Part I.  

Recodifies GS 143A-13, as amended, as GS 147-33.131 in new Article 3E (Lieutenant Governor) of GS Chapter 147, and makes the following changes. Designates Lieutenant Governor as President of the Senate and requires performing any duties assigned by the Governor or NCGA. Specifies where the Lieutenant Governor must maintain an office, and when the office must be open.  Recodifies GS 147-33 (compensation and expenses of Lieutenant Governor) as GS 147-33.132 of new Article 3E.  

Recodifies GS 143A-48.1 as GS 143-815 in new Article 85 (Council on the Holocaust) in GS Chapter 143. 

Recodifies GS 143A-66.1, 143A-66.2, and 143A-66.3 as GS 106-1005, 106-1006, and 106-1007, respectively, in new Article 82A (Forestry Council) in GS Chapter 106.  

Repeals GS Chapter 143A (State Government Reorganization) as amended above.  

Enacts GS 143C-1-C (types of State agency transfers), which categorizes two types of transfers: Type I (transfer of an existing State agency to a principal State department, including transfer of its statutory authority, rulemaking, and other duties (as described) and records, personnel, and other property (as described) to a principal State department) and Type II (an intact transfer of a State agency to a principal State department, where it is administered by the transferee department as described but exercises its statutory powers and functions (other than management functions), independently. Defines management functions.  

Specifies the State divisions headed by members of the State’s general executive officers in GS 147-3. Updates reference to “Governor’s Council” to “Governor’s Cabinet.”  

Part II.  

Renames GS Chapter 143B to “Executive Branch” (currently titled “Executive Organization Act of 1973”). Repeals GS 143B-1 (title), 143B-2 (interim applicability), GS 143B-5 (continuation of the Governor’s powers and duties, GS 143B-7 (continuation of functions), GS 143B-9(b) (head of a principal State department must appoint a chief deputy or chief assistant, who will not be subject to the North Carolina Human Resources Act), GS 143B-13(e) (outdated provision), GS 143B-19 (outdated provision), GS 143B-21 (concerning abolition of certain agencies by the Executive Organization Act of 1973), GS 143B-22 (concerning references to statute, contract, or other document pertaining to functions, powers, obligations, and duties of a State agency assigned by the Executive Organization Act of 1973), GS 143B-23 (completion of unfinished business), GS 143B-25 (agencies not enumerated), GS 143B-26 (constitutional references), GS 143B-28 (goals of continuing reorganization), GS 143B-51(b) (transfer of functions, powers, duties, and obligations heretofore vested in any agency enumerated in Article 17 of Chapter 143A to DNCR), GS 143B-53 (organization of DNCR), GS 143B-138.1 (Department of Health and Human Services-–functions and organization), GS 143B-168.3 (Child Care Commission--powers and duties), GS 143B-168.10C (Adjustments to NC Prekindergarten Program Fund), GS 143B-181.1(b) (Division of Aging functioning under the authority of the Department of Health and Human Services and the Secretary of Health and Human Services as provided in the Executive Organization Act of 1973), GS 143B-216.33(b) (Division of Services for the Deaf and the Hard of Hearing operating under the authority of the Department of Health and Human Services and the Secretary of Health and Human Services as provided in the Executive Organization Act of 1973), GS 143B-219 (no compensation for Advisory Commission for the North Carolina State Museum of Natural Sciences), GS 143B-279.3 (DEQ structure), Part 3 of Article 7 of GS Chapter 143B (Wildlife Resources Commission), GS 143B-348(b) (outdated language), Part 8 of Article 8 of GS Chapter 143B (Highway Safety Program), GS 143B-368 (Department of Administration functions), GS 143B-431(a)2) and (3) (certain provisions about functions of the Department of Administration), GS 143B-432 (transfers to Department of Commerce), GS 143B-451 (Navigation and Pilotage commissions), GS 143B-801 (Transfer of Office of Juvenile Justice authority to the Division of Juvenile Justice of the Department of Public Safety), GS 143B-1203(a) (transfer of the Criminal Justice Information Network Governing Board to the Department of Public Safety), and GS 143B-1490(b) (transfer of authority in the Commissioner and Commission of Correction to the Post‑Release Supervision and Parole Commission). 

No longer allows the definitions in GS 143B-3 (pertaining to the executive branch) to differ when context clearly requires otherwise. Makes technical changes.  

