SB 508 — 2023 Budget Tech/Other Corrections.

2023-134 reads as rewritten:

"SECTION 8A.6.(s) The State Board of Education shall adopt an emergency rule no later than November 1, 2023, February 15, 2024, to establish the graduation requirements and sequence of courses required bythis section.Governingbodiesofpublicschool units shall advise studentsbeginningwiththe2023-2024school yearofthissequence,theoptionto graduatewithin three years of entering the ninth grade, and the availability of early graduate scholarships.

Studentsenrolledinthetenthgradeduringthe2023-2024school yearwhocompletethesequence of courses required for graduation in a three-year period shall be eligible to graduate in the 2024-2025 school year." DELAY IN-PERSON INSTRUCTION REQUIREMENT FOR NONPUBLIC SCHOOLS TO RECEIVE OPPORTUNITY SCHOLARSHIP FUNDS SECTION 2.3.

Section 7.80 of S.L.

2023-134 is amended by adding a new subsection to read:

"SECTION 7.80.(d) This section becomes effective July 1, 2023.

Subsection (c) of this section applies beginning with scholarship funds accepted by nonpublic schools for the 2024-2025 school year." Page 2 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 CLARIFY FORGIVENESS CRITERIA FOR TEACHING FELLOWS PROGRAM SECTION 2.4.(a) G.S.

116-209.60(5b), as enacted by Section 8A.4(a) of S.L.

2023-134, reads as rewritten:

"(5b) Qualifying teacher.

– A teacher in a North Carolina public school who meets the following criteria:

a.

Received a forgivable loan under the Program.

b.

Graduated within 10 years from an educator preparation program leading to teacher licensure, excluding any authorized deferment for extenuating circumstances.

c.

Serves as a teacher in a qualifying licensure area." SECTION 2.4.(b) This section is effective July 1, 2023, and applies to applications for the award of funds beginning in the 2024-2025 academic year.

CORRECT CROSS REFERENCE FOR CERTAIN SEAA AND DNPE REPORTING REQUIREMENTS SECTION 2.5.(a) G.S.

115C-562.4(a), as amended by Section 8A.16(a) of S.L.

2023-134, reads as rewritten:

"(a) The Division shall provide annually by December 31 to the Authority a list of all nonpublic schools operating in the State that meet both of the requirements of Part 1 or Part 2 of this Article and the requirements of G.S.

115C-652.5(a)(7).

G.S.

115C-562.5(a)(8).

The Division shall notify the Authority of any schools included in the list that the Division has determined to be ineligible within five business days of the determination of ineligibility.

The Division shall create, in collaboration with the Authority, a unique identifier for each nonpublic school and provide the unique identifiers to the Authority for all nonpublic schools that are registered with the Division." SECTION 2.5.(b) G.S.

115C-562.5(e), as enacted by Section 8A.16(b) of S.L.

2023-134, reads as rewritten:

"(e) If a nonpublic school terminates operation during the school's regular schedule and fails to (i) report the date of the closure to the Division within 14 days and (ii) return funds owed to the Authority in a timely manner for students who received scholarship grants, any other nonpublic school opened duringthat school year or subsequent school years by an owner or chief administrator listed in the report submitted to the Division under subdivision (7) subdivision (8) of subsection (a) of this section for that closed school shall be ineligible to receive scholarship grants until such time the Authority determines the obligation to return those funds has been satisfied." SECTION 2.5.(c) G.S.

115C-596(a), as amended by Section 8A.16(c) of S.L.

2023-134, reads as rewritten:

"(a) List of Nonpublic Schools.

– The Division shall provide annually by December 31 to the Authority a list of all nonpublic schools operating in the State that meet the requirements of Part 1, 2, or 3 of Article 39 of this Chapter.

The list shall include whether a Part 1 or 2 nonpublic school has met the requirements of G.S.

115C-562.5(a)(7).G.S.

115C-562.5(a)(8)." EXTENSION OF ECU CHANCELLOR'S AUTHORITY TO ADOPT POLICIES AND PROCEDURES GOVERNING THE DESIGN, CONSTRUCTION, AND RENOVATION OF REAL PROPERTY FOR USE BY ECU SECTION 2.7.

G.S.

116-360.35(b), as enacted by Section 4.10(b) of S.L.

2023-134, reads as rewritten:

"(b) Design and Construction.

– The Chancellor may, subject to rules and regulations generally applicable to educational facilities and health care facilities in the State, adopt policies and procedures that shall exclusively govern the design, construction, and renovation of buildings, infrastructure, utilities, and other property developments of the School of Medicine, Senate Bill 508-Second Edition Page 3 General Assembly Of North Carolina Session 2023 the Medical Faculty Practice Plan, and ECU Dental School Clinical Operations, including all aspects of vendor selections, contracting, negotiation, and approvals.

Design and construction for the School of Medicine Medicine, the Medical FacultyPractice Plan, and ECU Dental School Clinical Operations are subject to the requirements of G.S.

44A-26 and G.S.

133-1.1 but are otherwise exempt from other State laws applicable to design and construction projects by or on behalf of State agencies." 8 CLARIFY USE OF NC CARE INITIATIVE FUNDS FOR REGIONAL BEHAVIORAL HEALTH FACILITY SECTION 2.8.

Section 4.10(aa)(4) of S.L.

2023-134 reads as rewritten:

"(4) The sum of fiftymillion dollars ($50,000,000) for a regional behavioral health hospital.facility." CHANGE APPLICATION TIMELINE FOR PLASMA GAMES GRANT PROGRAM SECTION 2.9.

