(5) Cost of accreditation to the State and affected providers.
(6) The specific requirements to meet accreditation.
Requested by: Representatives Insko, Barnhart
(1) To expand the outreach capacity of senior centers to reach unserved or underserved areas; or
(2) To provide start-up funds for new senior centers.
All of these funds shall be allocated by October 1 of each fiscal year.
SECTION 10.37.(b) Prior to funds being allocated pursuant to this section for start-up funds for a new senior center, the county commissioners of the county in which the new center will be located shall:
(1) Formally endorse the need for such a center;
(2) Formally agree on the sponsoring agency for the center; and
(3) Make a formal commitment to use local funds to support the ongoing operation of the center.
SECTION 10.37.(c) State funding shall not exceed seventy-five percent (75%) of reimbursable costs.
Requested by: Representatives Insko, Barnhart
STATE-COUNTY SPECIAL ASSISTANCE
SECTION 10.38.(b) Effective October 1, 2005, the maximum monthly rate for residents in adult care home facilities shall be one thousand one hundred twenty-four dollars ($1,124) per month per resident unless adjusted by the Department in accordance with subsection (e) of this section.
SECTION 10.38.(d) It is the intent of the General Assembly to protect individuals who meet current eligibility standards for State-County Special Assistance from becoming disenfranchised from the program as a result of any changes proposed in this section. Therefore, subject to any necessary approvals by the Center for Medicare & Medicaid Services (CMS), the eligibility of Special Assistance recipients who resided in adult care homes on September 30, 2003, and remain continuously eligible shall not be affected by an income reduction in the Special Assistance eligibility criteria, providing these recipients are otherwise eligible. The maximum monthly rate for these residents in adult care home facilities shall be one thousand ninety-one dollars ($1,091) per month per resident.
SECTION 10.38.(e) Notwithstanding any other provision of this section, the Department of Health and Human Services shall review activities and costs related to the provision of care in adult care homes and shall determine what costs may be considered to properly maximize allowable reimbursement available through Medicaid personal care services for adult care homes (ACH-PCS) under federal law. As determined, and with any necessary approval from the Centers for Medicare and Medicaid Services (CMS), and the approval of the Office of State Budget and Management, the Department may transfer necessary funds from the State-County Special Assistance program within the Division of Social Services to the Division of Medical Assistance and may use those funds as State match to draw down federal matching funds to pay for such activities and costs under Medicaid's personal care services for adult care homes (ACH-PCS), thus maximizing available federal funds. The established rate for State-County Special Assistance set forth in subsections (b) and (c) of this section shall be adjusted by the Department to reflect any transfer of funds from the Division of Social Services to the Division of Medical Assistance and related transfer costs and responsibilities from State-County Special Assistance to the Medicaid personal care services for adult care homes (ACH-PCS). Such rate adjustments to the Special Assistance rate shall be effective with the effective date of increased reimbursement under ACH-PCS. The Division of Medical Assistance shall apply income disregards for current recipients such that cost and rate adjustments made under this subsection do not render otherwise eligible recipients ineligible for services. In no event shall the reimbursement for services through the ACH-PCS exceed the average cost of such services as determined by the Department from review of cost reports as required and submitted by adult care homes. The Department shall report any transfers of funds and modifications of rates 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.
Subsequent to approval by CMS under this subsection, the maximum value of an income disregard may be increased by the amount of any reduction in the Special Assistance rate authorized under this section, plus the amount calculated by the annual cost-of-living adjustment factor applied to Supplemental Security Income and Social Security Benefits, rounded up to the nearest dollar.
The effective date of an income disregard approved under this subsection shall be the first day of the third month following approval by CMS.
Requested by: Representatives Insko, Barnhart
SECTION 10.39.(b) The Department shall report on or before January 1, 2006, and on or before January 1, 2007, to the cochairs of the House of Representatives Appropriations Committee, the House of Representatives Appropriations Subcommittee on Health and Human Services, the cochairs of the Senate Appropriations Committee, and the cochairs of the Senate Appropriations Committee on Health and Human Services. This report shall include the following information:
(1) A description of cost savings that result from allowing individuals eligible for State-County Special Assistance the option of remaining in the home.
(2) A complete fiscal analysis of the in-home option to include all federal, State, and local funds expended.
(3) How much case management is needed and which types of individuals are most in need of case management.
(4) The geographic location of individuals receiving payments under this section.
(5) A description of the services purchased with these payments.
(6) A description of the income levels of individuals who receive payments under this section and the impact on the Medicaid program.
(7) Findings and recommendations as to the feasibility of continuing or expanding the in-home program.
(8) The level and quantity of services (including personal care services) provided to the demonstration project participants compared to the level and quantity of services for residents in adult care homes.
SECTION 10.39.(c) The Department shall incorporate data collection tools designed to compare quality of life among institutionalized versus noninstitutionalized populations (i.e., an individual's perception of his or her own health and well-being, years of healthy life, and activity limitations). To the extent national standards are available, the Department shall utilize those standards.
Requested by: Representatives Insko, Barnhart
LICENSURE OF RESIDENTIAL TREATMENT FACILITIES
"§ 122C-23.1. Licensure of residential treatment facilities.
The General Assembly finds:
(1) That much of the care for residential treatment facility residents is paid by the State and the counties;
(2) That the cost to the State for care for residents of residential treatment facilities is substantial, and high vacancy rates in residential treatment facilities further increase the cost of care;
(3) That the proliferation of residential treatment facilities results in costly duplication and underuse of facilities and may result in lower quality service;
(4) There is currently no ongoing relationship between some applicants for licensure and local management entities (LMEs) that are responsible for the placement of children and adults in residential treatment facilities; and
(5) That it is necessary to protect the general welfare and lives, health, and property of the people of the State for the local management entity (LME) to verify that additional beds are needed in the LME's catchment area before new residential treatment facilities are licensed. This process is established to ensure that unnecessary costs to the State do not result, residential treatment facility beds are available where needed, and that individuals who need care in residential treatment facilities may have access to quality care.
Based on these findings, the Department of Health and Human Services may license new residential treatment facilities if the applicant for licensure submits with the application a letter of support obtained from the local management entity in whose catchment area the facility will be located. The letter of support shall be submitted to the Department of Health and Human Services, Division of Facility Services and Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, and shall specify the number of existing beds in the same type of facility in the catchment area and the projected need for additional beds of the same type of facility. As used in this subsection, "residential treatment facility" means a "residential facility" as defined in and licensed under this Chapter, but not subject to Certificate of Need requirements under Article 9 of Chapter 131E of the General Statutes.
Requested by: Representatives Insko, Barnhart, Clary
REGULATORY CHANGES TO IMPROVE QUALITY AND SAFETY IN HOME CARE SERVICES, MENTaL HEALTH FACILITIES, ADULT CARE HOMES, AND CERTAIN HOSPITAL FACILITIES
SECTION 10.40A.(a) G.S. 131E-140(b) reads as rewritten:
"§ 131E-140. Rules and enforcement.
…
(b) The Department shall
enforce the rules adopted or amended by the Commission with respect to home
care agencies.agencies and shall conduct an inspection of each agency
at least every three years."
SECTION 10.40A.(b) G.S. 122C-23(e) reads as rewritten:
"§ 122C-23. Licensure.
…
(e) Unless a license is provisional or has been suspended or revoked, it shall be valid for a period not to exceed two years from the date of issue. The expiration date of a license shall be specified on the license when issued. Renewal of a regular license is contingent upon receipt of information required by the Secretary for renewal and continued compliance with this Article and the rules of the Commission and the Secretary. Licenses for facilities that have not served any clients during the previous 12 months are not eligible for renewal."
SECTION 10.40A.(c) G.S. 122C-25(a) reads as rewritten:
"§ 122C-25. Inspections; confidentiality.
(a) The Secretary shall make or cause to be made inspections that the Secretary considers necessary. Facilities licensed under this Article shall be subject to inspection at all times by the Secretary. All residential facilities as defined in G.S. 122C-3(14)e. shall be inspected on an annual basis. The Division of Facility Services may conduct routine, follow-up, and complaint-generated inspections more frequently as needed to ensure compliance with health and safety requirements.
…"
SECTION 10.40A.(d) G.S. 122C-25 is amended by adding the following new subsection to read:
"(d) All residential facilities, as defined in G.S. 122C-3(14)e. shall ensure that the DHHS Care Line number is posted conspicuously in a public place in the facility."
SECTION 10.40A.(e) G.S. 131D-2 is amended by adding the following new subsection to read:
"(j) Adult care homes shall post the DHHS Care Line number conspicuously in a public place in the facility."
SECTION 10.40A.(f) G.S. 131D-2(b)(1a) reads as rewritten:
"§ 131D-2. Licensing of adult care homes for the aged and disabled.
…
(b) Licensure; inspections. -
…
(1a) The Division of Facility Services shall inspect all adult care homes and adult care units in nursing homes on an annual basis and may conduct routine, follow-up, and complaint-generated inspections more frequently as needed to ensure compliance with health and safety requirements. In addition to the licensing and inspection requirements mandated by subdivision (1) of this subsection, the Department shall ensure that adult care homes required to be licensed by this Article are monitored for licensure compliance on a regular basis. In carrying out this requirement, the Department shall work with county departments of social services to do the routine monitoring and to have the Division of Facility Services oversee this monitoring and perform any follow-up inspection called for. The Department shall monitor regularly the enforcement of rules pertaining to air circulation, ventilation, and room temperature in resident living quarters. These rules shall include the requirement that air conditioning or at least one fan per resident bedroom and living and dining areas be provided when the temperature in the main center corridor exceeds 80 degrees Fahrenheit. The Department shall also keep an up-to-date directory of all persons who are administrators as defined in subdivision (1a) of subsection (a) of this section."
SECTION 10.40A.(g) G.S. 131D-2(b)(1a) reads as rewritten:
"(1a) In addition to the licensing and inspection requirements mandated by subdivision (1) of this subsection, the Department shall ensure that adult care homes required to be licensed by this Article are monitored for licensure compliance on a regular basis. In carrying out this requirement, the Department shall work with county departments of social services to do the routine monitoring and to have the Division of Facility Services oversee this monitoring and perform any follow-up inspection called for. In addition, the Department shall ensure that adult care homes are inspected every two years to determine compliance with physical plant and life-safety requirements. The Department shall monitor regularly the enforcement of rules pertaining to air circulation, ventilation, and room temperature in resident living quarters. These rules shall include the requirement that air conditioning or at least one fan per resident bedroom and living and dining areas be provided when the temperature in the main center corridor exceeds 80 degrees Fahrenheit. The Department shall also keep an up-to-date directory of all persons who are administrators as defined in subdivision (1a) of subsection (a) of this section."
SECTION 10.40A.(h) G.S. 122C-21 reads as rewritten:
"§ 122C-21. Purpose.
The purpose of this Article is to provide for licensure of facilities for the mentally ill, developmentally disabled, and substance abusers by the development, establishment, and enforcement of basic rules governing:
(1) The provision of services to individuals who receive services from licensable facilities as defined by this Chapter, and
(2) The construction, maintenance, and operation of these licensable facilities that in the light of existing knowledge will ensure safe and adequate treatment of these individuals. The Department shall ensure that licensable facilities are inspected every two years to determine compliance with physical plant and life-safety requirements."
SECTION 10.40A.(i) G.S. 131E-140 reads as rewritten:
"§ 131E-140. Rules and enforcement.
(a) The Commission is
authorized to may adopt, amend and repeal all rules necessary for
the implementation of this Part. Part and Part 3A of Article 6 of this
Chapter. Provided, these rules shall not extend, modify, or limit the
licensing of individual health professionals by their respective licensing
boards; nor shall these rules in any way be construed to extend the appropriate
scope of practice of any individual health care provider.
(a1) The Commission shall adopt rules that recognize the different types of home care services and shall adopt specific requirements for the provision of each type of home care service.
(a2) The Commission shall adopt rules defining geographic service areas for in-home aide services and staffing qualifications for licensed home care agencies.
(a3) The Commission shall adopt rules prohibiting licensed home care agencies from hiring individuals listed on the Health Care Personnel Registry in accordance with G.S. 131E-256(a)(1).
(a4) The Commission shall adopt rules requiring applicants for home care licensure to receive training in the requirements for licensure, the licensure process, and the rules pertaining to the operation of a home care agency.
(b) The Department shall enforce the rules adopted or amended by the Commission with respect to home care agencies."
SECTION 10.40A.(j) G.S. 131E-136 reads as rewritten:
"§ 131E-136. Definitions.
As used in this Part, unless otherwise specified:
(1) "Commission" means the North Carolina Medical Care Commission.
(1a) "Geographic service area" means the geographic area in which a licensed agency provides home care services.
(2) "Home care agency" means a private or public organization that provides home care services.
(2a) "Home care agency director" means the person having administrative responsibility for the operation of the licensed agency site.
(2b) "Home care client" means an individual who receives home care services.
(3) "Home care services" means any of the following services and directly related medical supplies and appliances, which are provided to an individual in a place of temporary or permanent residence used as an individual's home:
a. Nursing care provided by or under the supervision of a registered nurse;
b. Physical, occupational, or speech therapy, when provided to an individual who also is receiving nursing services, or any other of these therapy services, in a place of temporary or permanent residence used as the individual's home;
c. Medical social services;
d. In-home aide services that involve hands-on care to an individual;
e. Infusion nursing services; and
f. Assistance with pulmonary care, pulmonary rehabilitation or ventilation.
The term does not include: health promotion, preventative health and community health services provided by public health departments; maternal and child health services provided by public health departments, by employees of the Department of Health and Human Services under G.S. 130A-124, or by developmental evaluation centers under contract with the Department of Health and Human Services to provide services under G.S. 130A-124; hospitals licensed under Article 5 of Chapter 131E of the General Statutes when providing follow-up care initiated to patients within six months after their discharge from the hospital; facilities and programs operated under the authority of G.S. 122C and providing services within the scope of G.S. 122C; schools, when providing services pursuant to Article 9 of Chapter 115C; the practice of midwifery by a person licensed under Article 10A of Chapter 90 of the General Statutes; hospices licensed under Article 10 of Chapter 131E of the General Statutes when providing care to a hospice patient; an individual who engages solely in providing his own services to other individuals; incidental health care provided by an employee of a physician licensed to practice medicine in North Carolina in the normal course of the physician's practice; or nursing registries if the registry discloses to a client or the client's responsible party, before providing any services, that (i) it is not a licensed home care agency, and (ii) it does not make any representations or guarantees concerning the training, supervision, or competence of the personnel provided.
(4) "Home health agency" means a home care agency which is certified to receive Medicare and Medicaid reimbursement for providing nursing care, therapy, medical social services, and home health aide services on a part-time, intermittent basis as set out in G.S. 131E-176(12), and is thereby also subject to Article 9 of Chapter 131E."
"Part 3A. Home Care Clients' Bill of Rights.
"§ 131E-144.1. Legislative intent.
It is the intent of the General Assembly to support an individual's desire to live at home and receive home care services.
"§ 131E-144.2. Definitions.
Unless otherwise specified, the definitions that are provided in Part 3 of Article 6 of this Chapter apply in this Part.
"§ 131E-144.3. Declaration of home care clients' rights.
Each client of a home care agency shall have the following rights:
(1) To be informed and participate in his or her plan of care.
(2) To be treated with respect, consideration, dignity, and full recognition of his or her individuality and right to privacy.
(3) To receive care and services that are adequate, appropriate, and in compliance with relevant federal and State laws and rules and regulations.
(4) To voice grievances about care and not be subjected to discrimination or reprisal for doing so.
(5) To have his or her personal and medical records kept confidential and not be disclosed without appropriate written consent.
(6) To be free of mental and physical abuse, neglect, and exploitation.
(7) To receive a written statement of services provided by the agency and the charges the client is liable for paying.
(8) To be informed of the process for acceptance and continuance of service and eligibility determination.
(9) To accept or refuse services.
(10) To be informed of the agency's on-call service.
(11) To be informed of supervisory accessibility and availability.
(12) To be advised of the agency's procedures for discharge.
(13) To receive a reasonable response to his or her requests of the agency.
(14) To be notified within 10 days when the agency's license has been revoked, suspended, canceled, annulled, withdrawn, recalled, or amended.
(15) To be advised of the agency's policies regarding patient responsibilities.
"§ 131E-144.4. Notice to client.
(a) During the agency's initial evaluation visit or before furnishing services, a home care agency shall provide each client with the following:
(1) A copy of the declaration of home care clients' rights.
(2) A copy of the agency's policies regarding client responsibilities as it relates to safety and care plan compliance.
(3) The address and telephone number for information, questions, or complaints about services provided by the agency.
(4) The address and telephone number of the section of the Department of Health and Human Services responsible for the enforcement of the provisions of this Part.
(b) Receipts for the declaration of home care clients' rights and contact information required in this section shall be signed by the client and shall be retained in the agency's files.
"§ 131E-144.5. Implementation.
Responsibility for implementing the provisions of this Part shall rest with the home care agency director. Each agency shall provide appropriate training to implement this Part.
"§ 131E-144.6. Enforcement and investigation.
(a) The Department of Health and Human Services shall be responsible for enforcing the provisions of this Part. The Department shall investigate complaints made to it and reply within a reasonable period of time, not to exceed 60 days.
(a1) When the Department of Health and Human Services receives a complaint alleging a violation of the provisions of this Part pertaining to client care or client safety, the Department shall initiate an investigation as follows:
(1) Immediately upon receipt of the complaint if the complaint alleges a life-threatening situation.
(2) Within 24 hours if the complaint alleges abuse of a client as defined by G.S. 131D-20(1).
(3) Within 48 hours if the complaint alleges neglect of a client as defined by G.S. 131D-20(8).
(4) Within two weeks in all other situations.
The investigation shall be completed within 30 days. The requirements of this section are in addition to and not in lieu of any investigatory and reporting requirements for health care personnel pursuant to Article 15 of this Chapter, or for adult protective services pursuant to Article 6 of Chapter 108A of the General Statutes.
(b) A home care agency shall investigate, within 72 hours, complaints made to the agency by a home care client or the client's family and must document both the existence of the complaint and the resolution of the complaint.
"§ 131E-144.7. Confidentiality.
(a) The Department of Health and Human Services may to inspect home care clients' medical records maintained at the agency when necessary to investigate any alleged violation of this Part.
(b) The Department shall maintain the confidentiality of all persons who register complaints with the Department and of all medical records inspected by the Department. A person who has filed a complaint shall have access to information about a complaint investigation involving a specific home care client if written authorization is obtained from the client or legal representative."
SECTION 10.40A.(l) G.S. 131E-140 is amended by adding the following new subsection to read:
"(a1) The Commission shall adopt rules defining the scope of permissible advertising and promotional practice by home care agencies."
Requested by: Representative Earle
VALIDATE CERTAIN CERTIFICATES OF NEED
Requested by: Representatives Insko, Barnhart
USE OF UNLICENSED HEALTH CARE PERSONNEL TO PERFORM TECHNICAL ASPECTS OF MEDICATION ADMINISTRATION IN NURSING HOMES
"§ 131E-114.2. Use of unlicensed health care personnel to perform technical aspects of medication administration.
(a) Facilities licensed and medication administration services provided under this Part may utilize unlicensed health care personnel to perform the technical aspects of medication administration consistent with G.S. 90-171.20(7) and (8), and G.S. 90-171.43.
(b) The Commission shall adopt rules to implement this section. Rules adopted by the Commission shall include:
(1) Training and competency evaluation of medication aides as provided for under this section.
(2) Requirements for listing under the Medication Aide Registry as provided for under G.S. 131E-271.
(3) Requirements for supervision of medication aides by licensed health professionals or appropriately qualified supervisory personnel consistent with this Part."
"§ 90-171.56. Medication aide requirements.
The Board of Nursing shall do the following:
(1) Establish standards for faculty requirements for medication aide training; and
(2) Provide ongoing review and evaluation, and recommend changes, for faculty and medication aide training requirements to support safe medication administration and improve client, resident, and patient outcomes."
"§ 131E-270. Medication Aide Registry.
(a) The Department shall establish and maintain a Medication Aide Registry containing the names of all health care personnel in North Carolina who have successfully completed a medication aide training program that has been approved by the North Carolina Board of Nursing and successfully passed a State-administered medication aide competency exam."
Requested by: Representative Wright
DHHS and COMMUNITY COLLEGES STUDY USE OF MEDICATION AIDES to perform technical aspects of medication administration
SECTION 10.40D.(a) The Secretary of Health and Human Services and the President of the Community Colleges System shall jointly convene a study group to review and consider the use of medication aides to perform the technical aspects of medication administration. The study group shall consist of members representing at least the following entities and licensed health care facilities and providers:
(1) Appointed by the Secretary of Health and Human Services:
a. Adult care homes.
b. Home care agencies.
c. Ambulatory surgical centers.
d. Hospitals.
e. Facilities providing mental health, developmental disabilities, and substance abuse services.
f. Nursing homes.
g. The nursing profession, as recommended by the Board of Nursing.
(2) Community colleges appointed by the President of the Community Colleges System.
(3) The Secretary of the Department of Correction.
(4) Others as may be appointed by the Secretary of Health and Human Services or the President of the Community Colleges System.
SECTION 10.40D.(b) The study group shall address at least the following in its study and its recommendations regarding medication aide performance of the technical aspects of medication administration:
(1) Training and competency evaluation of medication aides;
(2) Training standards;
(3) Ongoing review and evaluation of medication aide training; and
(4) Requirements for supervision of medication aides.
SECTION 10.40D.(c) The Secretary of Health and Human Services and the President of the Community Colleges System shall report the progress and recommendations of the study group to the 2006 Regular Session of the 2005 General Assembly upon its convening, and the 2007 General Assembly upon its convening. Recommendations to the 2006 Regular Session of the 2005 General Assembly may include proposed legislation. A copy of the report shall be provided 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 at the same time as the report is submitted to the General Assembly.
SECTION 10.40D.(d) The Department of Health and Human Services shall continue its pilot program on the use of medication aides and shall report on the status of the pilot programs at the same time and to the same persons as the study group report to the General Assembly.
SECTION 10.40D.(f) G.S. 115C-47 is amended by adding the following new subdivision to read:
"§ 115C-47. Powers and duties generally.
In addition to the powers and duties designated in G.S. 115C-36, local boards of education shall have the power or duty:
…
(45) At the discretion of the board, to adopt policies and procedures authorizing schools that operate programs under G.S. 115C-307(c) to utilize unlicensed health care personnel to perform the technical aspects of medication administration to students. If adopted, the policies and procedures shall be consistent with the requirements of Article 9A of Chapter 90 of the General Statutes and shall include the following:
a. Training and competency evaluation of medication aides as provided for under G.S. 131E-270.
b. Requirements for listing under the Medication Aide Registry as provided for under G.S. 131E-271.
c. Requirements for supervision of medication aides by licensed health professionals or appropriately qualified supervisory personnel consistent with Articles 5, 6, 10, and 16 of Chapter 131E of the General Statutes."
Requested by: Representatives Insko, Barnhart
SOCIAL SERVICES COMMISSION TECHNICAL CORRECTION
SECTION 10.42. G.S. 108A-14(a)(8) reads as rewritten:
"§ 108A-14. Duties and responsibilities.
(a) The director of social services shall have the following duties and responsibilities:
…
(8) To supervise adult
care homes under the rules and regulations of the Social ServicesMedical
Care Commission;
…."
Requested by: Representatives Insko, Barnhart
CHILD SUPPORT PROGRAM/ENHANCED STANDARDS
(1) Cost per collections.
(2) Consumer satisfaction.
(3) Paternity establishments.
(4) Administrative costs.
(5) Orders established.
(6) Collections on arrearages.
(7) Location of absent parents.
(8) Other related performance measures.
The Department of Health and Human Services shall monitor the performance of each office and shall implement a system of reporting that allows each local office to review its performance as well as the performance of other local offices. The Department of Health and Human Services shall publish an annual performance report that shall include the statewide and local office performance of each child support office.
Requested by: Representatives Insko, Barnhart
Requested by: Representatives Insko, Barnhart
FOSTER CARE AND ADOPTION ASSISTANCE PAYMENTS
(1) $390.00 per child per month for children aged birth through 5;
(2) $440.00 per child per month for children aged 6 through 12; and
(3) $490.00 per child per month for children aged 13 through 18.
Of these amounts, fifteen dollars ($15.00) is a special needs allowance for the child.
SECTION 10.46.(b) The maximum rates for State participation in the adoption assistance program are established on a graduated scale as follows:
(1) $390.00 per child per month for children aged birth through 5;
(2) $440.00 per child per month for children aged 6 through 12; and
(3) $490.00 per child per month for children aged 13 through 18.
SECTION 10.46.(c) In addition to providing board payments to foster and adoptive families of HIV-infected children, as prescribed in Section 23.28 of Chapter 324 of the 1995 Session Laws, any additional funds remaining that were appropriated for this purpose shall be used to provide medical training in avoiding HIV transmission in the home.
SECTION 10.46.(d) The maximum rates for the State participation in HIV foster care and adoption assistance are established on a graduated scale as follows:
(1) $800.00 per child per month with indeterminate HIV status;
(2) $1,000 per child per month confirmed HIV-infected, asymptomatic;
(3) $1,200 per child per month confirmed HIV-infected, symptomatic; and
(4) $1,600 per child per month terminally ill with complex care needs.
Requested by: Representatives Insko, Barnhart
(1) A detailed evaluation of each child caring institution's cost allocation processes.
(2) A determination of whether the allocated costs are consistent in different agencies.
(3) A determination of the basis used for cost allocation by each agency.
(4) The methodology used to assign direct and indirect costs to specific child caring institution programs.
(5) A determination of whether the overhead charged is reasonable for that specific type of nonprofit, based on national surveys.
(6) A determination of how agency utilization rates impact the child caring institutions' cost allocation and subsequent State reimbursements.
(7) An examination of rate-setting methodologies used by other states and how North Carolina's payment to child caring institutions compare to other states.
(8) Recommendations on how to develop equitable, reasonable rates.
(9) An examination of the feasibility of providing child caring institutions with the opportunity to compete based on providing the best service at least cost.
The Office of the State Auditor shall report to the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division no later than March 1, 2006. The written report shall include copies of working papers developed during the course of the audit.
Requested by: Representatives Insko, Barnhart
SPECIAL CHILDREN ADOPTION FUND
SECTION 10.48.(a) Of the funds appropriated to the Department of Health and Human Services in this act, the sum of one hundred thousand dollars ($100,000) shall be used to support the Special Children Adoption Fund for the 2005-2006 fiscal year. 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. No local match shall be required as a condition for receipt of these funds. In accordance with State rules for allowable costs, the Special Children Adoption Fund may be used for post-adoption services for families whose income exceeds two hundred percent (200%) of the federal poverty level.
Requested by: Representatives Insko, Barnhart
STUDY TO IDENTIFY ADOPTION INCENTIVES FOR CHILDREN WHO ARE DIFFICULT TO PLACE
Requested by: Representatives Insko, Barnhart
LIMITATION ON STATE ABORTION FUND
Requested by: Representatives Insko, Barnhart
Requested by: Representatives Insko, Barnhart
Intensive Family Preservation Services Funding and Performance Enhancements
(1) An established follow-up system with a minimum of six months of follow-up services.
(2) Detailed information on the specific interventions applied including utilization indicators and performance measurement.
(3) Cost-benefit data.
(4) Data on long-term benefits associated with Intensive Family Preservation Services. This data shall be obtained by tracking families through the intervention process.
(5) The number of families remaining intact and the associated interventions while in IFPS and 12 months thereafter.
(6) The number and percentage by race of children who received Intensive Family Preservation Services compared to the ratio of their distribution in the general population involved with Child Protective Services.
Requested by: Representatives Insko, Barnhart
Requested by: Representatives Insko, Barnhart
There shall be no supplanting of local, State, or federal funds with these funds. Communities shall maintain their current level of effort and funding for school nurses. These funds shall not 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 Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division.
Requested by: Representatives Insko, Barnhart
EARLY INTERVENTION REPORTING AND EVALUATION
Requested by: Representatives Insko, Barnhart
EARLY INTERVENTION PROGRAM RULES ADOPTED BY COMMISSION FOR HEALTH SERVICES
"§ 130A-126. Rule-making authority for birth - three-year-old early intervention program.
The rule-making authority for the birth - three-year-old early intervention program through Part C of the Individuals with Disabilities Act (IDEA) is transferred from the Commission for Mental Health, Developmental Disabilities, and Substance Abuse Services to the Commission for Health Services."
Requested by: Representatives Insko, Barnhart
Children's Developmental Services Agency of the Smokies
Requested by: Representatives Insko, Barnhart
CHRONIC DISEASE PREVENTION ACTIVITIES INVENTORY
Requested by: Representatives Insko, Barnhart
PILOT PROGRAM FOR AUTOMATIC EXTERNAL DEFIBRILLATORS IN PUBLIC BUILDINGS
Requested by: Representatives Insko, Barnhart
(1) Outreach efforts at the State and local levels to improve service delivery of vaccines. Outreach efforts may include educational seminars, media advertising, support services to parents to enable children to be transported to clinics, longer operating hours for clinics, and mobile vaccine units.
(2) Continued development of an automated immunization registry.
SECTION 10.58.(b) Funds authorized to be used for immunization efforts under subsection (a) of this section shall not be used to fund additional State positions in the Department of Health and Human Services or contracts, except for contracts to develop an automated immunization registry or contracts with local health departments for outreach.
Requested by: Representatives Insko, Barnhart
SECTION 10.59.(a) For the 2005-2006 fiscal year and for the 2006-2007 fiscal year, HIV-positive individuals with incomes at or below one hundred twenty-five percent (125%) of the federal poverty level are eligible for participation in ADAP. Eligibility for participation in ADAP during the 2005-2007 fiscal biennium shall not be extended to individuals with incomes above one hundred twenty-five percent (125%) of the federal poverty level.
SECTION 10.59.(b) The Department of Health and Human Services shall make an interim report on ADAP program utilization by January 1, 2006, and a final report on ADAP program utilization by May 1, 2006, to the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, and the Fiscal Research Division on ADAP. The reports shall include ADAP program utilization as follows:
(1) Monthly data on total cumulative AIDS/HIV cases reported in North Carolina.
(2) Monthly data on the number of individuals who have applied to participate in ADAP that have been determined to be ineligible.
(3) Monthly data on the income level of participants in ADAP and of individuals who have applied to participate in ADAP who have been determined to be ineligible.
(4) Monthly data on fiscal year-to-date expenditures of ADAP. The interim report shall contain monthly data on the calendar year-to-date expenditures of ADAP.
(5) An update on the status of the information management system.
(6) Monthly data on ADAP usage patterns and demographics of participants in ADAP.
(7) Fiscal year-to-date budget information.
(8) The status of the new system of management for ADAP, the costs savings realized from the new system, and recommendations for improving the system.
Requested by: Representatives Insko, Barnhart
HEALTH INFORMATION SYSTEMS DEVELOPMENT FUNDS
Requested by: Representatives Insko, Barnhart
FUNDS FOR PILOT PROGRAM TO RECRUIT MINORITY STUDENTS INTO PHARMACY SCHOOLS
Requested by: Representatives Insko, Barnhart
Health-Related Initiatives Funds
Requested by: Representative Insko
Requested by: Representative Wright
Community-Focused Eliminating Health Disparities Initiative
SECTION 10.59E. Of funds appropriated in this act to the Department of Health and Human Services for the 2005-2006 fiscal year, the sum of five million dollars ($5,000,000) shall be allocated for the Community-Focused Eliminating Health Disparities Initiative (CFEHDI) to build capacity of faith-based and community-based organizations to close the gap in the health status of African-Americans, Hispanics/Latinos, and American Indians as compared to white persons. The areas of focus on health status shall be infant mortality, HIV-AIDS and sexually transmitted infections, cancer, diabetes, and homicides and motor vehicle deaths. These funds shall also be used to support one FTE in the Department of Health and Human Services to monitor, track, and evaluate grantees' progress in meeting performance-based standards and outcomes established by the Department.
Requested by: Representative
GOVERNOR'S VISION CARE PROGRAM ESTABLISHED
SECTION 10.59F.(a) Program established. - There is established in the Department of Health and Human Services, Division of Public Health, The Governor's Vision Care Program. The purpose of the Program is to provide funds for early detection and correction of vision problems in children enrolled in grades K through 3 who are eligible for services under the Program. These funds shall be allocated to reimburse optometrists and ophthalmologists licensed to practice in this State for the comprehensive eye examination, including necessary spectacles, provided to meet the requirements of G.S. 130A-440.1.
SECTION 10.59F.(b) Eligibility. - Children eligible for services under this section shall be those with a family income not exceeding two hundred fifty percent (250%) of the federal poverty level, who do not have private health insurance coverage, and are not eligible for services under NC Health Choice, Medicaid, the Department of Health and Human Services' Commission for the Blind programs, VSP's Sight for Students, or the Lions Club Foundation.
SECTION 10.59F.(c) For the purposes of this section, "comprehensive eye examination" means a complete and thorough examination of the eye and human visual system that includes an evaluation, determination, and diagnosis of:
(1) Visual acuity at distance and near;
(2) Alignment and ocular motility;
(3) Binocular fusion abnormalities including tracking;
(4) Actual refractive errors, including verification by subject means;
(5) Any color vision disorder;
(6) Intraocular pressure as may be medically appropriate; and
(7) Ocular health, including internal and external assessment.
Routine screening that does not encompass all of the examination components listed in this subsection does not qualify for reimbursement from the Program.
SECTION 10.59F.(d) Article 3 of Chapter 143B of the General Statutes is amended by adding the following new Part to read:
"Part 34. Governor's Commission on Early Childhood Vision Care.
"§ 143B-216.67. Governor's Commission on Early Childhood Vision Care.
(a) There is established the Governor's Commission on Early Childhood Vision Care ("Commission"). The Commission shall be located in the Department of Health and Human Services for administrative and budgetary purposes only.
(b) The Commission shall consist of six members appointed as follows:
(1) Two optometrists and two ophthalmologists, each of whom is licensed to practice in this State, appointed by the Governor;
(2) One optometrist licensed to practice in this State appointed by the General Assembly upon the recommendation of the Speaker of the House of Representatives; and
(3) One ophthalmologist licensed to practice in this State appointed by the General Assembly upon the recommendation of the President Pro Tempore of the Senate.
The initial members appointed by the General Assembly shall each serve a one-year term. The initial members appointed by the Governor shall each serve a two-year term. Subsequent appointments shall be for three-year terms. Vacancies shall be filled by the original appointing authority.
(c) The Commission shall adopt rules to implement and administer the Governor's Vision Care Program established under this section. The rules shall address:
(1) Accepting and processing of applications by families for Program services.
(2) Verification of applicant income eligibility.
(3) Reimbursement to providers for services provided to eligible participants.
(4) Informing providers and the general public about the Program.
(5) Other duties necessary to implement the purposes and requirements of this section.
(d) Commission members who are officials or employees of the State or local government agencies shall be paid per diem, subsistence, and travel expenses in accordance with G.S. 138-6. All other Commission members shall be paid in accordance with G.S. 138-5.
(e) The Governor shall appoint a Chair of the Commission. The Commission shall meet upon the call of the Chair. A majority of the Commission members shall constitute a quorum. The Department of Health and Human Services shall provide meeting space and staff to assist the Commission."
SECTION 10.59F.(e) Funds appropriated in this act to the Reserve for Governor's Vision Care Program shall be used to reimburse providers for comprehensive eye examination services, including necessary spectacles, required under this section.
SECTION 10.59F.(f) Not later than May 1, 2006, 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 the implementation of this section.
SECTION 10.59F.(g) Article 18 of Chapter 130A of the General Statutes is amended by adding the following new section to read:
"§ 130A-440.1. Comprehensive eye examination required.
(a) Every child in this State entering kindergarten in the public schools shall obtain a comprehensive eye examination not more than six months prior to the date of school entry. The comprehensive eye examination shall be conducted by an optometrist or ophthalmologist licensed to practice in this State. No child shall attend kindergarten unless a comprehensive eye examination transmittal form, developed pursuant to G.S. 130A-441, indicating that the child has received the comprehensive eye examination required by this section is presented to the school principal. The comprehensive eye examination shall consist of a complete and thorough examination of the eye and human visual system that includes an evaluation, determination, and diagnosis of:
(1) Visual acuity at distance and near;
(2) Alignment and ocular motility;
(3) Binocular fusion abnormalities including tracking;
(4) Actual refractive errors, including verification by subject means;
(5) Any color vision disorder;
(6) Intraocular pressure as may be medically appropriate; and
(7) Ocular health, including internal and external assessment.
Health assessment vision screening under G.S. 130A-440 does not meet the requirements of this section.
(b) The comprehensive eye examination transmittal form shall contain a summary of the comprehensive eye examination performed by the optometrist or ophthalmologist. Any treatment recommendations by the optometrist or ophthalmologist, such as spectacles for schoolwork, shall appear in the summary and school health card.
(c) This section shall not apply to children entering kindergarten in private church schools, schools of religious charter, or qualified nonpublic schools regulated by Article 39 of Chapter 115C of the General Statutes.
(d) G.S. 130A-441, 130A-442, and 130A-443, pertaining to health assessments, apply to comprehensive eye examinations required under this section."
Requested by: Representatives Clary, Wright
LRC STUDY SCHOOL-BASED AND SCHOOL-LINKED HEALTH CENTERS
SECTION 10.59G.(a) The Legislative Research Commission may study and evaluate the number of school-based and school-linked health centers in providing primary care, mental health, and other health care services to determine the centers' impact on providing health care. In conducting the study, the Commission may consider the following:
(1) The health centers' role in contributing to the health and well-being of adolescents and in reducing the cost of health care.
(2) Adequacy of current funding and measures needed to sustain the centers as part of the overall school health strategy to improve the health of adolescents.
(3) The secured-care rate for students who have access to not only a school nurse but also to a school-based or school-linked health center and whether students receive care in a timely manner from appropriate health care providers.
(4) Other matters related to the efficacy and efficiency of school-based and school-linked health centers such that care provided enables students to remain in class, be productive and attentive while in class, and have fewer absences from school.
To assist in the study, the Commission may consult with such stakeholders as the North Carolina Association of School-Based and School-Linked Health Centers, the North Carolina Pediatric Society, the Adolescent Pregnancy Prevention Coalition of North Carolina, the Department of Health and Human Services, Division of Public Health, and other interested parties.
SECTION 10.59G.(b) The Legislative Research Commission may make an interim report, including proposed legislation, to the 2006 Regular Session of the 2005 General Assembly and shall make its final report to the 2007 General Assembly upon its convening.
SECTION 10.59G.(c) The Legislative Services Officer shall allocate funds appropriated in this act to the General Assembly for the expenditures of the Legislative Services Commission in conducting this study.
Requested by: Representatives Insko, Barnhart
CHILD CARE FUNDS MATCHING REQUIREMENT
Requested by: Representatives Insko, Barnhart
(1) Funds shall be allocated based upon the projected cost of serving children in a county under age 11 in families with all parents working who earn less than seventy-five percent (75%) of the State median income.
(2) No county's allocation shall be less than ninety percent (90%) of its State fiscal year 2001-2002 initial child care subsidy allocation.
Requested by: Representatives Insko, Barnhart
FAMILY SIZE PERCENT OF GROSS FAMILY INCOME
1-3 10%
4-5 9%
6 or more 8%.
(1) Religious-sponsored child care facilities operating pursuant to G.S. 110-106 and licensed child care centers and homes that meet the minimum licensing standards that are participating in the subsidized child care program shall be paid the one-star county market rate or the rate they charge privately paying parents, whichever is lower.
