House amendments make the following changes to the 6th edition.

Part II. Current Operations and Expansion/General Fund

Section 2.1

Amendment #37 amends the amount appropriated for the maintenance and other enumerated purposes from the General fund to the following institutions in the following amounts: decreases the appropriation for the Department of Public Instruction by $73,277,192 for 2017-18, and by $51,386,090 for 2018-19; increases the appropriation for University Institutional Programs by $19,865,544 for 2017-18; and increases the appropriation for Related Educational Programs by $53,411,648 for 2017-18, and by $51,386,090 for 2018-19.

Part V. Other appropriations

Section 5.3(a)

Amendment #37 amends the appropriations from the Education Lottery Fund for the 2017-19 biennium as follows: the appropriation for UNC Need-Based Financial Aid is reduced from $64,156,381 to $10,744,733 for 2017-18, and from $62,130,823 to $10,744,733 for 2018-19; and the appropriation for LEA transportation is increased from $50,000,000 to $123,277,192 for 2017-18, and from $0 to $51,386,090 for 2018-19. The total appropriation is increased from $706,747,388 to $726,612,932 for 2017-18.

Part VII. Public Schools

Section 7.23F(a).

Amendment #37 further amends GS 115C-64.15. Deletes the provision requiring the North Carolina Education and Workforce Innovation Commission to work closely with the North Carolina New Schools in administering the Education and Workforce Innovation Program.

Amendment #37 creates new section 7.32. Decreases the appropriation from the General Fund to the Department of Public Instruction for the 2017-19 biennium for the transportation allotment by $73,277,192 for 2017-18 and by $51,386,090 for 2018-19.

Section 7.32

Amendment #26 adds a new section providing as follows. Reduces the funds appropriated for 2017-19 in this act to the Department of Public Instruction for supplemental funding in low-wealth counties in the 2017-18 fiscal year by $2 million in nonrecurring funds. Also increases the funds appropriated in the act for 2017-19 to the Department of Public Instruction in 2017-18 by $2 million in nonrecurring funds for stabilization funds for Wayne County Public Schools.

Amendment #21 also adds new Section 7.32. Directs the State Board of Education to establish a five-year Financial Literacy Elective Course Pilot Program to determine the value of an in-depth high school elective course on personal financial literacy and the extent to which the course can provide high school students with the detailed knowledge and skills needed to become self-supporting and to make critical decisions regarding their personal finances. Directs the State Board of Education to select a geographically, economically, and socially representative group of local school administrative units to participate in the Program for five school years, beginning in 2017-18. Provides requirements for the Program and course, and directs the State Board of Education to develop a curriculum, materials, qualifications, and guidelines for the course. Directs the State Board of Education to report by November 15 of each year following the operation of the Program to the Joint legislative Education Oversight Committee on the Program, including any recommendations on its modification, continuation, and potential expansion.

Part IX. Community Colleges

Section 9.6

Amendment #34 deletes Section 9.6, regarding training of community college boards of trustees, in its entirety.

Section 9.11(a)

Amendment #37 adds an additional seat on the Board of Postsecondary Education Credentials within the Community Colleges System Office under GS 115D-100, to be filled by the Executive Director of the North Carolina State Education Assistance Authority or their designee.

Part X. Universities

Subpart X-A. University/State Education Assistance Authority

Section 10A.5. Amendment #15 makes an organizational change, making this section number 10A.5(a).

Amendment #15 adds new Section 10A.5(b). Directs the Program Evaluation Division to conduct a measurability assessment of the Principal Preparation Program authorized in SL 2015-241, Section 11.9, as amended, using funds available to it for such purposes. Directs the State Education Assistance Authority and the non-profit corporation establishing and administering the Program to provide the Program Evaluation Division and its selected independent assessor with any written information, electronic data, and facility and personnel access appropriate for the assessment. Requires the assessment to include recommendations that effect periodic reporting by the non-profit to the State Education Assistance Authority, State Board of Education, and Joint Legislative Education Oversight Committee. Directs the Division to furnish the measurability assessment to the Joint Legislative Program Evaluation Oversight and Joint Legislative Education Oversight Committees.

Section 10.19(a)

Amendment #37 changes the due date for the report required under that section, regarding the “Finish in Four” pilot program, from December 1, 2017, to March 1, 2018.

Section 10.19(b)

Amendment #37 changes the due date for the report required under that section, regarding the “Student Success Innovation Initiative,” from March 15, 2018, to March 1, 2018. Deletes the requirement that the report include the vendor selected to provide software.