Section 7.69(a) of S.L.

2023-134 reads as rewritten:

"SECTION 7.69.(a) The Department of Public Instruction shall create a grant program for public school units to apply for funds to contract with Plasma Games, Inc., for the use of educationalsoftwaretobeusedinscience,technology, engineering,andmath(STEM)andcareer and technical education (CTE) courses.

The Department shall make an application available to public school units by November 15, 1, 2023, and August June 1 of each year thereafter that funds are made available for this purpose.

Public school units shall submit applications by January 15, March 1, 2024, and October December 1 of each year thereafter that funds are available.

The Department shall make determinations on grant recipients by March 15, 2024, and December 1 of each year thereafter that funds are made available.

within 30 days of the close of the application period.

The Department shall prioritize issuing grants to public school units that participated in the pilot program created pursuant to Section 3.5(a)(25) of S.L.

2021-25, as amended by S.L.

2021-180, and are actively utilizing license grants pursuant to that pilot program." PART III.

HEALTH AND HUMAN SERVICES EXEMPT CERTAIN NONPROFITS RECEIVING SOCIAL SERVICES BLOCK GRANT FUNDS FROM MATCH REQUIREMENTS SECTION 3.1.

Section 9M.1 of S.L.

2023-134 is amended by adding a new subsection to read:

"SECTION 9M.1.(s1) The following amounts appropriated in this act in the Social Services Block Grant for each fiscal year of the 2023-2025 fiscal biennium to the Department of Health and Human Services, Division of Social Services or Division of Mental Health, Developmental Disabilities, and Substance Use Services, for the nonprofit organizations described in this subsection shall be exempt from the provisions of 10A NCAC 71R .0201(3):

(1) The sum of three hundred fifty thousand dollars ($350,000) for each fiscal year of the 2023-2025 fiscal biennium for Big Brothers Big Sisters of the Triad, Inc.

(2) The sum of two million five hundred forty-one thousand three hundred ninety-two dollars ($2,541,392) for each fiscal year of the 2023-2025 fiscal biennium for Autism Society of North Carolina, Inc.

(3) The sum of two hundred seventy-one thousand seventy-four dollars ($271,074) for each fiscal year of the 2023-2025 fiscal biennium for The Arc of North Carolina, Inc.

Page 4 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 (4) The sum of one million six hundred twelve thousand fifty-nine dollars ($1,612,059) for each fiscal year of the 2023-2025 fiscal biennium for Easterseals UCP of North Carolina & Virginia, Inc." 5 CORRECT CODE OF FEDERAL REGULATIONS REFERENCE TO RURAL EMERGENCY HOSPITAL DEFINITION SECTION 3.2.(a) G.S.

131E-76(3), as amended by Section 9F.11 of S.L.

2023-134, reads as rewritten:

"(3) "Hospital" means any facility (i) that has an organized medical staff and is designed,used,andoperatedtoprovidehealthcare,diagnostic andtherapeutic services, and continuous nursing care primarily to inpatients where such care and services are rendered under the supervision and direction of physicians licensed under Chapter 90 of the General Statutes, Article 1, to two or more persons over a period in excess of 24 hours or (ii) designated by the Centers for Medicare and Medicaid Services as a rural emergency hospital by the Centers for Medicare and Medicaid Services (CMS) as defined under 42 C.F.R.

§ 424.575 42 C.F.R.

§ 485.502 or under section 125 of Division CC of the Consolidated Appropriations Act of 2021, Public Law 116-260.

The term includes facilitiesforthe diagnosis andtreatment ofdisorderswithin thescope of specific health specialties.

The term does not include private any of the following:

a.

Private mental facilities licensed under Article 2 of Chapter 122C of the General Statutes, nursing Statutes.

b.

Nursing homes licensed under G.S.

131E-102, adult G.S.

131E-102.

c.

Adult care homes licensed under Part 1 of Article 1 of Chapter 131D of the General Statutes, and any Statutes.

d.

Any outpatient department including a portion of a hospital operated as an outpatient department, on or off of the hospital's main campus, that is operated under the hospital's control or ownership and is classified as Business Occupancy by the Life Safety Code of the National Fire Protection Association as referenced under 42 C.F.R.

§ 482.41.

Provided, however, if the Business Occupancy outpatient location is to be operated within 30 feet of any hospital facility, or any portion thereof, which is classified as Health Care Occupancy or AmbulatoryHealth Care Occupancyunder the Life SafetyCode of the National Fire Protection Association, the hospital shall provide plans and specifications to the Department for review and approval as requiredforhospitalconstructionorrenovationsin amannerdescribed by the Department." SECTION 3.2.(b) This section is effective when it becomes law.

CLARIFY CHANGES TO ON-SITE WASTEWATER STATUTES SECTION 3.3.(a) G.S.

130A-336.1(l), as amended by Section 3 of S.L.

2023-90, reads as rewritten:

"(l) Reporting Requirements.

– (1) The owner of the wastewater system shall submit the following to the local health department:department prior to receiving a Certificate of Occupancy from the appropriate inspection department:

a.

A copy of the professional engineer's report required pursuant to G.S.

130A-336.1(k)(1).

b.

A copy of the operations and management program.

Senate Bill 508-Second Edition Page 5 General Assembly Of North Carolina Session 2023 c.

Repealed by Session Laws 2023-90, s.

3, effective July 10, 2023.

d.

A letter that documents the owner's acceptance of the system from the professional engineer.

e.

A copy of the Authorization to Operate.