(2) Licensed child care centers and homes with two or more stars shall receive the market rate for that rated license level for that age group or the rate they charge privately paying parents, whichever is lower.
(3) Nonlicensed homes shall receive fifty percent (50%) of the county market rate or the rate they charge privately paying parents, whichever is lower.
(4) Maximum payment rates shall also be calculated periodically by the Division of Child Development and School Readiness for transportation to and from child care provided by the child care provider, individual transporter, or transportation agency, and for fees charged by providers to parents. These payment rates shall be based upon information collected by market rate surveys.
(1) Except as applicable in subdivision (2) of this subsection, payment rates shall be set at the statewide or regional market rate for licensed child care centers and homes.
(2) If it can be demonstrated that the application of the statewide or regional market rate to a county with fewer than 50 children in each age group is lower than the county market rate and would inhibit the ability of the county to purchase child care for low-income children, then the county market rate may be applied.
County departments of social services or other local contracting agencies shall not use a provider's failure to comply with requirements in addition to those specified in this subsection as a condition for reducing the provider's subsidized child care rate.
(1) The child for whom a child care subsidy is sought is receiving child protective services or foster care services.
(2) The child for whom a child care subsidy is sought is developmentally delayed or at risk of being developmentally delayed.
(3) The child for whom a child care subsidy is sought is a citizen of the United States.
Requested by: Representatives Insko, Barnhart
Requested by: Representatives Insko, Barnhart
EARLY CHILDHOOD EDUCATION AND DEVELOPMENT INITIATIVES ENHANCEMENTS
SECTION 10.64.(b) The North Carolina Partnership for Children, Inc., and all local partnerships shall use competitive bidding practices in contracting for goods and services on contract amounts as follows:
(1) For amounts of five thousand dollars ($5,000) or less, the procedures specified by a written policy to be developed by the Board of Directors of the North Carolina Partnership for Children, Inc.
(2) For amounts greater than five thousand dollars ($5,000), but less than fifteen thousand dollars ($15,000), three written quotes.
(3) For amounts of fifteen thousand dollars ($15,000) or more, but less than forty thousand dollars ($40,000), a request for proposal process.
(4) For amounts of forty thousand dollars ($40,000) or more, a request for proposal process and advertising in a major newspaper.
SECTION 10.64.(c) The North Carolina Partnership for Children, Inc., and all local partnerships shall, in the aggregate, be required to match no less than fifty percent (50%) of the total amount budgeted for the program in each fiscal year of the biennium as follows: contributions of cash equal to at least fifteen percent (15%) and in-kind donated resources equal to no more than five percent (5%) for a total match requirement of twenty percent (20%) for each fiscal year. The North Carolina Partnership for Children, Inc., may carry forward any amount in excess of the required match for a fiscal year in order to meet the match requirement of the succeeding fiscal year. Only in-kind contributions that are quantifiable shall be applied to the in-kind match requirement. Volunteer services may be treated as an in-kind contribution for the purpose of the match requirement of this subsection. Volunteer services that qualify as professional services shall be valued at the fair market value of those services. All other volunteer service hours shall be valued at the statewide average wage rate as calculated from data compiled by the Employment Security Commission in the Employment and Wages in North Carolina Annual Report for the most recent period for which data are available. Expenses, including both those paid by cash and in-kind contributions, incurred by other participating non-State entities contracting with the North Carolina Partnership for Children, Inc., or the local partnerships, also may be considered resources available to meet the required private match. In order to qualify to meet the required private match, the expenses shall:
(1) Be verifiable from the contractor's records.
(2) If in-kind, other than volunteer services, be quantifiable in accordance with generally accepted accounting principles for nonprofit organizations.
(3) Not include expenses funded by State funds.
(4) Be supplemental to and not supplant preexisting resources for related program activities.
(5) Be incurred as a direct result of the Early Childhood Initiatives Program and be necessary and reasonable for the proper and efficient accomplishment of the Program's objectives.
(6) Be otherwise allowable under federal or State law.
(7) Be required and described in the contractual agreements approved by the North Carolina Partnership for Children, Inc., or the local partnership.
(8) Be reported to the North Carolina Partnership for Children, Inc., or the local partnership by the contractor in the same manner as reimbursable expenses.
Failure to obtain a twenty percent (20%) match by June 30 of each fiscal year shall result in a dollar-for-dollar reduction in the appropriation for the Program for a subsequent fiscal year. The North Carolina Partnership for Children, Inc., shall be responsible for compiling information on the private cash and in-kind contributions into a report that is submitted to the Joint Legislative Commission on Governmental Operations in a format that allows verification by the Department of Revenue. The same match requirements shall apply to any expansion funds appropriated by the General Assembly.
SECTION 10.64.(d) The Department of Health and Human Services shall continue to implement the performance-based evaluation system.
SECTION 10.64.(e) The Department of Health and Human Services and the North Carolina Partnership for Children, Inc., shall ensure that the allocation of funds for Early Childhood Education and Development Initiatives for State fiscal years 2005-2006 and 2006-2007 shall be administered and distributed in the following manner:
(1) Capital expenditures are prohibited for fiscal years 2005-2006 and 2006-2007. For the purposes of this section, "capital expenditures" means expenditures for capital improvements as defined in G.S. 143-34.40.
(2) Expenditures of State funds for advertising and promotional activities are prohibited for fiscal years 2005-2006 and 2006-2007.
SECTION 10.64.(f) A county may use the county's allocation of State and federal child care funds to subsidize child care according to the county's Early Childhood Education and Development Initiatives Plan as approved by the North Carolina Partnership for Children, Inc. The use of federal funds shall be consistent with the appropriate federal regulations. Child care providers shall, at a minimum, comply with the applicable requirements for State licensure pursuant to Article 7 of Chapter 110 of the General Statutes.
Requested by: Representatives Insko, Barnhart
SECTION 10.65.(a) The North Carolina Partnership for Children, Inc., shall study its allocation of funds to local partnerships. The North Carolina Partnership for Children, Inc., shall study funding equity among all counties and local partnerships based on population, the number of children from birth to five years of age residing in the county region, economic indicators, and the quality of existing child care. The North Carolina Partnership for Children, Inc., shall develop strategies to alleviate the inequity of funds to local partnerships.
Requested by: Representatives Insko, Barnhart
ANALYZE CHILD CARE SUBSIDY REIMBURSEMENT SYSTEM
(1) Compare surveyed rates from the 2005 child care market survey to existing reimbursement rates and identify counties and levels of disparity of current market rates to subsidy reimbursements.
(2) Compare overall compensation for child care workers by county and determine if there is a correlation with child care quality and subsidy reimbursements.
(3) Examine, by county, the prevalence of child care providers who charge parents a differential fee to make up the difference between private and subsidy reimbursement rates.
(4) Examine the impact that child care reimbursement rates has on providing families access to all levels of child care.
Requested by: Representatives Insko, Barnhart
SECTION 10.67.(a) Of the funds appropriated in this act to the Department of Health and Human Services, the sum of sixty-six million six hundred forty-six thousand six hundred fifty-three dollars ($66,646,653) for the 2005-2006 fiscal year and the sum of sixty-six million six hundred forty-six thousand six hundred fifty-three dollars ($66,646,653) for the 2006-2007 fiscal year shall be used to implement "More At Four", a voluntary prekindergarten program for at-risk four-year-olds.
(1) A process and system for identifying children at risk of academic failure.
(2) A process and system for identifying children who are not being served first priority in formal early education programs, such as child care, public or private preschools, Head Start, Early Head Start, early intervention programs, or other such programs, who demonstrate educational needs, and who are eligible to enter kindergarten the next school year, as well as children who are underserved.
(3) A curriculum or several curricula that are recommended by the Task Force. The Task Force will identify and approve appropriate research-based curricula. These curricula shall: (i) focus primarily on oral language and emergent literacy; (ii) engage children through key experiences and provide background knowledge requisite for formal learning and successful reading in the early elementary years; (iii) involve active learning; (iv) promote measurable kindergarten language-readiness skills that focus on emergent literacy and mathematical skills; and (v) develop skills that will prepare children emotionally and socially for kindergarten.
(4) An emphasis on ongoing family involvement with the prekindergarten program.
(5) Evaluation of child progress through preassessment and postassessment of children in the statewide evaluation, as well as ongoing assessment of the children by teachers.
(6) Guidelines for a system to reimburse local school boards and systems, private child care providers, and other entities willing to establish and provide prekindergarten programs to serve at-risk children.
(7) A system built upon existing local school boards and systems, private child care providers, and other entities that demonstrate the ability to establish or expand prekindergarten capacity.
(8) A quality-control system. Participating providers shall comply with standards and guidelines as established by the Department of Health and Human Services, the Department of Public Instruction, and the Task Force. The Department may use the child care rating system to assist in determining program participation.
(9) Standards for minimum teacher qualifications. A portion of the classroom sites initially funded shall have at least one teacher who is certified or provisionally certified in birth-to-kindergarten education.
(10) A local contribution. Programs must demonstrate that they are accessing resources other than "More At Four".
(11) A system of accountability.
(12) Consideration of the reallocation of existing funds. In order to maximize current funding and resources, the Department of Health and Human Services, the Department of Public Instruction, and the Task Force shall consider the reallocation of existing funds from State and local programs that provide prekindergarten-related care and services.
The "More At Four" program shall review the number of slots filled by counties on a monthly basis and shift the unfilled slots to counties with waiting lists. The shifting of slots shall occur through December 30, 2005, at which time any remaining funds for slots unfilled shall be used to meet the needs of the waiting list for subsidized child care.
(1) The number of children participating in the program.
(2) The number of children participating in the program who have never been served in other early education programs, such as child care, public or private preschool, Head Start, Early Head Start, or early intervention programs.
(3) The expected expenditures for the programs and the source of the local match for each grantee.
(4) The location of program sites and the corresponding number of children participating in the program at each site.
(5) Activities involving Child Find in counties.
(6) A comprehensive cost analysis of the program, including the cost per child served by the program.
(7) The plan for expansion of "More At Four" through existing resources as outlined in this section.
PART XI. DEPARTMENT OF Agriculture and consumer Services
Requested by: Representatives Hunter, Warren
SECTION 11.1. G.S. 143-468(b) reads as rewritten:
"(b) The Pesticide Environmental Trust Fund is established as a nonreverting account within the Department of Agriculture and Consumer Services. The Department of Agriculture and Consumer Services shall administer the Fund. The additional assessment imposed by G.S. 143-442(b) on the registration of a brand or grade of pesticide shall be credited to the Fund. The Department shall distribute money in the Fund as follows:
(1) Two and one-half percent (2.5%) to North Carolina State University Cooperative Extension Service to enhance its agromedicine efforts in cooperation with East Carolina University School of Medicine.
(2) Two and one-half percent (2.5%) to East Carolina University School of Medicine to enhance its agromedicine efforts in cooperation with North Carolina State University Cooperative Extension Service.
(3) Twenty percent (20%) to North Carolina State University, Department of Toxicology, to establish and maintain an extension agromedicine specialist position.
(4) Seventy-five percent (75%) to the Department of Agriculture and Consumer Services for the costs of administering its pesticide disposal program, including the salaries and support of staff for the pesticide disposal program, and for its environmental programs, as directed by the Board, including establishing a pesticide container management program to enhance its pesticide disposal program and its water quality initiatives."
Requested by: Representatives Hunter, Warren
TIMBER SALES RECEIPTS FOR CAPITAL IMPROVEMENTS AT AGRICULTURAL RESEARCH STATIONS AND FARMS
(1) $378,000 for improvements at the swine facility at the Cherry Research Farm.
(2) $285,500 for renovation of dairy facilities at the Cherry Research Farm.
(3) $369,600 for land acquisition and development at the Tidewater Research Station.
Requested by: Representatives Hunter, Warren
PLANT CONSERVATION PROGRAM FUNDS
Requested by: Representatives Hunter, Warren
INCREASE FUNDS FOR NORTH CAROLINA GRAPE GROWERS COUNCIL
SECTION 11.4. G.S. 105-113.81A reads as rewritten:
"§ 105-113.81A. Distribution of part of wine taxes attributable to North Carolina wine.
The Secretary shall on a quarterly basis credit to the
Department of Agriculture and Consumer Services the net proceeds of the excise
tax collected on unfortified wine bottled in North Carolina during the previous
quarter and the net proceeds of the excise tax collected on fortified wine
bottled in North Carolina during the previous quarter, except that the amount
credited to the Department of Agriculture and Consumer Services under this
section shall not exceed three hundred fifty thousand dollars ($350,000) five
hundred thousand dollars ($500,000) per fiscal year. The Department of
Agriculture and Consumer Services shall allocate the funds received under this
section to the North Carolina Grape Growers Council to be used to promote the
North Carolina grape and wine industry and to contract for research and
development services to improve viticultural and enological practices in North
Carolina. Any funds credited to the Department of Agriculture and Consumer
Services under this section that are not expended by June 30 of any fiscal year
may not revert to the General Fund, but shall remain available to the
Department for the uses set forth in this section."
Requested by: Representative Harrison
FUNDS FOR NORTH CAROLINA FARMLAND PRESERVATION TRUST FUND
SECTION 11.5.(a) Of the funds appropriated to the Department of Environment and Natural Resources in this act, the reduction for the Office of Conservation and Community Affairs for fund shifting the remainder of the Natural Heritage Program under Article 9A of Chapter 113A of the General Statutes to the Natural Heritage Trust Fund established by G.S. 113-77.7 is further reduced by the sum of forty thousand dollars ($40,000) for the 2005-2006 fiscal year and for the 2006-2007 fiscal year, and these funds shall be credited to the North Carolina Farmland Preservation Trust Fund to be used in accordance with subsection (b) of this section.
SECTION 11.5.(b) If House Bill 347, 2005 Session, becomes law, the forty thousand dollars ($40,000) credited under this section to the North Carolina Farmland Preservation Trust Fund, which is renamed North Carolina Agricultural Development and Farmland Preservation Trust Fund by House Bill 347, as enacted, shall be used towards the costs of the North Carolina Agricultural Development and Farmland Preservation Trust Fund Advisory Committee created by House Bill 347, as enacted. If House Bill 347, 2005 Session, does not become law, the forty thousand dollars ($40,000) credited to the North Carolina Farmland Preservation Trust Fund under this section shall be used as provided in G.S. 106-744.
PART XII. DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES
Requested by: Representatives Hunter, Warren
STATE MATCH FOR FEDERAL SAFE DRINKING WATER ACT FUNDS
SECTION 12.1. Notwithstanding the provisions of Chapter 159G of the General Statutes, the Department of Environment and Natural Resources may transfer from the General Water Supply Revolving Loan Account up to one million five hundred thousand dollars ($1,500,000) to the Department of Environment and Natural Resources to be used to match the federal grant moneys authorized by section 1452 of the federal Safe Drinking Water Act amendments of 1996 for the 2005-2006 fiscal year. The General Water Supply Revolving Loan Account is an account under the Clean Water Revolving Loan and Grant Fund and is established under G.S. 159G-4. The Clean Water Revolving Loan and Grant Fund is established by G.S. 159G-5.
Requested by: Representatives Hunter, Warren
EXPAND EXPRESS REVIEW PROGRAM STATEWIDE
"§ 143B-279.13. Express permit and certification reviews.
(a) The Department of Environment and Natural Resources shall develop an express review program to provide express permit and certification reviews in all of its regional offices. Participation in the express review program is voluntary, and the program is to become supported by the fees determined pursuant to subsection (b) of this section. The Department of Environment and Natural Resources shall determine the project applications to review under the express review program from those who request to participate in the program. The express review program may be applied to any one or all of the permits, approvals, or certifications in the following programs: the erosion and sedimentation control program, the coastal management program, and the water quality programs, including water quality certifications and stormwater management. The express review program shall focus on the following permits or certifications:
(1) Stormwater permits under Part 1 of Article 21 of Chapter 143 of the General Statutes.
(2) Stream origination certifications under Article 21 of Chapter 143 of the General Statutes.
(3) Water quality certification under Article 21 of Chapter 143 of the General Statutes.
(4) Erosion and sedimentation control permits under Article 4 of Chapter 113A of the General Statutes.
(5) Permits under the Coastal Area Management Act (CAMA), Part 4 of Article 7 of Chapter 113A of the General Statutes.
(b) The Department of Environment and Natural Resources may determine the fees for express application review under the express review program. Notwithstanding G.S. 143-215.3D, the maximum permit application fee to be charged under subsection (a) of this section for the express review of a project application requiring all of the permits under subdivisions (1) through (5) of subsection (a) of this section shall not exceed five thousand five hundred dollars ($5,500). Notwithstanding G.S. 143-215.3D, the maximum permit application fee to be charged for the express review of a project application requiring all of the permits under subdivisions (1) through (4) of subsection (a) of this section shall not exceed four thousand five hundred dollars ($4,500). Notwithstanding G.S. 143-215.3D, the maximum permit application fee charged for the express review of a project application for any other combination of permits under subdivisions (1) through (5) of subsection (a) of this section shall not exceed four thousand dollars ($4,000). Express review of a project application involving additional permits or certifications issued by the Department of Environment and Natural Resources other than those under subdivisions (1) through (5) of subsection (a) of this section may be allowed by the Department, and, notwithstanding G.S. 143-215.3D or any other statute or rule that sets a permit fee, the maximum permit application fee charged for the express review of a project application shall not exceed four thousand dollars ($4,000), plus one hundred fifty percent (150%) of the fee that would otherwise apply by statute or rule for that particular permit or certification. Additional fees, not to exceed fifty percent (50%) of the original permit application fee under this section, may be charged for subsequent reviews due to the insufficiency of the permit applications. The Department of Environment and Natural Resources may establish the procedure by which the amount of the fees under this subsection is determined, and the fees and procedures are not rules under G.S. 150B-2(8a) for the express review program under this section.
(c) No later than March 1 of each year, the Department of Environment and Natural Resources shall report to the Fiscal Research Division and the Environmental Review Commission its findings on the success of the program under this section and any other findings or recommendations, including any legislative proposals that it deems pertinent.
"§ 143B-279.14. Express Review Fund.
The Express Review Fund is created as a special nonreverting fund. All fees collected under G.S. 143B-279.13 shall be credited to the Express Review Fund. The Express Review Fund shall be used for the costs of implementing the express review program under G.S. 143B-279.13 and the costs of administering the program, including the salaries and support of the program's staff. If the express review program is abolished, the funds in the Express Review Fund shall be credited to the General Fund."
Requested by: Representatives Hunter, Warren
(1) Sedimentation education activities that provide technical assistance to local erosion and sedimentation control programs under G.S. 113A-60; or
(2) Sedimentation education to professionals involved in developing erosion and sedimentation control plans for which prior approval is required under Article 4 of Chapter 113A of the General Statutes.
Requested by: Representatives Hunter, Warren
FUNDS TO IMPLEMENT FISHING LICENSE REQUIREMENTS LEGISLATION/CONTINGENT REPEAL OF SALTWATER FISHING LICENSE REQUIREMENT
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Report on Natural Heritage Program
Requested by: Representatives Hunter, Warren
SECTION 12.5.(a) Of the funds appropriated in this act to the Department of Environment and Natural Resources for the Grassroots Science Program, the sum of three million one hundred ninety-seven thousand seven hundred sixty-two dollars ($3,197,762) for the 2005-2006 fiscal year is allocated as grants-in-aid for each fiscal year as follows:
2005-2006
Aurora Fossil Museum $58,794
Cape Fear Museum $157,784
Carolina Raptor Center $110,369
Catawba Science Center $131,007
Colburn Gem and Mineral Museum, Inc. $73,833
Discovery Place $645,072
Eastern NC Regional Science Center $50,000
Fascinate-U $79,849
Granville County Museum Commission,
Inc.-Harris Gallery $56,236
Greensboro Children's Museum $132,606
The Health Adventure Museum of Pack
Place Education, Arts and
Science Center, Inc. $132,046
Highlands Nature Center $78,418
Imagination Station $84,988
Iredell Children's Museum $59,452
Kidsenses $50,000
Museum of Coastal Carolina $73,489
Natural Science Center of Greensboro $182,395
North Carolina Museum of Life
and Science $370,250
Port Discover: Northeastern North Carolina's
Center for Hands-on Science, Inc. $50,000
Rocky Mount Children's Museum $71,608
Schiele Museum of Natural History $224,334
Sci Works Science Center and
Environmental Park of Forsyth County $143,697
Western North Carolina Nature Center $111,054
Wilmington Children's Museum $70,481
Total $3,197,762
SECTION 12.5.(b) No later than March 1, 2006, the Department of Environment and Natural Resources shall report to the Fiscal Research Division all of the following information for each museum that receives funds under this section:
(1) The operating budget for the 2004-2005 fiscal year.
(2) The operating budget for the 2005-2006 fiscal year.
(3) The total attendance at the museum during the 2005 calendar year.
Requested by: Representatives Hunter, Warren
BEAVER DAMAGE CONTROL PROGRAM FUNDS
Requested by: Representative Owens
MONITORING AND EMERGENCY CLEANUP FUNDS FOR TEXFI SITE CONTAMINATION
SECTION 12.9. Of the funds appropriated to the Department of Environment and Natural Resources, Division of Waste Management, for the 2005-2006 fiscal year to cost share federal funds for the cleanup of Superfund sites, up to fifty thousand dollars ($50,000) may be used by the Department of Environment and Natural Resources, Division of Waste Management, for the 2005-2006 fiscal year for monitoring the groundwater and other contamination located at the Texfi site in Fayetteville and for any emergency cleanup activities needed at this site.
PART XIII. DEPARTMENT OF COMMERCE
Requested by: Representatives Hunter, Warren
SECTION 13.2.(a) Of the funds appropriated in this act to the Department of Commerce, eight hundred thirty-two thousand one hundred fifty dollars ($832,150) for the 2005-2006 fiscal year and eight hundred thirty-two thousand one hundred fifty dollars ($832,150) for the 2006-2007 fiscal year shall only be used as provided by this section. Each regional council of government or lead regional organization is allocated up to forty-eight thousand nine hundred fifty dollars ($48,950) for the 2005-2006 and the 2006-2007 fiscal years.
SECTION 13.2.(b) A regional council of government may use funds appropriated by this section only to assist local governments in grant applications, economic development, community development, support of local industrial development activities, and other activities as deemed appropriate by the member governments.
SECTION 13.2.(c) Funds appropriated by this section shall be paid by electronic transfer in two equal installments, the first no later than September 1, 2005, and the second subsequent to acceptable submission of the annual report due to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division by January 15, 2006, as specified in subdivision (e)(2) of this section.
SECTION 13.2.(d) Funds appropriated by this section shall not be used for payment of dues or assessments by the member governments and shall not supplant funds appropriated by the member governments.
SECTION 13.2.(e) Each council of government or lead regional organization shall do the following:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments, including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments, including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2006.
(3) Provide to the Fiscal Research Division a copy of the organization's annual audited financial statement within 30 days of issuance of the statement.
Requested by: Representatives Hunter, Warren
TOURISM PROMOTION GRANTS
(1) Eligible organizations in counties with a Tier 1 or 2 designation are each eligible to receive a maximum grant of seven thousand five hundred dollars ($7,500) for each fiscal year, provided these funds are matched on the basis of one non-State dollar ($1.00) for every four State dollars ($4.00).
(2) Eligible organizations in counties with a Tier 3 or 4 designation are each eligible to receive a maximum grant of three thousand five hundred dollars ($3,500) for two of the next three fiscal years, provided these funds are matched on the basis of one non-State dollar ($1.00) for every three State dollars ($3.00).
(3) Eligible organizations in counties with a Tier 5 designation are each eligible to receive a maximum grant of three thousand five hundred dollars ($3,500) in alternating fiscal years provided these funds are matched on the basis of two non-State dollars ($2.00) for every one State dollar ($1.00).
Requested by: Representatives Hunter, Warren
(1) Six million dollars ($6,000,000) for the operation and support of local offices.
(2) Two hundred thousand dollars ($200,000) for the State Occupational Information Coordinating Committee to develop and operate an interagency system to track former participants in State education and training programs.
(3) One hundred thousand dollars ($100,000) to maintain compliance with Chapter 96 of the General Statutes, which directs the Commission to employ the Common Follow-Up Management Information System to evaluate the effectiveness of the State's job training, education, and placement programs.
Requested by: Representatives Hunter, Warren
TRADE JOBS FOR SUCCESS REPORTING
(1) The actions taken to obtain from the U.S. Department of Labor as quickly as possible a waiver under the Trade Adjustment Act to allow the Trade Jobs for Success initiative to (i) serve persons regardless of their age, (ii) use unemployment funds to provide direct monetary incentives to participating employers and direct income to eligible workers in the retraining program, and (iii) use funds for in-State relocation assistance.
(2) Whether waivers have been sought for other program components.
(3) The progress made in implementing the Trade Jobs for Success initiative in the counties hardest hit by trade-impacted job losses, particularly the counties having an unemployment rate of eight percent (8%) and the extent to which these counties have received priority consideration.
(4) The efforts of the Department of Commerce seeking and receiving private grants and federal funds for the Trade Jobs for Success initiative.
(5) Any reasons why legislative mandates have not been followed or the statutory goals have not been achieved.
The progress report shall be submitted to the Joint Legislative Commission on Governmental Operations and to the Chairs of the Appropriations Committees of the Senate and the House of Representatives by August 1, 2005.
SECTION 13.4A.(b) G.S. 143B-438.17 reads as rewritten:
"§ 143B-438.17. Reporting.
(a) Beginning
July 1, 2005, The the Department of Commerce, in conjunction
with the Employment Security Commission and the Community Colleges System
Office, shall publish a quarterly monthly written report on the
Trade Jobs for Success (TJS) initiative. The monthly report shall
provide information on the commitment, disbursement, and use of funds and the
status of any grant proposals or waivers requested on behalf of the Trade Jobs
for Success initiative. The monthly report shall be submitted to the
Governor and to the Fiscal Research Division of the General Assembly.
(b) Beginning
October 1, 2005, the Department of Commerce, in conjunction with the Employment
Security Commission and the Community Colleges System Office, shall publish a
quarterly written report on the Trade Jobs for Success initiative. The quarterly
report shall also include legislative proposals and recommendations
regarding statutory changes needed to maximize the effectiveness and
flexibility of the TJS initiative. Copies of the quarterly report shall
be provided to the Joint Legislative Commission on Governmental Operations, to
the chairs of the Senate and House of Representatives Appropriations
Committees, and to the Fiscal Research Division of the General Assembly.
(c) Beginning January 1, 2006, the Department of Commerce, in conjunction with the Employment Security Commission and the Community Colleges System Office, shall publish a comprehensive annual written report on the Trade Jobs for Success initiative. The annual report shall include a detailed explanation of outcomes and future planning for the TJS initiative. Copies of the annual report shall be provided to the Governor, to the Joint Legislative Commission on Governmental Operations, to the chairs of the Senate and House of Representatives Appropriations Committees, and to the Fiscal Research Division of the General Assembly."
Requested by: Representatives Hunter, Warren
SECTION 13.5. G.S. 143B-437.01 reads as rewritten:
"§ 143B-437.01. Industrial Development Fund.
(a) Creation and Purpose of Fund. - There is created in the Department of Commerce the Industrial Development Fund to provide funds to assist the local government units of the most economically distressed counties in the State in creating jobs in certain industries. The Department of Commerce shall adopt rules providing for the administration of the program. Those rules shall include the following provisions, which shall apply to each grant from the fund:
…
(1) The funds shall be
used for (i) installation of or purchases of equipment for eligible industries,
(ii) structural repairs, improvements, or renovations of existing buildings to
be used for expansion of eligible industries, or (iii) construction of or
improvements to new or existing water, sewer, gas, telecommunications, high-speed
broadband, or electrical utility distribution lines or equipmentequipment,
or transportation infrastructure for existing or new or proposed industrial
buildings to be used for eligible industries. To be eligible for funding, the
water, sewer, gas, telecommunications, high-speed broadband, or electrical
utility lines or facilitiesfacilities, or transportation
infrastructure shall be located on the site of the building or, if not
located on the site, shall be directly related to the operation of the specific
eligible industrial activity.
…
(b1) Utility Account. - There is
created within the Industrial Development Fund a special account to be known as
the Utility Account to provide funds to assist the local government units of
enterprise tier one, two, and three areas, as defined in G.S. 105-129.3,
in creating jobs in eligible industries. The Department of Commerce shall adopt
rules providing for the administration of the program. Except as otherwise
provided in this subsection, those rules shall be consistent with the rules
adopted with respect to the Industrial Development Fund. The rules shall
provide that the funds in the Utility Account may be used only for construction
of or improvements to new or existing water, sewer, gas, telecommunications,
high-speed broadband, or electrical utility distribution lines or equipmentequipment,
or transportation infrastructure for existing or new or proposed industrial
buildings to be used for eligible industrial operations. To be eligible for
funding, the water, sewer, gas, telecommunications, high-speed broadband, or
electrical utility lines or facilitiesfacilities, or transportation
infrastructure shall be located on the site of the building or, if not
located on the site, shall be directly related to the operation of the specific
industrial activity. There shall be no maximum funding amount per new job to be
created or per project.
…."
Requested by: Representatives Hunter, Warren
Requested by: Representatives Hunter, Warren
STUDY alternate funding of INDUSTRIAL COMMISSION
Requested by: Representatives Hunter, Warren, L. Allen, Wray
ROANOKE RAPIDS MUSIC/ENTERTAINMENT COMPLEX
Requested by: Representatives Hunter, Warren
REGIONAL ECONOMIC DEVELOPMENT COMMISSIONs
SECTION 13.6C.(b) G.S. 143B-437.21(6)d reads as rewritten:
"d. The Global
TransPark Development Eastern North Carolina Regional Economic
Development Commission created in G.S. 158-33."
SECTION 13.6C.(c) G.S. 158-32(2) reads as rewritten:
"(2) Commission. - The Global
TransPark Development Eastern North Carolina Regional Economic
Development Commission, the governing body of the Global TransPark
Development Zone."
SECTION 13.6C.(d) G.S. 158-33.1(b) reads as rewritten:
"(b) Application. - The
governing body of an eligible county may apply to participate in the Zone under
this section by adopting a resolution to participate in the Zone. The
resolution must comply with all the requirements of G.S. 158-33(a) and (b)
except that it may be adopted at any time before October 1, 1994. After
adopting the resolution, the county shall file a certified copy of the
resolution with the Global TransPark DevelopmentEastern North
Carolina Regional Economic Development Commission."
SECTION 13.6C.(e) The prefatory language to G.S. 158-35(a) reads as rewritten:
"(a) Commission
Membership. - The governing body of the Zone is the Global TransPark
DevelopmentEastern North Carolina Regional Economic Development
Commission. The members of the Commission must be residents of the Zone and
shall be appointed as follows:"
Requested by: Representatives Hunter, Warren
REGIONAL ECONOMIC DEVELOPMENT COMMISSION ALLOCATIONS
SECTION 13.7.(a) Funds appropriated in this act to the Department of Commerce for regional economic development commissions shall be allocated to the following Commissions in accordance with subsection (b) of this section: Western North Carolina Regional Economic Development Commission, Research Triangle Regional Commission, Southeastern North Carolina Regional Economic Development Commission, Piedmont Triad Partnership, Northeastern North Carolina Regional Economic Development Commission, Global TransPark Development Commission, and Carolinas Partnership, Inc.
SECTION 13.7.(b) Funds appropriated pursuant to subsection (a) of this section shall be allocated to each Regional Economic Development Commission as follows:
(1) First, the Department shall establish each Commission's allocation by determining the sum of allocations to each county that is a member of that Commission. Each county's allocation shall be determined by dividing the county's enterprise factor by the sum of the enterprise factors for eligible counties and multiplying the resulting percentage by the amount of the appropriation. As used in this subdivision, the term "enterprise factor" means a county's enterprise factor as calculated under G.S. 105-129.3; and
(2) Next, the Department shall subtract from funds allocated to the Global TransPark Development Commission the sum of one hundred eighteen thousand one hundred twenty-nine dollars ($118,129) in the 2005-2006 fiscal year and one hundred eighteen thousand four hundred seventy-seven dollars ($118,477) in the 2006-2007 fiscal year, which sum represents the interest earnings in each fiscal year on the estimated balance of seven million five hundred thousand dollars ($7,500,000) appropriated to the Global TransPark Development Zone in Section 6 of Chapter 561 of the 1993 Session Laws; and
(3) Next, the Department shall redistribute the sum of one hundred eighteen thousand one hundred twenty-nine dollars ($118,129) in the 2005-2006 fiscal year and one hundred eighteen thousand four hundred seventy-seven dollars ($118,477) in the 2006-2007 fiscal year to the seven Regional Economic Development Commissions named in subsection (a) of this section. Each Commission's share of this redistribution shall be determined according to the enterprise factor formula set out in subdivision (1) of this subsection. This redistribution shall be in addition to each Commission's allocation determined under subdivision (1) of this subsection.
Requested by: Representatives Hunter, Warren
REGIONAL ECONOMIC DEVELOPMENT COMMISSION REPORTS
SECTION 13.8.(a) By February 15 of each fiscal year, the seven regional economic development commissions shall report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
(1) The preceding fiscal year's program activities, objectives, and accomplishments.
(2) The preceding fiscal year's itemized expenditures and fund sources.
(3) Demonstration of how the commission's regional economic development and marketing strategy aligns with the State's overall economic development and marketing strategies.
(4) To the extent they are involved in promotion activities such as trade shows, visits to prospects and consultants, advertising and media placement, the commissions shall demonstrate how they have generated qualified leads.
SECTION 13.8.(b) Each of the commissions shall provide to the Fiscal Research Division a copy of their annual audited financial statement within 30 days of issuance of the statement.
SECTION 13.8.(c) The reporting requirements for regional economic development commissions, as provided in subsection (a) of this section, shall be reviewed annually by the North Carolina Partnership for Economic Development, and recommendations for changes to the reporting requirements shall be made to the Fiscal Research Division, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives.
SECTION 13.8.(d) Regional economic development commissions shall receive quarterly allocations of the funds appropriated in this act to the Department of Commerce for regional economic development commissions.
SECTION 13.8.(e) Regional economic development commissions shall remain in the Department of Commerce's Budget Code 14601 with other State-aided nonprofit entities.
Requested by: Representatives Hunter, Warren, L. Allen, Wray
NORTHEASTERN NORTH CAROLINA REGIONAL ECONOMIC DEVELOPMENT COMMISSION
Requested by: Representatives Hunter, Warren
NONPROFIT REPORTING REQUIREMENTS
SECTION 13.9.(a) The N.C. Institute for Minority Economic Development, Inc., Land Loss Prevention Project, North Carolina Minority Support Center, North Carolina Community Development Initiative, Inc., North Carolina Association of Community Development Corporations, Inc., Coalition of Farm and Rural Families, and Partnership for the Sounds, Inc., shall do the following:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources including actual expenditures and fund sources through December 31, 2006.
(3) Provide to the Fiscal Research Division a copy of the organization's annual audited financial statement within 30 days of issuance of the statement.
SECTION 13.9.(b) No funds appropriated under this act shall be released to a nonprofit organization listed in subsection (a) of this section until the organization has satisfied the reporting requirement for January 15, 2005. Fourth quarter allotments shall not be released to any nonprofit organization that does not satisfy the reporting requirements by January 15, 2006, or January 15, 2007.
Requested by: Representatives Hunter, Warren
SECTION 13.10.(c) The North Carolina Biotechnology Center shall:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments, including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments, including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2006.
(3) Provide to the Fiscal Research Division a copy of the organization's annual audited financial statement within 30 days of issuance of the statement.
Requested by: Representatives Hunter, Warren
RURAL ECONOMIC DEVELOPMENT CENTER
SECTION 13.11.(a) Of the funds appropriated in this act to the Rural Economic Development Center, Inc., the sum of two million five hundred seventy-five thousand six hundred ninety-seven dollars ($2,575,697) for the 2005-2006 fiscal year and the sum of two million two hundred seventy-five thousand six hundred ninety-seven dollars ($2,275,697) for the 2006-2007 fiscal year shall be allocated as follows:
2005-2006 2006-2007
Research and Demonstration Grants $620,000 $620,000
Technical Assistance and Center
Administration of Research
and Demonstration Grants 444,399 444,399
Center Administration, Oversight,
and Other Programs 604,298 604,298
Administration of Clean Water/
Natural Gas Critical Needs
Bond Act of 1998 199,722 199,722
Additional Administration of Supplemental
Funding Program 438,278 138,278
Administration of Capacity Building
Assistance Program (1998 Bond Act) 125,000 125,000
Institute for Rural Entrepreneurship 144,000 144,000.
SECTION 13.11.(b) Of the funds allocated for Research and Demonstration Grants for fiscal year 2005-2006 and fiscal year 2006-2007 in subsection (a) of this section, the sum of two hundred fifty thousand dollars ($250,000) may be allocated to the e-NC Authority to establish Business and Technology Telecenters.
SECTION 13.11.(e) For purposes of this section, the term "community development corporation" means a nonprofit corporation:
(1) Chartered pursuant to Chapter 55A of the General Statutes;
(2) Tax-exempt pursuant to section 501(c)(3) of the Internal Revenue Code of 1986;
(3) Whose primary mission is to develop and improve low-income communities and neighborhoods through economic and related development;
(4) Whose activities and decisions are initiated, managed, and controlled by the constituents of those local communities; and
(5) Whose primary function is to act as deal maker and packager of projects and activities that will increase their constituencies' opportunities to become owners, managers, and producers of small businesses, affordable housing, and jobs designed to produce positive cash flow and curb blight in the targeted community.
SECTION 13.11.(f) Of the funds appropriated in this act to the Rural Economic Development Center, Inc., the sum of two million nine hundred fifteen thousand nine hundred ten dollars ($2,915,910) for the 2005-2006 fiscal year and the sum of two million nine hundred fifteen thousand nine hundred ten dollars ($2,915,910) for the 2006-2007 fiscal year shall be allocated as follows:
(1) $1,547,410 in each fiscal year for community development grants to support development projects and activities within the State's minority communities. Any new or previously funded community development corporation as defined in this section is eligible to apply for funds. The Rural Economic Development Center, Inc., shall establish performance-based criteria for determining which community development corporation will receive a grant and the grant amount. The Rural Economic Development Center, Inc., shall allocate these funds as follows:
a. $1,497,410 for direct grants to local community development corporations to support operations and project activities.
b. $50,000 in each fiscal year to the Rural Economic Development Center, Inc., to be used to cover expenses in administering this section.
(2) $195,000 in each fiscal year to the Microenterprise Loan Program to support the loan fund and operations of the Program; and
(3) $983,000 in each fiscal year shall be used for a program to provide supplemental funding for matching requirements for projects and activities authorized under this subsection. The Center shall allocate these funds as follows:
a. $675,000 in each fiscal year to make grants to local governments and nonprofit corporations to provide funds necessary to match federal grants or other grants for:
1. Necessary economic development projects and activities in economically distressed areas;
2. Necessary water and sewer projects and activities in economically distressed communities to address health or environmental quality problems except that funds shall not be expended for the repair or replacement of low-pressure-pipe wastewater systems. If a grant is awarded under this sub-subdivision, then the grant shall be matched on a dollar-for-dollar basis in the amount of the grant awarded; or
3. Projects that demonstrate alternative water and waste management processes for local governments. Special consideration should be given to cost-effectiveness, efficacy, management efficiency, and the ability of the demonstration project to be replicated.
b. $208,000 in each fiscal year to make grants to local governments and nonprofit corporations to provide funds necessary to match federal grants or other grants related to water, sewer, or business development projects.
c. $100,000 in each fiscal year to support the update of the statewide water and sewer database and to support the development of a statewide water management plan.