Section 10.22

Amendment #37 creates new Section 10.22. Increases the appropriation from the General Fund to the Board of Governors for the 2017-19 biennium in this act for the UNC Need-Based Financial Aid Program by $53,411,648 for 2017-18, and by $51,386,090 for 2018-19. Decreases the management flexibility reduction for The University of North Carolina for 2017-19 in this act by $19,865,544. Adjusts appropriate totals accordingly.

Part XI. Department of Health and Human Services

Subpart XI-B. Division of Child Development and Early Education

Section 11B.9A

Amendment #3 amends Section 11B.9A(a), amending the description of the “Reach Out and Read” program, specifying that the program supports physicians, nurse practitioners, and physician assistants (was, doctors only) in pro-child-literacy efforts.

Subpart XI-C. Division of Social Services

Section 11C.16

Amendment #4 adds that recurring funds appropriated to the Department of Health and Human Services, Division of Social Services (Division) in each year of the 2017-19 biennium for North Carolina State recognized tribes must be used by the Division, in collaboration with the NC State Commission on Indian Affairs, to assist in recruiting foster parents, increasing the number of foster homes for children who are members of a State-recognized tribe, and providing training for staff of county departments of social services to ensure culturally appropriate services.

Subpart XI-F. Division of MH/DD/SAS and State Operated Healthcare Facilities

Section 11F.2(a)

Amendment #14 provides that, in addition to the $5 million currently redirected from single-stream services to provide funding for supplemental short-term assistance for group homes, $5 million in nonrecurring funds for each year of the 2017-19 fiscal biennium is redirected from single-stream services to supplement, not supplant, existing funding for community-based substance abuse treatment and services. Makes a technical change, and conforming changes to the appropriate totals.

Amendment #23 provides that, in addition to the $5 million currently redirected from single-stream services to provide funding for supplemental short-term assistance for group homes, $5,166,720 in recurring funds for 2017-18 and $10,333,440 in recurring funds for 2018-19 is redirected from single-stream services to provide funding for expanding the number of slots available under the North Carolina Innovations waiver by 500 slots. Make a conforming change to Section 11H.11 by increasing the number of slots. Makes conforming changes to the appropriate totals.

Amendment #31 makes technical changes to Amendments #14 and #23.

Subpart XI-H. Division of Medical Assistance (Medicaid)

Section 11H.11 

Amendment #23 requires the Department of Health and Human Services, Division of Medical Assistance, to amend the North Carolina Innovations waiver to increase the number of slots available under the waiver by 500 (was, 250) slots.

Section 11H.13

Amendment #9 makes the following changes to Section 11H.13.

Provides that from July 1, 2017, to June 30, 2019 (was, beginning July 1, 2017), the Department of Health and Human Services, Division of Medical Assistance, shall not be required to implement the prohibitions on reimbursement for Graduate Medical Education payments.

New Section 11H.13(c) provides that, notwithstanding any other provisions of the act, the $30 million appropriated in 2017-18 and 2018-19, each, to the Division of Medical Assistance for the Graduation Medical Education add-on to the inpatient hospital DRG payment, shall be nonrecurring funds.

New Section 11H.13(d) provides that, notwithstanding any other provisions of the act, the $30 million reduction for 2017-18 and 2018-19, each, attributed to the identification of savings or reduced spending within the authority of the Division of Medical Assistance, shall be nonrecurring reductions.

Section 11H.17A

Amendment #20 corrects the reference to the bidding process to be granted a Medicaid capitated contract as a prepaid health plan under the State's 115 Demonstration Waiver to now refer to the State's 1115 Demonstrated Waiver.

Part XIII. Department of Environmental Quality

Section 13.11

Amendment #6 amends proposed GS 143-215.73M (Coastal Storm Damage Prevention Fund). Replaces the current conditions on funding with the condition that any project funded by revenue from the Coastal Storm Damage Prevention Fund shall be cost shared with at least one non-State dollar for every three dollars from the Fund.

Part XIV. Department of Natural and Cultural Resources

Section 14.16

Amendment #19 adds new section 14.16(a). Reduces the funds appropriated by this act to the Parks and Recreation Trust Fund for grants by $150,000 in nonrecurring funds for 2017-18.

Amendment #19 adds new section 14.16(b). Appropriates $150,000 in nonrecurring funds to the Division of Historic Sites of the Department of Natural and Cultural Resources for the construction of a replica building at Ft. Dobbs State Historic Site.

