Senate committee substitute makes the following changes to the 1st edition. Makes clarifying and technical changes to GS 130A-295.6. Amends the effective date provision to provide that the act applies to any application for a permit for a sanitary landfill for the disposal of construction and demolition debris waste pending on the date that the act becomes law, or submitted on or after the date that the act becomes law.

Section #1

Makes clarifying and technical changes to GS 53C-1-4, Definitions and application of terms, specifically to the following definitions: bank, control, lower-tier subsidiary, public member, subsidiary. Adds new term to definitions, consumer finance licensee, defined as an individual associated with a licensee as that term is defined in GS 53-165(h).

Section #2

Makes technical changes to GS 53C-2-1(d).

Section #3

Amends GS 53C-2-2(d), giving the Commissioner of Banks (Commissioner) power to exercise any jurisdiction, supervise, regulate, examine, or also enforce any banking law (previously, only had power to do this with state consumer protection laws or federal laws for which the Commissioner had enforcement jurisdiction).

Section #4

Amends GS 53C-4-5(c), Qualifications of bank directors, clarifying that after a director's election or appointment, the director must do the following:

(1) Consent to the jurisdiction of the Commissioner and the General Court of Justice for the State of North Carolina in any action or proceeding brought by the Commissioner.

(2) Consent to venue in Wake County.

(3) Appoint the Commissioner as the director's agent for service of process and authorize and instruct the Commissioner or the Commissioner's duly appointed deputy or agent to accept service of process for the director, unless the director appoints an agent.

Also adds language stating that when service of legal process in an action or proceeding brought by the Commissioner is made on a director, the Commissioner will, within three business days, give notice to the director of such service and acceptance of service of process by depositing a copy of the process served and accepted, together with any pleading, order, or other item accompanying the process, with a designated delivery service as defined in 26 U.S.C. § 7502(f)(2) and directed to the director's last known address in the Commissioner's records.

The Commissioner will also keep records of the day and hour of service of process, any pleading, order, or other item accompanying service of process. Additionally, the consent and appointment described above is irrevocable and will not be affected by the termination of the director's service as a director. A director may also appoint an agent for service of such process in Wake County. 

Section #5

Amends GS 53C-4-11(c), adding balances maintained at any federal reserve bank, either directly or on a pass-through basis, to meet federal reserve system reserve requirements to the list of liquid reserves types available to establish and put toward the required level of reserve fund.

Section #6

Amends GS 53C by adding new GS 53C-4-13, Immediate report of changes in directors and certain officers, requiring banks to report to the Commissioner any changes in its directors, president, CEO, CFO, chief loan officer, or chief credit officer by close of the second day on which the bank is open for business following such change(s).

Section #7

Makes technical changes to GS 53C-5-1(d). Also gives banks authority to appeal an application denial by the Commissioner, pursuant to GS 53C-2-6.

Section #8

Amends GS 53C-5-2, Investment authority, deleting the requirement that investments by banks or bank subsidiaries receive the same accounting and regulatory treatment as required by the bank's federal supervisor. Gives a bank's board-authorized committee the authority to make investments. Makes technical and clarifying changes. Gives the bank the authority to appeal an objection by the Commissioner pursuant to GS 53C-2-6.

Expands the capital and asset categories that are eligible toward being counted as a bank's capital upon which the 10% investment limitation is calculated against for investments in non-government backed bonds or debt obligations. GS 53C-5-2 now allows to be counted those portions of the bank's allowance for loan and lease losses, deferred tax assets, and intangible assets that are excluded from the bank's capital under federal law (was, investments in non-government backed bonds or debt obligations could not exceed 10% of a bank's required capital), plus the bank's capital.

Section #9

Amends GS 53C-6-1(b) expanding, identical to above section #8, the capital and asset categories that are eligible toward being counted as a bank's capital upon which the 15% investment limitation for total loans and extensions of credit outstanding at one time and not fully secured to include those portions of the bank's allowance for loan and lease losses, deferred tax assets, and intangible assets that are excluded from the bank's capital under federal law or the amount permitted for national banks in North Carolina by statute or by regulation of the comptroller of the currency (was, total loans and investments could not exceed 15% of the capital of the bank).

Also expands, identical to above, asset categories that are eligible toward being counted as a bank's capital upon which the 10% limitation for secured total loans and extensions of credit that are fully secured can be calculated to include those portions of the bank's allowance for loan and lease losses, deferred tax assets, and intangible assets that are excluded from the bank's capital under federal law or the amount permitted for national banks in North Carolina by statute or by regulation of the comptroller of the currency (was, secured total loans and extensions of credit could not exceed 10% of the capital of the bank).

Section #10

Amends GS 53C-6-1, by adding a new subsection, GS 53C-6-1(e), giving banks the power to, by resolution passed by their boards of directors or board-authorized committees, request the Commissioner to suspend the limitations on loans as set in the statute, as they apply to the bank's books or in a way the bank desires to modify in a manner not otherwise permitted by the limitations. Commissioner may approve or deny the request.

Section #11

Amends GS 53C-6-6(j), making technical and clarifying changes.