(2) The owner of any wastewater system that is subject to subsection (d) of this section shall deliver to the Department copies of the engineer's report, as described G.S.

130A-336.1(k)(1).

(3) Within two business days of receiving the documentation required pursuant to subdivision (1) of this subsection, the local health department shall notify the appropriate inspections department.

If the local health department fails to notify the inspections department within two business days, the owner of the wastewatersystemmaysubmittheAuthorizationtoOperatetothe appropriate inspections department and receive a Certificate of Occupancy." SECTION3.3.(b) G.S.

130A-336.2,as amended bySection4ofS.L.

2023-90,reads as rewritten:

"§ 130A-336.2.

Alternative wastewater system approvals for nonengineered systems.

… (l) After reviewing the Authorized On-Site Wastewater Evaluator's report, the owner shall sign confirming acceptance and receipt of the report.

The owner shall then submit the followingto thelocal health department:department priorto receivingaCertificateofOccupancy from the appropriate inspection department:

(1) A copy of the Authorized On-Site Wastewater Evaluator's report, including the Authorization to Operate.

(2) A copyof the operations and management program established for the system by the Authorized On-Site Wastewater Evaluator.

(3) The fee established pursuant to subsection (n) of this section.

(4) A copy of the document confirming acceptance and receipt of the report by the owner.

(l1) Within two business days of receiving the documentation required pursuant to subsection (l) of this section, the local health department shall notify the appropriate inspections department.

If the local health department fails to notify the inspections department within two business days, the owner of the wastewater system may submit the Authorization to Operate to the appropriate inspections department and receive a Certificate of Occupancy.

…." SECTION 3.3.(c) G.S.

130A-336.1(o), as amended by Section 3 of S.L.

2023-90, reads as rewritten:

"(o) Change in System Ownership.

– A wastewater system authorized pursuant to this section shall be transferrable to a new owner with the consent of the professional engineer.

The new owner and the professional engineer shall enter a contract for the wastewater system.not be affected by change in ownership of the site for the wastewater system." SECTION 3.3.(d) G.S.

130A-336.2(o), as amended by Section 4 of S.L.

2023-90, reads as rewritten:

"(o) Change in System Ownership.

– A wastewater system authorized pursuant to this section shall be transferrable to a new owner with the consent of the Authorized On-Site Wastewater Evaluator.

The new owner and the Authorized On-Site Wastewater Evaluator shall enter a contract for the wastewater system.not be affected by change of ownership of the site for the wastewater system." SECTION 3.3.(e) This section is effective retroactively to July 10, 2023.

PART IV.

AGRICULTURE AND NATURAL AND ECONOMIC RESOURCES Page 6 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 AMEND 2021 WATER AND SEWER ALLOCATIONS FOR MIDDLESEX AND HENDERSON COUNTY SECTION 4.1.(a) Notwithstanding Section 12.13(a)(1) of S.L.

2021-180, as amended by Section 6.1 of S.L.

2022-6, the funds allocated to the Town of Middlesex in accordance with Section 12.13(d) of S.L.

2021-180 may be used to install a new elevated water tank,newgroundwaterwell,associatedpipingorappurtenances,andallnecessarylandpurchases for installation.

SECTION 4.1.(b) Section 12.13(f) of S.L.

2021-180 reads as rewritten:

"SECTION 12.13.(f) Other Projects.

– Of the funds allocated by subdivision (a)(3) of this section for project construction grants, the following sums shall be granted to the indicated local governments and public entities for water and wastewater infrastructure projects:

… (28) Twelve million seven hundred thousand dollars ($12,700,000) to Henderson County for the improvement of wastewater treatment in the Edneyville area of the County.

If the County fails to obtain a permit by December 31, 2023, June 30, 2025, or withdraws its permit application for the project, then these funds will instead be allocated to the City of Hendersonville.

…." WATER AND SEWER INFRASTRUCTURE CORRECTIONS AND CLARIFICATIONS SECTION 4.2.(a) Section 12.2(k) of S.L.

2023-134 reads as rewritten:

"SECTION 12.2.(k) Administrative Costs.

– The Department may use three percent (3%) up to one and one-half percent (1.5%) of the funds allocated in this section for administrative costs.

The Department shall not charge the grant fee authorized byG.S.

159G-24 for grants made from funds subject to the set-aside of administrative costs authorized by this subsection." SECTION 4.2.(b) Section 12.2(e)(28) of S.L.

2023-134 reads as rewritten:

"(28) Sixty-ninemillion six hundredthousanddollars($69,600,000)to theCabarrus County Water and Sewer Authority.

Six million dollars ($6,000,000) of this allocation shall be used for the design and construction of the Muddy Creek Wastewater Treatment Plant Expansion project, and five million dollars ($5,000,000) Eleven million dollars ($11,000,000) of this allocation shall be used for the extension of wastewater lines to and in the Town of Midland." SECTION 4.2.(c) Of the funds allocated to the City of Raeford by Section 12.2(e)(145) of S.L.

2023-134, three million dollars ($3,000,000) shall be used for the extension of sewer lines to the Cameron Heights community.

SECTION 4.2.(d) Section 12.2(e)(186) of S.L.

2023-134 reads as rewritten:

"(186) Fourteenmilliondollars($14,000,000)totheTownofTroutman.

Fourmillion dollars ($4,000,000) of this allocation shall be used for the connection of the Duck Creek sewer outfall line to the City of Statesville's Third Creek Wastewater Treatment Plant." TITLE V AIR PERMITTING BONUS PROGRAM MODIFICATIONS SECTION 4.3.(a) Section 12.17 of S.L.