Makes technical changes to GS 143B-4.  

Expands the scope of GS 143B-6 (concerning principal departments) to include principal offices. Adds the Office of the Governor and the Office of the Lieutenant Governor as the principal State offices. Adds Department of Adult Correction, Department of Agriculture and Consumer Services, Department of Insurance, Department of Justice, Department of Labor, Department of Public Instruction, Department of the State Auditor, Department of the State Treasurer, and the Department of the Secretary of State to the principal State departments. Removes language describing executive and administrative powers and duties vested in those departments. Makes technical and organizational changes. Makes conforming changes, including to section title.  

Requires the Governor to set the salaries for the chief deputy or chief assistant to principal State department heads (currently, Governor is required to set salaries only for department heads themselves) in GS 143B-9 (appointment of department heads), as amended by the act. Makes technical and conforming changes.  

Makes technical changes and removes references to the Executive Organization Act of 1973 as the source of the Department of Natural and Cultural Resources’ (DNCR) power and duties in GS 143B-49. 

Expands DNCR’s duties to include development and preservation of libraries, historical records, and historic sites and property and an appreciation of art and music in GS 143B-50 (DNCR’s duties). Makes technical changes.  

Removes limit on adopting rules to those that are not inconsistent with the management and responsibilities of the Secretary of DNCR and laws of the State in GS 143B-73 on the USS NC Battleship Commission. Makes technical and conforming changes.  

Updates reference to “NC Pharmaceutical Association” with “NC Association of Pharmacists,” “Duke Foundation” with “Duke Endowment.” and “NC Hospital Association” with “NC Healthcare Association” and makes technical and conforming changes to GS 143B-166 (NC Medical Care Commission). Removes outdated language. 

Changes title of GS 110-87.1 to Child Care Commission (was, Child Care Commission members; selection; quorum). Removes outdated language and makes technical changes. 

Updates reference to “Department of Community Colleges” with “Community Colleges System Office” and makes technical and conforming changes to GS 143B-181 (Governor’s Advisory Council on Aging).  

Replaces reference to GS 143A-6(b) (Type II administrative transfer under GS Chapter 143, now repealed by the act) with directive that the NC State Commission of Indian Affairs is administratively located in the Department of Administration but exercises its powers independently of the Secretary of Administration in GS 143B-404 (NC State Commission of Indian Affairs). Makes technical changes.  

Removes statutory references in GS 143B-431.01(b), as amended (Department of Commerce contracting functions): (1) describing types of functions the Department of Commerce (DOC) is permitted to contract out to an NC nonprofit corporation and (2) describing those types of independent agencies, boards, or commissions where DOC cannot contract out as described above. Makes technical changes.  

Changes the title of GS 143B-348, as amended by the act, to Department of Transportation--head (was, Department of Transportation--head; rules, regulations, etc. of Board of Transportation head) and makes technical changes.  

Removes, in GS 143B-1490, the power of the Post-Release Supervision and Parole Commission (Commission) of the Division of Community Supervision and Reentry of the Department of Adult Correction to revoke, terminate, and suspend paroles for persons placed on probation before the Executive Organization Act of 1973. Removes provision keeping the Board of Parole's rules and regulations in effect until replaced by the Commission. Makes technical changes.  

Replaces reference to GS 143B-439 (Type II administrative transfer under GS Chapter 143, now repealed by the act) with directive that the Credit Union Commission is administratively located in DOC but exercises its powers independently of the Secretary of Commerce.  

Amends GS 143B-431.01 to prohibit the Department of Commerce from contracting with a North Carolina nonprofit regarding the functions of an agency board or commission that exercises its powers independently of the Secretary (was, the functions in GS 143B-432(a)(2)). 

Changes the title of GS 143B-1203 from “Transfer; definitions” to “Definitions.”  

Makes conforming changes and removes outdated language from GS 143B-13 (appointment of commission members).  

