Bill Summary for H 111 (2019-2020)

Summary date: 

Jul 10 2019

Bill Information:

View NCGA Bill Details2019-2020 Session
House Bill 111 (Public) Filed Tuesday, February 19, 2019
AN ACT TO ENACT A BASE BUDGET FOR CERTAIN STATE AGENCIES, DEPARTMENTS, AND INSTITUTIONS FOR THE 2019-2021 FISCAL BIENNIUM.
Intro. by Lambeth.

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Bill summary

House committee substitute amends the 1st edition by deleting the previous edition and to now provide the following provisions.

I.

Directs that the act's implementation be in conjunction with the procedure for budget continuation under specified state law, with the act's provisions superseding conflicting state law.

II.

Appropriates $50,548,003 from the General Fund to the Department of Public Instruction for the 2019-20 fiscal year to fully fund increases in Average Daily Membership and average salary adjustments in public schools. 

Requires that the funds appropriated by SL 2018-5 for UNC enrollment adjustments to a reserve account for the 2018-19 fiscal year remain available until the end of the 2019-20 fiscal year to be used for the "buy down" of any financial obligations resulting from the tuition rate under state law incurred by Elizabeth City State University, UNC-Pembroke, and Western Carolina University, or for rapid growth at any of those institutions. Effective June 30, 2019.

Amends GS 116-143.3A, which provides a waiver of the 12-month residency requirement for in-state tuition at institutions of higher learning for certain veterans and other individuals entitled to federal education benefits under specified federal law. Eliminates the separate waiver criteria for individuals entitled to federal educational benefits under specified federal law. Makes conforming changes. Now provides for any veteran, dependent of a veteran, or other individual who qualifies for admission to be charged the in-State tuition rate and applicable mandatory fees for enrollment to the extent required by the specified federal law (the Veterans Access, Choice, and Accountability Act of 2014), without satisfying the 12-month residency requirement. Modifies and adds to the qualifying criteria, now only requiring that the individual's abode be located in the state, the individual provide the institution a letter of intent to establish residence in the state, and the individual meet the definition of a "covered individual" under the federal law (previously, required to apply and enroll within three years of discharge or release, and qualify for and use, or receive, the specified federal educational benefits). Eliminates the distinct provisions for recipients using transferred Post 9/11 GI Bill benefits while the transferor is on active duty, and recipients of the Marine Gunnery Sergeant John David Fry Scholarship whose parent or spouse died in the line of duty. Adds that the individual applying for the benefit of the statute has the burden of proving entitlement to the benefit. Applies to qualifying veterans and other individuals who are enrolled or who enroll in institutions of higher education for any academic quarter, term, or semester that begins on or after the date the act becomes law.

III.

Appropriates $5,746,172 in recurring funds from the General Fund to the Department of Health and Human Services (DHHS), Division of Central Management and Support for the 2019-20 fiscal year. Restricts use of the funds for operations and maintenance of the NC Families Accessing Services Through Technology (NC FAST) System. Appropriates DHHS receipts for the 2019-20 fiscal year in the following amounts for the same purposes: $12,767,200 in recurring funds and $2,362,982 in nonrecurring funds. 

IV.

Directs the State Controller to transfer $4,763,725 for the 2019-20 fiscal year from funds available in the Medicaid Transformation Reserve in the General Fund to the Medicaid Transformation Fund. Transfers the following amounts from the Medicaid Transformation Fund to the Division of Central Management and Support: $3,705,505 in nonrecurring funds for the 2019-20 fiscal year for three specified purposes related to the NC Fast System, including funding a federally required contract for independent verification and validation of the system and $1,058,220 in nonrecurring funds for the 2019-20 fiscal year for NC Fast System operations and maintenance. Additionally, appropriates DHHS receipts in the amount of $4,813,037 for the 2019-20 fiscal year for the same purposes related to the NC Fast System.

V.

Appropriates $348,558 from the General Fund to DHHS, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services, for the 2019-20 fiscal year for the Suicide Prevention Lifeline.

VI.

Provides specified amounts that local management entities/managed care organizations must transfer to DHHS, Division of Health Benefits, totaling $18,028,217 in the 2019-20 fiscal year, with the transfer due date and frequency determined by the Division. Authorizes the Division of Health Benefits to reallocate the intergovernmental transfers in the event of LME/MCO realignment. Requires reduction of the transfers if the Division of Health Benefits does not make the additional capitation payment associated with the Medicaid risk reserve to an LME/MCO in any given month, with the aggregate amount to be collected adjusted accordingly.

VII.

Authorizes funds allocated to the Office of State Budget and Management (OSBM) for Golden L.E.A.F. Inc. for infrastructure to be used for the replacement, improvement, or construction of new infrastructure to support hazard mitigation. 

Authorizes funds allocated to the Department of Insurance, Office of State Fire Marshal, for financial assistance to volunteer fire departments to be used to repair damages not covered by insurance policy proceeds.

Sets forth the following timelines for Coastal Area Management Act Emergency General Permits authorized in response to Hurricanes Florence and Michael: (1) all emergency general permits must be issued by October 12, 2019, and (2) all work authorized by the emergency general permits must be completed by October 12, 2020.

Deems eligible for financial assistance set out in Section 5.11 of SL 2018-136 (Hurricane Florence Agricultural Disaster Program of 2018) persons who experienced a verifiable loss of agricultural commodities as a result of excessive rain and flooding that occurred during May 15, 2018, through December 31, 2018, whose farm is located in a county that received a Secretarial Disaster Declaration by the US Secretary of Agriculture, either as a primary county or as a contiguous county, between January 31, 2019, and February 15, 2019. Directs the Department of Agriculture and Consumer Services to accept applications from eligible persons for no more than 10 consecutive business days on which the federal government is not partially or fully shut down, beginning on the date the act becomes law. Sunsets the provision on the date the Department has processed all applications validly received during the prescribed period.

VIII.

Appropriates the following amounts from the General Fund for the 2019-20 fiscal year to implement the "Raise the Age" provisions set forth in Section 16D.4 of SL 2017-57, specifically including costs associated with hiring 180 full-time employees: $22,982,123 in recurring funds and $4,040,914 in nonrecurring funds to the Department of Public Safety; and $87,681 in recurring funds to the Office of Indigent Defense Services.

IX.

Transfers $12.5 million in recurring funds from the Collections Assistance Fee Special Fund to the Department of Revenue's Division of Information Technology for the 2019-20 fiscal year to support the Portfolio Warehouse, the Modernized eFile, and tax systems operations and maintenance upgrades.

X.

Appropriates $16.5 million from the General Fund to Western Carolina University for the 2019-20 fiscal year to be used for the steam plant replacement project. 

XI.

Appropriates the following amounts for the specified purposes from the Highway Trust Fund to the Department of Transportation: $17,310,000 to be used for the specified principal payment and $11,250,000 for the specified interest payment, in recurring funds for the 2019-20 fiscal year.

XII.

Amends GS 143C-5-4, regarding the procedures that are triggered when a fiscal year begins in which no Current Operations Appropriations Act has become law. Requires that the State's employer contributions rates budgeted for retirement and related benefits for the current fiscal year remain the same as the recurring portion of the rates in effect as of June 30 of the prior fiscal year (was, remain the same as they are on June 30 of the prior fiscal year).

XIII.

Provides that the act is effective July 1, 2019. 

Changes the act's titles.

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