SB 440 — 2025 Governor's Budget.
Last action — Passed 1st Reading
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✓Introduced
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2In Committee
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3Passed Senate
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4Passed House
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5To Executive
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6Enacted
This bill is in committee in the Senate. Introduced March 24, 2025. It must pass committee before a floor vote.
Next likely step: a committee vote, then a floor vote in the Senate.
Odds of enactment
Low chanceBased on the sponsor, cosponsors, and committee posture, this bill has a low chance of becoming law.
Upgrade to see the exact probability and what's driving it.
A statistical estimate from our own model of past outcomes — an insight, not a guarantee. Policymaking is volatile.
Prognosis
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In Committee
Current position in the legislative process.
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18 sponsors
2 primary, 16 co-sponsors signed on.
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Bipartisan support
Sponsored across 2 parties (15 D · 3 R) — cross-party backing.
Based on stage, sponsorship breadth, committee status, recorded votes, and cross-state momentum — a description of the observable signals, not a prediction.
Bill Text
What changed in the latest version
380 added · 381 removedPlain-language change summary
The latest version of Senate Bill 440 has made some amendments to detail how $117,895,590 from the Information Technology Project Reserve will be managed. Specifically, it clarifies that these funds must be used only for specific programs and cybersecurity tools, ensuring that spending is aligned with set plans. This change is important because it helps allocate resources effectively and ensures that taxpayer money is spent on intended priorities, particularly in technology and cybersecurity.
FILED SENATE GENERAL ASSEMBLY OF NORTH CAROLINA MarSESSION 24, 2025 S.B.S 1 SENATE BILL 440 Short Title:
440 SESSION 2025 PRINCIPAL CLERK S D SENATE BILL DRS15173-NExfa-111A Short Title:
Rules and Operations of the Senate March 25, 2025 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.
Current Operations – General Fund FY 2025-2026 FY 2026-2027 EDUCATION Community College System 1,835,773,238 1,817,233,999 Public Instruction 12,940,561,945 13,312,131,679 Appalachian State University 209,862,595 209,862,595 East Carolina University *DRS15173-NExfa-111A**S440-v-1* General Assembly Of North Carolina Session 2025 Academic Affairs 274,127,761 274,127,761 Health Affairs 107,144,915 107,144,915 Elizabeth City State University 48,513,547 48,513,547 Fayetteville State 87,586,990 87,586,990 NC A&T State University 162,728,474 162,743,010 NC Central University 98,572,636 98,572,636 NC State University Academic Affairs 564,312,136 564,676,069 Agricultural Extension 46,543,237 46,543,237 Agricultural Research 63,465,016 63,465,016 UNC-Asheville 51,101,094 51,101,094 UNC-Chapel Hill Academic Affairs 385,597,924 385,597,924 Health Affairs 249,399,553 249,399,553 AHEC 57,855,450 57,855,450 UNC-Charlotte 331,584,743 331,584,743 UNC-Greensboro 204,987,083 204,987,083 UNC-Pembroke 95,473,853 95,473,853 UNC-School of the Arts 42,015,189 42,015,189 UNC-Wilmington 217,239,729 217,239,729 Western Carolina University 164,563,738 164,589,450 Winston-Salem State University 68,743,773 68,743,773 General Administration 50,098,094 50,098,094 University Institutional Programs 445,200,342 418,908,192 Related Educational Programs 155,756,139 494,956,139 NC School of Science and Math 47,142,167 46,042,167 Aid to Private Institutions 11,209,300 1,209,300 Total University of North Carolina 4,240,825,478 4,543,037,509 HEALTH AND HUMAN SERVICES Department of Health and Human Services Aging and Adult Services 52,921,202 52,835,960 Central Management and Support 264,668,458 280,846,739 Child Development and Early Education 382,372,308 402,337,850 Child and Family Well Being 67,730,469 66,899,077 Health Benefits 6,713,749,640 6,915,372,354 Health Services Regulation 28,910,644 27,684,055 Mental Hlth/Dev.
872,910,215 861,901,094 Public Health 145,202,462 141,115,801 Services for the Blind, Deaf and Hard of Hearing 10,914,745 10,582,156 Social Services 237,776,745 237,389,031 Vocational Rehabilitation 49,986,020 48,988,234 Total Health and Human Services 8,827,142,908 9,045,952,351 AGRICULTURE, NATURAL, AND ECONOMIC RESOURCES Agriculture and Consumer Services 212,663,368 187,645,965 Department of Commerce Commerce 32,609,149 32,416,005 General State Aid 19,655,810 19,655,810 Economic Development 166,248,245 161,248,245 Page 2 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 Environmental Quality 140,680,891 128,482,814 4 Labor 28,121,857 27,647,075 6 Department of Natural and Cultural Resources 307,296,564 300,576,669 8 Wildlife Resources Commission 18,351,461 17,633,011 JUSTICE AND PUBLIC SAFETY Judicial Department 827,773,076 820,165,360 Judicial Department – Indigent Defense Services 185,962,469 175,026,742 Department of Justice 90,804,406 89,863,913 Department of Public Safety 702,776,742 686,556,053 Department of Adult Correction 2,177,127,587 2,157,937,189 State Bureau of Investigation 75,468,655 64,814,302 GENERAL GOVERNMENT Department of Administration 74,678,938 74,260,897 Office of Administrative Hearings 8,898,948 8,839,511 State Board of Elections 11,759,995 11,682,822 Office of State Auditor 20,631,544 20,427,667 Office of State Controller 37,735,638 37,484,996 General Assembly 106,202,329 103,830,055 Office of the Governor 12,123,401 12,059,283 Office of State Budget and Management Office of State Budget and Management 13,505,238 13,404,735 OSBM – Reserve for Special Appropriations 35,300,000 15,300,000 Housing Finance Agency 70,660,000 60,660,000 Office of State Human Resource 13,247,160 15,358,377 Department of Insurance Insurance 109,006,753 84,282,862 Insurance – Industrial Commission 16,099,148 14,739,941 Office of Lieutenant Governor 1,417,641 1,405,203 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 3 General Assembly Of North Carolina Session 2025 Department of Military and Veterans Affairs 10,522,771 10,436,405 3 Department of Revenue 135,835,446 135,281,182 5 Department of Secretary of State 21,063,124 20,875,289 7 Department of State Treasurer Treasurer 622,074 209,074 Treasurer – Retirement System 24,044,657 24,044,657 Information Technology 95,908,367 97,150,367 RESERVES, DEBT, AND OTHER BUDGETS Statewide Reserves 0 0 Total Net Appropriation 33,649,107,021 34,349,758,014 SECTION 2.1.(b) For purposes of this act, the requirements set forth in this section represent the total amount of funds, including agency receipts, appropriated to an agency, department, or institution.
FY 2025-2026 FY 2026-2027 Unappropriated Balance from Prior Fiscal Year 48,073,341 364,074,833 Projected Over Collections FY 2024-25 543,900,000 - Anticipated Reversions FY 2024-25 300,000,000 - Total, Current Beginning Unreserved Balance 891,973,341 364,074,833 Statutorily Required Reservations of Revenue State Capital and Infrastructure Fund (1,120,000,000) (1,159,200,000) Unfunded Liability Solvency Reserve (38,514,750) (117,406,800) Subtotal (1,158,514,750) (1,276,606,800) Investments to Reserves State Emergency Response and Disaster Relief Fund 500,000,000 0 Subtotal, Investments to Reserves (500,000,000) 0 Tax Revenues Individual Income 16,980,000,000 16,114,000,000 Sales and Use 11,582,500,000 11,895,200,000 Corporate Income 1,483,600,000 1,340,100,000 Franchise 785,800,000 809,700,000 Insurance 1,503,300,000 1,415,600,000 Alcoholic Beverage 560,000,000 572,700,000 Tobacco Products 245,400,000 240,900,000 Other Tax Revenue 248,200,000 268,900,000 Page 4 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Subtotal, Tax Revenues 33,388,800,000 32,657,100,000 3 Non-tax Revenues Judicial Fees 207,400,000 204,600,000 Investment Income 681,900,000 594,100,000 Disproportionate Share 107,700,000 109,000,000 Master Settlement Agreement 105,100,000 102,000,000 Insurance 124,000,000 126,900,000 Other Non-tax Revenues 274,800,000 273,400,000 Subtotal, Non-tax Revenue 1,500,900,000 1,410,000,000 Total, Net Revenues 34,889,700,000 34,067,100,000 Adjustments to Revenues:
Maintain Individual Income Tax at 4.25% 386,300,000 1,801,800,000 Maintain Lowest Corporate Tax Rate at 2.25% 68,400,000 166,200,000 Working Families Tax Credit – 20% of federal Earned Income Tax Credit (426,800,000) (425,800,000) Child and Dependent Care Tax Credit (59,000,000) (60,300,000) Child Deduction to Refundable Child Tax Credit (23,000,000) (23,000,000) Sales Tax Back-to-School Holiday (29,000,000) (30,000,000) PHP Gross Tax Revenue Offset (78,035,000) (75,623,000) Subtotal, Adjustments to Tax Revenue (161,135,000) 1,353,277,000 Adjustments to Availability Insurance Non-Tax Transfer 51,158,263 25,646,165 Revised Total Net General Fund Availability 34,013,181,854 34,533,491,198 Less General Fund Net Appropriations (33,649,107,021) (34,349,758,014) Unappropriated Balance Remaining 364,074,833 183,733,184 SECTION 2.2.(b) IT Reserve – The State Controller shall transfer the sum of one hundred seventeen million eight hundred ninety-five thousand five hundred ninety dollars ($117,895,590)from the unreservedfundbalanceintheInformationunreservedfundbalanceinthe TechnologyInformation ProjectTechnologyProject Reserve to the Office of State Budget and Management.
Funds appropriated from the Information TechnologyTechnologyProject Project Reserve shall be allocated bybythe the Director of the State Budget in consultation with the State Chief Information Officer and the head of the department with primary ownership over the information technology project based on documented project needs.
(2) TheDepartmentofInformationTechnology'scybersecuritytoolscontinuationTheDepartmentof InformationTechnology'scybersecuritytoolscontinuation of protection offerings, and constituent portal and citizen identity software.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 5 General Assembly Of North Carolina Session 2025 (6) The Office of State Human Resources' human capital management (HCM) vendor integration and HARP data analytics improvements (GDAC).
HIGHWAY FUND AND HIGHWAY TRUST FUND Page 6 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 CURRENT OPERATIONS AND EXPANSION/HIGHWAY FUND SECTION 3.1.
Current Operations – Highway Trust Fund FY 2025-2026 FY 2026-2027 Program Administration $44,621,733 $44,621,733 Bonds 121,440,275 121,436,275 Turnpike Authority 49,000,000 49,000,000 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 7 General Assembly Of North Carolina Session 2025 State Ports Authority 45,000,000 45,000,000 FHWA State Match 6,048,440 6,048,440 Strategic Prioritization Funding Plan for Transportation Investments 2,222,253,974 2,280,386,974 Transfer to Visitor Center 640,000 640,000 Transfer to Department of Revenue 0 371,000 Uncommitted Trust Fund 495,578 495,578 Total Highway Trust Fund Appropriations $2,489,500,000 $2,548,000,000 HIGHWAY TRUST FUND AVAILABILITY SECTION 3.4.
Funds maymaybe be expended onlyonlyfor for the programs, purposes, objects, and line items or as otherwise authorized by the General Assembly.
Any receipts that are required to be used to pay debt service requirements for various outstanding bond issues and certificates of participation areappropriateduptoareappropriated upto the actual amounts receivedfor the 2025-2026 fiscal year and the 2026-2027 fiscal year and shall be used only to pay debt service requirements.
Other funds, cash balances, and receipts of funds that meet the definition issued bybythe the Governmental Accounting Standards Board of a trust or agencyagencyfund fund are appropriated for and in the amounts required tomeetthelegalrequirementsofthetrustagreementforthe2025-2026 fiscal year and the 2026-2027 fiscal year.
SECTION 4.1.(b) Receipts collected in a fiscal year in excess of the amounts appropriated by this section shall remain unexpended and unencumbered until appropriated by the General Assembly, unless the expenditure of over-realized receipts in the fiscal year in which Page 8 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 the receipts were collected is authorized by the State Budget Act.
FY 2025-2026 FY 2026-2027 School Technology Fund $18,000,000 $18,000,000 Drivers Education 31,493,768 31,493,768 State Public School Fund 166,041,640 166,041,640 1-1 Device Refresh 11,300,000 11,300,000 TOTAL APPROPRIATION $226,835,408 $226,835,408 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 9 General Assembly Of North Carolina Session 2025 2 PART V.
No morethan one hundred fortyfortythousand thousand dollars ($140,000) in State funds, including any interest earnings accruing from those funds, may be used for the annual salary of any individual employee of a nonprofit organization.
at one-half the average FTE value per FTE for the greater of FTE increases in excess of 5% for each categorycategoryof of instruction, or for increases in total FTE greater than 325.
If enrollment growth exceeds the funds appropriated in a given year, the value per FTE would be reduced proportionally." Page 10 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 AUTHORIZE USE OF MOTORCYCLE SAFETY EDUCATION PROGRAM FUNDS FOR A CAPITAL PROJECT SECTION 6.3.(a) Notwithstanding G.S.
Such administrative costs maymayinclude include professional development, program management, and evaluation.
These funds DRS15173-NExfa-111ASenate Bill 440-First Edition Page 11 General Assembly Of North Carolina Session 2025 shall be utilized to enhance the effectiveness and sustainability of the program, ensuring its continued support for students within the community college system." 4 FREE COMMUNITY COLLEGE TUITION FOR HIGH DEMAND SKILLS TRAINING SECTION 6.7.
Page 12 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 7.1.(c) Grant Awards.
– Of the funds appropriated through this act to the Department of Public Instruction, the State Board shall allocate funding to each local school administrativeunit forhiringforhiringschool school resourceofficers.
EachEachlocal local school administrativeunit shall receive allotted dollars for each non-virtual school serving students in elementary and middle schools with an allotted average daily membership of greater than 300.
– The Center for Safer Schools and the Department of Public Instruction shall work with the NC Criminal Justice Education and Training Standards DRS15173-NExfa-111ASenate Bill 440-First Edition Page 13 General Assembly Of North Carolina Session 2025 Commission to establish initial training and continuing education standards for SROs.
Those standards shall include pre-service trainingtrainingand and modules on the social and cognitive development of elementary school and middle school children, behavioral health, and trauma-informed practices in schools.
Parents or guardians of first and second grade students offered a reading camp as a literacyliteracyintervention intervention shall be encouraged to enroll their student in the reading camp provided by the local school administrative unit.
Parents or guardians of a student Page 14 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 identified as demonstrating reading comprehension below grade level shall make the final decision regarding a student's reading camp attendance.
A copy of the report shall be distributed to all DRS15173-NExfa-111ASenate Bill 440-First Edition Page 15 General Assembly Of North Carolina Session 2025 local superintendents and principals in public school units participating in the Program.
2025-2026 Teacher Monthly Salary Schedule Years of Experience "A" Teachers 0 4,450 1 4,530 2 4,610 3 4,690 4 4,770 5 4,850 6 4,930 7 5,010 8 5,090 9 5,170 Page 16 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 10 5,250 11 5,330 12 5,410 13 5,490 14 5,570 15-24 5,588 25+ 5,795 SECTION 7A.1.(b) The following monthly teacher salary schedule shall apply for the 2026-2027 fiscal year to licensed personnel of the public schools who are classified as teachers.
(3) Licensed teachers with licensure based on academic preparation at the six-year degree level shall receive a salary supplement of one hundred twenty-six dollars($126.00)permonthin addition to thesupplementthesupplementprovided provided to them as "M" teachers.