Part XV. Department of Commerce

Section 15.21

Amendment #2 adds a new section requiring that of the funds appropriated in the act to the Rural Economic Development Division for the Rural Grants Program, that $100,000 in nonrecurring funds be allocated for 2017-18 to Laurinburg to support the development and promotion of a farmers market in the City.

Part XVI. Department of Public Safety

Subpart XVI-B. Division of Law Enforcement

Section 16B.8

Amendment #13 adds new Section 16B.8. Provides that, notwithstanding any other provisions of law, funds appropriated by this act for SBI Special Investigative Funds are reduced by $120,000 for 2017-18, and increases the funds appropriated to the SBI for the Operation Medicine Drop by the same amount for the same fiscal year.

Part XXXIV. Department of Transportation

Section 34.6B

Amendment #22 expands upon the items that must be included in the Department of Transportation's report on the Charter School Transportation Grant Pilot Program to also require reporting on whether implementing the Program has led to an increase in charter schools offering lunch and transportation to its students.

Section 34.39

Amendment #24 adds new Section 34.39(a). Enacts new GS 136-93.1A (Time frame for reviewing and making a decision on traffic impact analyses). Creates the following timeline for the Department of Transportation’s (DOT) process for reviewing and making a decision on a traffic impact analysis: DOT must communicate the scope of the traffic impact analysis to the applicant within 10 business days of the date of receipt of the proposed scope. DOT must review and make a decision as to the completeness of the traffic impact analysis within 20 days of the date of receipt of the traffic impact analysis, with failure to do so resulting in the analysis being deemed complete. DOT must review and decide as to the approval or rejection of a traffic impact analysis within 20 days of the date the analysis is determined or deemed to be complete, with failure to do so deeming the analysis to be approved. Provides rules for calculating these time frames. Prohibits rejection of a traffic impact analysis on the basis that the applicant has failed to include information outside the scope established for that analysis, and requires written notice specifically setting forth the reason an analysis is rejected. Provides that the timeframe resets upon rejection of a traffic impact analysis. Authorizes the DOT to authorize an applicant to reuse the scope established for a rejected analysis in submitting a revised analysis, with notice required within five days of the date of receipt of notice of intent to submit a revised analysis. Provides for an appeal of a rejected traffic analysis to the chief Engineer, as specified. Directs DOT to develop and use criteria for determining the scope of a traffic impact analysis, the completeness of an analysis, and whether to approve or reject an analysis and to post the criteria on its website. Provides requirements for amending the criteria. Directs DOT to annually report, by October 1, to the chairs of the Joint Legislative Transportation Oversight Committee on the number of times DOT failed during the preceding year to meet the time frame set out in this statute, including reasoning for each failure.

Amendment #24 adds new Section 34.39(b), directing DOT to commence development of the appeals process described in proposed GS 136-93.1A.

Amendment #24 adds new Section 34.39(c). Authorizes DOT to use up to $100,000 in nonrecurring funds for 2017-18, from the funds appropriated in this act from the Highway Fund for general maintenance, to cover costs incurred by implementation of Section 34.39.

Amendment #32 also adds new Section 34.39. Amends GS 87-124 (exemptions). Amends the exemption to the notice requirements of GS 87-122 (Excavator responsibilities) to exempt excavations or demolitions performed when an authority having jurisdiction over the public rights-of-way (was, when one of four listed entities) is conducting maintenance activities within its designated right of way.

Part XXXVII. Department of Information Technology

Section 37.4

Amendment #8 amends GS 143B-1325 to require the State Board of Election or Bipartisan State Board of Elections and Ethics Enforcement or successor entity (was, the Community College System Office and the State Board of Elections) to work with the State CIO to plan their transition to the Department of Information Technology. Makes conforming technical changes.

Part XXXVIII. Finance Provisions

Section 38.11

Amendment #12 deletes Section 38.11, which did the following: (1) enacted statutes prohibiting counties, cities, and authorities and districts from imposing a fee associated with the future expansion of a water or wastewater system, or both, on a low-income housing development to which the North Carolina Housing Finance Agency allocates a federal tax credit and (2) prohibited no local governments named in specified session laws from imposing a fee associated with the future expansion of a water or sewer system, or both, on a low-income housing development (as defined).

Section 38.13

Amendment #25 adds a section amending GS 105-129.16A, credit for investing in renewable energy property, by extending the January 1, 2017, sunset of the credit to April 1, 2017, for renewable energy property using renewable biomass resources placed in service on or after that date. Makes conforming changes.