(4) $190,500 in each fiscal year for the Agricultural Advancement Consortium. These funds shall be placed in a reserve and allocated as follows:
a. $75,000 in each fiscal year for operating expenses associated with the Consortium; and
b. $115,500 in each fiscal year for research initiatives funded by the Consortium.
The Consortium shall facilitate discussions among interested parties and shall develop recommendations to improve the State's economic development through farming and agricultural interests.
The grant recipients in this subsection shall be selected on the basis of need.
SECTION 13.11.(g) The Rural Economic Development Center, Inc., shall:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments, including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments, including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2006.
(3) Provide to the Fiscal Research Division a copy of each grant recipient's annual audited financial statement within 30 days of issuance of the statement.
SECTION 13.11.(h) No funds appropriated under this act shall be released to a community development corporation, as defined in this section, unless the corporation can demonstrate that there are no outstanding or proposed assessments or other collection actions against the corporation for any State or federal taxes, including related penalties, interest, and fees.
Requested by: Representatives Hunter, Warren
RURAL ECONOMIC DEVELOPMENT CENTER
(1) To continue the North Carolina Infrastructure Program. The purpose of the Program is to provide grants to local governments to construct critical water and wastewater facilities and to provide other infrastructure needs, including technology needs, to sites where these facilities will generate private job-creating investment. At least eleven million dollars ($11,000,000) of the funds allocated in this subsection for fiscal year 2005-2006 and at least fifteen million dollars ($15,000,000) of the funds allocated in this subsection for fiscal year 2006-2007 must be used to provide grants under this Program.
(2) To provide matching grants to local governments in distressed areas and equity investments in public-private ventures that will productively reuse vacant buildings and properties, with priority given to towns or communities with populations of less than 5,000.
(3) To provide economic development research and demonstration grants.
(4) To the Town of Farmville for the Farmville-Greene County Greenville Utilities water project and to the Neuse Regional Water and Sewer Authority. The sum of four million dollars ($4,000,000) of the funds allocated in this subsection for the 2005-2006 fiscal year must be used for these projects. The Rural Economic Development Center, Inc. shall distribute the funds allocated under this subdivision between the recipients as it determines appropriate.
The e-NC Authority may contract with other State agencies, The University of North Carolina, the North Carolina Community College System, and nonprofit organizations to assist with program development and the evaluation of program activities.
The e-NC Authority shall report to the 2006 General Assembly on the following:
(1) The activities necessary to be undertaken in distressed urban areas of the State to enhance the capability of citizens and businesses residing in these areas to access the high-speed Internet.
(2) An implementation plan for the training of citizens and businesses in distressed urban areas.
(3) The technology and digital literacy training necessary to assist citizens and existing businesses to create new technology-based enterprises in these communities and to use the Internet to enhance the productivity of their businesses.
The e-NC Authority shall, by January 31, 2006, and quarterly thereafter, report to the Joint Legislative Commission on Governmental Operations on program development and the evaluation of program activities.
SECTION 13.12.(g) G.S. 143B-437.46(b) reads as rewritten:
"(b) Commission. - The
Authority shall be governed by a Commission. The Commission shall consist of nine
voting members and six non-voting ex officio 15 voting members, as
follows:
(1) Three members appointed by the Governor.
(2) Three members appointed by the General Assembly upon the recommendation of the President Pro Tempore of the Senate in accordance with G.S. 120-121.
(3) Three members appointed by the General Assembly upon the recommendation of the Speaker of the House of Representatives in accordance with G.S. 120-121.
(4) Six ex officio, non-voting
ex officio members to include the Secretary of Commerce, the State
Chief Information Officer, the President of the North Carolina Rural Economic
Development Center, Inc., the Executive Director of the North Carolina Justice
and Community Development Center, the Executive Director of the North Carolina
League of Municipalities, the Executive Director of the North Carolina Association
of County Commissioners, or their designees.
It is the intent of the General Assembly that the appointing authorities, in making appointments, shall consider members who represent the geographic, gender, and racial diversity of the State, members who represent rural counties, members who represent distressed urban areas, members who represent the regional partnerships, and members who represent the communications industry. For the purpose of this subsection, the term "communications industry" includes local telephone exchange companies, rural telephone cooperatives, Internet service providers, commercial wireless communications carriers, cable television companies, satellite companies, and other communications businesses."
Requested by: Representatives Hunter, Warren
OPPORTUNITIES INDUSTRIALIZATION CENTER FUNDS
SECTION 13.13.(a) Of the funds appropriated in this act to the Rural Economic Development Center, Inc., the sum of three hundred sixty-one thousand dollars ($361,000) for the 2005-2006 fiscal year and the sum of three hundred sixty-one thousand dollars ($361,000) for the 2006-2007 fiscal year shall be equally distributed among the certified Opportunities Industrialization Centers for ongoing job training programs.
SECTION 13.13.(b) For each of the Opportunities Industrialization Centers receiving funds pursuant to subsection (a) of this section, the Rural Economic Development Center, Inc., shall:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments, including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments, including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2006.
(3) Notwithstanding G.S. 143-6.1(d), file annually with the State Auditor a financial statement in the form and on the schedule prescribed by the State Auditor. The financial statements must be audited in accordance with standards prescribed by the State Auditor to assure that State funds are used for the purposes provided by law.
(4) Provide to the Fiscal Research Division a copy of the annual audited financial statement required in subdivision (3) of this subsection within 30 days of issuance of the statement.
SECTION 13.13.(c) No funds appropriated under this act shall be released to an Opportunities Industrialization Center (hereinafter Center) listed in subsection (a) of this section if the Center has any overdue tax debts, as that term is defined in G.S. 105-243.1, at the federal or State level.
Requested by: Representatives Kiser, Haire
ESTABLISH CONFERENCE OF CLERKS OF SUPERIOR COURT
SECTION 14.1.(a) Chapter 7A of the General Statutes is amended by adding a new Subchapter to read:
"subchapter xv. conference of clerks of superior court.
"Article 63.
"Conference of Clerks of Superior Court.
"§ 7A-805. Establishment and purpose.
There is created the Conference of Clerks of Superior Court of North Carolina, of which each clerk of superior court is a member. The purpose of the Conference is to assist in improving the administration of justice in North Carolina by coordinating the efforts of the various clerks of superior court, by assisting them in the administration of their offices, and by exercising the powers and performing the duties provided for in this Article.
"§ 7A-806. Annual meetings; organization; election of officers.
(a) Annual Meetings. - The Conference shall meet each summer and winter at a time and place selected by the President of the Conference.
(b) Election of Officers. - Officers of the Conference are a President, two Vice Presidents, a Secretary, a Treasurer, and other officers from among its membership that the Conference may designate in its bylaws. Officers are elected for one-year terms at the annual summer conference and take office on July 1 immediately following their election.
(c) Executive Committee. - The Executive Committee of the Conference consists of the President, the two Vice Presidents, the Secretary, the Treasurer, and seven other members of the Conference. One of these seven members shall be the immediate past president if there is one and that past president continues to be a member.
(d) Organization and Functioning; Bylaws. - The bylaws may provide for the organization and functioning of the Conference, including the powers and duties of its officers and committees. The bylaws shall state the number of members required to constitute a quorum at any meeting of the Conference or the Executive Committee. The bylaws shall set out the procedure for amending the bylaws.
(e) Calling Meetings; Duty to Attend. - The President or the Executive Committee may call a meeting of the Conference upon 10 days' notice to the members, except upon written waiver of notice signed by at least three-fourths of the members. A member should attend each meeting of the Conference and the Executive Committee of which he is given notice. Members are entitled to reimbursement for travel and subsistence expenses at the rate applicable to State employees.
"§ 7A-807. Powers of Conference.
(a) The Conference may:
(1) Cooperate with citizens and other public and private agencies to promote the effective administration of justice.
(2) Develop advisory manuals to assist in the organization and administration of their offices, case management, calendaring, case tracking, filing, and office procedures.
(3) Work with the cooperation of the Administrative Office of the Courts and the Institute of Government of the School of Government at UNC-Chapel Hill to provide education and training programs for clerks and staff.
(b) The Conference may not adopt rules pursuant to Chapter 150B of the General Statutes.
"§ 7A-808. Executive secretary; clerical support.
The Conference may employ an executive secretary and any necessary supporting staff to assist it in carrying out its duties."
Requested by: Representatives Kiser, Haire, Goodwin
DIVIDE DISTRICT COURT DISTRICT 20 INTO 20A AND 20B AND REALIGN SUPERIOR COURT DISTRICTS 20A AND 20B
SECTION 14.2.(a) G.S. 7A-41(a) reads as rewritten:
"(a) The counties of the State are organized into judicial divisions and superior court districts, and each superior court district has the counties, and the number of regular resident superior court judges set forth in the following table, and for districts of less than a whole county, as set out in subsection (b) of this section:
Superior
Judicial Court No. of Resident
Division District Counties Judges
______________________________________________________________________
First 1 Camden, Chowan, 2
Currituck, Dare, Gates,
Pasquotank, Perquimans
First 2 Beaufort, Hyde, 1
Martin, Tyrrell, Washington
First 3A Pitt 2
Second 3B Carteret, Craven, 3
Pamlico
Second 4A Duplin, Jones, 1
Sampson 1
Second 4B Onslow 1
Second 5A (part of New Hanover, 1
part of Pender see subsection (b))
5B (part of New Hanover, 1
part of Pender see subsection (b))
5C (part of New Hanover, 1
see subsection (b))
First 6A Halifax 1
First 6B Bertie, Hertford, 1
Northampton
First 7A Nash 1
First 7B (part of Wilson, 1
part of Edgecombe,
see subsection (b))
First 7C (part of Wilson, 1
part of Edgecombe, see
subsection (b))
Second 8A Lenoir and Greene 1
Second 8B Wayne 1
Third 9 Franklin, Granville, 2
Vance, Warren
Third 9A Person, Caswell 1
Third 10A (part of Wake, 2
see subsection (b))
Third 10B (part of Wake, 2
see subsection (b))
Third 10C (part of Wake, 1
see subsection (b))
Third 10D (part of Wake, 1
see subsection (b))
Fourth 11A Harnett, Lee 1
Fourth 11B Johnston 1
Fourth 12A (part of Cumberland, 1
see subsection (b))
Fourth 12B (part of Cumberland, 1
see subsection (b))
Fourth 12C (part of Cumberland, 2
see subsection (b))
Fourth 13 Bladen, Brunswick, 2
Columbus
Third 14A (part of Durham, 1
see subsection (b))
Third 14B (part of Durham, 3
see subsection (b))
Third 15A Alamance 2
Third 15B Orange, Chatham 2
Fourth 16A Scotland, Hoke 1
Fourth 16B Robeson 2
Fifth 17A Rockingham 2
Fifth 17B Stokes, Surry 2
Fifth 18A (part of Guilford, 1
see subsection (b))
Fifth 18B (part of Guilford, 1
see subsection (b))
Fifth 18C (part of Guilford, 1
see subsection (b))
Fifth 18D (part of Guilford, 1
see subsection (b))
Fifth 18E (part of Guilford, 1
see subsection (b))
Sixth 19A Cabarrus 1
Fifth 19B Montgomery, Randolph 1
Sixth 19C Rowan 1
Fifth 19D Moore 1
Sixth
20A
Anson, Richmond
1 2
Richmond Stanly
Sixth
20B
Stanly,
Union
2 1
Fifth 21A (part of Forsyth, 1
see subsection (b))
Fifth 21B (part of Forsyth, 1
see subsection (b))
Fifth 21C (part of Forsyth, 1
see subsection (b))
Fifth 21D (part of Forsyth, 1
see subsection (b))
Sixth 22 Alexander, Davidson, 3
Davie, Iredell
Fifth 23 Alleghany, Ashe, 1
Wilkes, Yadkin
Eighth 24 Avery, Madison, 2
Mitchell, Watauga, Yancey
Seventh 25A Burke, Caldwell 2
Seventh 25B Catawba 2
Seventh 26A (part of Mecklenburg, 2
see subsection (b))
Seventh 26B (part of Mecklenburg, 3
see subsection (b))
Seventh 26C (part of Mecklenburg, 2
see subsection (b))
Seventh 27A Gaston 2
Seventh 27B Cleveland, Lincoln 2
Eighth 28 Buncombe 2
Eighth 29 Henderson, 2
McDowell, Polk, Rutherford,
Transylvania
Eighth 30A Cherokee, Clay, 1
Graham, Macon, Swain
Eighth 30B Haywood, Jackson 1."
SECTION 14.2.(c) G.S. 7A-133(a) reads as rewritten:
"(a) Each district court district shall have the numbers of judges as set forth in the following table:
District Judges County
1 5 Camden
Chowan
Currituck
Dare
Gates
Pasquotank
Perquimans
2 4 Martin
Beaufort
Tyrrell
Hyde
Washington
3A 5 Pitt
3B 5 Craven
Pamlico
Carteret
4 8 Sampson
Duplin
Jones
Onslow
5 8 New Hanover
Pender
6A 2 Halifax
6B 3 Northampton
Bertie
Hertford
7 7 Nash
Edgecombe
Wilson
8 6 Wayne
Greene
Lenoir
9 4 Granville
(part of Vance
see subsection (b))
Franklin
9A 2 Person
Caswell
9B 2 Warren
(part of Vance
see subsection (b))
10 15 Wake
11 8 Harnett
Johnston
Lee
12 9 Cumberland
13 6 Bladen
Brunswick
Columbus
14 6 Durham
15A 4 Alamance
15B 4 Orange
Chatham
16A 3 Scotland
Hoke
16B 5 Robeson
17A 2 Rockingham
17B 4 Stokes
Surry
18 12 Guilford
19A 4 Cabarrus
19B 6 Montgomery
Moore
Randolph
19C 4 Rowan
20 20A
7 4
Stanly
Union
Anson
Richmond
20B 3 Union
21 9 Forsyth
22 9 Alexander
Davidson
Davie
Iredell
23 4 Alleghany
Ashe
Wilkes
Yadkin
24 4 Avery
Madison
Mitchell
Watauga
Yancey
25 8 Burke
Caldwell
Catawba
26 17 Mecklenburg
27A 6 Gaston
27B 4 Cleveland
Lincoln
28 6 Buncombe
29 7 Henderson
McDowell
Polk
Rutherford
Transylvania
30 5 Cherokee
Clay
Graham
Haywood
Jackson
Macon
Swain."
Requested by: Representatives Kiser, Haire
COLLECTION OF WORTHLESS CHECK FUNDS
SECTION 14.3. Notwithstanding the provisions of G.S. 7A-308(c), the Judicial Department may use any balance remaining in the Collection of Worthless Checks Fund on June 30, 2005, for the purchase or repair of office or information technology equipment during the 2005-2006 fiscal year. Prior to using any funds under this section, the Judicial Department shall report to the Joint Legislative Commission on Governmental Operations and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on the equipment to be purchased or repaired and the reasons for the purchases.
Requested by: Representatives Kiser, Haire
TRANSFER OF EQUIPMENT AND SUPPLY FUNDS
SECTION 14.4. Funds appropriated to the Judicial Department in the 2005-2007 biennium for equipment and supplies shall be certified in a reserve account. The Administrative Office of the Courts may transfer these funds to the appropriate programs and between programs as the equipment priorities and supply consumptions occur during the operating year. These funds shall not be expended for any other purpose.
Requested by: Representatives Kiser, Haire
Requested by: Representatives Kiser, Haire
Requested by: Representatives Kiser, Haire
INCREASE CHARGES FOR APPELLATE DIVISION REPORTS TO ACTUAL COST
Requested by: Representatives Kiser, Haire
NORTH CAROLINA STATE BAR FUNDS
Requested by: Representatives Kiser, Haire
WAKE COUNTY PUBLIC DEFENDER OFFICE FUNDS
Requested by: Representatives Kiser, Haire
OFFICE OF INDIGENT DEFENSE SERVICES EXPANSION FUNDS
Requested by: Representatives Kiser, Haire
OFFICE OF INDIGENT DEFENSE SERVICES REPORT
SECTION 14.12. The Office of Indigent Defense Services shall report to the Chairs of the Senate and House of Representatives Appropriations Committees and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety by March 1 of each year on:
(1) The volume and cost of cases handled in each district by assigned counsel or public defenders;
(2) Actions taken by the Office to improve the cost-effectiveness and quality of indigent defense, including the capital case program;
(3) Plans for changes in rules, standards, or regulations in the upcoming year; and
(4) Any recommended changes in law or funding procedures that would assist the Office in improving the management of funds expended for indigent defense services.
The Office shall also consult with the Conference of District Attorneys of North Carolina, the Conference of District Court Judges, and the Conference of Superior Court Judges in formulating proposals aimed at reducing future costs, including the possibility of decriminalizing minor traffic offenses, changing the way that criminal district court is scheduled, and reevaluating the handling of capital cases. The Office shall include these proposals in its reports during the 2005-2007 fiscal biennium.
Requested by: Representatives Kiser, Haire
CLARIFY THAT FEES PAID TO ATTORNEYS REPRESENTING INDIGENT CLIENTS SHALL BE FIXED IN ACCORDANCE WITH THE RULES ADOPTED BY THE OFFICE OF INDIGENT DEFENSE SERVICES AND MAY NOT BE SET AT HIGHER RATES WITHOUT THE APPROVAL OF THE OFFICE OF INDIGENT DEFENSE SERVices
SECTION 14.13. G.S. 7A-458 reads as rewritten:
"§ 7A-458. Counsel fees.
The fee to which an attorney who represents an indigent person is entitled shall be fixed in accordance with rules adopted by the Office of Indigent Defense Services. Fees shall be based on the factors normally considered in fixing attorneys' fees, such as the nature of the case, and the time, effort and responsibility involved. Fees shall not be set or ordered at rates higher than those established by the rules adopted under this section without the approval of the Office of Indigent Defense Services. Even if the trial, appeal, hearing or other proceeding is never held, preparation therefor is nevertheless compensable and, in capital cases and other extraordinary cases pending in superior court, a fee for services rendered and payment for expenses incurred may be allowed pending final determination of the case."
Requested by: Representatives Kiser, Haire
ESTABLISH PUBLIC DEFENDER'S OFFICE IN THE FIFTH DEFENDER DISTRICT
SECTION 14.14.(a) G.S. 7A-498.7(a) reads as rewritten:
"§ 7A-498.7. Public Defender Offices.
(a) The following counties of the State are organized into the defender districts listed below, and in each of those defender districts an office of public defender is established:
Defender District Counties
1 Camden, Chowan,
Currituck, Dare, Gates,
Pasquotank, Perquimans
3A Pitt
3B Carteret
5 New Hanover, Pender
10 Wake
12 Cumberland
14 Durham
15B Orange, Chatham
16A Scotland, Hoke
16B Robeson
18 Guilford
21 Forsyth
26 Mecklenburg
27A Gaston
28 Buncombe
After notice to, and consultation with, the affected district bar, senior resident superior court judge, and chief district court judge, the Commission on Indigent Defense Services may recommend to the General Assembly that a district or regional public defender office be established. A legislative act is required in order to establish a new office or to abolish an existing office."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SUBSISTENCE EXPENSES of SUPERIOR COURT JUDGES
SECTION 14.15. G.S. 7A-44(a) reads as rewritten:
"(a) A judge of the superior
court, regular or special, shall receive the annual salary set forth in the
Current Operations Appropriations Act, and in addition shall be paid the same
travel allowance as State employees generally by G.S. 138-6(a)(1) and
(2), G.S. 138-6(a), provided that no travel allowance be paid
for travel within his the judge's county of residence. In
addition, a judge of the superior court shall be allowed seven thousand dollars
($7,000) per year, payable monthly, in lieu of necessary subsistence expenses
while attending court or transacting official business at a place other than in
the county of his residence and in lieu of other professional expenses incurred
in the discharge of his official duties. The Administrative Officer of the
Courts may also reimburse superior court judges, in addition to the above funds
for travel and subsistence, for travel and subsistence expenses incurred for
professional education."
Requested by: Representative Michaux
REALLOCATION OF MEDIATION FUNDS
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Haire, Culpepper, Frye, Sutton
Establish A new district court judge in district 14, a new assistant district attorney in district 14, and a new assistant district attorney in district 24
SECTION 14.17.(a) G.S. 7A-133(a) reads as rewritten:
"(a) Each district court district shall have the numbers of judges as set forth in the following table:
District Judges County
1 5 Camden
Chowan
Currituck
Dare
Gates
Pasquotank
Perquimans
2 4 Martin
Beaufort
Tyrrell
Hyde
Washington
3A 5 Pitt
3B 5 Craven
Pamlico
Carteret
4 8 Sampson
Duplin
Jones
Onslow
5 8 New Hanover
Pender
6A 2 Halifax
6B 3 Northampton
Bertie
Hertford
7 7 Nash
Edgecombe
Wilson
8 6 Wayne
Greene
Lenoir
9 4 Granville
(part of Vance
see subsection (b))
Franklin
9A 2 Person
Caswell
9B 2 Warren
(part of Vance
see subsection (b))
10 15 Wake
11 8 Harnett
Johnston
Lee
12 9 Cumberland
13 6 Bladen
Brunswick
Columbus
14
6 7
Durham
15A 4 Alamance
15B 4 Orange
Chatham
16A 3 Scotland
Hoke
16B 5 Robeson
17A 2 Rockingham
17B 4 Stokes
Surry
18 12 Guilford
19A 4 Cabarrus
19B 6 Montgomery
Moore
Randolph
19C 4 Rowan
20 7 Stanly
Union
Anson
Richmond
21 9 Forsyth
22 9 Alexander
Davidson
Davie
Iredell
23 4 Alleghany
Ashe
Wilkes
Yadkin
24 4 Avery
Madison
Mitchell
Watauga
Yancey
25 8 Burke
Caldwell
Catawba
26 17 Mecklenburg
27A 6 Gaston
27B 4 Cleveland
Lincoln
28 6 Buncombe
29 7 Henderson
McDowell
Polk
Rutherford
Transylvania
30 5 Cherokee
Clay
Graham
Haywood
Jackson
Macon
Swain."
SECTION 14.17.(c) G.S. 7A-60(a1) reads as rewritten:
"(a1) The counties of the State are organized into prosecutorial districts, and each district has the counties and the number of full-time assistant district attorneys set forth in the following table:
No. of Full-Time
Prosecutorial Asst. District
District Counties Attorneys
1 Camden, Chowan, Currituck, 10
Dare, Gates, Pasquotank,
Perquimans
2 Beaufort, Hyde, Martin, 6
Tyrrell, Washington
3A Pitt 9
3B Carteret, Craven, Pamlico 10
4 Duplin, Jones, Onslow, 14
Sampson
5 New Hanover, Pender 14
6A Halifax 4
6B Bertie, Hertford, 4
Northampton
7 Edgecombe, Nash, Wilson 16
8 Greene, Lenoir, Wayne 11
9 Franklin, Granville, 11
Vance, Warren
9A Person, Caswell 4
10 Wake 31
11 Harnett, Johnston, Lee 14
12 Cumberland 18
13 Bladen, Brunswick, Columbus 11
14
Durham
13 14
15A Alamance 8
15B Orange, Chatham 7
16A Scotland, Hoke 5
16B Robeson 10
17A Rockingham 5
17B Stokes, Surry 5
18 Guilford 27
19A Cabarrus 6
19B Montgomery, Moore, Randolph 11
19C Rowan 5
20 Anson, Richmond, 15
Stanly, Union
21 Forsyth 17
22 Alexander, Davidson, Davie, 16
Iredell
23 Alleghany, Ashe, Wilkes, 5
Yadkin
24
Avery, Madison,
Mitchell,
45
Watauga, Yancey
25 Burke, Caldwell, Catawba 15
26 Mecklenburg 36
27A Gaston 12
27B Cleveland, 9
Lincoln
28 Buncombe 11
29 Henderson, McDowell, Polk, 11
Rutherford, Transylvania
30 Cherokee, Clay, Graham, 9
Haywood, Jackson, Macon,
Swain."
SECTION 14.17.(d) This section becomes effective October 1, 2005.
Requested by: Representatives Haire, Ross
STUDY WAKE COUNTY FAMILY COURT
Requested by: Representatives Kiser, Haire
SECTION 14.19.(a) Chapter 164 of the General Statutes is amended by adding a new section to read:
"§ 164-48. Biennial report on juvenile recidivism.
The Judicial Department, through the North Carolina Sentencing and Policy Advisory Commission, shall conduct biennial recidivism studies of juveniles in North Carolina. Each study shall be based upon a sample of juveniles adjudicated delinquent and document subsequent involvement in both the juvenile justice system and criminal justice system for at least two years following the sample adjudication. All State agencies shall provide data as requested by the Commission.
The Sentencing and Policy Advisory Commission shall report the results of the first recidivism study to the Chairs of the Senate and House of Representatives Appropriations Committees and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety by May 1, 2007, and future reports shall be made by May 1 of each odd-numbered year."
SECTION 14.19.(c) Article 33 of Chapter 7B of the General Statutes is repealed.
Requested by: Representatives Kiser, Haire
TRAVEL ALLOWANCE for appellate judges who reside fifty miles or more from raleigh
SECTION 14.20.(a) G.S. 7A-10(b) reads as rewritten:
"(b) The Chief Justice and
each of the associate justices shall receive the annual salary provided in
Current Operations Appropriations Act. Each justice is entitled to
reimbursement for travel and subsistence expenses at the rate allowed State employees
generally.generally, except that each justice who lives at least 50
miles from the City of Raleigh shall be paid a weekly travel allowance for each
week the justice travels to the City of Raleigh from the justice's home for
business of the court. The allowance shall be calculated for each justice by
multiplying the actual round-trip mileage from that justice's home to the City
of Raleigh by the rate-per-mile which is the business standard mileage rate set
by the Internal Revenue Service in Rev. Proc. 93-51, December 27, 1993."
SECTION 14.20.(b) G.S. 7A-18(a) reads as rewritten:
"(a) The Chief Judge and
each associate judge of the Court of Appeals shall receive the annual salary
provided in the Current Operations Appropriations Act. Each judge is entitled
to reimbursement for travel and subsistence expenses at the rate allowed State
employees generally.generally, except that each judge who lives at
least 50 miles from the City of Raleigh shall be paid a weekly travel allowance
for each week the judge travels to the City of Raleigh from the judge's home
for business of the court. The allowance shall be calculated for each judge by
multiplying the actual round-trip mileage from that judge's home to the City of
Raleigh by the rate-per-mile which is the business standard mileage rate set by
the Internal Revenue Service in Rev. Proc. 93-51, December 27, 1993."
SECTION 14.20.(c) This section becomes effective January 1, 2006.
Requested by: Representatives Kiser, Haire
reimbursement for use of personal vehicles
PART XV. DEPARTMENT OF JUSTICE
Requested by: Representatives Kiser, Haire
USE OF SEIZED AND FORFEITED PROPERTY TRANSFERRED TO STATE LAW ENFORCEMENT AGENCIES BY THE FEDERAL GOVERNMENT
SECTION 15.1.(a) Assets transferred to the Departments of Justice, Correction, and Crime Control and Public Safety during the 2005-2007 biennium pursuant to applicable federal law shall be credited to the budgets of the respective departments and shall result in an increase of law enforcement resources for those departments. The Departments of Justice, Correction, and Crime Control and Public Safety shall report to the Joint Legislative Commission on Governmental Operations upon receipt of the assets and, before using the assets, shall report on the intended use of the assets and the departmental priorities on which the assets may be expended.
SECTION 15.1.(b) The General Assembly finds that the use of assets transferred pursuant to federal law for new personnel positions, new projects, acquisition of real property, repair of buildings where the repair includes structural change, and construction of or additions to buildings may result in additional expenses for the State in future fiscal periods. Therefore, the Department of Justice, the Department of Correction, and the Department of Crime Control and Public Safety are prohibited from using these assets for such purposes without the prior approval of the General Assembly.
SECTION 15.1.(c) Nothing in this section prohibits North Carolina law enforcement agencies from receiving funds from the United States Department of Justice, the United States Department of the Treasury, and the United States Department of Health and Human Services.
Requested by: Representatives Kiser, Haire
PRIVATE PROTECTIVE SERVICES AND ALARM SYSTEMS LICENSING BOARDS PAY FOR USE OF STATE FACILITIES AND SERVICES
SECTION 15.2. The Private Protective Services and Alarm Systems Licensing Boards shall pay the appropriate State agency for the use of physical facilities and services provided to those Boards by the State.
Requested by: Representatives Kiser, Haire
CERTAIN LITIGATION EXPENSES TO BE PAID BY CLIENTS
SECTION 15.3. Client departments, agencies, and boards shall reimburse the Department of Justice for reasonable court fees, attorney travel and subsistence costs, and other costs directly related to litigation in which the Department of Justice is representing the department, agency, or board.
Requested by: Representatives Kiser, Haire
REIMBURSEMENT FOR UNC BOARD OF GOVERNORS LEGAL REPRESENTATION
SECTION 15.4. The Department of Justice shall be reimbursed by the Board of Governors of The University of North Carolina for two Attorney III positions to provide legal representation to The University of North Carolina System.
Requested by: Representatives Kiser, Haire
REPORT ON CRIMINAL RECORD CHECKS CONDUCTED FOR CONCEALED HANDGUN PERMITS/STUDY FEE ADJUSTMENT FOR CRIMINAL RECORD CHECKS
SECTION 15.5.(a) The Department of Justice shall report by January 15 each year to the Joint Legislative Commission on Governmental Operations, the Chairs of the Senate and House of Representatives Appropriations Committees, and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on the receipts, costs for, and number of criminal record checks performed in connection with applications for concealed weapons permits. The report by the Department of Justice shall also include information on the number of applications received and approved for firearms safety courses.
SECTION 15.5.(b) The Office of State Budget and Management, in consultation with the Department of Justice, shall study the feasibility of adjusting the fees charged for criminal record checks conducted by the Division of Criminal Information of the Department of Justice as a result of the increase in receipts from criminal record checks. The study shall include an assessment of the Division's operational, personnel, and overhead costs related to providing criminal record checks and how those costs have changed since the prior fiscal year. The Office of State Budget and Management shall report its findings and recommendations to the Chairs of the Senate and House of Representatives Appropriations Committees, the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety, and the Fiscal Research Division on or before March 1, 2006.
Requested by: Representatives Kiser, Haire
NC LEGAL EDUCATION ASSISTANCE FOUNDATION REPORT ON FUNDS DISBURSED
SECTION 15.6. The North Carolina Legal Education Assistance Foundation shall report by March 1 of each year to the Joint Legislative Commission on Governmental Operations on the expenditure of State funds, the purpose of the expenditures, the number of attorneys receiving funds, the average award amount, the average student loan amount, the number of attorneys on the waiting list, and the average number of years for which attorneys receive loan assistance.
Requested by: Representatives Kiser, Haire
Requested by: Representatives Kiser, Haire
STUDY DNA TESTING AND ANALYSIS COSTS
SECTION 15.8. The Office of State Budget and Management, in consultation with the Department of Justice, shall study the cost of testing and analyzing DNA samples. The study shall include all of the following: a determination of the unit cost for analyzing a rape kit and a comparison of that cost with the unit cost for the same analysis when performed by other labs, both public and private; a comparison of the amount of funds and length of time required to eliminate the backlog of rape kits using private labs versus the SBI crime lab; and a survey of the funding sources used by other states for their DNA testing and analysis lab costs. The Office of State Budget and Management shall report its findings and recommendations to the Chairs of the Senate and House of Representatives Appropriations Committees, the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety, and the Fiscal Research Division on or before March 1, 2006.
Requested by: Representative Haire
Statewide Automated Fingerprint System Replacement
By November 1, 2005, the Department of Justice shall provide a plan to the Subcommittee for Justice and Public Safety of the Joint Legislative Commission on Governmental Operations that shall include all of the following:
(1) A description of the system and project status report.
(2) The cost estimates for equipment replacement, maintenance, and operating costs, including proposed sources of funding.
(3) The method of procurement.
(4) The time line for completion of the project.
PART XVI. DEPARTMENT OF JUVENILE JUSTICE AND DELINQUENCY PREVENTION
Requested by: Representatives Kiser, Haire
S.O.S. ADMINISTRATIVE COST LIMITS
Requested by: Representatives Kiser, Haire
JCPC GRANT REPORTING AND CERTIFICATION
SECTION 16.2.(b) Each county in which local programs receive Juvenile Crime Prevention Council grant funds from the Department of Juvenile Justice and Delinquency Prevention shall certify annually through its local council to the Department that funds received are not used to duplicate or supplant other programs within the county.
Requested by: Representatives Kiser, Haire
(1) The source of referrals for juveniles.
(2) The types of offenses committed by juveniles participating in the program.
(3) The amount of time those juveniles spend in the program.
(4) The number of juveniles who successfully complete the program.
(5) The number of juveniles who commit additional offenses after completing the program.
(6) The program's budget and expenditures, including all funding sources.
SECTION 16.3.(b) The Juvenile Assessment Center shall report to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on the effectiveness of the Center by April 1 each year. The report shall include information on the number of juveniles served and an evaluation of the effectiveness of juvenile assessment plans and services provided as a result of these plans. In addition, the report shall include information on the Center's budget and expenditures, including all funding sources.
(1) The number of children served.
(2) The number of volunteers used.
(3) The impact on children who have received services from Communities in Schools.
(4) The program's budget and expenditures, including all funding sources.
Requested by: Representatives Kiser, Haire
ANNUAL EVALUATION OF COMMUNITY PROGRAMS
(1) The expenditure of State appropriations on the program;
(2) The operations and the effectiveness of the program; and
(3) The number of juveniles served under the program.
In conducting the evaluation of each of these programs, the Department shall consider whether participation in each program results in a reduction of court involvement among juveniles. The Department shall also identify whether the programs are achieving the goals and objectives of the Juvenile Justice Act, S.L. 1998-202. The Department shall report the results of the evaluation to the Chairs of the House of Representatives and Senate Appropriations Committees and the Chairs of the Subcommittees on Justice and Public Safety of the House of Representatives and Senate Appropriations Committees by March 1 of each year.
Requested by: Representatives Kiser, Haire
STATE FUNDS MAY BE USED AS FEDERAL MATCHING FUNDS
Requested by: Representatives Kiser, Haire
IMPLEMENTATION OF TREATMENT STAFFING MODEL AT YOUTH DEVELOPMENT CENTERS
Requested by: Representatives Kiser, Haire
PROGRESS REPORTS ON YOUTH DEVELOPMENT CENTER CAPITAL PROJECTS
(1) An overall project schedule for each new youth development center showing the original estimated date for construction completion and the original estimated date for occupancy by juvenile offenders, compared to the latest projected dates.
(2) An explanation of significant delays in the schedule or any potential cost increase.
The Office of State Construction and the Capital Improvement Section of the Office of State Budget and Management shall assist the Department of Juvenile Justice and Delinquency Prevention in the preparation of the report required by this section.
Requested by: Representatives Kiser, Haire, Michaux, Clary
JCPC Grants to Prevent Gang Violence
No individual program grant may exceed one hundred thousand dollars ($100,000).
Requested by: Representatives Kiser, Haire, Earle
Study of local Detention Centers
(1) Recent admission trends and projections of future population.
(2) The offense history and assessed needs of the population.
(3) Whether staffing levels are appropriate for the number and types of offenders housed in the facility.
(4) Whether the center has adequate housing capacity.
(5) The cost to operate the center, including the formula for allocating costs between the county that operates the facility and the State.
(6) The feasibility of the State operating the local detention center, if recommended by one or more of the counties that operate the facility.
(7) Determine the repair and renovation needs and estimate the cost of any repairs or renovations.
(8) The estimated cost to plan, design, and construct new detention centers, if appropriate.
The Committee shall conduct the study in conjunction with the local detention centers, the Office of State Budget and Management, the Office of State Construction of the Department of Administration, and the Department of Juvenile Justice and Delinquency Prevention.
The Committee shall report its findings to the Chairs of the House of Representatives and Senate Appropriations Committees and the Chairs of the Appropriations Subcommittees on Justice and Public Safety of the House of Representatives and the Senate upon the convening of the 2006 Regular Session of the 2005 General Assembly.
Requested by: Representative Haire
plan, design, and construction of youth development centers
PART XVII. DEPARTMENT OF CORRECTION
Requested by: Representatives Kiser, Haire
SECTION 17.1. The Department of Correction, the Department of Justice, the Department of Crime Control and Public Safety, the Judicial Department, and the Department of Juvenile Justice and Delinquency Prevention shall report by May 1 of each year to the Joint Legislative Commission on Governmental Operations, the Chairs of the Senate and House of Representatives Appropriations Committees, and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on federal grant funds received or preapproved for receipt by those departments. The report shall include information on the amount of grant funds received or preapproved for receipt by each department, the use of the funds, the State match expended to receive the funds, and the period to be covered by each grant. If the department intends to continue the program beyond the end of the grant period, the department shall report on the proposed method for continuing the funding of the program at the end of the grant period. Each department shall also report on any information it may have indicating that the State will be requested to provide future funding for a program presently supported by a local grant.
Requested by: Representatives Kiser, Haire
REIMBURSE COUNTIES FOR HOUSING AND EXTRAORDINARY MEDICAL COSTS FOR INMATES, PAROLEES, AND POST-RELEASE SUPERVISEES AWAITING TRANSFER TO STATE PRISON SYSTEM
SECTION 17.2. The Department of Correction may use funds available to the Department for the 2005-2007 biennium to pay the sum of forty dollars ($40.00) per day as reimbursement to counties for the cost of housing convicted inmates, parolees, and post-release supervisees awaiting transfer to the State prison system, as provided in G.S. 148-29. The Department shall report quarterly to the Joint Legislative Commission on Governmental Operations, the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee, the Chairs of the Senate and House of Representatives Appropriations Committees, and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on the expenditure of funds to reimburse counties for prisoners awaiting transfer and on its progress in reducing the jail backlog.
Requested by: Representatives Kiser, Haire
HOLIDAY PAY FOR DEPARTMENT OF CORRECTION STAFF
Requested by: Representatives Kiser, Haire
DEPARTMENT OF CORRECTION SECURITY STAFFING FORMULAS
SECTION 17.4.(a) G.S. 143B-262.5 reads as rewritten:
"§ 143B-262.5. Security Staffing.
(a) The Department of
Correction shall conduct security staffing post-audits of each prison at
least biannually, the first such audit to be completed during the 2002-2003
fiscal year. The initial post-audit shall be conducted jointly by Department
staff and a consultant, external to the Department, and shall include analysis
of the staffing levels assigned for supervision of correctional officers. conduct:
(1) On-site postaudits of every prison at least once every three years;
(2) Regular audits of postaudit charts through the automated postaudit system; and
(3) Other staffing audits as necessary.
(b) The Department of
Correction shall update the security staffing relief formula biannually, the
first update to be completed during the 2002-2003 fiscal year. at least
every three years. Each update shall include a review of all annual
training requirements for security staff to determine which of these
requirements should be mandatory and the appropriate frequency of the training.
The Department shall survey other states to determine which states use a
vacancy factor in their staffing relief formulas."