(6) School counselors who are licensed as counselors at the master's degree level or higher shall receive a salarysalarysupplement supplement each month of one hundred dollars ($100.00).
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 17 General Assembly Of North Carolina Session 2025 SECTION 7A.1.(d) For school psychologists, school speech pathologists who are licensed as speech pathologists at the master's degree level or higher, and school audiologists who are licensed as audiologists at the master's degree level or higher, the following shall apply:
(3) Teachers and instructional support personnel who (i) complete a degree at the master's, six-year, or doctoral degree level for which they completed at least Page 18 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 onecoursepriorto August 1,2013,and (ii)would havequalifiedhavequalifiedforthe forthe salary supplement pursuant to State Board of Education policy, TCPA006, as it was in effect on June 30, 2013.
(b) Beginning with the 2025-2026 fiscal year and in subsequent fiscal years, for teachers who are paid on the "M" salary schedule under subdivision (4) of subsection (a) of this act, determination of whether teachers shall be paid on the "M" salary schedule or receive a salary supplement foracademic preparationshall takeplaceonanannualtakeplaceon basis.an annual basis.Teachersmaybemoved off the "M" salary schedule or discontinue receiving salary supplements if they are not meeting the requirements of subdivision (4) of subsection (a) of this act in that year.
Teachersmaybemoved(c) offUnless thean "M"individual salaryotherwise schedulequalifies under subdivision (2) or discontinue(3) receivingof salarysubsection supplements(a) ifof theythis aresection, teachers and instructional support personnel who earn an advanced degree in school administration shall not meetingbe paid on the requirements"M" ofsalaryschedule subdivisionor (4)receive ofa subsectionsalarysupplement (a)for ofacademic thispreparation." actCONSOLIDATED inTEACHER thatBONUS year.PROGRAM SECTION 7A.3.(a) Establish Consolidated Bonus Program.
(c) Unless an individual otherwise qualifies under subdivision (2) or (3) of subsection (a) of this section, teachers and instructional support personnel who earn an advanced degree in school administration shall not be paid on the "M" salary schedule or receive a salary supplement for academic preparation." CONSOLIDATED TEACHER BONUS PROGRAM SECTION 7A.3.(a) Establish Consolidated Bonus Program.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 19 General Assembly Of North Carolina Session 2025 b.
A school providing elementary or secondary instruction operated by The UniversityUniversityof of North Carolina under Article 29A of Chapter 116 of the General Statutes.
Show all 352 changed lines (312 more)
Remains employed teaching in the same qualifying public school unit, or, if an eligible advanced course teacher is only employed by the Page 20 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 North Carolina Virtual Public School program, remains employed teaching in that program, at least from the school year the data is collected until January 1 of the corresponding school year that the bonus is paid.
(1) Academic rigor shall be based on the number of instructional hours, including work experience orinternship hours,required to earntheindustryearntheindustrycertification certification or credential, with extra weight given for coursework that also provides community college credit.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 21 General Assembly Of North Carolina Session 2025 (2) A bonus in the amount of two thousand dollars ($2,000) shall be awarded to each qualifying teacher who is an eligible teacher under sub-sub-subdivision a.2.
These funds shall be divided proportionally based on average daily membership in third grade for each local school administrative unit and then distributed equallyequallyamong among qualifying third grade reading teachers in each local school administrative unit.
Page 22 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 7A.3.(j) Study and Report.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 23 General Assembly Of North Carolina Session 2025 b.
(3) CountyCountyallocation allocation factor.
Page 24 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (7) Eligible local school administrative unit.
– For each local school administrative unit in each fiscal year, the supplant factor multiplied bybythe the total State and non-State funds expended for salaries for teachers from the fiscal year for which the most recent salary data are available.
– AnyAnyfunds funds held bybya a local school administrative unit, other than nonrecurring federal funds received as a result of legislation enacted by Congress in response to COVID19, that are not State funds.
– For each eligible county, the State Board shall determine a per teacher funding amount by dividing the county allocation amounts determined pursuant to subdivision (1) of this subsection bybythe the total number of State-funded teachers employed in all eligible schools in that county.
For each county with an eligible school governed by the unit, the State Board shall multiplymultiplythe the applicable per teacher funding amount for that county determined pursuant to subdivision (2) of this subsection by the number of State-funded teachers employed in the eligible school in that DRS15173-NExfa-111ASenate Bill 440-First Edition Page 25 General Assembly Of North Carolina Session 2025 county.
Page 26 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (5) The range of salary supplement amounts in each eligible local school administrative unit.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 27 General Assembly Of North Carolina Session 2025 SECTION 7A.5.(d) 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) Forthe 2025-2026 school year, placementontheschedulerelatedtoplacementontheschedulerelated to average daily membership shall be based on the average daily membership for the school from the 2024-2025 school year.
(2) Forthe 2026-2027 school year, placementontheschedulerelatedtoplacementontheschedulerelated to average daily membership shall be based on the average daily membership for the school from the 2025-2026 school year.
SECTION 7A.5.(f) Beginning with the 2017-2018 fiscal year, in lieu of providing annual longevity payments to principals paid on the principal salary schedule, the amounts of those longevitylongevitypayments payments are included in the annual amounts under the principal salarysalaryschedule. schedule.
The salarysalarythe the principal received in the 2016-2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L.
BONUSES FOR PRINCIPALS SECTION 7A.6.(a) The Department of Public Instruction shall administer a bonus in the 2025-2026 fiscal year to anyanyprincipal principal who supervised a school as a principal for a majority of the previous school year if that school was in the top fifty percent (50%) of school growth in the State during the previous school year, calculated by the State Board pursuant to G.S.
2025-2026 Principal Bonus Schedule Page 28 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Statewide Growth Percentage Bonus Top 5% $15,000 Top 10% $10,000 Top 15% $5,000 Top 20% $2,500 Top 50% $1,000 A principal shall receive no more than one bonus pursuant to this subsection.
ASSISTANT PRINCIPAL SALARIES SECTION 7A.7.(a) For the 2025-2026 and 2026-2027 fiscal years, assistant principals shall receive a monthlymonthlysalarybasedon salarybasedon therelevant salarysalaryschedulefor schedulefor teachers shown in Section 7A.1(a) who are classified as "A" teachers plus nineteen percent (19%).
The salarysalarythe the assistant principal received in the 2016-2017 fiscal year pursuant to Section 9.1 or Section 9.2 of S.L.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 29 General Assembly Of North Carolina Session 2025 b.
2025-2026 Fiscal Year Maximum Superintendent I $11,049 Superintendent II $11,707 Superintendent III $12,410 Superintendent IV $13,156 Superintendent V $13,947 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 bybythe the General Assembly for central office administrators and superintendents.
Page 30 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 7A.8.(f) Superintendents, assistant superintendents, associate superintendents, directors/coordinators, supervisors, and finance officers 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 pursuant to this section.
(2) For the following employees, bybya a prorated and equitable amount based on the amount specified in subdivision (1) of this subsection:
116‐11(9b)." DRS15173-NExfa-111ASenate Bill 440-First Edition Page 31 General Assembly Of North Carolina Session 2025 SECTION 8.1.(b) G.S.
(9b) The Board of Governors shall report by February March 1 of each year to the Joint Legislative Education Oversight Committee, the Senate Appropriations Committee on Education/Higher Education, the House of Representatives Appropriations SubcommitteeonSubcommitteeonEducation, Education, and theFiscalthe Fiscal Research Division on thetheactions actions and adjustments necessarytoits budgetarybudgetarypolicies,regulations, policies,regulations, and standards resulting from the Current Operations Appropriations Act for the administration and operation of The University of North Carolina and the distribution of State and federal funds to constituent institutions.
The report shall includeat leastthefollowingleastthefollowinginformation information foreach constituent institution:
Thetotal amount ofmandatorystudent feerevenue collectedbycollectedbyinstitution institution and fee type.
AnyAnysource source of sales revenue that represents greater than ten percent (10%) of the overall student auxiliary revenue by institution and revenue type.
(1) A student enrolled in a Program established by this section may receive up to one thousand dollars ($1,000) per academic semester under the Program to Page 32 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 pay for the costs of continuing attendance and earning necessary credit hours at the eligible constituent institution.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 33 General Assembly Of North Carolina Session 2025 (a) Eligibility.
Page 34 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 8A.1.(b) Report.
2023-134 to the Board of Governors of The UniversityUniversityof of North CarolinaforCarolina for each year of the 2023-2025 fiscal biennium to be allocated to the State Education Assistance Authority for the Longleaf Commitment CommunityCommunityCollege College Grant Program shall from the 2025-2026 fiscal year instead be allocated for the North Carolina Need-Based Scholarship Program for Public Colleges and Universities for eligible students enrolled in the North Carolina Community College System.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 35 General Assembly Of North Carolina Session 2025 b.
Page 36 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (1) For students residing in households with an income level not in excess of the amount required for the student to qualifyqualifyfor for the federal free or reduced-price lunch program, per year per eligible student, an amount of up to one hundred percent (100%) of the average State per pupil allocation for average daily membership in the prior fiscal year.
(b5) In addition to the amount of the scholarship grant, for any student receiving a scholarship grant in grades three, eight, or 11, the AuthorityAuthorityshall shall provide to the nonpublic school an amount equal to the cost of the nationally standardized test required to be administered as provided in G.S. 115C562.5." SECTION 8A.3.(c) G.S. 115C-562.8(b) reads as rewritten:
Fiscal Year Appropriation 2017-2018 $44,840,000 2018-2019 $54,840,000 2019-2020 $64,840,000 2020-2021 $74,840,000 2021-2022 $84,840,000 2022-2023 $94,840,000 2023-2024 $176,540,000 2024-2025 $191,540,000 2025-2026 $625,000,000 2026-2027 $675,000,000 2027-2028 $700,000,000$194,124,036 2028-2029 $725,000,000$176,276,589 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 37 General Assembly Of North Carolina Session 2025 2029-2030 $750,000,000$156,209,738 2030-2031 $775,000,000$135,285,250 2031-2032 $800,000,000$114,800,340 2032-2033 $93,233,393 2033-2034 $70,197,091 2034-2035 $46,300,078 2035-2036 $22,046,485 For the 2032-2033 2036-2037 fiscal year and each fiscal year thereafter, there is appropriated from the General Fund to the Reserve the sum of eight hundred twenty-five million dollars ($825,000,000) zero dollars ($0) to be used for the purposes set forth in this section.
A nonpublic school that Page 38 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 accepts eligible students receivingreceivingscholarship scholarship grants shall not increase tuition each year by more than the Consumer Price Index as calculated by the United States Bureau of Labor Statistics and reported on January 1 of the year in which the school is increasing tuition. (2) Provide to the Authority a criminal background check conducted for the staff member with the highest decision-makingdecision-makingauthority, authority, as defined bybythe the bylaws, articles of incorporation, or other governing document, to ensure that person has not been convicted of any crime listed in G.S. 115C332. (3) Provide to the parent or guardian of an eligible student, whose tuition and fees are paid in whole or in part with a scholarship grant, an annual written explanation of the student's progress, including the student's scores on standardized achievement tests. (4) Administer, at least once in each school year (or more as required by State or Federal Requirements),tests as providedin this subdivision.
Student-level test performance data shall be submitted to the Authority by July 15 of each year andretainedbythenonpublicschoolforafive-yearperiodandshallbesubject to audit bybythe theAuthoritytoensure Authorityto ensure compliancewith this subdivision.year.Test Personally identifiable individual test performance data reported to the Authority or audited or collected for evaluation purposes by the Authority under this subdivision is not a public record under Chapter 132 of the General Statutes.
For grades four through seven, the nationallynationallystandardized standardized test or other equivalent measurement selected must measure achievement in the areas of English grammar,reading,grammar, spelling,reading,spelling,andmathematics.For andmathematics.Forgradesgrades nine, 10, and 12, the nationally standardized test or other equivalent measurementselectedmustmeasureeither(i)achievementintheareas of English grammar, reading, spelling, and mathematics or (ii) competencies in the verbal and quantitative areas.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 39 General Assembly Of North Carolina Session 2025 (6) Contract with a certified public accountant to perform a financial reviewaudit, consistent with generally accepted methods of accounting or any other comprehensive basis of accounting recognized by the American Institute of Certified Public Accountants (AICPA) a minimum of once every two years for each school year in which the school enrolls 70 or more students receiving scholarship grants or scholarship funds awarded by the Authority.
Page 40 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (b) Anonpublicschoolthatacceptsstudents receivingscholarshipgrantsshallnotrequirereceivingscholarship grantsshall notrequire any additional fees based on the status of the student as a scholarship grant recipient. (c) A nonpublic school enrolling more than 25 students in any grade whose tuition and fees are paid in whole or in part with a scholarship grant shall provide and retain information on student test performance in each grade with more than 25 students, as follows:
(2) Retain standardized test performance data for eligible students in all other grades and annuallyannuallycertifyto certify to the AuthorityAuthoritycompliance compliance with the requirements of subdivision (4) of subsection (a) of this section.
115C-112.7is amendedbyaddingamendedbyaddinganewsubsection anewsubsectiontoto read:
SECTION 9B.1.(b) The Office of Rural Health shall make the final decision about awarding grants under this Program, but no single grant award shall exceed one hundred fifty thousand dollars ($150,000) duringduringthe the fiscal year.
In awarding grants, the Office of Rural Health DRS15173-NExfa-111ASenate Bill 440-First Edition Page 41 General Assembly Of North Carolina Session 2025 shall consider the availabilityavailabilityof of other funds for the applicant;
the incidence of povertypovertyin in the area served by the applicant or the number of indigent clients served by the applicant;
(1) Enhance or increase compensation or other benefits of personnel, administrators, directors, consultants, or anyanyother other persons receiving funds for program administration;
SECTION 9B.1.(d) The Office of Rural Health maymayuse use up to two hundred thousand dollars ($200,000) in recurring funds for each fiscal year of the 2025-2027 fiscal biennium for administrative purposes.
The Fund shall consist of (i) monies received by the State as a Page 42 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 beneficiary of the final consent judgment resolving the case, State of North Carolina, ex rel.
In determining eligibility, the Division shall establish income eligibilityeligibilityrequirements requirements for the program not to exceed seventy-five percent (75%) of the State median income.
Up to twenty percent (20%) of children enrolled may have family incomes in excess of seventy-five percent (75%) of median income if those children have DRS15173-NExfa-111ASenate Bill 440-First Edition Page 43 General Assembly Of North Carolina Session 2025 other designated risk factors.
(2) The number of children participating in the NC Pre-K program who have never been served in other earlyearlyeducation education programs such as child care, public or private preschool, Head Start, Early Head Start, or early intervention programs.
Page 44 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 AGE INCOME PERCENTAGE LEVEL 0 – 5 200% 6 – 12 133% The eligibility for any child with special needs, including a child who is 13 years of age or older, shall be two hundred percent (200%) of the federal poverty level.
For those counties with an inadequate number of four and five-star-rated facilities, the Division shall continue a transition period that allowsthefacilitiesto continueto receivesubsidyreceivesubsidyfundswhilethefacilities fundswhilethefacilitiesworkontheincreased workSenate onBill theincreased440-First DRS15173-NExfa-111AEdition Page 45 General Assembly Of North Carolina Session 2025 star ratings.
The Division maymayallow allow exemptions in counties where there is an inadequate number of four and five-star-rated facilities for non-star-rated programs, such as religious programs.
SECTION 9D.2.(h) Payment for subsidized child care services provided with Temporary Assistance for Needy Families Block Grant funds shall comply with all regulations and policies issued bybythe the Division of Child Development and Early Education for the subsidized child care program.