2023-134 reads as rewritten:

"SECTION 12.17.(a) Establishment of Pilot Program.

– Notwithstanding G.S.

126-4(10), the Environmental Management Commission shall establish a Permit Bonus Pilot Program (Program) forqualifying employees who process applications forTitleV AirPermits.

Qualifying employees shall receive a bonus after a Title V Air Permit is reviewed and completed a final action occurs in accordance with this section.

Bonuses for reviewing and processing Title V Air Permits shall be awarded under the applicable schedule.

The issuance or denial of a Title V Air Senate Bill 508-Second Edition Page 7 General Assembly Of North Carolina Session 2023 Permit shall not affect whether the qualifying employee receives a bonus.

The Program shall expire on June 30, 2025.

"SECTION 12.17.(b) Definitions.

– The following definitions apply in this section:

(1) Administratively complete.

– All information required by statute, regulation, or and application form has been submitted to the Department for the purpose of processing a permit application.

… "SECTION 12.17.(d) Permit Bonus Structure.

– The following schedule applies to the permitbonusprogram forTitleVAirPermitsandspecifiesthemaximumamounteachqualifying employee is eligible to receive per permit:

Permit Type Permit Engineer Supervisor Meteorologist Admin.

Staff Minor Modification 0-2 federal programs $250 $75 N/A $25 3-6 federal programs $500 $150 N/A $25 7+ federal programs $750 $225 N/A $25 Major Modification 0-2 federal programs $700 $75 N/A300 $50 3-6 federal programs $1,000 $300 N/A500 $50 7+ federal programs $1,500 $500 N/A750 $50 New Title V Air Permit 0-2 federal programs $1,000 $200 $600 $50 3-6 federal programs $1,750 $500 $900 $50 7+ federal programs $2,500 $800 $1,200 $50 PSD/NSR NAA/NSR 0-2 federal programs $2,500 $600 $1,000 $100 3-6 federal programs $3,500 $1,000 $1,500 $100 7+ federal programs $5,000 $1,400 $2,000 $100 For the purposes of this subsection, (i) the term "Permit Engineer" means a qualifying employee that is the primary processor and reviewer for a Title V Air Permit application, (ii) the term "Supervisor" means a qualifying employee that is the primary supervisor of a reviewer that reviews and processes a Title V Air Permit application, (iii) the term "Meteorologist" means a qualifying employee that is the primary reviewer of the air quality analysis submitted in support ofaTitleVAirPermitapplication,and(iv)theterm"Admin.Staff"means aqualifyingemployee that is the primary administrative support position for the processing and review of a Title V Air Permit application.

… "SECTION 12.17.(f) Pending Permits at Time of Implementation.

– For Title V Air Permit applications received prior to January 1, 2024, for which a permit review has not been evaluated by the permit supervisor or posted for public notice, the following schedule applies:

Permit Type –––––– Number of Processing Days –––––Days for Deduct.

Minor Modification 30 50 70 175 Major Modification 50 75 100 360 New Title V Air Permit 50 75 100 360 PSD/NSR NAA/NSR 100 150 200 600 Page 8 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 Bonus Percentage:

100% 50% 25%.

3 "SECTION 12.17.(g) Bonus Structure for First Six-Month Period.

– For administratively complete Title V Air Permit applications received on or after January 1, 2024, and before June 1, 2024, July 1, 2024, the following schedule applies:

7 Permit Type –––––– Number of Processing Days –––––Days for Deduct.

Minor Modification 60 80 100 200 Major Modification 140 160 200 540 New Title V Air Permit 150 200 250 540 PSD/NSR NAA/NSR 300 350 400 700 Bonus Percentage:

100% 50% 25%.

"SECTION 12.17.(h) Bonus Structure for Second Six-Month Period.

– For administratively complete Title V Air Permit applications received on or after June 1, 2024, July 1, 2024, and before December 31, 2024, the following schedule applies:

Permit Type ––––––Number of Processing Days –––––Days for Deduct.

Minor Modification 50 70 90 175 Major Modification 12090 140120 160150 360 New Title V Air Permit 90120 120140 150160 360 PSD/NSR NAA/NSR 180 240 300 600 Bonus Percentage:

100% 50% 25%.

… "SECTION 12.17.(s) Rulemaking.

– The Environmental Management Commission shall may adopt temporary rules to implement the provisions of this section.

…." SECTION4.3.(b) G.S.

143-213(1),asenactedbySection12.11(c)ofS.L.2023-134, reads as rewritten:

"(1) The term "administratively complete" means that all information required by statute, regulation, or and application form has been submitted to the Department for the purpose of processing a permit application." LOCAL APPROVAL OF EROSION AND SEDIMENTATION CONTROL PLAN CLARIFICATION SECTION 4.4.(a) G.S.

113A-61(b1), as amended by Section 12.10(c) of S.L.

2023-134 and Section 2(d) of S.L.

2023-142, reads as rewritten:

"(b1) A local government shall not deny a draft erosion and sedimentation control plan based solely upon the applicant's need to obtain obtain:

(i) other development approvals for the project, as that term is defined by G.S.

160D-102(13).

A local government shall G.S.

160D-102, or (ii) other environmental permits, authorizations, or certifications for the project, aside from a permitrequiredforstormwaterdischargesfromconstructionsitespursuantto40C.F.R.§122.26;

the local government shall, however, condition approval of a draft erosion and sedimentation control plan upon the applicant's compliance with federal and State water quality laws, regulations, and rules, including the applicant's receipt of other environmental permits, authorizations, or certifications that may be required for the project.