Section #12

Amends GS 53C-6-7 by adding a new subsection that states payable on death acounts created under GS 53-146.2 prior to October 1, 2012, are now governed by GS 53C-6-7, and any reference to GS 53-146.2 should be understood to refer to GS 53C-6-7.

Section #13

Amends GS 53C-6-8, stating that attorneys-in-fact for incapacitated or incompetent principals acting pursuant to a durable power of attorney can terminate an agent's authority to act on or behalf of the principal with respect to personal agency accounts. Makes technical changes.

Section #14

Amends GS 53C-7-101, Control transactions, deleting the requirement that each bank will report to the Commissioner any changes in its directors, president, CEO, CFO, chief loan officer, or chief credit officer by the close of the second day on which the holding company is open for business following such change(s). This requirement is now contained in GS 53C-4-13, as noted in Section #6 above.

Creates new subsection GS 53C-7-101(c)(5a), adding the following transaction, an acquisition of control over voting shares exempt from the prior approval requirements set forth in section 3 of the Bank Holding Company Act,  to the list of transactions that do not constitute a control transaction requiring the prior approval of the Commissioner.

Section #15

Amends GS 53C-7-102(c) making a technical change, replacing a reference to GS 53C-2-8 with GS 53C-2-7(b).

Section #16

Amends GS 53C-7-205 by making clarifying and technical changes.

Section #17

Amends GS 53C-7-207 adding language that states that a bank proposing to do any of the listed proposed combinations in GS 53C-7-207(a), must give prior written notice to the Commissioner that provides detail of the proposed combination (was, with the approval of the Commissioner).

Allows the combination to be completed if the Commissioner does not object within 30 days of notice. Commissioner may extend the 30-day window if needed. While the period is extended, the banks or subsidiaries cannot proceed with the proposed combination. Banks have the right to appeal an objection by the Commissioner.

Creates three conditions where, if met, the prior written notice requirement above is not needed for proposed combinations. Under existing law, the written notice requirement is not applicable to a combination of a subsidiary and another company when the subsidiary is not the resulting entity, or for a combination of two or more subsidiaries of the same bank.

Section #18

Repeals GS 53C-7-208 (Fiduciary powers and liabilities of combining banks).

Section #19

Amends 53C-9-403, adding the requirement that a new trustee will be appointed in the manner provided in GS 36C-7-704 or other applicable law. Deletes the requirement for the entry of an order by the clerk of superior court to terminate the bank as a trustee in lieu of a duly appointed trustee.

Section #20

Amends GS 153C-10-102(c) adding an acquisition of control over voting securities in a transaction subject to approval under section 3 of the Bank Holding Company Act to the list of transactions that do not constitute a control transaction, requiring the prior approval of the Commissioner.

Section #21

Makes technical and clarifying changes to GS 53C-10-301.

Section #22

Makes technical changes to GS-53-366(a). Also makes authorized trust institutions subject to GS Chapter 53C, more specifically GS 53C-2-7(b).

Enacts new GS 58-36-43 as the title indicates.Allows insurance companies writing private automobile insurance to incorporate optionalenhancementsin an automobile insurance policyunder Article 36 of GS Chapter 58 (1) ifthe insurer has filed the proposed enhancement including any proposed premium charge with the Commissioner of Insurance (Commissioner)and (2) ifthe proposed enhancement is approved by the Commissioner. Provides that amendments to private passenger automobile program enhancements are subject to the same requirements as an initial filing. Specifies that a rate amendment under this proposed section is not a rate deviation and is not subject to the requirements regarding rate deviations in GS 58-36-30(a). Provides criteria regarding the reporting of premiums, expenses, and losses associated with individual company automobile program enhancements.

Effective July 1, 2013.

Amends GS 7A-290, providing that defendants that plead guilty or no contest to a misdemeanor in district court, pursuant to GS 15A-1431.1, waive the right to trial de novo in superior court and can only appeal the decision to the Court of Appeals (was, any defendant convicted in district court could appeal to superior court for trial de novo).

Amends GS 15A-1115, only allowing a person who denies responsibility but is found responsible for an infraction in district court to, within 10 days of the hearing, appeal the decision to the Court of Appeals (was, can appeal to the criminal division of superior court for hearing de novo).

Amends GS 15A-1347, stating when a district court judge, as a result of a finding of a violation of probation, activates a sentence or imposes special probation, the defendant can only appeal to the Court of Appeals (was, superior court for trial de novo).

Amends GS 15A-1431(b), stating that except provided in GS 15A-1431.1, a defendant convicted in district court can only appeal to the superior court for trial de novo with a jury, as provided by law. Deletes technical language concerned with the jurisdiction of superior court and plea agreements.

Amends GS Chapter 15A by adding new GS 15A-1431.1, referred to above, Guilty pleas to misdemeanors in district court; appeals, which provides that defendants who plead guilty or no contest to a misdemeanor in district court waive the right to trial de novo in superior court and may appeal the decision to the Court of Appeals. Also, provides that GS 15A-1021, 15A-1022, 15A-1023, 15A-1024, and 15A-1025, relating to guilty pleas in superior court, are applicable to guilty pleas entered in district court, to the extent that those provisions apply to misdemeanors. GS 15A-1026, as far as it deals with the making and preserving of a record of proceedings, also applies to guilty pleas to misdemeanors entered in district court. 