SECTION 9D.2.(i) Non-citizen families who reside in this State legally shall be eligible for child care subsidies if all other conditions of eligibilityeligibilityare are met.
(1) The child for whom a child care subsidysubsidyis is sought is receiving child protective services or foster care services.
(2) The child for whom a child care subsidysubsidyis is sought is developmentally delayed or at risk of being developmentally delayed.
The mandatorymandatorythirty thirty percent (30%) North Carolina Partnership for Children, Inc., subsidy allocation under G.S.
The Department of Health and Human Services shall use the following method when allocatingallocatingfederal federal and Statechild carefunds,not includingincludingtheaggregatemandatorythirtypercent theaggregatemandatorythirtypercent (30%) North Carolina Partnership for Children, Inc., subsidy allocation:
(1) Funds shall be allocated to a county based upon the projected cost of serving children under age 11 in families with all parents working who earn less than Page 46 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 the applicable federal poverty level percentage set forth in Section 9D.3(a) of this act.
(3) TheDivision shall setasidefourpercent (4%)ofchildcaresubsidy(4%)ofchildcaresubsidyallocations allocations for vulnerable populations, which include a child identified as having special needs and a child whose application for assistance indicates that the child and the child's family is experiencing homelessness or is in a temporary living situation.
SMART START INITIATIVES DRS15173-NExfa-111ASenate Bill 440-First Edition Page 47 General Assembly Of North Carolina Session 2025 SECTION 9D.4.(a) Policies.
All other volunteer service hours shall Page 48 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 be valued at the statewide average wage rate as calculated from data compiled by the Division of Employment Security of the Department of Commerce in the Employment and Wages in North Carolina Annual Report for the most recent period for which data are available.
–The– The North CarolinaPartnershipforChildren,CarolinaPartnership forChildren, Inc., shall not reduce the allocation for counties with less than 35,000 in population below the 2012-2013 funding level.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 49 General Assembly Of North Carolina Session 2025 (1) Capital expenditures are prohibitedfor the2025-2027fiscal biennium.
OAH shall continue the Memorandum of Agreement (MOA) with DHHS for mediation services provided for Medicaid recipient appeals and contracted services necessarynecessaryto to conduct the appeals process.
The treatment under this section of anyanyrevenue revenue derived from federal programs shall be in accordance with the requirements specified in the Code of Federal Regulations, Title 2, Part 225.
Page 50 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 9E.4.(b) For the 2025-2026 fiscal year, the Department of Health and Human Services shall deposit from its revenues one hundred seven million seven hundred thousand dollars ($107,700,000) with the Department of State Treasurer to be accounted for as nontax revenue.
DHHS shall define the services available under the CAF specialty plan and the DRS15173-NExfa-111ASenate Bill 440-First Edition Page 51 General Assembly Of North Carolina Session 2025 Medicaid beneficiaries who are eligible to enroll in the CAF specialty plan, except as otherwise specified in this act or in law.
Each fiscal year, the SecretarySecretaryof of Revenue shall transfer at the beginningbeginningof of each quarter from the State insurance tax net collections received by the Department of Revenue under Article 8B of Chapter 105 of the General Statutes to the State Treasurer for the Health Advancement Receipts Special Fund, the gross premiums tax offset amount, as defined in G.S.
Page 52 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (b) The IGT share of the reconciliation adjustment component is a positive or negative dollar amount that is calculated bybymultiplyingthe multiplying the health advancement reconciliation adjustment component calculated under subsection (a) of this section by the share of public hospital costs calculated under subsection (c) of this section.
(c) The share of public hospital costs is calculated by adding total hospital costs for the UNC Health Care System, total hospital costs for the primary affiliated teaching hospital for the East Carolina University BrodyBrodySchool School of Medicine, and sixtysixtypercent percent (60%) of the total hospital costs for all public acute care hospitals and dividing that sum by the total hospital costs for all acute care hospitals except for critical access hospitals and rural emergency hospitals." SECTION 9E.8.(c) G.S.
The sum of forty-six million, seventy-four thousand, three hundred and forty-nine dollars ($46,074,349) in nonrecurring funds for the 2025-2026 fiscal year and the sum of eleven million, eight hundred and twelve thousand, five hundred and nineteen dollars ($11,812,519) in nonrecurring funds for the 2026-2027 fiscal year from the special fund created in Section 9E.10.(a)maybetransferredtoDHB9E.10.(a)maybetransferredtoDHBforthesolepurposeofprovidingtheStateshareforcapacity forthesolepurposeofprovidingtheStateshareforcapacitySenate DRS15173-NExfa-111ABill 440-First Edition Page 53 General Assembly Of North Carolina Session 2025 building or service provision of the expanded Healthy Opportunities program in the western region of the state.
(2) Forthe following categoriesoffacilitiesregistered to useX-rayuseX-raytubes tubesorX-rayorX-ray equipment:
two hundred dollars ($200.00) four hundred dollars ($400.00) for the first X-ray tube or piece of X-ray equipment and thirtythirtydollars dollars ($30.00) sixtysixtydollars dollars ($60.00) for each additional X-ray tube or piece of X-ray equipment.
(3) Forthe following categoriesoffacilitiesregistered to useX-rayuseX-raytubes tubesorX-rayorX-ray equipment:
(4) Forthe following categoriesoffacilitiesregistered to useX-rayuseX-raytubes tubesorX-rayorX-ray equipment:
MENTAL HEALTH/DEVELOPMENTAL DISABILITIES/SUBSTANCE USE SERVICES SINGLE STREAM FUNDING FOR DMH/DD/SUS COMMUNITY SERVICES SECTION 9G.1.(a) For the purpose of mitigating cash flow problems that many local management entities/managed care organizations (LME/MCOs) experience at the beginning of each fiscal year relative to single stream funding, the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Use Services (DMH/DD/SUS), shall distribute not less than one-twelfth of each LME/MCO's base budget allocation at the beginning of the fiscal year and subtract the amount of that distribution Page 54 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 from the LME/MCO's total reimbursements for the fiscal year.
The Department of Health and Human Services (DHHS) shall continue to implement a two-tiered system of payment for purchasing these local inpatient psychiatric beds or bed days based on acuityacuitylevel level with an enhanced rate of payment for inpatient psychiatric beds or bed days for individuals with higher acuity levels, as defined by DHHS.
DHHS shall work to ensurethat anyanylocal local inpatientpsychiatricbeds orbeddays purchasedpurchasedin in accordance with this section are utilized solelysolelyfor for individuals who are medicallymedicallyindigent, indigent, except thatthatDHHS DHHS may use up to forty percent (40%) of the funds appropriated in this act to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Use Services, for the purchase of local inpatient psychiatric beds, bed days to pay for facility-based crisis services, non-hospital detoxification services, and peer respite services for individualsinneedoftheseservices, regardlessofwhethertheindividualsaremedicallyindigent.
DHHS shall ensure that beds or bed days for individuals with DRS15173-NExfa-111ASenate Bill 440-First Edition Page 55 General Assembly Of North Carolina Session 2025 higher acuity levels are distributed across the State and according to greatest need based on hospital bed utilization data.
Funds appropriated in this act to DHHS for the purchase of local inpatient psychiatric beds or bed days shall not be allocatedto LME/MCOs but shall beheld in astatewidereserveat theDivisionofMentalHealth, Developmental Disabilities, and Substance Use Services to pay for services authorized by the LME/MCOs and billed bybythe the hospitals through the LME/MCOs.
– If DHHS determines that (i) an LME/MCO is not effectively managing the beds or bed days for which it has responsibility, as evidenced by beds or bed days in the local hospital not being utilized while demand for services at the State psychiatric hospitals has not decreased, or (ii) the LME/MCO has failed to complycomplywith with the prompt payment provisions of this section, DHHS may contract with another LME/MCO to manage the beds or bed days or, notwithstanding any other provision of law to the contrary, may pay the hospital directly.
(4) Theamount offundsusedto payfornonhospitaldetoxificationpayfornonhospitaldetoxificationservices, services, along with the number of individuals who received these services and the outcomes for each individual.
USE OF OPIOID SETTLEMENT FUNDS SECTION9G.3.(a) TheStateControllershallThe StateControllershall transferthesum of fifty-sevenmillion seventy-six thousand seven hundred seventy-three dollars($60,858,049) for the2025-2026fiscal year and the sum of fourteen million dollars ($13,511,210) for the 2026-2027 fiscal year from funds available in the Opioid Abatement Reserve in the General Fund to the Opioid Abatement Page 56 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Fund established under Section 9F.1 of S.L.
These funds are appropriated to the Department ofHealth and Human Services to be usedas set forth in subsectionsubsection(b)of (b)of this section.
In addition to these uses, the Department of Health and Human Services may use up to one million fifty thousand dollars ($1,050,000) of funds allocated by this subdivision for each year of the fiscal biennium for administrative purposes to facilitate timelytimelydeployment deployment and accounting offunds,forprovisionoftrainingandtechnicalassistancetocommunityprovidersandtoconduct required monitoring and oversight.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 57 General Assembly Of North Carolina Session 2025 (3) To expand evidence-based treatment supports and to improve connections to care, especially for individuals hospitalized for overdose who are uninsured or underinsured, through the following activities or initiatives:
Expandedcaremanagementservices, includingincludingtheuseofpeersupport theuseofpeersupport specialists and care navigators in local health departments, detention facilities, local departments of social services, and community-based settings.
and Page 58 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 c.
Support for universities, colleges, and healthcare practitioner training programs to embed addiction training into the general curriculum in fields of primaryprimarycare, care, nursing, healthcare administration, social work, counseling, psychology, medicine, and other affiliated healthcare disciplines.
114-2.4A, relating to claims regarding the manufacturing, marketing, distribution, dispensing, or sale of opioids, and (iii) funds received by the State as a beneficiary of a confirmation order by a bankruptcy court relating to claims regarding the manufacturing, marketing, distribution, dispensing,dispensing,orsaleofopioids. orsaleofopioids.
(1) A request for application (RFA) process to allow local health departments to applyapplyforand forand receiveStatefundsonacompetitivebasis.
(4) Allows grants to be awarded to local health departments for up to twothree years." DRS15173-NExfa-111ASenate Bill 440-First Edition Page 59 General Assembly Of North Carolina Session 2025 USE OF JUUL SETTLEMENT FUNDS SECTION 9H.2.(a) There is appropriated from the Youth Electronic Nicotine Dependence Abatement Fund created in Section 9G.10(a) of S.L.
SOCIAL SERVICES TANF BENEFIT IMPLEMENTATION SECTION 9J.1.(a) Beginning October 1, 2025, the General Assembly approves the plan titled "North Carolina Temporary Assistance for Needy Families State Plan FFY 2026-2028," prepared by the Department of Health and Human Services and presented to the Page 60 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 General Assembly.
SECTION 9J.1.(d) For each year of the 2025-2027 fiscal biennium, Electing Counties shall be held harmless to their Work First Family Assistance allocations for the 2024-2025 fiscal year, provided that remaining funds allocated for Work First FamilyFamilyAssistance Assistance and Work First Diversion Assistance are sufficient for payments made by the Department on behalf of Standard Counties pursuant to G.S.
Prior to deallocation, the Department shall obtain approval bybythe the Office of State Budget and Management.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 61 General Assembly Of North Carolina Session 2025 (6) Thenumberand percentage,byrace,ofchildrenwhoreceived IFPS compared to the ratio of their distribution in the general population involved with Child Protective Services.
143B-153(8), the maximum reimbursement for child caringcaringinstitutions institutions shall not exceed the rate established for the specific child caring institution by the Department of Health and Human Services, Office of the Controller.
Of the funds available for the provision of foster care services, the Department of Health and Human Services, Division of Social Services, maymaycontinue continue to provide for the financial support of children who are deemed to be (i) in a permanent family placement setting, (ii) eligible for legal guardianship, and (iii) otherwise unlikely to receive permanency.
The Guardianship Assistance Program shall include provisions for extending guardianship services for individuals and youth who exited foster care through the Guardianship Assistance Program after 14 years of age or who have attained the age of 18 years and opt to continue to receive guardianship services until reaching 21 years of age if the individual is (i) completing secondary education or a program leading to an equivalent credential, (ii) enrolled in an institution that provides postsecondarypostsecondaryor or vocational education, (iii) participating in a program or activity designed to promote, or remove barriers to, employment, (iv) employed for at least 80 hours per month, or (v) incapable of completing the educational or employment requirements of this section due to a medical condition or disability.
CHILD WELFARE POSTSECONDARY SUPPORT PROGRAM (NC REACH) SECTION 9J.5.(a) Funds appropriated in this act from the General Fund to the Department of Health and Human Services for the child welfare postsecondary support program shall beused to continue providing assistance with the "cost ofattendance" as thattermthat term is defined in 20 U.S.C.
§ 1087ll fortheeducational needs of fosteryouthfoster youth aging out of thefostercaresystem, youth who exit foster care to a permanent home through the Guardianship Assistance Program (GAP), or special needs children adopted from foster care after age 12.
The SEAA shall use these funds only to perform Page 62 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 administrative functions necessary to manage and distribute scholarship funds under the child welfare postsecondary support program.
SECTION 9J.5.(c) Of the funds appropriated in this act from the General Fund to the Department of Health and Human Services, the sum of three hundred thirty-nine thousand fourhundred ninety-three dollars($339,493)foreachyearofthe2025-2027fiscaldollars($339,493)foreach yearofthe2025-2027fiscal biennium shall be used to contract with an entity to administer the child welfare postsecondary support program describedundersubsection(a)ofthissection,whichadministrationshallincludetheperformance of case management services.
(2) Use federal incentive funds to improve the effectiveness of the State's centralized child support services bybysupplementing supplementing and not supplanting State expenditures for those services.
SECTION9J.6.(b) CountyCountyChildSupport ChildSupport Services Programs.
– NCCSS shall continue implementing guidelines that identify appropriate uses for federal incentivefunding.Toensurethoseguidelinesareproperlyfollowed,incentivefunding. NCCSS shall requirecounty child support services programs to comply with each of the following:
Toensurethose guidelinesareproperlyfollowed, NCCSS shall requirecounty child support services programs to comply with each of the following:
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 63 General Assembly Of North Carolina Session 2025 SECTION 9J.6.(d) Reporting bybyNCCSS. NCCSS.
The report shall further include any changes to the State process that NCCSS used in calculatingcalculatingand and distributingfederal incentivefundingto countycountychildsupport child support services programs and any recommendations for further changes.
(1) Transitional LivingServices, whichis anoutcome-based program thatthatfollows follows the Youth Villages Transitional Living Model.
(3) Impact Measurement and Evaluation, which are services funded through private partners to provide independent measurement and evaluation of the impact the Youth Villages Transitional LivingLivingModel Model has on the youth served, the foster care system, and on other programs and services provided by the State which are utilized by former foster care youth.
Toestablishtheevidence-basedprogram, additionalrandomizedadditional randomized controlled trials may be conducted to advance the model.
DHHS BLOCK GRANTS Page 64 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 DHHS BLOCK GRANTS SECTION9L.1.(a) Exceptasotherwiseprovided,appropriationsfromfederalBlock Grant funds are made for each year of the fiscal biennium ending June 30, 2027, according to the following schedule:
Office of the Secretary 34,042 34,042 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 65 General Assembly Of North Carolina Session 2025 16.
Subsidized Child Care $34,337,395 $34,337,395 TOTAL TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF) EMERGENCY CONTINGENCY FUNDS $34,337,395 $34,337,395 SOCIAL SERVICES BLOCK GRANT Page 66 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 Local Program Expenditures 4 Divisions of Social Services and Aging and Adult Services 6 01.
2,541,392 2,541,392 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 67 General Assembly Of North Carolina Session 2025 2 15B.