A local government shall disapprove an erosion and sedimentation control plan if implementation of the plan would result in aviolation ofrules adoptedbytheEnvironmental Management Commission to protect riparian buffers along surface waters.

A local government may disapprove an erosion and sedimentation control plan or disapprove a transfer of a plan under subsection (b3) of this section upon finding that an applicant or a parent, subsidiary, or other affiliate of the applicant:

Senate Bill 508-Second Edition Page 9 General Assembly Of North Carolina Session 2023 …." SECTION 4.4.(b) This section becomes effective July 1, 2024.

4 MODIFY HIGH-YIELD ECONOMIC DEVELOPMENT FUNDING SECTION 4.5.(a) Section 11.19 of S.L.

2021-180 reads as rewritten:

"… "SECTION 11.19.(b) Provided the Economic Investment Committee awards a Job Development Investment Grant for a qualifying project in Randolph County while the county is classified as a development tier one area, as defined in G.S.

143B-437.08, to a manufacturer, there is appropriated from the Economic Development Project Reserve established in Section 2.2(m) of this act to the Department of Commerce (Department) (i) for the 2021-2022 fiscal year the sum of one hundred thirty-five million dollars ($135,000,000) in nonrecurring funds to be transferred to the Department of Transportation for improvements at the project site.

purposes consistent with subdivisions (1) and (2) of this subsection and (ii) for the 2023-2024 fiscal year the sum of thirty million dollars ($30,000,000) in nonrecurring funds to be transferred to the Department of Transportation for purposes consistent with subdivision (3) of this subsection.

Notwithstanding any other provision of law, the Department of Transportation is authorized to utilize Progressive Design Build, Construction Management General Contractor, or any other procurement methodology to contract for the delivery of improvements for which funds are provided in a subdivision of this subsection.

As used in this section, (i) the project site is the portion of the industrial park referenced in subsection (a) of this section where a qualifying project is to be located and used by the manufacturer referenced in this subsection and (ii) a qualifying project is a project for which the agreement requires that the business invest at least one billion dollars ($1,000,000,000) in private funds and create at least 1,750 eligible positions, as defined in G.S.

143B-437.51.

The funds allocated in this subsection shall be used as follows:

(1) One hundred million dollars ($100,000,000) for site work and associated wetlands mitigation needed at the project site.

(2) Thirty-five million dollars ($35,000,000) for roadwork and associated wetlands mitigation needed within Randolph County.

(3) Thirty million dollars ($30,000,000) for right-of-way acquisition and associated roadwork needed at the project site.

… "SECTION 11.19.(d) The Department shall enter into an agreement with the manufacturer identified in subsection (b) of this section.

The agreement is binding and constitutes a continuing contractual obligation of the State and the manufacturer benefitted by the funds allocated for improving the project site.

The For funds appropriated in this section for the 2021-2022 fiscal year, the agreement must (i) include all of the performance criteria, remedies, and other safeguards required by the Department to secure the State's benefit derived from improvements to the industrial park funded by this section and (ii) require the manufacturer to repay a proportionate amount of costs incurred by the State for improvement of the park undertaken by the State under subsection (b) of this section or reimbursement paid to the manufacturer under subsection (c) of this section for any failure by the business to meet and maintain the applicable performance criteria on which the cost incurred or reimbursement paid was based.

No repayment or reimbursement may be required by the Department for any other funds appropriated in this section.

…." SECTION 4.5.(b) The funds transferred in subsection (a) of this section for the 2023-2024 fiscal year are hereby appropriated for the purposes described in that subsection.

SECTION 4.5.(c) This section is effective when it becomes law.

DEPARTMENT OF ENVIRONMENTAL QUALITY FUND CODE ADJUSTMENTS Page 10 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 SECTION 4.6.

Notwithstanding the Committee Report described in Section 43.2 of S.L.

2023-134, (i) the funds appropriated for an Environmental Assistance Coordinator under Budget Code 14300, Fund Code 1130, shall instead be certified in Fund Code 1615, (ii) the federal receipts budgeted for the Federal Infrastructure Investment and Jobs Act (IIJA) under Budget Code 24300, Fund Code 2456, shall instead be certified in Fund Code 2493, and (iii) the receipts budgeted from the Federal Infrastructure Match Reserve for IIJA grid resiliency grants under Budget Code 24300, Fund Code 2456, shall instead be certified in Fund Code 2493.

9 AQUATIC WEED PROGRAM CHANGES SECTION 4.7.

G.S.

143-215.73F(b) reads as rewritten:

"(b) Uses of Fund.

– Revenue in the Fund may only be used for the following purposes:

… (2) For aquatic weed control projects in waters of the State that either address (i) a noxious aquatic weed designated under Article 15 of Chapter 113A of the General Statutes.

Statutes, (ii) cyanobacteria causing harmful algal blooms or producing cyanotoxins such as cylindrospermopsin and saxitoxins, or (iii) other aquatic vegetation not so designated, if the vegetation obstructs public water access or access bywatercraft to public watercraft launching or docking areas.

Funding for aquatic weed control projects is limited to one million dollars ($1,000,000) in each fiscal year.

…." PART V.

JUSTICE AND PUBLIC SAFETY [RESERVED] PART VI.

GENERAL GOVERNMENT MODIFY EFFECTIVE DATE FOR LOBBYING FEE INCREASE SECTION 6.1.