Makes conforming changes (removes reference to title “Executive Organization Act of 1973”) and other technical changes to GS 154B-13 (appointment, qualifications, terms and removal of members of commissions), GS 143B-16 (appointment and removal of board, council, and committee members), GS 143-17, as amended (commission investigations and orders), GS 143B-51 (functions of DNCR), GS 143B-68 (Public Librarian Certification Commission), GS 143B-93 (Roanoke Island Historical Association), GS 143B-96 (Edenton Historical Association), GS 143B-100 (Historic Bath Commission), GS 143B-104 (Historic Hillsborough Commission), GS 143B-108 (Historic Murfreesboro Commission), GS 143B-135.132 (NC Trails Committee), GS 143B-158(g) (Commission for the Blind), GS 143B-217 (Department of Revenue--creation), GS 143B-293.2(c1) (NC Oil and Gas Commission), GS 143B-324.2(c) and (d) (Western North Carolina Public Lands Council), GS 143B-345 (DOT), GS 143B-366 (Department of Administration--creation), and GS 143B-1454(a)(Division of Prisons--functions with respect to adults).  

Removes outdated language and makes technical changes to GS 143B-63 (Historical Commission) and GS 143B-1491, as amended (Commission members).  

Removes outdated language and makes conforming changes (removes reference to title “Executive Organization Act of 1973”) and technical changes to GS 143B-72 (Tryon Palace Commission), GS 143B-74 (USS NC Battleship Commission), GS 143B-80 (Executive Mansion Fine Arts Committee), GS 143B-88 (NC Carolina Arts Council--members, quorum, selection, compensation), GS 143B-135.207 (NC Zoological Park Council), GS 143B-217 (Department of Revenue), GS 143B-154 (Social Services Commission), GS 143B-394 (NC Council for Women), and GS 143B-394.26 (State Youth Advisory Council).  

Makes technical changes to GS 143B-83 (NC Awards Commission, creation, powers, and duties), GS 143B-87 (NC Arts Council--creation, powers, and duties). 

Part III. 

Makes conforming changes (removal of reference to GS Chapter 143A) and technical changes to GS 18B-500 (alcohol law enforcement agents), GS 126-3 (establishing Office of State Human Resources (OSHR)), GS 126-19 (EEO plans), GS 97-77 (NC Industrial Commission), GS 143-745 (definitions pertaining to internal auditing), GS 150B-2(8a) as amended (definition of rule under Article 1 of the APA), and GS 159D-38(e) (describing administrative placement of the NC Capital Finances Agency in the Department of the State Treasurer).  

Clarifies that GS 53C-2-1 creates the State Banking Commission (SBC). Specifies that the SBC is administratively located in DOC but exercises its powers independently of the Secretary of Commerce. Makes technical change. 

Makes technical changes and specifies that the following commissions, offices, or divisions are administratively located in DOC but exercises its respective powers independently of the Secretary of Commerce: Office of Commissioner of Banks (GS 53C-2-3), Savings Institution Division (new GS 54B-4.1), NC Utilities Commission (GS 62-10), Cape Fear Navigation and Pilotage Commission (GS 76A-1), Morehead City Navigation and Pilotage Commission (GS 76A-31), and the NC Rural Electrification Authority (GS 117-1). Requires the Cape Fear Navigation and Pilotage Commission and the Morehead City Navigation and Pilotage Commission to report its activities to the Governor through the Secretary of Commerce.  

Makes technical changes to GS 143-746 (internal auditing required).  

Updates statutory citation that establishes NC Wildlife Resources Commission in GS 113-128 (definitions relating to agencies and their powers).  

Expands the powers of the Department of Transportation (DOT) under GS 136-18 to include contracting with the US government to obtain the benefits available to the State under the Federal Highway Safety Act of 1966 and, with the Governor's approval, to coordinate the activities of all departments and agencies of the State and its subdivisions to obtain these benefits. Makes conforming change by repealing GS 147-12(a)(10) (power to contract with the US to obtain the State benefits under the Federal Highway Safety Act of 1966 and coordinate the activities of all departments and agencies of the State and its subdivisions to obtain these benefits).  

Repeals GS 134-34.11 (listing of certain GS provisions repealed effective July 1, 1979), without reenacting the list of repealed statutes contained within the section. Repeals GS 143-50 (transferring described powers relating to State printing to the Secretary of Administration), 143-247 (transferring duties, powers, jurisdiction and responsibilities of listed departments and directors to the Wildlife Resources Commission [WRC]), 143-248 (transferring described land and improvements and other personal property to the WRC), 143-249 (transferring described personnel to the WRC), 143-326 (transferring described powers and resources of the described commissions to the Department of Local Affairs), 143-344 (transferring described powers and resources from the Division of Purchase and Contract to the Department of Administration), 143-345 (savings clause related to transfers to the Department of Administration), 147-13.1 (governor’s power to coordinate State agencies), and 147-34 (setting office hours for the Secretary of State).  

