Editor’s Note.

Session Laws 2006-259, s. 40(h) was repealed, pursuant to the terms of Session Laws 2006-259, s. 40(i), upon Session Laws 2006-221 becoming law.

Session Laws 2007-323, s. 6.4, provides: “Notwithstanding G.S. 143C-6-4(b), the Office of State Budget and Management, in consultation with the Office of the State Controller and the Fiscal Research Division, may adjust the enacted budget by making transfers among purposes or programs for the sole purpose of correctly aligning authorized positions and associated operating costs with the appropriate purposes or programs as defined in G.S. 143C-1-1(d)(23). The Office of State Budget and Management shall change the certified budget to reflect these adjustments only after reporting the proposed adjustments to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division. Under no circumstances shall total General Fund expenditures for a State department exceed the amount appropriated to that department from the General Fund for the fiscal year.”

Session Laws 2007-323, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2007.”

Session Laws 2007-323, s. 32.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2007-2009 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2007-2009 fiscal biennium.”

Session Laws 2007-323, s. 32.5, is a severability clause.

Session Laws 2009-399, s. 5, provides: “(a) Notwithstanding Chapter 143C of the General Statutes, funds in the unreserved credit balance on June 30, 2009, may be used only to partially repay federal funds that were overdrawn in the Medicaid Program in the 2008-2009 fiscal year. The remainder of the overdrawn funds may be repaid during the 2009-2011 fiscal biennium. The Director of the Budget shall report the timing and amount of the repayment to the chairs of the Senate and House of Representatives Appropriations Committees and the Fiscal Research Division by October 1, 2009.

“(b) This section becomes effective June 30, 2009.”

Session Laws 2009-451, s. 6.21, provides: “Notwithstanding Chapter 143C of the General Statutes or any other provision of law, the Director of the Budget shall use funds appropriated in this act to repay any outstanding federal Medicaid funds not repaid pursuant to Section 5 of S.L. 2009-399. If funds available in the Department of Health and Human Services over the 2009-2011 fiscal biennium are not sufficient to repay the funds, the Director may use any funds within the State budget.

“The Director of the Budget shall report the amount of funds repaid no later than 30 days after payment to the Joint Legislative Commission on Governmental Operations, the Chairs of the Senate and House of Representatives Appropriations Committees, and the Fiscal Research Division.”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009’.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2012-142, s. 27.1, provides: “The provisions of the State Budget Act, Chapter 143C of the General Statutes, are reenacted and shall remain in full force and effect and are incorporated in this act by reference.” (For prior similar provisions, see Session Laws 2007-323, s. 32.1; 2008-107, s. 30.1; 2009-451, s. 28.1; 2010-31, s. 32.1).

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2014-100, s. 6.4(h), made the amendment of subdivision (d)(1c) and the repeal of subdivision (d)(7a) by Session Laws 2014-100, s. 6.4(a) and (b), applicable beginning with the recommended State budget of the 2015-2017 fiscal biennium.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.’ ”

Session Laws 2014-100, s. 38.7, is a severability clause.

Session Laws 2017-57, s. 6.6(h), made the amendment to subsection (d) of this section by Session Laws 2017-57, s. 6.6(a), effective July 1, 2017, and applicable beginning with the base budget developed for the 2018 2019 fiscal year.

Session Laws 2017-57, s. 26.3(a)-(d), as amended by Session Laws 2018-5, s. 26.1(a), and as amended by Session Laws 2021-180, s. 37.5(b), provides: “(a) The General Assembly finds and declares that a nationally recognized cost-benefit analysis model will allow the General Assembly to direct public resources to cost-effective programs that deliver the best outcomes for residents. The Office of State Budget and Management shall receive periodic updates that incorporate new research and enhancements identified through work in participating states and practical technical assistance to implement this cutting-edge approach for identifying policy and budget options. The General Assembly also intends to provide necessary assistance for State agencies to align their individual efforts and resources to achieve statewide priority outcomes.

“(b) The Office of State Budget and Management may consult and work with staff from the Pew-MacArthur Results First Initiative to implement a cost-benefit analysis model for use in crafting policy and budget decisions. The goal of the project is to obtain a model that will help the State invest in policies and programs that can be shown to work.

“State agencies shall provide any information requested by the Office of State Budget and management for purposes of implementing this project. Local government and non-State entities that receive State funds may also be required to provide information to their funding agency or to the Office of State Budget and Management for purposes of implementing this project.

“(c) Repealed by Session Laws 2021-180, s. 37.5(b), effective November 18, 2021, and applicable to reports submitted on or after that date.

“(d) By October 1, 2018, the Office of State Budget and Management, in consultation with Results First partner agencies and the Pew-MacArthur Results First Initiative, shall develop and publish descriptive, formal definitions for tiered-levels of evidence. Each definition shall outline the criteria needed to qualify for each tier of evidence. The Office of State Budget and Management shall also identify which program or service areas will be expected to include evidence and research to support budget proposals. The definitions may be periodically updated as needed. The definitions, and any subsequent updates, shall be included in the annual report required by subsection (c) of this section.”

Session Laws 2017-57, s. 31.3(c), provides: “The Department shall determine the amount required by each agency to cover the cost of the increase in the amount allocated and charged for transportation for fiscal biennium 2019-2021. Notwithstanding the provisions of Chapter 143C (State Budget Act) of the General Statutes, the Office of State Budget and Management shall include the increase in the amount allocated and charged for transportation in the base budget for each State agency for fiscal biennium 2019-2021.”

Session Laws 2017-57, s. 36.7(a)-(e), as amended by Session Laws 2018-142, s. 24(a), provides: “(a) Definitions. — The following definitions apply in this section:

“(1) Capital project. — Any capital improvement, as that term is defined in G.S. 143C-1-1 , that is not complete by the effective date of this section and that is funded in whole or in part with State funds, including receipts, non-General Fund sources, or statutorily or constitutionally authorized indebtedness of any kind. This term includes only projects with a total cost of one hundred thousand dollars ($100,000) or more.

“(2) Construction phase. — The status of a particular capital project as described using the terms customarily employed in the design and construction industries.

“(3) New capital project. — A capital project that is authorized in this act or subsequent to the effective date of this act.

“(b) Reporting. — The following reports are required:

“(1) By October 15, 2017, and every six months thereafter, each State agency shall report on the status of agency capital projects to the Joint Legislative Commission on Governmental Operations.

“(2) By October 15, 2017, and quarterly thereafter, each State agency shall report on the status of agency capital projects to the Fiscal Research Division of the General Assembly and to the Office of State Budget and Management.

“(c) The reports required by subsection (b) of this section shall include at least the following information about every agency capital project:

“(1) The current construction phase of the project.

“(2) The anticipated time line from the current construction phase to project completion.

“(3) Information about expenditures that have been made in connection with the project, regardless of source of the funds expended.

“(4) Information about the adequacy of funding to complete the project, including estimates of how final expenditures will relate to initial estimates of expenditures, and whether or not scope reductions will be necessary in order to complete the project within its budget.

“(5) For new capital projects only, an estimate of the operating costs for the project for the first five fiscal years of its operation.

“(d) In addition to the other reports required by this section, on October 1, 2017, and every six months thereafter, the Office of State Construction shall report on the status of the Facilities Condition Assessment Program (FCAP) to the Joint Legislative Commission on Governmental Operations. The report shall include (i) summary information about the average length of time that passes between FCAP assessments for an average State building; (ii) detailed information about when the last FCAP assessment was for each State building complex; and (iii) detailed information about the condition and repairs and renovations needs of each State building complex.

“(e) In addition to the other reports required by this section, on October 1, 2017, and quarterly thereafter, the State Construction Office shall report to the Joint Legislative Oversight Committee on Capital Improvements on the status of plan review, approval, and permitting for each State capital improvement project and community college capital improvement project over which the Office exercises plan review, approval, and permitting authority. Each report shall include (i) summary information about the workload of the Office during the previous quarter, including information about the average length of time spent by the State Construction Office on each major function it performs that is related to capital project approval, and (ii) detailed information about the amount of time spent engaged in those functions for each project that the State Construction Office worked on during the previous quarter.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-2, s. 1(e), provides: “No Conflict. — The legislative power of the State is vested in the General Assembly of the State of North Carolina. The Legislature must declare the policy of the law, fix legal principles which are to control in given cases, and provide standards for guidance in executing the law. The Governor shall take care that the laws be faithfully executed. Therefore, nothing in this section shall be construed, or is intended, to (i) be in conflict with the rights of any person or any mandatory provision of federal law or to infringe on the constitutional powers of the Governor to execute the laws of this State or (ii) preclude or supersede any mitigation agreement entered into under applicable State or federal law.”

Session Laws 2018-5, s. 26.1(b), provides: “The Office of State Budget and Management shall research best practices in performance management from leading states, academia, and nongovernmental organizations and implement a pilot performance management initiative that is designed to inform the budget process and operational management of State programs. By November 30, 2018, the Office of State Budget and Management shall report to the Joint Legislative Oversight Committee on General Government on the progress of implementing the pilot. The report may include recommendations for additional legislation. For purposes of this section, the term ‘performance management’ means an ongoing process of measuring, evaluating, and adjusting actions to improve outcomes.”

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2020-4, s. 1.1, provides: “This act shall be known as the “2020 COVID-19 Recovery Act.”

Session Laws 2020-4, s. 1.2, provides: “Except as otherwise provided, the following definitions apply in this act:

“(1) CDC. — The federal Centers for Disease Control and Prevention.

“(2) Coronavirus or COVID-19. — The coronavirus disease 2019.

“(3) COVID-19 emergency. — The period beginning March 10, 2020, and ending on the date the Governor signs an executive order rescinding Executive Order No. 116 (2020), Declaration of a State of Emergency to Coordinate Response and Protective Actions to Prevent the Spread of COVID-19.

“(4) COVID-19 Recovery Legislation. — The following legislation enacted by Congress:

“a. The Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L. 116-136.

“b. The Families First Coronavirus Response Act, P.L. 116-127.

“c. The Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020, P.L. 116-123.

“d. Paycheck Protection Program and Health Care Enhancement Act, P.L. 116-139.”

Session Laws 2020-4, s. 1.3, provides: “The General Assembly finds that State government must serve as a facilitator in assisting local governments, communities, families, workers and other individuals, and businesses in accessing federal relief and recovery funds related to the COVID-19 pandemic. The purpose of this act is to fulfill the General Assembly’s constitutional duty to appropriate all funds, including federal funds appropriated or otherwise made available under the COVID-19 Recovery Legislation, and to direct the use of those funds in a manner that is consistent with the authorizing federal legislation and that responsibly provides for the public health and economic well-being of the State.”

Session Laws 2020-4, s. 4.3, as amended by Session Laws 2021-1, s. 3.5, as amended by Session Laws 2021-180, s. 23.2, and as amended by Session Laws 2021-189, s. 6.1, provides: “(a) OSBM shall establish a temporary North Carolina Pandemic Recovery Office (Office) to oversee and coordinate funds made available under COVID-19 Recovery Legislation, as defined in Section 1.2 of S.L. 2020-4, and the American Rescue Plan Act, as defined in Section 1.1 of S.L. 2021-25 and Section 4.9(b) of S.L. 2021-180. This Office shall also provide technical assistance and ensure coordination of federal funds received by State agencies and local governments and ensure proper reporting and accounting of all funds. The authorization set forth in this section expires on June 30, 2023, and the Office shall cease to operate upon expiration of the authorization.”

“(b) Beginning March 1, 2021, and ending on the date the Office ceases to operate under subsection (a) of this section, the Office shall submit a monthly report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division that includes each of the following:

“(1) For each month since March 1, 2020, the number of staff hired to support the Office’s duties and responsibilities, including the position numbers, whether the position is permanent or temporary, the start date and end date for each temporary position, the funding source for each position, and the total amount of funds spent on salary and benefits for personnel.

“(2) For each month since March 1, 2020, an accounting of nonpersonnel expenditures.

“(3) A description of the Office’s activities during the 2020 calendar year.

“(4) A description of the Office’s activities related to the Fund that remain to be completed in the 2021 calendar year.

“(c) The General Assembly finds that the need for a fully staffed Office declines as funds from the Fund are expended and reports are submitted to the federal government. Therefore, the Office shall reduce its level of staffing accordingly as the duties and responsibilities of the Office decline.”

Session Laws 2021-180, s. 5.5(c), made the amendments to subdivision (d)(1c) of this section by Session Laws 2021-180, s. 5.5(a), effective July 1, 2021, and applicable beginning with the 2022-2023 fiscal year.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2006-66, s. 6.19(h), as added by Session Laws 2006-221, s. 3A, effective July 1, 2007, added the last two sentences to subsection (b).

Session Laws 2007-393, s. 2, effective October 1, 2007, substituted “agency, unless specifically exempted herein” for “agency” in the first sentence of subsection (b).

Session Laws 2010-31, s. 30.8, effective July 1, 2010, added subdivision (d)(16a).

Session Laws 2013-360, s. 6.12(a), effective July 1, 2013, in subdivision (d)(19), inserted “or a departmental receipt” and substituted “a fund” for “the General Fund.”

Session Laws 2013-360, s. 6.12(b), effective July 1, 2013, in subdivision (d)(30), deleted “General Fund” following “The available” and “federal grants” following “unearned revenue,” and substituted “a fund’s cash balance” for “General Fund cash.”

Session Laws 2013-360, s. 6.12(h), effective July 1, 2013, added subdivisions (d)(1a), (d)(1b), and (d)(7a).

Session Laws 2013-360, s. 6.12(i), effective July 1, 2013, substituted “mandated by the General Assembly” for “directed by the General Assembly but left to the Director to carry out” in subdivision (d)(7).

Session Laws 2014-100, ss. 6.4(a) and 6.4(b), effective July 1, 2014, added subdivision (d)(1c) and deleted subdivision (d)(7a). See Editor’s note for applicability.

Session Laws 2015-241, s.7A.4(z), effective July 1, 2015, substituted “G.S. 143B-1320” for “G.S. 147-33.81(2)” at the end of subdivision (d)(17).

Session Laws 2017-57, s. 6.6(a), effective July 1, 2017, added sub-subdivision (d)(1c)h.; deleted former subdivision (d)(6) which read: “Capital Improvements Appropriations Act. — An act of the General Assembly containing appropriations for one or more capital improvement projects.”, added “and capital improvement needs” in subdivision (d)(9), and rewrote subdivision (d)(28) which formerly read: “Statutory appropriation. — An appropriation that authorizes the withdrawal of funds from the State treasury during fiscal years extending beyond the current fiscal biennium, without further act of the General Assembly.” For effective date and applicability, see editor’s note.

Session Laws 2018-5, s. 36.7(c), effective July 1, 2018, added “over one hundred thousand dollars ($100,000) in value” at the end of subdivision (d)(5).

Session Laws 2021-180, s. 5.5(a), effective July 1, 2021, substituted “intergovernmental transfers that require no net General Fund increase.” for “intergovernmental transfers.” in subdivision (d)(1c)g.; and added (d)(1c)i. For effective date and applicability, see editor's note.

CASE NOTES

Editor’s Note. —

Some of the annotations below were decided under former G.S. 143-2 and 143-16.

Appropriation of Federal Block Grant Funds. —

Governor’s claim challenging the General Assembly’s appropriation of federal block grant funds awarded to the State was properly dismissed as the block grant funds were, despite their source in the federal government, subject to appropriation by the General Assembly because Congress left the issue of state legislative appropriation of federal block grants for each state to determine; and, while some federal funds could be considered custodial agency funds, the State Budget Act treated federal block grants as state funds subject to appropriation through the statutory budgetary process, and the Governor did not identify any federal prohibition against treating the block grant funds as state funds subject to legislative appropriation. Cooper v. Berger, 268 N.C. App. 468, 837 S.E.2d 7, 2019 N.C. App. LEXIS 980 (2019), aff'd, 376 N.C. 22 , 852 S.E.2d 46, 2020 N.C. LEXIS 1133 (2020).

Art Museum Building Commission. —

There is nothing in this Article or G.S. 143B-58 which indicates a legislative intent to exempt the Art Museum Building Commission from the requirements of this Article. Lewis v. White, 287 N.C. 625 , 216 S.E.2d 134, 1975 N.C. LEXIS 1169 (1975).

OPINIONS OF ATTORNEY GENERAL

Whether private donations to the State or its agencies are or are not subject to this Article, the Executive Budget Act, depends upon the nature of the gift and the particular terms and directions of the donor. See opinion of Attorney General to Mr. Phillip J. Kirk, Jr., Secretary, Department of Human Resources, 56 N.C. Op. Att'y Gen. 10 (1986).

Student activity fees, which are assessed from students of the Schools for the Deaf pursuant to G.S. 115C-126.1 (see now 143B-216.44), are “State funds” and are subject to the fiscal control of this Article, the Executive Budget Act. See opinion of Attorney General to Mr. Phillip J. Kirk, Jr., Secretary, Department of Human Resources, 56 N.C. Op. Att'y Gen. 10 (1986).

Patient funds held by institutions operated by the Division of Mental Health, either in its capacity as representative payee of the patient’s Social Security income or as trustee of other personal funds received voluntarily from the patient or on his behalf, are not “State funds” and are not subject to this Article, the Executive Budget Act, or fiscal policies adopted pursuant to the Act. See opinion of Attorney General to Mr. Phillip J. Kirk, Jr., Secretary, Department of Human Resources, 56 N.C. Op. Att'y Gen. 10 (1986).

“Enterprise funds,” established for the enhancement of vocational rehabilitation services for clients of State-operated sheltered workshops, are “State funds” and are subject to the fiscal control of this Article, the Executive Budget Act. See opinion of Attorney General to Mr. Phillip J. Kirk, Jr., Secretary, Department of Human Resources, 56 N.C. Op. Att'y Gen. 10 (1986).

The Governor has authority to transfer money from the Wireless 911 Fund to avoid a budget deficit, although it is within his discretion as to whether to do so. See opinion of Attorney General to Mr. Charles B. Archer, Vice Chair, North Carolina Wireless 911 Board, (6/29/01).

Editor’s Note.

Session Laws 2009-451, s. 15.6, provides: “Notwithstanding the provisions of G.S. 143C-1-2(b), certification and renewal fees collected by the Dispute Resolution Commission are nonreverting and are only to be used at the direction of the Commission.”

For prior similar provisions, see Session Laws 2007-323, s. 14.9.

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2014-100, s. 6.7(a)-(g), provides: “(a) Finding. — The General Assembly finds that State budgeting is more transparent when the enacted budget for any given fiscal year appropriates all State funds intended for expenditure during that fiscal year, including funds encumbered in prior fiscal years, funds carried forward from prior fiscal years pursuant to statutory authority, and unearned revenue earned in a prior fiscal year.

“(b) Review of Current Practices. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall examine all of the following:

“(1) How funds in the General Fund are currently accounted for, including practices relating to (i) the reversion of appropriated funds to the General Fund, (ii) the appropriation of funds to pay obligations incurred in prior fiscal years, (iii) the movement of funds into and out of special funds, and (iv) related matters.

“(2) How the practices examined pursuant to subdivision (1) of this section compare with those of other states.

“(3) Whether any statutory or administrative changes would improve the transparency and accounting accuracy of the General Fund.

“(4) Whether the practices examined pursuant to subdivision (1) of this section comply with applicable standards of the Governmental Accounting Standards Board.

“(c) Pilot Program. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, may establish and operate a pilot program to test measures for improving the extent to which funds that are to be spent in a given fiscal year are properly budgeted in that fiscal year. The pilot program may be subject to the following:

“(1) The pilot program may include the following programs and funds:

“a. Some or all of the grant programs and special funds within the Department of Environment and Natural Resources.

“b. Some or all of the unexpended appropriations carried forward by The University of North Carolina pursuant to G.S. 116-30.3 .

“c. Any other programs and funds that are deemed to be suitable for inclusion in the pilot program.

“(2) Funds and programs that are included in the pilot program may be subject to the following requirements:

“a. An alternative liquidation period for encumbered funds that do not revert at the end of the 2014-2015 fiscal year under G.S. 143C-1-2(b).

“b. A requirement (i) that The University of North Carolina prepare an estimate of the amount of funds it anticipates will be carried forward into the 2015-2016 fiscal year pursuant to G.S. 116-30.3 and (ii) that this estimate be submitted to the Office of State Budget and Management and to the Fiscal Research Division no later than March 1, 2015.

“(d) Report. — No later than October 1, 2015, the Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall report the results of the review and pilot program required by this section to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget. The report may include a recommendation to extend the pilot program for an additional fiscal year, if this is deemed desirable.

“(e) Recommendations for an Alternative Pilot Program. — If the Office of State Budget and Management and the Office of the State Controller, in consultation with the General Assembly’s Fiscal Research Division, determine that the pilot program required by this section cannot be implemented, they shall report the reasons for reaching this conclusion, along with any other findings and recommendations for future action, to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget no later than February 1, 2015. If a report is submitted pursuant to this subsection, then the pilot program required by subsection (c) of this section shall not be implemented, but the review required by subsection (b) of this section shall nonetheless be performed.

“(f) Expiration of Pilot Program. — The pilot program required by this section shall expire upon the submission of the report required by subsection (d) of this section or the submission pursuant to subsection (e) of this section stating that the pilot program cannot be implemented.

“(g) Effective Date. — This section is effective when it becomes law and applies to funds appropriated for the 2014-2015 fiscal year and subsequent fiscal years.” Session Laws 2014-100, s. 6.7 became effective July 1, 2014.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.”

Session Laws 2014-100, s. 38.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year.”

Session Laws 2014-100, s. 38.7, is a severability clause.

Session Laws 2016-94, s. 14.20A(b), as amended by Session Laws 2017-17, s. 1, as amended by Session Laws 2019-75, s. 2, and as amended by Session Laws 2021-180, s. 12.8, provides: “Notwithstanding G.S. 143C-6-23(f1)(1) and G.S. 143C-1-2 , funds allocated by this section shall be held in reserve by the Office of State Budget and Management and the allocations to each County shall be released when the County and one or more of the municipalities specified in subsection (a) of this section reach agreement on the funds allocated to that County by this section through interlocal agreements or the formation of regional water and sewer authorities or a combination of interlocal agreements and regional water and sewer authorities. Funds not spent or encumbered by June 30, 2023, shall be returned by the local governments or regional water and sewer authority to the Office of State Budget and Management and revert to the General Fund.”

Session Laws 2017-17, s. 1(a), provides: “Of the funds appropriated to the Department of Environmental Quality, Division of Water Infrastructure, by this act, the sum of fourteen million five hundred forty-eight thousand nine hundred eighty-one dollars ($14,548,981) shall be used to fund interconnection, extension of water lines, and related water system modification and expansion involving the Counties of Rockingham and Guilford and the municipalities of Oak Ridge, Stokesdale, Summerfield, Reidsville, Madison, and Mayodan. Of the funds allocated by this section, no more than twenty-five percent (25%) of the funds shall be used for Guilford County and may include one or more of the municipalities listed in this section located in Guilford County, and no more than seventy-five percent (75%) shall be used for Rockingham County and may include one or more of the municipalities listed in this section located in Rockingham County. The funds allocated by this section may be spent for planning, design, survey, real property acquisition, construction, repair, and any other activities necessary to improve the performance and reliability and expand the capacity and service footprint of participating water systems in Rockingham and Guilford Counties. The Counties of Rockingham and Guilford and the municipalities participating in the interconnection and extension of water lines within each county funded by this section shall agree on the use of the funds allocated by this section through any combination of (i) interlocal agreements under Article 20 of Chapter 160A of the General Statutes that specify, at a minimum, the ownership of the water lines and infrastructure funded by this section and long-term maintenance, repair, and replacement responsibility or (ii) one or more regional water and sewer authorities under Article 1 of Chapter 162A of the General Statutes.”

Session Laws 2017-57, s. 11C.14(c), provides: “ G.S. 143C-1-2(b) shall not apply to funds appropriated for the 2016-2017 fiscal year for Eckerd Kids and Caring for Children’s Angel Watch program.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 18B.4(a), as amended by Session Laws 2018-97, s. 5.5, provides: “Notwithstanding G.S. 143C-1-2(b), for fiscal years 2018-2019, 2019-2020, and 2020-2021, the Judicial Department shall transfer any unexpended, unencumbered funds to Budget Code 22006-2006 to be used to implement an integrated information technology system (e-Courts) in accordance with G.S. 7A-343.2(b) . The cumulative sum transferred shall not exceed three percent (3%) of the Judicial Department’s certified budgets for Budget Code 12000, Administrative Office of the Courts, and Budget Code 12001, Office of Indigent Defense Services, for fiscal years 2018-2019, 2019-2020, and 2020-2021.”