Requested by: Representatives Kiser, Haire
USE OF CLOSED PRISON FACILITIES
SECTION 17.5. In conjunction with the closing of prison facilities, including small expensive prison units recommended for consolidation by the Government Performance Audit Committee, the Department of Correction shall consult with the county or municipality in which the unit is located, with the elected State and local officials, and with State agencies about the possibility of converting that unit to other use. The Department may also consult with any private for-profit or nonprofit firm about the possibility of converting the unit to other use. In developing a proposal for future use of each unit, the Department shall give priority to converting the unit to other criminal justice use. Consistent with existing law and the future needs of the Department of Correction, the State may provide for the transfer or the lease of any of these units to counties, municipalities, State agencies, or private firms wishing to convert them to other use. The Department of Correction may also consider converting some of the units recommended for closing from one security custody level to another, where that conversion would be cost-effective. A prison unit under lease to a county pursuant to the provisions of this section for use as a jail is exempt for the period of the lease from any of the minimum standards adopted by the Secretary of Health and Human Services pursuant to G.S. 153A-221 for the housing of adult prisoners that would subject the unit to greater standards than those required of a unit of the State prison system.
Prior to any transfer or lease of these units, the Department of Correction shall report on the terms of the proposed transfer or lease to the Joint Legislative Commission on Governmental Operations and the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee. The Department of Correction shall also provide annual summary reports to the Joint Legislative Commission on Governmental Operations and the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee on the conversion of these units to other use and on all leases or transfers entered into pursuant to this section.
Requested by: Representatives Kiser, Haire
INMATE COSTS/MEDICAL BUDGET FOR PRESCRIPTION DRUGS AND INMATE CLOTHING AND LAUNDRY SERVICES
SECTION 17.6.(a) If the cost of providing food and health care to inmates housed in the Division of Prisons is anticipated to exceed the continuation budget amounts provided for that purpose in this act, the Department of Correction shall report the reasons for the anticipated cost increase and the source of funds the Department intends to use to cover those additional needs to the Joint Legislative Commission on Governmental Operations, the Chairs of the Senate and House of Representatives Appropriations Committees, and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety.
SECTION 17.6.(b) Notwithstanding the provisions of G.S. 143-23(a2), the Department of Correction may use funds available during the 2005-2006 fiscal year for the purchase of prescription drugs for inmates if expenditures are projected to exceed the Department's inmate medical continuation budget for prescription drugs. The Department shall consult with the Joint Legislative Commission on Governmental Operations prior to exceeding the continuation budget amount.
SECTION 17.6.(c) Notwithstanding the provisions of G.S. 143-23(a2), the Department of Correction may use funds available during the 2005-2006 fiscal year for the purchase of clothing and laundry services for inmates if expenditures are projected to exceed the Department's budget for clothing and laundry services. The Department shall consult with the Joint Legislative Commission on Governmental Operations prior to exceeding the continuation budget amount.
Requested by: Representatives Kiser, Haire
CONVERSION OF CONTRACTED MEDICAL POSITIONS
SECTION 17.7.(a) The Department of Correction may convert contract medical positions to permanent State medical positions if the Department can document that the total savings generated will exceed the total cost of the new positions for each facility. Where practical, the Department shall convert contract positions to permanent positions by using existing vacancies in medical positions.
Requested by: Representatives Kiser, Haire
LIMIT USE OF OPERATIONAL FUNDS
SECTION 17.8. Funds appropriated in this act to the Department of Correction for operational costs for additional facilities shall be used for personnel and operating expenses set forth in the budget approved by the General Assembly in this act. These funds shall not be expended for any other purpose, except as provided for in this act, and shall not be expended for additional prison personnel positions until the new facilities are within 120 days of projected completion, except for certain management, security, and support positions necessary to prepare the facility for opening, as authorized in the budget approved by the General Assembly.
Requested by: Representatives Kiser, Haire
SECTION 17.9. Notwithstanding the provisions of G.S. 148-2, the Department of Correction may use up to the sum of seven hundred fifty thousand dollars ($750,000) from funds available to the Department to provide the State match needed in order to receive federal grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety and the Joint Legislative Commission on Governmental Operations on the grants to be matched using these funds.
Requested by: Representatives Kiser, Haire
COMPUTER/DATA PROCESSING SERVICES FUNDS
SECTION 17.10. Notwithstanding the provisions of G.S. 143-23(a2), the Department of Correction may use funds available during the 2005-2006 fiscal year for expenses for computer/data processing services if expenditures exceed the Department's continuation budget amount for those services. The Department shall report to the Joint Legislative Commission on Governmental Operations prior to exceeding the continuation budget amount.
Requested by: Representatives Kiser, Haire
MEDIUM CUSTODY ROAD CREW COMPENSATION/COMMUNITY WORK CREWS
SECTION 17.11.(a) Of funds appropriated to the Department of Transportation by this act, the sum of ten million dollars ($10,000,000) per year shall be transferred by the Department of Transportation to the Department of Correction during the 2005-2007 biennium for the actual costs of highway-related labor performed by medium-custody prisoners, as authorized by G.S. 148-26.5. This transfer shall be made quarterly in the amount of two million five hundred thousand dollars ($2,500,000). The Department of Transportation may use funds appropriated by this act to pay an additional amount exceeding the ten million dollars ($10,000,000), but those payments shall be subject to negotiations among the Department of Transportation, the Department of Correction, and the Office of State Budget and Management prior to payment by the Department of Transportation.
SECTION 17.11.(b) The Department of Correction may use up to 39 work crews for Department of Transportation litter control projects. The Department of Transportation shall transfer at least one million three hundred thousand dollars ($1,300,000) per year from the Highway Fund to the Department of Correction during the 2005-2007 biennium to cover the cost of those work crews. Should the two departments determine that the actual cost of operating 39 work crews exceeds that amount, the Department of Transportation shall transfer an additional amount as agreed upon by the two departments and the Office of State Budget and Management.
Requested by: Representatives Kiser, Haire
INMATE CUSTODY AND CLASSIFICATION SYSTEM
Requested by: Representatives Kiser, Haire
EXTEND LIMITS OF CONFINEMENT/TERMINALLY ILL AND PERMANENTLY AND TOTALLY DISABLED INMATES
SECTION 17.13. G.S. 148-4 reads as rewritten:
"§ 148-4. Control and custody of prisoners; authorizing prisoner to leave place of confinement.
The Secretary of Correction shall have control and custody of all prisoners serving sentence in the State prison system, and such prisoners shall be subject to all the rules and regulations legally adopted for the government thereof. Any sentence to imprisonment in any unit of the State prison system, or to jail to be assigned to work under the State Department of Correction, shall be construed as a commitment, for such terms of imprisonment as the court may direct, to the custody of the Secretary of Correction or his authorized representative, who shall designate the places of confinement within the State prison system where the sentences of all such persons shall be served. The authorized agents of the Secretary shall have all the authority of peace officers for the purpose of transferring prisoners from place to place in the State as their duties might require and for apprehending, arresting, and returning to prison escaped prisoners, and may be commissioned by the Governor, either generally or specially, as special officers for returning escaped prisoners or other fugitives from justice from outside the State, when such persons have been extradited or voluntarily surrendered. Employees of departments, institutions, agencies, and political subdivisions of the State hiring prisoners to perform work outside prison confines may be designated as the authorized agents of the Secretary of Correction for the purpose of maintaining control and custody of prisoners who may be placed under the supervision and control of such employees, including guarding and transferring such prisoners from place to place in the State as their duties might require, and apprehending and arresting escaped prisoners and returning them to prison. The governing authorities of the State prison system are authorized to determine by rules and regulations the manner of designating these agents and placing prisoners under their supervision and control, which rules and regulations shall be established in the same manner as other rules and regulations for the government of the State prison system.
The Secretary of Correction may extend the limits of the place of confinement of a prisoner, as to whom there is reasonable cause to believe he will honor his trust, by authorizing him, under prescribed conditions, to leave the confines of that place unaccompanied by a custodial agent for a prescribed period of time to
(1) Contact prospective employers; or
(2) Secure a suitable residence for use when released on parole or upon discharge; or
(3) Obtain medical services not otherwise available; or
(4) Participate in a training program in the community; or
(5) Visit or attend the funeral of a spouse, child (including stepchild, adopted child or child as to whom the prisoner, though not a natural parent, has acted in the place of a parent), parent (including a person though not a natural parent, has acted in the place of a parent), brother, or sister; or
(6) Participate in community-based programs of rehabilitation, including, but not limited to the existing community volunteer and home-leave programs, pre-release and after-care programs as may be provided for and administered by the Secretary of Correction and other programs determined by the Secretary of Correction to be consistent with the prisoner's rehabilitation and return to society; or
(7) Be on maternity leave, for a period of time not to exceed 60 days. The county departments of social services are expected to cooperate with officials at the North Carolina Correctional Center for Women to coordinate prenatal care, financial services, and placement of the child; or
(8) Receive palliative
care, only in the case of a terminally ill inmate or a permanently and totally
disabled inmate that the Secretary finds no longer poses a threat to
society,a significant public safety risk, and only after
consultation with any victims of the inmate or the victims' families. For
purposes of this subdivision, the term "terminally ill" describes an
inmate who, as determined by a licensed physician, has an incurable condition
caused by illness or disease that was unknown at the time of sentencing and
was not diagnosed upon entry to prison, that will likely produce death
within 12 months.six months, and that is so debilitating that it is
highly unlikely that the inmate poses a significant public safety risk. For
purposes of this subdivision, the term "permanently and totally
disabled" describes an inmate who, as determined by a licensed physician,
suffers from permanent and irreversible physical incapacitation as a result of
an existing physical or medical condition.condition that was unknown
at the time of sentencing and was not diagnosed upon entry to prison, and that
is so incapacitating that it is highly unlikely that the inmate poses a
significant public safety risk. The Department's medical director shall notify
the Secretary immediately when an inmate has been classified as terminally ill and
shall provide regular reports on inmates classified as permanently and totally
disabled. The Secretary shall act expeditiously in determining whether to
extend the limits of confinement under this subdivision upon receiving notice
that an inmate has been classified as terminally ill or permanently and totally
disabled and, in the case of a terminally ill inmate, the Secretary shall make
a good faith effort to reach a determination within 30 days of receiving notice
of the inmate's terminal condition.
The willful failure of a prisoner to remain within the extended limits of his confinement, or to return within the time prescribed to the place of confinement designated by the Secretary of Correction, shall be deemed an escape from the custody of the Secretary of Correction punishable as provided in G.S. 148-45."
Requested by: Representatives Kiser, Haire
Report on INMATE COMMUNITY WORK CREWS AND INMATE LABOR CONTRACTS
Requested by: Representatives Kiser, Haire
reimbursement rates for health services to prison inmates
SECTION 17.15.(a) G.S. 148-19 reads as rewritten:
"§ 148-19. Health services.
(a) The general policies, rules and regulations of the Department of Correction shall prescribe standards for health services to prisoners, which shall include preventive, diagnostic, and therapeutic measures on both an outpatient and a hospital basis, for all types of patients. A prisoner may be taken, when necessary, to a medical facility outside the State prison system. The Department of Correction shall seek the cooperation of public and private agencies, institutions, officials and individuals in the development of adequate health services to prisoners.
(b) Upon request of the Secretary of Correction, the Secretary of Health and Human Services may detail personnel employed by the Department of Health and Human Services to the Department of Correction for the purpose of supervising and furnishing medical, psychiatric, psychological, dental, and other technical and scientific services to the Department of Correction. The compensation, allowances, and expenses of the personnel detailed under this section may be paid from applicable appropriations to the Department of Health and Human Services, and reimbursed from applicable appropriations to the Department of Correction. The Secretary of Correction may make similar arrangements with any other agency of State government able and willing to aid the Department of Correction to meet the needs of prisoners for health services. Reimbursement rates to health care providers for health care services rendered to prisoners shall be established as provided in G.S. 148-22.
(c) Each prisoner committed to the State Department of Correction shall receive a physical and mental examination by a health care professional authorized by the North Carolina Medical Board to perform such examinations as soon as practicable after admission and before being assigned to work. The prisoner's work and other assignments shall be made with due regard for the prisoner's physical and mental condition.
(d) The Commission for Mental Health, Developmental Disabilities, and Substance Abuse Services shall adopt standards for the delivery of mental health and mental retardation services to inmates in the custody of the Department of Correction. The Commission for Mental Health, Developmental Disabilities, and Substance Abuse Services shall give the Secretary of Correction an opportunity to review and comment on proposed standards prior to promulgation of such standards; however, final authority to determine such standards remains with the Commission. The Secretary of the Department of Health and Human Services shall designate an agency or agencies within the Department of Health and Human Services to monitor the implementation by the Department of Correction of these standards and of substance abuse standards adopted by the Department of Correction upon the advice of the Substance Abuse Advisory Council established pursuant to G.S. 143B-270. The Secretary of Health and Human Services shall send a written report on the progress which the Department of Correction has made on the implementation of such standards to the Governor, the Lieutenant Governor, and the Speaker of the House. Such reports shall be made on an annual basis beginning January 1, 1978."
SECTION 17.15.(b) G.S. 148-22 reads as rewritten:
"§ 148-22. Treatment programs.
(a) The general policies, rules and regulations of the Department of Correction shall provide for humane treatment of prisoners and for programs to effect their correction and return to the community as promptly as practicable. Visits and correspondence between prisoners and approved friends shall be authorized under reasonable conditions, and family members shall be permitted and encouraged to maintain close contact with the prisoners unless such contacts prove to be hurtful. Casework, counseling, and psychotherapy services provided to prisoners may be extended to include members of the prisoner's family if practicable and necessary to achieve the purposes of such programs. Education, library, recreation, and vocational training programs shall be developed so as to coordinate with corresponding services and opportunities which will be available to the prisoner when he is released. Programs may be established for the treatment and training of mentally retarded prisoners and other special groups. These programs may be operated in segregated sections of facilities housing other prisoners or in separate facilities.
(b) The Department of Correction may cooperate with and seek the cooperation of public and private agencies, institutions, officials, and individuals in the development and conduct of programs designed to give persons committed to the Department opportunities for physical, mental and moral improvement. The Department may enter into agreements with other agencies of federal, State or local government and with private agencies to promote the most effective use of available resources.
Specifically the Secretary of Correction may enter into contracts or agreements with appropriate public or private agencies offering needed services including health, mental health, mental retardation, substance abuse, rehabilitative or training services for such inmates of the Department of Correction as the Secretary may deem eligible. These agencies shall be reimbursed from applicable appropriations to the Department of Correction for services rendered at a rate not to exceed that which such agencies normally receive for serving their regular clients. The Secretary of Correction shall provide for the reimbursement of health care providers for services rendered at a rate not to exceed the rate paid for the same or similar service or diagnostic-related grouping under the Teachers' and State Employees' Comprehensive Major Medical Plan. The Secretary of Correction shall have access to rate information held by the Teachers' and State Employees' Comprehensive Major Medical Plan as authorized under G.S. 135-37 and G.S. 135-40.4.
The Secretary may contract for the housing of work-release inmates at county jails and local confinement facilities. Inmates may be placed in the care of such agencies but shall remain the responsibility of the Department and shall be subject to the complete supervision of the Department. The Department may reimburse such agencies for the support of such inmates at a rate not in excess of the average daily cost of inmate care in the corrections unit to which the inmate would otherwise be assigned."
SECTION 17.15.(c) G.S. 135-37 reads as rewritten:
"§ 135-37. Confidentiality.
Any information as herein described in this section which is in the possession of the Executive Administrator and the Board of Trustees of the Teachers' and State Employees' Comprehensive Major Medical Plan or its Claims Processor under the Teachers' and State Employees' Comprehensive Major Medical Plan shall be confidential and shall be exempt from the provisions of Chapter 132 of the General Statutes or any other provision requiring information and records held by State agencies to be made public or accessible to the public. This section shall apply to all information concerning individuals, including the fact of coverage or noncoverage, whether or not a claim has been filed, medical information, whether or not a claim has been paid, and any other information or materials concerning a plan participant. Provided, however, such information may be released to the State Auditor, or to the Attorney General, or to the persons designated under G.S. 135-39.3 in furtherance of their statutory duties and responsibilities, or to the Secretary of Correction in furtherance of the Secretary's duty under G.S. 148-19 and G.S. 148-22, or to such persons or organizations as may be designated and approved by the Executive Administrator and Board of Trustees of the Teachers' and State Employees' Comprehensive Major Medical Plan, but any information so released shall remain confidential as stated above and any party obtaining such information shall assume the same level of responsibility for maintaining such confidentiality as that of the Executive Administrator and Board of Trustees of the Teachers' and State Employees' Comprehensive Major Medical Plan."
SECTION 17.15.(d) G.S. 135-40.4 reads as rewritten:
"§ 135-40.4. Benefits in general.
(a) In the event a covered person, as a result of accidental bodily injury, disease or pregnancy, incurs covered expenses, the Plan will pay benefits up to the amounts described in G.S. 135-40.5 through G.S. 135-40.9.
The Plan is divided into two parts. The first part includes certain benefits which are not subject to a deductible or coinsurance. The second part is a comprehensive plan and includes those benefits which are subject to both a three hundred fifty dollar ($350.00) deductible for each covered individual to an aggregate maximum of one thousand fifty dollars ($1,050) per employee and child(ren) or employee and family coverage contract and coinsurance of 80%/20%. There is a limit on out-of-pocket expenses under the second part.
Notwithstanding the provisions of this Article, the Executive Administrator and Board of Trustees of the Teachers' and State Employees' Comprehensive Major Medical Plan may contract with providers of institutional and professional medical care and services to established preferred provider networks. The terms pertaining to reimbursement rates or other terms of consideration of any contract between hospitals, hospital authorities, doctors or other medical providers, or a pharmacy benefit manager and the Plan shall not be a public record under Chapter 132 of the General Statutes for a period of thirty months after the date of the expiration of the contract. Provided, however, nothing in this subsection shall be deemed to prevent or restrict the release of any information made not a public record under this subsection to the State Auditor, the Attorney General, the Director of the State Budget, the Secretary of Correction, the Plan's Executive Administrator, and the Committee on Employee Hospital and Medical Benefits solely and exclusively for their use in the furtherance of their duties and responsibilities. The design, adoption, and implementation of the preferred provider contracts and networks are not subject to the requirements of Chapter 143 of the General Statutes, provided that for any hospital preferred provider network all hospitals will have an opportunity to contract with the Plan if they meet the contract requirements. The Executive Administrator and Board of Trustees shall, under the provisions of G.S. 135-39.5(12), pursue such preferred provider contracts on a timely basis and shall make reports as requested to the President of the Senate, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Committee on Employee Hospital and Medical Benefits on its progress in negotiating the preferred provider contracts. The Executive Administrator and Board of Trustees shall implement a refined diagnostic-related grouping or diagnostic-related grouping-based reimbursement system for hospitals as soon as practicable, but no later than January 1, 1995.
(b) As used in this section the term "preferred provider contracts or networks" includes, but is not limited to, a refined diagnostic-related grouping or diagnostic-related grouping-based system of reimbursement for hospitals."
The Department of Correction shall also report on any cost savings generated in the inmate medical budget as a result of the new Department of Correction medical positions funded in this act or as a result of any new departmental initiatives established during the 2005-2006 fiscal year.
SECTION 17.15.(f) The Executive Administrator of the Teachers' and State Employees' Comprehensive Major Medical Plan shall work with the North Carolina Association of County Commissioners to determine the potential savings and cost of authorizing local confinement facilities to reimburse health care providers for inmate medical services rendered at a rate not to exceed the rate paid for the same or similar services or diagnostic-related groupings under the Teachers' and State Employees' Comprehensive Major Medical Plan.
Requested by: Representatives Kiser, Haire, Owens
CORRECTION ENTERPRISES LONG-RANGE PLAN/replacement of umstead laundry
The Department of Correction shall submit the long-range business plan required by this section to the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee by March 1, 2006.
Requested by: Representatives Kiser, Haire
STAFFING STUDY OF UNIT MANAGEMENT
The Department shall report its findings and recommendations to the Chairs of the House and Senate Appropriations Subcommittees on Justice and Public Safety and the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee by March 1, 2006.
Requested by: Representatives Kiser, Haire
ENERGY COMMITTED TO OFFENDERS/CONTRACT AND REPORT
SECTION 17.17A. The Department of Correction may continue to contract with Energy Committed To Offenders, Inc., for the purchase of prison beds for minimum security female inmates during the 2005-2007 biennium. Energy Committed To Offenders, Inc., shall report by February 1 of each year to the Joint Legislative Commission on Governmental Operations on the annual cost per inmate and the average daily inmate population compared to bed capacity using the same methodology as that used by the Department of Correction.
Requested by: Representatives Kiser, Haire, Miller
REPORT ON ELECTRONIC MONITORING COSTS/study The use of global positioning systems in the location and tracking of convicted sex offenders
SECTION 17.19.(a) The Department of Correction shall report by March 1 of each year to the Chairs of the Senate and House of Representatives Appropriations Committees and the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on its efforts to increase the use of electronic monitoring of sentenced offenders in the community as an alternative to the incarceration of probation violators. The report shall also document the geographical distribution of electronic monitoring use compared to other intermediate sanctions. The Department shall also analyze the reasons for the underutilization of the electronic monitoring program and include its findings in the report.
SECTION 17.19.(b) The Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee shall study the use of global positioning monitoring devices for released felons convicted of crimes of sexual predation. The review shall include the consideration of ways to enhance the effectiveness of the Division of Criminal Statistics in locating individuals required to register as sex offenders.
Requested by: Representatives Kiser, Haire
REPORT ON PROBATION AND PAROLE CASELOADS
SECTION 17.20.(a) The Department of Correction shall report by March 1 of each year to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety and the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee on caseload averages for probation and parole officers. The report shall include:
(1) Data on current caseload averages for Probation Parole Officer I, Probation Parole Officer II, and Probation Parole Officer III positions;
(2) An analysis of the optimal caseloads for these officer classifications;
(3) An assessment of the role of surveillance officers;
(4) The number and role of paraprofessionals in supervising low-risk caseloads;
(5) An update on the Department's implementation of the recommendations contained in the National Institute of Correction study conducted on the Division of Community Corrections in 2004;
(6) The selection of a risk assessment and the resulting distribution of offenders among risk levels; and
(7) Any position reallocations in the previous 12 months, and the reasons for and fiscal impact of those reallocations.
SECTION 17.20.(b) The Department of Correction shall conduct a study of probation/parole officer workload at least biannually. The study shall include analysis of the type of offenders supervised, the distribution of the probation/parole officers' time by type of activity, the caseload carried by the officers, and comparisons to practices in other states. The study shall be used to determine whether the caseload goals established by the Structured Sentencing Act are still appropriate, based on the nature of the offenders supervised and the time required to supervise those offenders.
SECTION 17.20.(c) The Department of Correction shall report the results of the study and recommendations for any adjustments to caseload goals to the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety by January 1, 2007.
Requested by: Representatives Kiser, Haire
COMMUNITY SERVICE WORK PROGRAM
SECTION 17.21. The Department of Correction shall report to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety by February 1 of each year on the integration of the Community Service Work Program into the Division of Community Corrections, including the Department's ability to monitor the collection of offender payments from unsupervised offenders sentenced to community service. The Department shall also report to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety by February 1 of each year on the average caseloads of Community Service Work Program coordinators, by district, division, and statewide. The report shall also include the money collected, the type and value of the work performed, and the number of offenders in the Community Service Work Program, by type of referral (i.e. parole, supervised probation, unsupervised probation or community punishment, DWI, or any other agency referrals).
Requested by: Representatives Kiser, Haire
SECTION 17.22.(a) Funds appropriated in this act to the Department of Correction to support the programs of Harriet's House may be used for program operating costs, the purchase of equipment, and the rental of real property to serve women released from prison with children in their custody. Harriet's House shall report by February 1 of each year to the Joint Legislative Commission on Governmental Operations on the expenditure of State appropriations and on the effectiveness of the program, including information on the number of clients served, the number of clients who successfully complete the Harriet's House program, and the number of clients who have been rearrested within three years of successfully completing the program. The report shall provide financial and program data for the complete fiscal year prior to the year in which the report is submitted. The financial report shall identify all funding sources and amounts.
SECTION 17.22.(b) Summit House shall report by February 1 of each year to the Joint Legislative Commission on Governmental Operations on the expenditure of State appropriations and on the effectiveness of the program, including information on the number of clients served, the number of clients who have had their probation revoked, the number of clients who successfully complete the program while housed at Summit House, Inc., and the number of clients who have been rearrested within three years of successfully completing the program. The report shall provide financial and program data for the complete fiscal year prior to the year in which the report is submitted. The financial report shall identify all funding sources and amounts.
SECTION 17.22.(c) Women at Risk shall report by February 1 of each year to the Joint Legislative Commission on Governmental Operations on the expenditure of State funds and on the effectiveness of the program, including information on the number of clients served, the number of clients who have had their probation revoked, the number of clients who have successfully completed the program, and the number of clients who have been rearrested within three years of successfully completing the program. The report shall provide financial and program data for the complete fiscal year prior to the year in which the report is submitted. The financial report shall identify all funding sources and amounts.
Requested by: Representatives Kiser, Haire
CRIMINAL JUSTICE PARTNERSHIP PROGRAM
SECTION 17.23.(b) Notwithstanding the provisions of G.S. 143B-273.15 specifying that grants to participating counties are for the full fiscal year and that unobligated funds are returned to the State-County Criminal Justice Partnership Account at the end of the grant period, the Department of Correction may reallocate unspent or unclaimed funds distributed to counties participating in the State-County Criminal Justice Partnership Program in an effort to maintain the level of services realized in previous fiscal years.
SECTION 17.23.(d) The Department of Correction shall report by February 1 of each year to the Chairs of the Senate and House of Representatives Appropriations Committees, the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety, and the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee on the status of the State-County Criminal Justice Partnership Program. The report shall include the following information:
(1) The amount of funds carried over from the prior fiscal year;
(2) The dollar amount and purpose of grants awarded to counties as discretionary grants for the current fiscal year;
(3) Any counties the Department anticipates will submit requests for new implementation grants;
(4) An update on efforts to ensure that all counties make use of the electronic reporting system, including the number of counties submitting offender participation data via the system;
(5) An analysis of offender participation data received, including data on each program's utilization and capacity;
(6) An analysis of comparable programs, prepared by the Division of Research and Planning, Department of Correction, including a comparison of programs in each program type on selected outcome measures developed by the Division of Community Corrections in consultation with the Fiscal Research Division and the Division of Research and Planning, and a summary of the reports prepared by county Criminal Justice Partnerships Advisory Boards; and
(7) An evaluation of whether each sentenced offender program meets program standards developed by the Division of Community Corrections in consultation with the Division of Research and Planning.
SECTION 17.23.(e) G.S. 143B-273.14(c) reads as rewritten:
"(c) When a county receives more than fifty thousand dollars ($50,000) in community-based corrections funds, then that county shall use at least fifty percent (50%) of those funds to develop programs for offenders who receive intermediate punishments. No county shall use more than twenty-five percent (25%) of its funds to serve offenders released from jail prior to trial."
SECTION 17.23.(f) G.S. 143B-273.15 reads as rewritten:
"§ 143B-273.15. Funding formula.
To determine the grant amount for which a county or counties may apply, the granting authority shall apply the following formula:
(1) Twenty percent
(20%)Twenty-five percent (25%) based on a fixed equal dollar amount
for each county;
(2) Sixty percent (60%)Fifty
percent (50%) based on the county share of the State population; and
(3) Twenty percent
(20%)Twenty-five percent (25%) based on the supervised probation
admissions intermediate punishment entry rate for the county.county,
using the total of the three most recent years of data available divided by the
average county population for that same period.
The sum of the amounts in subdivisions (1), (2), and (3) is the total amount of the funding that a county may apply for under this subsection.
Grants to participating counties are for a period of one fiscal year with unobligated funds being returned to the Account at the end of the grant period. Funds are provided to participating counties on a reimbursement basis unless a county documents a need for an advance of grant funds. The data used for this funding formula shall be updated at least once every three years."
Requested by: Representatives Kiser, Haire
REPORT ON INMATES ELIGIBLE FOR PAROLE
(1) The total number of Fair Sentencing and Pre-Fair Sentencing inmates that were parole-eligible during the current fiscal year and the total number of those inmates that were paroled. The report should group these inmates by offense type, custody classification, and type of parole. The report should also include a more specific analysis of those inmates who were parole-eligible and assigned to minimum custody classification but not released;
(2) The average time served, by offense class, of Fair Sentencing and Pre-Fair Sentencing inmates compared to inmates sentenced under Structured Sentencing; and
(3) The projected number of parole-eligible inmates to be paroled or released by the end of the 2007-2008 fiscal year and by the end of each of the next five fiscal years, beginning with the 2008-2009 fiscal year.
Requested by: Representatives Kiser, Haire
PROVIDE THAT THE TERMS OF THE MEMBERS OF THE POST-RELEASE SUPERVISION AND PAROLE COMMISSION SERVING ON JUNE 30, 2005, EXPIRE ON THAT DATE AND RESTRUCTURE THE COMMISSION TO CONSIST OF ONE FULL-TIME MEMBER AND TWO HALF-TIME MEMBERS
SECTION 17.25.(a) G.S. 143B-267 reads as rewritten:
"§ 143B-267. Post-Release Supervision and Parole Commission - members; selection; removal; chairman; compensation; quorum; services.
The Effective July 1, 2005, the Post-Release
Supervision and Parole Commission shall consist of three one full-time
members. member and two half-time members. The three full-time
members shall be appointed by the Governor from persons whose recognized
ability, training, experience, and character qualify them for service on the
Commission. The terms of office of the five members presently any
members serving on the Commission on June 30, 2005, shall expire on July
31, 1999. that date. The term of one of the members appointed
effective August 1, 1999, shall be for one year. The term of one of the members
appointed effective August 1, 1999, shall be for two years. The term of one of
the members appointed effective August 1, 1999, shall be for three years.
Thereafter, the The terms of office of persons appointed by the
Governor as members of the Commission shall be for four years or until their
successors are appointed and qualify. Any appointment to fill a vacancy on the
Commission created by the resignation, removal, death or disability of a full-time
member shall be for the balance of the unexpired term only.
The Governor shall have the authority to remove any member of
the Commission from office for misfeasance, malfeasance or nonfeasance,
pursuant to the provisions of G.S. 143B-13. The Governor shall designate a
full-time member of the Commission to serve as chairman chair
of the Commission at the pleasure of the Governor.
The granting, denying, revoking, or rescinding of parole, the authorization of work-release privileges to a prisoner, or any other matters of business coming before the Commission for consideration and action shall be decided by majority vote of the full Commission.
The full-time members of the Commission shall receive
the salary fixed by the General Assembly in the Current Operations
Appropriations Act and shall receive necessary travel and subsistence expenses
in accordance with the provisions of G.S. 138-6.
All clerical and other services required by the Commission shall be supplied by the Secretary of Correction."
SECTION 17.25.(b) This section becomes effective June 30, 2005.
Requested by: Representatives Kiser, Haire
POST-RELEASE SUPERVISION AND PAROLE COMMISSION/REPORT ON STAFFING REORGANIZATION AND REDUCTION
SECTION 17.26. The Post-Release Supervision and Parole Commission shall report by October 1 of each year to the Chairs of the Senate and House of Representatives Appropriations Subcommittees on Justice and Public Safety on a plan for restructuring the organization and operation of the Commission and implementing staff reductions to reflect both declines and changes in workload.
Requested by: Representatives Kiser, Haire
MUTUAL AGREEMENT PAROLE PROGRAM
Requested by: Representatives Sutton, Haire, Kiser
SECTION 17.28.(b) For the purposes of this section, the following rules apply for the calculation of the maximum sentence:
(1) The offense upon which the person was convicted shall be classified as the same felony class as the offense would have been classified if committed after the effective date of Article 81B of Chapter 15A of the General Statutes.
(2) The minimum sentence shall be the maximum number of months in the presumptive range of minimum durations in Prior Record Level VI of G.S. 15A-1340.17(c) for the felony class determined under subdivision (1) of this subsection. The maximum sentence shall be calculated using G.S. 15A-1340.17(d), (e), or (e1).
(3) If a person is serving sentences for two or more offenses that are concurrent in any respect, then the offense with the greater classification shall be used to determine a single maximum sentence for the concurrent offenses. The fact that the person has been convicted of multiple offenses may be considered by the Commission in making its determinations under subsection (a) of this section.
SECTION 17.28.(c) The Commission shall report to the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee on the results of its analysis by February 1, 2006, and shall reinitiate the parole review process for each offender who has served more time than that person would have under Structured Sentencing.
Requested by: Representatives Kiser, Haire
PAYMENT OF COURT COSTS, FINES, AND RESTITUTION BY PROBATIONERS
SECTION 17.29. G.S. 15A-1343(b) reads as rewritten:
"(b) Regular Conditions. - As regular conditions of probation, a defendant must:
…
(9) Pay the costs of court, any fine ordered by the court, and make restitution or reparation as provided in subsection (d). A defendant shall not pay costs associated with a substance abuse monitoring program or any other special condition of probation in lieu of, or prior to, the payments required by this subdivision.
…."
PART XVIII. DEPARTMENT OF CRIME CONTROL AND PUBLIC SAFETY
Requested by: Representatives Kiser, Haire
ANNUAL EVALUATION OF TARHEEL CHALLENGE PROGRAM
(1) The source of referrals for individuals participating in the Program;
(2) The summary of types of actions or offenses committed by the participants of the Program;
(3) An analysis outlining the cost of providing services for each participant, including a breakdown of all expenditures related to the administration and operation of the Program and the education and treatment of the Program participants;
(4) The number of individuals who successfully complete the Program; and
(5) The number of participants who commit offenses after completing the Program.
Requested by: Representatives Kiser, Haire
VICTIMS ASSISTANCE NETWORK REPORT
PART XiX. DEPARTMENT OF ADMINISTRATION
Requested by: Representatives Adams, West
CONTINUATION OF THE STUDY OF ADVOCACY PROGRAMS IN THE DEPARTMENT OF ADMINISTRATION
SECTION 19.1. The Secretary of the Department of Administration, in collaboration with appropriate entities that concentrate on public policy and business management, shall continue the study that was completed during the 2003-2004 fiscal year of the functions of the advocacy programs that are housed in the Department of Administration to determine the appropriate organizational placement of the programs within State government. The study shall include both the advocacy and service functions of the Division of Veterans Affairs, the Council for Women and the Domestic Violence Commission, the Commission of Indian Affairs, the Governor's Advocacy Council for Persons with Disabilities, the Human Relations Commission, and the Youth Advocacy and Involvement Office. The study shall also consider whether the functions of the programs could be more efficiently and effectively performed by an appropriate nonprofit organization. The Secretary shall report the findings and recommendations to the Joint Legislative Commission on Governmental Operations and to the Chairs of the Senate and House of Representatives Appropriations Committees by April 1, 2006.
Requested by: Representatives Adams, West
VETERANS SCHOLARSHIPS PARTIALLY FUNDED FROM ESCHEAT FUND
Requested by: Representatives Adams, West
Requested by: Representatives Adams, West
ALLOCATION OF PETROLEUM VIOLATION ESCROW FUNDS
PART XX. OFFICE OF THE GOVERNOR
Requested by: Representatives Adams, West
HOUSING FINANCE AGENCY HOME MATCHING FUNDS
(1) First priority to projects that are located in counties designated as Tier One, Tier Two, or Tier Three Enterprise Counties under G.S. 105-129.3; and
(2) Second priority to projects that benefit persons and families whose incomes are fifty percent (50%) or less of the median family income for the local area, with adjustments for family size, according to the latest figures available from the United States Department of Housing and Urban Development.
The Housing Finance Agency shall report to the Joint Legislative Commission on Governmental Operations by April 1 of each year concerning the status of the HOME Program and shall include in the report information on priorities met, types of activities funded, and types of activities not funded.
SECTION 20.1.(b) If the United States Congress changes the HOME Program such that matching funds are not required for a given program year, then the Agency shall not spend the matching funds appropriated under this act for that program year.
SECTION 20.1.(c) Funds appropriated in this act to match federal HOME Program funds shall not revert to the General Fund on June 30, 2006, or on June 30, 2007.
PART XX-A. INFORMATION TECHNOLOGY
Requested by: Representatives Adams, West
Multiyear Maintenance Contracts
(1) The proposed infrastructure maintenance agreement is entered into after June 30, 2005, and before July 1, 2007.
(2) The State Controller receives conclusive evidence that the proposed infrastructure agreement would be more cost-effective than any similar agreement that complies with G.S. 147-86.11.
(3) The Office of State Budget and Management (OSBM) verifies to the State Controller that the savings resulting from the proposed infrastructure agreement will be passed on to users in the form of lower rates for ITS Internal Service Fund services.
(4) The purchase of the proposed maintenance agreement complies in all other respects with applicable statutes and rules.
(5) ITS shall make adjustments of excess revenue, based on rates approved by OSBM, over allowable costs.
PART XXI. DEPARTMENT OF INSURANCE
Requested by: Representatives Adams, West
INSURANCE REGULATORY FUND TRANSFER TO GENERAL FUND
PART XXII. DEPARTMENT OF REVENUE
Requested by: Representatives Adams, West
DEPARTMENT OF REVENUE DEBT FEE FOR TAXPAYER LOCATER SERVICES AND COLLECTION
SECTION 22.1.(a) G.S. 105-243.1(e) reads as rewritten:
"(e) Use. - The fee is a receipt of the Department and must be applied to the costs of collecting overdue tax debts. The proceeds of the fee must be credited to a special account within the Department and may be expended only as provided in this subsection. The proceeds of the fee may not be used for any purpose that is not directly and primarily related to collecting overdue tax debts. The Department may apply the proceeds of the fee for the purposes listed in this subsection. The remaining proceeds of the fee may be spent only pursuant to appropriation by the General Assembly. The fee proceeds do not revert but remain in the special account until spent for the costs of collecting overdue tax debts. The Department and the Office of State Budget and Management must account for all expenditures using accounting procedures that clearly distinguish costs allocable to collecting overdue tax debts from costs allocable to other purposes and must demonstrate that none of the fee proceeds are used for any purpose other than collecting overdue tax debts.
The Department may apply the fee proceeds for the following purposes:
(1) To pay contractors for collecting overdue tax debts under subsection (b) of this section.
(2) To pay the fee the United States Department of the Treasury charges for setoff to recover tax owed to North Carolina.
(3) To pay for taxpayer locater services, not to exceed one hundred thousand dollars ($100,000) a year.
(4) To pay for postage or other delivery charges for correspondence directly and primarily relating to collecting overdue tax debts.
(5) To pay for operating expenses for Project Collection Tax and the Taxpayer Assistance Call Center.
(6) To pay for expenses of the Examination and Collection Division directly and primarily relating to collecting overdue tax debts."
SECTION 22.1.(b) G.S. 105-243.1(f) reads as rewritten:
"(f) Reports. - The Department must report semiannually to the Joint Legislative Commission on Governmental Operations and to the Revenue Laws Study Committee on its efforts to collect tax debts. Each report must include a breakdown of the amount and age of tax debts collected by collection agencies on contract, the amount and age of tax debts collected by the Department through warning letters, and the amount and age of tax debts otherwise collected by Department personnel. The report must itemize collections by type of tax. Each report must also include a long-term collection plan, a timeline for implementing each step of the plan, a summary of steps taken since the last report and their results, and any other data requested by the Commission or the Committee.
The Department must report by April 1, 2006, and annually thereafter, to the Revenue Laws Study Committee and the Fiscal Research Division of the General Assembly on the use of the fee proceeds for collecting overdue tax debts."
Requested by: Representatives Adams, West
POSITIONS FOR REVENUE TAX EVASION PROJECT
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Report on Enhanced Compliance, Enforcement, and Collection Efforts
(1) A detailed description of enhanced compliance, enforcement, and collection programs and methodologies and a detailed accounting of additional revenues collected as a result of each of those specific programs and methodologies.
(2) An analysis of the effectiveness and cost-efficiency of the various programs and methodologies with respect to each type of tax.
