Senate committee substitute makes the following changes to the 1st edition.

Enacts new GS 143-48.6 making personal services contracts for executive branch agencies subject to the same requirements and procedures as service contracts. Defines personal services contract.

Enacts new GS 147-33.105, making information technology personal services contracts for executive branch agencies subject to the same requirements and procedures as information technology service contracts. Requires written approval from the Office of Information Technology Services (OITS) and the Office of Budget and Management for the establishment or renewal of information technology personal services contracts and contracts that provide personnel to perform information technology functions regardless of the cost of the contract. Sets out OITS documentation requirements. Requires review of current information technology personal services contracts on an ongoing basis to determine if each contractor is performing a function that could more appropriately be performed by a state employee. Requires OITS to work with the Office of State Personnel to identify or create a position when it is determined that a state employee should be performing the function. Requires OITS to conduct audits of state agencies subject to the Article. Requires OITS to report biennially to the Joint Legislative Oversight Committee on Information Technology and Fiscal Research Division on three specified topics concerning information technology personal services contracts, information technology service contracts, and compliance audits. 

Requires personal services contracts and information technology personal services contracts in effect on the effective date of this act to be allowed to expire. Requires a personal services contract or an information technology personal services contract that can be terminated at any time to be reviewed within 60 days of the effective date of this act and be continued only if the contract complies with the requirements of GS 143-48.6 and GS 147-33.105, as enacted by this act. Requires a personal services contract or information technology personal services contract entered into after the effective date of this act to comply with the requirements of GS 143-48.6 or GS 147-33.105.

Repeals GS 143-64.70, concerning reporting requirements for personal services contracts. 

Amends proposed GS 126-6.3 to allow the Director of the Office of State Human Resources to create exceptions, in writing, to the requirement of using the Temporary Solutions Program when doing so would be in the state's best interest. Deletes the provision excluding the University of North Carolina from the definition of a state agency under the statute. 

Changes the act's short and long titles.