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2021-180, s. 5.2(a)-(c), provides: “(a) Definitions. – For purposes of this act and the Committee Report described in Section 43.2 of this act, the following definitions apply:

“(1) Directed grant. – Nonrecurring funds allocated by a State agency to a non-State entity as directed by an act of the General Assembly.

“(2) Non-State entity. – As defined in G.S. 143C-1-1 .

“(b) Requirements. – Nonrecurring funds appropriated in this act as directed grants are subject to all of the following requirements:

“(1) Directed grants are subject to the provisions of subsections (b) through (k) of G.S. 143C-6-23 .

“(2) Directed grants of one hundred thousand dollars ($100,000) or less may be made in a single annual payment in the discretion of the Director of the Budget. Directed grants of more than one hundred thousand dollars ($100,000) shall be made in quarterly or monthly payments in the discretion of the Director of the Budget. A State agency administering a directed grant shall begin disbursement of funds to a non-State entity that meets all applicable requirements as soon as practicable, but no later than 100 days after the date this act becomes law.

“(3) Beginning on the first day of a quarter following the deadline provided in subdivision (2) of this subsection and quarterly thereafter, State agencies administering directed grants shall report to the Fiscal Research Division on the status of funds disbursed for each directed grant until all funds are fully disbursed. At a minimum, the report required under this subdivision shall include updates on (i) the date of the initial contact, (ii) the date the contract was sent to the entity receiving the funds, (iii) the date the disbursing agency received the fully executed contract back from the entity, (iv) the contract execution date, and (v) the payment date.

“(4) Notwithstanding any provision of G.S. 143C-1-2(b) to the contrary, nonrecurring funds appropriated in this act as directed grants shall not revert until June 30, 2023.

“(5) Directed grants to nonprofit organizations are for nonsectarian, nonreligious purposes only.

“(c) This section expires on June 30, 2023.

Session Laws 2021-180, s. 13.1(a)-(f), provides: “(a) Program Established; Purpose. — Funds allocated in this act from the State Capital and Infrastructure Fund to the Department of Labor shall be used by the Department for the Be Pro Be Proud initiative, a three-year mobile statewide workforce development pilot program to be administered by the North Carolina Home Builders Educational and Charitable Foundation (Foundation). The purpose of the pilot program is to stimulate student, parent, and educator interest in technical professions within the construction, manufacturing, transportation, and utility industries by emphasizing the high-tech, high-wage potential of these student career paths. The program shall also support progress towards North Carolina's postsecondary attainment goals to increase postsecondary degrees and certificates in the skilled trade professions. Of the funds allocated in this section, the sum of four million dollars ($4,000,000) shall be made available for equipment fabrication costs. Section 40.8 of this act shall apply as if the funds allocated by this section were a grant to a non-State entity except as otherwise provided in this subsection.

“(b) Components of the Program. — In meeting the goals of the pilot program, Be Pro Be Proud shall provide for at least the following:

“(1) A custom-built mobile workshop that brings elements of up to 12 skilled professions to middle and high school students through simulators and virtual reality experiences. Students will learn about various careers, job responsibilities, and average statewide wages for each career while stepping virtually into these professions. Students may engage directly with partners and will be invited to sign up to learn more about one or more professions of interest.

“(2) Information and data collection for students by setting up a digital profile on Be Pro Be Proud's national "Join the Movement" partnership. With the consent of parents and students participating in the mobile workshops, the data collected shall be shared with the Community Colleges System Office, Department of Public Instruction, Department of Commerce, myFutureNC Commission, industry associations, and companies that are prompted to connect with the potential student recruits. The database management system shall provide a connection for student internships, scholarships, apprenticeships, full-time jobs, and other opportunities.

“(3) Follow-up opportunities for interested students to pursue their interests through hands-on leadership opportunities, including gaining onsite learning experiences, volunteering, and participating in networking opportunities with potential job and postsecondary school recruiters.

“(4) Motivation for interested educators to stay engaged through a combination of outreach and professional development opportunities.

“(5) Operation of the pilot program to coincide with the public school instructional calendar and various events for students that take place throughout the summer. A Be Pro Be Proud team shall operate the day-to-day functions of the statewide tour and engage with students. Additional volunteers shall be recruited to assist with the pilot program, including partner associations, companies, and schools, as well as teachers, parents, and students.

“(6) In collaboration with the North Carolina Trucking Association (Association), the operation, implementation, and support for a workforce development program to increase operators with commercial drivers licenses, transportation dispatchers, and technicians across the State.

“(c) Administration. — The Department of Labor shall provide oversight of the Foundation's activities related to the Be Pro Be Proud initiative from funds available to the Department. The Foundation may use up to five percent (5%) of the total funds allocated by this section for its administrative costs.

“(d) Collaboration. — The Foundation shall coordinate with other interested public and private stakeholders to ensure the coordination of State efforts to develop a skilled trades workforce.

“(e) Retention of Funds. — Notwithstanding G.S. 143C-1-2(b), funds allocated in this act for the purposes set forth in this section shall not revert but shall remain available for nonrecurring expenditures for the purposes of this section until June 30, 2024.

“(f) Report. — The Department of Labor shall submit a report by April 1 of each year in which it spends State funds appropriated by this act for the Be Pro Be Proud initiative to the chairs of the Joint Legislative Oversight Committee on Agriculture and Natural and Economic Resources and the Fiscal Research Division regarding the activities undertaken with the funds appropriated by this section.”

Session Laws 2021-180, s. 40.8, provides: “Requirements. – For purposes of this Part, nonrecurring funds allocated from the State Capital and Infrastructure Fund as grants to non-State entities, as defined by G.S. 143C-1-1(d) , are subject to all of the following requirements:

“(1) As soon as practicable after the effective date of this act, each State agency administering grants shall begin disbursement of funds to each grantee non-State entity when all applicable requirements are met. However, disbursement of grant funds allocated for the 2021-2022 fiscal year shall commence no later than 100 days after the date this act becomes law, and disbursement in full to all grantees shall be completed no later than nine months after the date this act becomes law. Disbursement of grants allocated for the 2022-2023 fiscal year shall be completed no later than 100 days after the beginning of the 2022-2023 fiscal year.

“(2) G.S. 143C-6-23(b) through (f) and (f2) through (k) apply to the grants.

“(3) Notwithstanding any provision of G.S. 143C-1-2(b) to the contrary, unless otherwise indicated, nonrecurring funds appropriated in this Part as grants shall not revert until expended or the particular project has been completed.

“(4) Grants to each grantee non-State entity shall be used for nonsectarian, nonreligious purposes only.

“(5) By January 1, 2022, and then quarterly thereafter, the Office of State Budget and Management shall report to the Fiscal Research Division on the schedule for and status of grant disbursement. At a minimum, the report shall include the following for each grant:

“a. The date when the disbursing agency issued the initial contract.

“b. The date when the contract was sent to the grantee non-State entity.

“c. The date when the fully executed contract was returned to the disbursing agency.

“d. The date when the contract was executed.

“e. The date when a grant was disbursed in full.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the `Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2019-250, s. 5.11, effective November 18, 2019, rewrote the second sentence of subsection (a).

Editor’s Note.

Session Laws 2009-451, s. 6.6B, provides: “Notwithstanding G.S. 143C-1-3 or any other provision of law to the contrary, the Office of State Budget and Management and the Office of the State Controller shall consult with the Joint Legislative Commission on Governmental Operations prior to the establishment of a new special fund as defined in G.S. 143C-1-3 .”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009’.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2011-145, s. 6.4, provides: “Notwithstanding G.S. 143C-1-3 or any other provision of law to the contrary, the Office of State Budget and Management and the Office of the State Controller shall consult with the Joint Legislative Commission on Governmental Operations prior to the establishment of a new fund as defined in G.S. 143C-1-3 .”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.’ ”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(c), effective July 1, 2013, deleted “116-238” following “116-235” at the end of subsection (c).

Session Laws 2019-250, s. 5.9(a), effective November 18, 2019, in subdivision (a)(1), substituted “fiduciary funds” for “in trust funds for individuals, private organizations, or other governments”; in subdivision (a)(4), substituted “debt service” for “trusts for individuals, private organizations, or other governments”; substituted “Fiduciary” for “Agency and Trust” in the heading preceding subdivision (a)(8); in subdivision (a)(8), substituted “Custodial” for “Agency” in the heading and rewrote the second sentence which formerly read: “Agency funds typically involve only the receipt, temporary investment, and remittance of fiduciary resources to individuals, private organizations, or other governments.”; in subdivision (a)(10), substituted “pension plans, other postemployment benefit plans, and other employee benefit plans that meet certain Governmental Accounting Standards Board (GASB) criteria” for “the members and beneficiaries of defined benefit pension plans, defined contribution plans, other postemployment benefit plans, or other employee benefit plans”; and in subdivision (a)(11), substituted “that are not required to be reported in investment trust funds and pension and other employee benefit trust funds” for “under which principal and income benefit individuals, private organizations, or other governments.”

CASE NOTES

Appropriation of Federal Block Grant Funds. —

Governor’s claim challenging the General Assembly’s appropriation of federal block grant funds awarded to the State was properly dismissed as the block grant funds were, despite their source in the federal government, subject to appropriation by the General Assembly because Congress left the issue of state legislative appropriation of federal block grants for each state to determine; and, while some federal funds could be considered custodial agency funds, the State Budget Act treated federal block grants as state funds subject to appropriation through the statutory budgetary process, and the Governor did not identify any federal prohibition against treating the block grant funds as state funds subject to legislative appropriation. Cooper v. Berger, 268 N.C. App. 468, 837 S.E.2d 7, 2019 N.C. App. LEXIS 980 (2019), aff'd, 376 N.C. 22 , 852 S.E.2d 46, 2020 N.C. LEXIS 1133 (2020).

Editor’s Note.

Session Laws 2008-107, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2008’.”

Session Laws 2008-107, s. 30.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2008-2009 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2008-2009 fiscal year.”

Session Laws 2008-107, s. 30.5, is a severability clause.

Session Laws 2011-15, ss. 1 and 2, provide: “Section 1.(a) Except as provided in subsection (b) of this section and notwithstanding the State Budget Act or any other provision of law, the Director of the Budget shall increase General Fund availability for the 2011-2012 fiscal year by the sum of five hundred thirty-seven million seven hundred forty thousand seven hundred ninety-nine dollars ($537,740,799) by:

“(1) Taking all actions necessary to reduce General Fund expenditures for the remainder of the 2010-2011 fiscal year. This grant of authority includes all powers to balance the budget granted the Governor under Article III, Section 5 of the North Carolina Constitution.

“(2) Identifying and not expending funds in non-General Fund accounts for transfer to the General Fund on June 30, 2011.

“(b) This section does not apply to funds available to the Judicial Branch or the Legislative Branch.

“Section 2. This act is effective when it becomes law [March 25, 2011] and applies to the 2010-2011 fiscal year only.”

Session Laws 2011-145, s. 6.5(a)-(d), had provided for interim appropriations committees, meetings, and a requirement for consultation by the Governor prior to certain budgetary actions, during the period between legislative sessions. Session Laws 2012-142, s. 6.1, effective July 1, 2012, repealed s. 6.5 of Session Laws 2011-145.

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.’ ”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5 is a severability clause.

Session Laws 2012-2, s. 2, provides: “Notwithstanding any other provision of law, neither the Director of the Budget nor any other State official, officer, or agency shall draw down or transfer unearned or borrowed receipts or other funds if doing so would create or increase a financial obligation in the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.’ ”

Session Laws 2014-100, s. 38.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year.”

Session Laws 2014-100, s. 38.7, is a severability clause.

Editor’s Note.

Session Laws 2006-259, s. 40(g) was repealed, pursuant to the terms of Session Laws 2006-259, s. 40(i), upon Session Laws 2006-221 becoming law.

Effect of Amendments.

Session Laws 2006-66, s. 6.19(g), as added by Session Laws 2006-221, s. 3A, effective July 1, 2007, substituted “Legislative Services Officer” for “Legislative Administrative Officer” in the first sentence.

Editor’s Note.

The statutory reference in subdivision (e)(2) was changed with approval of the Reviser of Statutes to conform to the recodification by Session Laws 2015-241.

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2017-57, s. 36.2(b), provides: “Notwithstanding G.S. 143C-3-3(b), the University of North Carolina at Chapel Hill may use the funds appropriated to it in subsection (a) of this section to develop plans for the construction of a new business school building.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.’ ”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 36.2(b), provides: “Notwithstanding G.S. 143C-3-3(b), the University of North Carolina at Wilmington may use the funds appropriated to it in subsection (a) of this section for planning for a library.” Subsection (a) of the act provides for an appropriation from the Project Reserve Account, established pursuant to G.S. 143C-8-10 for the 2017-2018 fiscal year.

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.’ ”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-117, s. 5(a), effective July 1, 2007, deleted “and cash flow requirements” following “project costs” in subdivision (c)(2).

Session Laws 2011-145, s. 30.12(a), effective July 1, 2011, added the exceptions at the end of subdivisions (c)(3), (d)(1), and (d)(3).

Session Laws 2013-360, s. 6.12(j), effective July 1, 2013, in subsection (b), substituted “the requirement in” for “subsections (c), (d), and (c) of this section, pursuant to,” added “that” preceding “the Board” and “requests shall comply with subsections (c), (d), and (e) of this section,” and deleted “shall” following “Board of Governors” and “including” following “North Carolina”; in subsection (e), added “or” following “General Assembly,” and deleted “or The University of North Carolina” following “Courts” at the end.

Session Laws 2015-241, s. 7A.4(cc), effective July 1, 2015, in subsection (e), rewrote the introductory language and subdivisions (e)(2) and (e)(3).

Session Laws 2015-241, s. 31.9, effective July 1, 2015, rewrote subsection (b).

Session Laws 2015-268, s. 9.3, effective October 1, 2015, added the last sentence of subdivision (b)(2).

Session Laws 2020-81, s. 4(e), effective July 1, 2020, added the concluding paragraph of subsection (b).

Editor’s Note.

Session Laws 2013-360, s. 12A.2(c)-(g), provides: “(c) No later than December 1, 2013, each nonprofit organization receiving funding pursuant to subsection (b) of this section shall submit to the Division of Central Management and Support a written report of all activities funded by State appropriations. The report shall include the following information about the fiscal year preceding the year in which the report is due:

“(1) The entity’s mission, purpose, and governance structure.

“(2) A description of the types of programs, services, and activities funded by State appropriations.

“(3) Statistical and demographical information on the number of persons served by these programs, services, and activities, including the counties in which services are provided.

“(4) Outcome measures that demonstrate the impact and effectiveness of the programs, services, and activities.

“(5) A detailed program budget and list of expenditures, including all positions funded and funding sources.

“(6) The source and amount of any matching funds received by the entity.

“(d) It is the intent of the General Assembly that, beginning fiscal year 2014-2015, the Department implement a competitive grants process for nonprofit funding. To that end, the Department shall develop a plan that establishes a competitive grants process to be administered by the Division of Central Management and Support. The Department shall develop a plan that, at a minimum, includes each of the following:

“(1) A request for application (RFA) process to allow nonprofits to apply for and receive State funds on a competitive basis.

“(2) A requirement that nonprofits match a minimum of ten percent (10%) of the total amount of the grant award.

“(3) A requirement that the Secretary prioritize grant awards to those nonprofits that are able to leverage non-State funds in addition to the grant award.

“(4) A process that awards grants to nonprofits dedicated to providing services on a statewide basis and that support any of the following State health and wellness initiatives:

“a. A program targeting advocacy, support, education, or residential services for persons diagnosed with autism.

“b. A comprehensive program of education, advocacy, and support related to brain injury and those affected by brain injury.

“c. A system of residential supports for those afflicted with substance abuse addiction.

“d. A program of advocacy and supports for individuals with intellectual and developmental disabilities or severe and persistent mental illness, substance abusers, or the elderly.

“e. Supports and services to children and adults with developmental disabilities or mental health diagnoses.

“f. A food distribution system for needy individuals.

“g. The provision and coordination of services for the homeless.

“h. The provision of services for individuals aging out of foster care.

“i. Programs promoting wellness, physical activity, and health education programming for North Carolinians.

“j. A program focused on enhancing vision screening through the State’s public school system.

“k. Provision for the delivery of after-school services for at-risk youth.

“ l . The provision of direct services for amyotrophic lateral sclerosis (ALS) and those diagnosed with the disease.

“m. The provision of assistive information technology services for blind and disabled persons.

“(5) Ensures that funds received by the Department to implement the plan supplement and do not supplant existing funds for health and wellness programs and initiatives.

“(e) No later than February 1, 2014, the Secretary of Health and Human Services shall develop a plan for the implementation of the competitive grants process for nonprofit funding and shall report to the Joint Legislative Oversight Committee on Health and Human Services on the plan.

“(f) No later than March 1, 2014, the Secretary of Health and Human Services shall implement the plan for the competitive grants process.

“(g) No later than July 1, 2014, the Secretary shall announce the recipients of the competitive grant awards and allocate funds to the grant recipients for the 2014-2015 fiscal year pursuant to the amounts designated under subsection (a) of this section. After awards have been granted, the Secretary shall submit a report to the Joint Legislative Oversight Committee on Health and Human Services on the grant awards that includes at least all of the following:

“(1) The identity and a brief description of each grantee and each program or initiative offered by the grantee.

“(2) The amount of funding awarded to each grantee.

“(3) The number of persons served by each grantee, broken down by program or initiative.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2013-360, s. 12A.2(a), as amended by Session Laws 2014-100, s. 12A.1.(a), provides: “Of the funds appropriated in this act to the Department of Health and Human Services, Division of Central Management and Support, the sum of nine million five hundred twenty-nine thousand one hundred thirty-four dollars ($9,529,134) in recurring funds for the 2013-2014 fiscal year and the sum of nine million one hundred three thousand nine hundred eleven dollars ($9,103,911) in recurring funds for the 2014-2015 fiscal year, the sum of three hundred seventeen thousand four hundred dollars ($317,400) in nonrecurring funds for each year of the 2013-2015 fiscal biennium, and the sum of three million eight hundred fifty-two thousand five hundred dollars ($3,852,500) appropriated in Section 12J.1 of this act in Social Services Block Grant funds for each year of the 2013-2015 fiscal biennium shall be used to allocate funds for nonprofit organizations.”

Session Laws 2013-360, s. 12A.2.(c)-(h), as amended by Session Laws, 2014-100, s. 12A.1, provides: “(c) No later than December 1, 2013, each nonprofit organization receiving funding pursuant to subsection (b) of this section shall submit to the Division of Central Management and Support a written report of all activities funded by State appropriations. The report shall include the following information about the fiscal year preceding the year in which the report is due:

“(1) The entity’s mission, purpose, and governance structure.

“(2) A description of the types of programs, services, and activities funded by State appropriations.

“(3) Statistical and demographical information on the number of persons served by these programs, services, and activities, including the counties in which services are provided.

“(4) Outcome measures that demonstrate the impact and effectiveness of the programs, services, and activities.

“(5) A detailed program budget and list of expenditures, including all positions funded and funding sources.

“(6) The source and amount of any matching funds received by the entity.

“(d) It is the intent of the General Assembly that, beginning fiscal year 2014-2015, the Department implement a competitive grants process for nonprofit funding. To that end, the Department shall develop a plan that establishes a competitive grants process to be administered by the Division of Central Management and Support. The Department shall develop a plan that, at a minimum, includes each of the following:

“(1) A request for application (RFA) process to allow nonprofits to apply for and receive State funds on a competitive basis.

“(2) A requirement that nonprofits match a minimum of ten percent (10%) of the total amount of the grant award.

“(3) A requirement that the Secretary prioritize grant awards to those nonprofits that are able to leverage non-State funds in addition to the grant award.

“(4) A process that awards grants to nonprofits dedicated to providing services on a statewide basis and that support any of the following State health and wellness initiatives:

“a. A program targeting advocacy, support, education, or residential services for persons diagnosed with autism.

“b. Repealed by Session Laws 2014-100, s. 12A.1, effective July 1, 2014.

“c. A system of residential supports for those afflicted with substance abuse addiction.

“d. A program of advocacy and supports for individuals with intellectual and developmental disabilities or severe and persistent mental illness, substance abusers, or the elderly.

“e. Supports and services to children and adults with developmental disabilities or mental health diagnoses.

“f. A food distribution system for needy individuals.

“g. The provision and coordination of services for the homeless.

“h. The provision of services for individuals aging out of foster care.

“i. Programs promoting wellness, physical activity, and health education programming for North Carolinians.

“j. A program focused on enhancing vision screening through the State’s public school system.

“k. Provision for the delivery of after-school services for apprenticeships or mentoring at-risk youth.

“ l . The provision of direct services for amyotrophic lateral sclerosis (ALS) and those diagnosed with the disease.

“m. The provision of assistive information technology services for blind and disabled persons.

“(5) Ensures that funds received by the Department to implement the plan supplement and do not supplant existing funds for health and wellness programs and initiatives.

“(e) No later than February 1, 2014, the Secretary of Health and Human Services shall develop a plan for the implementation of the competitive grants process for nonprofit funding and shall report to the Joint Legislative Oversight Committee on Health and Human Services on the plan.

“(f) No later than March 1, 2014, the Secretary of Health and Human Services shall implement the plan for the competitive grants process.

“(g) No later than July 1, 2014, the Secretary shall announce the recipients of the competitive grant awards and allocate funds to the grant recipients for the 2014-2015 fiscal year pursuant to the amounts designated under subsection (a) of this section. After awards have been granted, the Secretary shall submit a report to the Joint Legislative Oversight Committee on Health and Human Services on the grant awards that includes at least all of the following:

“(1) The identity and a brief description of each grantee and each program or initiative offered by the grantee.

“(2) The amount of funding awarded to each grantee.

“(3) The number of persons served by each grantee, broken down by program or initiative.”

“(h) For fiscal year 2014-2015 only, from the sum of nine million one hundred three thousand nine hundred eleven dollars ($9,103,911) referred to in subsection (a) of this section, the Department shall allocate the sum of one hundred seventy-five thousand dollars ($175,000) to St. Gerard House for the purpose of assisting individuals with autism spectrum disorders (ASD), learning disabilities, developmental delays, and behavioral health needs. St. Gerard House shall be required to seek future funding through the competitive grants process in accordance with subsection (d) of this section.”

Editor’s Note.

Session Laws 2014-100, s. 6.4(h), made the amendment to subsection (b) by Session Laws 2014-100, s. 6.4(c), applicable beginning with the recommended State budget of the 2015-2017 fiscal biennium.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.”

Session Laws 2014-100, s. 38.7, is a severability clause.

The statutory reference in subdivision (b)(4) was changed with approval of the Revisor of Statutes to conform to the recodification by Session Laws 2015-241.

Session Laws 2017-5, s. 2 and Session Laws 2017-57, s. 36.12(d), both enacted a subdivision (b)(6). Subdivision (b)(6), as enacted by Session Laws 2017-57, s. 36.12(d) has been redesignated as subdivision (b)(7) at the direction of the Revisor of Statutes.

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2021-180, s. 5.5(c), made the amendments to subsections (b) and (c) of this section by Session Laws 2021-180, s. 5.5(b), effective July 1, 2021, and applicable beginning with the 2022-2023 fiscal year.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-393, s. 4, effective October 1, 2007, substituted “recommendations, consistent with G.S. 143C-3-1 , 143C-3-2, and 143C-3-3” for “recommendations” in subsection (a).

Session Laws 2012-194, s. 34, effective July 17, 2012, in subdivision (b)(3), substituted “Appropriations” for “Appropriation”; in subdivision (b)(4), substituted “G.S. 147-33.72B” for “G.S. 147-33-72B”; and in subsection (d), substituted “Section 7(1)” for “Section 7(a).”

Session Laws 2013-360, s. 6.12(e), effective July 1, 2013, substituted “Availability” for “Revenue” in the subsection heading of subsection (e).