(3) A description of efforts to coordinate these enhanced compliance, enforcement, and collection efforts with existing compliance and collection efforts and recommendations for streamlining these various efforts.
(4) Recommendations for specific, nonbudgetary legislative actions to further enhance compliance, enforcement, and collection efforts.
PART XXIII. SECRETARY OF STATE
Requested by: Representatives Adams, West
SECRETARY OF STATE TO REASSIGN VACANT POSITION
PART XXIV. OFFICE OF STATE BUDGET AND MANAGEMENT
Requested by: Representatives Adams, West
SECTION 24.1. The North Carolina Humanities Council shall:
(1) By January 15, 2006, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2004-2005 program activities, objectives, and accomplishments;
b. State fiscal year 2004-2005 itemized expenditures and fund sources;
c. State fiscal year 2005-2006 planned activities, objectives, and accomplishments, including actual results through December 31, 2005; and
d. State fiscal year 2005-2006 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2005.
(2) By January 15, 2007, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division the following information:
a. State fiscal year 2005-2006 program activities, objectives, and accomplishments;
b. State fiscal year 2005-2006 itemized expenditures and fund sources;
c. State fiscal year 2006-2007 planned activities, objectives, and accomplishments, including actual results through December 31, 2006; and
d. State fiscal year 2006-2007 estimated itemized expenditures and fund sources, including actual expenditures and fund sources through December 31, 2006.
(3) Provide to the Fiscal Research Division a copy of the organization's annual audited financial statement within 30 days of issuance of the statement.
Requested by: Representatives Jeffus, Sherrill
NC HUMANITIES COUNCIL TEACHERS INSTITUTE
SECTION 24.2. Of the funds appropriated in this act to the Office of State Budget and Management - Reserve for Special Appropriations for the 2005-2006 fiscal year, the sum of $50,000 on a nonrecurring basis shall be allocated to the North Carolina Humanities Council Teachers Institute.
PART XXV. OFFICE OF THE STATE CONTROLLER
Requested by: Representatives Adams, West
SECTION 25.1.(b) For each fiscal year of the 2005-2007 biennium, two hundred thousand dollars ($200,000) of the funds transferred from the Special Reserve Account 24172 shall be used by the Office of the State Controller for data processing, debt collection, or e-commerce costs.
SECTION 25.1.(c) All funds available in the Special Reserve Account 24172 on July 1 of each year of the 2005-2007 biennium are transferred to the General Fund on that date.
SECTION 25.1.(d) Any unobligated funds in the Special Reserve Account 24172 that are realized above the allowance in subsection (b) of this section are subject to appropriation by the General Assembly in the 2006 Regular Session of the 2005 General Assembly.
SECTION 25.1.(e) The State Controller shall report quarterly to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on the revenue deposited into the Special Reserve Account 24172 and the disbursement of that revenue.
PART XXVII. DEPARTMENT OF THE STATE TREASURER
Requested by: Representatives Adams, West
REPORT OF THE STATUS OF THE TECHNOLOGY INFRASTRUCTURE ENHANCEMENTS
Requested by: Representatives Adams, West
SECTION 27.2.(b) The Retirement Systems Division shall maintain monthly workload statistics and productivity data for the various functions within the Division. The Department of State Treasurer shall report the workload statistics and productivity data to the Fiscal Research Division and to the Office of State Budget and Management on a quarterly basis.
Requested by: Representatives Adams, West
TREASURER REPORT ON STATE INVESTMENT OFFICER POSITION INCENTIVE BONUS
SECTION 27.3. G.S. 147-69.3 is amended by adding a new subsection to read:
"(i1) The State Treasurer shall report the incentive bonus paid to the Chief Investment Officer to the Joint Legislative Commission on Governmental Operations by October 1 of each year."
Requested by: Representatives Adams, West
State Treasurer/Reallocation of Existing Portfolio Manager Position
PART XXVIII. DEPARTMENT OF TRANSPORTATION
Requested by: Representatives Cole, Coates
REMOVE GOV OPS CONSULTATION ON FEDERAL-AID ACTS
SECTION 28.1. G.S. 136-44.2 reads as rewritten:
"§ 136-44.2. Budget and appropriations.
The Director of the Budget shall include in the "Current Operations Appropriations Bill" an enumeration of the purposes or objects of the proposed expenditures for each of the construction and maintenance programs for that budget period for the State primary, secondary, urban, and State parks road systems. The State primary system shall include all portions of the State highway system located outside municipal corporate limits which are designated by N.C., U.S. or Interstate numbers. The State secondary system shall include all of the State highway system located outside municipal corporate limits that is not a part of the State primary system. The State urban system shall include all portions of the State highway system located within municipal corporate limits. The State parks system shall include all State parks roads and parking lots which are not also part of the State highway system.
All construction and maintenance programs for which appropriations are requested shall be enumerated separately in the budget. Programs that are entirely State funded shall be listed separately from those programs involving the use of federal-aid funds. Proposed appropriations of State matching funds for each of the federal-aid construction programs shall be enumerated separately as well as the federal-aid funds anticipated for each program in order that the total construction requirements for each program may be provided for in the budget. Also, proposed State matching funds for the highway planning and research program shall be included separately along with the anticipated federal-aid funds for that purpose.
Other program categories for which appropriations are requested, such as, but not limited to, maintenance, channelization and traffic control, bridge maintenance, public service and access road construction, and ferry operations shall be enumerated in the budget.
The Department of Transportation shall have all powers
necessary to comply fully with provisions of present and future federal-aid
acts. No federally eligible construction project may be funded entirely with
State funds unless the Department of Transportation has first consulted with
reported to the Joint Legislative Commission on Governmental
Operations. For purposes of this section, "federally eligible construction
project" means any construction project except secondary road projects
developed pursuant to G.S. 136-44.7 and 136-44.8 eligible for federal
funds under any federal-aid act, whether or not federal funds are actually
available.
The "Current Operations Appropriations Bill" shall also contain the proposed appropriations of State funds for use in each county for maintenance and construction of secondary roads, to be allocated in accordance with G.S. 136-44.5 and 136-44.6. State funds appropriated for secondary roads shall not be transferred nor used except for the construction and maintenance of secondary roads in the county for which they are allocated pursuant to G.S. 136-44.5 and 136-44.6.
If the unreserved credit balance in the Highway Fund on the last day of a fiscal year is greater than the amount estimated for that date in the Current Operations Appropriations Act for the following fiscal year, the excess shall be used in accordance with this paragraph. The Director of the Budget may allocate part or all of the excess among reserves for access and public roads, for unforeseen events requiring prompt action, or for other urgent needs. The amount not allocated to any of these reserves by the Director of the Budget shall be credited to a reserve for maintenance. The Board of Transportation shall report monthly to the Joint Legislative Transportation Oversight Committee and the Fiscal Research Division on the use of funds in the maintenance reserve.
The Department of Transportation may provide for costs incurred or accrued for traffic control measures to be taken by the Department at major events which involve a high degree of traffic concentration on State highways, and which cannot be funded from regular budgeted items. This authorization applies only to events which are expected to generate 30,000 vehicles or more per day. The Department of Transportation shall provide for this funding by allocating and reserving up to one hundred thousand dollars ($100,000) before any other allocations from the appropriations for State maintenance for primary, secondary, and urban road systems are made, based upon the same proportion as is appropriated to each system."
Requested by: Representatives Cole, Coates
TRANSPORTATION SERVICES FOR TRADE SHOWS
Requested by: Representatives Cole, Coates
CASH-FLOW HIGHWAY FUND AND HIGHWAY TRUST FUND APPROPRIATIONS.
SECTION 28.3.(a) The General Assembly authorizes and certifies anticipated revenues of the Highway Fund as follows:
For Fiscal Year 2007-2008 $1,551.1 million
For Fiscal Year 2008-2009 $1,593.0 million
For Fiscal Year 2009-2010 $1,647.9 million
For Fiscal Year 2010-2011 $1,716.1 million
SECTION 28.3.(b) The General Assembly authorizes and certifies anticipated revenues of the Highway Trust Fund as follows:
For Fiscal Year 2007-2008 $1,136.9 million
For Fiscal Year 2008-2009 $1,186.4 million
For Fiscal Year 2009-2010 $1,229.6 million
For Fiscal Year 2010-2011 $1,283.2 million
Requested by: Representatives Cole, Coates
SMALL CONSTRUCTION AND CONTINGENCY FUNDS
SECTION 28.4. Of the funds appropriated in this act to the Department of Transportation:
(1) Twenty-one million dollars ($21,000,000) shall be allocated in each fiscal year for small construction projects reviewed and approved by the Division Engineer and the member of the Board of Transportation representing the Division in which the project is to be constructed. These funds shall be allocated equally in each fiscal year of the biennium among the 14 Highway Divisions for small construction projects.
(2) Fifteen million dollars ($15,000,000) in fiscal year 2005-2006 and fifteen million dollars ($15,000,000) in fiscal year 2006-2007 shall be used statewide for rural or small urban highway improvements and related transportation enhancements to public roads and public facilities, industrial access roads, and spot safety projects, including pedestrian walkways that enhance highway safety. Projects funded pursuant to this subdivision shall be reviewed and approved by the member of the Board of Transportation representing the Division in which the project is to be constructed.
None of these funds used for rural secondary road construction are subject to the county allocation formulas in G.S. 136-44.5(b) and (c).
These funds are not subject to G.S. 136-44.7.
The Department of Transportation shall report to the members of the General Assembly on projects funded pursuant to this section in each member's district prior to the Board of Transportation's action. The Department shall make a quarterly comprehensive report on the use of these funds to the Joint Legislative Transportation Oversight Committee and the Fiscal Research Division.
Requested by: Representatives Cole, Coates
USE OF EXCESS OVERWEIGHT/OVERSIZE FEES
SECTION 28.5. Chapter 20 of the General Statutes is amended by adding a new section to read:
"§ 20-119.1. Use of excess overweight and oversize fees.
Funds generated by overweight and oversize permit fees in excess of the cost of administering the program, as determined pursuant to G.S. 20-119(e), shall be used for highway and bridge maintenance required as a result of damages caused from overweight/oversize loads."
Requested by: Representatives Cole, Coates
STATE USE OF NORTH CAROLINA RAILROAD DIVIDENDS
SECTION 28.7. G.S. 124-5.1(a) reads as rewritten:
"(a) Notwithstanding the provisions of G.S. 136-16.6, in order to increase the capital of the North Carolina Railroad Company, any dividends of the North Carolina Railroad Company received by the State shall be applied to reduce the obligations described in subsection (c) of Section 32.30 of S.L. 1997-443, as amended by subsection (d) of Section 27.11 of S.L. 1999-237. Any dividends of the North Carolina Railroad Company received by the State shall be used by the Department of Transportation for the improvement of the property of the North Carolina Railroad Company as recommended and approved by the Board of Directors of the North Carolina Railroad Company. The improvements may include the following project types:
(1) Railroad and industrial track rehabilitation and installation in high traffic areas.
(2) Railroad signal and grade crossing protection.
(3) Bridge improvements.
(4) Corridor protection.
(5) Industrial site acquisition."
Requested by: Representatives Cole, Coates
ANALYSIS AND APPROVAL OF RULES, POLICIES, OR GUIDELINES AFFECTING DEPARTMENT OF TRANSPORTATION PROJECTS
SECTION 28.8.(a) G.S. 150B-21.4 is amended by adding a new subsection to read:
"(a1) DOT Analyses. - In addition to the requirements of subsection (a) of this section, any agency that adopts a rule affecting environmental permitting of Department of Transportation projects shall conduct an analysis to determine if the rule will result in an increased cost to the Department of Transportation. The analysis shall be conducted and submitted to the Board of Transportation before the agency publishes the proposed text of the rule change in the North Carolina Register. The agency shall consider any recommendations offered by the Board of Transportation prior to adopting the rule. Once a rule subject to this subsection is adopted, the Board of Transportation may submit any objection to the rule it may have to the Rules Review Commission. If the Rules Review Commission receives an objection to a rule from the Board of Transportation no later than 5:00 P.M. of the day following the day the Commission approves the rule, then the rule shall only become effective as provided in G.S. 150B-21.3(b1)."
SECTION 28.8.(b) Chapter 136 of the General Statutes is amended by adding a new section to read:
"§ 136-44.7C. Analysis and approval of Department of Transportation environmental policies or guidelines affecting transportation projects.
(a) Analysis Required. - The Department of Transportation shall conduct an analysis of any proposed environmental policy or guideline adopted by the Department that affects Department of Transportation projects to determine if the policy or guideline will result in an increased cost to Department of Transportation projects.
(b) Report of Analysis; Approval of Policy or Guideline Required. - The analysis of a proposed policy or guideline required by subsection (a) of this section shall be reported to the Board of Transportation at least 30 days prior to the proposed effective date of the policy or guideline, and shall not go into effect until approved by the Board of Transportation."
Requested by: Representatives Cole, Coates
DEPARTMENT OF TRANSPORTATION PRODUCTIVITY PILOT PROGRAMS
One of the new pilot programs shall involve the Pavement Markings Unit. The other pilot program may be selected by the Department of Transportation. Up to one-half of one percent (.50%) of the budget allocation for these programs may be used to provide employee incentive payments.
Incentive payments shall be based on quantifiable measures and production schedules determined prior to the implementation of the pilot programs. Pilot programs implemented under this subsection shall last no more than two years.
The Department of Transportation shall report to the Joint Legislative Transportation Oversight Committee on the pilot programs developed under this subsection at least 30 days prior to their implementation.
Requested by: Representatives Cole, Coates
DEPARTMENT OF TRANSPORTATION PERFORMANCE-BASED CONTRACTS
Prior to any advertisement for a proposed project the Department shall report to the Joint Legislative Transportation Oversight Committee on the contractor selection criteria to be used.
Requested by: Representatives Cole, Coates
DEPARTMENT OF TRANSPORTATION REORGANIZATION
Requested by: Representatives Cole, Coates
CONTINUING AVIATION APPROPRIATIONS
SECTION 28.12.(a) G.S. 136-16.4 is repealed.
SECTION 28.12.(b) G.S. 136-16.5 is repealed.
Requested by: Representatives Cole, Coates
DEPARTMENT OF TRANSPORTATION AUTHORITY TO PROVIDE WAY-FINDING SIGNS FOR THE ROANOKE VOYAGES CORRIDOR COMMISSION and the Blue Ridge National Heritage Area Partnership
"Sec. 7.2. At the request of the Roanoke Voyages Corridor Commission, the Department of Transportation may manufacture and install, on Roanoke Island and up to 30 miles off the island, way-finding signs that, by color, design, and lettering, do not comply with normal transportation signage standards. These signs shall be used to identify and give directions to historic, educational, and cultural attractions on the island. The Department of Transportation shall not erect any signage that would be impracticable, unfeasible, or that would result in an unsafe or hazardous condition."
SECTION 28.14.(b) At the request of the Blue Ridge National Heritage Area Partnership, as established by Public Law 108-108, Title I, Section 140(d)(3), the Department of Transportation may manufacture and install way-finding signs that, by color, design, and lettering, do not comply with normal transportation signage standards. Signage throughout the 25-county area, as defined in Public Law 108-108, Title I, Section 140(d)(2), of the Blue Ridge National Heritage Area shall be used to identify and give directions to historic, educational, and cultural attractions. The Department of Transportation shall not erect any signage that would be impracticable, unfeasible, or that would result in an unsafe or hazardous condition.
Requested by: Representatives Cole, Coates
Requested by: Representatives Cole, Coates
SECTION 28.17. G.S. 147-69.2(b)(11) reads as rewritten:
"(b) It shall be the duty of the State Treasurer to invest the cash of the funds enumerated in subsection (a) of this section in excess of the amount required to meet the current needs and demands on such funds, selecting from among the following:
…
(11) With respect to assets of the
Escheat Fund, obligations of the North Carolina Global TransPark Authority
authorized by G.S. 63A-4(a)(22), not to exceed twenty-five million dollars
($25,000,000), that have a final maturity not later than July 1, 2005. October
1, 2007. The obligations shall bear interest at the rate set by the State
Treasurer. No commitment to purchase obligations may be made pursuant to this
subdivision after September 1, 1993, and no obligations may be purchased after
September 1, 1994. In the event of a loss to the Escheat Fund by reason of an
investment made pursuant to this subdivision, it is the intention of the
General Assembly to hold the Escheat Fund harmless from the loss by
appropriating to the Escheat Fund funds equivalent to the loss.
If any part of the property owned by the North Carolina Global TransPark Authority now or in the future is divested, proceeds of the divestment shall be used to fulfill any unmet obligations on an investment made pursuant to this subdivision."
Requested by: Representatives Cole, Coates
REPORT ON STORMWATER PILOT PROJECT
SECTION 28.19. The Department of Transportation shall report to the Joint Legislative Transportation Oversight Committee by August 1, 2005 on its plan to clean up ocean outfalls in accordance with Section 30.20 of S.L. 2004-124.
Requested by: Representatives Cole, Coates
Establishing TOLLWAYS on federally funded highways designated as Interstates
SECTION 28.21.(b) Chapter 136 of the General Statutes is amended by adding a new section to read:
"§ 136-89.198. Authority to toll existing interstate highways.
Notwithstanding any other provision of this Article, the Authority may collect tolls on any existing interstate highway for which the United States Department of Transportation has granted permission by permit, or any other lawful means, to do so. The revenue generated from the collected tolls shall be used by the Authority to repair and maintain the interstate on which the tolls were collected. These revenues shall not be used to repair, maintain, or upgrade any State primary or secondary road adjacent to or connected with the interstate highways."
Requested by: Representatives Cole, Coates, Brubaker, Stam
FUNDING FOR CONDEMNATION PROJECTS
Requested by: Representative Cole
FUNDS FOR PIEDMONT AND CAROLINIAN OPERATIONS
SECTION 28.23. In Section 3.1 of this Act, funds are appropriated for the operation of the Piedmont and Carolinian Rail Services.
Requested by: Representatives Williams
ADDITIONAL TROOPERS FOR THE STATE HIGHWAY PATROL
SECTION 28.24. In Section 3.1 of this Act, funds are appropriated for a total of 25 addition Trooper positions in the Department of Crime Control and Public Safety, Division of State Highway Patrol.
PART XXIX. SALARIES AND EMPLOYEE BENEFITS
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
governor and council of state/salary increases
SECTION 29.1.(a) Effective July 1, 2005, G.S. 147-11(a) reads as rewritten:
"(a) The salary of the
Governor shall be one hundred twenty-one thousand three hundred ninety-one
dollars ($121,391)one hundred twenty-two thousand four hundred seventy-seven
dollars ($122,477) annually, payable monthly."
Council of State Annual Salary
Lieutenant Governor $108,222
Attorney General 108,222
Secretary of State 108,222
State Treasurer 108,222
State Auditor 108,222
Superintendent of Public Instruction 108,222
Agriculture Commissioner 108,222
Insurance Commissioner 108,222
Labor Commissioner 108,222
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
nonelected department heads/salary increases
Nonelected Department Heads Annual Salary
Secretary of Administration $105,758
Secretary of Correction 105,758
Secretary of Crime Control and Public Safety 105,758
Secretary of Cultural Resources 105,758
Secretary of Commerce 105,758
Secretary of Environment and Natural Resources 105,758
Secretary of Health and Human Services 105,758
Secretary of Juvenile Justice and Delinquency Prevention 105,758
Secretary of Revenue 105,758
Secretary of Transportation 105,758
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
certain executive branch officials/salary increases
Executive Branch Officials Annual Salary
Chairman, Alcoholic Beverage Control Commission $96,356
State Controller 134,416
Commissioner of Motor Vehicles 96,356
Commissioner of Banks 108,222
Chairman, Employment Security Commission 133,161
State Personnel Director 105,758
Chairman, Parole Commission 88,079
Members of the Parole Commission 40,701
Chairman, Utilities Commission 120,401
Members of the Utilities Commission 108,222
Executive Director, Agency for Public Telecommunications 81,401
Director, Museum of Art 98,707
Executive Director, North Carolina Agricultural
Finance Authority 93,818
State Chief Information Officer 134,336
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
judicial branch officials/salary increases
Judicial Branch Officials Annual Salary
Chief Justice, Supreme Court $122,477
Associate Justice, Supreme Court 119,305
Chief Judge, Court of Appeals 116,349
Judge, Court of Appeals 114,379
Judge, Senior Regular Resident Superior Court 111,301
Judge, Superior Court 108,222
Chief Judge, District Court 98,371
Judge, District Court 95,293
Administrative Officer of the Courts 111,301
Assistant Administrative Officer of the Courts 101,757
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
clerk of superior court/salary increases
SECTION 29.5. Effective July 1, 2005, G.S. 7A-101(a) reads as rewritten:
"(a) The clerk of superior court is a full-time employee of the State and shall receive an annual salary, payable in equal monthly installments, based on the population of the county as determined in subsection (a1) of this section, according to the following schedule:
Population Annual Salary
Less than
100,000
$71,659 $72,745
100,000 to
149,999
80,413 81,499
150,000 to
249,999
89,169 90,255
250,000 and
above
97,925. 99,011.
The salary schedule in this subsection is intended to represent the following approximate percentage of the salary of a chief district court judge:
Population Annual Salary
Less than 100,000 73%
100,000 to 149,999 82%
150,000 to 249,999 91%
250,000 and above 100%.
When a county changes from one population group to another, the salary of the clerk shall be changed, on July 1 of the fiscal year for which the change is reported, to the salary appropriate for the new population group, except that the salary of an incumbent clerk shall not be decreased by any change in population group during his continuance in office."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
assistant and deputy clerks of court/salary increases
SECTION 29.6. Effective July 1, 2005, G.S. 7A-102(c1) reads as rewritten:
"(c1) A full-time assistant clerk or a full-time deputy clerk, and up to one full-time deputy clerk serving as head bookkeeper per county, shall be paid an annual salary subject to the following minimum and maximum rates:
Assistant Clerks and Head Bookkeeper Annual Salary
Minimum
$27,515 $28,601
Maximum
47,626 48,712
Deputy Clerks Annual Salary
Minimum
$23,565 $24,651
Maximum
36,934. 38,020."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 29.7.(a) Effective July 1, 2005, G.S. 7A-171.1(a) reads as rewritten:
"(a) The Administrative Officer of the Courts, after consultation with the chief district judge and pursuant to the following provisions, shall set an annual salary for each magistrate.
(1) A full-time magistrate shall be paid the annual salary indicated in the table set out in this subdivision. A full-time magistrate is a magistrate who is assigned to work an average of not less than 40 hours a week during the term of office. The Administrative Officer of the Courts shall designate whether a magistrate is full-time. Initial appointment shall be at the entry rate. A magistrate's salary shall increase to the next step every two years on the anniversary of the date the magistrate was originally appointed for increases to Steps 1 through 3, and every four years on the anniversary of the date the magistrate was originally appointed for increases to Steps 4 through 6.
Table of Salaries of Full-Time Magistrates
Step Level Annual Salary
Entry
Rate
$27,889 $28,975
Step 1
30,525 31,611
Step
2
33,393 34,479
Step
3
36,523 37,609
Step
4
39,952 41,038
Step
5
43,789 44,875
Step
6
48,036. 49,122.
(2) A part-time magistrate is a magistrate who is assigned to work an average of less than 40 hours of work a week during the term, except that no magistrate shall be assigned an average of less than 10 hours of work a week during the term. A part-time magistrate is included, in accordance with G.S. 7A-170, under the provisions of G.S. 135-1(10) and G.S. 135-40.2(a). The Administrative Officer of the Courts designates whether a magistrate is a part-time magistrate. A part-time magistrate shall receive an annual salary based on the following formula: The average number of hours a week that a part-time magistrate is assigned work during the term shall be multiplied by the annual salary payable to a full-time magistrate who has the same number of years of service prior to the beginning of that term as does the part-time magistrate and the product of that multiplication shall be divided by the number 40. The quotient shall be the annual salary payable to that part-time magistrate.
(3) Notwithstanding any other provision of this subsection, a magistrate who is licensed to practice law in North Carolina or any other state shall receive the annual salary provided in the Table in subdivision (1) of this subsection for Step 4."
SECTION 29.7.(b) Effective July 1, 2005, G.S. 7A-171.1(a1) reads as rewritten:
"(a1) Notwithstanding subsection (a) of this section, the following salary provisions apply to individuals who were serving as magistrates on June 30, 1994:
(1) The salaries of magistrates who on June 30, 1994, were paid at a salary level of less than five years of service under the table in effect that date shall be as follows:
Less than 1 year of
service
$22,325 $23,411
1 or more but less than 3 years of
service
23,389 24,475
3 or more but less than 5 years of
service
25,530. 26,616.
Upon completion of five years of service, those magistrates shall receive the salary set as the Entry Rate in the table in subsection (a).
(2) The salaries of magistrates who on June 30, 1994, were paid at a salary level of five or more years of service shall be based on the rates set out in subsection (a) as follows:
Salary Level Salary Level
on June 30, 1994 on July 1, 1994
5 or more but less than 7 years of service Entry Rate
7 or more but less than 9 years of service Step 1
9 or more but less than 11 years of service Step 2
11 or more years of service Step 3
Thereafter, their salaries shall be set in accordance with the provisions in subsection (a).
(3) The salaries of magistrates who are licensed to practice law in North Carolina shall be adjusted to the annual salary provided in the table in subsection (a) as Step 4, and, thereafter, their salaries shall be set in accordance with the provisions in subsection (a).
(4) The salaries of "part-time magistrates" shall be set under the formula set out in subdivision (2) of subsection (a) but according to the rates set out in this subsection."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
general assembly principal clerks/salary increases
SECTION 29.8. Effective July 1, 2005, G.S. 120-37(c) reads as rewritten:
"(c) The principal clerks
shall be full-time officers. Each principal clerk shall be entitled to other
benefits available to permanent legislative employees and shall be paid an
annual salary of ninety thousand five hundred fourteen dollars ($90,514)ninety-one
thousand six hundred dollars ($91,600) payable monthly. The Legislative
Services Commission shall review the salary of the principal clerks prior to
submission of the proposed operating budget of the General Assembly to the
Governor and Advisory Budget Commission and shall make appropriate
recommendations for changes in those salaries. Any changes enacted by the
General Assembly shall be by amendment to this paragraph."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
sergeants-at-arms and reading clerks
SECTION 29.9. Effective July 1, 2005, G.S. 120-37(b) reads as rewritten:
"(b) The sergeant-at-arms
and the reading clerk in each house shall be paid a salary of three hundred
eleven dollars ($311.00)three hundred thirty-two dollars ($332.00)
per week plus subsistence at the same daily rate provided for members of the
General Assembly, plus mileage at the rate provided for members of the General
Assembly for one round trip only from their homes to Raleigh and return. The
sergeants-at-arms shall serve during sessions of the General Assembly and at
such time prior to the convening of, and subsequent to adjournment or recess
of, sessions as may be authorized by the Legislative Services Commission. The
reading clerks shall serve during sessions only."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
Community college personnel/salary increases
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
university of north carolina system/epa compensation
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
most state employees/salary increases
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
all state-supported personnel/salary increases
Payroll checks issued to employees after July 1, 2005, which represent payment of services provided prior to July 1, 2005, shall not be eligible for salary increases provided for in this act. This subsection shall apply to all employees, subject to or exempt from the State Personnel Act, paid from State funds, including public schools, community colleges, and The University of North Carolina.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
(1) Salary range revisions to provide competitive salary rates for affected job classifications in response to changes in labor market salary rates as documented through data collection and analysis according to accepted human resource professional practices and standards.
(2) Reallocation of positions to higher-level job classifications to compensate employees for more difficult duties at competitive salary rates as documented through data collection and analysis according to accepted human resource professional practices and standards.
Priority funding shall be given to those salary range revisions previously approved by the State Personnel Commission and reallocations previously approved by the Office of State Personnel or designee.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
STATE AGENCY TEACHERS' COMPENSATION
SECTION 29.17. Funds in the Reserve for Compensation Increases shall be used for experience step increases for employees of schools operated by the Department of Health and Human Services, the Department of Correction, or the Department of Juvenile Justice and Delinquency Prevention, who are paid on the Teacher Salary Schedule or the School Based Administrator Salary Schedule.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
STATE GOVERNMENT EMPLOYMENT FAIR MINIMUM WAGE
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SALARY SUPPLEMENTS FOR PERSONNEL EMPLOYED IN CERTAIN STATE AGENCIES
SECTION 29.19.(a) G.S. 143B-146.21 is amended by adding a new subsection to read:
"(e) The Secretary of Health and Human Services, in consultation with the Office of State Personnel, shall set the salary supplement paid to personnel who are employed in the programs operated by the Department of Health and Human Services and are licensed by the State Board of Education. The minimum salary supplement shall be at least five percent (5%). The maximum salary supplement shall be ten percent (10%) or the percentage supplement the personnel would receive if the personnel were employed in the LEA where the job site is located, whichever is less. These salary supplements shall not be paid to central office staff. Nothing in this subsection shall be construed to include "merit pay" under the term "salary supplement".
SECTION 29.19.(b) G.S. 143B-516(b) is amended by adding the following new subdivision to read:
"(b) The Secretary shall have the following powers and duties:
…
(17a) Set, in consultation with the Office of State Personnel, the salary supplement paid to personnel who are employed at juvenile facilities and are licensed by the State Board of Education. The minimum salary supplement shall be at least five percent (5%). The maximum salary supplement shall be ten percent (10%) or the percentage supplement the personnel would receive if the personnel were employed in the LEA where the job site is located, whichever is less. These salary supplements shall not be paid to central office staff. Nothing in this subdivision shall be construed to include "merit pay" under the term "salary supplement".
...."
SECTION 29.19.(c) G.S. 148-22.1 is amended by adding a new subsection to read:
"(c) The Secretary of Correction, in consultation with the Office of State Personnel, shall set the salary supplement paid to personnel who are Division of Prison employees and are licensed by the State Board of Education. The minimum salary supplement shall be at least five percent (5%). The maximum salary supplement shall be ten percent (10%) or the percentage supplement the personnel would receive if the personnel were employed in the LEA where the job site is located, whichever is less. These salary supplements shall not be paid to central office staff. Nothing in this subsection shall be construed to include "merit pay" under the term "salary supplement".
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
INDUSTRIAL COMMISSION salaries/IN-RANGE SALARY ADJUSTMENTS
SECTION 29.20.(a) Of the revenue generated by implementing a fee for the required review of Form 21 and Form 26 Agreements, the Industrial Commission may use up to four hundred sixty-five thousand dollars ($465,000) in each year of the 2005-2007 biennium to provide the salary adjustments authorized by subsection (b) of this section and in-range salary adjustments for Industrial Commission staff.
SECTION 29.20.(b) Effective July 1, 2005, G.S. 97-78 reads as rewritten:
"§ 97-78. Salaries and expenses; administrator, executive secretary, deputy commissioners, and other staff assistance; annual report.
(a) The salary of each commissioner shall be the same as that fixed from time to time for district attorneys except that the commissioner designated as chair shall receive one thousand five hundred dollars ($1,500) additional per annum.
(b) The Commission may appoint an administrator whose duties shall be prescribed by the Commission, and who shall be subject to the State Personnel System. The Commission may appoint an executive secretary whose duties shall be prescribed by the Commission, and who shall be subject to the State Personnel System and who, upon entering upon his duties, shall give bond in such sum as may be fixed by the Commission. The Commission may also employ such clerical or other assistance as it may deem necessary, and fix the compensation of its staff, except that the salaries of the administrator and the executive secretary shall be fixed by subsection (b1) of this section. The compensation of Commission staff shall be in keeping with the compensation paid to the persons employed to do similar work in other State departments.
(b1) The salary of the administrator
shall be ninety percent (90%) of the salary of a commissioner. The salary of
the executive secretary shall be eighty percent (80%) ninety percent
(90%) of the salary of a commissioner. In lieu of merit and other
incremental raises, the administrator and the executive secretary shall receive
longevity pay on the same basis as is provided to other employees subject to
the State Personnel Act.
(b2) The Chairman of the Industrial Commission shall designate one deputy commissioner as chief deputy commissioner. Deputy commissioners with seven or more years of service as a deputy commissioner shall be designated and compensated as senior deputy commissioners.
(b3) The salary of the chief deputy commissioner shall be ninety percent (90%) of the salary of a commissioner. The salary of a senior deputy commissioner shall be eight-five percent (85%) of the salary of a commissioner. The salary of a deputy commissioner shall be eight percent (80%) of the salary of a commissioner.
(b4) The salary of an agency legal specialist assigned to the Executive Secretary's Office and designated as a special deputy commissioner shall be fifty-five percent (55%) of the salary of a commissioner.
(b5) In lieu of merit and other incremental raises, the administrator, executive secretary, chief deputy commissioner, senior deputy commissioners, deputy commissioners, and special deputy commissioners shall receive longevity pay on the same basis as is provided to other employees subject to the State Personnel Act.
(c) The members of the Commission and its assistants shall be entitled to receive from the State their actual and necessary expenses while traveling on the business of the Commission, but such expenses shall be certified by the person who incurred the same, and shall be approved by the chairman of the Commission before payment is made.
(d) All salaries and expenses of the Commission shall be audited and paid out of the State treasury, in the manner prescribed for similar expenses in other departments or branches of the State service, and to defray such salaries and expenses a sufficient appropriation shall be made under the General Appropriation Act as made to other departments, commissions and agencies of the State government.
(e) The Commission shall publish annually for free distribution a report of the administration of this Article, together with such recommendations as the Commission deems advisable."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
ESC Chairman Prospective Salary Change
"(c) Salaries. - The
chairman of the Employment Security Commission of North Carolina, appointed by
the Governor, shall be paid from the Employment Security Administration Fund a
salary payable on a monthly basis, which salary shall be the same as the
salary fixed by the General Assembly in the Current Operations Appropriations
Act; Act for the Secretary of Commerce, and the members of the
Commission, other than the chairman, shall each receive the same amount per
diem for their services as is provided for the members of other State boards,
commissions, and committees who receive compensation for their services as
such, including necessary time spent in traveling to and from his place of
residence within the State to the place of meeting while engaged in the
discharge of the duties of his office and his actual traveling expenses, the
same to be paid from the aforesaid fund."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
NCSU AGRICULTURAL PROGRAM EMPLOYEES
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
LONGEVITY SERVICE DEFINITION/additional longevity step
SECTION 29.23.(a) G.S. 7A-10(c) reads as rewritten:
"(c) In lieu of merit and
other increment raises paid to regular State employees, the Chief Justice and
each of the Associate Justices shall receive as longevity pay an annual amount
equal to four and eight-tenths percent (4.8%) of the annual salary set forth in
the Current Operations Appropriations Act payable monthly after five years of
service, nine and six-tenths percent (9.6%) after 10 years of service, fourteen
and four-tenths percent (14.4%) after 15 years of service, and nineteen
and two-tenths percent (19.2%) after 20 years of service. service,
and twenty-four percent (24%) after 25 years of service.
"Service" means service as a justice or judge of the General Court of
Justice or as a member of the Utilities Commission. Service shall also mean
service as a district attorney or as a clerk of superior court. court,
or service as a member of the General Assembly."
SECTION 29.23.(b) G.S. 7A-18(b) reads as rewritten:
"(b) In lieu of merit and
other increment raises paid to regular State employees, a judge of the Court of
Appeals shall receive as longevity pay an annual amount equal to four and eight-tenths
percent (4.8%) of the annual salary set forth in the Current Operations
Appropriations Act payable monthly after five years of service, nine and six-tenths
percent (9.6%) after 10 years of service, fourteen and four-tenths percent
(14.4%) after 15 years of service, and nineteen and two-tenths percent
(19.2%) after 20 years of service. service, and twenty-four percent
(24%) after 25 years of service. "Service" means service as a
justice or judge of the General Court of Justice or as a member of the
Utilities Commission. Service shall also mean service as a district attorney or
as a clerk of superior court. court, or service as a member of the
General Assembly."
SECTION 29.23.(c) G.S. 7A-44(b) reads as rewritten:
"(b) In lieu of merit and
other increment raises paid to regular State employees, a judge of the superior
court, regular or special, shall receive as longevity pay an annual amount
equal to four and eight-tenths percent (4.8%) of the annual salary set forth in
the Current Operations Appropriations Act payable monthly after five years of
service, nine and six-tenths percent (9.6%) after 10 years of service, fourteen
and four-tenths percent (14.4%) after 15 years of service, and nineteen
and two-tenths percent (19.2%) after 20 years of service. service,
and twenty-four percent (24%) after 25 years of service.
"Service" means service as a justice or judge of the General Court of
Justice or as a member of the Utilities Commission or as director or assistant
director of the Administrative Office of the Courts. Service shall also mean
service as a district attorney or as a clerk of superior court. court,
or service as a member of the General Assembly."
SECTION 29.23.(d) G.S. 7A-144(b) reads as rewritten:
"(b) Notwithstanding
merit, longevity and other increment raises paid to regular State employees, a
judge of the district court shall receive as longevity pay an annual amount
equal to four and eight-tenths percent (4.8%) of the annual salary set forth in
the Current Operations Appropriations Act payable monthly after five years of
service, nine and six-tenths percent (9.6%) after 10 years of service, fourteen
and four-tenths percent (14.4%) after 15 years of service, and nineteen
and two-tenths percent (19.2%) after 20 years of service. service,
and twenty-four percent (24%) after 25 years of service.
"Service" means service as a justice or judge of the General Court of
Justice or as a member of the Utilities Commission or as director or assistant
director of the Administrative Office of the Courts. Service shall also mean
service as a district attorney or as a clerk of superior court. court,
or service as a member of the General Assembly."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 29.23A. G.S. 7A-65(d) reads as rewritten:
"(d) In lieu of merit and other increment raises paid to regular State employees, an assistant district attorney shall receive as longevity pay an amount equal to four and eight-tenths percent (4.8%) of the annual salary set forth in the Current Operations Appropriations Act payable monthly after five years of service, nine and six-tenths percent (9.6%) after 10 years of service, fourteen and four-tenths percent (14.4%) after 15 years of service, and nineteen and two-tenths percent (19.2%) after 20 years of service. "Service" means service as an assistant district attorney, district attorney, resource prosecutor, public defender, appellate defender, assistant public or appellate defender, justice or judge of the General Court of Justice, or clerk of superior court. For purposes of this subsection, "resource prosecutor" means a former assistant district attorney who has left the employment of the district attorney's office to serve in a specific, time-limited position with the Conference of District Attorneys."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SALARY-RELATED CONTRIBUTIONS/EMPLOYER
SECTION 29.24.(d) The maximum annual employer contributions, payable monthly, by the State for each covered employee or retiree for the 2005-2006 fiscal year to the Teachers' and State Employees' Comprehensive Major Medical Plan are: (i) Medicare-eligible employees and retirees - two thousand nine hundred twenty-two dollars ($2,922) and (ii) non-Medicare-eligible employees and retirees - three thousand eight hundred thirty-eight dollars ($3,838).
SECTION 29.24.(e) The maximum annual employer contributions, payable monthly, by the State for each covered employee or retiree for the 2006-2007 fiscal year to the Teachers' and State Employees' Comprehensive Major Medical Plan are: (i) Medicare-eligible employees and retirees - three thousand twenty-four dollars ($3,024) and (ii) non-Medicare-eligible employees and retirees - three thousand nine hundred seventy-four dollars ($3,974).