Section 35.1 of S.L.

2023-134 is amended by adding a new subsection to read:

"SECTION 35.1.(c) This section becomes effective January 1, 2025." OSBM GRANT CHANGES SECTION 6.2.

Part XXIV of S.L.

2023-134 is amended by adding the following new section to read:

"OSBM GRANT CHANGES "SECTION24.9.

Notwithstandinganyprovision oflaworthe CommitteeReportreferenced in Section 43.2 of this act to the contrary, the following grants and funds allocated to the Office of State Budget and Management – Special Appropriations are amended as follows:

(1) The directed grant to Burke County in the sum of four million dollars ($4,000,000) in nonrecurring funds for the 2023-2024 fiscal year for capital improvements or equipment for fire departments shall instead be provided for Emergency Medical Services.

(2) The directed grant to the North Carolina Medical Society in the sum of one million five hundred thousand dollars ($1,500,000) in nonrecurring funds for the 2023-2024 fiscal year for physician awareness and training related to treating PANS/PANDAS shall instead be provided to Neuroimmune North Carolina, a nonprofit organization.

(3) The directed grant to Bladen County in the sum of four million dollars ($4,000,000) in nonrecurring funds for the 2023-2024 fiscal year for capital projects, including aviation and economic development, shall instead be provided to Bladen's Bloomin Agri-Industrial, Inc., a nonprofit organization.

Senate Bill 508-Second Edition Page 11 General Assembly Of North Carolina Session 2023 (4) The directed grant to Wilson Pregnancy Center, Inc., in the sum of one hundred thousand dollars ($100,000) in nonrecurring funds for the 2023-2024 fiscal year for capital needs and securityupgrades shall instead be provided to Wilson County School:

Her Pride Afterschool Mentoring Program.

(5) The directed grant to the City of Wilson in the sum of fifty thousand dollars ($50,000) in nonrecurring funds for the 2023-2024 fiscal year for capital improvements or equipment at the Herring-Ellis Cemetery shall instead be provided at the Vick Cemetery.

(6) The directed grant to The Salvation Army for the Center of Hope in the sum of two hundred fiftythousand dollars ($250,000) in nonrecurringfunds for the 2023-2024 fiscal year andforrelated capital improvements orequipment shall be for the Guilford County location.

(7) The directed grant to Equity Before Birth in the sum of one hundred thousand dollars ($100,000) in nonrecurring funds for the 2023-2024 fiscal year to support MAAME, Inc.,shall insteadbeequallydividedto supportboth Equity Before Birth and MAAME, Inc.

(8) The directed grant to Lumbee Land Development, Inc., in the sum of two million nine hundred fifty thousand dollars ($2,950,000) in nonrecurring funds for the 2023-2024 fiscal year for the Strike At The Wind outdoor drama shall instead be used for cultural and economic development.

(9) The directed grant to Richmond County in the sum of two hundred thousand dollars ($200,000) in nonrecurring funds for the 2023-2024 fiscal year for operations or equipment for youth programs shall instead be provided to the City of Rockingham.

(10) The directed grant to Denver Area Business Association, Inc., in the sum of eight hundred thousand dollars ($800,000) in nonrecurring funds shall be reduced by the sum of one hundred thousand dollars ($100,000), which shall be allocated instead to North 321 VFD, Inc.

(11) Thedirectedgrantto LincolnCountySchoolsinthesumoftwomilliondollars ($2,000,000) in nonrecurring funds for athletic facility upgrades shall be reduced by the sum of one million dollars ($1,000,000), which shall instead be provided to North 321 VFD, Inc.

(12) The directed grant to the Banner American Legion Auxiliary Unit #109, Inc., in the sum of one hundred twenty-five thousand dollars ($125,000) in nonrecurring funds for the 2023-2024 fiscal year shall be instead provided to Banner Post 109, Incorporated.

(13) The directed grant to the Town of Macclesfield in the sum of three hundred thousand dollars ($300,000) in nonrecurring funds for the 2023-2024 fiscal year to purchase a new fire truck and related equipment shall instead be provided to the Town of Pinetops.

(14) Budgeted receipts from the ARPA Temporary Savings Fund to provide funds to the Museum of the Cape Fear Historical Complex Foundation, Inc., for capital improvements or equipment for the NC Civil War Emancipation and Reconstruction HistoryCenter shall instead be provided to NC HistoryCenter on the Civil War, Emancipation and Reconstruction Foundation." MODIFY PURPOSE OF FUNDS PREVIOUSLY PROVIDED TO LEAGUE OF MUNICIPALITIES SECTION 6.3.

Part XXIV of S.L.

2023-134 is amended by adding the following new section to read:

"REDIRECTION OF CERTAIN GRANT FUNDS Page 12 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 "SECTION 24.10.

Notwithstanding any provision of S.L.

2021-180 or the Committee Report described in Section 43.2 of S.L.

2021-180 to the contrary, of the funds appropriated to theLeagueofMunicipalitiesforthecreationofanauditsoftwaregrantprogramthesumof fifteen million dollars ($15,000,000) shall instead be provided to the Piedmont Triad Regional Council for the management and implementation of the SimplySolv centralized state auditing system.

(1) Funds may be used as follows:

a.

Fordevelopment, operation,andsupportoftechnologyspecificallyfor North Carolina.

b.

To recoup development costs already expended associated with technology built specifically for North Carolina.

c.

To fund support and operations required to service North Carolina.

(2) Funds may not be used as follows:

a.