Session Laws 2013-360, s. 6.12(k), effective July 1, 2013, deleted “Fiscal” following “Numbered” in the subsection heading of subsections (b) and (c); deleted the former last sentence in subdivision (b)(1), which read “The Director shall include as continuation requirements the amounts the Director proposes to fund for the enrollment increases in public schools, community colleges, and the university system”; added subdivisions (b)(1a) and (b)(5); and added “and all funds established for The University of North Carolina and its constituent institutions that are subject to this Chapter” in subsection (d).

Session Laws 2014-100, s. 6.4(c), effective July 1, 2014, in subsection (b), substituted “base budget requirements” for “continuation requirements” and “base budget” for “continuation budget.” See Editor’s note for applicability.

Session Laws 2015-241, s. 7A.4(dd), effective July 1, 2015, substituted “Part 2 of Article 15 of Chapter 143B of the General Statutes” for “G.S. 147-33.72B” in subdivision (b)(4).

Session Laws 2017-5, s. 2, effective October 1, 2017, added subdivision (b)(6).

Session Laws 2017-57, s. 6.6(c) effective July 1, 2017, substituted “State Budget.” for “State Budget, together with a Capital Improvements Appropriations Act that authorizes any capital improvements projects.” in subdivision (b)(3); and substituted “Appropriations Act” for “Appropriation Act and a recommended Capital Improvements Appropriations Act as necessary” in end of the second sentence of subsection (c).

Session Laws 2017-57, s. 36.12(d), effective July 1, 2019, added subdivision (b)(7).

Session Laws 2019-250, s. 5.9(b), effective November 18, 2019, in subdivision (b)(1a), deleted “in the budget support document” following “shall be presented”; in subdivision (b)(2), substituted “Recommended Base Budget” for “Budget Support Document” throughout the subdivision; in subdivision (b)(3), added “recommended” following “A” at the beginning of the sentence; in subdivision (b)(5), added the last sentence; in subsection (d), added “Recommended Base Budget and Recommended Capital Improvements” preceding “Budget Support Document.”

Session Laws 2021-180, s. 5.5(b), effective July 1, 2021, inserted “changes in program fund sources” in the second sentence of subdivision (b)(1); added the second sentence of subdivision (b)(2)c.; and in subsection (c), inserted “changes in program fund sources” in the second sentence and substituted “required by subsection (b) of this section,” for “required by G.S. 143C-3-5(b)” in the last sentence. For effective date and applicability, see editor's note.

CASE NOTES

Appropriation of Federal Block Grant Funds. —

Governor’s claim challenging the General Assembly’s appropriation of federal block grant funds awarded to the State was properly dismissed as the block grant funds were, despite their source in the federal government, subject to appropriation by the General Assembly because Congress left the issue of state legislative appropriation of federal block grants for each state to determine; and, while some federal funds could be considered custodial agency funds, the State Budget Act treated federal block grants as state funds subject to appropriation through the statutory budgetary process, and the Governor did not identify any federal prohibition against treating the block grant funds as state funds subject to legislative appropriation. Cooper v. Berger, 268 N.C. App. 468, 837 S.E.2d 7, 2019 N.C. App. LEXIS 980 (2019), aff'd, 376 N.C. 22 , 852 S.E.2d 46, 2020 N.C. LEXIS 1133 (2020).

Editor’s Note.

Session Laws 2010-31, s. 2.2(c), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall not transfer funds to the Savings Reserve Account on June 30, 2010. This subsection becomes effective June 30, 2010.”

Session Laws 2010-31, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2010.”

Session Laws 2010-31, s. 32.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2010-2011 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2010-2011 fiscal year.”

Session Laws 2010-31, s. 32.6, is a severability clause.

Session Laws 2011-145, s. 2.2(m), as amended by Session Laws 2011-395, s. 5(b), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer only one hundred eighty-three million six hundred fifty thousand dollars ($183,650,000) from the unreserved fund balance to the Savings Reserve Account on June 30, 2011. This is not an ‘appropriation made by law,’ as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2011.”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2012-142, s. 2.2(d), provides: “Notwithstanding G.S. 143C-4-2 and pursuant to subsection (a) of this section, the State Controller shall transfer one hundred twenty-three million one hundred seventy thousand nine hundred twenty-four dollars ($123,170,924) from the unreserved fund balance to the Savings Reserve Account on June 30, 2012.”

“This is not an ‘appropriation made by law,’ as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution.”

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Session Laws 2013-360, s. 2.2(d), as amended by Session Laws 2014-100, s. 2.2(c), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer a total of two hundred thirty-two million five hundred thirty-seven thousand nine hundred forty-two dollars ($232,537,942) from the unreserved fund balance to the Savings Reserve Account on June 30, 2013; the State Controller shall not transfer funds from the unreserved fund balance to the Savings Reserve Account for the 2014-2015 fiscal year on June 30, 2014. The transfer for the 2013-2014 fiscal year is not an “appropriation made by law,” as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2013.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2014-100, s. 6.7(a)-(g), provides: “ (a) Finding. — The General Assembly finds that State budgeting is more transparent when the enacted budget for any given fiscal year appropriates all State funds intended for expenditure during that fiscal year, including funds encumbered in prior fiscal years, funds carried forward from prior fiscal years pursuant to statutory authority, and unearned revenue earned in a prior fiscal year.

“(b) Review of Current Practices. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall examine all of the following:

“(1) How funds in the General Fund are currently accounted for, including practices relating to (i) the reversion of appropriated funds to the General Fund, (ii) the appropriation of funds to pay obligations incurred in prior fiscal years, (iii) the movement of funds into and out of special funds, and (iv) related matters.

“(2) How the practices examined pursuant to subdivision (1) of this section compare with those of other states.

“(3) Whether any statutory or administrative changes would improve the transparency and accounting accuracy of the General Fund.

“(4) Whether the practices examined pursuant to subdivision (1) of this section comply with applicable standards of the Governmental Accounting Standards Board.

“(c) Pilot Program. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, may establish and operate a pilot program to test measures for improving the extent to which funds that are to be spent in a given fiscal year are properly budgeted in that fiscal year. The pilot program may be subject to the following:

“(1) The pilot program may include the following programs and funds:

“a. Some or all of the grant programs and special funds within the Department of Environment and Natural Resources.

“b. Some or all of the unexpended appropriations carried forward by The University of North Carolina pursuant to G.S. 116-30.3 .

“c. Any other programs and funds that are deemed to be suitable for inclusion in the pilot program.

“(2) Funds and programs that are included in the pilot program may be subject to the following requirements:

“a. An alternative liquidation period for encumbered funds that do not revert at the end of the 2014-2015 fiscal year under G.S. 143C-1-2(b).

“b. A requirement (i) that The University of North Carolina prepare an estimate of the amount of funds it anticipates will be carried forward into the 2015-2016 fiscal year pursuant to G.S. 116-30.3 and (ii) that this estimate be submitted to the Office of State Budget and Management and to the Fiscal Research Division no later than March 1, 2015.

“(d) Report. — No later than October 1, 2015, the Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall report the results of the review and pilot program required by this section to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget. The report may include a recommendation to extend the pilot program for an additional fiscal year, if this is deemed desirable.

“(e) Recommendations for an Alternative Pilot Program. — If the Office of State Budget and Management and the Office of the State Controller, in consultation with the General Assembly’s Fiscal Research Division, determine that the pilot program required by this section cannot be implemented, they shall report the reasons for reaching this conclusion, along with any other findings and recommendations for future action, to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget no later than February 1, 2015. If a report is submitted pursuant to this subsection, then the pilot program required by subsection (c) of this section shall not be implemented, but the review required by subsection (b) of this section shall nonetheless be performed.

“(f) Expiration of Pilot Program. — The pilot program required by this section shall expire upon the submission of the report required by subsection (d) of this section or the submission pursuant to subsection (e) of this section stating that the pilot program cannot be implemented.”

“(g) Effective Date. — This section is effective when it becomes law and applies to funds appropriated for the 2014-2015 fiscal year and subsequent fiscal years.” Session Laws 2014-100, s. 6.7 became effective July 1, 2014.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.”

Session Laws 2014-100, s. 38.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year.”

Session Laws 2014-100, s. 38.7, is a severability clause.

Session Laws 2015-133, s. 5(b), provides: “Notwithstanding G.S. 143C-4-2 , for the 2014-2015 fiscal year only, funds shall not be reserved to the Savings Reserve Account, and the State Controller shall not transfer funds from the unreserved credit balance to the Savings Reserve Account on June 30, 2015.”

Session Laws 2015-241, s. 2.2(e), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer a total of two hundred million dollars ($200,000,000) from the unreserved fund balance to the Savings Reserve Account on June 30, 2015. This transfer is not an “appropriation made by law,” as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2015.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015. ”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2016-94, s. 2.2(c), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer a total of four hundred seventy-three million six hundred sixteen thousand eight hundred one dollars ($473,616,801) from the unreserved fund balance to the Savings Reserve Account on June 30, 2016. This transfer is not an ‘appropriation made by law,’ as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2016.”

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016. ”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Session Laws 2017-5, s. 7, provides: “During the 2019 Regular Session of the General Assembly, it is the intent of the General Assembly to study whether the changes to the Savings Reserve enacted in this act have successfully accomplished its purpose of establishing and maintaining sufficient reserves to address unanticipated events and circumstances, such as natural disasters, economic downturns, threats to public safety, health, and welfare, and other emergencies.”

Session Laws 2017-5, s. 8, provides: “The Office of State Budget and Management and the Fiscal Research Division shall commence development of the methodology for arriving at the consensus estimate required in G.S. 143C-4-2(f), as enacted by this act.”

Session Laws 2017-57, s. 2.2(c), provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer a total of three hundred sixty-three million nine hundred twenty-eight thousand three hundred seventy dollars ($363,928,370) from the unreserved fund balance to the Savings Reserve Account on June 30, 2017. This transfer is not an “appropriation made by law,” as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2017.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 2.2(d), provides: “Notwithstanding any provision of G.S. 143C-4-2 to the contrary, the State Controller shall transfer the sum of fifty-nine million seven hundred fifty-five thousand two hundred thirty dollars ($59,755,230) in nonrecurring funds for the 2018-2019 fiscal year from the Savings Reserve to the State Emergency Response/Disaster Relief Reserve in the General Fund.”

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2018-134, 3rd Ex. Sess., s. 1.1, provides: “This act shall be known as ‘The Hurricane Florence Emergency Response Act.”

Session Laws 2018-134, 3rd Ex. Sess., s. 4.1, provides: “Notwithstanding G.S. 143C-4-2 , the State Controller shall transfer the sum of fifty-six million five hundred thousand dollars ($56,500,000) for the 2018-2019 fiscal year from the Savings Reserve in the General Fund to the Hurricane Florence Disaster Recovery Fund and these funds are appropriated within the Fund and shall be allocated as follows:

“(1) Six million five hundred thousand dollars ($6,500,000) to the Department of Public Instruction to supplement or replace lost compensation of school lunch employees due to school closures resulting from Hurricane Florence.

“(2) Fifty million dollars ($50,000,000) for the following purposes related to Hurricane Florence:

“a. To provide the State match for federal disaster assistance programs.

“b. To pay for the costs and the relief and assistance authorized by G.S. 166A-19.42(b). This sub-subdivision applies to the North Carolina counties that are or become designated under a major disaster declaration by the President of the United States under the Stafford Act (P.L. 93-288) as a result of Hurricane Florence.”

Session Laws 2018-134, 3rd Ex. Sess., s. 5.2, provides: “It is the intent of the General Assembly to review in 2018 and 2019 the funds appropriated by Congress for disaster relief and to consider actions needed to address any remaining unmet needs. It is also the intent of the General Assembly to review the adequacy of the measures funded by Section 4.1 of this act at that time.”

Session Laws 2018-138, s. 1.5, provides: “Notwithstanding Section 4.1 of S.L. 2018-134 and Section 4.1 of S.L. 2018-136, of the funds appropriated in the Hurricane Florence Disaster Recovery Fund to the Department of Public Safety for state match for federal disaster assistance the following may be used as follows:

“(1) Up to twenty million dollars ($20,000,000) may be made available by the Office of Recovery and Resiliency in the Department of Public Safety (Office) to provide loans to local governments in counties designated under a major disaster declaration by the President of the United States under the Stafford Act (P.L. 93-288) as a result of Hurricane Florence to assist with cash flow management while the local governments await federal reimbursement. The Office shall enter into agreements with local governments to ensure the proper use of the funds and the return of the funds to the State once the local governments have received federal reimbursement. The Office shall operate the program on a revolving loan fund basis to assist the maximum number of local governments possible. Funds returned to the State shall be deposited in the Hurricane Florence Disaster Recovery Fund created in S.L. 2018-136.

“(2) Five million dollars ($5,000,000) to the Back@Home North Carolina in the Department of Health and Human Services, a time-limited program, to prevent homelessness and create stability and long-term self-sufficiency for individuals displaced by Hurricane Florence.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2017-5, s. 1, effective October 1, 2017, rewrote this section.

Session Laws 2018-30, s. 2(c), effective October 1, 2018, added subsections (i) and (j).

Session Laws 2021-180, s. 5.6, effective July 1, 2021, in subsection (d), inserted “the lesser of (i)”, substituted “General Fund or (ii) the amount that would” for “General Fund, except that if that transfer would” and “reach” for “exceed”, and deleted “then the amount transferred pursuant to this subsection shall be reduced accordingly” following “subsection (f) of this section”; and in subsection (e), substituted, in the introductory language “Transfers” for Actual Transfers”, in the first sentence, “amount included for transfer pursuant to” for “estimated growth amount required by”, and rewrote the second sentence which read, “The Office of State Controller shall adjust the amount of the transfer to the Savings Reserve to achieve an amount equivalent to fifteen percent (15%) of the actual growth.”

Editor’s Note.

Former G.S.143C-3. Repairs and Renovations Reserve, was derived from Session Laws 2006-203, s. 3; and amended by 2011-145, s. 30.11(a); 2012-142, s. 26.11; 2013-360, ss. 6.12( l ), 36.5(d); 2015-241, s. 7A.3; 2016-94, s. 37.5.

Session Laws 2017-57, s. 36.12(a), provides: “Effective July 1, 2019, G.S. 143C-4-3 is repealed.”

Session Laws 2017-57, s. 36.5(e), as amended by Session Laws 2017-197, s. 9.1, as amended by Session Laws 2018-5, s. 36.5(e), provides: “Notwithstanding G.S. 143C-4-3 , of the funds allocated from the Reserve for Repairs and Renovations for the 2017-2018 fiscal year, the following sums shall be allocated for the following projects:

“(1) One million seven hundred fifty thousand dollars ($1,750,000) shall be allocated to the Department of Public Safety to be provided to the North Carolina National Guard for the demolition of Western Youth Correctional Facility.

“(2) Two million dollars ($2,000,000) shall be allocated to the Department of Natural and Cultural Resources for the repairs and renovation projects involving the U.S.S. North Carolina Battleship.

“(3) Three hundred thousand dollars ($300,000) shall be allocated to weatherproof Goodwin Hall and Joiner Hall at the North Carolina School for the Deaf in Morganton.

“(4) Ten million dollars ($10,000,000) shall be allocated for the comprehensive renovation and repurposing of West Hall at the University of North Carolina at Pembroke.

“(5) Two million five hundred thousand dollars ($2,500,000) shall be allocated to the Department of Natural and Cultural Resources, Division of Parks and Recreation, for repair and renovation projects at Morrow Mountain State Park in Stanly County.

“(6) Four million five hundred thousand dollars ($4,500,000) shall be allocated to the Department of Natural and Cultural Resources for repair and renovation projects at the North Carolina Zoological Park.

“(7) Two million two hundred thousand dollars ($2,200,000) shall be allocated to the Department of Public Safety to renovate the former North Piedmont Correctional Center for Women to allow for portions to be used for a female Confinement Response to Violation (CRV) facility.

“(8) Notwithstanding G.S. 143C-3-3 , for the 2017-2018 fiscal year only, Seven hundred fifty thousand dollars ($750,000) shall be allocated to create a plan for the energy production facility replacement project at Western Carolina University.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.’ ”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 2.2(b), provides: “Notwithstanding the provisions of G.S. 143C-4-3(a), the State Controller shall transfer a total of sixty-four million seven hundred ninety-eight thousand nine hundred thirty dollars ($64,798,930) from the unreserved fund balance to the Repairs and Renovations Reserve on June 30, 2018. Funds transferred under this section to the Repairs and Renovations Reserve are appropriated for the 2018-2019 fiscal year and shall be used in accordance with Section 36.5 of this act.”

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.’ ”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2011-145, s. 30.11(a), effective July 1, 2011, added subsection (d).

Session Laws 2012-142, s. 26.11, effective July 1, 2012, added subsection (e).

Session Laws 2013-360, s. 36.5(d), effective July 1, 2013, added “or (ii) State Information Technology Services facilities and related infrastructure” in subsection (b).

Session Laws 2013-360, s. 6.12( l ), effective July 1, 2013, deleted “Account” following “Reserve” throughout the section; rewrote subsection (d); added subdivisions (d)(1) and (d)(2); and deleted subsection (e).

Session Laws 2015-241, s. 7A.3, effective July 1, 2015, substituted “Department of Information Technology” for “State Information Technology Services” in clause (ii) of the introductory paragraph of subsection (b).

Session Laws 2016-94, s. 37.5, effective July 1, 2016, added “or installation of new” near the beginning of subdivision (b)(4); and added subdivision (b)(13).

Editor’s Note.

Session Laws 2017-57, s. 39.7, made this section effective July 1, 2019.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2018-5, s. 36.8(a), effective July 1, 2019, deleted the former second sentence of subsection (d), which read: “Upon calculation of the actual net State tax revenue collections that are deposited in the General Fund, the Office of State Controller shall adjust the amount of the transfer to the Fund to achieve an amount equivalent to four percent (4%) of collections.”

Session Laws 2020-81, s. 4(f), effective July 1, 2020, added “General Fund” in subdivision (b)(3); substituted “supported by the General Fund. In addition to meeting the debt service obligations supported by the General Fund” for “of the State. In addition to meeting the State’s debt service obligations” in the introductory paragraph of subsection (e); added subdivisions (e)(3) and (e)(4); and added subsections (g) and (h).

Session Laws 2021-180, s. 5.7(a), effective June 30, 2021, rewrote the introductory paragraph of subsection (b); rewrote subdivision (b)(1); deleted subdivisions (b)(2) through (b)(4); rewrote subsection (c); and deleted subsection (d).

Session Laws 2021-180, s. 40.12, effective July 1, 2021, added the second sentence in subdivision (e)(4).

Editor’s Note.

Session Laws 2013-360, s. 6.1, as amended by Session Laws 2013-363, s. 1.4, provides: “For the 2013-2015 fiscal biennium and notwithstanding the provisions of G.S. 143C-4-4(b), funds appropriated to the Contingency and Emergency Fund may be used only for expenditures required (i) by a court or Industrial Commission order, (ii) to respond to events as authorized under G.S. 166A-19.40(a) of the North Carolina Emergency Management Act, (iii) by the State Treasurer to pay death benefits as authorized under Article 12A of Chapter 143 of the General Statutes, (iv) by the Office of the Governor for crime rewards in accordance with G.S. 15-53 and G.S. 15-53.1 , (v) by the Industrial Commission for supplemental awards of compensation, or (vi) by the Department of Justice for legal fees. These funds shall not be used for other statutorily authorized purposes or for any other contingencies and emergencies.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2013-360, s. 6.1, as amended by Session Laws 2013-363, s. 1.4, and as amended by Session Laws 2014-100, s. 6.12, provides: “For the 2013-2015 fiscal biennium and notwithstanding the provisions of G.S. 143C-4-4(b), funds appropriated to the Contingency and Emergency Fund may be used only for expenditures required (i) by a court or Industrial Commission order, (ii) to respond to events as authorized under G.S. 166A-19.40(a) of the North Carolina Emergency Management Act, (iii) by the State Treasurer to pay death benefits as authorized under Article 12A of Chapter 143 of the General Statutes, (iv) by the Office of the Governor for crime rewards in accordance with G.S. 15-53 and G.S. 15-53.1 , (v) by the Industrial Commission for supplemental awards of compensation, (vi) by the Department of Justice for legal fees, or (vii) for litigation expenses incurred by State agencies in defense of the State during the 2014-2015 fiscal year, in an amount not to exceed seven hundred fifty thousand dollars ($750,000), as approved by the Office of State Budget and Management.

“These funds shall not be used for other statutorily authorized purposes or for any other contingencies and emergencies.”

Session Laws 2015-241, s. 6.1, provides: “For the 2015-2017 fiscal biennium and notwithstanding the provisions of G.S. 143C-4-4(b), funds appropriated to the Contingency and Emergency Fund may be used only for expenditures required (i) by a court or Industrial Commission order, (ii) to respond to events as authorized under G.S. 166A-19.40(a) of the North Carolina Emergency Management Act, (iii) by the State Treasurer to pay death benefits as authorized under Article 12A of Chapter 143 of the General Statutes, (iv) by the Office of the Governor for crime rewards in accordance with G.S. 15-53 and G.S. 15-53.1 , (v) by the Industrial Commission for supplemental awards of compensation, or (vi) by the Department of Justice for legal fees. These funds shall not be used for other statutorily authorized purposes or for any other contingencies and emergencies.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2017-57, s. 6.1(a), provides: “Limitation. — For the 2017-2019 fiscal biennium, and notwithstanding the provisions of G.S. 143C-4-4(b), funds appropriated to the Contingency and Emergency Fund may be used only for expenditures required (i) by a court or Industrial Commission order, (ii) to respond to events as authorized under G.S. 166A-19.40(a) of the North Carolina Emergency Management Act, (iii) by the State Treasurer to pay death benefits as authorized under Article 12A of Chapter 143 of the General Statutes, (iv) by the Office of the Governor for crime rewards in accordance with G.S. 15-53 and G.S. 15-53.1 , (v) by the Industrial Commission for supplemental awards of compensation, or (vi) by the Department of Justice for legal fees. These funds shall not be used for other statutorily authorized purposes or for any other contingencies and emergencies.”

Session Laws 2017-57, s. 6.1(b), provides: “Transfer. — Notwithstanding any provision of law to the contrary, seven million dollars ($7,000,000) from the Contingency and Emergency Fund reserve shall be transferred to the State Controller to be deposited as a nontax revenue in the General Fund. Any funds remaining in the Contingency and Emergency Fund reserve may be used in accordance with the provisions of subsection (a) of this section and G.S. 143C-4-4(c).”

Session Laws 2017-209, s. 20(a), (b) provides: “(a) The General Assembly finds that the discharge of the poly-fluoroalkyl chemical known as “GenX” (CAS registry number 62037-80-3 or 13252-13-6) into the Cape Fear River demonstrates the need for supplemental funding for impacted local public utilities for the monitoring and treatment of GenX and to support the identification and characterization by scientists, engineers, and other professionals of GenX in the Cape Fear River.

“Therefore, notwithstanding Section 6.1 of S.L. 2017-57, G.S. 143C-4-4 , and G.S. 143C-6-4 , of the funds appropriated to the Contingency and Emergency Fund, the sum of four hundred thirty-five thousand dollars ($435,000) shall be allocated and used as follows:

“(1) One hundred thousand dollars ($100,000) to the Cape Fear Public Utility Authority, who shall, in coordination with Brunswick County Public Utilities, Pender County Utilities, and other entities that withdraw, treat, and subsequently distribute water originating from the Cape Fear River, study the identification and deployment of water treatment technology to remove GenX from the public water supply, and eighty-five thousand dollars ($85,000) to the Cape Fear Public Utility Authority for ongoing monitoring of water supplies withdrawn from the Cape Fear River. The Cape Fear Public Utility Authority shall provide an interim report to the Environmental Review Commission no later than December 1, 2017, regarding the progress in implementing this section, and a final report on or before April 1, 2018, to include any findings and recommendations for legislative action.