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
PROVIDE COST-OF-LIVING INCREASES FOR RETIREES OF THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM, THE JUDICIAL RETIREMENT SYSTEM, THE LOCAL RETIREMENT SYSTEM, AND THE LEGISLATIVE RETIREMENT SYSTEM
SECTION 29.25.(a) G.S. 135-5 is amended by adding a new subsection to read:
"(nnn) From and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced on or before July 1, 2004, shall be increased by two percent (2%) of the allowance payable on June 1, 2005, in accordance with G.S. 135-5(o). Furthermore, from and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced after July 1, 2004, but before June 30, 2005, shall be increased by a prorated amount of two percent (2%) of the allowance payable as determined by the Board of Trustees based upon the number of months that a retirement allowance was paid between July 1, 2004, and June 30, 2005."
SECTION 29.25.(b) G.S. 135-65 is amended by adding a new subsection to read:
"(z) From and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced on or before July 1, 2004, shall be increased by two percent (2%) of the allowance payable on June 1, 2005. Furthermore, from and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced after July 1, 2004, but before June 30, 2005, shall be increased by a prorated amount of two percent (2%) of the allowance payable as determined by the Board of Trustees based upon the number of months that a retirement allowance was paid between July 1, 2004, and June 30, 2005."
SECTION 29.25.(c) G.S. 120-4.22A is amended by adding a new subsection to read:
"(t) In accordance with subsection (a) of this section, from and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced on or before January 1, 2005, shall be increased by two percent (2%) of the allowance payable on June 1, 2005. Furthermore, from and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced after January 1, 2005, but before June 30, 2005, shall be increased by a prorated amount of two percent (2%) of the allowance payable as determined by the Board of Trustees based upon the number of months that a retirement allowance was paid between January 1, 2005, and June 30, 2005."
SECTION 29.25.(d) G.S. 128-27 is amended by adding a new subsection to read:
"(ggg) From and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced on or before July 1, 2004, shall be increased by two and one-half percent (2.5%) of the allowance payable on June 1, 2005, in accordance with subsection (k) of this section. Furthermore, from and after July 1, 2005, the retirement allowance to or on account of beneficiaries whose retirement commenced after July 1, 2004, but before June 30, 2005, shall be increased by a prorated amount of two and one-half percent (2.5%) of the allowance payable as determined by the Board of Trustees based upon the number of months that a retirement allowance was paid between July 1, 2004, and June 30, 2005."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Williams
INCREASE THE MONTHLY PENSION FOR MEMBERS OF THE FIREMEN'S AND RESCUE SQUAD WORKERS' PENSION FUND
SECTION 29.26. G.S. 58-86-55 reads as rewritten:
"§ 58-86-55. Monthly pensions upon retirement.
Any member who has served 20 years as an "eligible
fireman" or "eligible rescue squad worker" in the State of North
Carolina, as provided in G.S. 58-86-25 and G.S. 58-86-30, and who has
attained the age of 55 years is entitled to be paid a monthly pension from this
fund. The monthly pension shall be in the amount of one hundred sixty-one
dollars ($161.00) one hundred sixty-three dollars ($163.00) per
month. Any retired fireman receiving a pension shall, effective July 1,
2004, July 1, 2005, receive a pension of one hundred sixty-one
dollars ($161.00) one hundred sixty-three dollars ($163.00) per
month.
Members shall pay ten dollars ($10.00) per month as required by G.S. 58-86-35 and G.S. 58-86-40 for a period of no longer than 20 years. No "eligible rescue squad member" shall receive a pension prior to July 1, 1983. No member shall be entitled to a pension hereunder until the member's official duties as a fireman or rescue squad worker for which the member is paid compensation shall have been terminated and the member shall have retired as such according to standards or rules fixed by the board of trustees.
A member who is totally and permanently disabled while in the
discharge of the member's official duties as a result of bodily injuries
sustained or as a result of extreme exercise or extreme activity experienced in
the course and scope of those official duties and who leaves the fire or rescue
squad service because of this disability shall be entitled to be paid from the
fund a monthly benefit in an amount of one hundred sixty-one dollars
($161.00) one hundred sixty-three dollars ($163.00) per month
beginning the first month after the member's fifty-fifth birthday. All
applications for disability are subject to the approval of the board who may
appoint physicians to examine and evaluate the disabled member prior to
approval of the application, and annually thereafter. Any disabled member shall
not be required to make the monthly payment of ten dollars ($10.00) as required
by G.S. 58-86-35 and G.S. 58-86-40.
A member who is totally and permanently disabled for any cause, other than line of duty, who leaves the fire or rescue squad service because of this disability and who has at least 10 years of service with the pension fund, may be permitted to continue making a monthly contribution of ten dollars ($10.00) to the fund until the member has made contributions for a total of 240 months. The member shall upon attaining the age of 55 years be entitled to receive a pension as provided by this section. All applications for disability are subject to the approval of the board who may appoint physicians to examine and evaluate the disabled member prior to approval of the application and annually thereafter.
A member who, because his residence is annexed by a city under Part 2 or Part 3 of Article 4 of Chapter 160A of the General Statutes, or whose department is closed because of an annexation by a city under Part 2 or Part 3 of Article 4 of Chapter 160A of the General Statutes, or whose volunteer department is taken over by a city or county, and because of such annexation or takeover is unable to perform as a fireman or rescue squad worker of any status, and if the member has at least 10 years of service with the pension fund, may be permitted to continue making a monthly contribution of ten dollars ($10.00) to the fund until the member has made contributions for a total of 240 months. The member upon attaining the age of 55 years and completion of such contributions shall be entitled to receive a pension as provided by this section. Any application to make monthly contributions under this section shall be subject to a finding of eligibility by the Board of Trustees upon application of the member.
The pensions provided shall be in addition to all other pensions or benefits under any other statutes of the State of North Carolina or the United States, notwithstanding any exclusionary provisions of other pensions or retirement systems provided by law."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, McLawhorn
INCREASE THE MAXIMUM MONTHLY PENSION BENEFITS FOR RETIRED MEMBERS OF THE NORTH CAROLINA NATIONAL GUARD
SECTION 29.27. G.S. 127A-40(a) reads as rewritten:
"(a) Every member and
former member of the North Carolina national guard who meets the requirements
hereinafter set forth shall receive, commencing at age 60, a pension of fifty
dollars ($50.00) seventy-five dollars ($75.00) per month for 20
years' creditable military service with an additional five dollars ($5.00)
seven dollars and fifty cents ($7.50) per month for each additional year
of such service; provided, however, that the total pension shall not exceed one
hundred dollars ($100.00) one hundred fifty dollars ($150.00) per
month. The requirements for such pension are that each member shall:
(1) Have served and qualified for at least 20 years' creditable military service, including national guard, reserve and active duty, under the same requirement specified for entitlement to retired pay for nonregular service under Chapter 67, Title 10, United States Code.
(2) Have at least 15 years of the aforementioned service as a member of the North Carolina national guard.
(3) Have received an honorable discharge from the North Carolina national guard."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
CONFORM RETIREE RETURN TO TEACHING BENEFIT TO IRS GUIDELINES/CLARIFY DEFINITION OF RETIREMENT
"(d) This section becomes
effective January 1, 1999, and expires June 30, 2005.2006."
"SECTION 67. Effective January 1, 1999, through
June 30, 2005, 2006, G.S. 135-3(8)c., as rewritten by
Section 28.24(a) of S.L. 1998-212 reads as rewritten:".
"(b) This section becomes
effective January 1, 1999, and expires June 30, 2005. 2006."
"SECTION 32.25.(c) This section becomes
effective July 1, 2001, and expires June 30, 2005. 2006."
SECTION 29.28.(e) G.S. 135-3(8)c. reads as rewritten:
"c. Should a beneficiary who retired on an early or service retirement allowance under this Chapter be reemployed, or otherwise engaged to perform services, by an employer participating in the Retirement System on a part-time, temporary, interim, or on a fee-for-service basis, whether contractual or otherwise, and if such beneficiary earns an amount during the 12-month period immediately following the effective date of retirement or in any calendar year which exceeds fifty percent (50%) of the reported compensation, excluding terminal payments, during the 12 months of service preceding the effective date of retirement, or twenty thousand dollars ($20,000), whichever is greater, as hereinafter indexed, then the retirement allowance shall be suspended as of the first day of the month following the month in which the reemployment earnings exceed the amount above, for the balance of the calendar year. The retirement allowance of the beneficiary shall be reinstated as of January 1 of each year following suspension. The amount that may be earned before suspension shall be increased on January 1 of each year by the ratio of the Consumer Price Index to the Index one year earlier, calculated to the nearest tenth of a percent (1/10 of 1%).
The computation of postretirement
earnings of a beneficiary under this sub-subdivision, G.S. 135-3(8)c., who
has been retired at least six months and has not been employed in any capacity,
except as a substitute teacher or a part-time tutor, capacity with a
public school for at least six months immediately preceding the effective date
of reemployment, shall not include earnings while the beneficiary is employed
to teach on a substitute, interim, or permanent permanent, full-time
basis in a public school. The Department of Public Instruction shall certify to
the Retirement System that a beneficiary is employed to teach by a local school
administrative unit under the provisions of this sub-subdivision and as a retired
teacher as the term is defined under the provisions of G.S. 115C-325(a)(5a).
Beneficiaries employed under this sub-subdivision are not entitled to any benefits otherwise provided under this Chapter as a result of this period of employment."
SECTION 29.28.(f) G.S. 115C-325(a)(5a) reads as rewritten:
"(5a) "Retired teacher" means
a beneficiary of the Teachers' and State Employees' Retirement System of North
Carolina who has been retired at least six months, has not been employed in any
capacity, other than as a substitute teacher or a part-time tutor, with a
local board of education or a charter school capacity for at least
six months, immediately preceding the effective date of reemployment, is
determined by a local board of education or a charter school to have had
satisfactory performance during the last year of employment by a local board of
education or a charter school, and who is employed to teach as provided in
G.S. 135-3(8)c. A retired teacher at a school other than a charter school
shall be treated the same as a probationary teacher except that (i) a retired
teacher is not eligible for career status and (ii) the performance of a retired
teacher who had attained career status prior to retirement shall be evaluated
in accordance with a local board of education's policies and procedures
applicable to career teachers."
Notwithstanding any other provision of law, any portion of the payment made by a local school administrative unit to a reemployed teacher who is exempt from the earnings cap, consisting of salary plus the Reemployed Teacher Contribution Rate, that exceeds the State-supported salary level for that position, shall be paid from local funds.
SECTION 29.28.(h) G.S. 135-1(20) reads as rewritten:
"(20) "Retirement" shall mean
means the termination of employment and the withdrawal complete
separation from active service with no intent or agreement, express or
implied, to return to service. a A retirement allowance granted
under the provisions of this Chapter. Chapter may only be granted
upon retirement of a member. In order for a member's retirement to become
effective in any month, the member must render no service service,
including part-time, temporary, substitute, or contractor service, at any
time during that month. the six months immediately following the
effective date of retirement."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
INCREASE BENEFIT/SHERIFFS' SUPPLEMENTAL PENSION FUND
SECTION 29.30.(a) G.S. 143-166.85(a) reads as rewritten:
"(a) An eligible retired
sheriff shall be entitled to and receive an annual pension benefit, payable in
equal monthly installments, equal to one share for each full year of eligible
service as sheriff multiplied by his total number of years of eligible service.
The amount of each share shall be determined by dividing the total number of
years of eligible service for all eligible retired sheriffs on December 31 of
each calendar year into the amount to be disbursed as monthly pension payments
in accordance with the provisions of G.S., 143 166.83(b). In no event however
shall a monthly pension under this Article exceed an amount, which when added
to a retired allowance at retirement from the Local Governmental Employees'
Retirement System or to the amount he would have been eligible to receive if
service had not been forfeited by the withdrawal of accumulated contributions,
is greater than seventy -five percent (75%) of a sheriff's equivalent annual
salary immediately preceding retirement computed on the latest monthly base
rate, to a maximum amount of one thousand two hundred dollars ($1,200). one
thousand five hundred dollars ($1,500)."
SECTION 29.30.(b) G.S. 7A-304(a)(3a) reads as rewritten:
"(3a) For the supplemental pension
benefits of sheriffs, the sum of seventy-five cents (75¢) one dollar
twenty-five cents ($1.25) to be remitted to the Department of Justice and
administered under the provisions of Article 12G of Chapter 143 of the General
Statutes."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
longevity service definition for MEMBERS OF THE UTILITIES COMMISSION/UTILITIES COMMISSION members in consolidated judicial retirement system/transfer of contributions to consolidated judicial retirement system/REtirement allowance limitation for members of the legislative retirement system
SECTION 29.30A.(a) G.S. 62-10 reads as rewritten:
"(h) The salary of each
commissioner and that of the commissioner designated as chairman shall be set
by the General Assembly in the Current Operations Appropriations Act. In lieu
of merit and other increment raises paid to regular State employees, each
commissioner, including the commissioner designated as chairman, shall receive
as longevity pay an amount equal to four and eight-tenths percent (4.8%) of the
annual salary set forth in the Current Operations Appropriations Act payable
monthly after five years of service, and nine and six-tenths percent (9.6%)
after 10 years of service. "Service" means service as a member of the
Utilities Commission. Commission or as a member of the General
Assembly."
SECTION 29.30A.(b) G.S. 135-50(b) reads as rewritten:
"(b) The purpose of this
Article is to improve the administration of justice by attracting and retaining
the most highly qualified talent available within the State to the positions of
justice and judge, district attorney and solicitor, and clerk of
superior court, within the General Court of Justice. Justice, and to
membership on the Utilities Commission."
SECTION 29.30A.(c) G.S. 135-51 reads as rewritten:
"§ 135-51. Scope.
(a) This Article provides
consolidated retirement benefits for all justices and judges, district
attorneys, and solicitors who are serving on January 1, 1974, and who become
such thereafter; and for all clerks of superior court who are so serving on
January 1, 1975, and who become such thereafter. after that
date; and for all members of the Utilities Commission who are serving on
September 1, 2005, and who become members of the Utilities Commission after
that date.
(b) For justices and judges of the appellate and superior court divisions of the General Court of Justice who so served prior to January 1, 1974, the provisions of this Article supplement and, under certain circumstances, replace the provisions of Articles 6 and 8, as the case may be, of Chapter 7A of the General Statutes.
For district attorneys and judges of the district court of the General Court of Justice who so served prior to January 1, 1974, the provisions of this Article supplement and, under certain circumstances, replace the provisions of Article 1 of this Chapter.
For clerks of superior court of the General Court of Justice who so served prior to January 1, 1975, the provisions of this Article supplement and, under certain circumstances, replace the provisions of Article 1 of this Chapter.
(c) The retirement benefits of any person who becomes a justice or judge, district attorney, or solicitor on and after January 1, 1974, or clerk of superior court on and after January 1, 1975, or a member of the Utilities Commission on or after September 1, 2005, shall be determined solely in accordance with the provisions of this Article."
SECTION 29.30A.(d) G.S. 135-53 reads as rewritten:
"§ 135-53. Definitions.
The following words and phrases as used in this Article, unless a different meaning is plainly required by the context, shall have the following meanings:
(1) "Accumulated contributions" with respect to any member shall mean the sum of all the amounts deducted from the compensation of the member pursuant to G.S. 135-68 since he last became a member and credited to his account in the annuity savings fund, plus any amount standing to his credit pursuant to G.S. 135-67(c) as a result of a prior period of membership, plus any amounts credited to his account pursuant to G.S. 135-28.1(b) or 135-56(b), together with regular interest on all such amounts computed as provided in G.S. 135-7(b).
(2) "Actuarial equivalent" shall mean a benefit of equal value when computed upon the bases of such mortality tables as shall be adopted by the Board of Trustees, and regular interest.
(2a) "Average final compensation" shall mean the average annual compensation of a member during the 48 consecutive calendar months of membership service producing the highest such average.
(3) "Beneficiary" shall mean any person in receipt of a retirement allowance or other benefit as provided in this Article.
(4) "Board of Trustees" shall mean the Board of Trustees established by G.S. 135-6.
(4a) "Clerk of superior court" shall mean the clerk of superior court provided for in G.S. 7A-100(a).
(5)
"Compensation" shall mean all salaries and wages derived from public
funds which are earned by a member of the Retirement System for his service as
a justice or judge, or district attorney, or clerk of superior court. court,
or as a member of the Utilities Commission.
(6) "Creditable service" shall mean for any member the total of his prior service plus his membership service.
(6a) "District attorney" shall mean the district attorney or solicitor provided for in G.S. 7A-60.
(7) "Filing" when used in reference to an application for retirement shall mean the receipt of an acceptable application on a form provided by the Retirement System.
(8) "Final compensation" shall mean for any member the annual equivalent of the rate of compensation most recently applicable to him.
(9) "Judge" shall mean any justice or judge of the General Court of Justice and the administrative officer of the courts.
(10) "Medical board" shall mean the board of physicians provided for in G.S. 135-6.
(11) "Member" shall mean any person included in the membership of the Retirement System as provided in this Article.
(12) "Membership service"
shall mean service as a judge, district attorney, or clerk of superior court
court, or Utilities Commissioner, rendered while a member of the
Retirement System.
(13) "Previous system" shall
mean, with respect to any member, the retirement benefit provisions of Article
6 and Article 8 of Chapter 7A of the General Statutes, to the extent that such
Article or Articles were formerly applicable to the member, and in the case of judges
a judge of the district court division, and district attorney,
and clerk of superior court of the General Court of Justice, and in the case
of a Utilities Commissioner, the Teachers' and State Employees' Retirement
System.
(14) "Prior service" shall mean service rendered by a member, prior to his membership in the Retirement System, for which credit is allowable under G.S. 135-56.
(14a) "Utilities Commissioner" means a member of the North Carolina Utilities Commission as provided for in G.S. 62-10.
(15) "Regular interest" shall mean interest compounded annually at such a rate as shall be determined by the Board of Trustees in accordance with G.S. 135-7(b).
(16) "Retirement" shall mean the withdrawal from active service with a retirement allowance granted under the provisions of this Chapter. In order for a member's retirement to become effective in any month, the member must render no service at any time during that month.
(17) "Retirement allowance" shall mean the periodic payments to which a beneficiary becomes entitled under the provisions of this Article.
(18) "Retirement System" shall mean the "Consolidated Judicial Retirement System" of North Carolina, as established in this Article.
(19) "Year" as used in this Article shall mean the regular fiscal year beginning July 1 and ending June 30 in the following calendar year, unless otherwise defined by regulation of the Board of Trustees."
SECTION 29.30A.(e) G.S. 135-54 reads as rewritten:
"§ 135-54. Name and date of establishment.
A Retirement System is hereby established and placed under the management of the Board of Trustees for the purpose of providing retirement allowances and other benefits under the provisions of this Article for justices and judges, district attorneys, and clerks of superior court of the General Court of Justice of North Carolina, and Utilities Commissioners and their survivors. The Retirement System so created shall be established as of January 1, 1974.
The Retirement System shall have the power and privileges of a corporation and shall be known as the "Consolidated Judicial Retirement System of North Carolina," and by such name all of its business shall be transacted."
SECTION 29.30A.(f) G.S. 135-55 reads as rewritten:
"§ 135-55. Membership.
(a) The membership of the Retirement System shall consist of:
(1) All judges and district attorneys in office on January 1, 1974;
(2) All persons who become judges and district attorneys or reenter service as judges and district attorneys after January 1, 1974;
(3) All clerks of superior court in office on January 1, 1975; and
(4) All persons who become
clerks of superior court or reenter service as clerks of superior court after
January 1, 1975.1975;
(5) All Utilities Commissioners in office on September 1, 2005; and
(6) All persons who become Utilities Commissioners or reenter service as Utilities Commissioners after September 1, 2005.
(b) The membership of any person in the Retirement System shall cease upon:
(1) The withdrawal of his
accumulated contributions after he is no longer a judge, district attorney
attorney, Utilities Commissioner, or clerk of superior court, or
(2) His retirement under the provisions of the Retirement System, or
(3) His death."
SECTION 29.30A.(g) G.S. 135-58(a4) reads as rewritten:
"(a4) Any member who retires under the provisions of G.S. 135-57(a) or G.S. 135-57(c) on or after January 1, 2004, but before September 1, 2005, after the member has either attained the member's 65th birthday or has completed 24 years or more of creditable service, shall receive an annual retirement allowance, payable monthly, which shall commence on the effective date of the member's retirement and shall be continued on the first day of each month thereafter during the member's lifetime, the amount of which shall be computed as the sum of the amounts in subdivisions (1), (2), (3), (4), and (5) of this subsection, provided that in no event shall the annual allowance payable to any member be greater than an amount which, when added to the allowance, if any, to which the member is entitled under the Teachers' and State Employees' Retirement System, the Legislative Retirement System, or the Local Governmental Employees' Retirement System (prior in any case to any reduction for early retirement or for an optional mode of payment), would total three-fourths of the member's final compensation:
(1) Four and two hundredths percent (4.02%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a justice of the Supreme Court or judge of the Court of Appeals;
(2) Three and fifty-two hundredths percent (3.52%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a judge of the superior court or as Administrative Officer of the Courts;
(3) Three and two hundredths percent (3.02%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a judge of the district court, district attorney, or clerk of superior court;
(4) A service retirement allowance computed in accordance with the service retirement provisions of Article 3 of Chapter 128 of the General Statutes using an average final compensation as defined in G.S. 135-53(2a) and creditable service equal to the number of years of the member's creditable service that was transferred from the Local Governmental Employees' Retirement System to this System as provided in G.S. 135-56; and
(5) A service retirement allowance computed in accordance with the service retirement provisions of Article 1 of this Chapter of the General Statutes using an average final compensation as defined in G.S. 135-53(2a) and creditable service, including any sick leave standing to the credit of the member, equal to the number of years of the member's creditable service that was transferred from the Teachers' and State Employees' Retirement System or the Legislative Retirement System to this System as provided in G.S. 135-56."
SECTION 29.30A.(h) G.S. 135-58 is amended by adding a new subsection to read:
"(a5) Any member who retires under the provisions of G.S. 135-57(a) or G.S. 135-57(c) on or after September 1, 2005, after the member has either attained the member's 65th birthday or has completed 24 years or more of creditable service, shall receive an annual retirement allowance, payable monthly, which shall commence on the effective date of the member's retirement and shall be continued on the first day of each month thereafter during the member's lifetime, the amount of which shall be computed as the sum of the amounts in subdivisions (1), (2), (3), (4), and (5) of this subsection, provided that in no event shall the annual allowance payable to any member be greater than an amount which, when added to the allowance, if any, to which the member is entitled under the Teachers' and State Employees' Retirement System, the Legislative Retirement System, or the Local Governmental Employees' Retirement System (prior in any case to any reduction for early retirement or for an optional mode of payment), would total three-fourths of the member's final compensation:
(1) Four and two hundredths percent (4.02%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a justice of the Supreme Court or judge of the Court of Appeals;
(2) Three and fifty-two hundredths percent (3.52%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a judge of the superior court, as Administrative Officer of the Courts, or as a Utilities Commissioner;
(3) Three and two hundredths percent (3.02%) of the member's final compensation, multiplied by the number of years of creditable service rendered as a judge of the district court, district attorney, or clerk of superior court;
(4) A service retirement allowance computed in accordance with the service retirement provisions of Article 3 of Chapter 128 of the General Statutes using an average final compensation as defined in G.S. 135-53(2a) and creditable service equal to the number of years of the member's creditable service that was transferred from the Local Governmental Employees' Retirement System to this System as provided in G.S. 135-56; and
(5) A service retirement allowance computed in accordance with the service retirement provisions of Article 1 of this Chapter of the General Statutes using an average final compensation as defined in G.S. 135-53(2a) and creditable service, including any sick leave standing to the credit of the member, equal to the number of years of the member's creditable service that was transferred from the Teachers' and State Employees' Retirement System or the Legislative Retirement System to this System as provided in G.S. 135-56."
SECTION 29.30A.(i) G.S. 135-70.1 is amended by creating a new subsection to read:
"(a1) The accumulated contributions, creditable service, and reserves, if any, of a Utilities Commissioner, as defined in G.S. 135-53(14a), who is serving as a Utilities Commissioner on September 1, 2005, shall be transferred from the Teachers' and State Employees' Retirement System to the Consolidated Judicial Retirement System for the service rendered as a Utilities Commissioner. The accumulated contributions credited in the annuity savings fund in the Teachers' and State Employees' Retirement System for service as a Utilities Commissioner shall be credited to the annuity savings fund in the Consolidated Judicial Retirement System, and the member shall be credited with all membership service as a Utility Commissioner in the Consolidated Judicial Retirement System."
SECTION 29.30A.(j) G.S. 135-71 is amended by adding a new subsection to read:
"(d) Notwithstanding the provisions of G.S. 135-70.1 to the contrary, a retired former member and/or beneficiary of the Teachers' and State Employees' Retirement System as defined in G.S. 135-1(6), whose retirement allowance from this System and/or from the Teachers' and State Employees' Retirement System ceases upon a return to membership service under this System, shall be permitted to transfer the accumulated contributions, creditable service, and reserves, if any, from the Teachers' and State Employees' Retirement System to this System on the same basis as provided for members of other retirement systems under G.S. 135-70.1, if the member attains five or more years of total membership service in this System, and completes at least three years of membership service subsequent to the member's return to membership service."
SECTION 29.30A.(k) G.S. 120-4.21(c) reads as rewritten:
"(c) Limitations. - In no
event shall any member receive a service retirement allowance greater than
seventy-five percent (75%) of his the member's "highest
annual salary". salary" nor shall a member receive any
service retirement allowance whatsoever while employed in a position that makes
the member a contributing member of either the Teachers' and State Employees'
Retirement System or the Consolidated Judicial Retirement System. If the member
should become a member of either of these systems, payment of the member's
service retirement allowance shall be suspended until the member withdraws from
membership in that system."
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
STATE HEALTH PLAN CHANGES to screening mammogram coverage
SECTION 29.31.(a) G.S. 135-40.5(e) reads as rewritten:
"(e) Routine Diagnostic
Examinations. - The Plan will pay one hundred percent (100%) of allowable
charges for routine diagnostic examinations and tests, including breast, colon,
rectal, and prostate exams, X rays, mammograms, blood and blood pressure
checks, urine tests, tuberculosis tests, and general health checkups that are
medically necessary for the maintenance and improvement of individual health
but no more often than once every three years for covered individuals to age 40
years, once every two years for covered individuals to age 50 years, and once a
year for covered individuals age 50 years and older, unless a more frequent
occurrence is warranted by a medical condition when such charges are incurred
in a medically supervised facility. The Plan will pay one hundred
percent (100%) of allowable charges for mammograms once per year for covered
individuals age 40 years and over, and not more often than once every three
years for covered individuals to age 40 years, when such charges are incurred in
a medically supervised facility. Routine diagnostic examinations and tests
covered under this subsection also include examinations and tests for the
screening for the early detection of cervical cancer. The coverage shall be in
accordance with the most recently published American Cancer Society guidelines
or guidelines adopted by the North Carolina Advisory Committee on Cancer
Coordination and Control for any covered female. For the purposes of this
subsection, "examinations and laboratory tests for the screening for the
early detection of cervical cancer" means conventional PAP smear
screening, liquid-based cytology, and human papilloma virus (HPV) detection
methods for women with equivocal findings on cervical cytologic analysis that
are subject to the approval of and have been approved by the United States Food
and Drug Administration. Provided, however, that charges for such examinations
and tests are not covered by the Plan when they are incurred to obtain or
continue employment, to secure insurance coverage, to comply with legal
proceedings, to attend schools or camps, to meet travel requirements, to
participate in athletic and related activities, or to comply with governmental
licensing requirements. The maximum amount payable under this subsection for a
covered individual is one hundred fifty dollars ($150.00) per fiscal
year."
SECTION 29.31.(b) G.S. 135-40.6(8)s. reads as rewritten:
"§ 135-40.6. Benefits subject to deductible and coinsurance (comprehensive benefits).
…
(8) Other Covered Charges. -
s. Routine
Diagnostic Examinations: Allowable charges for routine diagnostic examinations
and tests, including examinations and tests for the screening for the early
detection of cervical cancer, breast, colon, rectal, and prostate exams, X rays,
mammograms, blood and blood pressure checks, urine tests, tuberculosis
tests, and general health checkups that are medically necessary for the
maintenance and improvement of individual health but no more often than once
every three years for covered individuals to age 40 years, once every two years
for covered individuals to age 50 years, and once a year for covered
individuals age 50 years and older and, for examinations and tests for the
screening for the early detection of cervical cancer, in accordance with the
most recently published American Cancer Society guidelines or guidelines
adopted by the North Carolina Advisory Committee on Cancer Coordination and
Control, unless a more frequent occurrence is warranted by a medical condition
when such charges are incurred in a medically supervised facility. The Plan
will pay one hundred percent (100%) of allowable charges for mammograms once
per year for covered individuals age 40 years and over, and not more often than
once every three years for covered individuals to age 40 years, when such
charges are incurred in a medically supervised facility. Provided, however,
that charges for such examinations and tests are not covered by the Plan when
they are incurred to obtain or continue employment, to secure insurance
coverage, to comply with legal proceedings, to attend schools or camps, to meet
travel requirements, to participate in athletic and related activities or to
comply with governmental licensing requirements. For the purposes of this sub-subdivision,
"examinations and laboratory tests for the screening for the early
detection of cervical cancer" means conventional PAP smear screening,
liquid-based cytology, and human papilloma virus (HPV) detection methods for
women with equivocal findings on cervical cytologic analysis that are subject
to the approval of and have been approved by the United States Food and Drug
Administration.
…."
PART XXX. CAPITAL APPROPRIATIONS.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
GENERAL FUND CAPITAL APPROPRIATIONS/INTRODUCTION
SECTION 30.1. The appropriations made by the 2005 General Assembly for capital improvements are for constructing, repairing, or renovating State buildings, utilities, and other capital facilities, for acquiring sites for them where necessary, and acquiring buildings and land for State government purposes.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
CAPITAL APPROPRIATIONS/GENERAL FUND
SECTION 30.2. There is appropriated from the General Fund for the 2005-2006 fiscal year the following amount for capital improvements:
Capital Improvements - General Fund 2005-2006
Department of Cultural Resources
Capitol Area Visitor's Center $ 250,000
Department of Commerce - State Ports Authority
Ports of Wilmington and Morehead City
for equipment, capital, and infrastructure $ 9,000,000
Department of Environment and Natural Resources
Water Resources Development Projects $ 12,424,000
Department of Agriculture
Agricultural Laboratory $ 10,000,000
University of North Carolina System - Board of Governors
UNC-Wilmington - School of Nursing $ 2,650,000
TOTAL CAPITAL IMPROVEMENTS - GENERAL FUND $ 34,324,000
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
WATER RESOURCES DEVELOPMENT PROJECT FUNDS
Name of Project 2005-2006
(1) Wilmington Harbor Deepening $1,300,000
(2) Manteo (Shallowbag) Bay Channel Maintenance 50,000
(3) Wilmington Harbor Maintenance Dredging 500,000
(4) B. Everett Jordan Water Supply Storage 100,000
(5) John H. Kerr Reservoir Operations Evaluation 600,000
(6) Bogue Banks Shore Protection Study (Carteret County) 75,000
(7) Surf City/North Topsail Beach Protection Study 250,000
(8) West Onslow Beach (Topsail) 100,000
(9) Wrightsville Beach Nourishment 580,000
(10) Hurricane Stream Restoration - Western North Carolina 2,000,000
(11) Ocracoke NCCAT Estuarine Shoreline Protection 1,500,000
(12) Far Creek Maintenance Dredging 120,000
(13) Walters Slough Maintenance Dredging 122,000
(14) Hurricane Isabel Emergency Stream
Cleanup - Northeastern North Carolina 1,370,000
(15) State-Local Projects 2,000,000
(16) Princeville Flood Control 250,000
(17) Currituck Sound Water Management Study 300,000
(18) Aquatic Weed Control, Lake Gaston and Statewide 375,000
(19) Yadkin/Pee Dee Lakes Project 500,000
(20) North Carolina Oyster Habitat Restoration 50,000
(21) Emergency Flood Control Projects 187,000
(22) Planning Assistance to Communities 95,000
TOTALS $12,424,000
(1) U.S. Army Corps of Engineers project feasibility studies.
(2) U.S. Army Corps of Engineers projects whose schedules have advanced and require State-matching funds in fiscal year 2005-2006.
(3) State-local water resources development projects.
Funds not expended or encumbered for these purposes shall revert to the General Fund at the end of the 2006-2007 fiscal year.
(1) All projects listed in this section.
(2) The estimated cost of each project.
(3) The date that work on each project began or is expected to begin.
(4) The date that work on each project was completed or is expected to be completed.
(5) The actual cost of each project.
The semiannual reports shall also show those projects advanced in schedule, those projects delayed in schedule, and an estimate of the amount of funds expected to revert to the General Fund.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
PROCEDURES FOR DISBURSEMENT OF CAPITAL FUNDS
SECTION 30.4. The appropriations made by the 2005 General Assembly for capital improvements shall be disbursed for the purposes provided by this act. Expenditure of funds shall not be made by any State department, institution, or agency until an allotment has been approved by the Governor as Director of the Budget. The allotment shall be approved only after full compliance with the Executive Budget Act, Article 1 of Chapter 143 of the General Statutes. Prior to the award of construction contracts for projects to be financed in whole or in part with self-liquidating appropriations, the Director of the Budget shall approve the elements of the method of financing of those projects including the source of funds, interest rate, and liquidation period. Provided, however, that if the Director of the Budget approves the method of financing a project, the Director shall report that action to the Joint Legislative Commission on Governmental Operations at its next meeting.
Where direct capital improvement appropriations include the purpose of furnishing fixed and movable equipment for any project, those funds for equipment shall not be subject to transfer into construction accounts except as authorized by the Director of the Budget. The expenditure of funds for fixed and movable equipment and furnishings shall be reviewed and approved by the Director of the Budget prior to commitment of funds.
Capital improvement projects authorized by the 2005 General Assembly shall be completed, including fixed and movable equipment and furnishings, within the limits of the amounts of the direct or self-liquidating appropriations provided, except as otherwise provided in this act. Capital improvement projects authorized by the 2005 General Assembly for the design phase only shall be designed within the scope of the project as defined by the approved cost estimate filed with the Director of the Budget, including costs associated with site preparation, demolition, and movable and fixed equipment.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
ENCUMBERED APPROPRIATIONS AND PROJECT RESERVE FUNDS
SECTION 30.5. When each capital improvement project appropriated by the 2005 General Assembly, other than those projects under the Board of Governors of The University of North Carolina, is placed under a construction contract, direct appropriations shall be encumbered to include all costs for construction, design, investigation, administration, movable equipment, and a reasonable contingency. Unencumbered direct appropriations remaining in the project budget shall be placed in a project reserve fund credited to the Office of State Budget and Management. Funds in the project reserve may be used for emergency repair and renovation projects at State facilities with the approval of the Director of the Budget. The project reserve fund may be used, at the discretion of the Director of the Budget, to allow for award of contracts where bids exceed appropriated funds, if those projects supplemented were designed within the scope intended by the applicable appropriation or any authorized change in it, and if, in the opinion of the Director of the Budget, all means to award contracts within the appropriation were reasonably attempted. At the discretion of the Director of the Budget, any balances in the project reserve fund shall revert to the original source.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
REPAIR AND RENOVATION RESERVE ALLOCATION
Notwithstanding G.S. 143-15.3A, the Board of Governors may allocate funds for the repair and renovation of facilities not supported from the General Fund if the Board determines that sufficient funds are not available from other sources and that conditions warrant General Fund assistance. Any such finding shall be included in the Board's submission to the Joint Legislative Commission on Governmental Operations on the proposed allocation of funds.
The Board of Governors and the Office of State Budget and Management shall consult with the Joint Legislative Commission on Governmental Operations prior to the allocation or reallocation of these funds.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
SECTION 30.7. Upon the request of the administration of a State agency, department, or institution, the Director of the Budget may, when in the Director's opinion it is in the best interest of the State to do so, increase the cost of a capital improvement project. Provided, however, that if the Director of the Budget increases the cost of a project, the Director shall report that action to the Joint Legislative Commission on Governmental Operations at its next meeting. The increase may be funded from gifts, federal or private grants, special fund receipts, excess patient receipts above those budgeted at the University of North Carolina Hospitals at Chapel Hill, or direct capital improvement appropriations to that department or institution.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
SECTION 30.8. Upon the request of the administration of any State agency, department, or institution, the Director of the Budget may authorize the construction of a capital improvement project not specifically authorized by the General Assembly if such project is to be funded by gifts, federal or private grants, special fund receipts, excess patient receipts above those budgeted at the University of North Carolina Hospitals at Chapel Hill, or self-liquidating indebtedness. Prior to authorizing the construction of a capital improvement project pursuant to this section, the Director shall consult with the Joint Legislative Commission on Governmental Operations.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
ADVANCE PLANNING OF CAPITAL IMPROVEMENT PROJECTS
SECTION 30.9. Funds that become available by gifts, excess patient receipts above those budgeted at the University of North Carolina Hospitals at Chapel Hill, federal or private grants, receipts becoming a part of special funds by act of the General Assembly, or any other funds available to a State department or institution may be utilized for advance planning through the working drawing phase of capital improvement projects, upon approval of the Director of the Budget.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux, Wright
APPROPRIATIONS LIMITS/REVERSION OR LAPSE
SECTION 30.10. Except as permitted in previous sections of this act, the appropriations for capital improvements made by the 2005 General Assembly may be expended only for specific projects set out by the 2005 General Assembly and for no other purpose. Construction of all capital improvement projects enumerated by the 2005 General Assembly shall be commenced, or self-liquidating indebtedness with respect to them shall be incurred, within 12 months following the first day of the fiscal year in which the funds are available. If construction contracts on those projects have not been awarded or self-liquidating indebtedness has not been incurred within that period, the direct appropriation for those projects shall revert to the original source, and the self-liquidating appropriation shall lapse; except that direct appropriations may be placed in a reserve fund as authorized in this act. This deadline with respect to both direct and self-liquidating appropriations may be extended with the approval of the Director of the Budget up to an additional 12 months if circumstances and conditions warrant such extension.
PART XXXIV. Tobacco tax rate changes
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
TOBACCO TAX RATE CHANGES
SECTION 34.1.(a) G.S. 105-113.5 reads as rewritten:
"§ 105-113.5. Tax on cigarettes.
A tax is levied on the sale or possession for sale in this
State, by a distributor, of all cigarettes at the rate of two and one-half
mills one and one-half cents (1.50¢) per individual cigarette."
SECTION 34.1.(b) G.S. 105-113.35(a) reads as rewritten:
"(a) Tax. - An excise tax is
levied on tobacco products other than cigarettes at the rate of two percent
(2%) of the cost price of the products.as specified in this section.
This tax does not apply to the following:
(1) Aa
tobacco product sold outside the State.
(2) AState,
a tobacco product sold to the federal government.
(3) Agovernment,
or a sample tobacco product distributed without charge. The rate of tax
is as follows:
(1) Two percent (2%) of the cost price of cigars.
(2) Six percent (6%) of the cost price of tobacco products other than cigarettes and cigars."
SECTION 34.1.(c) This section becomes effective July 1, 2005.
PART XXXVIII. corporate, Excise, and INsurance tax changes
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
Equalize tax on entertainment
SECTION 38.3.(a) G.S. 105-37.1 reads as rewritten:
"§ 105-37.1.
Dances, athletic events, shows, exhibitions, and other entertainments.Privilege
tax on entertainment.
(a) Scope. - A privilege tax is imposed on the gross receipts of a person who is engaged in any of the following:
(1) Giving, offering, or managing a dance or an athletic contest for which an admission fee in excess of fifty cents (50¢) is charged.
(2) Giving, offering, or managing a form of amusement or entertainment that is not taxed by another provision of this Article and for which an admission fee is charged.