To pay any employee or board member a salary or bonus of such amount as to be exorbitant to the value add of their direct work or expertise as it relates to services provided for North Carolina.

b.

To pay out a dividend or ROI to investors.

c.

For business development or support of operations or technology that benefits other states." TEMPORARY SOLUTIONS MODIFICATION SECTION 6.4.

G.S.

126-6.3, as amended by Section 29A.2(a) of S.L.

2023-134, reads as rewritten:

"§ 126-6.3.

Temporary employment needs of Cabinet and Council of State agencies;

use of the Temporary Solutions Program.

(a) Use of Temporary Solutions Required for Cabinet Agencies.

– Notwithstanding G.S.

126-5 or any other provision of law, all Cabinet agencies that utilize temporary employees to perform work that is not information technology-related shall employ them through the Temporary Solutions Program administered by the Office of State Human Resources (OSHR).

Council of State agencies may use the Temporary Solutions Program in the discretion of the agency.

(a1) Temporary Employment Restrictions.

– No temporary employee shall be employed more than 11 consecutive months.

A temporaryemployee shall only be eligible for reinstatement on the job assignment after working 11 consecutive months if the temporary employee is separated for at least 31 consecutive calendar days.

Temporary employees shall not be used to permanently expand the workforce beyond authorized levels.

(a2) The OSHR shall prohibit from acquiring new temporary employees any agency or division, based on individual budget code, having an invoice owed to the OSHR that is over 90 days overdue and a total overdue invoice amount exceeding two hundred thousand dollars ($200,000) for any number of days.

overdue.

When an agency is restricted from acquiring a new temporary employee under this subsection, the agency shall not be allowed to acquire new temporary employees through the Temporary Solutions Program until the agency has paid all overdue invoices.

The provisions of this subsection do not apply to the North Carolina National Guard.

(a3) Exceptions.

– The following exceptions apply:

(1) The Director of the OSHR may create exceptions to the requirements of subsection (a) of this section only when the following conditions are met:

a.

The Temporary Solutions Program cannot meet the agency's employment needs for a class of temporary job assignments.

b.

Failure to recruit for the class of temporaryjob assignments will cause severe harm to the agency's ability to provide services to the public.

Senate Bill 508-Second Edition Page 13 General Assembly Of North Carolina Session 2023 (2) A temporary employee who is a full-time student, a retired employee, an inmate on a work-release program, an intern, or an extern is exempt from the requirements of subsection (a1) of this section.

(3) The Director of the OSHR may create exceptions to the requirements of subsection (a1) and subsection (a2) of this section only when all of the following conditions are met:

a.

The exception is in the best interests of the State because removingthe employee from the job assignment will cause severe harm to the agency's ability to provide vital services to the public.

b.

The exception will not result in extending the 11-month maximum length of temporary employment beyond 22 months from the employee's initial hire date.date, unless that employee is providing medical care.

All All exceptions shall be in the sole discretion of the Director of the OSHR except that the North Carolina National Guard is hereby granted preferred status for exceptions which shall not be denied by the Director.

All exceptions shall include a justification of why the exception is necessary.

An exception is invalid unless it is submitted in writing and on file in the Temporary Solutions Program Office.

To the extent possible, the Director of the OSHR or the Director's designee shall advise agencies of alternative job classification options prior to approval of exceptions to subsection (a1) of this section.

…." PART VII.

SALARIES AND BENEFITS CLARIFY CERTAIN DATES FOR PRINCIPAL SALARY SCHEDULE SECTION 7.1.

Section 7A.6 of S.L.

2023-134 reads as rewritten:

"… "SECTION 7A.6.(b) For purposes of determining the average daily membership of a principal's school, the following amounts shall be used during the following time periods:

(1) Between July1, 2023, and December 31, 2023, the average daily membership for the school from the 2022-2023 school year.

If the school did not have an averagedailymembershipinthe2022-2023school year,theprojectedaverage daily membership for the school for the 2023-2024 school year.

(2) Between January 1, 2023, 2024, and June 30, 2023, 2024, the average daily membership for the school for the 2023-2024 school year.

… "SECTION 7A.6.(c) For purposes of determining the school growth scores for each school the principal supervised in one or more prior school years, the following school growth scores shall be used during the following time periods:

(1) Between July 1, 2023, and December 31, 2023, the school growth score from the 2021-2022 school year.

(2) Between January 1, 2023, 2024, and June 30, 2023, 2024, the school growth scores from the 2021-2022 and 2022-2023 school years.

…." DAC TEACHER PAY/CLARIFICATION SECTION 7.2.

Section 39.1(b)(8) of S.L.

2023-134 reads as rewritten:

"(8) Employees of schools operated by the Department of Health and Human Services, the Department of Public Safety, the Department of Adult Correction, and the State Board of Education who are paid based on the Teacher Salary Schedule." Page 14 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 2 DAC CORRECTIONAL OFFICER PAY SCHEDULE CORRECTION SECTION 7.3.

The salary schedule for Correctional Officers of the Department of Adult Correction contained in Section 39.15(b) of S.L.

2023-134 is amended by changing the salary set for Correctional Officers having two years of experience (CO II) to the following amounts:

(1) Forty-two thousand eight hundred thirty-two dollars ($42,832) in fiscal year 2023-2024, effective July 1, 2023.

(2) Forty-four thousand one hundred seventeen dollars ($44,117) in fiscal year 2024-2025, effective July 1, 2024.