“(2) Two hundred fifty thousand dollars ($250,000) to the University of North Carolina at Wilmington to identify and quantify GenX and measure the concentration of the chemicals in the sediments of the Cape Fear River, the extent to which the chemical biodegrades over time or bioaccumulates within local ecosystems, and what risk the contaminant poses to human health. The University of North Carolina at Wilmington shall not charge indirect facilities and administrative costs against the funding provided by this subdivision. The University of North Carolina at Wilmington shall provide an interim report to the Environmental Review Commission no later than December 1, 2017, regarding the progress in implementing this section, and a final report on or before April 1, 2018, to include any findings and recommendations for legislative action.

“(b) Funds allocated by this section for the 2017-2018 fiscal year shall not revert but shall remain available for nonrecurring expenses until the end of the 2018-2019 fiscal year. The entities funded by this section may establish time-limited positions for the biennium with the funds allocated by this section.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.’ ”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Effect of Amendments.

Session Laws 2012-12, s. 2(v), effective October 1, 2012, substituted “G.S. 166A-19.40(a) of the North Carolina Emergency Management Act” for “G.S. 166A-5(1)a.9. of the Emergency Management Act” in subsection (b).

CASE NOTES

Judiciary Could Not Order Judgment Be Paid from Fund. —

Although the State of North Carolina violated a provision in the North Carolina Constitution when it used money otherwise destined for county schools to pay for county jail programs, a trial court could not command state officials to pay money from the North Carolina Contingency and Emergency Fund to satisfy the court judgment against the State, because the Separation of Powers Clause in the Constitution prevented the courts from stepping into the shoes of the other branches of government and assuming their constitutional duties. Richmond Cty. Bd. of Educ. v. Cowell, 254 N.C. App. 422, 803 S.E.2d 27, 2017 N.C. App. LEXIS 565 (2017).

Editor’s Note.

Session Laws 2018-138, s. 1.3(8), as amended by Session Laws 2019-241, s. 9, provides: “Eighteen million five hundred thousand dollars ($18,500,000) to the Department of Environmental Quality for the Coastal Storm Damage Mitigation Fund. Notwithstanding G.S. 143-215.73 M(c), funds allocated by this subdivision may be used to provide no more than fifty percent (50%) of the total cost of an eligible project. Notwithstanding G.S. 143C-4-5 , the Department shall disburse the funds for any eligible project in a single payment upon the execution of a grant contract between the State and a unit of local government. If an eligible project receiving State funding under this section subsequently receives federal funding, the unit of local government designated as the grantee under the grant contract shall revert to the Office of State Budget and Management the portion of State funds that have been reimbursed by the federal funding. For purposes of this subdivision, an eligible ‘project’ is a project that mitigates or remediates coastal storm damage to the ocean beaches and dune systems of the State.”

Session Laws 2020-81, s.1(e), as amended by Session Laws 2021-180, s. 40.1( l ), provides: “For project code UNC/CH20-1, notwithstanding G.S. 143C-4-5 , the University of North Carolina at Chapel Hill is authorized to spend up to one hundred fifty million dollars ($150,000,000) on the project, but shall commit to providing funding of at least seventy-five million dollars ($75,000,000) from non-State sources on or before June 30, 2022, as a match for the intended State allocations totaling seventy-five million dollars ($75,000,000) for the project.”

Session Laws 2020-81, s.1(f), as amended by Session Laws 2021-180, s. 40.1(m), provides: “For project code UNC/NCS20-1, notwithstanding G.S. 143C-4-5 , North Carolina State University is authorized to spend up to one hundred sixty million dollars ($160,000,000) on the project, but shall commit to providing funding of at least eighty million dollars ($80,000,000) from non-State sources on or before June 30, 2022, as a match for the intended State allocations totaling eighty million dollars ($80,000,000) for the project.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Editor’s Note.

Session Laws 2017-57, s. 35.17, enacted this section as G.S. 143C-4-8 . It has been renumbered at the direction of the Revisor of Statutes.

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2020-42, s. 1(a), (b), provides: “(a) Notwithstanding G.S. 143C-4-9 , the sum of one million eight hundred twenty-eight thousand nine hundred eighty-two dollars ($1,828,982) in recurring funds appropriated to the Pay Plan Reserve for the 2020-2021 fiscal year is reallocated and appropriated to the Department of Natural and Cultural Resources (Budget Code: 14800; Fund Code: 1680) to be used to fund up to 19 full-time equivalent positions and operational needs of the following parks expanded or improved through Connect NC bonds: Chimney Rock, Jordan Lake, New River, Raven Rock, Goose Creek, Gorges, Lake James, Pilot Mountain, and Lumber River.

“(b) No later than August 15, 2020, the Department of Natural and Cultural Resources shall transfer the sum of seven hundred fifty thousand dollars ($750,000) in nonrecurring funds from the cash balance in the Parks and Recreation Trust Fund (Budget Code: 24820) to the Division of Parks and Recreation (Budget Code: 14800; Fund Code: 1680). The funds transferred in this subsection are appropriated for the 2020-2021 fiscal year and shall be used for equipment and other nonrecurring expenses of the following parks expanded or improved through Connect NC bonds: Chimney Rock, Jordan Lake, New River, Raven Rock, Goose Creek, Gorges, Lake James, Pilot Mountain, and Lumber River.”

Session Laws 2020-44, s. 1(a), provides: “Notwithstanding G.S. 143C-4-9 , one hundred fifteen thousand two hundred twenty dollars ($115,220) of recurring funds appropriated to the Pay Plan Reserve for the 2020-2021 fiscal year is reallocated and appropriated to the Department of Agriculture and Consumer Services, Food and Drug Division (Budget Code: 13700; Fund Code: 1100), for a full-time manager position at the Department’s Agricultural Sciences Center.”

Session Laws 2021-180, s. 39.2(i), provides: “The Office of State Budget and Management shall ensure that the funds for the bonuses authorized by this section are used only for the purposes set forth in this section. If the Director of the Budget determines that funds appropriated to a State agency for these bonuses exceed the amount required by that agency, the Director may reallocate those funds to another State agency for payment of these bonuses. Notwithstanding G.S. 143C-4-9 , funds appropriated for these bonuses in excess of the amounts required for implementation shall not be credited to the Pay Plan Reserve.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2018-5, s. 35.17, effective July 1, 2018, in the first paragraph of subsection (c), designated the previously existing provisions as subsection (c) and subdivision (c)(2); and added subdivision (c)(1); and made stylistic changes.

Session Laws 2019-210, s. 4.1, effective July 1, 2019, inserted “(Act)” following “Act” in the introductory paragraph of subsection (a); and rewrote subdivision (a)(1), which formerly read “G.S. 20-187.3.”

Session Laws 2019-211, s. 5.1, effective July 1, 2019, inserted “(Act)” following “Act” in the introductory paragraph of subsection (a); and added subdivision (a)(6).

Session Laws 2021-180, s. 39.19, effective July 1, 2021, added subdivisions (a)(7) and (a)(8).

Editor’s Note.

Session Laws 2018-30, s. 1, enacted this section as G.S. 143C-4-9 . It was redesignated as G.S. 143C-4-10 at the direction of the Revisor of Statutes.

Session Laws 2018-30, s. 3, made this section effective October 1, 2018.

Session Laws 2020-48, s. 6.1, is a severability clause.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2020-48, s. 2.2(a), (c), effective July 1, 2020, added subdivision (c)(3) and subsection (g).

Session Laws 2021-180, s. 39.24(a), effective November 18, 2021, added subdivision (c)(1a); in subdivision (c)(2), substituted “G.S. 142-15.4 and G.S. 142-96 ” for “G.S. 142-15.4, 142-96, and 143C-4.2”; in subdivision (d)(2), added “or transferred” after “appropriated”; rewrote subsection (e); added subsections (e1) and (e2).

Editor’s Note.

Session Laws 2020-88, s. 20, made this section effective July 2, 2020.

Session Laws 2020-88, s. 5.5, provides: “Notwithstanding G.S. 143C-4-11 , as enacted by Section 14 of this act, the sum of one hundred thirty-six million dollars ($136,000,000) in nonrecurring funds for the 2020-2021 fiscal year shall be transferred from the Medicaid Contingency Reserve in the General Fund to the Department of Health and Human Services, Division of Health Benefits, to be used for the Medicaid and NC Health Choice programs rebase. Funds transferred under this section are appropriated for the purpose set forth in this section.”

Session Laws 2020-88, s. 15.2, provides: “Notwithstanding G.S. 143C-4-11 , as enacted by Section 14 of this act, the State Controller shall transfer funds from the Medicaid Contingency Reserve to the Department of Health and Human Services, Division of Health Benefits (DHB), only upon request by DHB as needed to cover any shortfall in receipts from the supplemental or base assessment under G.S. 108A-141 and G.S. 108A-142 (now repealed), enacted by subsection (b) of Section 15.1 of this act, and only if the following two conditions are met:

“(1) The Office of State Budget and Management (OSBM) has certified that there will be a shortfall in receipts from the supplemental or base assessment.

“(2) OSBM has certified that the amount requested by DHB does not exceed the shortfall in receipts certified by OSBM under subdivision (1) of this section.

“Upon making the request to the State Controller for the transfer of funds pursuant to this section, DHB shall notify the Fiscal Research Division and the Joint Legislative Oversight Committee on Medicaid and NC Health Choice of the request and the amount of the request. To the extent any funds are transferred under this section, the funds are hereby appropriated for the purpose set forth in this section. The authority set forth in this section expires June 30, 2022.”

Editor’s Note.

Session Laws 2009-451, s. 6.6C(c), provides: “Use of ARRA [American Recovery and Reinvestment Act of 2009] Funds. — Notwithstanding G.S. 143C-5-2 and G.S. 143C-6-4 , or any other provision of law to the contrary, State agencies may, with approval of the Director of the Budget and in consultation with the North Carolina Office of Economic Recovery and Investment, spend State funds as defined in G.S. 143C-1-1(25) and, in accordance with subsection (b) of this section, funds received from federal receipts and federal grants resulting from enactment of the ARRA and awarded during the 2008-2009 State fiscal year. State agencies may not allocate or otherwise obligate any ARRA funds prior to enactment of this act, except that a State agency, as defined in G.S. 143C-1-1(24), may allocate or otherwise obligate federal funds under this section if the federal government has issued rules or formal guidance stipulating that a state’s lack of allocation or obligation would otherwise jeopardize its receipt of federal ARRA funds. Under these limited circumstances, the State may allocate or obligate those funds for the 2008-2009 fiscal year only.”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009’.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2018-2, s. 5(a), provides: “Notwithstanding G.S. 143C-5-2 , for the 2018-2019 fiscal year, there is appropriated from the unappropriated fund balance of the General Fund to the Department of Public Instruction the sum of sixty-one million three hundred fifty-nine thousand two hundred twenty-five dollars ($61,359,225) in recurring funds for a position allotment for program enhancement teachers for kindergarten through fifth grade.”

Session Laws 2018-44, s. 15(e), provides: “G.S. 143C-5-2 does not apply to this act.” This act is known as “The Heroin and Opioid Prevention and Enforcement (HOPE) Act of 2018.”

Session Laws 2018-49, s. 8(d), provides: “G.S. 143C-5-2 does not apply to legislation that is introduced in the 2019 Regular Session of the 2019 General Assembly that contains the legislative changes necessary to accomplish the intent set forth in subsection (a) of this section.” Subsection (a) of 2018-49, s. 8 concerns ensuring that the premium tax levied under G.S. 105-228.5 applies to capitation payments received by Prepaid Health Plans, as defined in G.S. 58-93-2.

Session Laws 2018-49, s. 9(c), provides: “G.S. 143C-5-2 does not apply to legislation that is introduced in the 2019 Regular Session of the 2019 General Assembly that contains the legislative changes necessary to accomplish the intent set forth in subsection (a) of this section.” Subsection (a) of 2018-49, s. 9 expresses the intent to enact legislation during the 2019 Regular Session that will replace the Hospital Provider Assessment Act in Article 7 of Chapter 108A of the General Statutes with a similar hospital provider assessment that will preserve existing levels of funding generated by the current assessment and will result in similar overall payment levels to hospitals.

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.’ ”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2012-12, s. 2(w), effective October 1, 2012, substituted “an emergency as defined by G.S. 166A-19.3 ” for “a disaster as defined by G.S. 166A-4(1)” in subdivision (1).

Session Laws 2014-100, s. 6.8, effective July 1, 2014, designated the existing provisions as subsection (a), and added subdivision (a)(4) and subsection (b).

Editor’s Note.

Session Laws 2017-5, s. 7, provides: “During the 2019 Regular Session of the General Assembly, it is the intent of the General Assembly to study whether the changes to the Savings Reserve enacted in this act have successfully accomplished its purpose of establishing and maintaining sufficient reserves to address unanticipated events and circumstances, such as natural disasters, economic downturns, threats to public safety, health, and welfare, and other emergencies.”

Session Laws 2019-192, s. 4.1, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail.”

Session Laws 2019-208, which awarded legislatively mandated salary increases and special annual leave to state adult correctional facility employees, in s. 6.1, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-209, which awarded public employees benefit increases and legislatively mandated salary increases, in s. 4.1, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-210, which awarded legislatively mandated salary increases and special annual leave to law enforcement officers of the State Highway Patrol, in s. 6.1, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-211, which awarded legislatively mandated salary increases and special annual leave to law enforcement officers of the State Bureau of Investigation and Alcohol Law Enforcement, in s. 7.1, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall revail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-222, s. 8.1(b), provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-223, s. 4.2, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-224, s. 5.2, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-229, s. 7(b), provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail. The appropriations and the authorizations to allocate and spend funds which are set out in this act shall remain in effect until the Current Operations Appropriations Act for the applicable fiscal year becomes law, at which time that act shall become effective and shall govern appropriations and expenditures. When the Current Operations Appropriations Act for that fiscal year becomes law, the Director of the Budget shall adjust allotments to give effect to that act from July 1 of the fiscal year.”

Session Laws 2019-237, s. 9, provides: “If any provision of this act and G.S. 143C-5-4 are in conflict, the provisions of this act shall prevail.”

Session Laws 2021-25, s. 4.3(b), made the amendment to this section by Session Laws 2021-25, s. 4.3(a), effective June 30, 2021, and applicable beginning with the 2021-2022 fiscal year.

Session Laws 2021-180, s. 5.4(b), made the amendments to subdivision (b)(9) of this section by Session Laws 2021-180, s. 5.4(a), effective June 30, 2021, and applicable beginning with the 2021-2022 fiscal year.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2016-94, s. 6.3(a), effective July 14, 2016, added “procedures to be followed when the Current Operations Appropriations Act does not become law prior to the end of certain fiscal years” to the section catchline; inserted “(a) Enactment Deadline” in the existing section and added subsection (b).

Session Laws 2016-123, s. 2.2, effective July 1, 2016, in subsection (b)(8), substituted “fund” for “credit” and made a stylistic change.

Session Laws 2017-5, s. 5, effective October 1, 2017, in subsection (b)(8), substituted “Reserve” for “Reserve Account” twice and substituted “reserves” for “accounts” once.

Session Laws 2017-57, s. 36.12(h), effective July 1, 2019, substituted “G.S. 143C-4-3.1” for “G.S. 143C-4-3”, and “State Capital and Infrastructure Fund” for “Repairs and Renovations Reserve Account” in subdivision (b)(8).

Session Laws 2021-25, s. 4.3(a), effective June 30, 2021, in subdivision (b)(1), deleted “recurring expenditures from” following “not to exceed the level of” and inserted “in the recurring certified budget” in the first sentence, and added the last sentence; deleted subdivision (b)(8) which read: “Statutory transfers to reserves. — Notwithstanding G.S. 143C-4-2 and G.S. 143C-4-3 .1, funds shall not be reserved to the Savings Reserve Account or the State Capital and Infrastructure Fund and the State Controller shall not transfer funds from the unreserved fund balance to those accounts on June 30 of the prior fiscal year”; and rewrote subdivision (b)(9).

Session Laws 2021-180, s. 5.4(a), effective June 30, 2021, in subdivision (b)(9), in the second and fourth sentences, substituted “Governmental Operations, the chairs of the Senate Committee on Appropriations/Base Budget, the chairs of the House Appropriations Committee, and the Fiscal Research Division within” for “Governmental Operations within.” For effective date and applicability, see editor's note.

Editor’s Note.

Session Laws 2008-107, s. 25.4(a)-(e), provides: “(a) Notwithstanding G.S. 143C-6-1 and G.S. 143C-6-7 , the Department of Transportation and the Office of State Budget and Management shall review each of the Department’s divisions’ expenditure patterns and realign the continuation and certified budget for the 2009-2011 Fiscal Biennium. The certified budget shall become the current expenditure plan for each division based on anticipated expenditure patterns.

“(b) The Department of Transportation shall prepare a report on the cash spending plan based on the certified budget’s fund codes. This report shall show cash expenditure plans for the 2008-2009 fiscal year.

“(c) The Department of Transportation and the Office of State Budget and Management shall jointly study alternatives and enhancements to the current budgeting process that highlight and more closely align the Department’s division, DMV, ferry, rail, public transportation, and administration spending with performance outcomes and metrics. Study goals include greater clarity of budgets and cash work plans, flexible funding capabilities, and projected investment performance.

“(d) The Department of Transportation shall develop a quarterly report that evaluates the Department’s achievement of performance measures for safety, preservation, capacity improvements, ITS, effective and efficient business practices, spending plans, DMV services, minority and disadvantaged business goals, and other relevant performance indicators. Division performance comparisons will be included where applicable. The fourth quarter report will serve as the annual performance evaluation and shall be submitted to the Governor and Legislature, including the Joint Legislative Transportation Oversight Committee.

“(e) The Department of Transportation and the Office of State Budget and Management shall report on its cash spending plan for the 2008-2009 fiscal year and shall present recommendations for a revised budget process to the Joint Legislative Transportation Oversight Committee, Appropriations Subcommittee for Transportation, and the Fiscal Research Division no later than November 1, 2008. The Department of Transportation shall present the Fiscal Year 2009 first quarter performance report to the Joint Legislative Transportation Oversight Committee and the Fiscal Research Division no later than November 15, 2008.”

Session Laws 2008-107, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2008’.”

Session Laws 2008-107, s. 30.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2008-2009 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2008-2009 fiscal year.”

Session Laws 2008-107, s. 30.5, is a severability clause.

Session Laws 2011-145, s. 2.2(n), provides: “Notwithstanding the provisions of Article 6 of Chapter 143C of the General Statute or any other law to the contrary, the State Controller shall transfer one million dollars ($1,000,000) from the NC FICA Account for deposit in the Nontax Budget Code 19878 (Intrastate Transfers) for the 2011-2012 fiscal year.”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.’ ”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2014-100, s. 6.7(a)-(g), provides: “(a) Finding. — The General Assembly finds that State budgeting is more transparent when the enacted budget for any given fiscal year appropriates all State funds intended for expenditure during that fiscal year, including funds encumbered in prior fiscal years, funds carried forward from prior fiscal years pursuant to statutory authority, and unearned revenue earned in a prior fiscal year.

“(b) Review of Current Practices. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall examine all of the following:

“(1) How funds in the General Fund are currently accounted for, including practices relating to (i) the reversion of appropriated funds to the General Fund, (ii) the appropriation of funds to pay obligations incurred in prior fiscal years, (iii) the movement of funds into and out of special funds, and (iv) related matters.

“(2) How the practices examined pursuant to subdivision (1) of this section compare with those of other states.

“(3) Whether any statutory or administrative changes would improve the transparency and accounting accuracy of the General Fund.

“(4) Whether the practices examined pursuant to subdivision (1) of this section comply with applicable standards of the Governmental Accounting Standards Board.

“(c) Pilot Program. — The Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, may establish and operate a pilot program to test measures for improving the extent to which funds that are to be spent in a given fiscal year are properly budgeted in that fiscal year. The pilot program may be subject to the following:

“(1) The pilot program may include the following programs and funds:

“a. Some or all of the grant programs and special funds within the Department of Environment and Natural Resources.

“b. Some or all of the unexpended appropriations carried forward by The University of North Carolina pursuant to G.S. 116-30.3 .

“c. Any other programs and funds that are deemed to be suitable for inclusion in the pilot program.

“(2) Funds and programs that are included in the pilot program may be subject to the following requirements:

“a. An alternative liquidation period for encumbered funds that do not revert at the end of the 2014-2015 fiscal year under G.S. 143C-1-2(b).

“b. A requirement (i) that The University of North Carolina prepare an estimate of the amount of funds it anticipates will be carried forward into the 2015-2016 fiscal year pursuant to G.S. 116-30.3 and (ii) that this estimate be submitted to the Office of State Budget and Management and to the Fiscal Research Division no later than March 1, 2015.

“(d) Report. — No later than October 1, 2015, the Office of State Budget and Management and the Office of the State Controller, in consultation with the Fiscal Research Division, shall report the results of the review and pilot program required by this section to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget. The report may include a recommendation to extend the pilot program for an additional fiscal year, if this is deemed desirable.

“(e) Recommendations for an Alternative Pilot Program. — If the Office of State Budget and Management and the Office of the State Controller, in consultation with the General Assembly’s Fiscal Research Division, determine that the pilot program required by this section cannot be implemented, they shall report the reasons for reaching this conclusion, along with any other findings and recommendations for future action, to the chairs of the Senate Appropriations/Base Budget Committee, to the chairs of the House Appropriations Committee, and to the Director of the Budget no later than February 1, 2015. If a report is submitted pursuant to this subsection, then the pilot program required by subsection (c) of this section shall not be implemented, but the review required by subsection (b) of this section shall nonetheless be performed.

“(f) Expiration of Pilot Program. — The pilot program required by this section shall expire upon the submission of the report required by subsection (d) of this section or the submission pursuant to subsection (e) of this section stating that the pilot program cannot be implemented.”

“(f) Effective Date. — This section is effective when it becomes law and applies to funds appropriated for the 2014-2015 fiscal year and subsequent fiscal years.” Session Laws 2014-100, s. 6.7 became effective July 1, 2014.

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.’ ”

Session Laws 2014-100, s. 38.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year.”

Session Laws 2014-100, s. 38.7, is a severability clause.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(m), effective July 1, 2013, added the second sentence in subsection (b); and substituted “funds included in the budget as defined in G.S. 143C-3-5(d)” for “governmental and proprietary funds” in subsection (c).

Session Laws 2017-57, s. 6.6(f), effective June 28, 2017, deleted “the Capital Improvements Appropriations Act,” following “Current Operations Appropriations Act” in subsections (a) and (c).

Editor’s Note.

Session Laws 2007-323, s. 6.1(b), as amended by Session Laws 2008-107, s. 6.1, provides: “Receipts collected in a fiscal year in excess of the amounts authorized by this section shall remain unexpended and unencumbered until appropriated by the General Assembly in a subsequent fiscal year, unless the expenditure of overrealized receipts in the fiscal year in which the receipts were collected is authorized by the State Budget Act.

“Overrealized receipts are appropriated up to the amounts necessary to implement this subsection.

“In addition to the consultation and reporting requirements set out in G.S. 143C-6-4 , the Office of State Budget and Management shall report to the Joint Legislative Commission on Governmental Operations and to the Fiscal Research Division of the Legislative Services Office within 30 days after the end of each quarter on any overrealized receipts approved for expenditure under this subsection by the Director of the Budget. The report shall include the source of the receipt, the amount overrealized, the amount authorized for expenditure, and the rationale for expenditure.”

Session Laws 2007-323, s. 10.49(ff), provides: “The General Assembly finds that counties have budgeted almost one hundred twenty-one million dollars ($121,000,000) to LMEs to pay for mental health, developmental disabilities, and substance abuse services. However, the General Assembly lacks information regarding the specific services that are purchased with those county funds. The General Assembly also lacks data regarding the incomes of persons receiving mental health, developmental disabilities, and substance abuse services that are paid for by either State or county funds. This lack of data severely limits the General Assembly’s ability to determine the distribution of services that are being paid for with public funds, whether persons who are eligible for Medicaid are being enrolled in that program, and whether expanding the State’s Medicaid eligibility criteria would impact a significant number of mental health, developmental disabilities, and substance abuse services consumers. Therefore, LMEs shall report annually to the Division all expenditures from county funds by the LME for services, start-up expenses, and capital and operational expenditures, regardless of the source of the funds and regardless of whether the funds were earned on a payment for service or grant basis. This reporting shall include specific information regarding the expenditure of all funds provided to the LME by the county or counties contained in the LME’s catchment area and the amount of expenditures for services provided by the multicounty LME to residents of each county in the multicounty LME’s catchment area. To the extent possible, the information shall be submitted through the Integrated Payment and Reimbursement System. LMEs shall also gather income data for all individuals receiving services. Notwithstanding G.S. 143C-6-4 , Budget Adjustments Authorized, the Department of Health and Human Services shall fully fund the State’s contribution for LME system administration.”