Easterseals UCP North Carolina & Virginia, Inc.1,612,059Inc. 1,612,059 6 DHHS Program Expenditures 8 Division of Services for the Blind 16.
1,612,059 1,612,059 6 DHHS Program Expenditures 8 Division of Services for the Blind 16.
Low-Income Energy Assistance Program (LIEAP) $56,369,281 $56,369,281 Page 68 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 02.
Commission on Indian Affairs 87,736 87,736 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 69 General Assembly Of North Carolina Session 2025 TOTAL LOW-INCOME ENERGY ASSISTANCE BLOCK GRANT $129,928,468 $129,928,468 4 CHILD CARE AND DEVELOPMENT FUND BLOCK GRANT 6 Local Program Expenditures 8 Division of Child Development and Early Education 01.
Child Care Health Consultation Contracts 62,205 62,205 TOTAL CHILD CARE AND DEVELOPMENT FUND BLOCK GRANT $621,040,899 $541,040,899 MENTAL HEALTH SERVICES BLOCK GRANT Page 70 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 Local Program Expenditures 4 01.
Crisis Solutions Initiatives – Collegiate Wellness/Addiction Recovery 1,545,205 1,545,205 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 71 General Assembly Of North Carolina Session 2025 05.
Division of Child and Family Well Being Administration 211,925 211,925 Page 72 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 TOTAL MATERNAL AND CHILD HEALTH BLOCK GRANT $21,542,992 $21,542,992 4 PREVENTIVE HEALTH AND HEALTH SERVICES BLOCK GRANT 6 Local Program Expenditures 8 01.
Office of Economic Opportunity – Workforce Investment Opportunities Act (WIOA) 60,000 60,000 TOTAL COMMUNITY SERVICES DRS15173-NExfa-111ASenate Bill 440-First Edition Page 73 General Assembly Of North Carolina Session 2025 BLOCK GRANT $24,400,017 $23,487,020 3 GENERAL PROVISIONS SECTION 9L.1.(b) Information to be Included in Block Grant Plans.
– If the Congress of the United States increases the federal fund availability for any of the Block Grants or contingency funds and other grants related to existing Block Grants administered bybythe the Department of Health and Human Services from the amounts appropriated in this act, the Department shall allocate the increase proportionally across the program and activity appropriations identified for that Block Grant in this section.
SECTION 9L.1.(e) Except as otherwise provided in subsection (e1) of this section, all changes to the budgeted allocations to the Block Grants or contingencycontingencyfunds funds and other grants related to existing 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.
funding for Page 74 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 new programs or activities not appropriated in this section The Office of State Budget and Management shall consult with the Joint Legislative Oversight Committee on Health and Human Services for review prior to implementing any changes.
All changes to thebudgeted allocations to theBlockGrants shall bereportedbereportedimmediatelyto immediatelyto theJoint Legislative Oversight Committee on Health and Human Services and the Fiscal Research Division.
SECTION 9L.1.(f) Except as otherwise provided, the Department of Health and Human Services shall have flexibility to transfer funding between the Temporary Assistance for NeedyNeedyFamilies Families (TANF) BlockGrant andtheTANFEmergencyContingencyandtheTANFEmergencyContingencyFunds Funds BlockGrant so long as the total allocation for the line items within those Block Grants remains the same.
108A-50.2.TheDivisionofSocialServices,inconsultation 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 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 75 General Assembly Of North Carolina Session 2025 licensed public and private adoption agencies upon the adoption of children described in G.S.
Payments received from the Special Children Adoption Fund by participating agencies shall be used exclusivelyexclusivelyto to enhance the adoption services program.
The Division shall certifycertifythese these funds in the appropriate State-level services based on prior year actual expenditures.
SECTION9L.1.(l) Thesum oftwohundredeighty-fivethousandsixoftwohundredeighty-fivethousand six hundredtwelve dollars ($285,612) appropriated in this act in the Social Services Block Grant to the Department of Health and Human Services, Division of Social Services, for each fiscal year of the 2025-2027 fiscal biennium shall be used to support the state's child welfare training system.
SECTION 9L.1.(o) The sum of five million forty thousand dollars ($5,040,000) appropriated in this act in the Social Services Block Grant for each fiscal year of the 2025-2027 fiscal biennium transferred from funds appropriated in the TANF Block Grant shall be allocated to theDepartment of Health and Human Services, Division ofSocialof Services.SocialServices.
SECTION 9L.1.(p) The sum of one million five hundred eighty-two thousand dollars ($1,582,000) appropriated in this act in the Social Services Block Grant for each fiscal yearofthe2025-2027fiscalbienniumtotheDepartmentofHealthandHumanServices,Division Page 76 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 ofSocial Services, shall beused to continuesupportfortheChildAdvocacyCenters.
These funds shall be used to pay for salaries and related expenses and shall not beusedto supplant anyothersourceof fundingfundingforstaff.These forstaff.These funds are also exempt from 10A NCAC 71R .0201(3) requiring a local match of twenty-five percent (25%).
LOW-INCOME ENERGY ASSISTANCE BLOCK GRANT SECTION 9L.1.(t) The Division of Social Services shall have the authority to realign appropriated funds between the State-level services Low-Income Energy Assistance Payments and Crisis Assistance Payments without prior consultation with the Joint Legislative Oversight Committee on Health and Human Services to ensure needs are effectivelyeffectivelymet met without exceeding the total amount appropriated for these State-level service items.
The Department of Health and Human Services shall not allocate funds for any activities, including increasing administration, other than assistance DRS15173-NExfa-111ASenate Bill 440-First Edition Page 77 General Assembly Of North Carolina Session 2025 payments, without prior consultation with the Joint Legislative Oversight Committee on Health and Human Services.
CHILD CARE AND DEVELOPMENT FUND BLOCK GRANT SECTIONSECTION9L.1.(v) 9L.1.(v) Paymentforsubsidizedchildcareservices providedprovidedwith with federal TANF funds shall comply with all regulations and policies issued by the Division of Child Development and Early Education for the subsidized child care program.
The Division shall report on (i) the counties selected to receive the allocation, (ii) the specific evidence-based services provided, (iii) the number of women served, and (iv) anyanyimpact impact on the counties' infant mortalitymortalityrate. rate.
The Division shall report its findings to the House of Representatives Appropriations Committee on Health Page 78 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 and Human Services, the Senate Appropriations Committee on Health and Human Services, and the Fiscal Research Division no later than December 31 of each year.
– The Department of Commerce shall consult with the Joint Legislative Commission on Governmental Operations (Commission) prior to DRS15173-NExfa-111ASenate Bill 440-First Edition Page 79 General Assembly Of North Carolina Session 2025 reallocating Community Development Block Grant Funds.
(3) A list of grantees, including the grantee's name, county, categorycategoryunder under which the grant was funded, the amount awarded, and a narrative description of the project.
(3) Publicimprovements,includingparks,streets,sidewalks,andwaterandsewerPublicimprovements,includingparks,streets,sidewalks,and waterandsewer lines.
The funds available for grants under this categorycategorymay may be used for all of the following, subject to the national objectives and eligible activities allowed under guidance issued by HUD:
Page 80 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (5) Loans and grants to public or private nonprofit entities for construction and rehabilitation activities.
SECTION 11.1.(h) Rural CommunityCommunityDevelopment. Development.
– Funds allocated for the Rural Community Development Category in subsection (a) of this section shall be made available as grants for eligibleactivitieslistedineligible activitieslistedin this subsection.Thesefunds shall providegrantsprovide grants thatsupport community development and comprehensive growth projects to be awarded by the North Carolina Department of Commerce.
(2) Publicimprovements,includingparks,streets,sidewalks,andwaterandsewerPublicimprovements,includingparks,streets,sidewalks,and waterandsewer lines.
To allow the Department of Commerce to quickly deploy deobligated and surplus federal administrative funds as they are identified throughout theprogramthe year,thefollowingprogram shallyear,thefollowingshall applyapplyto to theuseofdeobligatedCDBG funds and surplus federal administrative funds:
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 81 General Assembly Of North Carolina Session 2025 b.
For anyanyother other purpose consistent with the Department's administration of the CDBG program if an equal amount of State matching funds is available.
and the Fiscal Research Division on prior Statefiscalyearprogramactivities,objectives,andaccomplishmentsandpriorStatefiscal yearprogramactivities,objectives,andaccomplishmentsandprior State fiscal year itemized expenditures and fund sources.
SECTION 11.3.(b) Of the funds appropriated in this act to the Department of Commerce for the Center, five hundred thousand dollars ($500,000) of recurring funds in each Page 82 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 fiscalyearofthebienniumshallbeusedtosupportfundingforearlystageloanstoNorthCarolinafiscal yearofthebienniumshallbeusedtosupportfundingforearlystageloanstoNorthCarolina agricultural technology companies.
SECTION 11.3.(d) The Center shall prioritize fundingfundingand and distribution of loans over funding and distribution of grants.
SECTION 11.3.(e) Up to ten percent (10%) of the sum of each of the allocations in subsection (a) of this section maymaybe be reallocated to subdivision (a)(1) or subdivision (a)(2) of this section if, in the judgment of Center management, the reallocation will advance the mission of the Center.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 83 General Assembly Of North Carolina Session 2025 (2) The Recipient must certify that at least one hundred percent (100%) of financial resources provided through the Coalition Infrastructure Support and the Coalition Cost Match programs within the Coalitions Fund will be conducted in North Carolina and that the Recipient will remain a North Carolina-based organization for the duration of the funds received.
anyanyother other information necessarynecessaryfor for the Office of Science, Technology and Innovation to evaluate the application.
In addition, theDepartment must accept oral and written Page 84 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 comments on the proposed guidelines during the 15 business days beginning on the first day that the Department has completed these notifications.
Of thetotal moneysinmoneys in theOneNorth CarolinaSmall Business Account, theDepartment may use up to two percent (2%) annually for costs associated with administration of the North Carolina SBIR/STTR Incentive Program and the North Carolina SBIR/STTR Matching Funds Program.
The Division must use the most recent seasonal adjusted unemployment rate determined bybythe the U.S.
Seasonal Adjusted Number Unemployment Rate of Weeks Less than or equal to 5.5%4.5% 1216 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 85 General Assembly Of North Carolina Session 2025 Greater than 5.5%4.5% up to 6%5% 1318 Greater than 6%5% up to 6.5%5.5% 1420 Greater than 6.5%5.5% up to 7%6% 1522 Greater than 7%6% up to 7.5%6.5% 1624 Greater than 7.5% up to 8%6.5% 1726 Greater than 8% up to 8.5% 18 Greater than 8.5% up to 9% 19 Greater than 9% 20 …." SECTION 11.6.(c) Subsections (a) and (b) apply to claims for benefits filed on or after July 1, 2025.
The fee for administering and compliance monitoring under Article 21, other than Parts 1 and 1A, and Page 86 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 G.S.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 87 General Assembly Of North Carolina Session 2025 … (b) Subsection (a) of this section does not apply to any of the following:
– Ash generated by a solid wastemanagement facilityfacilityfrom fromtheburningofsolidwasteshall theburningofsolidbedisposed wasteshallofin bedisposedofin aproperly designed solid waste disposal area that complies with standards developed by the Department for Page 88 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 the disposal of the ash.
(3) The Department maymayrequire require submittal of a demonstration that the solid waste is being managed in a manner to protect public health or the environment and may include any of the following as a part of an authorization under subdivision (1) of this subsection:
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 89 General Assembly Of North Carolina Session 2025 (4) Approvals granted under this subsection are valid for no longer than five years.
In determining the amount of the total application fee in rule, the Department shall have the authorityauthorityto to establish separate fee amounts for annual fees for each year based on the length of time for which the approval will be valid as requested by the applicant." SECTION 12.4.(b) This section becomes effective January 1, 2026.
… (g) Anowneroroperatorwhosubmitsapre-constructionorpost-construction application for installing or replacing an underground storage tank system or an underground storage tank pipingpipingsystem system regulated pursuant to G.S.
143-215.94T to the Department shall paypayan an application fee of five hundred twenty dollars ($525.00) to the Department." SECTION 12.5.(b) G.S.
… Page 90 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (21) Targeted interest rate project.
… (4) The amount of merger/regionalization feasibility grants awarded for three consecutive fiscal years for a fiscal year maymaynot not exceed fiftyfiftythousand thousand dollars ($50,000) seventy-five thousand dollars ($75,000).
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 91 General Assembly Of North Carolina Session 2025 (1) The total project cost is less than five hundred thousand dollars ($500,000).
2021-180, as enacted bybySection Section 9.1(d) of S.L.
(3) Up to the sum of five hundred thousand dollars ($500,000) may be used in each fiscal year of the 2025-2027 fiscal biennium to reimburse sheriffs Page 92 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 utilizing inmate labor pursuant to the provisions of Section 19C.10 of S.L.
143C-6-9, the Department of Adult Correction may use funds available to the Department for the 2025-27 fiscal biennium to reimburse counties for the cost of housing convicted inmates, parolees, and post-release DRS15173-NExfa-111ASenate Bill 440-First Edition Page 93 General Assembly Of North Carolina Session 2025 supervisees awaiting transfer to the State prison system, as provided in G.S.
The Department shall report annually by February 1 of each year to the chairs of the Joint Legislative Oversight Committee on Justice and Public SafetySafetyand and the chairs of the House of Representatives Appropriations Committee on Justice and Public Safety and the Senate Appropriations Committee on Justice and Public Safety on the expenditure of funds to reimburse counties for prisoners awaiting transfer.
The Center for Community Transitions, Inc., shall report by February 1 of each year to the chairs of the House of Representatives Appropriations Committee on Justice and Public Safety and the Senate Appropriations Committee on Justice and Public SafetySafetyon 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 Adult Correction.
DOT CONTRACT OF INMATE LITTER CREW SECTION 19B.3.(a) After the issuance of a request for information (RFI) and receipt ofbids bybytheDepartment theDepartment of TransportationforlitterpickuponStateTransportationforlitterpickup on State highways and roads, the Department of Transportation shall first offer the contract to the Department of Adult Correction upon the same terms and conditions as the most favorable bid received by the Department of Transportation from a suitable contractor.
148-65.7, fees collected for the Interstate Compact Fund during the 2025-27 fiscal biennium may be used by the Department of Adult Correction duringduringthe the 2025-27 fiscal biennium to provide trainingtrainingprograms programs and equipment purchases for the Division of Community Supervision, but only to the extent sufficient funds remain available in the Fund to support the mission of the Interstate Compact Program.
REHABILITATION AND REENTRY [RESERVED] Page 94 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 PART XIX-E.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 95 General Assembly Of North Carolina Session 2025 (h) S.L.
This report should set out keykeymetrics metricsdemonstratingthe demonstrating the program's impact, including:
Page 96 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (b) Reductions in administrative costs achieved;
(b) The reason for the request for funds, includingincludingname name of each federal program that was impacted by a funding spending freeze, a federal government shutdown, or a federal spending reduction, and a brief description of the impact;
These techniques may include use of credit reporting bureaus, judicial remedies authorized by law, and administrative setoff by a reduction of a tax refund pursuant to the Setoff Debt Collection Act, Chapter 105A of the General Statutes, or a reduction of another DRS15173-NExfa-111ASenate Bill 440-First Edition Page 97 General Assembly Of North Carolina Session 2025 payment, other than payroll, due from the State to a person to reduce or eliminate an account receivable that the person owes the State.
The State Controller shall negotiate a contract with a third party to perform an audit and collection process of inadvertent overpayments bybyState State agencies to vendors as a result of pricing errors, neglected rebates and discounts, miscalculated freight charges, unclaimed refunds, erroneously paid excise taxes, and related errors.