SECTION7.4.(a) Subsection(a)ofSection39.6ofS.L.2023-134readsas rewritten:

"SECTION 39.6.(a) Effective July 1, 2023, the annual salaries, payable monthly, for the following judicial branch officials for the 2023-2024 fiscal year are as follows:

Judicial Branch Officials Annual Salary Chief Justice, Supreme Court $198,120 Associate Justice, Supreme Court 192,978 Chief Judge, Court of Appeals 189,926 Judge, Court of Appeals 184,996 Judge, Senior Regular Resident Superior Court 170,000 Judge, Superior Court 165,000 Chief Judge, District Court 163,462 Judge, District Court 158,654 Chief Administrative Law Judge 140,520 District Attorney 163,231 Assistant Administrative Officer of the Courts 147,393 Public Defender 163,231 Director of Indigent Defense Services 157,751164,454" SECTION 7.4.(b) Subsection (a1) of Section 39.6 of S.L.

2023-134 reads as rewritten:

"SECTION 39.6.(a1) Effective July 1, 2024, the annual salaries, payable monthly, for the following judicial branch officials for the 2024-2025 fiscal year are as follows:

Judicial Branch Officials Annual Salary Chief Justice, Supreme Court $203,073 Associate Justice, Supreme Court 197,802 Chief Judge, Court of Appeals 194,674 Judge, Court of Appeals 189,621 Judge, Senior Regular Resident Superior Court 174,250 Judge, Superior Court 169,125 Chief Judge, District Court 167,548 Judge, District Court 162,620 Chief Administrative Law Judge 144,736 District Attorney 167,337 Assistant Administrative Officer of the Courts 151,815 Public Defender 167,337 Director of Indigent Defense Services 162,484168,565" PART VIII.

CAPITAL SCIF TECHNICAL CORRECTIONS SECTION 8.1.

Part XL of S.L.

2023-134 is amended by adding the following new section to read:

Senate Bill 508-Second Edition Page 15 General Assembly Of North Carolina Session 2023 "SCIF GRANT & ALLOCATION CHANGES "SECTION40.8.

Notwithstandinganyprovision oflawortheCommitteeReportreferenced in Section 43.2 of this act to the contrary, the following grants and funds allocated from the State Capital and Infrastructure Fund are amended as follows:

(1) The funding allocated to the University of North Carolina at Pembroke for project code UNC/PEM23-1 in the sum of six million one hundred thousand dollars ($6,100,000) for the 2024-2025 fiscal year may be used for the comprehensive renovation or replacement of the Givens Performing Arts Center.

(2) The funding allocated to Tree House Recovery, Inc., in the sum of six million dollars ($6,000,000) for the 2023-2024 fiscal year shall be provided to Tree House Recovery, Inc., located in Wilmington, NC, to be used for the construction of a substance abuse services facility." FUNDING FOR TIME-LIMITED POSITIONS FOR SCIF GRANT AND ALLOCATION PROCESSING SECTION 8.2.

Part XL of S.L.

2023-134 is amended by adding the following new section to read:

"SCIF TEMPORARY PERSONNEL FUNDING "SECTION 40.9.

The Office of State Budget and Management mayuse a sum not to exceed one million dollars ($1,000,000) in nonrecurring funds for the 2023-2025 fiscal biennium from the State Capital and Infrastructure Fund, established in G.S.

143C-4-3.1, to fund up to five temporary positions to assist in the administration of grants and other funding allocations from the State Capital and Infrastructure Fund, and the funds are hereby appropriated for that purpose.

The temporary positions described in this section are time-limited to the duration of the 2023-2025 fiscal biennium." PART IX.

TRANSPORTATION CLARIFY DMV'S AUTHORITY TO IMPLEMENT TRANSACTION FEES ON ELECTRONIC PAYMENTS SECTION 9.1.(a) G.S.

20-4.05, as enacted by S.L.

2023-134, reads as rewritten:

"§ 20-4.05.

Authority of Division to charge transaction fee on electronic payments.

(a) When the Division accepts electronic payment, as that term is defined in G.S.

147-86.20, for any cost, fee, fine, or penalty imposed pursuant to this Chapter, the Division may add a transaction fee to each electronic payment transaction to offset the service charge the Division pays for electronic payment service.

The Division's transaction fee shall not exceed two percent (2%) of the electronic payment.

(b) Notwithstanding G.S.

66-58.12, this section applies to transactions completed in person, through the World Wide Web, or through any other means of electronic access." SECTION 9.1.(b) This section becomes effective July 1, 2024.

FUND CODE CORRECTIONS SECTION 9.2.

S.L.

2023-134 is amended by adding a new section to read:

"CORRECTIONS AND REVISIONSTOTHEDEPARTMENT OFTRANSPORTATION COMMITTEE REPORT "SECTION41.20.

Notwithstandinganyprovision oflawortheCommitteeReportdescribed in Section 43.2 of this act to the contrary, for the 2023-2025 fiscal biennium:

(1) Fund Code 1332, referenced for funds appropriated to the Department of Transportation for State Retirement Contributions, shall be replaced with Fund Code 0871.

Page 16 Senate Bill 508-Second Edition General Assembly Of North Carolina Session 2023 (2) Fund Code 7031, referenced for funds appropriated to the Department of Transportation for Safety and Risk Management Equipment, shall be replaced with Fund Code 7185.

(3) Fund Code 7070, referenced for Multi-State Highway Planning Funds, shall be replaced with Fund Code 7844." PART X.

EFFECTIVE DATE SECTION 10.1.

Except as otherwise provided, this act is effective July 1, 2023.

Senate Bill 508-Second Edition Page 17