Session Laws 2007-323, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2007’.”

Session Laws 2007-323, s. 32.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2007-2009 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2007-2009 fiscal biennium.”

Session Laws 2007-323, s. 32.5, is a severability clause.

Session Laws 2011-145, s. 6.5(a)-(d), had provided for interim appropriations committees, meetings, and a requirement for consultation by the Governor prior to certain budgetary actions, during the period between legislative sessions. Session Laws 2012-142, s. 6.1, effective July 1, 2012, repealed s. 6.5 of Session Laws 2011-145.

Session Laws 2013-56, s. 6, provides: “On or before October 1, 2013, the Office of State Budget and Management, the Department of Health and Human Services, and the Office of State Controller shall report jointly on the implementation of this act. The Office of State Budget and Management and the Department of Health and Human Services shall report on each measure taken and the Office of State Controller shall certify compliance with Section 3 and Section 4 of this act. This report shall be made to the Appropriations/Base Budget Committee of the Senate, the Appropriations Committee of the House of Representatives, and the Joint Legislative Commission on Governmental Operations. Reporting requirements under G.S. 143C-6-4 shall not apply to adjustments made pursuant to this act.” Section 3 of the act directs that budget adjustments made pursuant to the act are to be used only to pay the costs of the State Medicaid Program. Section 4 of the act limits the authority to make any adjustment, drawdown, or transfer unearned or borrowed receipts, if doing so would impose, increase, or continue a financial obligation.

Session Laws 2019-239, s. 5.3(a)-(c), provides: “(a) State funds, as defined in G.S. 143C-1-1(d)(25), are appropriated for each fiscal year of the 2019-2021 fiscal biennium, as follows:

“(1) All budget codes listed in the Governor’s Recommended Budget and in the Budget Support Document for State Board of Elections for the 2019-2021 fiscal biennium submitted pursuant to G.S. 143C-3-5 are appropriated up to the amounts specified, as adjusted by the General Assembly in this act.

“(2) Departmental receipts up to the amounts needed to implement the legislatively mandated salary increases and employee benefit increases provided in this Part for each fiscal year of the 2019-2021 fiscal biennium.

“(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 overrealized receipts in the fiscal year in which the receipts were collected is authorized by G.S. 143C-6-4 . Overrealized receipts are appropriated in the amounts necessary to implement this subsection.

“(c) Funds may be expended only for the specified programs, purposes, objects, and line items or as otherwise authorized by the General Assembly.”

Session Laws 2019-239, s. 5.4(a), provides: “Notwithstanding G.S. 143C-6-4 , the State Board of Elections may, with approval of the Director of the Budget, spend funds received from grants awarded subsequent to the enactment of this Part for grant awards that are for less than two million five hundred thousand dollars ($2,500,000), do not require State matching funds, and will not be used for a capital project. The State Board of Elections shall report to the Joint Legislative Commission on Governmental Operations within 30 days of receipt of such funds.

“The State Board of Elections may spend all other funds from grants awarded after the enactment of this Part only with approval of the Director of the Budget and after consultation with the Joint Legislative Commission on Governmental Operations.”

Previous provisions notwithstanding this section were enacted in Session Laws 2007-323, ss. 6.4, 8.1(b), Session Laws 2008-107, ss. 6.3, 6.9, 8.2(b), 10.1A, Session Laws 2009, 451, ss. 5.6, as amended by Session Laws 2010-31, s. 5.4, Session Laws 2009-451, ss. 6.2, 6.3, 6.6C(c), 7.14, 8.7(b), 10.59(b), Session Laws 2010-31, ss. 6.2, 6.3, 7.7(c), Session Laws 2011-145, ss. 5.2, 7.19(a)-(c), 7.27, 10.32(b), 28.2, Session Laws 2012-142, s. 6.15, as added by Session Laws 2012-145, s. 1.2, Session Laws 2013-56, s. 1, as amended by Session Laws 2013-184, s. 13(a), Session Laws 2013-247, s. 10, Session Laws 2013-360, ss. 5.2(a), 6.7, 6.10, 8.6, 8.46, Session Laws 2014-100, s. 14.2B(a)-(b), Session Laws 2015-7, s. 11(a), Session Laws 2015-214, s. 3.1(a), Session Laws 2015-241, ss. 5.1A(a), 6.25(a), 8.37(a)-(c), as amended by Session Laws 2016-94, s. 8.30, and as amended by Session Laws 2016-126, 4th Ex. Sess., s. 28, Session Laws 2016-94, ss. 7.3, 7.8(a)-(d), 14.9(a), (b), Session Laws 2017-57, s. 5.2(a), 2017-57, s. 7.7(a)-(c), as amended by Session Laws 2018-5, s. 7.5, as amended by Session Laws 2018-97, s. 2.5, 2017-57, ss. 13.14(a), (b), s. 14.7, Session Laws 2017-209, s. 20(a), (b), Session Laws 2018-5, s. 5.6(e), Session Laws 2019-231, s. 1.3(a), and Session Laws 2019-235, s. 1.4(a)-(c).

Session Laws 2019-239, s. 5.12, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2019-2021 fiscal biennium, the textual provisions of this Part apply only to funds appropriated for, and activities occurring during, the 2019-2021 fiscal biennium.”

Session Laws 2019-239, s. 5.14, is a severability clause.

Session Laws 2020-97, s. 1.9(a)-(c), provides: “(a) Findings and Purpose. — The General Assembly finds that the appropriations made in this act are made at the maximum funding levels required to carry out activities, purposes, and programs. Therefore, it is likely that some amount of funds may become available to support other uses authorized by this act if and when maximum spending levels are not reached. The purpose of this section is to authorize the reallocations of certain funds to the end that the State and its people receive the maximum benefit possible from the appropriations made in this act.

“(b) Requirements. — Notwithstanding any provision of this act or Chapter 143C of the General Statutes to the contrary, the North Carolina Pandemic Recovery Office (NCPRO), in consultation with the Director of the Budget, may reallocate Coronavirus Relief Funds appropriated by this act or any of the acts listed in Section 4.2 of this act under all of the following conditions only:

“(1) The appropriated funds are unexpended on November 20, 2020.

“(2) There is not a reasonable expectation that the funds will be expended before the deadline established by applicable federal law or guidance.

“(3) The reallocation is made to support one or more COVID-19 related activities authorized and receiving appropriations under this act or one of the acts listed in Section 4.2 of this act. Reallocated funds shall not be used for any new activity, purpose, or program.

“(4) To the extent that funds reallocated pursuant to this section are unappropriated, including interest accrual exceeding what is anticipated in this act, those funds are hereby appropriated and available for use pursuant to this section.

“(c) Reporting. — Beginning November 30, 2020, the Office of State Budget and Management shall report to the Fiscal Research Division weekly on the reallocations made pursuant to this section.”

Session Laws 2020-97, s. 4.5, is a severability clause.

Session Laws 2021-180, s. 4.2(a)-(c), provides: “(a) Notwithstanding G.S. 143C-6-4 , State agencies may, with approval of the Director of the Budget, spend funds received from grants awarded after the enactment of this act for grant awards that are for less than two million five hundred thousand dollars ($2,500,000), do not require State matching funds, and will not be used for a capital project. State agencies shall report to the Joint Legislative Commission on Governmental Operations, the chairs of the Senate Committee on Appropriations/Base Budget, the chairs of the House Appropriations Committee, and the Fiscal Research Division within 30 days of receipt of such funds.

“State agencies may spend up to the greater of one percent (1%) or ten million dollars ($10,000,000) of the total amount of grants awarded after the enactment of this act to respond to an emergency, as defined in G.S. 166A-19.3 , with the approval of the Director of the Budget. State agencies shall report to the Joint Legislative Commission on Governmental Operations, the chairs of the Senate Committee on Appropriations/Base Budget, the chairs of the House Appropriations Committee, and the Fiscal Research Division within 30 days of receipt of such funds, including specifying the total amount of grants awarded to respond to the emergency.

“State agencies may spend all other funds from grants awarded after the enactment of this act only with approval of the Director of the Budget and after consultation with the Joint Legislative Commission on Governmental Operations.

“(b) The Office of State Budget and Management shall work with the recipient State agencies to budget grant awards according to the annual program needs and within the parameters of the respective granting entities. Depending on the nature of the award, additional State personnel may be employed on a time-limited basis. Funds received from such grants are hereby appropriated up to the applicable amount set forth in subsection (a) of this section and shall be incorporated into the authorized budget of the recipient State agency.

“(c) Notwithstanding the provisions of this section, no State agency may accept a grant not anticipated in this act if acceptance of the grant would obligate the State to make future expenditures relating to the program receiving the grant or would otherwise result in a financial obligation as a consequence of accepting the grant funds.”

Session Laws 2021-180, s. 7.8(a)-(d), provides: “(a) For the 2021-2023 fiscal biennium, the Department of Public Instruction shall reclassify at least the following positions within the Department:

“(1) Seven full-time equivalent positions to support the Science of Reading and the North Carolina Read to Achieve Program, as amended by the Excellent Public Schools Act of 2021, S.L. 2021-8.

“(2) One full-time equivalent position to serve as a full-time recruitment and retention coordinator to increase the number of school psychologists in public school units with a demonstrated need that is difficult to meet.

“(b) Notwithstanding G.S. 143C-6-4 , for the 2021-2023 fiscal biennium, the Department of Public Instruction may, after consultation with the Office of State Budget and Management and the Fiscal Research Division, reorganize the Department, realign fund structures, or both, if necessary, to do any of the following:

“(1) Accommodate changes in allowable expenditures of indirect costs associated with the administration of federal grants.

“(2) Implement other changes necessary to improve the efficiency of the Department.

“(c) Consultation shall occur prior to requesting budgetary and personnel changes through the budget revision process provided in this section. The Department of Public Instruction shall provide all of the following as part of the consultation process:

“(1) A current organization chart and a list of affected funds.

“(2) The proposed organization chart and a list of affected funds clearly identifying the changes for the Department. The Department shall report to the Joint Legislative Commission on Governmental Operations, the Joint Legislative Education Oversight Committee, the Senate Appropriations Committee on Education/Higher Education, the House Appropriations Committee on Education, and the Fiscal Research Division on any reorganization, including any movement of positions and funds between fund codes on a recurring basis.

“(d) In making the changes identified in subsection (b) of this section, the Department of Public Instruction shall not do either of the following:

“(1) Reduce funding for any of the following:

“a. The State Public School Fund, including for the following residential schools:

“1. The Eastern North Carolina School for the Deaf.

“2. The North Carolina School for the Deaf.

“3. The Governor Morehead School.

“b. Any budget expansion item funded by an appropriation to the Department of Public Instruction by this act for the 2021-2023 fiscal biennium.

“(2) Transfer from or reduce funding or positions for any of the following:

“a. Communities in Schools of North Carolina, Inc.

“b. Teach for America, Inc.

“c. BEGINNINGS for Parents of Children Who are Deaf or Hard of Hearing, Inc.

“d. The Excellent Public Schools Act, Read to Achieve Program, initially established under Section 7A.1 of S.L. 2012-142.

“e. The North Carolina School Connectivity Program.

“f. The North Carolina Center for the Advancement of Teaching.

“g. The North Carolina Innovative School District.

“h. The Schools That Lead Program.

“i. The Center for Safer Schools.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-117, s. 4, effective July 1, 2007, added subsection (h).

Session Laws 2009-281, s. 1, effective July 10, 2009, substituted “National Guard” for “national guard” in subdivision (b)(2)c.

Session Laws 2011-183, s. 127(c), effective June 20, 2011, inserted “North Carolina” in subdivision (b)(2)c.

Session Laws 2012-12, s. 2(x), effective October 1, 2012, substituted “G.S. 166A-19.40(a) of the North Carolina Emergency Management Act” for “G.S. 166A-5(1)a.9. of the Emergency Management Act” in subdivision (b)(2)b.

Session Laws 2013-360, s. 6.12(n), effective July 1, 2013, in subsection (a), substituted “events; therefore, under the” for “events. Under,” “is authorized to” for “may,” and deleted the last sentence, which formerly read “Under no circumstance, however, shall total General Fund expenditures for a State department exceed the amount appropriated to that department from the General Fund for the fiscal year”; in subsection (b), rewrote the subsection heading, which formerly read “Adjustments to the Certified Budget,” substituted “appropriated” for “authorized,” and added “by adjusting the authorized budget”; added the subdivision headings to subdivisions (b)(1) through (b)(3); rewrote subdivision (b)(3); and added subsections (b1) and (b2).

Session Laws 2017-102, s. 26, effective July 12, 2017, substituted “G.S. 166A-19.40(a)(1) and (c)” for “G.S. 166A-19.40(a)” in subdivision (b)(2)b.

Editor’s Note.

Session Laws 2006-66, s. 6.4, enacted G.S. 143-16.7, containing provisions similar to G.S. 143C-6-5 (b). G.S. 143-16.7 is repealed effective July 1, 2007, but has been added to the historical citation for G.S. 143C-6-5 at the direction of the Revisor of Statutes.

Session Laws 2012-142, s. 22.2, provides: “Notwithstanding G.S. 143C-6-5 , the Office of State Budget and Management may use funds within Budget Code 13005 to do the following:”

“(1) Reclassify one or more vacant positions to Senior Economists to provide support in developing Medicaid projections and monitoring Medicaid expenditures.

“(2) Support Integrated Budget Information System ongoing operations and maintenance costs.”

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Effect of Amendments.

Session Laws 2017-57, s. 36.12(i), effective July 1, 2019, in the first sentence of subsection (a) substituted “State Capital and Infrastructure Fund” for “Repair and Renovations Account” and “G.S. 143C-4-3.1” for “G.S. 143C-4-3” in the first sentence.

CASE NOTES

Editor’s Note. —

Some of the annotations under this section were decided under former G.S. 143-16.3.

Construction. —

G.S. 143-16.3 did not prohibit a state agency from committing the state to the expenditure of funds which had not been appropriated for the purpose of a contract, because the pertinent portion of G.S. 143-16.3 stated that no funds from any source could be expended for any new or expanded purpose, position or other expenditure for which the General Assembly had considered but not enacted an appropriation of funds for the current fiscal budget; thus, G.S. 143-16.3 only prohibited the actual expenditure of funds if not appropriated. N.C. Monroe Constr. Co. v. State, 155 N.C. App. 320, 574 S.E.2d 482, 2002 N.C. App. LEXIS 1612 (2002).

OPINIONS OF ATTORNEY GENERAL

It could not be determined whether grants from certain “special appropriations” which were included in committee reports, excluded from the final appropriations act, and ultimately funded from reserve funds were in violation of former G.S. 143-16.3. See opinion of Attorney General to The Hon. Leslie Merritt, Auditor, State of North Carolina, (9/12/05).

Because the restrictions contained in this section primarily involve controls exercised by the General Assembly, the State Treasurer is subject thereto. See opinion of Attorney General to Ralph Campbell, Jr., State Auditor, 2002 N.C. Op. Att'y Gen. 31 (12/12/02).

Editor’s Note.

Session Laws 2009-16, s. 16, provides for salary related contributions including contribution requirements, percentages and maximum contributions.

Effect of Amendments.

Session Laws 2007-484, s. 34, effective August 30, 2007, substituted “Subsection (a) of this” for “This” in subsection (c).

OPINIONS OF ATTORNEY GENERAL

EDITOR’S NOTE.— Some of the annotations under this section were decided under former G.S. 143-34.1.

Editor’s Note.

Session Laws 2008-107, s. 25.4(a)-(e), provides: “(a) Notwithstanding G.S. 143C-6-1 and G.S. 143C-6-7 , the Department of Transportation and the Office of State Budget and Management shall review each of the Department’s divisions’ expenditure patterns and realign the continuation and certified budget for the 2009-2011 Fiscal Biennium. The certified budget shall become the current expenditure plan for each division based on anticipated expenditure patterns.

“(b) The Department of Transportation shall prepare a report on the cash spending plan based on the certified budget’s fund codes. This report shall show cash expenditure plans for the 2008-2009 fiscal year.

“(c) The Department of Transportation and the Office of State Budget and Management shall jointly study alternatives and enhancements to the current budgeting process that highlight and more closely align the Department’s division, DMV, ferry, rail, public transportation, and administration spending with performance outcomes and metrics. Study goals include greater clarity of budgets and cash work plans, flexible funding capabilities, and projected investment performance.

“(d) The Department of Transportation shall develop a quarterly report that evaluates the Department’s achievement of performance measures for safety, preservation, capacity improvements, ITS, effective and efficient business practices, spending plans, DMV services, minority and disadvantaged business goals, and other relevant performance indicators. Division performance comparisons will be included where applicable. The fourth quarter report will serve as the annual performance evaluation and shall be submitted to the Governor and Legislature, including the Joint Legislative Transportation Oversight Committee.

“(e) The Department of Transportation and the Office of State Budget and Management shall report on its cash spending plan for the 2008-2009 fiscal year and shall present recommendations for a revised budget process to the Joint Legislative Transportation Oversight Committee, Appropriations Subcommittee for Transportation, and the Fiscal Research Division no later than November 1, 2008. The Department of Transportation shall present the Fiscal Year 2009 first quarter performance report to the Joint Legislative Transportation Oversight Committee and the Fiscal Research Division no later than November 15, 2008.”

Session Laws 2008-107, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2008’.”

Session Laws 2008-107, s. 30.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2008-2009 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2008-2009 fiscal year.”

Session Laws 2008-107, s. 30.5, is a severability clause.

Editor’s Note.

Session Laws 2012-142, s. 6.13(b), provides: “The Office of State Personnel shall adopt a policy implementing the relevant portions of G.S. 143C-6-8 , as amended by this section, for State employees.”

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Effect of Amendments.

Session Laws 2012-142, s. 6.13(a), effective September 1, 2012, added subsection (a) designation and head of “Limitation,” added the last sentence to subsection (a), and added subsection (b).

Editor’s Note.

Session Laws 2009-451, s. 15.15, provides: “Notwithstanding the provisions of G.S. 143C-6-9 , in implementing reductions to the 2009-2011 budget for legal training and resources, the Office of Indigent Defense Services may use available funds as needed for registration fees, academic services, travel, and book purchases.”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2011-145, s. 15.1, provides: “Notwithstanding G.S. 143C-6-9 , the Administrative Office of the Courts may use up to the sum of one million five hundred thousand dollars ($1,500,000) from funds available to the Department to provide the State match needed in order to receive grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the House of Representatives and Senate Appropriations Subcommittees on Justice and Public Safety and to the Joint Legislative Commission on Governmental Operations on the grants to be matched using these funds.”

Session Laws 2011-145, s. 18.2, provides: “Notwithstanding the provisions of G.S. 143C-6-9 , the Department of Correction [Division of Adult Correction of the Department of Public Safety] may use up to the sum of one million two hundred thousand dollars ($1,200,000) during the 2011-2012 fiscal year and up to the sum of one million two hundred thousand dollars ($1,200,000) during the 2012-2013 fiscal year from funds available to the Department to provide the State match needed in order to receive federal grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the House of Representatives and Senate Appropriations Subcommittees on Justice and Public Safety and the Joint Legislative Commission on Governmental Operations on the grants to be matched using these funds.”

Session Laws 2011-145, s. 18.5, provides: “Notwithstanding G.S. 143C-6-9 , the Department of Correction [Division of Adult Correction of the Department of Public Safety] may use funds available to the Department for the 2011-2013 fiscal biennium to pay the sum of forty dollars ($40.00) per day as reimbursement to counties for the cost of housing convicted inmates, parolees, and post-release supervisees awaiting transfer to the State prison system, as provided in G.S. 148-29 . The Department shall report quarterly to the Joint Legislative Commission on Governmental Operations, the Joint Legislative Corrections, Crime Control, and Juvenile Justice Oversight Committee, the Chairs of the House of Representatives and Senate Appropriations Committees, and the Chairs of the House of Representatives and Senate Appropriations Subcommittees on Justice and Public Safety on the expenditure of funds to reimburse counties for prisoners awaiting transfer and on its progress in reducing the jail backlog.”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2013-360, s. 16A.1(b), provides: “Notwithstanding the provisions of G.S. 143C-6-9 , the Department of Public Safety may use up to the sum of one million two hundred thousand dollars ($1,200,000) during the 2013-2014 fiscal year and up to the sum of one million two hundred thousand dollars ($1,200,000) during the 2014-2015 fiscal year from funds available to the Department to provide the State match needed in order to receive grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the House of Representatives Subcommittee on Justice and Public Safety, the Chairs of the Senate Appropriations Committee on Justice and Public Safety, and the Joint Legislative Commission on Governmental Operations on the grants to be matched using these funds.”

Session Laws 2013-360, s. 16C.2, provides: “Notwithstanding G.S. 143C-6-9 , the Department of Public Safety may use funds available to the Department for the 2013-2015 fiscal biennium to pay the sum of forty dollars ($40.00) per day as reimbursement to counties for the cost of housing convicted inmates, parolees, and post-release supervisees awaiting transfer to the State prison system, as provided in G.S. 148-29 . The Department shall report quarterly to the Chairs of the Joint Legislative Oversight Committee on Justice and Public Safety and the Chairs of the House of Representatives Appropriations Subcommittee on Justice and Public Safety and Senate Appropriations Committee on Justice and Public Safety on the expenditure of funds to reimburse counties for prisoners awaiting transfer and on its progress in reducing the jail backlog.”

Session Laws 2013-360, s. 18B.1, provides: “Notwithstanding G.S. 143C-6-9 , the Administrative Office of the Courts may use up to the sum of one million five hundred thousand dollars ($1,500,000) from funds available to the Department to provide the State match needed in order to receive grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the House of Representatives Appropriations Subcommittee on Justice and Public Safety, the Senate Appropriations Committee on Justice and Public Safety, and to the Joint Legislative Commission on Governmental Operations on the grants to be matched using these funds.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2015-241, s. 16C.1, provides: “Notwithstanding G.S. 143C-6-9 , the Department of Public Safety may use funds available to the Department for the 2015-2017 fiscal biennium to pay the sum of forty dollars ($40.00) per day as reimbursement to counties for the cost of housing convicted inmates, parolees, and post-release supervisees awaiting transfer to the State prison system, as provided in G.S. 148-29 . The Department shall report annually by February 1 of each year to the chairs of the Joint Legislative Oversight Committee on Justice and Public Safety and the chairs of the House of Representatives and Senate Appropriations Committees on Justice and Public Safety on the expenditure of funds to reimburse counties for prisoners awaiting transfer.”

Session Laws 2015-241, s. 18A.4, as amended by Session Laws 2016-94, s. 19B.1, provides: “Notwithstanding G.S. 143C-6-9 , the Administrative Office of the Courts may use up to the sum of one million five hundred thousand dollars ($1,500,000) in each year of the fiscal biennium from funds available to the Department to provide the State match needed in order to receive grant funds. Prior to using funds for this purpose, the Department shall report to the Chairs of the House of Representatives and Senate Appropriations Committees on Justice and Public Safety on the grants to be matched using these funds.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Session Laws 2017-57, s. 6.7(o), made the amendment to this section by Session Laws 2017-57, s. 6.7(f), effective June 28, 2017, and applicable to pending and future actions.

Session Laws 2017-57, s. 18B.2, provides: “Notwithstanding G.S. 143C-6-9 , the Administrative Office of the Courts may use up to the sum of one million five hundred thousand dollars ($1,500,000) in each year of the 2017-2019 fiscal biennium from funds available to the Department to provide the State match needed in order to receive grant funds. Prior to using funds for this purpose, the Department shall submit a report to 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 grants to be matched using these funds.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2020-78, s. 20.1, was codified as subsection (c) of this section at the direction of the Revisor of Statutes.

Session Laws 2020-78, s. 22.1, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2019-2021 fiscal biennium, the textual provisions of this act apply only to the 2019-2021 fiscal biennium.”

Session Laws 2020-78, s. 22.3, is a severability clause.