Of the recovered funds and subject to availability, the State Controller maymayuse use up to one hundred thousand dollars ($100,000) annually to develop and provide governmental accounting education for state agency fiscal staff.
Savings realized in excess of costs and any funds used by the State Controller for the aforementioned purpose shall be transferred from the agency to the Office of State Budget and Management and placed in a special reserve account for future direction bybythe the General Assembly.
The terms of anyanycontract contract executed under this subsection shall be approved by the State Controller with the concurrence of the State Treasurer and the Administrative Office of the Courts, as applicable.
In the absence of a contract with a processor to retain service fees, the State agency may charge a debtor who pays by electronic payment may be required to paypayanyfee any fee or charge associated with the use of electronic payment.
If the State agency does not require the debtor to pay a fee associated with processing electronic paymentspayments, the fee may be paid out of the General Fund and Highway Fund if the payment of the fee by the State is economically beneficial to the State and thepayment of thefeebythefeebytheStatehas theStatehas been approvedbyapprovedbytheState theState Controller and StateTreasurer.
The State Controller and State Treasurer shall consult with the Joint Legislative Commission on Governmental Operations before establishing policies that allow accounts receivable to be payable by electronic payment and before authorizing fees associated with electronic payment to Page 98 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 be paid out of the General Fund and Highway Fund.
126-34.02(b)(1) and (2), and Articles 6 and 7 of this Chapter, this Chapter does not apply to exempt managerial positions." DRS15173-NExfa-111ASenate Bill 440-First Edition Page 99 General Assembly Of North Carolina Session 2025 SECTION 29A.1.(c) G.S.
126-5(e) if the employees were hired before the date of its repeal and have the minimum cumulative service to qualifyqualifyunder under that subsection." SECTION 29A.1.(e) Section 39A.1 shall be effective when it becomes law.
The Council of State, the executive branch agencies, the CommunityCommunityCollege College System Office, and the University of North Carolina may directly hire temporary employees into vacant positions so long as all of the following conditions are met:
The exemption from Chapter 126 of the General Statutes for the hiring process shall not affect whetherthepositionissubjecttoChapter126oftheGeneralStatutesoncetheemployeeishired." Page 100 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 MAKE STATE AGENCY HIRING, PAY, AND CLASSIFICATION FLEXIBILITY PERMANENT SECTION 29A.3.(a) Chapter 126 of the General Statutes is amended by adding a new section to read:
Notwithstanding any provision of Chapter 126 of the General Statutes to the contrary, the Council of State, the executive branch agencies, the CommunityCommunityCollege College System Office, and The University of North Carolina are each authorized to do the following:
"SECTION 12.1.(a) For individuals who retired under the Teachers' and State Employees' RetirementSystem(TSERS)onorafterApril1,2024,butbeforeRetirementSystem (TSERS)onorafterApril1,2024,butbefore October1,2024,March1,2025, the six-month separation from service from an employer required under G.S.
135-1(20) in order for a retirement to become effective shall not apply and instead a one-month separation shall be required, provided that the position to which the individual returns is needed due to the state of emergency related to Hurricane Helene or associated Hurricane Helene recovery efforts, as certified to the Retirement Systems Division of the Department of State Treasurer by the employing agency." DRS15173-NExfa-111ASenate Bill 440-First Edition Page 101 General Assembly Of North Carolina Session 2025 "SECTION 12.1.(b) Upon the expiration of subsection (a) of this section, all of the following shall apply:
The lease agreement funded by the sum authorized in this subsection shall be for a term not to exceed five years and shall not be Page 102 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 renewed without prior approval from the General Assemblyfive years, with the option to renew for two additional five year consecutive periods.
Fund resources maymayalso also be used to cover the projected cashflow needs of cemeterycemeteryexpansion expansion projects funded by grants from the U.S.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 103 General Assembly Of North Carolina Session 2025 a.
Department ofHomeland SecuritySecurity(Coast (Coast Guard), andthe reserve components thereof.
(a) The SecretarySecretaryshall shall distribute the taxes collected under this Article, less the allowance to the Department of Revenue for administrative expenses, in accordance with this section.
The Secretary may retain the Department's cost of collection, not to exceed four hundred twenty-five thousand dollars($425,000)sixhundredseventy-fivethousanddollars($675,000)ayear,asreimbursementdollars($425,000)six hundredseventy-fivethousanddollars($675,000)a year,asreimbursement to the Department.
SALARIES AND BENEFITS ELIGIBLE STATE-FUNDED EMPLOYEES AWARDED COST-OF-LIVING ADJUSTMENT/ LEGISLATIVE SALARY INCREASES Page 104 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 39.1.(a) Effective July 1, 2025, except as provided by subsection (b) of this section, a person (i) whose salary is set by this Part, pursuant to the North Carolina Human Resources Act or as otherwise authorized in this act and (ii) who is employed in a State-funded position on June 30, 2025, is awarded a compensation adjustment as follows:
(2) AnyAnyincrease increase provided to an employee maymaynot not result in the employee's salary exceeding the maximum salary of the salary range associated with the position.
(4) Funds may not be awarded to employees in positions with salaries set in law or paid based on an experience-based salarysalaryschedule schedule that is eligible to receive funding from the Pay Plan Reserve.
SECTION 39.2.(b) The Director of the Budget maymayadjust adjust a State agency's budgeted receipts to provide an equivalent two percent (2%) Labor Market Adjustment Reserve for the 2025-2027 fiscal biennium subject to the requirements in subsection (a) of this section, provided that sufficient receipts are available.
OSHR shall develop a uniform reporting mechanism for agencies that displays the salary increases made for each DRS15173-NExfa-111ASenate Bill 440-First Edition Page 105 General Assembly Of North Carolina Session 2025 positionclassification,theaverageincreaseprovidedtoemployeesineachpositionclassification, and the market-based justification for the awarded salary increases.
7 STATE EMPLOYEE BONUS SECTION 39.3.(a) Any person (i) whose salary is set by Section 7A.(5), Section 7A.(8), Section 7A.(9) or by thistths Part, pursuant to the North Carolina Human Resources Act, who is employed on September 30 , 2025, shall be awarded a bonus for the 2025-26 fiscal year in the amount of one thousand dollars ($1,000.00), payable during the month of October 2025.
The compensation bonus shall be awarded to eligiblepermanent employees without regardto an employee's placement withinthesalaryrange, including employees at the top of the salarysalaryrange. range.
Years of Total Service Days Granted Each Year Less than 1 year 15 1 but less than 5 years 17 5 but less than 10 years 20 10 but less than 15 years 22 15 but less than 20 years 24 20 or more years 27 GOVERNOR AND COUNCIL OF STATE SECTION 39.5.(a) The salarysalaryof of the Governor, as provided bybyG.S. G.S.
Council of State FY 2025-26 FY 2026-27 Lieutenant Governor $171,752 $171,752 Attorney General 171,752 171,752 Secretary of State 171,752 171,752 State Treasurer 171,752 171,752 State Auditor 171,752 171,752 Superintendent of Public Instruction 171,752 171,752 Agriculture Commissioner 171,752 171,752 Page 106 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Insurance Commissioner 171,752 171,752 Labor Commissioner 171,752 171,752 4 CERTAIN EXECUTIVE BRANCH OFFICIALS SECTION 39.6.
Judicial Branch Officials FY 2025-26 FY 2026-27 Chief Justice, Supreme Court $209,165 $209,165 Associate Justice, Supreme Court 203,736 203,736 Chief Judge, Court of Appeals 200,514 200,514 Judge, Court of Appeals 195,310 195,310 Judge, Senior Regular Resident Superior Court 179,478 179,478 Judge, Superior Court 174,199 174,199 Chief Judge, District Court 172,574 172,574 Judge, District Court 167,499 167,499 Chief Administrative Law Judge 149,078 149,078 District Attorney 172,357 172,357 Assistant Administrative Officer of the Courts 156,369 156,369 Public Defender 172,357 172,357 Director of Indigent Defense Services 173,622 173,622 SECTION39.7.(b) The district attorneyorpublic defenderofa judicialdistrict,judicial district, with the approval of the Administrative Officer of the Courts or the Commission on Indigent Defense Services, respectively, shall set the salaries of assistant district attorneys or assistant public defenders, respectively, in that district such that the average salaries of assistant district attorneys or assistant public defenders in that district, for the 2025-2027 biennium, do not exceed one hundred and four thousand three hundred thirty-eight dollars ($104,338) and the minimum salary of any assistant district attorney or assistant public defender is at least fifty-six thousand twenty-one dollars ($56,021), effective July 1, 2025.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 107 General Assembly Of North Carolina Session 2025 CLERKS OF SUPERIOR COURT SECTION 39.8.
A magistrate's salary shall increase to the next step every two years on the anniversary of the date the magistrate was originallyoriginallyappointed 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 $47,228$48,645 Step 1 50,71452,235 Step 2 54,47556,109 Step 3 58,45760,211 Step 4 63,22865,125 Step 5 68,97371,042 Step 6 75,41577,677." Page 108 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 LEGISLATIVE EMPLOYEES SECTION 39.11.(a) Effective July 1, 2025, the annual salaries of the Legislative Services Officer and of nonelected employees of the General Assembly in effect on June 30, 2025, shall be legislatively increased by two percent (2%).
"(b) The sergeant-at-arms and the reading clerk in each house shall be paid a salarysalaryof of five hundred twenty-eight dollars ($528) five hundred thirty nine dollars ($539) 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.
UNIVERSITY OF NORTH CAROLINA SYSTEM DRS15173-NExfa-111ASenate Bill 440-First Edition Page 109 General Assembly Of North Carolina Session 2025 SECTION 39.15.(a) Effective for the 2025-2027 fiscal biennium, the annual salaries of UniversityUniversityof of North Carolina SHRA employees shall be increased as provided bybySection Section 39.1 of this act.
SECTION 39.15.(b) For the 2025-2027 fiscal biennium, the Board of Governors of The University of North Carolina may provide EHRA employees a salary increase pursuant to the policies adopted bybythe the Board.
SECTION39.16.(b) ThefollowingThefollowingannual annual salaryscheduleapplies undersubsections (a) and (a1) of this section for the 2025-2027 fiscal biennium, effective for on July 1, 2025:
SECTION 39.17.(b) The following annual salary schedule applies under subsection (a) of this section for the 2025-2027 fiscal biennium, effective July 1, 2025, and JulyJuly1, 1, 2026, for each respective fiscal year:
Page 110 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 Years of Experience FY 2025-26 FY 2026-27 0 55,081 55,081 1 58,663 58,663 2 62,476 62,476 3 66,537 66,537 4 70,862 70,862 5 75,468 75,468 6+ 80,374 80,374 STATE HIGHWAY PATROL SALARY SCHEDULE SECTION 39.18.(a) Law enforcement officers of the State Highway Patrol compensated pursuant to an experience-based salary schedule and shall be compensated based on the officer's respective work experience pursuant to the salary schedule in subsection (b) of this section.
SECTION 39.18.(b) The following annual salary schedule applies under subsection (a) of this section for the 2025-2027 fiscal biennium, effective July 1, 2025, and JulyJuly1, 1, 2026, for each respective fiscal year:
SECTION 39.19.(b) The following annual salary schedule applies under subsection (a) of this section for the 2025-2027 fiscal biennium, effective July 1, 2025, and JulyJuly1, 1, 2026, for each respective fiscal year:
Years of Experience FY 2025-26 FY 2026-27 0 46,785 46,785 1 49,825 49,825 2 53,066 53,066 3 56,514 56,514 4 60,188 60,188 5 64,100 64,100 6+ 68,266 68,266 STATE AGENCY TEACHERS DRS15173-NExfa-111ASenate Bill 440-First Edition Page 111 General Assembly Of North Carolina Session 2025 SECTION 39.20.(a) Employees of schools operated by the Department of Health and Human Services, the Department of Public Safety, and the State Board of Education who are paid on the Teacher Salary Schedule shall be paid as authorized by Section 8.1 of this act.
SECTION 39.21.(b) The Director of the Budget is granted flexibility to administer the compensation increases enacted bybythis this act.
SECTION39.23.(b) IftheDirectoroftheBudget determines that fundsappropriated to a State agency for mandated salary increases and employee benefits exceed the amount required bybythat thatagencyfor agency for those purposes, the Director may reallocate those funds to other State agencies that received insufficient funds for required cost-of-living and benefit increases.
Page 112 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 SECTION 39.23.(d) Any funds appropriated for cost-of-living adjustment and employee benefit increases or minimum of salary range adjustments in excess of the amounts required to implement the increases shall be credited to the Pay Plan Reserve.
SECTION 39.23.(e) No later than March 1 of each year of the biennium, the Office of State Budget and Management shall report to the Joint Legislative Commission on Governmental Operations on the expenditure of funds for legislativelylegislativelymandated mandatedsalaryincreases salary increases and employee benefits.
During the 2023-2025 fiscal biennium, State agencies, departments, institutions, the North Carolina CommunityCommunityCollege College System, and The UniversityUniversityof of North CarolinamayCarolinamayoffer offerState Stateemployeesemployees theopportunityto useortouse orto cash inspecialin bonusspecialbonus leave benefits that have accrued pursuant to Section 28.3A of S.L.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 113 General Assembly Of North Carolina Session 2025 SECTION 39.25.(b) Notwithstanding G.S.
SECTION 39.25.(c) Effective July 1, 2025, the maximum annual employer contributions, payable monthly, bybythe the State to the North Carolina State Health Plan for Teachers and State Employees for each covered employee and the average covered retiree are as follows:
SECTION 39.25.(d) Effective July 1, 2026, the maximum annual employer contributions, payable monthly, bybythe the State to the North Carolina State Health Plan for Teachers and State Employees for each covered employee and the average covered retiree are as follows:
No beneficiarybeneficiaryshall shall be deemed to have acquired a vested right to anyanyfuture future supplemental payments.
Page 114 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 "(ll) After September 1, 2025, but on or before October 31, 2025, a onetime cost of living supplement payment shall be made to or on account of beneficiaries who are living as of September 1, 2025, and whose retirement commenced on or before September 1, 2025.
No beneficiarybeneficiaryshall shall be deemed to have acquired a vested right to anyanyfuture future supplemental payments." SECTION39.26.(c) G.S.
120-4.22Ais amendedbyaddingamendedbyaddinganewsubsectionto anewsubsection to read:
The appropriations made bybythe the 2025 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 for acquiring buildings and land for State government purposes.
"SECTION40.1.(a) ThefollowingThefollowingagencycapital agencycapital improvementprojects havebeenassigned a project code for reference to allocations in this Part, past allocations, and for intended project support by the General Assembly for future fiscal years:
Agency Capital Improvement Project Project Code Department of Agriculture and Consumer Services Tidewater Research Station–Swine Unit Replacements DACS21-2 NCFS–Region 1 Headquarters DACS21-4 Troxler Science Building–Overflow Parking DACS23-1 Western NC Farmers Market DACS23-2 Raleigh State Farmers Market–Improvements DACS23-3 Pesticide Storage, Loading, & Cleaning Facilities DACS23-4 Cherry Research Station–Administrative Office DACS23-5 Griffith Forest Center–Central Warehouse & Office DACS23-6 D-6 HQ (Cumberland Co.)–Maintenance Shop Replacement DACS23-7 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 115 General Assembly Of North Carolina Session 2025 Research Stations–New Maintenance Shop Facilities DACS23-8 Piedmont Research Station–Bridge DACS23-9 Research Stations–Multipurpose Facilities DACS23-10 NCFS–New County Offices, Region 3 DACS23-11 Tuttle Educational State Forest–Office & Education Center DACS23-12 D-12–New Headquarters & Shop DACS23-13 NCFS–Property Purchase DACS23-14 New Cherokee County NC Forest Service Office DACS25-15 State Fair Midway Center Expansion DACS25-16 Western NC Agricultural Center Expansion DACS25-17 Charlotte Farmer's Market DACS25-18 Western NC Farmer's Market DACS25-19 Department of Environmental Quality Reedy Creek Laboratory DEQ21-1 Reedy Creek Laboratory Campus Expansion DEQ25-2 Water Resource Development Grant – Tar-Pamlico Flood Mitigation DEQ25-3 Water Resource Development Grant – Carolina Beach Storm Mitigation DEQ25-4 Water Resource Development Grant – Kure Beach Storm Mitigation DEQ25-5 Water Resource Development Grant – Wrightsville Beach Storm MitigationDEQ25-6 Water Resource Development Grant – Ocean Isle Storm Mitigation DEQ25-7 Water Resource Development Grant – B.
