Part I

Appropriates $10 million from the General Fund to the Department of Commerce (DOC) in recurring funds for 2026-27 to be allocated to the One NC Small Business Account established in GS 143B-437.71. Effective July 1, 2026.

Part II

Appropriates $2 million from the General Fund to DOC in recurring funds for 2026-27 to be allocated to the NC Biotechnology Center (Center) to support life science company funding, university technology development, workforce development, and economic development programs administered by the Center. Effective July 1, 2026.

Part III

Amends Taylor’s Law, Establishing the Advisory Council on Rare Diseases, as follows. Amends GS 130A-33.65 by changing the location of the Advisory Council from within the UNC-Chapel Hill School of Medicine to the Department of Health and Human Services (DHHS). Changes the number of the Advisory Council to 19 members and removes the appointing authority of the Dean of the School of Medicine at UNC-Chapel Hill. Instead, allows the DHHS Secretary to appoint 15 members in line with the qualifications listed in the statute.

Amends the appointed membership as follows:

• increases number of physicians from one to two;
• removes rare disease survivor, rare disease foundation, parent of childhood rare disease survivor, and medical researcher appointees;
• removes appointees who are chairs of the NCGA Joint Legislative Oversight Committee on Health and Human Services, or their designees;
• changes the number of researchers from State academic research institutions to one receiving any grant funding for rare disease research (currently one representative per State institution receiving any such grant funding);
• adds the following appointees:
• one hospital administrator, or the hospital administrator's designee, representing a hospital in the State that provides care to persons diagnosed with a rare disease;
• two persons age 18 or older who have been diagnosed with a rare disease; two persons age 18 or older who are, or were previously, caregivers to a person diagnosed with a rare disease;  
• one representative of a rare disease patient organization that operates in the State;
• one pharmacist licensed and practicing in this State with knowledge and experience regarding drugs used to treat rare diseases;
• one representative of the life sciences, biotechnology, or biopharmaceutical industry that either focuses on research efforts related to the development of therapeutic products for persons diagnosed with a rare disease or has demonstrable understanding of the path to commercialization of such products;
• two representatives of a health benefit plan or health insurer, at least one of whom is a representative of a North Carolina Medicaid Managed Care health plan;
• one genetic counselor with experience providing services to persons diagnosed with a rare disease or caregivers of persons diagnosed with a rare disease;
• one member appointed by the President Pro Tempore of the Senate;
• one member appointed by the Speaker of the House of Representatives; and
• one member appointed by the Governor. 

Provides for terms for each of the initial appointed representatives and term limits of three consecutive terms, except that the initial physician member and initial member representing a rare disease patient organization can serve up to four terms. Thereafter, directs that members appointed by the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Governor will serve for a term of two years and members appointed by the Secretary will serve for a term of two, three, or four years as determined by the chair of the Advisory Council. Provides for filling vacancies, member removal, and selection of a chair by a majority vote. Requires that the Advisory Council meet at least quarterly (currently, just need to meet). Makes technical and conforming changes.

Amends GS 130A-33.66, pertaining to the Advisory Council’s powers and duties as follows. Specifies that the Advisory Council should advise the Governor, the DHHS Secretary, and General Assembly on all of the following, in addition to powers already listed in the statute: coordination of statewide efforts to increase public awareness and understanding of rare diseases, identification of policy issues related to rare diseases and the advancement of policy initiatives related to rare diseases at the State and federal levels, and the appropriation of State funds to facilitate increased public awareness of and improved treatment for rare diseases. Requires the Advisory Council to, in consultation with certain medical schools, other educational institutions with specified programs, and hospitals in the State that provide services to persons with rare diseases, develop resources or recommendations regarding quality of and access to treatment and services available within North Carolina for persons diagnosed with a rare disease. Now requires the Advisory Council to advise and consult with DHHS and other specified boards and panels in developing recommendations, resources, and programs relating to the diagnosis and treatment of rare diseases. Now requires the Advisory Council to identify additional relevant areas for the Advisory Council to study and evaluate. Expands upon report receipients to also include Fiscal Research Division. Makes technical changes.  

Appropriates from the General Fund to DHHS the sum of $250,000 in recurring funds for the 2026-27 fiscal year to be allocated to cover the administrative costs of the Advisory Council on Rare Diseases.

Effective July 1, 2026.

Part IV

Allows DOC to commit in a Governor's Letter to reimburse, over a period of time not less than 10 years, a business, as defined in GS 143B-437.51 (a corporation, sole proprietorship, cooperative association, partnership, S corporation, limited liability company, nonprofit corporation, or other form of business organization, located either within or outside this State), for the costs incurred for an eligible project. Defines an eligible project as the construction of, or improvements to, new or existing water or sewer lines, facilities, or equipment for new, proposed, or existing buildings by the business, and can include water reuse and water reclamation projects, if the business commits, in a company performance agreement, to the requirements of subsection (c), described below.

Sets the total amount that may be committed for reimbursement under this section as the lesser of: (1) $50 million or (2) 50% of the cost of the eligible project. Sets the maximum amount that can be paid out in a single calendar year for all but the final year of the award term as the lesser of one-tenth of the amount committed or one-half of the costs incurred and verified by the business for that calendar year.

Requires that in order for a project to be eligible, a business operating a manufacturing site within the same county and river basin as the eligible project must also commit to the following requirements: (1) invest at least $2 billion of private funds in the development or expansion of the manufacturing site served by or located within the same county as the eligible project; (2) for the greater of the term of the agreement or 10 years, create at least 500 new jobs having an overall average compensation that exceeds the average wage for all insured private employers in the county in which the eligible project is located and maintain both the new and existing jobs of the business in that county; (3) annually verify costs incurred for the eligible project; (4) ensure that the eligible project will supply at least 60% of the total aggregate water and wastewater needs required by the manufacturing site as developed or expanded by the investment; and (5) not seek or accept any other grant from the State, including a grant under Part 2G (Job Development Investment Grant Program) of Article 10 of GS Chapter 143B, for any jobs created as part of the company performance agreement.

Specifies that the Governor's Letter is a binding obligation of the State and is not subject to State funds being appropriated by the General Assembly. Also specifies that a local government is not required to match the funds allocated by the State.

Part V

Transfers $20 million from the General Fund to the Life Science and Biomanufacturing Technologies Reserve Fund (Tech Reserve), established below, for 2026-27. Establishes the Tech Fund to be administered by the Office of State Budget and Management (OSBM) only for appropriation by the NCGA to provide State matching funds, cost-share contributions, and other financial support for joint federal, State, local government, and industry initiatives involving emerging life science or biomanufacturing technologies. Lists four eligible uses for funds from the Tech Reserve, including (1) financing for public-private partnerships involving life science or biomanufacturing facility development, workforce development, or technology transfer initiative and (2) seed funding for multigovernmental consortia or regional innovation hubs focused on biomanufacturing technologies, cell and gene therapy manufacturing, advanced pharmaceutical manufacturing, or related fields. Prohibits funds from being spent unless appropriated by the NCGA. Requires the Director of the Budget to report to the specified NCGA committee and division on the appropriated funds from the Tech Reserve by March 1 of each fiscal year. Effective July 1, 2026.