Specifies, in GS 143-240, that the WRC is administratively located in the Department of Environmental Quality (DEQ), but exercises its powers independently of the Secretary of DEQ. Limits the Secretary’s direction and supervision only to the WRC’s management functions of coordinating and reporting. Makes technical changes.  

Recodifies GS 143-745(a)(1) (definition of agency head for purposes of internal auditing) as GS 143-745(a)(3).  

Part IV.  

Directs the Revisor of Statutes to renumber the definitions in GS 20-4.01 (definitions pertaining to the Division of Motor Vehicles [DMV]) so they are in alphabetical order.  

Repeals GS 20-16(a)(8) (DMV’s authority to suspend the license of a person convicted of illegal transportation of alcoholic beverages).  

Makes clarifying change to GS 30-48 (right of surviving community-property spouse), as enacted by SL 2025-25.  

Clarifies that the described insurance holding company system is exempt from the reporting requirements of GS 58-19-26 (group capital calculation) as enacted by SL 2025-45, if, among the other listed requirements, its sole insurer writes insurance business only in the state of its domicile (previously, no limit on where the sole insurer could write the insurance business). Makes organizational and technical changes.  

Requires the Insurance Commissioner to comply with GS 93B-8.1 (use of criminal history records) in taking adverse action against a license under GS 58-33-46. Removes reference to crimes of moral turpitude. Removes provisions defining soliciting, negotiating, and selling. Makes technical changes.  

Removes provisions allowing credit for amounts paid for a temporary license against the fee required for an appointment by the sponsoring company in fees listed in GS 58-33-125 (GS Chapter 58, Article 33 and Article 21 license fees). Makes technical changes.  

Narrows scope of types of instructors under GS 58-33-132 by removing prelicensing courses from the types of educational courses governed by Insurance Commission rules in GS 58-33-132 (instructor qualifications). Makes conforming and technical changes.  

Makes technical and organizational changes to GS 95-174 (definitions pertaining to identification of toxic or hazardous substances).  

Now names the Department of Administration (DOA) (was, Board of Public Buildings and Grounds) as the other entity who must issue a request with the Governor for the NC Historical Commission to act in an advisory capacity relative to buildings constructed, erected, or remodeled in the State under GS 100-5. Requires DOA to provide the NC Historical Commission with offices as described in GS 143-244 (was, Board of Public Buildings and Grounds).  

Repeals Article 29 (the Commission to Study the Care of the Aged and Handicapped) and Article 31C (concerning service on the National Tobacco Grower Settlement Trust) of GS Chapter 143. 

Makes organizational changes to GS 116-15 (licensing of certain nonpublic postsecondary educational institutions). Makes the following changes to the reorganized section. Updates statutory references of what GS Chapters do not apply to the nonpublic postsecondary institutions to include GS Chapter 115C (was 115). Makes organizational, clarifying, and technical changes.  

Makes technical changes to GS 116-209.16A as amended (information on career and major options).  

Makes organizational changes to GS 143-552 (definitions pertaining to state and local educational entity employees) and makes the following changes to the reorganized statute. Adds community college, local board of education, and State entity. Makes changes to employing entity, net disposable earnings, and employee.  

Makes technical changes to GS 143-553 (concerning conditional continuing employment).  

Updates statutory cross references to replace repealed statutes and makes other technical changes to GS 143-554 (right of employee appeal).  

Makes the following changes to GS 143-555 (definitions pertaining to public officials). Removes employing entity. Makes technical changes to the other definitions.   

Makes technical changes to GS 143-556 (concerning notification to the appointing authority and investigations).  

Repeals GS 143-558 (definition of employing entity pertaining to legislators). Makes technical changes to GS 143-559 (notification to Legislative Ethics Committee and investigations).  

Updates statutory cross references and makes other technical changes to GS 153A-234 (pertaining to the State Fire Marshal).  

Removes provisions authorizing a different meaning of the defined terms when required by context in GS 159-7(b) (definitions pertaining to the Local Government Budget and Fiscal Control Act). Makes other technical and clarifying changes to the statute.  