Session Laws 2021-180, s. 19C.7, provides: “Notwithstanding G.S. 143C-6-9 , the Department of Public Safety may use funds available to the Department for the 2021-2023 fiscal biennium to reimburse counties for the cost of housing convicted inmates, parolees, and post-release supervisees awaiting transfer to the State prison system, as provided in G.S. 148-29 . The reimbursement may not exceed forty dollars ($40.00) per day per prisoner awaiting transfer. Beginning October 1, 2021, the Department shall report quarterly to the chairs of the Joint Legislative Oversight Committee on Justice and Public Safety 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.”

Session Laws 2021-180, s. 19C.9(yyyy), provides: “In addition to the reporting requirements of G.S. 143C-6-9 , the Department of Public Safety shall report for the 2021-2022, the 2022-2023, and the 2023-2024 fiscal years the following information to the chairs of the Joint Legislative Oversight Committee on Justice and Public Safety 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:

“(1) The amount of lapsed salary generated by fund code for the previous six months.

“(2) An itemized accounting of the use of lapsed salary funds, including:

“a. Fund code.

“b. Current certified budget.

“c. Annual projected expenditure.

“d. Annual projected shortfall.

“e. Amount of lapsed salary funds transferred to date.

“The reports shall be submitted by August 1, November 1, February 1, and May 1 of each fiscal year. The August report shall also include an annual accounting of this information for the previous fiscal year.”

Session Laws 2021-180, s. 19C.9(zzzz), provides: “In addition to the reporting requirements of G.S. 143C-6-9 , the Department of Adult Correction shall report for the 2022-2023 and the 2023-2024 fiscal years the following information to the chairs of the Joint Legislative Oversight Committee on Justice and Public Safety 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:

“(1) The amount of lapsed salary generated by fund code for the previous six months.

“(2) An itemized accounting of the use of lapsed salary funds, including:

“a. Fund code.

“b. Current certified budget.

“c. Annual projected expenditure.

“d. Annual projected shortfall.

“e. Amount of lapsed salary funds transferred to date.

“The reports shall be submitted by August 1, November 1, February 1, and May 1 of each fiscal year. The August report shall also include an annual accounting of this information for the previous fiscal year.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2017-57, s. 6.7(f), effective July 1, 2017, added subsection (a) designation and added subsection(b). For effective date and applicability, see editor’s note.

Session Laws 2021-180, s. 16.10(b), effective November 18, 2021, in subsection (b), added the last sentence.

Editor’s Note.

Session Laws 2011-145, s. 20.5A, provides: “During the 2011-2013 fiscal biennium, notwithstanding the provisions of G.S. 143C-6-10 , 126-95, 116-17.2, or any other law to the contrary, the sum of one million five hundred thousand dollars ($1,500,000) from the savings in the employer’s share of contributions under the Federal Insurance Contributions Act on account of the reduction in salary may be transferred from the NCFlex FICA Fund to the Office of State Personnel to support program components of the HCM System.”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.’ ”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Part 2. Highway Appropriations.

Editor’s Note.

Session Laws 2019-251, s. 1.5(a) was codified as subsection (p) of this section at the direction of the Revisor of Statutes.

The subsections added by Session Laws 2020-91, s. 5.3, as (p) and (q) were redesignated as (q) and (r), and a reference in subsection (r) was updated, at the direction of the Revisor of Statutes.

Session Laws 2014-100, s. 34.23(c), effective July 1, 2015, provided: “In any month in which the Department’s total cash balance on hand from the Highway Fund and the Highway Trust Fund exceeds one billion dollars ($1,000,000,000), the Department shall report its cash balance no later than the 15th day of the following month as follows:

“(1) To the Board of Transportation.

“(2) If the General Assembly is in session, to the Chairs of the House of Representatives Appropriations Subcommittee on Transportation, the Chairs of the Senate Appropriations Committee on Department of Transportation, and the Fiscal Research Division.

“(3) If the General Assembly is not in session, to the Chairs of the Joint Legislative Transportation Oversight Committee and the Fiscal Research Division.

“The report shall include an explanation from the Department of the reasons the cash balance has exceeded the amount specified in this subsection, the actions to be taken by the Department to reduce the cash balance, and the estimated amount of time it will take to bring the cash balance to the target identified in G.S. 143C-6-11(k)(1), as amended by subsection (a) of this section.” Session Laws 2019-251, s. 2.1(b), effective November 18, 2019, repealed Session Laws 2014-100, s. 34.23(c).

Session Laws 2014-100, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2014.”

Session Laws 2014-100, s. 38.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year.”

Session Laws 2014-100, s. 38.7, is a severability clause.

Session Laws 2018-5, s. 34.8(c), made subsection ( l ) of this section, as added by Session Laws 2018-5, s. 34.8(b), effective July 1, 2018, and applicable beginning with the 2019-2020 Highway Fund certified budget.

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2019-251, s. 1.3(a), provides: “Legislative Intent. — It is the intent of the General Assembly that the Transportation Emergency Reserve shall only be used for major disasters and not for snow and ice removal or non-declared emergency operations.”

Session Laws 2020-91, s. 5.2(b), provides: “(b) Notwithstanding the limitation on contract commitments in G.S. 143C-6-11(f), when the Department’s cash balance is below the 7.5% required by that subsection, upon approval of the Secretary of Transportation, the Department may enter into transportation project contract commitments that are necessary to restore transportation infrastructure damaged as a result of a natural disaster or other emergency. Within 72 hours of entering into a contract under this subsection, the Secretary shall report to the Board of Transportation, the Transportation Oversight Manager at the Office of State Budget and Management, and the Joint Legislative Transportation Oversight Committee, detailing the need for the contract and the associated costs.”

Session Laws 2020-91, s. 5.2(c), as amended by Session Laws 2020-97, s. 3.18, provides: “Subsection (b) of this section expires on January 1, 2021.”

Session Laws 2020-91, s. 5.3(b), provides: “In order for the public to access up-to-date information on projected revenue and Spend Plan status of the Department, the Department shall adjust its performance dashboard available on the Department of Transportation’s Web site to include and track information required by G.S. 143C-6-11(p)(6) as enacted by this act. Dashboard enhancements required under this subsection shall be completed by October 1, 2020.”

Session Laws 2020-97, s. 4.5, is a severability clause.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2014-100, s. 34.23(a), effective July 1, 2014, rewrote subsection (f), and subdivision (k)(1).

Session Laws 2018-5, s. 34.8(b), added subsection ( l ). For effective date and applicability, see editor’s note.

Session Laws 2019-251, ss. 1.3(c), 1.5, 2.1(a) effective November 18, 2019, added subsections (d1), (m), (n), (o), and (p).

Session Laws 2020-91, s. 4.8, effective July 1, 2020, in subsection (d1), in the first sentence, added “by the same percentage,” substituted “personal services” for “salaries” and made a minor stylistic change.

Session Laws 2020-91, s. 4.10(a), (b), effective July 1, 2020, rewrote subsection (n); and substituted “fifteenth day” for “third day” in subsection (o).

Session Laws 2020-91, s. 5.2(a), effective July 1, 2020, added the third and fifth sentences in subsection (f).

Session Laws 2020-91, s. 5.3(a), effective July 1, 2020, added subsections (q) and (r).

Session Laws 2021-180, ss. 41.21, 41.22, effective July 1, 2021, added subdivisions (n)(2)a, and (n)(2)b; and added subsection (s).

CASE NOTES

Editor’s Note. —

Some of the annotations under this section were decided under former G.S. 143-28.1.

Constitutionality. —

This section does not violate N.C. Const., Art. V, § 3. Boneno v. State, 54 N.C. App. 690, 284 S.E.2d 170, 1981 N.C. App. LEXIS 2934 (1981).

Authorization by this section of Department of Transportation construction and maintenance contracts using “cash flow” financing does not violate the prohibition of N.C. Const., Art. III, § 5(3) against incurring a deficit; only actual expenditures in excess of receipts would violate the provision. Boneno v. State, 54 N.C. App. 690, 284 S.E.2d 170, 1981 N.C. App. LEXIS 2934 (1981).

Editor’s Note.

Session Laws 2020-91, s. 7.1, made this section effective July 1, 2020.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2021-180, s. 41.4, effective July 1, 2021, inserted “that is based on the appropriations of the General Assembly” following “Spend Plan” near the middle of subsection (a).

Editor’s Note.

Session Laws 2006-203, s. 3, enacted this section as G.S. 143C-6-12 . It has been renumbered at the direction of the Revisor of Statutes.

Session Laws 2013-360, s. 6.15(a), (b), provides: “(a) No State funds shall be used by a non-State entity to pay for lobbying or lobbyists.

“(b) For the purposes of this section, the following definitions apply:

“(1) Lobbying. — As defined by G.S. 120C-100(a)(9).

“(2) Lobbyist. — As defined by G.S. 120C-100(a)(10).

“(3) Non-State entity. — As defined by G.S. 143C-1-1(d)(18).

“(4) State funds. — As defined by G.S. 143C-1-1(d)(25) and interest earnings that accrue from those funds.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(o), effective July 1, 2013, in the first sentence, substituted “may be made” for “shall be made,” and added “in the discretion of the Director of the Budget.”

Editor’s Note.

Session Laws 2006-203, s. 3, enacted this section as G.S. 143C-6-13 . It has been renumbered at the direction of the Revisor of Statutes.

Session Laws 2007-323, s. 13.16, provides: “(a) The e-NC Authority may contract with other State agencies, The University of North Carolina, the North Carolina Community College System, and nonprofit organizations to assist with program development and the evaluation of program activities.

“(b) The e-NC Authority shall report to the 2008 General Assembly on the following:

“(1) The activities necessary to be undertaken in distressed urban areas of the State to enhance the capability of citizens and businesses residing in these areas to access high-speed Internet.

“(2) An implementation plan for the training of citizens and businesses in distressed urban areas.

“(3) The technology and digital literacy training necessary to assist citizens and existing businesses to create new technology-based enterprises in these communities and to use the Internet to enhance the productivity of their businesses.

“The e-NC Authority shall, by September 30, 2007, and quarterly thereafter, report to the Joint Legislative Commission on Governmental Operations on program development and the evaluation of program activities.”

Session Laws 2008-107, s. 13.9(a)-(e) provides: “(a) Of the funds appropriated in this act to the North Carolina Rural Economic Development Center, Inc. (Rural Center), the sum of four million dollars ($4,000,000) for the 2008-2009 fiscal year shall be used to continue and expand the Rural Economic Transition Program for the following purposes:

“(1) To provide grants to local governments for building reuse and restoration projects leading to job or business creation, including brownfield assessment and remediation projects leading to productive reuse, with priority given to towns or communities with populations of less than 10,000.

“(2) To provide grants to support economic recovery and revitalization in small towns, with priority given to towns with populations less than 10,000 experiencing hardship posed by business losses, devastation from natural disasters, or persistent poverty.

“(3) To provide grants for innovative local and regional economic development and agriculture diversification projects that spur business activity, job creation, or public or private investment.

“(b) Priority for grant funds shall be given to eligible applicants in development tier one areas as defined in G.S. 143B-437.08.

“(c) The Rural Center may use a portion of the funds appropriated in this section, not to exceed two percent (2%), for administration of the programs for which funds are appropriated in this section.

“(d) The Rural Center may contract with other agencies and institutions for certain aspects of the programs for which funds are appropriated in this section, including the design of program guidelines and evaluation of program results.

“(e) The Rural Center shall report to the Joint Legislative Commission on Governmental Operations concerning the progress of the programs for which funds are appropriated in this section by July 1, 2009.”

Session Laws 2009-451, s. 14.27(a)-(e), as amended by Session Laws 2010-31, s. 14.19, provides for the allocation of funds appropriated to the North Carolina Rural Economic Development Center, funding for community development grants, defining of the term community development corporation, and multi-year reporting requirements. Specifically, subsections (d) and (e) provide: “(d) The Rural Center shall provide a report containing detailed budget, personnel, and salary information to the Office of State Budget and Management in the same manner as State departments and agencies in preparation for biennium budget requests.

“(e) By September 1 of each year, and more frequently as requested, the Rural Center shall report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.”

Session Laws 2009-451, s. 14.30(b), provides: “By September 1 of each year, and more frequently as requested, the Rural Center shall report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on OI Centers receiving funds pursuant to subsection (a) of this section. The report shall include data for each OI Center on all itemized expenditures and all fund sources for the prior State fiscal year. The report shall also contain a written narrative on prior fiscal year program activities, objectives, and accomplishments that were funded with funds appropriated in subsection (a) of this section.”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009’.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Session Laws 2017-57, s. 6.13(a)-(c), provides: “(a) Definition. — For purposes of this section, the term “non-State entity” is as defined in G.S. 143C-1-1 .

“(b) Reporting Requirement. — Unless required to report on the use of funds under another provision of law, and by no later than June 30, 2018, each non-State entity receiving expansion funds appropriated in this act for the 2017-2018 fiscal year shall submit a report to the Office of State Budget and Management that provides all of the following information:

“(1) A description of how the funds are used or are to be used, including outcomes and specific deliverables achieved.

“(2) The amount of State funds received and expended during the 2017-2018 fiscal year.

“(3) The amount of State funds expended for administrative purposes during the 2017-2018 fiscal year, including the amount of State funds expended for salaries and benefits.

“(4) For each employee, the amount of State funds used for the employee’s annual salary.

“(c) Funds Shall Not Revert. — Notwithstanding the date set forth in G.S. 143C-6-23(f1)(1), expansion funds from the net General Fund appropriations or allocations in this act to a non-State entity shall not be subject to the return requirement set forth in G.S. 143C-6-23(f1)(1) until June 30, 2019.

Session Laws 2017-57, s. 15A.2(a)-(c), as amended by Session Laws 2017-197, s. 4.10(b) provides: “(a) The entities listed in subsection (c) of this section shall do the following for each year that State funds are expended:

“(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Oversight Committee on Agriculture and Natural and Economic Resources, the chairs of the House of Representatives Appropriations Committee on Agriculture and Natural and Economic Resources, the chairs of the Senate Appropriations Committee on Agriculture, Natural, and Economic Resources, and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.

“(2) Provide to the Joint Legislative Oversight Committee on Agriculture and Natural and Economic Resources, the chairs of the House of Representatives Appropriations Committee on Agriculture and Natural and Economic Resources, the chairs of the Senate Appropriations Committee on Agriculture, Natural, and Economic Resources, and the Fiscal Research Division a copy of the entity’s annual audited financial statement within 30 days of issuance of the statement.

“(b) Funds appropriated by this act to the North Carolina Coastal Federation for a crab pot cleanup program are not subject to Article 3 of Chapter 143 of the General Statutes. The North Carolina Coastal Federation may use up to ten percent (10%) of these funds for administrative and overhead costs. Funds not expended or encumbered by June 30, 2018, shall revert. The North Carolina Coastal Federation shall report on the total amount of funds used, including amount spent per crab pot recovered and amount paid to third parties utilized in the cleanup program, and any recommendations to improve the program, including mechanisms to reuse or repurpose recovered crab pots and to increase efficiency of the program, to the Joint Legislative Oversight Committee on Agriculture and Natural and Economic Resources and the Fiscal Research Division on or before April 1, 2018.

“(c) The following entities shall comply with the requirements of subsection (a) of this section:

“(1) North Carolina Biotechnology Center.

“(2) High Point Market Authority.

“(3) RTI International.

“(4) Blue Ridge Parkway Foundation.

“(5) Carolina Small Business Development Fund.

“(6) Cary Chamber of Commerce.

“(7) First Flight Society.

“(8) North Carolina Coastal Federation.

“(9) Salvation Army of Winston-Salem.

“(10) StepUp Ministry.

“(11) Jim Shaw ACE Academy.

“(12) Make a Difference in King.

“(13) North Carolina Business Leadership Network.

“(14) North Carolina’s Eastern Alliance Corporation.

“(15) Sturgeon City of Jacksonville, NC.”

“(16) Cleveland County ALWS Baseball, Inc.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.’ ”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.’ ”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2019-75, s. 1, provides: “Notwithstanding any provision of S.L. 2017-57, or of the Committee Report described in Section 39.2 of that act to the contrary, the sum of two hundred fifty thousand dollars ($250,000) in nonrecurring funds for the 2017-2018 fiscal year appropriated in that act to the Department of Military and Veterans Affairs for the construction of public facilities at the North Carolina Veterans Memorial Pavilion in Broadway, North Carolina, shall not revert on June 30, 2019, as required by Section 6.13(c) of that act, but shall remain available for expenditure until June 30, 2020.”

Editor’s Note.

Session Laws 2009-451, s. 14.22, provides: “(a) The North Carolina Institute of Minority Economic Development, Inc., Land Loss Prevention Project, North Carolina Minority Support Center, North Carolina Community Development Initiative, Inc., North Carolina Association of Community Development Corporations, Inc., North Carolina Biotechnology Center, North Carolina Center for Automotive Research, Inc., Biofuels Center of North Carolina, High Point Market Authority, and Partnership for the Sounds, Inc., shall do the following:

“(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments, and prior State fiscal year itemized expenditures and fund sources.

“(2) Provide to the Fiscal Research Division a copy of the organization’s annual audited financial statement within 30 days of issuance of the statement.

“(b) Remaining allotments after September 1 shall not be released to any nonprofit organization that does not satisfy the reporting requirements provided in subsection (a) of this section.”

Session Laws 2011-145, s. 14.10(a)-(c), provides: “(a) Ag in the Classroom, Councils of Government, Defense & Security Technology Accelerator, FFA Foundation, High Point Market Authority, Indian Economic Development Initiative, Johnson & Wales University, Land Loss Prevention Project, North Carolina Association of Community Development Corporations, North Carolina Institute of Minority Economic Development, Inc., North Carolina Community Development Initiative, Inc., North Carolina Minority Support Center, and Partnership for the Sounds, Inc., shall do the following:

1. By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.
2. Provide to the Fiscal Research Division a copy of the organization’s annual audited financial statement within 30 days of issuance of the statement.

(b) Remaining allotments after September 1 shall not be released to any nonprofit organization that does not satisfy the reporting requirements provided in subsection (a) of this section.

(c) Beginning in fiscal year 2012-2013, no more than one hundred twenty thousand dollars ($120,000) in State funds shall be used for the annual salary of any one employee of an entity named in subsection (a) of this section.”

Session Laws 2011-145, s. 14.11(g), provides: “Beginning fiscal year 2012-2013, no more than one hundred twenty thousand dollars ($120,000) in State funds shall be used for the annual salary of any one employee of an entity named in subsection (b) of this section.”

Those entities include: Aurora Fossil Museum; Cape Fear Museum; Carolina Raptor Center; Catawba Science Center; Colburn Earth Science Museum, Inc.; Core Sound Waterfowl Museum; Discovery Place; Eastern NC Regional Science Center; Fascinate-U; Granville County Museum Commission, Inc.-Harris Gallery; Greensboro Children’s Museum; The Health Adventure Museum of Pack Place Education, Arts and Science Center, Inc.; Highlands Nature Center; Imagination Station; Imagination Station; The Iredell Museums, Inc.; Kidsenses; Museum of Coastal Carolina; The Natural Science Center of Greensboro, Inc.; North Carolina Museum of Life and Science; Pisgah Astronomical Research Institute; Port Discover: Northeastern North Carolina’s Center for Hands-On Science, Inc.; Rocky Mount Children’s Museum; Schiele Museum of Natural History and Planetarium, Inc.; Sci Works Science Center and Environmental Park of Forsyth County; Sylvan Heights Waterfowl Park and Eco-Center; Western North Carolina Nature Center; Wilmington Children’s Museum.

Session Laws 2011-145, s. 14.12B(a), (b) and (d), provides: “(a) RTI International shall do the following:

(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.

(2) Provide to the Fiscal Research Division a copy of the organization’s annual audited financial statement within 30 days of issuance of the statement.

(b) Remaining allotments after September 1 shall not be released to RTI International if the organization does not satisfy the reporting requirements provided in subsection (a) of this section.

(d) Beginning fiscal year 2012-2013, no more than one hundred twenty thousand dollars ($120,000) in State funds shall be used for the annual salary of any one employee of RTI International.”

Session Laws 2011-145, s. 14.13(c), as amended by Session Laws 2011-391, s. 37, provides: “No more than one hundred twenty thousand dollars ($120,000) in State funds shall be used for the annual salary of any one employee of a regional economic development commission.”

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2013-360, s. 15.25, provides: “Ag in the Classroom, High Point Furniture Market Authority, Johnson & Wales University, North Carolina’s Eastern Region, North Carolina’s Northeast Commission, Southeastern North Carolina Regional Economic Development Commission, Western North Carolina Regional Economic Development Commission, Charlotte Regional Partnership, Inc., Piedmont Triad Partnership, RTI International, Research Triangle Regional Partnership, and The Support Center shall do the following:

“(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.

“(2) Provide to the Fiscal Research Division a copy of the entity’s annual audited financial statement within 30 days of issuance of the statement.”

Session Laws 2013-360, s. 15.30(c), provides: “The Center shall comply with the following reporting requirements:

“(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.

“(2) Provide to the Fiscal Research Division a copy of the Center’s annual audited financial statement within 30 days of issuance of the statement.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

At the direction of the Revisor of Statutes, the definitions in subsection (a) were renumbered to maintain alphabetical order.

Session Laws 2015-241, s. 15.19, provides: “Brevard Station Museum, Cleveland County ALWS Baseball, Inc., High Point Furniture Market Authority, RTI International, The Rankin Museum, Inc., and The Support Center shall do the following:

“(1) By September 1 of each year, and more frequently as requested, report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on prior State fiscal year program activities, objectives, and accomplishments and prior State fiscal year itemized expenditures and fund sources.

“(2) Provide to the Fiscal Research Division a copy of the entity’s annual audited financial statement within 30 days of issuance of the statement.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2016-94, s. 14.20A(b), as amended by Session Laws 2017-17, s. 1, as amended by Session Laws 2019-75, s. 2, and as amended by Session Laws 2021-180, s. 12.8, provides: “Notwithstanding G.S. 143C-6-23(f1)(1) and G.S. 143C-1-2 , funds allocated by this section shall be held in reserve by the Office of State Budget and Management and the allocations to each County shall be released when the County and one or more of the municipalities specified in subsection (a) of this section reach agreement on the funds allocated to that County by this section through interlocal agreements or the formation of regional water and sewer authorities or a combination of interlocal agreements and regional water and sewer authorities. Funds not spent or encumbered by June 30, 2023, shall be returned by the local governments or regional water and sewer authority to the Office of State Budget and Management and revert to the General Fund.”

Session Laws 2016-94, s. 27.4(a)-(c), provides: “(a) G.S. 143C-6-23(f1)(1) shall not apply to funds appropriated for the 2015-2016 fiscal year for the following:

“(1) School construction funds for the construction of a collocated middle and high school in Jones County.

“(2) Grant-in-aid to Project Healing Waters Fly Fishing, Inc., for transporting veterans to recreational activities. These funds may also be used by Project Healing Waters Fly Fishing, Inc., for travel and lodging expenses associated with recreational activities for veterans.

“(3) Grant-in-aid to the Averasboro Battlefield Commission to assist with the purchase and relocation of the Shaw Halfway House. These funds shall instead be allocated to Averasboro Town Restoration Association, Inc., for the purchase and relocation of the Shaw Halfway House.

“(b) G.S. 143C-6-23(f1)(1) shall not apply to funds appropriated for the 2016-2017 fiscal year for school construction funds for the construction of a collocated middle and high school in Jones County.

“(c) Subsection (a) of this section becomes effective June 30, 2016.”

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Session Laws 2016-124, s. 4.1(6), as amended by Session Laws 2018-46, s. 2(a), provides: “In addition to any other funds appropriated during the 2016-2017 fiscal year, there is appropriated from the Savings Reserve Account to the General Fund the sum of one hundred million nine hundred twenty-eight thousand three hundred seventy dollars ($100,928,370) in nonrecurring funds for the 2016-2017 fiscal year and there is appropriated from the unappropriated General Fund balance the sum of one hundred million dollars ($100,000,000) in nonrecurring funds for the 2016-2017 fiscal year. These funds shall be allocated as follows:

“(6) $5,000,000 shall be allocated to The Golden L.E.A.F. (Long Term Economic Advancement Foundation), Inc., a nonprofit corporation, for the purpose of providing grants to eligible entities capable of making loans to small businesses affected by Hurricane Matthew, the western wildfires, or Tropical Storms Julia and Hermine. These funds shall not be subject to G.S. 143C-6-23(d) or G.S. 143C-6-23(f1)(1).”