(3) Exhibiting a performance, show, or exhibition, such as a circus or dog show, that is not taxed by another provision of this Article.
(4) Operating a motion picture show for which an admission is charged.
(b) Rate and Payment. -
The rate of the privilege tax is three percent (3%) of combined
general rate applies to the gross receipts from the activities described in
subsection (a) of this section. The tax is due when a return is due. A return
is due by the 10th day after the end of each month and covers the gross
receipts received during the previous month. The term 'combined general
rate' has the same meaning as defined in G.S. 105-164.3.
(c) Advance Report. - A person who owns or controls a performance, show, or exhibition subject to the tax imposed by this section and who plans to bring the performance to this State from outside the State must file a statement with the Secretary that lists the dates, times, and places of the performance, show, or exhibition. The statement must be filed no less than five days before the first performance, show, or exhibition in this State.
(d) Local Taxes. - Cities may levy a license tax on a person taxed under subdivision (a)(1) or (a)(2) of this section; however, the tax may not exceed twenty-five dollars ($25.00). Cities may levy a license tax on a person taxed under subdivision (a)(3) of this section; however, the tax may not exceed twenty-five dollars ($25.00) for each day or part of a day the performance, show, or exhibition is given at each location.
Counties may not levy a license tax on a person taxed under
subdivision (a)(1) or (a)(2)(a)(1), (a)(2), or (a)(4) of this
section. Counties may levy a license tax on a person taxed under subdivision
(a)(3) to the same extent as a city."
SECTION 38.3.(b) G.S. 105-38.1 is repealed.
SECTION 38.3.(c) Subdivisions (4a) and (4b) of G.S. 105-164.3 are recodified as subdivisions (4b) and (4c) respectively.
SECTION 38.3.(d) G.S. 105-164.3 is amended by adding a new subdivision to read:
"§ 105-164.3. Definitions.
The following definitions apply in this Article:
…
(4a) Combined general rate. - The State's general rate of tax set in G.S. 105-164.4(a) plus the sum of the rates of the local sales and use taxes authorized by Subchapter VIII of this Chapter for every county in this State."
SECTION 38.3.(e) This section does not affect the rights or liabilities of the State, a taxpayer, or another person arising under a statute amended or repealed by this act before the effective date of its amendment or repeal; nor does it affect the right to any refund or credit of a tax that accrued under the amended or repealed statute before the effective date of its amendment or repeal.
SECTION 38.3.(f) This section becomes effective September 1, 2005, and applies to tickets sold on or after that date.
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
equalize Gross Premiums tax
SECTION 38.4.(a) G.S. 105-228.5(d)(6) is repealed.
SECTION 38.4.(b) G.S. 58-6-25(a) reads as rewritten:
"(a) Charge Levied. -
There is levied on each insurance company an annual charge for the purposes
stated in subsection (d) of this section. The charge levied in this section is
in addition to all other fees and taxes. The percentage rate of the charge is
established pursuant to subsection (b) of this section. For each insurance
company that is not a health maintenance organization, the rate section
and is applied to the company's premium tax liability for the taxable year.
For health maintenance organizations, the rate is applied to a premium tax liability
for the taxable year calculated as if the corporation or organization were
paying tax at the rate in G.S. 105-228.5(d)(2). In determining an
insurance company's premium tax liability for a taxable year, the following
shall be disregarded:
(1) Additional taxes imposed by G.S. 105-228.8.
(2) The additional local fire and lightning tax imposed by G.S. 105-228.5(d)(4).
(3) Any tax credits for guaranty or solvency fund assessments under G.S. 105-228.5A or G.S. 97-133(a).
(4) Any tax credits allowed under Chapter 105 of the General Statutes other than tax payments made by or on behalf of the taxpayer."
SECTION 38.4.(c) Notwithstanding the provisions of G.S. 105-228.5(f), the following provisions apply to health maintenance organizations for the 2006 and 2007 taxable years in lieu of the provisions of G.S. 105-228.5(f):
Health maintenance organizations that are subject to the tax imposed by G.S. 105-228.5 and have an estimated premium tax liability for the taxable year, not including the additional local fire and lightning tax, of ten thousand dollars ($10,000) or more for business done in North Carolina shall remit three estimated tax payments: the first estimated payment is due on or before April 15 and must be equal to at least forty-five percent (45%) of the taxpayer's estimated premium tax liability for the taxable year; the second estimated payment is due on or before June 15 and must be equal to at least forty-five percent (45%) of the taxpayer's estimated premium tax liability for the taxable year; and the third payment is due on or before October 15 and must be equal to at least ten percent (10%) of the taxpayer's estimated premium tax liability for the taxable year. The taxpayer must remit the balance by the following March 15 in the same manner provided in G.S. 105-228.5(e) for annual returns.
An underpayment of an estimated payment required by this subsection bears interest at the rate established under G.S. 105-241.1(i). Any overpayment bears interest as provided in G.S. 105-266(b) and, together with the interest, must be credited to the taxpayer and applied against the taxes imposed upon the company under G.S. 105-228.5.
The penalties provided in Article 9 of Chapter 105 of the General Statutes apply to the estimated tax payments required by this subsection.
SECTION 38.4.(d) This section is effective for taxable years beginning on or after January 1, 2006.
PART XXXIX. Tax incentives
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
FILM INDUSTRY JOBS INCENTIVES
SECTION 39.1.(a) Part 1 of Article 4 of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-130.47. Credit for qualifying expenses of a production company.
(a) Definitions. - The following definitions apply in this section:
(1) Highly compensated individual. - An individual who receives compensation in excess of one million dollars ($1,000,000) with respect to a single production.
(2) Qualifying expenses. - The sum of the total amount spent in this State for the following by a production company in connection with a production:
a. Goods and services purchased by the production company.
b. Compensation and wages paid by the production company, other than amounts paid to a highly compensated individual, on which the production company remitted withholding payments to the Department of Revenue under Article 4A of this Chapter.
(3) Production company. - Defined in G.S. 105-164.3.
(b) Credit. - A taxpayer that is a production company and has qualifying expenses of at least two hundred fifty thousand dollars ($250,000) with respect to a production is allowed a credit against the taxes imposed by this Part equal to fifteen percent (15%) of the production company's qualifying expenses that have been certified as required in subsection (c) of this section. For the purposes of this section, in the case of an episodic television series, an entire season of episodes is one production. The credit is computed based on all of the taxpayer's qualifying expenses incurred with respect to the production, not just the qualifying expenses incurred during the taxable year.
(c) Certification. - In order to be eligible for a credit under this section, a taxpayer must submit a detailed accounting of its qualifying expenses to the North Carolina Film Office of the Department of Commerce. The North Carolina Film Office, with the assistance of the regional film commission for the location of the production, must make a written certification of the amount of the qualifying expenses.
(d) Pass-Through Entity. - Notwithstanding the provisions of G.S. 105-131.8 and G.S. 105-269.15, a pass-through entity that qualifies for the credit provided in this section does not distribute the credit among any of its owners. The pass-through entity is considered the taxpayer for purposes of claiming the credit allowed by this section. If a return filed by a pass-through entity indicates that the entity is paying tax on behalf of the owners of the entity, the credit allowed under this section does not affect the entity's payment of tax on behalf of its owners.
(e) Return. - A taxpayer may claim the credit allowed by this section on a return filed for the taxable year in which the production activities are completed. The return must state the name of the production, a description of the production, and the certification from the North Carolina Film Office of the qualifying expenses for which the credit is claimed.
(f) Credit Refundable. - If the credit allowed by this section exceeds the amount of tax imposed by this Part for the taxable year reduced by the sum of all credits allowable, the Secretary must refund the excess to the taxpayer. The refundable excess is governed by the provisions governing a refund of an overpayment by the taxpayer of the tax imposed in this Part. In computing the amount of tax against which multiple credits are allowed, nonrefundable credits are subtracted before refundable credits.
(g) Limitation. - No credit is allowed under this section for any production that satisfies one of the following conditions:
(1) It is political advertising.
(2) It is a television production of a news program or sporting event.
(3) It contains material that is obscene, as defined in G.S. 14-190.1.
(h) Substantiation. - A taxpayer allowed a credit under this section must maintain and make available for inspection any information or records required by the Secretary of Revenue or the regional film commissions. The taxpayer has the burden of proving eligibility for a credit and the amount of the credit.
(i) Report. - The Department of Revenue must publish by May 1 of each year the following information, itemized by taxpayer for the 12-month period ending the preceding April 1:
(1) The location of sites used in a production for which a credit was claimed.
(2) The qualifying expenses for which a credit was claimed, classified by whether the expenses were for goods, services, or compensation paid by the production company.
(3) The number of people employed in the State with respect to credits claimed.
(4) The total cost to the General Fund of the credits claimed.
(j) Sunset. - This section is repealed for qualifying expenses occurring on or after January 1, 2010."
SECTION 39.1.(b) Part 2 of Article 4 of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-151.29. Credit for qualifying expenses of a production company.
(a) Definitions. - The following definitions apply in this section:
(1) Highly compensated individual. - An individual who receives compensation in excess of one million dollars ($1,000,000) with respect to a single production.
(2) Qualifying expenses. - The sum of the total amount spent in this State for the following by a production company in connection with a production:
a. Goods and services purchased by the production company.
b. Compensation and wages paid by the production company, other than amounts paid to a highly compensated individual, on which the production company remitted withholding payments to the Department of Revenue under Article 4A of this Chapter.
(3) Production company. - Defined in G.S. 105-164.3.
(b) Credit. - A taxpayer that is a production company and has qualifying expenses of at least two hundred fifty thousand dollars ($250,000) with respect to a production is allowed a credit against the taxes imposed by this Part equal to fifteen percent (15%) of the production company's qualifying expenses that have been certified as required in subsection (c) of this section. For the purposes of this section, in the case of an episodic television series, an entire season of episodes is one production. The credit is computed based on all of the taxpayer's qualifying expenses incurred with respect to the production, not just the qualifying expenses incurred during the taxable year.
(c) Certification. - In order to be eligible for a credit under this section, a taxpayer must submit a detailed accounting of its qualifying expenses to the North Carolina Film Office of the Department of Commerce. The North Carolina Film Office, with the assistance of the regional film commission for the location of the production, must make a written certification of the amount of the qualifying expenses.
(d) Pass-Through Entity. - Notwithstanding the provisions of G.S. 105-131.8 and G.S. 105-269.15, a pass-through entity that qualifies for the credit provided in this section does not distribute the credit among any of its owners. The pass-through entity is considered the taxpayer for purposes of claiming the credit allowed by this section. If a return filed by a pass-through entity indicates that the entity is paying tax on behalf of the owners of the entity, the credit allowed under this section does not affect the entity's payment of tax on behalf of its owners.
(e) Return. - A taxpayer may claim the credit allowed by this section on a return filed for the taxable year in which the production activities are completed. The return must state the name of the production, a description of the production, and the certification from the North Carolina Film Office of the qualifying expenses for which the credit is claimed.
(f) Credit Refundable. - If the credit allowed by this section exceeds the amount of tax imposed by this Part for the taxable year reduced by the sum of all credits allowable, the Secretary must refund the excess to the taxpayer. The refundable excess is governed by the provisions governing a refund of an overpayment by the taxpayer of the tax imposed in this Part. In computing the amount of tax against which multiple credits are allowed, nonrefundable credits are subtracted before refundable credits.
(g) Limitation. - No credit is allowed under this section for any production that satisfies one of the following conditions:
(1) It is political advertising.
(2) It is a television production of a news program or sporting event.
(3) It contains material that is obscene, as defined in G.S. 14-190.1.
(h) Substantiation. - A taxpayer allowed a credit under this section must maintain and make available for inspection any information or records required by the Secretary of Revenue or the regional film commissions. The taxpayer has the burden of proving eligibility for a credit and the amount of the credit.
(i) Report. - The Department of Revenue must publish by May 1 of each year the following information, itemized by taxpayer for the 12-month period ending the preceding April 1:
(1) The location of sites used in a production for which a credit was claimed.
(2) The qualifying expenses for which a credit was claimed, classified by whether the expenses were for goods, services, or compensation paid by the production company.
(3) The number of people employed in the State with respect to credits claimed.
(4) The total cost to the General Fund of the credits claimed.
(j) Sunset. - This section is repealed for qualifying expenses occurring on or after January 1, 2010."
SECTION 39.1.(c) G.S. 105-259(b), as amended by Section 30.1 of this act, 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:
…
(33) To exchange information concerning a tax credit claimed under G.S. 105-130.47 or G.S. 105-151.29 with the North Carolina Film Office of the Department of Commerce and with the regional film commissions."
SECTION 39.1.(d) G.S. 143B-434.4 is repealed.
SECTION 39.1.(e) This section is effective for taxable years beginning on or after January 1, 2005.
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
Small Business Health Insurance Tax Credit
SECTION 39.2.(a) Article 3B of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-129.16E. Credit for small business employee health benefits.
(a) Credit. - A small business that provides health benefits for all of its eligible employees during the taxable year is allowed a credit to offset its costs in providing health benefits for its eligible employees. For the purposes of this subsection, a taxpayer provides health benefits if it pays at least fifty percent (50%) of the premiums for health care coverage that equals or exceeds the minimum provisions of the basic health care plan of coverage recommended by the Small Employer Carrier Committee pursuant to G.S. 58-50-125.
The credit is equal to a dollar amount per eligible employee, not to exceed the taxpayer's costs of providing health benefits for its eligible employees during the taxable year. For each eligible employee for whom the taxpayer provides health benefits, the amount is four hundred dollars ($400.00).
(b) Allocation. - If the taxpayer is an individual who is a nonresident or a part-year resident, the taxpayer must reduce the amount of the credit by multiplying it by the fraction calculated under G.S. 105-134.5(b) or (c), as appropriate. If the taxpayer is not an individual and is required to apportion its multistate business income to this State, the taxpayer must reduce the amount of the credit by multiplying it by the apportionment fraction used to apportion its business income to this State.
(c) Definitions. - The following definitions apply in this section:
(1) Eligible employee. - Defined in G.S. 58-50-110.
(2) Small business. - A taxpayer that employs no more than 25 eligible employees throughout the taxable year.
(d) No Double Benefit. - A taxpayer may not claim a credit under this section for costs for which it claimed a deduction under the Code. A taxpayer that claims a credit provided under this section must adjust taxable income as provided in G.S. 105-130.5(a)(16) or G.S. 105-134.6(c)(9), as applicable.
(e) Sunset. - This section expires for taxable years beginning on or after January 1, 2010."
SECTION 39.2.(b) G.S. 105-129.15A is repealed.
SECTION 39.2.(c) G.S. 105-129.16 is repealed.
SECTION 39.2.(d) G.S. 105-129.16A is amended by adding a new subsection to read:
"(e) Sunset. - This section is repealed for renewable energy property placed in service on or after January 1, 2006."
SECTION 39.2.(e) G.S. 105-129.16C is amended by adding a new subsection to read:
"(d) Sunset. - This section is repealed for taxable years beginning on or after January 1, 2006."
SECTION 39.2.(f) G.S. 105-130.5(a) is amended by adding a new subdivision to read:
"(a) The following additions to federal taxable income shall be made in determining State net income:
…
(16) To the extent not included in federal taxable income, the costs of providing employee health benefits for which the taxpayer claims a credit under G.S. 105-129.16E."
SECTION 39.2.(g) G.S. 105-134.6(c) is amended by adding a new subdivision to read:
"(c) Additions. - The following additions to taxable income shall be made in calculating North Carolina taxable income, to the extent each item is not included in taxable income:
…
(9) The costs of providing employee health benefits for which the taxpayer claims a credit under G.S. 105-129.16E."
SECTION 39.2.(h) Subsections (a), (f), and (g) of this section are effective for taxable years beginning on or after January 1, 2006. The remainder of this section is effective when it becomes law.
PART XL. set rates for insurance regulatory charge and public utilities fees
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
INSURANCE REGULATORY CHARGE
SECTION 40.1.(a) The percentage rate to be used in calculating the insurance regulatory charge under G.S. 58-6-25 is five and one-half percent (5.5%) for the 2005 calendar year.
SECTION 40.1.(b) This section is effective when it becomes law.
Requested by: Representatives Alexander, Gibson, Luebke, Wainwright
REGULATORY FEE FOR UTILITIES COMMISSION
SECTION 40.2.(a) The percentage rate to be used in calculating the public utility regulatory fee under G.S. 62-302(b)(2) is twelve-hundredths of one percent (0.12%) for each public utility's North Carolina jurisdictional revenues earned during each quarter that begins on or after July 1, 2005.
SECTION 40.2.(b) The electric membership corporation regulatory fee imposed under G.S. 62-302(b1) for the 2005-2006 fiscal year is two hundred thousand dollars ($200,000).
SECTION 40.2.(c) This section becomes effective July 1, 2005.
PART XLI. health and human services fees
Requested by: Representatives Barnhart, Insko
NEWBORN SCREENING FEE
SECTION 41.1. G.S. 130A-125(c) reads as rewritten:
"(c) The Department may
impose a fee for a laboratory test performed pursuant to this section by the
State Public Health Laboratory. A fee for a test must be based on the actual
cost of performing the test. A fee of fourteen dollars ($14.00) applies
to a laboratory test performed by the State Public Health Laboratory performed
pursuant to this section. Fees collected shall remain in the Department to
be used to offset the cost of the Newborn Screening Program."
Requested by: Representatives Insko, Barnhart
DIVISION OF FACILITY SERVICES FEES
SECTION 41.2.(a) G.S. 131D-2(b)(1) reads as rewritten:
"(b) Licensure; inspections. -
(1) The Department of
Health and Human Services shall inspect and license, under rules adopted by the
Medical Care Commission, all adult care homes for persons who are aged or
mentally or physically disabled except those exempt in subsection (c) of this
section. Licenses issued under the authority of this section shall be valid for
one year from the date of issuance unless revoked earlier by the Secretary for
failure to comply with any part of this section or any rules adopted hereunder.
Licenses shall be renewed annually upon filing and the Department's approval of
the renewal application. The Department shall charge each adult care home with
six or fewer beds a nonrefundable annual license fee in the amount of one
hundred twenty-five dollars ($125.00). two hundred fifty dollars
($250.00).The Department shall charge each adult care home with more than
six beds a nonrefundable annual license fee in the amount of one hundred
seventy-five dollars ($175.00) three hundred fifty dollars ($350.00)
plus a nonrefundable annual per-bed fee of six dollars and twenty-five cents
($6.25).twelve dollars and fifty cents ($12.50). A license shall not
be renewed if outstanding fees, fines, and penalties imposed by the State
against the home have not been paid. Fines and penalties for which an appeal is
pending are exempt from consideration. The renewal application shall contain
all necessary and reasonable information that the Department may by rule
require. Except as otherwise provided in this subdivision, the Department may
amend a license by reducing it from a full license to a provisional license for
a period of not more than 90 days whenever the Department finds that:
a. The licensee has substantially failed to comply with the provisions of Articles 1 and 3 of Chapter 131D of the General Statutes and the rules adopted pursuant to these Articles;
b. There is a reasonable probability that the licensee can remedy the licensure deficiencies within a reasonable length of time; and
c. There is a reasonable probability that the licensee will be able thereafter to remain in compliance with the licensure rules for the foreseeable future.
The Department may extend a provisional license for not more than one additional 90-day period upon finding that the licensee has made substantial progress toward remedying the licensure deficiencies that caused the license to be reduced to provisional status.
The Department may revoke a license whenever:
a. The Department finds that:
1. The licensee has substantially failed to comply with the provisions of Articles 1 and 3 of Chapter 131D of the General Statutes and the rules adopted pursuant to these Articles; and
2. It is not reasonably probable that the licensee can remedy the licensure deficiencies within a reasonable length of time; or
b. The Department finds that:
1. The licensee has substantially failed to comply with the provisions of Articles 1 and 3 of Chapter 131D of the General Statutes and the rules adopted pursuant to these Articles; and
2. Although the licensee may be able to remedy the deficiencies within a reasonable time, it is not reasonably probable that the licensee will be able to remain in compliance with licensure rules for the foreseeable future; or
c. The Department finds that the licensee has failed to comply with the provisions of Articles 1 and 3 of Chapter 131D of the General Statutes and the rules adopted pursuant to these Articles, and the failure to comply endangered the health, safety, or welfare of the patients in the facility.
The Department may also issue a provisional license to a facility, pursuant to rules adopted by the Medical Care Commission, for substantial failure to comply with the provisions of this section or rules adopted pursuant to this section. Any facility wishing to contest the issuance of a provisional license shall be entitled to an administrative hearing as provided in the Administrative Procedure Act, Chapter 150B of the General Statutes. A petition for a contested case shall be filed within 30 days after the Department mails written notice of the issuance of the provisional license."
SECTION 41.2.(b) G.S. 131E-77(d) reads as rewritten:
"(d) Upon receipt of an application for a license, the Department shall issue a license if it finds that the applicant complies with the provisions of this Article and the rules of the Commission. The Department shall renew each license in accordance with the rules of the Commission. The Department shall charge the applicant a nonrefundable annual base license fee plus a nonrefundable annual per-bed fee as follows:
Facility Type Number of Beds Base Fee Per-Bed Fee
General Acute
Hospitals: 1-49
beds
$125.00250.00 $6.2512.50
50-99
beds
$175.00350.00 $6.2512.50
100-199
beds
$225.00450.00 $6.2512.50
200-399
beds
$275.00550.00 $6.2512.50
400-699
beds
$375.00750.00 $6.2512.50
700+
beds
$475.00950.00 $6.2512.50
Other
Hospitals:
$250.00500.00 $6.2512.50"
SECTION 41.2(c) G.S. 131E-102(b) reads as rewritten:
"(b) Applications shall be
available from the Department, and each application filed with the Department
shall contain all necessary and reasonable information that the Department may
by rule require. A license shall be granted to the applicant upon a determination
by the Department that the applicant has complied with the provisions of this
Part and the rules promulgated under this Part. The Department shall charge the
applicant a nonrefundable annual license fee in the amount of two hundred
twenty-five dollars ($225.00) four hundred fifty dollars ($450.00)
plus a nonrefundable annual per-bed fee of six dollars and twenty-five cents
($6.25).twelve dollars and fifty cents ($12.50)."
SECTION 41.2(d) G.S. 131E-138(c) reads as rewritten:
"(c) An application for a
license shall be available from the Department, and each application filed with
the Department shall contain all information requested by the Department. A
license shall be granted to the applicant upon a determination by the
Department that the applicant has complied with the provisions of this Part and
the rules promulgated by the Commission under this Part. The Department shall
charge the applicant a nonrefundable annual license fee in the amount of one
hundred seventy-five dollars ($175.00).three hundred fifty dollars
($350.00)."
SECTION 41.2(e) G.S. 131E-147(b) reads as rewritten:
"(b) Applications shall be
available from the Department, and each application filed with the Department
shall contain all necessary and reasonable information that the Department may
by rule require. A license shall be granted to the applicant upon a
determination by the Department that the applicant has complied with the
provisions of this Part and the rules promulgated by the Commission under this
Part. The Department shall charge the applicant a nonrefundable annual base
license fee in the amount of three hundred fifty dollars ($350.00) seven
hundred dollars ($700.00) plus a nonrefundable annual per-operating room
fee in the amount of twenty-five dollars ($25.00).fifty dollars
($50.00)."
SECTION 41.2(f) G.S. 131E-167(a) reads as rewritten:
"(a) Applications for
certification shall be available from the Department, and each application filed
with the Department shall contain all necessary and reasonable information that
the Department may by rule require. A certificate shall be granted to the
applicant for a period not to exceed one year upon a determination by the
Department that the applicant has substantially complied with the provisions of
this Article and the rules promulgated by the Department under this Article.
The Department shall charge the applicant a nonrefundable annual certification
fee in the amount of one hundred twenty-five dollars ($125.00).two
hundred fifty dollars ($250.00)."
SECTION 41.2(g) G.S. 131E-269 reads as rewritten:
"§ 131E-269. Authorization to charge fee for certification of facilities suitable to perform abortions.
The Department of Health and Human Services shall charge each
hospital or clinic certified by the Department as a facility suitable for the
performance of abortions, as authorized under G.S. 14-45.1, a
nonrefundable annual certification fee in the amount of three hundred fifty
dollars ($350.00).seven hundred dollars ($700.00)."
SECTION 41.2(h) G.S. 122C-23(h) reads as rewritten:
"(h) The Department shall charge facilities licensed under this Chapter that have licensed beds a nonrefundable annual base license fee plus a nonrefundable annual per-bed fee as follows:
Type of Facility Number of Beds Base Fee Per-Bed Fee
Facilities (non-ICF/MR):
6 or fewer
beds
$125.00250.00 $0
More than 6
beds $175.00350.00
$6.2512.50
ICF/MR
Only:
6 or fewer beds
$325.00650.00 $0
More than 6 beds
$325.00650.00 $6.2512.50"
SECTION 41.2(i) G.S. 131E-138.1 reads as rewritten:
"§ 131E-138.1. Licensure fees for nursing beds and adult care home beds in continuing care retirement communities.
The Department shall charge continuing care retirement
communities licensed under Article 64 of Chapter 58 of the General Statutes
that have nursing home beds or adult care home beds licensed by the Department
a nonrefundable annual base license fee in the amount of two hundred twenty-five
dollars ($225.00)four hundred fifty dollars ($450.00) plus a
nonrefundable annual per-bed fee in the amount of six dollars and twenty-five
cents ($6.25).twelve dollars and fifty cents ($12.50)."
SECTION 41.2(j) G.S. 131E-267 reads as rewritten:
"§ 131E-267. Fees for departmental review of health care facility construction projects.
The Department of Health and Human Services shall charge a fee for the review of each health care facility construction project to ensure that project plans and construction are in compliance with State law. The fee shall be charged on a one-time, per-project basis, as follows, and shall not exceed twelve thousand five hundred dollars ($12,500) for any single project:
Institutional Project Project Fee
Hospitals
$150.00 plus $0.10/square foot of project space
$300.00 plus $0.20/square foot of project space
Nursing
Homes
$125.00 plus $0.08/square foot of project space
$250.00 plus $0.16/square foot of project space
Ambulatory Surgical
Facility
$100.00 plus $0.08/square foot of project space
$200.00 plus $0.16/square foot of project space
Psychiatric
Hospital
$100.00 plus $0.08/square foot of project space
$200.00 plus $0.16/square foot of project space
Adult Care Home more than 7 beds
$87.00 plus $0.05/square foot of project space
7 or more beds $175.00 plus $0.10/square foot of project space
Residential Project Project Fee
Family Care
Homes
$87.00 175.00 flat fee
ICF/MR Group
Homes
$137.00 275.00 flat fee
Group Homes: 1-3
beds
$50.00 100.00 flat fee
Group Homes: 4-6
beds
$87.00 175.00 flat fee
Group Homes: 7-9
beds
$112.00 225.00 flat fee
Other
residential: More than 9 beds $112.00 225.00
plus $0.038/0.075/square foot of project space."
SECTION 41.2.(k) This section becomes effective October 1, 2005.
PART XLII. natural and economic resources fees
Requested by: Representatives Hunter, Warren
INCREASE VARIOUS agricultural FEES
SECTION 42.1.(a) G.S. 106-284.34(c) reads as rewritten:
"(c) No person shall
distribute in this State a commercial feed, except a customer-formula feed,
which has not been registered pursuant to the provisions of this section. The
application for registration shall be submitted in the manner prescribed by the
Commissioner. Upon approval by the Commissioner or his duly designated agent
the registration shall be issued to the applicant. All registrations expire on
the thirty-first day of December of each year. An annual registration fee of three
dollars ($3.00) up to five dollars ($5.00) for each commercial feed
other than canned pet food shall accompany each request for registration. An
annual registration fee of ten dollars ($10.00) up to twelve dollars
($12.00) for each canned pet food shall accompany each request for
registration."
SECTION 42.1.(b) G.S. 106-284.40(b)(4) reads as rewritten:
"(4) In the case of a
commercial feed other than canned pet food which is distributed in the State
only in packages of five pounds or less, an annual registration fee of thirty
dollars ($30.00) up to forty dollars ($40.00) shall be paid in lieu
of the inspection fee specified above."
SECTION 42.1.(c) G.S. 106-277.28(3) reads as rewritten:
"(3) Each seed dealer or
grower who has seed, whether originated or labeled by the dealer or grower,
that is offered for sale in this State shall report the quantity of seed
offered for sale and pay an inspection fee of two cents (2¢) up to
four cents (4¢) for each container of seeds weighing 10 pounds or more.
Seed shall be subject to the inspection fee and reporting requirements only
once in any 12-month period. This fee does not apply to seed grown by a farmer
and offered for sale by the farmer at the farm where the seed was grown."
SECTION 42.1.(d) The Board of Agriculture shall charge no more than the following fees for agronomic services:
Test/Service Fee
(1) Routine nematode samples $ 3.00
(2) Routine waste samples $ 5.00
(3) Research soil and nematode samples $12.00
(4) Research plant, waste, and solution samples $12.00
(5) Nonresident nematode samples $14.00
(6) Nonresident plant, waste, and solution samples $26.00
(7) Special services for plant, waste, and solution samples:
a. Heavy metals-soils $25.00
b. Nitrates-soils $ 5.00
c. Waste-heavy metals $10.00
d. Waste-N breakout $10.00
e. Waste-liming equivalent $10.00
f. Plant-chloride $ 5.00
g. Plant-molybdenum $ 5.00
h. Plant-petiole nitrates $ 5.00.
SECTION 42.1.(e) The Board of Agriculture shall charge no more than the following fees for animal disease diagnostic tests and services:
Test/Service Fee
(1) Histopath $30.00
(2) Professional services-EIA $ 6.00
(3) Professional services-blood pour-off fees $ 1.00
(4) Vacuum tube handling fee $ 0.04.
SECTION 42.1.(f) G.S. 81A-52 reads as rewritten:
"§ 81A-52. License.
All public weighmasters shall be licensed. Any person not
less than 18 years of age who wishes to be a public weighmaster shall apply to
the Department on a form provided by the Department. The Board may adopt rules
for determining the qualifications of the applicant for a license. Public
weighmasters shall be licensed for a period of one year beginning the first day
of July and ending on the thirtieth day of June, and a fee of twelve dollars
($12.00) up to nineteen dollars ($19.00) shall be paid for each
person licensed at the time of the filing of the application."
SECTION 42.1.(g) G.S. 81A-72 reads as rewritten:
"§ 81A-72. Registration; certificate of registration; annual renewal.
The Commissioner or his authorized agent shall register any person who has complied with the requirements of this Article by making a record of receipt of application, and the issuing of a certificate or card of registration to applicant, whereupon the applicant becomes a registered scale technician and shall be known thereafter as such. Such registration shall be in effect from date of registration until July 1 next and shall be renewed on the first day of July of each year thereafter. A fee of up to twenty dollars ($20.00) shall accompany each application for registration and each annual registration renewal."
SECTION 42.1.(h) G.S. 81A-11 is repealed.
SECTION 42.1.(i) Chapter 81A of the General Statutes is amended by adding the following new section to read:
"§ 81A-12. Fee schedule.
(a) The following maximum fees apply to all weights that are tested and certified to meet tolerances less stringent than the American Society for Testing and Materials (ASTM) Standard E617 Class 4. This includes the National Institutes of Standards and Technology (NIST) Class F tolerance. If the weight error exceeds three-fourths of the applicable tolerance, adjustment may be required at an additional fee equal to the normal fee. No extra fee shall be charged for the normal adjustment of a weight cart. Even if weights are rejected or condemned, fees shall be assessed for the test performed.
Customary Fee/Unit Metric Maximum Fee/Unit
0-10 lb $ 5.00 0-5 kg $ 5.00
11-100 lb $ 10.00 6-50 kg $ 10.00
101-1000 lb $ 20.00 51-500 kg $ 20.00
1001-2500 lb $ 30.00 501-1000 kg $ 30.00
2501-6000 lb $ 50.00 1001-2500 kg $ 50.00
Weight Carts $125.00
up to 6000 1b (includes adjustment)
(b) The following maximum fees apply to all weights that are tested and certified to meet ASTM Standard E617 Class 4 or the International Organization of Legal Metrology (IOLM) R111 Class F2 tolerances. If the weight error exceeds three-fourths of the applicable tolerance, adjustment may be required at an additional fee equal to the normal fee. Even if weights are rejected or condemned, fees shall be assessed for the test performed.
Customary Fee/Unit Metric Maximum Fee/Unit
0-10 lb $ 10.00 0-5 kg $ 10.00
11-100 lb $_ 20.00 6-50 kg $ 20.00
101-1000 lb $_ 40.00 51-500 kg $ 40.00
1001-2500 lb $_ 60.00 501-1000 kg $ 60.00
2501-6000 lb $ 100.00 1001-2500 kg $ 100.00
(c) The following maximum fees apply to all weights that are calibrated. Calibration means determining actual mass and conventional mass values with an assigned uncertainty specific to the test. If necessary and considered feasible by the metrologist, adjustments to ASTM Class 1, 2, or 3 tolerances or IOLM Class E2, F1, or F2 tolerances may be made for an additional fee of two times the normal fee. Adjustments to weights of this group shall require a minimum of 10 days for weights to return to environmental equilibrium before a final calibration value can be assigned. Even if weights are rejected or condemned, fees shall be assessed for the test performed.
Customary Fee/Unit Metric Maximum Fee/Unit
0-20 lb $ 20.00 0-10 kg $ 20.00
21-50 lb $ 40.00 11-30 kg $ 40.00
51-1000 lb $ 70.00 31-500 kg $ 70.00
1001-2500 lb $ 130.00 501-1000 kg $ 130.00
2501-6000 lb $ 200.00 1001-2500 kg $ 200.00
(d) The following maximum fees apply to all weights that are calibrated using NIST weighing designs. These weights are tested in groups (typically either a 1, 2, 3, 5 series or a 1, 2, 2, 5 series) and are subject to the minimum per series fee shown. The best uncertainty possible from the North Carolina Standards Laboratory shall be assigned to the mass values of the weights. If necessary and considered feasible by the metrologist, adjustments to ASTM Class 0, 1, 2, or 3 tolerances or IOLM Class E1, E2, F1, or F2 tolerances may be made for an additional fee of two times the normal fee. Adjustments to weights of this group shall require a minimum of 10 days for weights to return to environmental equilibrium before a final calibration value can be assigned.
Weight Range Maximum Fee/Unit or Series
0-1 kg $30.00 each, with a minimum charge of $90 (3 weights) per series
2-30 kg $50.00 each, with a minimum charge of $150 (3 weights) per series
0-2 lb $30.00 each, with a minimum charge of $90 (3 weights) per series
3-50 lb $50.00 each, with a minimum charge of $150 (3 weights) per series
(e) The following maximum fees apply to volumetric standard calibration.
Provers or Test Measures Tested By The Volume Transfer Method
Customary Fee/Test Point Metric Fee/Test Point
0-5 gal Up to $30.00 0-20 liters Up to $30.00
Over 5 gal Add up to $0.40 per each Over 20 liters Add up to $0.10 per each
additional gallon additional liter
Volumetric Flasks, Graduates, Provers, Slicker Plate Standards, or Test Measures Tested By the Gravimetric Calibration Method
Customary Fee/Test Point Metric Fee/Test Point
0-100 gal set-up fee Up to $50.00 0-500 liters set-up fee Up to $50.00
Calibration Fee Add up to $2.00 Calibration Fee Add up to $0.50
per gallon per liter
Small Volume Provers (SVPs) Tested By The Gravimetric Calibration Method
Customary Fee/Test Point Metric Fee/Test Point
0-100 gal set-up fee Up to $ 100.00 0-500 liters set-up fee Up to $100.00
Calibration Fee Add up to $2.00 Calibration Fee Add up to $0.50
per gallon per liter
(f) The following maximum fees apply to tape measures and rigid rules.
Set-Up Fee Up to $ 40.00 per instrument
Calibration Fee Up to $10.00 calibration interval
(g) The following maximum fees apply to liquid-in-glass and electronic thermometers.
Set-Up Fee Up to $40.00/instrument
Calibration Fee Up to $20.00/calibration point
Resistance Thermometry Coefficient
Calculation and Report Up to $100.00/ instrument
(h) Any special tests or weight cleaning shall be billed at the rate of up to seventy dollars ($70.00) per hour prorated to the nearest tenth of an hour, with a minimum charge of thirty-five dollars ($35.00).
(i) A minimum charge of twenty-five dollars ($25.00) per invoice shall apply.
(j) If travel is required in connection with the performance of any of these services, the Department shall be reimbursed at the rates provided in G.S. 138-6.
(k) The Department may refuse to accept for testing any weight or measure the Department deems unsuited for its intended use.
(l) The fee for tests performed on weights or measures that will be used primarily outside of the State of North Carolina shall be twice the amounts set forth in this section."
Requested by: Representatives Hunter, Warren
Increase Cap for CAMA Permit Fees
SECTION 42.3.(a) G.S. 113A-119.1(a) reads as rewritten:
"(a) The Commission shall
have the power to establish a graduated fee schedule for the processing of
applications for permits, renewals of permits, modifications of permits, or
transfers of permits issued pursuant to this Article. In determining the fee
schedule, the Commission shall consider the administrative and personnel costs
incurred by the Department for processing the applications, related compliance
activities, and the complexity of the development sought to be undertaken for
which a permit is required under this Article. The fee to be charged for
processing an application may not exceed four hundred dollars ($400.00). eight
hundred dollars ($800.00). The total funds collected from fees authorized
by the Commission pursuant to this section in any fiscal year shall not exceed
thirty-three and one-third percent (33 1/3%) of the total personnel and
administrative costs incurred by the Department for permit processing and
compliance programs within the Division of Coastal Area Management."
SECTION 42.3.(b) The Coastal Resources Commission may adopt temporary rules to implement this section.
PART XLIII. justice and public safety fees
Requested by: Representatives Haire, Kiser
GENERAL COURT OF JUSTICE FEE INCREASES
SECTION 43.1.(a) G.S. 7A-304(a)(4) reads as rewritten:
"(a) In every criminal case in the superior or district court, wherein the defendant is convicted, or enters a plea of guilty or nolo contendere, or when costs are assessed against the prosecuting witness, the following costs shall be assessed and collected, except that when the judgment imposes an active prison sentence, costs shall be assessed and collected only when the judgment specifically so provides, and that no costs may be assessed when a case is dismissed.
…
(4) For support of the
General Court of Justice, the sum of seventy-six dollars ($76.00) eighty-five
dollars and fifty cents ($85.50) in the district court, including cases
before a magistrate, and the sum of eighty-three dollars ($83.00) ninety-two
dollars and fifty cents ($92.50) in the superior court, to be remitted to
the State Treasurer. For a person convicted of a felony in superior court who
has made a first appearance in district court, both the district court and
superior court fees shall be assessed. The State Treasurer shall remit the sum
of one dollar and five cents ($1.05) of each fee collected under this
subdivision to the North Carolina State Bar for the provision of services
described in G.S. 7A-474.4, and ninety-five cents ($.95) of each fee
collected under this subdivision to the North Carolina State Bar for the
provision of services described in G.S. 7A-474.19."
SECTION 43.1.(b) G.S. 7A-305(a)(2) reads as rewritten:
"(a) In every civil action in the superior or district court, except for actions brought under Chapter 50B of the General Statutes, the following costs shall be assessed:
…
(2) For support of the
General Court of Justice, the sum of sixty-nine dollars ($69.00) seventy-nine
dollars ($79.00) in the superior court, and the sum of fifty-four
dollars ($54.00) sixty-four dollars ($64.00) in the district court
except that if the case is assigned to a magistrate the sum shall be forty-three
dollars ($43.00). fifty-three dollars ($53.00). Sums collected under
this subdivision shall be remitted to the State Treasurer. The State Treasurer
shall remit the sum of one dollar and five cents ($1.05) of each fee collected
under this subdivision to the North Carolina State Bar for the provision of
services described in G.S. 7A-474.4, and ninety-five cents ($.95) of each
fee collected under this subdivision to the North Carolina State Bar for the
provision of services described in G.S. 7A-474.19."