DHHS23-3 South Piedmont Medical Examiner DHHS23-4 O'Berry Neuro-Medical Treatment Center DHHS25-5 Julian Keith Alcohol & Drug Abuse Treatment Center DHHS25-6 Raleigh Medical Examiners Office Expansion DHHS25-7 Department of Natural and Cultural Resources Fort Fisher Aquarium–Aquarium Expansion DNCR21-5 NC Museum of History–Expansion DNCR21-13 Zoo–New Aviary DNCR23-1 NC Museum of Art at Winston-Salem/SECCA DNCR23-2 Stone Mountain State Park–Parking Lot DNCR23-4 North Carolina Maritime Museum at Beaufort DNCR23-5 Town Creek Indian Mound State Historic Site– Visitor Center & Exhibit Improvements DNCR23-6 State Historic Sites–Three New Visitor Centers DNCR23-7 Thomas Day House–Site Development DNCR23-8 Lake Waccamaw State Park–New Campground DNCR23-12 Lumber River State Park–Wire Pasture Access Development DNCR23-13 NC Maritime Museum at Southport DNCR23-14 NC Transportation Museum DNCR23-15 Fort Fisher Historic Site DNCR23-16 Fort Fisher Aquarium Expansion & Renovations DNCR25-17 Page 116 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Stone Mountain State Park – New Visitor Center DNCR25-18 State Historic Sites – Maintenance and Services Facilities DNCR25-19 NC Museum of Art at Winston-Salem Expansion DNCR25-20 NC Zoo Modular Staff Offices DNCR25-21 African American Monument at the State Capitol DNCR25-22 State Parks – Chimney Rock DNCR25-23 NC Zoo Park Security & Safety DNCR25-24 9 Department of Administration State Government Executive Headquarters DOA22-1 Department of Instruction Building Renovation DOA22-3 Service Campus DOA23-1 State Agency Lease DOA23-2 Archdale Building Demolition DOA23-3 Caswell Square Demolition DOA23-4 Parking Deck–Wilmington Street DOA23-5 Albemarle Building Facility Improvements DOA23-6 Secure Records and Technology Center DOA25-7 Bicentennial Mall Replacement DOA25-8 State Government Child Care Centers DOA25-9 Replacement Administration Building DOA25-10 Department of Commerce Wanchese Marine Industrial Park–Covered Workspace COMM23-1 Department of Adult Correction Stun Fencing DAC23-1 DARTCenter–Exterior Envelope Repairs DAC23-2 Sampson CC–Gatehouse DAC23-3 Gaston CC–Modular Medical Office DAC23-4 Storage Buildings DAC23-6 Institution Roof Systems DAC25-7 Institution Perimeter Security DAC25-8 Institution Interior Life Safety Fire Alarm Systems DAC25-9 HVAC Enhancements DAC25-10 Department of Public Safety Samarcand Training Academy for Safer Schools Supplemental DPS25-1 State Highway Patrol– Viper Building DPS21-6 Auditorium DPS23-3 Training Academy Facilities Enhancement–Phases 3-6 DPS23-4 Training Center Cadet Dorm & Training Bldg.
DPS23-7 State Bureau of Investigation– Headquarters & Building 12 Renovation DPS21-9 Logistics Building–Phase 1 DPS23-11 Juvenile Justice– Richmond YDC DPS21-1 New Youth Detention Center DPS23-1 Cabarrus YDC–Perimeter Fence Modifications DPS23-5 Cabarrus–New Modular Office DPS23-6 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 117 General Assembly Of North Carolina Session 2025 Richmond Juvenile Detention Center DPS25-7 Emergency Management– Badin Logistics Support Center Shed DPS23-8 Badin Warehouse Expansion DPS23-9 Badin Lot Acquisition DPS23-10 National Guard– NCNG Matching Fund NG23-1 Ballentine Building/NCNG Museum NG23-2 Constable Building NG23-3 Rocky Mount Complex/MILCON NG23-4 Special Forces Complex NG23-5 Winston Salem Storage Buildings NG23-6 Louisburg Readiness Center NG23-9 National Guard Matching Fund NG25-10 Western Region RSOI Site – Morganton NC25-11 State Bureau of Investigation Headquarters & Building 12 Renovation DPS21-9 Logistics Building – Phase 1 DPS23-11 Logistics Building – Phase 2 SBI25-1 State Highway Patrol Maintenance Building SBI25-2 Department of Public Instruction Center for the Advancement of Teaching DPI21-1 Department of Insurance Office of State Fire Marshal– Land Development & Training Center DOI21-1 Statewide Building Evaluations DOI25-2 Department of Transportation North Carolina Global TransPark Authority– Aircraft Maintenance Repair & Overhaul Facility TRAN23-1 DOT– New County Buildings TRAN23-2 General Assembly Education Campus Project NCGA21-3 Education Campus Parking Deck NCGA23-1 Education Campus Demolition NCGA23-2 Education Campus Supplemental NCGA25-4 Department of Military and Veterans Affairs Fayetteville Veterans Home DMVA25-1 The University of North Carolina Appalachian State University– Peacock Hall/Business UNC/ASU21-1 Hickory Campus UNC/ASU22-1 Walker Hall–Interior Renovation UNC/ASU23-1 University of North Carolina at Charlotte– Smith Hall–Comprehensive Renovation UNC/CLT23-1 Page 118 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Colvard Hall–Comprehensive Renovation UNC/CLT23-2 Esports UNC/CLT23-3 Stadium Upgrades UNC/CLT23-4 University of North Carolina at Chapel Hill– Business School UNC/CH20-1 Nursing School Renovation UNC/CH20-2 Gardner Hall–Comprehensive Renovation UNC/CH23-1 Wilson Library – Comprehensive Renovation UNC/CH25-3 Carolina North Infrastructure UNC/CH25-4 Elizabeth City State University– Flight School UNC/ECS21-4 Infrastructure Repairs–Phase 3 UNC/ECS23-1 Jenkins Hall/Dixon Hall–Labs/Classroom/Bldg.
Building UNC/NCS20-1 Mann Hall–Renovation, Phase 2 UNC/NCS23-1 Dabney Hall–Renovation, Phase 2 UNC/NCS23-2 Polk Hall–Renovation, Phase 2 UNC/NCS23-3 Veterinary School–Large Animal Hospital UNC/NCS23-4 Engineering Classroom Building UNC/NCS23-5 Nuclear Study UNC/NCS23-6 Business School UNC/NCS23-7 Poe Hall UNC/NCS25-8 North Carolina School of Science and Math– Morganton Campus Wellness Center UNC/SSM23-1 Durham Campus Renovation of Residence Halls UNC/SSM23-2 Academic Commons Addition UNC/SSM23-4 University of North Carolina at Asheville– DRS15173-NExfa-111ASenate Bill 440-First Edition Page 119 General Assembly Of North Carolina Session 2025 Lipinsky Hall–Comp.
Williams Auditorium UNC/WSS21-1 Eller Hall–Renovation & Elevator Addition UNC/WSS23-1 Pegram Hall–Renovation & Elevator Addition UNC/WSS23-2 Campus Police Improvements UNC/WSS23-3 New Dining Hall UNC/WSS25-4 West Campus Regional Heating Plant UNC/WSS25-5 New Parking Deck UNC/WSS25-6 UNC Board of Governors– UNC Lease Funds UNC/BOG21-1 NC Care Health Clinics UNC/BOG23-1 NC Care Hospital Investment UNC/BOG23-2 Children's Hospital UNC/BOG23-3 PBS North Carolina UNC/PBS23-1 Repairs and Renovations–The University of North Carolina UNC/R&R21 Repairs and Renovations–State Agencies (non-UNC) R&R21 SCIF-Related Personnel PERS21 OSBM Flexibility Funds FLEX21 Debt Payoff DST23-1 Wildlife Resources Commission–Setzer Hatchery Revision WRC23-1 SECTION 40.1.(b) This subsection authorizes the following capital projects in the 2023-2025 fiscal biennium based upon projected cash flow needs for the authorizedauthorizedprojects. projects.
The authorizations provided in this subsection represent the maximum amount of funding from the State Capital and Infrastructure Fund that may be expended on each project and do not reflect authorizations from otherothernon-StateCapital non-StateCapitalandInfrastructureFundsources. andInfrastructureFund sources.
Capital Improvements– State Capital and Previous New/Updated Infrastructure Fund Project Authorization Project Authorization DACS21-2 $3,518,000 $7,018,000 Page 120 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 DACS21-4 4,000,000 8,100,000 DACS23-1 N/A 2,500,000 DACS23-2 N/A 200,000 DACS23-3 N/A 13,000,000 DACS23-4 N/A 1,750,000 DACS23-5 N/A 749,000 DACS23-6 N/A 750,000 DACS23-7 N/A 4,000,000 DACS23-8 N/A 5,000,000 DACS23-9 N/A 750,000 DACS23-10 N/A 6,200,000 DACS23-11 N/A 3,000,000 DACS23-12 N/A 4,000,000 DACS23-13 N/A 5,000,000 DACS23-14 N/A 12,000,000 DACS25-15 N/A 1,500,000 DACS25-16 N/A 2,000,000 DACS25-17 N/A 2,250,000 DACS25-18 N/A 10,000,000 DACS25-19 N/A 3,500,000 DEQ21-1 55,000,000 68,300,000 DEQ25-2 N/A 48,000,000 DEQ25-3 N/A 8,000,000 DEQ25-4 N/A 3,070,250 DEQ25-5 N/A 2,878,615 DEQ25-6 N/A 1,889,462 DEQ25-7 N/A 1,976,154 DEQ25-8 N/A 437,994 DEQ25-9 N/A 125,000 DEQ25-10 N/A 400,000 DHHS23-1 N/A 1,352,000 DHHS23-2 N/A 5,983,000 DHHS23-3 N/A 5,405,000 DHHS23-4 N/A 20,000,000 DHHS25-5 N/A 21,303,730 DHHS25-6 N/A 4,668,701 DHHS25-7 N/A 35,260,920 DNCR21-5 15,000,000 45,000,000 DNCR21-13 60,000,000 180,000,000 DNCR23-1 N/A 60,000,000 DNCR23-2 N/A 15,000,000 DNCR23-4 N/A 620,000 DNCR23-5 N/A 10,000,000 DNCR23-6 N/A 5,500,000 DNCR23-7 N/A 16,721,240 DNCR23-8 N/A 4,000,000 DNCR23-12 N/A 3,000,000 DNCR23-13 N/A 2,500,000 DNCR23-14 N/A 2,000,000 DNCR23-15 N/A 5,000,000 DNCR23-16 N/A 2,800,000 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 121 General Assembly Of North Carolina Session 2025 DNCR25-17 N/A 20,000,000 DNCR25-18 N/A 10,662,000 DNCR25-19 N/A 9,150,000 DNCR25-20 N/A 4,400,000 DNCR25-21 N/A 5,800,000 DNCR25-22 N/A 5,000,000 DNCR25-23 N/A 2,630,000 DNCR25-24 N/A 7,600,000 DOA22-1 88,000,000 88,000,000 DOA22-3 15,000,000 60,000,000 DOA23-1 N/A 33,744,000 DOA23-2 N/A 4,500,000 DOA23-3 N/A 11,000,000 DOA23-4 N/A 15,000,000 DOA23-5 N/A 45,000,000 DOA23-6 N/A 5,000,000 DOA25-7 N/A 102,172,000 DOA25-8 N/A 8,746,960 DOA25-9 N/A 1,000,000 DOA25-10 N/A 1,400,000 COMM231 N/A 250,000 DAC23-1 N/A 23,992,000 DAC23-2 N/A 2,960,212 DAC23-3 N/A 1,521,000 DAC23-4 N/A 1,078,000 DAC236 N/A 3,488,000 DAC25-7 N/A 97,376,135 DAC25-8 N/A 80,000,000 DAC25-9 N/A 50,000,000 DAC25-10 N/A 12,480,000 DPS21-1 10,702,952 14,702,952 DPS21-6 7,139,374 10,634,998 DPS23-1 N/A 40,450,000 DPS23-3 N/A 35,000,000 DPS23-4 N/A 194,000,000 DPS23-5 N/A 886,000 DPS23-6 N/A 690,000 DPS23-7 N/A 43,336,785 DPS23-8 N/A 527,000 DPS23-9 N/A 5,048,828 DPS23-10 N/A 4,198,414 DPS23-11 N/A 13,883,000 DPS25-1 N/A 36,200,000 DPS25-7 N/A 2,802,000 NG23-2 N/A 12,500,000 NG23-3 N/A 16,428,582 NG23-4 N/A 8,500,000 NG23-5 N/A 8,000,000 NG23-6 N/A 550,000 NG23-9 N/A 3,666,667 NG25-10 N/A 10,000,000 Page 122 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 NC25-11 N/A 6,600,000 SBI25-1 N/A 24,048,000 SBI25-2 N/A 7,039,000 DPI21-1 23,416,952 30,416,952 DOI21-1 3,500,000 58,500,000 DOI25-2 N/A 7,500,000 TRAN23-1 N/A 350,000,000 TRAN23-2 N/A 3,400,000 NCGA21-3 269,000,000 320,000,000 NCGA23-1 N/A 65,000,000 NCGA23-2 N/A 10,000,000 NCGA25-4 N/A 11,300,000 DMVA25-1 N/A 10,000,000 UNC/ASU21-1 25,000,000 40,000,000 UNC/ASU22-1 9,000,000 50,000,000 UNC/ASU23-1 N/A 18,000,000 UNC/CLT23-1 N/A 36,000,000 UNC/CLT23-2 N/A 45,000,000 UNC/CLT23-3 N/A 1,500,000 UNC/CLE23-4 N/A 25,000,000 UNC/CH20-1 75,000,000 89,250,000 UNC/CH20-2 65,200,000 87,900,000 UNC/CH23-1 N/A 25,000,000 UNC/CH25-3 N/A 150,000,000 UNC/CH25-4 N/A 80,000,000 UNC/ECS21-4 34,000,000 54,000,000 UNC/ECS23-1 N/A 20,000,000 UNC/ECS23-2 N/A 12,500,000 UNC/ECS25-5 N/A 5,000,000 UNC/ECU21-1 215,000,000 265,000,000 UNC/ECU23-1 N/A 46,000,000 UNC/ECU23-2 N/A 18,900,000 UNC/ECU23-3 N/A 35,000,000 UNC/ECU23-4 N/A 50,000,000 UNC/ECU23-5 N/A 1,000,000 UNC/ECU25-6 N/A 10,000,000 UNC/ECU25-7 N/A 15,000,000 UNC/FSU23-1 N/A 20,750,000 UNC/FSU23-2 N/A 10,000,000 UNC/A&T23-1 N/A 9,700,000 UNC/A&T23-2 N/A 125,500,000 UNC/NCC23-1 N/A 12,073,798 UNC/NCC23-2 N/A 12,999,424 UNC/NCC23-3 N/A 8,500,000 UNC/NCS23-1 N/A 30,000,000 UNC/NCS23-2 N/A 80,000,000 UNC/NCS23-3 N/A 63,000,000 UNC/NCS23-4 N/A 120,000,000 UNC/NCS23-5 N/A 200,000,000 UNC/NCS23-6 N/A 3,000,000 UNC/NCS23-7 N/A 4,500,000 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 123 General Assembly Of North Carolina Session 2025 UNC/NCS25-8 N/A 180,000,000 UNC/SSM23-1 N/A 12,000,000 UNC/SSM23-2 N/A 28,988,042 UNC/SSM23-4 N/A 10,000,000 UNC/AVL23-1 N/A 26,150,000 UNC/AVL23-2 N/A 5,000,000 UNC/AVL23-3 N/A 1,000,000 UNC/AVL23-4 N/A 4,000,000 UNC/GBO23-1 N/A 24,200,000 UNC/PEM23-1 N/A 61,000,000 UNC/SA23-1 N/A 51,000,000 UNC/SA23-2 N/A 24,500,000 UNC/WIL23-1 N/A 40,050,000 UNC/WIL23-2 N/A 21,600,000 UNC/WIL23-3 N/A 12,150,000 UNC/WIL23-4 N/A 8,000,000 UNC/WCU23-1 N/A 95,300,000 UNC/WSS23-1 N/A 10,800,000 UNC/WSS23-2 N/A 16,000,000 UNC/WSS23-3 N/A 4,000,000 UNC/WSS25-4 N/A 25,000,000 UNC/WSS25-5 N/A 14,000,000 UNC/WSS25-6 N/A 25,000,000 UNC/BOG21-1 15,000,000 18,750,000 UNC/BOG23-1 N/A 210,000,000 UNC/BOG23-2 N/A 150,000,000 UNC/BOG23-3 N/A 319,746,392 UNC/PBS23-1 N/A 49,500,000 FLEX21 100,000,000 175,000,000 WRC/23-1 N/A 20,000,000 …" SIX-YEAR INTENDED PROJECT ALLOCATION SCHEDULE SECTION 40.4.