Session Laws 2017-57, s. 6.13(a)-(c), provides: “(a) Definition. — For purposes of this section, the term “non-State entity” is as defined in G.S. 143C-1-1 .

“(b) Reporting Requirement. — Unless required to report on the use of funds under another provision of law, and by no later than June 30, 2018, each non-State entity receiving expansion funds appropriated in this act for the 2017-2018 fiscal year shall submit a report to the Office of State Budget and Management that provides all of the following information:

“(1) A description of how the funds are used or are to be used, including outcomes and specific deliverables achieved.

“(2) The amount of State funds received and expended during the 2017-2018 fiscal year.

“(3) The amount of State funds expended for administrative purposes during the 2017-2018 fiscal year, including the amount of State funds expended for salaries and benefits.

“(4) For each employee, the amount of State funds used for the employee’s annual salary.

“(c) Funds Shall Not Revert. — Notwithstanding the date set forth in G.S. 143C-6-23(f1)(1), expansion funds from the net General Fund appropriations or allocations in this act to a non-State entity shall not be subject to the return requirement set forth in G.S. 143C-6-23(f1)(1) until June 30, 2019.

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2017-119, s. 1(2), as amended by Session Laws 2018-46, s. 2(b), provides: “If Senate Bill 257 [Session Laws 2018-57] of the 2017 Regular Session becomes law, one hundred million dollars ($100,000,000) reserved as Supplemental Disaster Recovery Funds in that act shall be allocated as follows:

“(2) Infrastructure. — Thirty million dollars ($30,000,000) to the Golden L.E.A.F. (Long-Term Economic Advancement Foundation), Inc., a nonprofit corporation, to provide grants to local governments and to 501(c)(3) nonprofit corporations for assistance and relief from Hurricane Matthew, the western wildfires, and Tropical Storms Julia and Hermine. These funds shall not be subject to G.S. 143C-6-23(d) or G.S. 143C-6-23(f1)(1). For purposes of this subdivision, infrastructure includes nonresidential buildings that serve the public, water, sewer, sidewalks, storm drainage, and other, similar projects.”

Session Laws 2018-5, s. 5.6(f), provides: “No Reversion of Funds. — Funds described in subdivisions (1), (3), (4), and (5) and sub-subdivision c. of subdivision (2) of subsection (b) of this section shall remain available to implement the provisions of this section until the General Assembly directs the reversion of any unexpended and unencumbered funds and G.S. 143C-6-23(f1)(1) shall not apply to those funds.”

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Session Laws 2018-138, s. 1.3(4), provides: “Five million dollars ($5,000,000) to the Office of State Budget and Management for The Golden L.E.A.F. (Long-Term Economic Advancement Foundation), Inc., a nonprofit corporation, to provide grants to eligible entities capable of making loans to small businesses affected by Hurricane Florence. These funds and funds received by Golden L.E.A.F. pursuant to S.L. 2018-136 shall not be subject to G.S. 143C-6-23(d) .”

Session Laws 2018-145, s. 12(b), provides: “The Office of State Budget shall review its rules governing disbursement of State funds to non-State entities to determine if its rules are in compliance with the requirements set forth in G.S. 143C-6-23 . By March 1, 2019, the Office of State Budget and Management shall submit the findings of the review required under this subsection to the Fiscal Research Division and the chairs of the House of Representatives Committee on Appropriations and the Senate Appropriations/Base Budget Committee.”

Session Laws 2019-75, s. 1, provides: “Notwithstanding any provision of S.L. 2017-57, or of the Committee Report described in Section 39.2 of that act to the contrary, the sum of two hundred fifty thousand dollars ($250,000) in nonrecurring funds for the 2017-2018 fiscal year appropriated in that act to the Department of Military and Veterans Affairs for the construction of public facilities at the North Carolina Veterans Memorial Pavilion in Broadway, North Carolina, shall not revert on June 30, 2019, as required by Section 6.13(c) of that act, but shall remain available for expenditure until June 30, 2020.”

Session Laws 2019-250, s. 1.2, provides: “Other Disaster Relief and Resiliency Appropriations/Nonrecurring Funds. — In addition to any other funds appropriated during the 2019-2020 fiscal year, there is appropriated from the unappropriated balance in the General Fund the sum of fifty-nine million fifty thousand dollars ($59,050,000) in nonrecurring funds for the 2019-2020 fiscal year to be allocated as follows:

“(1) $5,000,000 to the Office of State Budget and Management for the State Emergency Response and Disaster Relief Fund to ensure that sufficient funds are available to provide relief and assistance for Hurricane Dorian, recent storms, and future emergencies, as authorized by G.S. 166A-19.42 .

“(2) $9,800,000 to the Department of Public Safety, Division of Emergency Management to be used as follows:

“a. $5,000,000 to expand flood mitigation studies.

“b. $4,800,000 for water level and breach monitoring systems for 1,510 high and intermediate risk dams.

“(3) $15,000,000 to the Department of Public Safety, Office of Recovery and Resiliency to be used as follows:

“a. $10,000,000 to provide flexible local government loans to assist distressed communities impacted by Hurricane Matthew, Hurricane Florence, Hurricane Michael, or Hurricane Dorian. The Office shall enter into agreements with local governments to ensure the proper use of the funds and the return of the funds to the State once the local governments have received federal reimbursement. Loans may be used for cash flow assistance while awaiting federal reimbursement. NCORR shall operate the program on a revolving loan fund basis to assist the maximum number of local governments possible.

“b. $5,000,000 to provide flexible local government grants to assist distressed communities impacted by Hurricane Dorian. Grants may be used for repairs, staff support and technical assistance, cash flow assistance, and other related activities.

“(4) $15,000,000 to the Office of State Budget and Management for the Golden L.E.A.F. (Long-Term Economic Advancement Foundation), Inc., to provide grants to governmental entities and organizations exempt from federal income tax under section 501(c)(3) of the Internal Revenue Code. The funds may be used to repair, replace, construct, or improve infrastructure or equipment damaged as a result of Hurricane Matthew, Florence, Michael, or Dorian, as well as to construct or improve infrastructure to support hazard mitigation. For the purposes of this program, infrastructure includes nonresidential buildings that serve the public, water, sewer, stormwater, and other publicly owned assets. The Golden L.E.A.F. may also provide grants to 501(c)(3) nonprofit organizations and established religious organizations to repair or replace places of worship damaged or destroyed by Hurricane Florence.

“The funds allocated to the Golden L.E.A.F. in this subdivision are not subject to G.S. 143C-6-23(d) .

“(5) $5,000,000 to the Department of Agriculture and Consumer Services, Division of Soil and Water Conservation for stream debris removal.

“(6) $5,200,000 to Elizabeth City State University for repairs to academic and residential buildings impacted by Hurricane Dorian.

“(7) $1,700,000 to the Department of Public Instruction as a directed grant to Hyde County for repairs to the Ocracoke School necessitated by Hurricane Dorian.

“(8) $1,800,000 to the Office of State Budget and Management to provide a directed grant to Hyde County for construction of a pump station and related watershed restoration infrastructure for the Lake Mattamuskeet watershed.

“(9) $50,000 to the Department of Environmental Quality for repair, restoration, and related environmental disaster recovery activities at the Department’s Coastal Reserves.

“(10) $500,000 to the Wildlife Resources Commission for two grant programs to be administered by the Outdoor Heritage Advisory Council.”

Session Laws 2021-180, s. 37.13, made the amendments to subsection (h) of this section by Session Laws 2021-180, s. 37.5(c), effective November 18, 2021, and applicable to reports submitted on or after that date.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-323, s. 28.22A(o), as amended by Session Laws 2007-345, s. 12, effective July 1, 2008, substituted “State Health Plan for Teachers and State Employees” for “Teachers’ and State Employees’ Comprehensive Major Medical Plan” in subdivision (a)(1).

Session Laws 2014-100, s. 6.5(a), effective July 1, 2014, in subsection (a), added subdivision (a)(4) and made minor stylistic changes; in subsection (d), added the second sentence in subdivision (d)(5) and rewrote subdivision (d)(12); and added subsections (d1), (f1), (f2), (j), and (k). See Editor’s note for applicability.

Session Laws 2015-264, s. 21, effective October 1, 2015, substituted “section” for “act” at the end of subdivision (f1)(3).

Session Laws 2019-19, s. 1(a), effective July 1, 2019, in subsection (g), twice substituted “shall” for “must” and added the last sentence.

Session Laws 2021-180, s. 37.5(c), in subsection (h), substituted “The” for “Not later than May 1, 2007, and by May 1 of every succeeding year, the”; substituted “post online at regular intervals a list of” for “report to the Joint Legislative Commission on Governmental Operations and the Fiscal Research Division on.” For effective date and applicability, see editor's note.

CASE NOTES

Appropriation of Federal Block Grant Funds. —

Governor’s claim challenging the General Assembly’s appropriation of federal block grant funds awarded to the State was properly dismissed as the block grant funds were, despite their source in the federal government, subject to appropriation by the General Assembly because Congress left the issue of state legislative appropriation of federal block grants for each state to determine; and, while some federal funds could be considered custodial agency funds, the State Budget Act treated federal block grants as state funds subject to appropriation through the statutory budgetary process, and the Governor did not identify any federal prohibition against treating the block grant funds as state funds subject to legislative appropriation. Cooper v. Berger, 268 N.C. App. 468, 837 S.E.2d 7, 2019 N.C. App. LEXIS 980 (2019), aff'd, 376 N.C. 22 , 852 S.E.2d 46, 2020 N.C. LEXIS 1133 (2020).

Editor’s Note.

Session Laws 2012-142, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2012.’ ”

Session Laws 2012-142, s. 27.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2012-2013 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2012-2013 fiscal year.”

Session Laws 2012-142, s. 27.7, is a severability clause.

Session Laws 2015-241, s. 31.7, as amended by Session Laws 2017-206, s. 7(b), and as amended by Session Laws 2018-142, s 24(b), provides: “(a) Definitions. — The following definitions apply in this section:

“(1) Capital project. — Any capital improvement, as that term is defined in G.S. 143C-1-1 , that is not complete by the effective date of this section and that is funded in whole or in part with State funds, including receipts, non-General Fund sources, or statutorily or constitutionally authorized indebtedness of any kind. This term includes only projects with a total cost of one hundred thousand dollars ($100,000) or more.

“(2) Construction phase. — The status of a particular capital project as described using the terms customarily employed in the design and construction industries.

“(3) New capital project. — A capital project that is authorized in this act or subsequent to the effective date of this act.

“(b) Reporting. — The following reports are required:

“(1) By October 1, 2015, and every six months thereafter, each State agency shall report on the status of agency capital projects to the Joint Legislative Commission on Governmental Operations.

“(2) By October 1, 2015, and quarterly thereafter, each State agency shall report on the status of agency capital projects to the Fiscal Research Division of the General Assembly and to the Office of State Budget and Management.

“(c) The reports required by subsection (b) of this section shall include at least the following information about every agency capital project:

“(1) The current construction phase of the project.

“(2) The anticipated time line from the current construction phase to project completion.

“(3) Information about expenditures that have been made in connection with the project, regardless of source of the funds expended.

“(4) Information about the adequacy of funding to complete the project, including estimates of how final expenditures will relate to initial estimates of expenditures, and whether or not scope reductions will be necessary in order to complete the project within its budget.

“(5) For new capital projects only, an estimate of the operating costs for the project for the first five fiscal years of its operation.

“(d) In addition to the other reports required by this section, on October 1, 2015, and every six months thereafter, the Office of State Construction shall report on the status of the Facilities Condition Assessment Program (FCAP) to the Joint Legislative Commission on Governmental Operations. The report shall include (i) summary information about the average length of time that passes between FCAP assessments for an average State building; (ii) detailed information about when the last FCAP assessment was for each State building complex; and (iii) detailed information about the condition and repairs and renovations needs of each State building complex.

“(e) In addition to the other reports required by this section, on October 1, 2015, and quarterly thereafter, the State Construction Office shall report to the Joint Legislative Oversight Committee on Capital Improvements on the status of plan review, approval, and permitting for each State capital improvement project and community college capital improvement project over which the Office exercises plan review, approval, and permitting authority. Each report shall include (i) summary information about the workload of the Office during the previous quarter, including information about the average length of time spent by the State Construction Office on each major function it performs that is related to capital project approval, and (ii) detailed information about the amount of time spent engaged in those functions for each project that the State Construction Office worked on during the previous quarter.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Effect of Amendments.

Session Laws 2016-119, s. 2(c), effective July 28, 2016, rewrote subsection (1), which read “An inventory of facilities owned by State agencies.”

Editor’s Note.

Former G.S. 143C-8-2 pertained to capital facilities inventory.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(q), effective July 1, 2013, redesignated the formerly undesignated provisions of this section as present subsection (a); and added subsection (b).

Editor’s Note.

Session Laws 2016-94, s. 37.7.(i), provides: “No later than October 1, 2016, the Director of the Budget shall prepare and transmit to the General Assembly a preliminary six-year capital improvement plan that complies with the requirements of G.S. 143C-8-5 , as amended by subsection (g) of this section, and G.S. 143C-8-3(b), as enacted by subsection (j) of this section. This plan shall be in addition to any other six-year capital improvement plan required by G.S. 143C-8-5 .”

Session Laws 2016-94, s. 37.7(k) made the amendment to this section by Session Laws 2016-94, s. 37.7(j), effective July 14, 2016, and applicable to leases entered into or renewed, and to budgets recommended by the Director of the Budget, on or after that date.

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2016-94, s. 37.7(j), effective July 14, 2016, in subsection (a), added the subsection designation (a) and the subsection heading “Criteria”; and added subsection (b). See editor’s note for applicability.

Editor’s Note.

Session Laws 2016-94, s. 37.7(k) made the amendment to this section by Session Laws 2016-94, s. 37.7(f), effective July 14, 2016, and applicable to leases entered into or renewed, and to budgets recommended by the Director of the Budget, on or after that date.

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2016-94, s. 37.7(f), effective July 14, 2016, in subsection (c), added “and shall include the information required by G.S. 143C-3-3(d)(5)” at the end of the last sentence in the first and second paragraphs. See editor’s note for applicability..

Editor’s Note.

Session Laws 2016-94, s. 37.7.(i), provides: “No later than October 1, 2016, the Director of the Budget shall prepare and transmit to the General Assembly a preliminary six-year capital improvement plan that complies with the requirements of G.S. 143C-8-5 , as amended by subsection (g) of this section, and G.S. 143C-8-3(b), as enacted by subsection (j) of this section. This plan shall be in addition to any other six-year capital improvement plan required by G.S. 143C-8-5 .

Session Laws 2016-94, s. 37.7(k) made the amendment to this section by Session Laws 2016-94, s. 37.7(g), effective July 14, 2016, and applicable to leases entered into or renewed, and to budgets recommended by the Director of the Budget, on or after that date.

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2016-94, s. 37.7(g), effective July 14, 2016, in subsection (c), added “and (iv) an estimate of maintenance and operating costs, including personnel, for the project, covering the first five years of operation” at the end of the second sentence and made stylistic changes. See editor’s note for applicability.

Editor’s Note.

Session Laws 2016-94, s. 37.7(k) made the amendment to this section by Session Laws 2016-94, s. 37.7(h), effective July 14, 2016, and applicable to leases entered into or renewed, and to budgets recommended by the Director of the Budget, on or after that date.

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-117, s. 5.(b), effective July 1, 2007, in subsection (c), deleted “(iii) an estimated schedule of cash flow requirements over the life of the project,” and redesignated former (iv) and (v) as present (iii) and (iv), respectively.

Session Laws 2010-96, s. 17, effective July 20, 2010, in subsection (c), substituted “subsection (b) of this section” for “143C-8-6(b)”; and in subsection (e), substituted “subsection (d) of this section” for “143C-8-6(c).”

Session Laws 2016-94, s. 37.7(h), effective July 14, 2016, substituted “(v)” for “ (v) an estimate of maintenance and operating costs, including personnel, for the project, covering the first five years of operation, (vi)” near the end of subsection (e); and added subsection (f). See editor’s note for applicability.

Session Laws 2019-250, s. 5.9(c), effective November 18, 2019, in subsection (c), added “Recommended Capital Improvements” throughout the subsection; in subsection (e), added “Capital Improvements” throughout the subsection.

Editor’s Note.

Session Laws 2011-145, s. 6.5(a)-(d), had provided for interim appropriations committees, meetings, and a requirement for consultation by the Governor prior to certain budgetary actions, during the period between legislative sessions. Session Laws 2012-142, s. 6.1, effective July 1, 2012, repealed s. 6.5 of Session Laws 2011-145.

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.’ ”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2015-241, s. 31.14, provides: “(a) Notwithstanding G.S. 143C-8-7 , a State agency may undertake repairs and renovations projects so long as each project satisfies the following requirements:

“(1) Total project costs do not exceed three hundred thousand dollars ($300,000).

“(2) The project is one of the types set forth in G.S. 143C-4-3(b)(1) through (12), regardless of whether the relevant State facilities and related infrastructure are supported from the General Fund.

“(3) The project is paid for with funds available to the agency.

“(b) Projects undertaken pursuant to this section shall be reported to the Fiscal Research Division on a quarterly basis. A report under this subsection shall include information about all of the following for each project:

“(1) The facility at which the project is being undertaken.

“(2) The nature and scope of the project.

“(3) The source of funds for the project.

“(4) The category of projects set forth in G.S. 143C-4-3(b) that the project falls within.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Effect of Amendments.

Session Laws 2020-81, s. 4(b), effective July 1, 2020, added the subsection (a) designator; and added subsection (b).

Editor’s Note.

Session Laws 2020-81, s. 12, made this section effective July 1, 2020.

Editor’s Note.

Session Laws 2011-145, s. 6.5(a)-(d), had provided for interim appropriations committees, meetings, and a requirement for consultation by the Governor prior to certain budgetary actions, during the period between legislative sessions. Session Laws 2012-142, s. 6.1, effective July 1, 2012, repealed s. 6.5 of Session Laws 2011-145.

Session Laws 2011-145, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2011.”

Session Laws 2011-145, s. 32.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2011-2013 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2011-2013 fiscal biennium.”

Session Laws 2011-145, s. 32.5, is a severability clause.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2011-145, s. 30.10(a), effective June 15, 2011, in the first sentence, substituted “the Board of Governors of the University of North Carolina may approve” for “the Director of the Budget may, upon request of the Board of Governors of the University of North Carolina and after consultation with the Joint Legislative Commission on Governmental Operations, approve” and inserted “and operated” in clause (ii), and added the last sentence.

Session Laws 2014-100, ss. 36.5, 36.8(a), effective July 1, 2014, added the subsection (a) designation; rewrote subsection (a); and added subsections (b), (c), and (d).

Session Laws 2017-57, s. 36.12(j), effective July 1, 2019, substituted “G.S. 143C-8-13(a)” for “ G.S. 143C-4-3(b)” in the second sentence in subsection (b).

Session Laws 2020-81, s. 4(d), effective July 1, 2020, added the concluding paragraph of subsection (a).

Session Laws 2021-180, s. 40.10(c), effective July 1, 2021, in subdivision (a)(1), substituted “and non-State Capital and Infrastructure Fund monies” for “money”; in subdivision (a)(2), substituted “and non-State Capital and Infrastructure Fund monies” for “money”; in subdivision (a)(3), substituted “and non-State Capital and Infrastructure Fund monies”; in subsection (b), substituted “and non-State Capital and Infrastructure Fund monies” for “money.”

Editor’s Note.

Session Laws 2021-180, s. 40.1(d), provides, in part: “Notwithstanding G.S. 143C-8-13(a), the Board of Governors of The University of North Carolina is authorized to utilize funds allocated for project code UNC/R&R21 in subsection (b) of this section for the projects listed in this subsection. The Board of Governors may reallocate funds in accordance with G.S. 143C-8-13(b); provided, however, reallocation of funds intended for a project located at a particular constituent institution may only be reallocated for repairs and renovations projects at that particular constituent institution. The Board of Governors is authorized to utilize funds allocated for project code UNC/R&R21 that are available after allocation for specific projects authorized in this Part and that exceed the amount needed to fund intended projects at the constituent institutions as listed in this subsection. The provisions of G.S. 143C-8-13(b)(4), as enacted by Section 40.10(b) of this act, shall not apply to the projects listed in this subsection.”

Session Laws 2021-180, s. 40.1(d), then listed projects that the General Assembly intends to fund for which the Board of Governors may prioritize funding through the 2023-2025 fiscal biennium.

Session Laws 2017-57, s. 36.12(c), made this section effective July 1, 2019.

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2020-81, s. 4(a), effective July 1, 2020, in subsection (a), added the exception in the first sentence, and added “or the State Capital and Infrastructure Fund” in the second sentence; and added subsections (c) and (d).

Session Laws 2021-180, s. 40.10(b), effective July 1, 2021, rewrote subsection (b).

Editor’s Note.

Session Laws 2021-80, s. 8, made this section, as added by Session Laws 2021-80, s. 4, effective July 8, 2021, and applicable to capital projects authorized before, on, or after that date.

Session Laws 2021-180, s. 40.10(a), provides: “It is the intent of the General Assembly to consolidate reporting for capital improvement projects. With the exception of the statutory requirements contained in G.S. 143C-8-14 , any reporting requirements imposed on capital improvement projects for State agencies authorized by a previous act of the General Assembly are hereby repealed.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Editor’s Note.

Session Laws 2013-360, s. 12H.25, provides: “Of the funds transferred to the Department of Health and Human Services for Medicaid programs pursuant to G.S. 143C-9-1 , there is appropriated from the Medicaid Special Fund to the Department of Health and Human Services the sum of forty-three million dollars ($43,000,000) for the 2013-2014 fiscal year and the sum of forty-three million dollars ($43,000,000) for the 2014-2015 fiscal year. These funds shall be allocated as prescribed by G.S. 143C-9-1 (b) for Medicaid programs. Notwithstanding the prescription in G.S. 143C-9-1(b) that these funds not reduce State general revenue funding, these funds shall replace the reduction in general revenue funding effected in this act.”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Session Laws 2015-241, s. 12H.11, provides: “Of the funds transferred to the Department of Health and Human Services for Medicaid programs pursuant to G.S. 143C-9-1 , there is appropriated from the Medicaid Special Fund to the Department of Health and Human Services the sum of forty-three million dollars ($43,000,000) for the 2015-2016 fiscal year and the sum of forty-three million dollars ($43,000,000) for the 2016-2017 fiscal year. These funds shall be allocated as prescribed by G.S. 143C-9-1 (b) for Medicaid programs. Notwithstanding the prescription in G.S. 143C-9-1(b) that these funds not reduce State general revenue funding, these funds shall replace the reduction in general revenue funding effected in this act.”

For prior similar provisions, see Session Laws 2007-323, s. 10, 2009-451, s. 10.61, 2011-145, s. 10.34, and 2013-360, s. 12H.25.

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium.”

Session Laws 2015-241, s. 33.6, is a severability clause.

Effect of Amendments.

Session laws 2007-117, s. 7, effective July 1, 2007, added the first paragraph in subsection (a).

Editor’s Note.

Session Laws 2007-323, s. 10.49(u), provides: “In keeping with the United States Supreme Court decision in Olmstead v. L.C. & E.W. and State policy to provide appropriate services to clients in the least restrictive and most appropriate environment, the Department of Health and Human Services shall continue to implement a plan for the transition of patients from State psychiatric hospitals to the community or to other long-term care facilities, as appropriate. The goal is to develop mechanisms and identify resources needed to enable patients and their families to receive the necessary services and supports based on the following guiding principles:

“(1) Individuals shall be provided acute psychiatric care in non-State facilities when appropriate.

“(2) Individuals shall be provided acute psychiatric care in State facilities only when non-State facilities are unavailable.

“(3) Individuals shall receive evidence-based psychiatric services and care that are cost-efficient.

“(4) The State shall minimize cost shifting to other State and local facilities or institutions.