Removes the Genetic Engineering Review Board, the Northeastern NC Farmers Market Commission, the Southeastern NC Farmers Market Commission, the Commission on School Facility Needs, the State Health Plan Purchasing Alliance Board, the Health and Wellness Trust Fund Commission, and the NC Council on Ocean Affairs from those boards and commissions where members of the General Assembly are prohibited from serving under GS 120-123. Updates statutory cross references. Updates “NC Seafood Industrial Park Authority” to “NC Marine Industrial Park Authority”; “NC Board of Science and Technology” to “NC Board of Science, Technology, and Innovation”; “NC Council for Women” to “NC Council for Women and Youth Involvement”; and “Alarm System Licensing Board” to “Security Systems Licensing Board.”  Makes technical changes.  

Repeals Article 17 of GS Chapter 143 (the State Post-War Reserve Fund).  

Replaces references to “tobacco allotment holders” with “former allotment holders” in GS 143-715 (policy and purpose of the Tobacco Trust Fund). Makes technical changes. Removes national tobacco grower settlement trust from the defined terms in GS 143-716. Modifies the examples of qualified agricultural programs in the term’s definition. Makes technical and conforming changes. 

Removes requirement that flue-cured tobacco and burley tobacco farmers sit on the Tobacco Trust Fund Commission (Commission) in GS 143-717. Instead, requires two tobacco farmers appointed by the Governor, three tobacco farmers appointed by the President Pro Tempore of the Senate, and two tobacco farmers appointed by the Speaker of the House. Changes one of the Speaker of the House’s appointees to former tobacco farmer (was, a former flue-cured allotment holder who is not also a flue-cured tobacco farmer). Removes outdated language. Specifies that if a vacancy occurs on the Commission, then a quorum becomes a majority of its membership instead of the default of ten members. Makes technical and clarifying changes.  

Removes provisions requiring a priority use of funds from the Tobacco Trust Fund (Fund) in GS 143-719 and makes conforming changes to the statute’s title. Makes technical changes.  

Replaces references to “allotment holders” with “former allotment holders” in GS 143-720 (benefit and administration of Fund for compensatory programs). Removes requirements that: (1) direct payments to the described persons engaged in tobacco-related businesses be based on losses resulting in 1998 and thereafter and (2) payments from the Fund and National Tobacco Grower Settlement (Trust) not exceed compensable economic losses. Removes Commission’s authority to use the criteria uses for Trust payments to correspond with the Trust to ensure tobacco farmers and allotment holders are treated fairly. Makes technical and conforming changes. 

No longer allows State agencies to enter into contracts for auditing services without the State Auditor’s approval in audits requested by the Governor in GS 147-64.7 (State Auditor Authority). Removes limit that Auditor’s power to subpoena witnesses for testimony be taken in a manner prescribed by law. Removes the venue requirements for an action by an Auditor to enforce a subpoena. Updates statutory cross references and makes clarifying and technical changes.  

Effective July 1, 2026, removes the July 1, 2026, expiration date of SL 2005-384 as amended.  

Retroactive to July 26, 2025, clarifies that the effective is the effective date of the part governing Sections 47(b) and 48(e) of SL 2025-25, not the effective date of the act itself.  

Repeals new GS 58-56A-55 (specifying that all requirements relating to the coverage of prescription drugs and pharmacy services under GS Chapter 58 that apply to health benefit plans are applicable to a pharmacy benefits manager in the same way they are applicable to an insurer) as enacted by SL 2025-37. Repeals Section 7.2 of SL 2025-37 (pertaining to pharmacist credentialing and healthcare services provided by pharmacists, applying certain requirements to third-party administrators and pharmacy benefits managers). 

Repeals Section 2 (effective October 1, 2025, amended GS 78A-36 to allow a securities salesman to be registered with more than one dealer if the dealers employing or associating with the salesman is under common ownership or control, or the registration is otherwise allowed) and Section 3 (retroactive to September 9, 2024, removed provisions of GS 42-46 only allowing attorneys’ fees if the landlord is the prevailing party. Limited an award of attorneys’ fees and described costs in the specified summary ejectment appeals to when a landlord is the prevailing party) of SL 2025-52.  

Part V. 

Effective when it becomes law, except as otherwise provided.