SECTION 43.1.(c) G.S. 7A-306(a)(2) reads as rewritten:
"(a) In every special proceeding in the superior court, the following costs shall be assessed:
…
(2) For support of the
General Court of Justice the sum of thirty dollars ($30.00). forty
dollars ($40.00). In addition, in proceedings involving land, except
boundary disputes, if the fair market value of the land involved is over one
hundred dollars ($100.00), there shall be an additional sum of thirty cents
(30¢) per one hundred dollars ($100.00) of value, or major fraction thereof,
not to exceed a maximum additional sum of two hundred dollars ($200.00). Fair
market value is determined by the sale price if there is a sale, the
appraiser's valuation if there is no sale, or the appraised value from the
property tax records if there is neither a sale nor an appraiser's valuation.
Sums collected under this subdivision shall be remitted to the State Treasurer.
The State Treasurer shall remit the sum of one dollar and five cents ($1.05) of
each thirty-dollar ($30.00) forty-dollar ($40.00) General Court
of Justice fee collected under this subdivision to the North Carolina State Bar
for the provision of services described in G.S. 7A-474.4."
SECTION 43.1.(d) G.S. 7A-307(a)(2) and (2a) read as rewritten:
"(a) In the administration of the estates of decedents, minors, incompetents, of missing persons, and of trusts under wills and under powers of attorney, in trust proceedings under G.S. 36A-23.1, and in collections of personal property by affidavit, the following costs shall be assessed:
…
(2) For support of the
General Court of Justice, the sum of thirty dollars ($30.00), forty
dollars ($40.00), plus an additional forty cents (40¢) per one hundred
dollars ($100.00), or major fraction thereof, of the gross estate, not to
exceed three thousand dollars ($3,000). six thousand dollars
($6,000). Gross estate shall include the fair market value of all
personalty when received, and all proceeds from the sale of realty coming into
the hands of the fiduciary, but shall not include the value of realty. In
collections of personal property by affidavit, the fee based on the gross
estate shall be computed from the information in the final affidavit of
collection made pursuant to G.S. 28A-25-3 and shall be paid when that
affidavit is filed. In all other cases, this fee shall be computed from the
information reported in the inventory and shall be paid when the inventory is
filed with the clerk. If additional gross estate, including income, comes into
the hands of the fiduciary after the filing of the inventory, the fee for such
additional value shall be assessed and paid upon the filing of any account or
report disclosing such additional value. For each filing the minimum fee shall
be fifteen dollars ($15.00). Sums collected under this subdivision shall be
remitted to the State Treasurer. The State Treasurer shall remit the sum of one
dollar and five cents ($1.05) of each thirty-dollar ($30.00) forty-dollar
($40.00) General Court of Justice fee collected under this subdivision to
the North Carolina State Bar for the provision of services described in
G.S. 7A-474.4.
(2a) Notwithstanding subdivision (2)
of this subsection, the fee of forty cents (40¢) per one hundred dollars
($100.00), or major fraction, of the gross estate, not to exceed three
thousand dollars ($3,000), six thousand dollars ($6,000), shall not
be assessed on personalty received by a trust under a will when the estate of
the decedent was administered under Chapters 28 or 28A of the General Statutes.
Instead, a fee of twenty dollars ($20.00) shall be assessed on the filing of
each annual and final account."
SECTION 43.1.(e) G.S. 15A-145(e) reads as rewritten:
"(e) A person who files a
petition for expunction of a criminal record under this section must pay the
clerk of superior court a fee of sixty-five dollars ($65.00) one
hundred twenty-five dollars ($125.00) at the time the petition is filed.
Fees collected under this subsection shall be deposited in the General Fund.
This subsection does not apply to petitions filed by an indigent."
SECTION 43.1.(f) G.S. 15A-1343(b1)(3c) reads as rewritten:
"(b1) Special Conditions. - In addition to the regular conditions of probation specified in subsection (b), the court may, as a condition of probation, require that during the probation the defendant comply with one or more of the following special conditions:
…
(3c) Remain at his or her residence
unless the court or the probation officer authorizes the offender to leave for
the purpose of employment, counseling, a course of study, or vocational
training. The offender shall be required to wear a device which permits the
supervising agency to monitor the offender's compliance with the condition electronically.electronically
and to pay a fee for the device as specified in subsection (c2) of this
section."
SECTION 43.1.(g) G.S. 20-135.2A(e) reads as rewritten:
"(e) Any driver or
passenger who fails to wear a seat belt as required by this section shall have
committed an infraction and shall pay a penalty of twenty-five dollars ($25.00)
plus court costs in the sum of fifty dollars ($50.00). seventy-five
dollars ($75.00). Court costs assessed under this section are for the
support of the General Court of Justice and shall be remitted to the State
Treasurer. Conviction of an infraction under this section has no other consequence."
Requested by: Representative Kiser
COURT FEE INCREASES TO BENEFIT JUDICIAL BRANCH
SECTION 43.1A. Chapter 7A of the General Statutes is amended by adding a new section to read:
"§ 7A-321. Selected court fee increases to benefit Judicial Branch.
Any increased revenue on account of fee increases enacted after January 1, 2007, to G.S. 7A-304(a)(4) and (6), 7A-305(a)(2), 7A-307(a)(2) and (3), and 7A-308(a)(1) to (20) shall be used to support the General Court of Justice and the Judicial Branch."
Requested by: Representatives Haire, Kiser
DEVICE FEE FOR HOUSE ARREST WITH ELECTRONIC MONITORING
SECTION 43.2. G.S. 15A-1343 is amended by adding a new section to read:
"(c2) Electronic Monitoring Device Fee. - Any person placed on house arrest with electronic monitoring under subsection (b1) of this section shall pay a fee of ninety dollars ($90.00) for the electronic monitoring device. The court may exempt a person from paying the fee only for good cause and upon motion of the person placed on house arrest with electronic monitoring. The court may require that the fee be paid in advance or in a lump sum or sums, and a probation officer may require payment by those methods if the officer is authorized by subsection (g) of this section to determine the payment schedule. The fee must be paid to the clerk of court for the county in which the judgment was entered or the deferred prosecution agreement was filed. Fees collected under this subsection shall be transmitted to the State for deposit into the State's General Fund."
Requested by: Representatives Haire, Kiser
INCREASE BUTNER TAXES
SECTION 43.3.(a) Section 1 of Chapter 830 of the 1983 Session Laws reads as rewritten:
"Section 1. (a) The territorial jurisdiction of the Butner Police and Fire Protection District shall include: (i) any property formerly a part of the original Camp Butner reservation, including both those areas currently owned and occupied by the State and its agencies and those which may have been leased or otherwise disposed of by the State; (ii) the Lyons Station Sanitary District; and (iii) that part of Granville County adjoining the Butner reservation and the Lyons Station Sanitary District situated north and west of the intersection of Rural Paved Roads 1103 and 1106 and bounded by those roads and the boundaries of said reservation and said sanitary district.
(b) The territorial
jurisdiction set forth in subsection (a) of this section shall constitute the
Butner Fire and Police Protection District. The tax collectors of Durham and
Granville Counties shall annually collect beginning with fiscal year 1983-84
a tax of twenty cents (20c) twenty-five cents (25¢) per one
hundred dollars ($100.00) valuation of all real and personal property in the
portions of said district in their respective counties from year to year which
tax shall be collected as county taxes are collected and shall remit the same
to the State Treasurer for deposit in the General Fund."
SECTION 43.3.(b) This section is effective for taxes imposed for taxable years beginning on or after July 1, 2005.
Requested by: Representatives Haire, Kiser
FEE FOR POLICE INFORMATION NETWORK
SECTION 43.4.(a) G.S. 114-10.1 reads as rewritten:
"§ 114-10.1. Police Information Network.
(a) The Division of Criminal Statistics is authorized to establish, devise, maintain and operate, under the control and supervision of the Attorney General, a system for receiving and disseminating to participating agencies information collected, maintained and correlated under authority of G.S. 114-10 of this Article. The system shall be known as the Police Information Network.
(b) The Attorney General is authorized to cooperate with the Division of Motor Vehicles, Department of Administration, Department of Correction and other State, local and federal agencies and organizations in carrying out the purpose and intent of this section, and to utilize, in cooperation with other State agencies and to the extent as may be practical, computers and related equipment as may be operated by other State agencies.
(c) The Attorney General, after consultation with participating agencies, shall adopt rules and regulations governing the organization and administration of the Police Information Network, including rules and regulations governing the types of information relating to the administration of criminal justice to be entered into the system, and who shall have access to such information. The rules and regulations governing access to the Police Information Network shall not prohibit an attorney who has entered a criminal proceeding in accordance with G.S. 15A-141 from obtaining information relevant to that criminal proceeding. The rules and regulations governing access to the Police Information Network shall not prohibit an attorney who represents a person in adjudicatory or dispositional proceedings for an infraction from obtaining the person's driving record or criminal history.
(d) The Attorney General may impose an initial set up fee of two thousand six hundred fifty dollars ($2,650) for agencies to participate in the Police Information Network. This one-time fee shall be used to offset the cost of the router and data circuit needed to access the Network.
The Attorney General may also impose monthly fees on participating agencies. The monthly fees collected under this subsection shall be used to offset the cost of operating and maintaining the Police Information Network
(1) The Attorney General may impose a monthly circuit fee on agencies that access the Police Information Network through a circuit maintained and operated by the Department of Justice. The amount of the monthly fee is three hundred dollars ($300.00) plus an additional fee amount for each device linked to the Network. The additional fee amount varies depending upon the type of device. For every desktop device after the first seven desktop devices, the additional monthly fee is twenty-five dollars ($25.00) per device. For a mobile device, the additional monthly fee is six dollars ($6.00) per device.
(2) The Attorney General may impose a monthly device fee on agencies that access the Police Information Network through some other approved means. The amount of the monthly device fee varies depending upon the type of device. For a desktop device, the monthly fee is twenty-five dollars ($25.00) per device. For a mobile device, the fee is six dollars ($6.00) per device."
SECTION 43.4.(b) G.S. 114-10.1(d), as enacted by this section, reads as rewritten:
"(d) The Attorney General may impose an initial set up fee of two thousand six hundred fifty dollars ($2,650) for agencies to participate in the Police Information Network. This one-time fee shall be used to offset the cost of the router and data circuit needed to access the Network.
The Attorney General may also impose monthly fees on participating agencies. The monthly fees collected under this subsection shall be used to offset the cost of operating and maintaining the Police Information Network
(1) The Attorney General
may impose a monthly circuit fee on agencies that access the Police Information
Network through a circuit maintained and operated by the Department of Justice.
The amount of the monthly fee is three hundred dollars ($300.00) plus an
additional fee amount for each device linked to the Network. The additional fee
amount varies depending upon the type of device. For a desktop device after the
first seven desktop devices, the additional monthly fee is twenty-five dollars
($25.00) per device. For a mobile device, the additional monthly fee is six
dollars ($6.00) twelve dollars ($12.00) per device.
(2) The Attorney General
may impose a monthly device fee on agencies that access the Police Information
Network through some other approved means. The amount of the monthly device fee
varies depending upon the type of device. For a desktop device, the monthly fee
is twenty-five dollars ($25.00) per device. For a mobile device, the fee is six
dollars ($6.00) twelve dollars ($12.00) per device."
SECTION 43.4.(c) Subsection (b) of this section becomes effective January 1, 2006. The remainder of this section is effective when it becomes law.
PART XLIV. department of transportation fee changes
Requested by: Representatives Coates, Cole
DOT FEE INCREASES
SECTION 44.1.(a) G.S. 20-7 reads as rewritten:
"§ 20-7. Issuance and renewal of drivers licenses.
…
(i) Fees. - The fee for a regular drivers license is the amount set in the following table multiplied by the number of years in the period for which the license is issued:
Class of Regular License Fee For Each Year
Class
A
$4.30 $4.00
Class
B
4.30 4.00
Class
C
3.05 4.00
The fee for a motorcycle endorsement is one dollar and seventy-five cents ($1.75) for each year of the period for which the endorsement is issued. The appropriate fee shall be paid before a person receives a regular drivers license or an endorsement.
(i1) Restoration Fee. - Any
person whose drivers license has been revoked pursuant to the provisions of
this Chapter, other than G.S. 20-17(2), shall pay a restoration fee of twenty-five
dollars ($25.00). fifty dollars ($50.00). A person whose drivers
license has been revoked under G.S. 20-17(2) shall pay a restoration fee
of fifty dollars ($50.00) seventy-five dollars ($75.00) until the
end of the fiscal year in which the cumulative total amount of fees deposited
under this subsection in the General Fund exceeds ten million dollars
($10,000,000), and shall pay a restoration fee of twenty-five dollars ($25.00)
fifty dollars ($50.00) thereafter. The fee shall be paid to the
Division prior to the issuance to such person of a new drivers license or the
restoration of the drivers license. The restoration fee shall be paid to the
Division in addition to any and all fees which may be provided by law. This
restoration fee shall not be required from any licensee whose license was
revoked or voluntarily surrendered for medical or health reasons whether or not
a medical evaluation was conducted pursuant to this Chapter. The twenty-five
dollar ($25.00) fee, and the first twenty-five dollars ($25.00) of the fifty-dollar
($50.00) fee, fifty-dollar ($50.00) fee, and the first fifty dollars
($50.00) of the seventy-five-dollar ($75.00) fee, shall be deposited in the
Highway Fund. The remaining twenty-five dollars ($25.00) of the fifty-dollar
($50.00) fee the seventy-five-dollar ($75.00) fee shall be
deposited in the General Fund of the State. The Office of State Budget and
Management shall certify to the Department of Transportation and the General
Assembly when the cumulative total amount of fees deposited in the General Fund
under this subsection exceeds ten million dollars ($10,000,000), and shall
annually report to the General Assembly the amount of fees deposited in the
General Fund under this subsection.
It is the intent of the General Assembly to annually appropriate the funds deposited in the General Fund under this subsection to the Board of Governors of The University of North Carolina to be used for the Center for Alcohol Studies Endowment at The University of North Carolina at Chapel Hill, but not to exceed this cumulative total of ten million dollars ($10,000,000).
…
(l) Learner's
Permit. - A person who is at least 18 years old may obtain a learner's permit.
A learner's permit authorizes the permit holder to drive a specified type or
class of motor vehicle while in possession of the permit. A learner's permit is
valid for a period of 18 months after it is issued. The fee for a learner's
permit is ten dollars ($10.00). fifteen dollars ($15.00). A
learner's permit may be renewed, or a second learner's permit may be issued,
for an additional period of 18 months. The permit holder must, while operating
a motor vehicle over the highways, be accompanied by a person who is licensed
to operate the motor vehicle being driven and is seated beside the permit
holder."
SECTION 44.1.(b) G.S. 20-11(j) reads as rewritten:
"(j) Duration and
Fee. - A limited learner's permit expires on the eighteenth birthday of the permit
holder. A limited provisional license expires on the eighteenth birthday of the
license holder. A limited learner's permit or limited provisional license
issued under this section that expires on a weekend or State holiday shall
remain valid through the fifth regular State business day following the date of
expiration. A full provisional license expires on the date set under
G.S. 20-7(f). The fee for a limited learner's permit or a limited
provisional license is ten dollars ($10.00). fifteen dollars ($15.00).
The fee for a full provisional license is the amount set under G.S. 20-7(i)."
SECTION 44.1.(c) G.S. 20-14 reads as rewritten:
"§ 20-14. Duplicate licenses.
A person may obtain a duplicate of a license issued by the
Division by paying a fee of ten dollars and five cents ($10.05) ($10.00)
and giving the Division satisfactory proof that any of the following has
occurred:
(1) The person's license has been lost or destroyed.
(2) It is necessary to change the name or address on the license.
(3) Because of age, the person is entitled to a license with a different color photographic background or a different color border.
(4) The Division revoked the person's license, the revocation period has expired, and the period for which the license was issued has not expired."
SECTION 44.1.(d) G.S. 20-16(e) reads as rewritten:
"(e) The Division may
conduct driver improvement clinics for the benefit of those who have been
convicted of one or more violations of this Chapter. Each driver attending a
driver improvement clinic shall pay a fee of twenty-five dollars ($25.00).fifty
dollars ($50.00)."
SECTION 44.1.(e) G.S. 20-26(c) reads as rewritten:
"(c) The Division shall furnish copies of license records required to be kept by subsection (a) of this section in accordance with G.S. 20-43.1 to other persons for uses other than official upon prepayment of the following fees:
(1) Limited extract copy of license record, for
period up to three years
..................................................... $5.00 $8.00
(2) Complete extract copy
of license record.................................. 5.00 8.00
(3) Certified true copy of
complete license record....................... 7.00. 11.00.
All fees received by the Division under this subsection shall be credited to the Highway Fund."
SECTION 44.1.(f) G.S. 20-37.15(a1) reads as rewritten:
"(a1) The application must be
accompanied by a nonrefundable application fee of twenty dollars ($20.00). thirty
dollars ($30.00). This fee does not apply in any of the following
circumstances:
(1) When an individual surrenders a commercial driver learner's permit issued by the Division when submitting the application.
(2) When the application is to renew a commercial drivers license issued by the Division.
This fee shall entitle the applicant to three attempts to pass the written knowledge test without payment of a new fee. No application fee shall be charged to an applicant eligible for a waiver under G.S. 20-37.13(c)."
SECTION 44.1.(g) G.S. 20-37.16(d) reads as rewritten:
"(d) The fee for a Class
A, B, or C commercial drivers license is ten dollars ($10.00) fifteen
dollars ($15.00) for each year of the period for which the license is issued.
The fee for each endorsement is one dollar and twenty-five cents ($1.25) three
dollars ($3.00) for each year of the period for which the endorsement is
issued. The fees required under this section do not apply to employees of the
Driver License Section of the Division who are designated by the
Commissioner."
SECTION 44.1.(h) G.S. 20-42(b) reads as rewritten:
"(b) The Commissioner and
officers of the Division designated by the Commissioner may prepare under the
seal of the Division and deliver upon request a certified copy of any document
of the Division for a fee. The fee for a document, other than an accident
report under G.S. 20-166.1, is five dollars ($5.00). ten dollars
($10.00). The fee for an accident report is four dollars ($4.00). five
dollars ($5.00). A certified copy shall be admissible in any proceeding in
any court in like manner as the original thereof, without further
certification. The certification fee does not apply to a document furnished for
official use to a judicial official or to an official of the federal
government, a state government, or a local government."
SECTION 44.1.(i) G.S. 20-50(b) reads as rewritten:
"(b) The Division may issue a temporary license plate for a vehicle. A temporary license plate is valid for the period set by the Division. The period may not be less than 10 days nor more than 60 days.
A person may obtain a temporary license plate for a vehicle by filing an application with the Division and paying the required fee. An application must be filed on a form provided by the Division.
The fee for a temporary license plate that is valid for 10
days is three dollars ($3.00). five dollars ($5.00). The fee for
a temporary license plate that is valid for more than 10 days is the amount
that would be required with an application for a license plate for the vehicle.
If a person obtains for a vehicle a temporary license plate that is valid for
more than 10 days and files an application for a license plate for that vehicle
before the temporary license plate expires, the person is not required to pay
the fee that would otherwise be required for the license plate.
A temporary license plate is subject to the following limitations and conditions:
(1) It may be issued only upon proper proof that the applicant has met the applicable financial responsibility requirements.
(2) It expires on midnight of the day set for expiration.
(3) It may be used only on the vehicle for which issued and may not be transferred, loaned, or assigned to another.
(4) If it is lost or stolen, the person who applied for it must notify the Division.
(5) It may not be issued by a dealer.
(6) The provisions of G.S. 20-63, 20-71, 20-110 and 20-111 that apply to license plates apply to temporary license plates insofar as possible."
SECTION 44.1.(j) G.S. 20-73(c) reads as rewritten:
"(c) Penalties. - A person
to whom a vehicle is transferred who fails to apply for a certificate of title
within the required time is subject to a civil penalty of ten dollars
($10.00) fifteen dollars ($15.00) and is guilty of a Class 2
misdemeanor. A person who undertakes to apply for a certificate of title on
behalf of another person and who fails to apply for a title within the required
time is subject to a civil penalty of ten dollars ($10.00).fifteen
dollars ($15.00). When a person to whom a vehicle is transferred fails to
obtain a title within the required time because a person who undertook to apply
for the certificate of title did not do so within the required time, the
Division may impose a civil penalty only on the person who undertook to apply
for the title. Civil penalties collected under this subsection shall be
credited to the Highway Fund."
SECTION 44.1.(k) G.S. 20-85(a) reads as rewritten:
"(a) The following fees are imposed concerning a certificate of title, a registration card, or a registration plate for a motor vehicle. These fees are payable to the Division and are in addition to the tax imposed by Article 5A of Chapter 105 of the General Statutes.
(1) Each application for
certificate of title ............................. $35.00$39.00
(2) Each application for
duplicate or corrected certificate of title 10.0014.00
(3) Each application of
repossessor for certificate of title......... 10.0014.00
(4) Each transfer of
registration..................................................... 10.0015.00
(5) Each set of
replacement registration plates............................ 10.0015.00
(6) Each application for
duplicate registration card..................... 10.0015.00
(7) Each application for
recording supplementary lien................ 10.0014.00
(8) Each application for
removing a lien from a certificate of title 10.0014.00
(9) Each application for
certificate of title for a motor vehicle transferred to a manufacturer, as
defined in G.S. 20-286, or a motor vehicle retailer for the purpose of
resale....................................................................................................
10.0014.00
(10) Each application for a salvage
certificate of title made by an insurer 10.0015.00
(11) Each set of replacement Stock Car Racing Theme plates issued under G.S. 20-79.4 .............................................................................................................. 25.00."
SECTION 44.1.(l) G.S. 20-85.1 reads as rewritten:
"§ 20-85.1. Registration by mail; one-day title service; fees.
(a) The owner of a vehicle registered in North Carolina may renew that vehicle registration by mail. A postage and handling fee of one dollar ($1.00) per vehicle to be registered shall be charged for this service.
(b) The Commissioner and
the employees of the Division designated by the Commissioner may prepare and
deliver upon request a certificate of title, charging a fee of fifty dollars
($50.00) seventy-five dollars ($75.00) for one-day title service, in
lieu of the title fee required by G.S. 20-85(a). The fee for one-day title
service must be paid by cash or by certified check.
(c) The fee collected under subsection (a) shall be credited to the Highway Fund. The fee collected under subsection (b) shall be credited to the Highway Trust Fund."
SECTION 44.1.(m) G.S. 20-87 reads as rewritten:
"§ 20-87. Passenger vehicle registration fees.
These shall be paid to the Division annually, as of the first day of January, for the registration and licensing of passenger vehicles, fees according to the following classifications and schedules:
(1) For-Hire Passenger Vehicles. - The fee for a passenger vehicle that is operated for compensation and has a capacity of 15 passengers or less is seventy-eight dollars ($78.00). The fee for a passenger vehicle that is operated for compensation and has a capacity of more than 15 passengers is one dollar and forty cents ($1.40) per hundred pounds of empty weight of the vehicle.
(2) U-Drive-It Vehicles. - U-drive-it vehicles shall pay the following tax:
Motorcycles: 1-passenger capacity .............................................. $18.00
2-passenger capacity ................................................. 22.00
3-passenger capacity ................................................. 26.00
Automobiles: 15 or fewer
passengers
$41.00$51.00
Buses:
16 or more passengers ............................ $1.40 $2.00 per
hundred
pounds of
empty weight
Trucks under
7,000 pounds
that do not
haul products
for hire: 4,000 pounds........................................................... $41.50
5,000 pounds........................................................... $51.00
6,000 pounds........................................................... $61.00.
(3) Repealed by Session Laws 1981, c. 976, s. 3.
(4) Limousine Vehicles. - For-hire passenger vehicles on call or demand which do not solicit passengers indiscriminately for hire between points along streets or highways, shall be taxed at the same rate as for-hire passenger vehicles under G.S. 20-87(1) but shall be issued appropriate registration plates to distinguish such vehicles from taxicabs.
(5) Private Passenger Vehicles. - There shall be paid to the Division annually, as of the first day of January, for the registration and licensing of private passenger vehicles, fees according to the following classifications and schedules:
Private passenger vehicles of not more than fifteen
passengers
............................................................................. $20.00
$28.00
Private passenger vehicles over
fifteen passengers ............. 23.00 31.00
Provided, that a fee of only one dollar ($1.00) shall be charged for any vehicle given by the federal government to any veteran on account of any disability suffered during war so long as such vehicle is owned by the original donee or other veteran entitled to receive such gift under Title 38, section 252, United States Code Annotated.
(6) Private Motorcycles. -
The base fee on private passenger motorcycles shall be nine dollars ($9.00);
fifteen dollars ($15.00); except that when a motorcycle is equipped
with an additional form of device designed to transport persons or property,
the base fee shall be sixteen dollars ($16.00). twenty-two dollars
($22.00). An additional fee of three dollars ($3.00) is imposed on each
private motorcycle registered under this subdivision in addition to the base fee.
The revenue from the additional fee, in addition to any other funds
appropriated for this purpose, shall be used to fund the Motorcycle Safety
Instruction Program created in G.S. 115D-72.
(7) Dealer License Plates. - The fee for a dealer license plate is the regular fee for each of the first five plates issued to the same dealer and is one-half the regular fee for each additional dealer license plate issued to the same dealer. The "regular fee" is the fee set in subdivision (5) of this section for a private passenger motor vehicle of not more than 15 passengers.
(8) Driveaway Companies. - Any person engaged in the business of driving new motor vehicles from the place of manufacture to the place of sale in this State for compensation shall pay a fee of one-half of the amount that would otherwise be payable under this section for each set of plates.
(9) House Trailers. - In
lieu of other registration and license fees levied on house trailers under this
section or G.S. 20-88, the registration and license fee on house trailers
shall be seven dollars ($7.00) eleven dollars ($11.00) for the
license year or any portion thereof.
(10) Special Mobile Equipment. - The fee for special mobile equipment for the license year or any part of the license year is two times the fee in subdivision (5) for a private passenger motor vehicle of not more than 15 passengers.
(11) Any vehicle fee determined under this section according to the weight of the vehicle shall be increased by the sum of three dollars ($3.00) to arrive at the total fee.
(12) Low-Speed Vehicles. - The fee for a low-speed vehicle is the same as the fee for private passengers vehicles of not more than 15 passengers."
SECTION 44.1.(n) G.S. 20-88 reads as rewritten:
"§ 20-88. Property-hauling vehicles.
(a) Determination of Weight. - For the purpose of licensing, the weight of self-propelled property-carrying vehicles shall be the empty weight and heaviest load to be transported, as declared by the owner or operator; provided, that any determination of weight shall be made only in units of 1,000 pounds or major fraction thereof, weights of over 500 pounds counted as 1,000 and weights of 500 pounds or less disregarded. The declared gross weight of self-propelled property-carrying vehicles operated in conjunction with trailers or semitrailers shall include the empty weight of the vehicles to be operated in the combination and the heaviest load to be transported by such combination at any time during the registration period, except that the gross weight of a trailer or semitrailer is not required to be included when the operation is to be in conjunction with a self-propelled property-carrying vehicle which is licensed for 6,000 pounds or less gross weight and the gross weight of such combination does not exceed 9,000 pounds, except wreckers as defined under G.S. 20-4.01(50). Those property-hauling vehicles registered for 4,000 pounds shall be permitted a tolerance of 500 pounds above the weight permitted under the table of weights and rates appearing in subsection (b) of this section.
(b) The following fees are imposed on the annual registration of self-propelled property-hauling vehicles; the fees are based on the type of vehicle and its weight:
SCHEDULE OF WEIGHTS AND RATES
____________________________________________________________________
Rates Per Hundred Pound Gross Weight
Farmer Rate
Not over 4,000
pounds
$0.23$0.29
4,001 to 9,000 pounds
inclusive
.29 .40
9,001 to 13,000 pounds
inclusive
.37 .50
13,001 to 17,000 pounds
inclusive
.51 .68
Over 17,000
pounds
.58 .77
Rates Per Hundred Pound Gross Weight
General Rate
Not over 4,000
pounds
$0.46$0.59
4,001 to 9,000 pounds
inclusive
.63 .81
9,001 to 13,000 pounds
inclusive
.78 1.00
13,001 to 17,000 pounds
inclusive
1.06 1.36
Over 17,000
pounds
1.20 1.54
(1) The minimum fee for a
vehicle licensed under this subsection is seventeen dollars and fifty cents
($17.50) twenty-four dollars ($24.00) at the farmer rate and twenty-one
dollars and fifty cents ($21.50) twenty-eight dollars ($28.00) at
the general rate.
(2) The term "farmer" as used in this subsection means any person engaged in the raising and growing of farm products on a farm in North Carolina not less than 10 acres in area, and who does not engage in the business of buying products for resale.
(3) License plates issued at the farmer rate shall be placed upon trucks and truck-tractors that are operated exclusively in the carrying or transportation of applicant's farm products, raised or produced on his farm, and farm supplies and not operated in hauling for hire.
(4) "Farm products" means any food crop, livestock, poultry, dairy products, flower bulbs, or other nursery products and other agricultural products designed to be used for food purposes, including in the term "farm products" also cotton, tobacco, logs, bark, pulpwood, tannic acid wood and other forest products grown, produced, or processed by the farmer.
(5) The Division shall issue necessary rules and regulations providing for the recall, transfer, exchange or cancellation of "farmer" plates, when vehicle bearing such plates shall be sold or transferred.
(5a) Notwithstanding any other provision of this Chapter, license plates issued pursuant to this subsection at the farmer rate may be purchased for any three-month period at one fourth of the annual fee.
(6) There shall be paid to the Division annually as of the first of January, the following fees for "wreckers" as defined under G.S. 20-4.01(50): a wrecker fully equipped weighing 7,000 pounds or less, seventy-five dollars ($75.00); wreckers weighing in excess of 7,000 pounds shall pay one hundred forty-eight dollars ($148.00). Fees to be prorated quarterly. Provided, further, that nothing herein shall prohibit a licensed dealer from using a dealer's license plate to tow a vehicle for a customer.
(c) The fee for a
semitrailer or trailer is ten dollars ($10.00) nineteen dollars
($19.00) for each year or part of a year. The fee is payable on or before
January 1 of each year. Upon the application of the owner of a semitrailer or
trailer, the Division may issue a multiyear plate and registration card for the
semitrailer or trailer for a fee of seventy-five dollars ($75.00). A multiyear
plate and registration card for a semitrailer or trailer are valid until the
owner transfers the semitrailer or trailer to another person or surrenders the
plate and registration card to the Division. A multiyear plate may not be
transferred to another vehicle.
The Division shall issue a multiyear semitrailer or trailer plate in a different color than an annual semitrailer or trailer plate and shall include the word "multiyear" on the plate. The Division may not issue a multiyear plate for a house trailer.
(d) Rates on trucks, trailers and semitrailers wholly or partially equipped with solid tires shall be double the above schedule.
(e) Repealed by Session Laws 1981, c. 976, s. 6.
(f) Repealed by Session Laws 1995, c. 163, s. 6.
(g) Repealed by Session Laws 1969, c. 600, s. 17.
(h) Repealed by Session Laws 1979, c. 419.
(i) Any vehicle fee determined under this section according to the weight of the vehicle shall be increased by the sum of three dollars ($3.00) to arrive at the total fee.
(j) No heavy vehicle subject to the use tax imposed by Section 4481 of the Internal Revenue Code of 1954 (26 U.S.C. 4481) may be registered or licensed pursuant to G.S. 20-88 without proof of payment of the use tax imposed by that law. The proof of payment shall be on a form prescribed by the United States Secretary of Treasury pursuant to the provisions of 23 U.S.C. 141(d).
(k) A person may not drive a vehicle on a highway if the vehicle's gross weight exceeds its declared gross weight. A vehicle driven in violation of this subsection is subject to the axle-group weight penalties set in G.S. 20-118(e). The penalties apply to the amount by which the vehicle's gross weight exceeds its declared weight.
(l) The Division shall issue permanent truck and truck-tractor plates to Class A and Class B Motor Vehicles and shall include the word "permanent" on the plate. The permanent registration plates issued pursuant to this section shall be subject to annual registration fees set in this section. The Division shall issue the necessary rules providing for the recall, transfer, exchange, or cancellation of permanent plates issued pursuant to this section."
SECTION 44.1.(o) G.S. 20-289 reads as rewritten:
"§ 20-289. License fees.
(a) The license fee for each fiscal year, or part thereof, shall be as follows:
(1) For motor vehicle
dealers, distributors, distributor branches, and wholesalers, fifty dollars
($50.00) seventy dollars ($70.00) for each place of business.
(2) For manufacturers, one
hundred dollars ($100.00), one hundred fifty dollars ($150.00) and
for each factory branch in this State, seventy dollars ($70.00).one
hundred dollars ($100.00).
(3) For motor vehicle
sales representatives, ten dollars ($10.00).fifteen dollars ($15.00).
(4) For factory
representatives, or distributor representatives, ten dollars ($10.00).fifteen
dollars ($15.00).
(5) Repealed by Session Laws 1991, c. 662, s. 4.
(b) The fees collected under this section shall be credited to the Highway Fund. These fees are in addition to all other taxes and fees."
SECTION 44.1.(p) G.S. 20-385 reads as rewritten:
"§ 20-385. Fee schedule.
(a) Amounts. -
(1) Verification by a for-hire motor
carrier of insurance for each for-hire
motor vehicle operated in this State $ 1.00
(2) Application by an intrastate motor carrier
for a certificate of
exemption
25.00 45.00
(3) Certification by an interstate motor carrier
that it is not regulated by the United
States Department of Transportation
25.00 45.00
(4) Application by an interstate motor carrier
for an emergency
permit
10.00. 18.00.
(b) Reciprocal Agreements. - The fee set in subdivision (a)(1) of this section does not apply to the verification of insurance by an interstate motor carrier regulated by the United States Department of Transportation if the Division had a reciprocal agreement on November 15, 1991, with another state by which no fee is imposed. The Division had reciprocal agreements as of that date with the following states: California, Delaware, Indiana, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Nebraska, New Jersey, Pennsylvania, Texas, and Vermont."
SECTION 44.1.(q) Section 5(c) of S.L. 2004-189 reads as rewritten:
"SECTION 5.(c) The Division of Motor
Vehicles shall retain a portion of the proceedsfive cents ($0.05)
collected for the issuance of each of the increase in drivers
license and duplicate license fees enacted in this Section to offset the
actual cost of developing and maintaining the online Organ Donor Internet site
established pursuant to Section 1 of this act. Proceeds remaining after
deduction of amounts for development and maintenance costsThe remainder
of the five cents ($0.05) shall be credited to the License to Give Trust
Fund established under G.S. 20-7.4 and shall be used for the purposes
authorized under G.S. 20-7.4 and G.S. 20-7.5."
SECTION 44.1.(r) G.S. 20-291 reads as rewritten:
"§ 20-291. Representatives to carry license and display it on request; license to name employer.
Every person to whom a sales representative, factory
representative, or distributor representative license is issued shall carry the
license when engaged in business, and shall display it upon request. The license
shall state the name of the representative's employer. If the representative
changes employers, the representative shall immediately apply to the Division
for a license that states the name of the representative's new employer. The
fee for issuing a license stating the name of a new employer is one-half
the fee set in G.S. 20-289 for an annual license. ten
dollars ($10.00)."
SECTION 44.1.(s) This section becomes effective October 1, 2005, and applies to fees collected on or after that date.
PART XLV. industrial commission fees
Requested by: Representatives Hunter, Warren
INDUSTRIAL COMMISSION FEES
SECTION 45.1.(a) G.S. 97-73 reads as rewritten:
"§ 97-73. Expenses
of making examinations.Fees.
(a) The Industrial
Commission shall may establish by rule a schedule of fees
for examinations conducted and conducted, reports made
pursuant to G.S. 97-61.1 through 97-61.6 and 97-67 through 97-71. made,
documents filed, and agreements reviewed under this Article. The fees shall
be collected in accordance with rules adopted by the Industrial Commission.
(b), (c) Repealed by Session Laws 2003-284, s. 10.33(d), effective July 1, 2003."
SECTION 45.1.(b) This section is effective when it becomes law.
PART XLVI. MISCELLANEOUS PROVISIONS
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 46.1. The provisions of the Executive Budget Act, Chapter 143, Article 1 of the General Statutes, are reenacted and shall remain in full force and effect and are incorporated in this act by reference.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
The Director of the Budget submitted the itemized budget requests to the General Assembly on February 23, 2005, in the documents "North Carolina State Budget 2005-2007, Summary of Recommendations" and "State of North Carolina 2005-2007 Recommended Continuation Budget" volumes one through six. The beginning appropriation for the 2005-2006 fiscal year and the 2006-2007 fiscal year for the various departments, institutions, and other spending agencies of the State is referenced in Tables 12 and 13 of the Summary of Recommendations document as the recommended continuation budget.
The General Assembly adjusted the recommended continuation budget to incorporate all nonrecurring adjustments enacted by the 2003 General Assembly as required in S.L. 2004-124 and S.L. 2003-284. These adjustments affect the Division of Medical Assistance, the Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, the Clean Water Management Trust Fund, the Department of Crime Control and Public Safety, the Judicial Department, the General Assembly, the Department of Revenue, the Office of State Budget and Management, the Community Colleges System Office, The University of North Carolina - Board of Governors, the Department of Transportation, the Reserve for Death Benefit Trust, and the Reserve for Disability Income Plan. These adjustments to the recommended continuation budget are set out in the House of Representatives Appropriations Committee Report on the Continuation, Expansion, and Capital Budgets dated June 15, 2005. The recommended continuation budget submitted by the Director of the Budget, as adjusted by the General Assembly, is referred to as the adjusted continuation budget and represents the starting point for further legislative revisions.
The General Assembly revised the adjusted continuation budget for the 2005-2006 fiscal year and the 2006-2007 fiscal year in accordance with the steps that follow, and the line-item detail in the budget enacted by the General Assembly may be derived accordingly:
(1) The adjusted continuation budget was revised in accordance with reductions and additions that were set out in the House of Representatives Appropriations Committee Report on the Continuation, Expansion, and Capital Budgets dated June 15, 2005, together with any accompanying correction sheets.
(2) Transfers of funds supporting programs were made in accordance with the House of Representatives Appropriations Committee Report on the Continuation, Expansion, and Capital Budgets dated June 15, 2005, together with any accompanying correction sheets.
In the event that there is a conflict between the line-item budget certified by the Director of the Budget and the budget enacted by the General Assembly, the budget enacted by the General Assembly shall prevail.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
MOST TEXT APPLIES ONLY TO THE 2005-2007 FISCAL BIENNIUM
SECTION 46.3. Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2005-2007 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2005-2007 fiscal biennium.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 46.4. The headings to the parts and sections of this act are a convenience to the reader and are for reference only. The headings do not expand, limit, or define the text of this act, except for effective dates referring to a Part.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 46.5. If any section or provision of this act is declared unconstitutional or invalid by the courts, it does not affect the validity of this act as a whole or any part other than the part so declared to be unconstitutional or invalid.
Requested by: Representatives Crawford, Clary, Earle, Nye, Owens, Sherrill, Michaux
SECTION 46.6. Except as otherwise provided, this act becomes effective July 1, 2005.