House amendment makes the following changes to the 2nd edition.

Changes the long title.

Amends Section 1(a) of the previous edition, providing that all assets and outstanding debts of any public water system meeting the following criteria are transferred to the metropolitan sewerage district operating in the county where the public water system is located and operated as a Metropolitan Water and Sewage District.

(1) The public water system is owned and operated by a municipality located in a county where a metropolitan sewerage district is operating.

(2) The public water system has not been issued a certificate for an interbasin transfer.

(3) The public water system serves a population greater than 120,000 people, according to data submitted pursuant to GS 143-355(l).

Amends Section 1(b), deleting the requirement that public sewer systems must not be operated as either a joint or regional public sewer system in order for the provisions of that section to apply.

Amends Section 1(d), providing that members of the metropolitan sewerage district will continue to serve on the district board of the Metropolitan Water and Sewerage District until the governing body appoints or replaces that member on the district board.

Adds Section 1(f), which provides, for the purposes of this section, that the transfer of all outstanding debts will make the Metropolitan Water and Sewer District liable for debts attached to and related to the assets transferred under this section and establishes that the Metropolitan Water and Sewer District will indemnify and hold harmless the grantor entity for outstanding debts transferred under this section.

Creates new section GS 162A-85.2, (Creation), providing that two or more political subdivisions can establish a metropolitan water and sewerage district if a resolution is adopted, setting out specified terms and conditions.  Also provides the procedures and processes that must take place prior to the adoption of a resolution.

Amends GS 162A-85.3, (District board), deleting the limitation that a district board cannot have more than 15 members.

Amends the enactment clause, providing that the act is effective May 15, 2013, and the Metropolitan Water and Sewer District, pursuant to Section 1 of the act, will be created by operation of law.