It is the intent of the General Assembly to fund capital improvement projects on a cash flow basis and to plan for future project funding based upon projected availabilityavailabilityin in theStateCapital and Infrastructure Fund.NothingFund. in this section shall beconstrued (i) to appropriate funds or (ii) as an obligation by the General Assembly to appropriate funds for the projects listed in future years.
Nothingin this section shall beconstrued (i) to appropriate funds or (ii) as an obligation by the General Assembly to appropriate funds for the projects listed in future years.
Project Code FY23-24 FY24-25 FY25-26 FY26-27 FY27-28 FY28-29 UNC/R&R21 280,503 250,000200,000210,000 200,000 200,000 200,000 R&R21 200,000 200,000200,000210,000 200,000 200,000 200,000 DACS21-2 N/A 2,000 1,500 N/A N/A N/A DACS21-4 750 1,850 1,500 N/A N/A N/A DACS23-3 N/A 3,000 2,000 4,000 4,000 N/A DACS23-7 N/A N/A 4,000 N/A N/A N/A DACS23-8 N/A N/A 2,000 1,000 1,000 1,000 Page 124 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 DACS23-9 N/A N/A 750 N/A N/A N/A DACS23-10 N/A N/A 2,000 2,000 2,200 N/A DACS23-11 N/A N/A N/A 1,500 1,500 N/A DACS23-12 N/A N/A N/A 4,000 N/A N/A DACS23-13 N/A N/A N/A 5,000 N/A N/A DACS25-15 N/A N/A 1,500 N/A N/A N/A DACS25-16 N/A N/A 2,000 N/A N/A N/A DACS25-17 N/A N/A 1,000 1,250 N/A N/A DACS25-18 N/A N/A 2,000 6,000 2,000 N/A DACS25-19 N/A N/A N/A 750 2,750 N/A DEQ21-1 3,325 28,650 17,075 N/A N/A N/A DEQ25-2 N/A N/A 5,000 15,000 15,000 13,000 DEQ25-3 N/A N/A 4,000 4,000 N/A N/A DEQ25-4 N/A N/A N/A 3,070.25 N/A N/A DEQ25-5 N/A N/A N/A 2,878.615 N/A N/A DEQ25-6 N/A N/A N/A 1,889.462 N/A N/A DEQ25-7 N/A N/A N/A 1,976.154 N/A N/A DEQ25-8 N/A N/A 437.994 N/A N/A N/A DEQ25-9 N/A N/A N/A 125 N/A N/A DEQ25-10 N/A N/A N/A 400 N/A N/A DHHS25-5 N/A N/A 10,000 10,000 N/A N/A DHHS25-6 N/A N/A 4,668.701 N/A N/A N/A DHHS25-7 N/A N/A 17,630.46 17,630.46 N/A N/A DNCR21-13 15,000 24,250 86,800 30,950 N/A N/A DNCR23-1 3,000 3,000 30,000 24,000 N/A N/A DNCR23-7 2,000 7,721.24 7,000 N/A N/A N/A DNCR25-17 N/A N/A 20,000 N/A N/A N/A DNCR25-18 N/A N/A N/A 10,662 N/A N/A DNCR25-19 N/A N/A 1,650 7,500 N/A N/A DNCR25-20 N/A N/A 4,400 N/A N/A N/A DNCR25-21 N/A N/A 1,000 4,800 N/A N/A DNCR25-22 N/A N/A 5,000 N/A N/A N/A DNCR25-23 N/A N/A 2,630 N/A N/A N/A DNCR25-24 N/A N/A 1,600 6,000 N/A N/A DOA22-1 N/A N/A 8,800 22,000 35,200 22,000 DOA22-3 N/A N/A N/A N/A 21,000 N/A DOA23-1 500 N/A N/A1,500 N/A16,1221,00015,6220,244N/A DOA23-2 2,900 800 800 N/A N/A N/A DOA23-3 N/A N/A N/A N/A N/A 11,000 DOA23-4 N/A N/A 15,000 N/A N/A N/A DOA23-5 2,000 3,000 40,000 N/A N/A N/A DOA25-7 N/A N/A 12,000 30,000 30,000 20,000 DOA25-8 N/A N/A 8,746.96 N/A N/A N/A DOA25-9 N/A N/A 1,000 N/A N/A N/A DOA25-10 N/A N/A 1,400 N/A N/A N/A DOI21-1 5,500 13,750 22,000 13,750 N/A N/A DOI25-2 N/A N/A 7,500 N/A N/A N/A DAC23-1 4,776.39 9,607.8 9,607.8 N/A N/A N/A DAC23-6 N/A 449 2,439 600 N/A N/A DAC25-7 N/A N/A 5,000 5,000 5,000 5,000 DAC25-8 N/A N/A 5,000 5,000 5,000 5,000 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 125 General Assembly Of North Carolina Session 2025 DAC25-9 N/A N/A 50,000 N/A N/A N/A DAC25-10 N/A N/A 12,480 N/A N/A N/A DPS21-6 N/A 836.88 2,658.75 N/A N/A N/A DPS21-9 3,268.05 30,000 19,793.24 N/A N/A N/A DPS23-1 N/A 600 10,000 29,850 N/A N/A DPS23-3 N/A 4,400 8,500 13,600 8,500 N/A DPS23-4 N/A N/A N/A N/A N/A 19,000 DPS23-7 2,000 4,333.68 10,834.2 17,334.71 8,834.2 N/A DPS23-9 1,000 2,024.4 2,024.4 N/A N/A N/A DPS23-11 2,028.5 5,927.25 5,927.25 N/A N/A N/A DPS25-1 N/A N/A 27,100 9,120 N/A N/A DPS25-12 N/A N/A 3,623 10,212.5 10,212.5 N/A DPS25-13 N/A N/A 1,070 2,984.5 2,984.5 N/A DPS25-7 N/A N/A 2,802 N/A N/A N/A NG23-1 4,000 6,000 6,000 N/A N/A N/A NG23-2 1,500 6,000 5,000 N/A N/A N/A NG23-4 N/A 2,000 6,500 N/A N/A N/A NG23-5 N/A N/A 800 4,000 3,200 N/A NG23-9 N/A 666.7 3,000 N/A N/A N/A NG25-10 N/A N/A 10,000 N/A N/A N/A NG25-11 N/A N/A 600 6,000 N/A N/A TRAN23-1 50,000 125,000 125,000 50,000 N/A N/A NCGA21-3 N/A N/A 65,250 74,750 N/A N/A NCGA23-1 6,500 16,250 26,000 16,250 N/A N/A NCGA25-4 N/A N/A 11,300 N/A N/A N/A DMVA25-1 N/A N/A 10,000 N/A N/A N/A WRC23-1 8,000 6,000 6,000 N/A N/A N/A UNC/ASU21-1 N/A 7,500 7,500 N/A N/A N/A UNC/ASU22-1 N/A 4,100 12,300 14,350 10,250 N/A UNC/ASU23-1 N/A 1,800 6,300 9,900 N/A N/A UNC/CLT23-1 N/A 3,600 N/A 12,600 19,800 N/A UNC/CLT23-2 N/A N/A N/A N/A 4,500 N/A UNC/CH20-2 N/A 15,756.95 17,693.05 N/A N/A N/A UNC/CH23-1 N/A N/A N/A N/A 2,500 10,000 UNC/CH25-3 N/A N/A N/A 2,000 N/A N/A UNC/CH25-4 N/A N/A N/A 4,000 N/A N/A UNC/ECS21-4 N/A 30,827.27 9,172.73 N/A N/A N/A UNC/ECS23-1 N/A 2,000 8,000 10,000 N/A N/A UNC/ECS23-2 N/A N/A N/A N/A 1,250 N/A UNC/ECS25-5 N/A N/A N/A 5,000 N/A N/A UNC/ECU21-1 N/A 20,000 84,007.3 85,742.72 N/A N/A UNC/ECU23-1 N/A 4,600 13,800 16,100 11,500 N/A UNC/ECU23-2 N/A N/A N/A N/A 1,890 N/A UNC/ECU23-3 8,750 17,500 8,750 N/A N/A N/A UNC/ECU25-6 N/A N/A 1,250 8,750 N/A N/A UNC/ECU25-7 N/A N/A 1,500 N/A 5,102.8 8,397.2 UNC/FSU21-2 N/A 36,376.1 6,573.9 N/A N/A N/A UNC/FSU23-1 N/A N/A N/A N/A 2,075 N/A UNC/FSU23-2 1,000 3,500 5,500 N/A N/A N/A UNC/A&T23-1 970 3,395 5,335 N/A N/A N/A UNC/A&T23-2 N/A N/A N/A N/A 2,000 18,825 Page 126 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 UNC/NCC23-1 1,207.4 N/A 4,829.5 6,036.9 N/A N/A UNC/NCC23-2 N/A 1,299.94 N/A 4,549.8 7,149.68 N/A UNC/NCC23-3 N/A 850 N/A 2,975 4,675 N/A UNC/NCS20-1 N/A 6,025.2 22,224.8 N/A N/A N/A UNC/NCS23-1 N/A 3,000 27,000 N/A N/A N/A UNC/NCS23-2 N/A 8,000 24,000 28,000 20,000 N/A UNC/NCS23-3 N/A 6,300 18,900 22,050 15,750 N/A UNC/NCS23-4 N/A N/A 35,000 35,000 N/A N/A UNC/NCS23-5 N/A N/A N/A 20,000 60,000 60,000 UNC/NCS25-8 N/A N/A 25,048.753 74,957.88 79,993.367 N/A UNC/SSM23-2 N/A 12,750 3,500 N/A 12,738.42 N/A UNC/SSM23-4 N/A N/A N/A N/A 1,000 N/A UNC/AVL23-1 2,615 6,537.5 11,767.5 5,230 N/A N/A UNC/GBO23-1 N/A 2,420 N/A 8,470 13,310 N/A UNC/PEM21-1 N/A N/A N/A N/A 36,400 22,750 UNC/PEM23-1 N/A 6,100 24,400 30,500 N/A N/A UNC/SA23-1 5,100 12,750 22,950 10,200 N/A N/A UNC/SA23-2 N/A N/A N/A N/A 2,450 8,575 UNC/WIL23-1 N/A 4,005 10,012.5 16,020 10,012.5 N/A UNC/WIL23-2 N/A 2,160 5,400 8,640 5,400 N/A UNC/WIL23-3 N/A 1,215 4,860 6,075 N/A N/A UNC/WCU23-1 N/A 2,000 N/A 9,530 33,355 50,415 UNC/WSS21-1 N/A N/A N/A N/A 22,800 14,250 UNC/WSS23-1 N/A 800 1,080 N/A 3,780 5,140 UNC/WSS23-2 N/A 800 1,600 N/A 5,600 8,000 UNC/WSS25-4 N/A N/A 2,462.965 N/A N/A 15,597.035 UNC/WSS25-5 N/A N/A 1,000 N/A N/A 8,000 UNC/WSS25-6 N/A N/A 1,500 N/A N/A N/A UNC/BOG21-1 3,750 3,750 3,750 3,750 N/A N/A UNC/BOG23-1 25,000 80,000 105,000 N/A N/A N/A UNC/BOG23-3 143,864.4 72,382 103,500 N/A N/A N/A UNC/PBS23-1 N/A 4,950 N/A 17,325 27,225 N/A …." NON-GENERAL FUND/NON-SCIF CAPITAL PROJECT AUTHORIZATIONS SECTION 40.5.
Amount of Non-General Fund/Non-SCIF Name of Project Funding Authorized FY 2025-2026 FY 2026-2027 Department of Natural and Cultural Resources Jennette's Pier Aquarium- Solar Covered Walkway 450,000 0 Roanoke Island Aquarium- Invertebrate Tank 500,000 0 Pine Knoll Shores Aquarium- Invertebrate Tank 2,000,000 Department of Agriculture and Consumer Services NC Forest Service Nursery Greenhouse 0 250,000 Department of Public Safety Alcoholic Beverage Control– DRS15173-NExfa-111ASenate Bill 440-First Edition Page 127 General Assembly Of North Carolina Session 2025 ABC Warehouse Repairs 1,150,000 0 Wildlife Resources Commission Sykes Depot Greenhouse 331,600 0 D7 Storage Building 400,000 0 Caswell Shooting Range Renovation 3,850,000 0 Coastal Restoration and Resiliency 6,500,000 0 Ransom Road Depot 9,000,000 0 Land Acquisition 5,000,000 5,000,000 WRC Game Land Improvements 0 2,000,000 Butner Lab and Office Building 0 0 McKinney Lake Hatchery Building Replacement 1,300,000 0 Table Rock Hatchery Residence 0 640,000 WRC New Shooting Range 0 2,000,000 New Tillery Office Depot 0 1,500,000 Caswell Depot Expansion 100,000 0 TOTAL AMOUNT OF NON-GENERAL FUND/NON-SCIF CAPITAL PROJECTS AUTHORIZED $33,526,600 $13,290,000 PUBLIC SCHOOL BOND ACT OF 2025 SECTION 40.6.(a) Short Title.
The cost of constructing, reconstructing, renovating, repairing, enlarging, acquiring, and improving State capital facilities, including the acquisition of land, rights of way, easements, franchises, equipment, machinery, furnishings, and other interests in real or Page 128 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 personal property acquired or used in connection with a State capital facility.
The cost of bond insurance, investment contracts, credit enhancement and liquidity facilities, interest rate swap agreements or other derivative products, financial and legal consultants, and related costs of bond and note issuance, to the extent and as determined bybythe the State Treasurer.
Finance charges, reserves for debt service, and other types of reserves required pursuant to the terms of any bond or note or related documents, interest before and during construction or acquisition of a State capital facility and, if considered advisable by the State Treasurer,foraperiodnot exceedingexceedingtwo twoyearsaftertheestimateddateyearsaftertheestimateddate of completion of construction or acquisition.