“The Department of Health and Human Services shall conduct an analysis of the individual patient service needs and shall develop and implement an individual transition plan, as appropriate, for patients in each hospital. The State shall ensure that each individual transition plan, as appropriate, shall take into consideration the availability of appropriate alternative placements based on the needs of the patient and within resources available for the mental health, developmental disabilities, and substance abuse services system. In developing each plan, the Department shall consult with the patient and the patient’s family or other legal representative.

“The Department of Health and Human Services shall submit reports on the status of implementation of this section to the Joint Legislative Commission on Governmental Operations, the Senate Appropriations Committee on Health and Human Services, the House of Representatives Appropriations Subcommittee on Health and Human Services, the Joint Legislative Oversight Committee on Mental Health, Developmental Disabilities, and Substance Abuse Services, and the Fiscal Research Division. These reports shall be submitted on December 1, 2007, and May 1, 2008.”

Session Laws 2007-323, s. 10.49(v), provides: “(v) Funds in the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs (Mental Health Trust Fund) that are designated by the Department of Health and Human Services in its 2006-2007 Mental Health Trust Fund Plan for increasing community-based services, shall be disbursed in full by the Department to LMEs for this purpose not later than October 1, 2007. Funds received by LMEs on or before October 1, 2007, for this purpose and not expended or encumbered by LMEs for this purpose by June 30, 2009, shall revert on that date to the Mental Health Trust Fund.

“Notwithstanding G.S. 143C-9-2 , as amended by subsection (w1) of this section, the Department of Health and Human Services may spend funds in the Mental Health Trust Fund for the 2007-2008 fiscal year for allowable purposes other than community-based programs provided that such purposes were included in the 2006-2007 Mental Health Trust Fund Plan. As used in this subsection ‘allowable purposes’ means the statutory authorization in effect under G.S. 143-15.3D on June 30, 2007.”

Session Laws 2007-323, s. 10.49(w2) and (w3) provides: “(w2) Notwithstanding G.S. 143C-9-2(c), additional savings in the 2007-2008 and 2008-2009 fiscal years shall be used to fund the State’s contribution for local management entity system administration.

“(w3) Notwithstanding G.S. 143C-9-2(b) requiring allocation of funds to area programs, the Department of Health and Human Services may use up to one million five hundred thousand dollars ($1,500,000) in each of the 2007-2008 and 2008-2009 fiscal years from the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs for the purposes authorized under G.S. 143C-9-2(b)(1), (3), and (4).”

Session Laws 2007-323, s. 10.49(x), provides: “Notwithstanding G.S. 143C-9-2 , as amended by this act, the Secretary of Health and Human Services may use funds for the 2007-2008 fiscal year from the Trust Fund for Mental Health, Developmental Disabilities, and Substance Abuse Services and Bridge Funding Needs (Trust Fund) or, if funds in the Trust Fund are insufficient, from other available sources in the Department of Health and Human Services, to support up to 66 new positions in the Julian F. Keith Alcohol and Drug Abuse Treatment Center, provided that these funds may be used only if the Julian F. Keith Alcohol and Drug Abuse Treatment Center opens before July 1, 2008.”

Session Laws 2007-323, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2007’.”

Session Laws 2007-323, s. 32.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2007-2009 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2007-2009 fiscal biennium.”

Session Laws 2007-323, s. 32.5, is a severability clause.

Session Laws 2015-241, s. 12F.7(a), provides: “It is the intent of the General Assembly to use funds deposited in the Dorothea Dix Hospital Property Fund established in subsection (b) of this section [this section] to increase the availability of short-term behavioral health inpatient services around the State and to increase inpatient bed capacity for short-term care of individuals experiencing an acute mental health, substance abuse, or developmental disability crisis.”

Session Laws 2015-241, s. 12F.7(c), provides: “Notwithstanding G.S. 146-30 or any other provision of law, the State Controller shall transfer a total of forty-nine million eight hundred ninety-nine thousand four hundred fifty-six dollars ($49,899,456) for the 2015-2016 fiscal year from the net proceeds of the sale of the Dorothea Dix Hospital property into the Dorothea Dix Hospital Property Fund established in G.S. 143C-9-2(b1), as enacted by subsection (b) of this section. These funds shall be available for expenditure only upon an appropriation by act of the General Assembly and do not constitute an “appropriation made by law,” as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution.”

Session Laws 2015-241, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2015.’ ”

Session Laws 2015-241, s. 33.6, is a severability clause.

Session Laws 2016-94, s. 12F.4, provides: “(a) It is the intent of the General Assembly to increase short-term, inpatient behavioral health bed capacity in rural areas of the State with the highest need. Toward that end, of the funds appropriated from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2016-2017 fiscal year, the sum of eighteen million dollars ($18,000,000) shall be used to pay for any renovation or building costs associated with the following:

“(1) The construction of new licensed short-term, inpatient behavioral health beds.

“(2) The conversion of existing inpatient acute care beds into licensed short-term, inpatient behavioral health beds.

“(3) A combination of subdivision (1) and subdivision (2) of this subsection.

“(b) The Secretary shall select hospitals in the three State regions for institutional services (Eastern Region, Central Region, and Western Region) to receive funds allocated under subsection (a) of this section for the construction, conversion, or both of short-term, inpatient behavioral health beds in rural areas of the State. Notwithstanding the State Medical Facilities Plan, Article 9 of Chapter 131E of the General Statutes, or any other provision of law to the contrary, each selected rural hospital that receives funds allocated under subsection (a) of this section shall be allowed to construct new or convert unused acute care beds into licensed, inpatient behavioral health beds without undergoing certificate of need review by the Division of Health Service Regulation. All newly constructed or converted beds shall be subject to existing licensure laws and requirements. As a condition of receiving these funds, each selected rural hospital shall reserve at least fifty percent (50%) of the constructed or converted beds for (i) purchase by the Department under the State-administered, three-way contract and (ii) referrals by local management entities/managed care organizations (LME/MCOs) of individuals who are indigent or Medicaid recipients. Any hospital unit or other location with short-term, inpatient behavioral health beds constructed or converted with funds allocated under subsection (a) of this section shall be named in honor of Dorothea Dix.

“(c) If the Department approves a request submitted by a rural hospital selected to receive funds allocated under subsection (a) of this section to include within its hospital license a facility, premises, building, outpatient clinic, or other location in an immediately adjoining county with a population of at least 60,000 based on the latest official United States census, as permitted under G.S. 131E-177(e1), as enacted by Section 12G.3 of this act, then the Secretary shall allocate funds to that hospital for the construction or conversion of a sufficient number of additional beds to ensure that, within the three-year period following approval of such request, the hospital has a total inventory of at least 18 licensed and operational short-term, inpatient behavioral health beds. Notwithstanding the State Medical Facilities Plan, Article 9 of Chapter 131E of the General Statutes, or any other provision of law to the contrary, these additional short-term, inpatient behavioral health beds shall be exempt from certificate of need review. The hospital unit or other location in which these additional short-term, inpatient behavioral health beds are located shall be named in honor of Dorothea Dix.

“(d) Beginning November 1, 2017, the Department of Health and Human Services shall annually report to the Joint Legislative Oversight Committee on Health and Human Services and the Fiscal Research Division on the number and location of additional licensed short-term, inpatient behavioral health beds brought into operation with funds allocated under subsection (a) of this section. By December 1, 2020, the Department shall submit a report that includes a proposal for funding the recurring operating costs of these additional beds from a source or sources other than the Dorothea Dix Hospital Property Funds, including the identification of potential new funding sources.

“(e) It is the intent of the General Assembly to increase the number of facility-based crisis centers in North Carolina for children and adolescents. Toward that end, of the funds appropriated from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2016-2017 fiscal year, the sum of two million dollars ($2,000,000) shall be used to award grants on a competitive basis for the establishment of up to two new facility-based crisis centers in the State for children and adolescents. The Department shall establish a process for applying for these grants, criteria for evaluating applications, and a process for allocating grants.”

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Session Laws 2017-57, s. 11F.5(a)-(h), as amended by Session Laws 2018-5, s. 11F.2, provides: “(a) Funds for the Purchase of Additional Beds. — It is the intent of the General Assembly to increase inpatient behavioral health bed capacity in rural areas of the State with the highest need. To that end, of the funds appropriated from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2017-2018 fiscal year, the sum of up to seventeen million dollars ($17,000,000) in nonrecurring funds shall be used to pay for any renovation or building costs associated with (i) the construction of new licensed inpatient behavioral health beds, (ii) the conversion of existing inpatient acute care beds into licensed inpatient behavioral health beds, or (iii) a combination of these options as follows:

“(1) Up to four million dollars ($4,000,000) in nonrecurring funds shall be used to pay for any renovation or building costs associated with the construction of new licensed inpatient behavioral health beds at Caldwell/ University of North Carolina Health Care in Caldwell County.

“(2) Up to four million dollars ($4,000,000) in nonrecurring funds shall be used to pay for any renovation or building costs associated with the construction of new licensed inpatient behavioral health beds at Cape Fear Valley Medical Center in Cumberland County.

“(3) Up to four million dollars ($4,000,000) in nonrecurring funds shall be used to pay for any renovation or building costs associated with the construction of new licensed inpatient behavioral health beds at Mission Health System, Inc., in Buncombe County.

“(4) Up to three million dollars ($3,000,000) in nonrecurring funds shall be used for any renovation or building costs associated with the construction of new licensed inpatient behavioral health beds at Good Hope Hospital in Harnett County.

“(5) Up to two million dollars ($2,000,000) in nonrecurring funds shall be used to pay for any renovation or building costs associated with the construction of new licensed inpatient behavioral health beds at the Dix Crisis Intervention Center in Onslow County.

“Any unit or other location with inpatient behavioral health beds constructed or converted with funds allocated under this subsection shall be named in honor of Dorothea Dix.

“(b) Certificate of Need Exemption for Certain Facilities. — Notwithstanding the State Medical Facilities Plan, Article 9 of Chapter 131E of the General Statutes, or any other provision of law to the contrary, each facility that receives funds allocated under subsection (a) of this section is exempt from certificate of need review for the establishment or expansion of behavioral health services at the facility at which the constructed or converted beds will be brought into operation, including any combination of the following:

“(1) The establishment or expansion of outpatient therapy services or substance use disorder treatment services, or both.

“(2) The replacement or relocation of a behavioral health facility, defined as a psychiatric facility, a facility-based crisis center, or any facility that is primarily engaged in providing services for the diagnosis and treatment of behavioral health issues.

“(3) Changes in inpatient behavioral health bed capacity.

“(c) Applicability of Licensure Laws. — The establishment or expansion of behavioral health services, including any of the items described in subdivisions (1) through (3) of subsection (b) of this section, are subject to existing licensure laws and requirements.

“(d) Reservation of Beds for State Use. — As a condition of receiving these funds, each facility that receives funds allocated under subsection (a) of this section shall reserve at least fifty percent (50%) of the beds constructed or converted with funds allocated under subsection (a) of this section for (i) purchase by the Department under the State-administered, three-way contract and (ii) referrals by local management entities/managed care organizations (LME/MCOs) of individuals who are indigent or Medicaid recipients.

“(e) Report on Use of Funds to Purchase Additional Beds. — Beginning November 1, 2018, the Department of Health and Human Services shall annually report to the Joint Legislative Oversight Committee on Health and Human Services and the Fiscal Research Division on the number and location of additional licensed inpatient behavioral health beds brought into operation with funds allocated under subsection (a) of this section and, of this number, and pursuant to subsection (d) of this section, the number of beds or bed days reserved for and purchased by (i) the Department under the State-administered, three-way contract and (ii) the LME/MCOs for individuals who are indigent or Medicaid recipients. By December 1, 2020, the Department shall submit a report that includes a proposal for funding the recurring operating costs of these additional beds from a source or sources other than the Dorothea Dix Hospital Property Funds, including the identification of potential new funding sources.

“(f) Funds to Increase the Number of Facility-Based Crisis Centers. — It is the intent of the General Assembly to continue to increase the number of facility-based crisis centers in North Carolina for children and adolescents. To that end, of the funds appropriated from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2017-2018 fiscal year, the sum of two million dollars ($2,000,000) in nonrecurring funds shall be used to award grants on a competitive basis for the establishment of up to two new facility-based crisis centers in the State for children and adolescents. The Department shall establish a process for applying for these grants, criteria for evaluating applications, and a process for allocating grants.

“(g) Unspent Funds for 2016-2017 Fiscal Year. — Any funds allocated to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) pursuant to Section 12F.4 of S.L. 2016-94 for the 2016-2017 fiscal year that are not expended or encumbered as of June 30, 2019 shall remain in the Dorothea Dix Hospital Property Fund.

“(h) Unspent Funds for 2017-2018 Fiscal Year. — Any funds allocated to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) pursuant to this section for the 2017-2018 fiscal year that are not expended or encumbered as of June 30, 2019, shall remain in the Dorothea Dix Hospital Property Fund.”

Session Laws 2017-57, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2017.’ ”

Session Laws 2017-57, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium.”

Session Laws 2017-57, s. 39.6, is a severability clause.

Session Laws 2018-5, s. 11F.3, provides: “It is the intent of the General Assembly to improve mental health services to make public schools safer. To that end and notwithstanding any provision of law to the contrary, of the funds appropriated from the Dorothea Dix Hospital Property Fund established under G.S. 143C-9-2(b1) to the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2018-2019 fiscal year, the sum of ten million dollars ($10,000,000) in nonrecurring funds shall be transferred to the Department of Public Instruction to implement the mental health-related school safety initiative described in Section 7.27(i) of this act.” Section 7.27(i) of this act provides for grants for school mental health support personnel.

Session Laws 2018-5, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2018.’ ”

Session Laws 2018-5, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2018-2019 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2018-2019 fiscal year.”

Session Laws 2018-5, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2007-323, s. 10.49.(w1), effective July 1, 2007, inserted “increase community-based services that” in the middle of the second sentence of the first paragraph of subsection (a); deleted former subdivision (b)(2) which read: “facilitate the State’s compliance with the United States Supreme Court decision in Olmstead v. L.C. and E.W.”; deleted former subdivision (b)(5) which read: “Construct, repair, and renovate State mental health, developmental disabilities, and substance abuse services facilities.”; substituted “subsections (b)(1)” for “subsections (b)(2)” near the end of the last sentence in subsection (c); and added subsection (d).

Session Laws 2015-241, s. 12F.7(b), effective July 1, 2015, added subsection (b1).

Editor’s Note.

Session Laws 2007-532, s. 5, as amended by Session Laws 2009-550, s. 9, provides: “Notwithstanding G.S. 143C-9-3(b) and G.S. 147-86.30, of the funds credited to the Health Trust Account from the Master Settlement Agreement pursuant to Section 6(3) of S.L. 1999-2 during the 2008-2009 fiscal year, the sum of five million dollars ($5,000,000) for the 2008-2009 fiscal year shall be transferred from the Department of State Treasurer, Budget Code 23460 (Health and Wellness Trust Fund) to the North Carolina Health Insurance Risk Pool, as enacted by this act.”

Session Laws 2008-107, s. 2.2(e), provides: “Notwithstanding G.S. 143C-9-3 , of the funds credited to the Tobacco Trust, the sum of five million dollars ($5,000,000) shall be transferred from the Department of Agriculture and Consumer Services, Budget Code 23703 (Tobacco Trust Fund), to the State Controller to be deposited in Nontax Budget Code 19978 (Intra State Transfers) to support General Fund appropriations for the 2008-2009 fiscal year. These funds shall be transferred on or after April 30, 2009.”

Session Laws 2008-107, s. 2.2(f), provides: “Notwithstanding G.S. 143C-9-3 , of the funds credited to the Health Trust Account, the sum of five million dollars ($5,000,000) that would otherwise be deposited in the Fund Reserve shall be transferred from the Department of State Treasurer, Budget Code 23460 (Health and Wellness Trust Fund), to the State Controller to be deposited in Nontax Budget Code 19978 (Intra State Transfers) to support General Fund appropriations for the 2008-2009 fiscal year.”

Session Laws 2008-107, s. 1.2, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2008’.”

Session Laws 2008-107, s. 30.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2008-2009 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2008-2009 fiscal year.”

Session Laws 2008-107, s. 30.5, is a severability clause.

Session Laws 2009-451, s. 2.2(h), as amended by Session Laws 2010-31, s. 2.2(i), provides: “Notwithstanding G.S. 143C-9-3 , of the funds credited to the Tobacco Trust, the sum of five million dollars ($5,000,000) shall be transferred from the Department of Agriculture and Consumer Services, Budget Code 23703 (Tobacco Trust Fund), to the State Controller to be deposited in Nontax Budget Code 19978 (Intrastate Transfers) to support General Fund appropriations for the 2010-2011 fiscal year. These funds shall be transferred on or after April 30, 2011.”

Session Laws 2009-451, s. 2.2(i), as amended by Session Laws 2010-31, s. 2.2(f), provides: “Notwithstanding G.S. 143C-9-3 , of the funds credited to the Health Trust Account, the sum of ten million three hundred ninety-seven thousand dollars ($10,397,000) that would otherwise be deposited in the Fund Reserve shall be transferred from the Department of State Treasurer, Budget Code 23460 (Health and Wellness Trust Fund), to the State Controller to be deposited in Nontax Budget Code 19978 (Intrastate Transfers) to support General Fund appropriations for the 2009-2010 and 2010-2011 fiscal years. These funds shall be transferred on or after April 30, 2010.”

Session Laws 2009-451, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2009’.”

Session Laws 2009-451, s. 28.3, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2009-2011 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2009-2011 fiscal biennium.”

Session Laws 2009-451, s. 28.5, is a severability clause.

Effect of Amendments.

Session Laws 2011-145, s. 6.11(i), effective July 1, 2011, deleted subsections (b) and (c), which read: “(b) A Health Trust Account is established in the Settlement Reserve Fund. The portion of each Master Settlement Agreement payment identified in Section 6(3) of S.L. 1999-2 shall be credited to the Health Trust Account. The State Controller shall transfer all funds in the Health Trust Account to the Health and Wellness Trust Fund created in Article 6C of Chapter 147 of the General Statutes.

“(c) A Tobacco Trust Account is established in the Settlement Reserve Fund. The portion of each Master Settlement Agreement payment identified in Section 6(2) of S.L. 1999-2 shall be credited to the Tobacco Trust Account. The State Controller shall transfer all funds in the Tobacco Trust Account to the Tobacco Trust Fund created in Article 75 of Chapter 143 of the General Statutes.”

Session Laws 2013-360, s. 6.4(e), as amended by Session Laws 2013-363, s. 1.5, effective July 1, 2013, rewrote subsection (a), which formerly read “The ‘Settlement Reserve Fund’ is established as a restricted reserve in the General Fund. Except as otherwise provided in this section, funds shall be expended from the Settlement Reserve Fund only by specific appropriation by the General Assembly.”

Session Laws 2015-241, s. 6.24(a), effective July 1, 2015, added subsection (a1); and in subsection (a), substituted “as a special fund in the Office of State Budget and Management” for “in the General Fund” near the beginning of the first sentence, and deleted the former last sentence, which read: “Funds credited to the Settlement Reserve Fund each fiscal year shall be included in General Fund availability as nontax revenue.”

Session Laws 2015-268, s. 1.2, effective October 1, 2015, deleted “in the Office of State Budget and Management” following “established as a special fund” in subsection (a).

Session Laws 2016-94, s. 6.6, effective July 1, 2016, substituted “a nonprofit corporation, and these funds shall not be subject to G.S. 143C-6-23 ” for “a nonprofit corporation” at the end of the first sentence of subsection (a1).

Session Laws 2017-57, s. 6.5, effective July 1, 2017, substituted “seventeen million five hundred thousand dollars ($17,500,000)” for “ten million dollars ($10,000,000).” in subsection (a1).

Editor’s Note.

This section was enacted as G.S. 143C-9-3 A by Session Laws 2006-66, s. 6.19(d), as added by Session Laws 2006-221, s. 3A. It was recodified as G.S. 143C-9-5 by Session Laws 2006-259, s. 40.5, effective August 23, 2006.

Session Laws 2006-259, s. 40(d) was repealed, pursuant to the terms of Session Laws 2006-259, s. 40(i), upon Session Laws 2006-221 becoming law.

Session Laws 2006-66, s. 6.19(e), as added by Session Laws 2006-221, s. 3A, provides: “If a final judgment by a court of competent jurisdiction declares that G.S. 143C-9-3 A [G.S. 143C-9-5], as enacted by subsection (d) of this section, is invalid or unenforceable, then the statute is repealed, and any assignment made under it is void. If, as a result of a final judgment, it is determined that G.S. 143C-9-3 A [G.S. 143C-9-5] as enacted by subsection (b) of this section, would subject payments to this State by participating manufacturers under the Master Settlement Agreement, as defined in G.S. 66-290 , to a Non-Participating Manufacturer Adjustment under Section IX of that Agreement, then G.S. 143C-9-3A [G.S. 143C-9-5] is repealed, and any assignment made under it is void.”

Editor’s Note.

This section was enacted as G.S. 143C-3B by Session Laws 2006-66, s. 6.19(f), as added by S.L. 2006-221, s. 3A. It was recodified as G.S. 143C-9-6 by Session Laws 2006-259, s. 40.5, effective August 23, 2006.

Session Laws 2016-94, s. 15.2(c), provides: “Funds remaining as of June 30, 2016, in JDIG Reserve established pursuant to G.S. 143C-9-6 are transferred to the Department of Commerce for the JDIG Program established pursuant to Part 2G of Article 10 of Chapter 143B of the General Statutes.”

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.7, is a severability clause.

Former G.S. 143C-9-6 pertained to JDIG Reserve.

Editor’s Note.

Session Laws 2012-6, provides in its preamble: “Whereas, acting under her authority under the General Statutes, the Governor has negotiated on behalf of the State an Amended & Restated Tribal Gaming Compact (Compact) with the Eastern Band of Cherokee Indians that modifies the type of gaming activity authorized on Indian lands and generates revenue for the benefit of both the Eastern Band of Cherokee Indians and the State; and

“Whereas, the Compact is effective upon the General Assembly amending the General Statutes to authorize additional Class III gaming activities on Indian lands, as set out in the Compact and upon approval by the U.S. Department of Interior;

“Whereas, the Governor and the Eastern Band of Cherokee Indians intend for the State’s portion of revenue derived from the Compact to be applied toward the improvement of classroom education in North Carolina by appropriation from a distinct fund and have urged this General Assembly to consider making the necessary appropriations according to law to accomplish this goal; Now, therefore,”

Session Laws 2021-180, s. 4.5, provides: “Notwithstanding G.S. 143C-9-7 , there is allocated from the Indian Gaming Education Revenue Fund to the Department of Public Instruction, Textbooks and Digital Resources Allotment, the sum of ten million dollars ($10,000,000) in the 2021-2022 fiscal year and the sum of ten million dollars ($10,000,000) in the 2022-2023 fiscal year.”

Session Laws 2021-180, s. 1.1, provides: “This act shall be known as the ‘Current Operations Appropriations Act of 2021.’”

Session Laws 2021-180, s. 43.5, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2021-2023 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2021-2023 fiscal biennium.”

Session Laws 2021-180, s. 43.7, is a severability clause.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(r), effective July 1, 2013, in the first sentence of subsection (b), added “Upon appropriation by the General Assembly,” and substituted “shall be allocated quarterly” for “are hereby appropriated as received to the State Public School Fund for quarterly allotment.”

Editor’s Note.

Former G.S. 143C-9-8 pertained to One North Carolina Fund Reserve.

Session Laws 2016-94, s. 15.2(d), provides: “Funds remaining as of June 30, 2016, in One North Carolina Fund Reserve established pursuant to G.S. 143C-9-8 are transferred to the Department of Commerce for the One North Carolina Fund established pursuant to Part 2H of Article 10 of Chapter 143B of the General Statutes.”

Session Laws 2016-94, s. 1.2, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2016.’ ”

Session Laws 2016-94, s. 39.4, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2016-2017 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2016-2017 fiscal year.”

Session Laws 2016-94, s. 39.7, is a severability clause.

Effect of Amendments.

Session Laws 2013-360, s. 6.12(g), effective July 1, 2013, deleted “expended or” preceding “transferred” in subsection (a).

Editor’s Note.

Session Laws 2020-88, s. 20, made this section effective July 2, 2020.