The cost of bond insurance, investment contracts, credit enhancement facilities and liquidityliquidityfacilities, facilities, interest rate swap agreements or other derivative products, financial and legal consultants, and related costs of the incurrence or issuance of any bond or note.
Such other provision as the State Treasurer may determine to be consistent with this act and will not materiallymateriallyand andadverselyaffect adverselythe affectSenate theBill DRS15173-NExfa-111A440-First Edition Page 129 General Assembly Of North Carolina Session 2025 financial position of the State and the marketing of bonds or notes at a reasonable interest cost to the State.
One billion one hundred and fifty million ($1,150,000,000) of suchproceedsshallbeallocatedequallytoeachlocaleducation Page 130 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 agency (LEA).
Two billion eight hundred fifty million ($2,850,000,000) of such proceeds shall be allocated among local school administrative units on the basis of average daily membership for the 2024-2025 fiscal year where the numerator is average daily membership for the local administrative unit and the denominator is the total average dailydailymembership membership for the state for the 2024-2025 fiscal year.
143B-437.08, and (iii) one dollar ($1.00) of local matching funds for every one dollar ($1.00) of such proceeds for a local school administrative unit located in a countycountythat that is a development tier three area, as defined in G.S.
No other expenditures made or debts incurred before JanuaryJanuary1, 1, 2022, maymaybe be used to satisfysatisfythe the match requirement.
Bond proceeds shall be distributed for expenditure only as, and to the extent, the matching requirement of this section are satisfied, as certified bybythe the State Board of Education.
(i) Proceeds allocated under subdivision (1) shall be reallocatedto local administrativeunits receivingfunds DRS15173-NExfa-111ASenate Bill 440-First Edition Page 131 General Assembly Of North Carolina Session 2025 under subdivision (1) for which the State Board of Educated has certified matching funds.
(ii) Proceeds allocated under subdivision (2) shall be reallocatedtoreallocated to local administrativeunits receivingfunds under subdivision (2) for which the State Board of Educated has certified matching funds.
Any additional monies that may be received by means of a grant or grants from the United States of America or any agency or department thereof or from anyanyother other source for deposit to the Public Improvement Bonds Fund may be placed in the Public Improvement Bonds Fund or in a separate account or fund and shall be disbursed, to the extent permitted by the terms of the grant or grants, without regard to any limitations imposed by this section.
Monies in the Public Improvement Bonds Fund or any separate account established under this section may be invested from time to time by the State Treasurer in the same manner permitted for investment of monies belonging to the State or held in the State treasury, except with respect to grant money to the extent otherwise directed bybythe the terms of thegrant.
The proceeds of public improvement bonds and notes,includingnotes, including premium thereon, if any, shall be expended and disbursed under the direction and supervision of Page 132 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 the Director of the Budget.
– The State Treasurer or the State Treasurer's designee is hereby authorized and directed to set up a comprehensive system oftrackingoftrackingtheproceeds theproceeds ofthepublicimprovementbonds andandnotes,including notes, including premium thereon, if any, to the extent necessary to enable the State Treasurer or the State Treasurer's designee to properly account for the use of such proceeds for compliance with applicable requirements of the federal tax law or otherwise.
Notice of the election shall be given in the manner and at the times required bybyG.S. G.S.
Ballots, voting systems authorized by Article 14A of Chapter 163 of the General Statutes,orboth maybe used in accordance with rulesprescribedbytheStateBoardofElections.rulesprescribed bytheStateBoardofElections.
– Bonds ornotesmaybearadateordates,maybeserialornotesmaybear adateordates,maybe serial or term bonds or notes, or any combination thereof, may mature in such amounts and at such time or times, not exceeding 40 years from their date or dates, may be payable at such place or places, either within or without the United States of America, in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public and private debts, may bear interest at such rate or rates, which may vary from time to time, and may be made redeemable before maturity, at the option of DRS15173-NExfa-111ASenate Bill 440-First Edition Page 133 General Assembly Of North Carolina Session 2025 the State or otherwise as may be provided by the State, at such price or prices, including a price less than or greater than the face amount of the bonds or notes, and under such terms and conditions, all as may be determined by the State Treasurer, by and with the consent of the Council of State.
Bonds or notes may bear the facsimile signatures of persons, who at the actual time of the execution of the bonds or notes shall be the proper officers to sign anyanybond bond or note, although at the date of the bond or note such persons may not have been such officers.
and Page 134 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 5.
Funds provided by the General Assembly for the payment of interest on or principal of bonds shall be used in paying the interest on or principal of anyanynotes notes and anyanyrenewals renewals thereof, the proceeds of which shall have been used in paying interest on or principal of the bonds.
– ByByand and with the consent of the Council of State, the State Treasurer is authorized to issue and sell refunding bonds and notes pursuant to the provisions of the State Refunding Bond Act for the purpose of refunding bonds or notes issued pursuant to this section.
The proceeds from the sale of any refunding bonds or notes shall be applied to the immediate paymentandretirementofthebondsornotesbeingrefundedor,ifnotrequired for the immediate payment of the bonds or notes being refunded, the proceeds shall be deposited in trust to provide for the payment and retirement of the bonds or notes being refunded and to paypayanyexpenses any expenses incurred in connection with the refunding.
– Bonds and notes shall at all times be free from taxation by the State or anyanypolitical political subdivision or anyanyof oftheiragencies,their exceptingagencies, estate,exceptingestate, inheritance, or gift taxes, income taxes on the gain from the transfer of bonds or notes, and franchise taxes.
Bonds and notes are hereby made securities which may properly and legally be deposited with and received by any officer or agency of the State or political subdivision of the State for anyanypurpose purpose for which the deposit of bonds, notes, or obligations of the State or any political subdivision is now or maymayhereafter hereafter be authorized by law.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 135 General Assembly Of North Carolina Session 2025 (8) Faithandcredit.–ThefaithandcreditandtaxingpoweroftheStatearehereby pledgedforthepaymentoftheprincipalofandtheinterestonbondsandnotes.
The State Treasurer is authorized to employemployand and designate any financial consultants, underwriters, and bond attorneys to be associated with any bond or note issue under this section as the State Treasurer considers necessary.
If the aggregate principal amount payable by the State under a credit facility is in excess of the aggregate principal amount of bonds or notes secured bybythe the credit facility, whether as a result of the inclusion in the credit facility of a provision for the payment of interest for a limited period of time or the payment of a redemption premium or for any other reason, then the amount of authorized but unissued bonds or notes during the term of such credit facility shall not be less than the amount of such excess, unless the payment of such excess is otherwise provided for by agreement of the State executed by the State Treasurer.
Page 136 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 (3) Broad construction.
– If anyanyprovision provision of this section or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the section which can be given effect without the invalid provision or application, and to this end the provisions of this section are declared to be severable.
The 10-year revenue forecast developed under this subsection shall be used (i) to develop the five-year cash DRS15173-NExfa-111ASenate Bill 440-First Edition Page 137 General Assembly Of North Carolina Session 2025 flow estimates included in the biennial budgets, (ii) to develop the Strategic Transportation Improvement Program, and (iii) by the Department of the State Treasurer to compute transportation debt capacity.
Type Inspection Authorization Page 138 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 Safety Only $12.75 $ .85$2.00 Emissions and Safety 23.75 6.25.
A safetysafetyinspection inspection mechanic shall not inspect an after-factory tinted window of a vehicle for which the Division has issued a medical exception permit pursuant to G.S.
Taxable Years Beginning Tax In 2022 4.99% In 2023 4.75% DRS15173-NExfa-111ASenate Bill 440-First Edition Page 139 General Assembly Of North Carolina Session 2025 In 2024 4.5% In 2025After 2024 4.25%4.25%.
– The Secretary shall, in October of each fiscal year, allocate to each taxing county the distribution amount on a per capita basis as Page 140 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 calculated in G.S.
If the credit allowed by this section exceeds the amount of tax imposedbythisPartforthetaxableyearreducedbythesumofallcreditsallowable,theSecretaryimposedbythisPartforthetaxable yearreducedbythesumofallcreditsallowable,theSecretary must refund the excess to the taxpayer.
105-153.10 is reenacted as it existed immediatelyimmediatelybefore before its expiration and reads as rewritten:
A taxpayer is allowed a credit against the tax imposed bybythis this Part for each qualifyingqualifyingchild child of the taxpayer.
Filing Status Agi Credit Amount Married, filing jointly/ Up to $40,000 $125.00$150 surviving spouse Over $40,000 Up to $60,000 125 Over $60,000 Up to $80,000 100 Over $80,000 Up to $100,000 $100.0075 Over $100,000 0 Up to $120,000 50 DRS15173-NExfa-111ASenate Bill 440-First Edition Page 141 General Assembly Of North Carolina Session 2025 Over $120,000 Up to $140,000 25 Over $140,000 0 Head of Household Up to $30,000$32,000 $125.00$150 Over $30,000$32,000 Up to $45,000 125 Over $45,000 Up to $60,000 100 Over $60,000 Up to $80,000$75,000 $100.0075 Over $80,000$75,000 0 Up to $90,000 50 Over $90,000 Up to $105,000 25 Over $105,000 0 Single Up to $20,000 $125.00$150 Over $20,000 Up to $30,000 125 Over $30,000 Up to $40,000 100 Over $40,000 Up to $50,000 $100.0075 Over $50,000 0 Up to $60,000 50 Over $60,000 Up to $70,000 25 Over $70,000 0 Married, filing separatelyUp to $20,000 $125.00$150 Over $20,000 Up to $30,000 125 Over $30,000 Up to $40,000 100 Over $40,000 Up to $50,000 $100.0075 Over $50,000 0 Up to $60,000 50 Over $60,000 Up to $70,000 25 Over $70,000 0.
– A nonresident or part-year resident who claims the credit allowed by this section shallreducetheamount ofthecredit bymultiplyingbymultiplyingit itbythefraction bythefractioncalculatedundercalculatedunder G.S.
Married individualsqualifyingforacreditunderthissectionwhofileseparatereturnsmaynotcollectivelyindividualsqualifyingforacreditunderthissectionwhofileseparatereturns maynotcollectively claim more than the maximum credit allowed under a joint return.
– If the credit allowed by this section exceeds the amount of tax imposedbythisPartforthetaxableyearreducedbythesumofallcreditsallowable,theSecretaryimposedbythisPartforthetaxable yearreducedbythesumofallcreditsallowable,theSecretary must refund the excess to the taxpayer.
In Page 142 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 computing the amount of tax against which multiple credits are allowed, nonrefundable credits 1are subtracted before refundable credits." SECTION 42.5.(c) This section is effective for taxable years beginning on or after January 1, 2025." 6 REENACT MODIFIED CHILD AND DEPENDENT CARE TAX CREDIT SECTION 42.6.(a) G.S.
For employment-related expenses with respect to anyanyotherqualifyingindividual, otherqualifyingindividual, theapplicablepercentage is the appropriatepercentage in the column labeled "Percentage B" in the table below, based on the taxpayer's adjusted gross income determined under the Code.
Filing Status Adjusted Gross Income Percentage A Percentage B Head of Up to $20,000 9% 13% Household Over $20,000 8% 11.5% up to $32,000 Over $32,000 7% 10% Surviving Spouse or Joint Return Up to $25,000 9% 13% Over $25,000 up to $40,000 8% 11.5% Over $40,000 7% 10% Single Up to $15,000 9% 13% Over $15,000 up to $24,000 8% 11.5% Over $24,000 7% 10% Married Filing Separately Up to $12,500 9% 13% DRS15173-NExfa-111ASenate Bill 440-First Edition Page 143 General Assembly Of North Carolina Session 2025 2 Over $12,500 up to $20,000 8% 11.5% 5 Over $20,000 10% (b) Employment Related Expenses.
The amount of employment-related expenses for which a credit may be claimedisclaimed is reduced bybytheamount theamount ofemployer-provideddependent careassistanceexcludedfrom gross income.
– A nonresident or part-year resident who claims the credit allowed by this section shallreducetheamount ofthecredit bymultiplyingbymultiplyingit itbythefraction bythefractioncalculatedundercalculatedunder G.S.
The credit allowed by this section may not exceed the amount of tax imposed by this Part for the taxable year reduced bybythe the sum of all credits allowable, except for payments of tax made bybyor or on behalf of the taxpayer.
– If the credit allowed by this section exceeds the amount of tax imposedbythisPartforthetaxableyearreducedbythesumofallcreditsallowable,theSecretaryimposedbythisPartforthetaxable yearreducedbythesumofallcreditsallowable,theSecretary must refund the excess to the taxpayer.
Page 144 DRS15173-NExfa-111ASenate Bill 440-First Edition General Assembly Of North Carolina Session 2025 2 EFFECT OF HEADINGS SECTION 43.3.
DRS15173-NExfa-111ASenate Bill 440-First Edition Page 145
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Action History
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Passed 1st Reading
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Ref To Com On Rules and Operations of the Senate
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Withdrawn From Com
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Re-ref Com On Appropriations/Base Budget
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Filed
Sponsors
- Joyce Waddell · Cosponsor
- Caleb Theodros · Cosponsor
- DeAndrea Salvador · Cosponsor
- Natalie S. Murdock · Cosponsor
- Mujtaba A. Mohammed · Cosponsor
- Julie Mayfield · Cosponsor
- Lisa Grafstein · Cosponsor
- Michael Garrett · Cosponsor
- Sophia Chitlik · Cosponsor
- Jay J. Chaudhuri · Cosponsor
- Sydney Batch · Cosponsor
- Val Applewhite · Cosponsor
- Gale Adcock · Cosponsor
- Michael V. Lee · Cosponsor
- Ralph Hise · Primary
- Brent Jackson · Primary
- Terence Everitt · Cosponsor
- Graig Meyer · Cosponsor
Sponsorship breakdown
Export CSV (upgrade) →2 sponsors · 16 co-sponsors · 161 not signed on
Sponsors (2)
- Ralph Hise Republican
- Brent Jackson Republican
Co-sponsors (16)
- Joyce Waddell Democratic
- Caleb Theodros Democratic
- DeAndrea Salvador Democratic
- Natalie S. Murdock Democratic
- Mujtaba A. Mohammed Democratic
- Julie Mayfield Democratic
- Lisa Grafstein Democratic
- Michael Garrett Democratic
- Sophia Chitlik Democratic
- Jay J. Chaudhuri Democratic
- Sydney Batch Democratic
- Val Applewhite Democratic
- Gale Adcock Democratic
- Michael V. Lee Republican
- Terence Everitt Democratic
- Graig Meyer Democratic
Not signed on (161)
161 members have not signed on to this bill.
Show all 161 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Subjects
Frequently asked questions
- Who sponsors SB 440?
- SB 440 is sponsored by Joyce Waddell (Democratic), Caleb Theodros (Democratic), DeAndrea Salvador (Democratic), Natalie S. Murdock (Democratic), Mujtaba A. Mohammed (Democratic), Julie Mayfield (Democratic), Lisa Grafstein (Democratic), Michael Garrett (Democratic), Sophia Chitlik (Democratic), Jay J. Chaudhuri (Democratic), Sydney Batch (Democratic), Val Applewhite (Democratic), Gale Adcock (Democratic), Michael V. Lee (Republican), Ralph Hise (Republican), Brent Jackson (Republican), Terence Everitt (Democratic), and Graig Meyer (Democratic).
- What is the current status of SB 440?
- This bill is in committee in the Senate. Introduced March 24, 2025. It must pass committee before a floor vote.
- Where can I track SB 440?
- Track SB 440 free on One Click Politics — get push/email alerts when it moves.
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