Amends GS 15A-1444(a2), deleting in superior court limitation for appeal.

Effective December 1, 2013, applying to acts committed on or after that date.

 

Enacts new GS 153A-52.2, Electronic notice, allowing governing boards of local government to adopt an ordinance that will allow them to electronically publish any notice they are otherwise required to publish by law. The ordinance may cover all notices required to be published or certain selected classes of notices. Any notice published under the above ordinance must comply with the following conditions:

(1) The notice is published on the website of the governing board no later than the time required for publication under applicable law or act.

(2) The website contains, on its main page or index, links to all notices or a link to another page with links to all notices.

(3) Notices and links must be maintained on the website for at least one year after publication.

(4) A copy of the notice must be filed in a notice book, separately maintained and apart from the ordinance book or minutes of the governing board. The notice books must also be indexed and maintained for public inspection.

(5) A copy of the notice must be provided to each public library and clerk of superior court within the jurisdiction of the governing board and maintained for at least one year.

(6) A copy of the notice must be mailed or emailed to a person that has filed a written request for notice with the clerk or secretary of the governing board.

Such ordinances that allow electronic publication can not supersede any general law or local act that requires notice by mail to certain persons or classes of persons or the posting of signs on certain property. The ordinance may control notice requirements for any board appointed by the governing board of the county, including the board of social services and the board of health.

Amends GS 160A-1(7), 153A-1(6), and 159-1(b)(5) to include the following: (1)electronic notice, as provided in GS 153A-52.2, if an ordinance has been adopted by the governing board and (2) insertion in a news publication circulated in the county, published at least once per week, and with an audited readership of at least 25,000 persons in each section's description and definition of publish." 

Amends GS 163-33, Powers and duties of county boards of elections, stating the county board can adopt a policy to provide for notices, advertisements, and publications to be given electronically.

Repeals SL 2003-81, SL 2003-161, SL 2007-86, and SL 2008-5 (which provided for electronic notice by specified counties and cities), but ordinances adopted under any of those acts remain valid until amended or repealed under GS 153A-52.2. 

Effective October 1, 2013, applying to notices given on or after that date by a county or city.

Amends GS 115C-563 as the title indicates. Clarifies that the parents, legal guardians, or members of either household of thechildren in the home schoolare authorized to determine the scope and sequence of academic instruction and to determine additional sources of academic instruction. Effective whenthe actbecomes law and applies beginning with the 2013-14 school year.

Substantively identical to H 192, filed 2/28/13.

As title indicates.

Allows the Department of Transportation (Department) to enter into agreements with local governments to allow the use of state rights-of-way for sidewalk dining activities with the following requirements and conditions: (1) Tables, chairs, and furnishings are placed a minimum of six feet from travel lanes. (2) Tables, chairs, and furnishings are placed so that they leave at least five feet of unobstructed paved space of sidewalk and otherwise comply with the Americans with Disabilities Act (ADA). (3) Tables, chairs, and furnishings do not block driveways, alleyways, entrances or exits, fire hydrants or standpipes, utility accesses, ventilation areas, or ramps needed for the ADA. (4) Maximum posted speed of the roadway adjacent to the area used for sidewalk dining activities cannot exceed 45 mph. (5) Restaurant operator will provide evidence of adequate liability insurance. (6) Restaurant operator will provide an indemnity agreement and hold the Department or local government harmless. (7) Restaurant operator will provide copies of all required permits and licenses. (8) Restaurant operator will cease part or all sidewalk dining activities during times of construction, maintenance, or repair.

The Department or local governments can impose additional requirements on a case-by-case basis.

Amends GS 136-18(9), making clarifying, conforming, and technical changes to provide for the implementation and allowance of sidewalk dining activities.

This act does not preempt or override local ordinances currently in place.

 

Identical to H 59, filed 1/31/13.

Amends Article 3A of GS Chapter 20 by eliminating the requirement that a motor vehicle be subject to a safety inspection. Makes conforming changes to eliminate all provisions referencing or applying to safety inspections in GS Chapter 20. Retains the vehicle emissions inspection program.

Amends GS 20-183.7 to establish fees for an emissions inspection as follows: (1) $9.13 for a vehicle emissions inspection (was, $23.75 for emissions and safety) and (2) $7.27 for the issuance of an electronic inspection authorization (was, $6.25 for emissions and safety). Deletes that the fee for an inspection sticker does not apply to a replacement inspection sticker for use on a windshield replaced by a business registered with the Division of Motor Vehicles (Division).

Clarifies that a certified (was, safety inspection) mechanic is required to inspect after-factory tinted windows. Amends GS 20-183.7 to provide that the clear proceeds of all civil penalties, civil forfeitures, and civil fines collected by the Division pursuant to this statute are to be remitted to the Civil Penalty and Forfeiture Fund (was, civil penalties collected are to be credited to the Highway Fund as non-tax revenue).

Eliminates the fee distributions, resulting from the collection of electronic authorizations for emissions and safety inspections combined, to the Highway Fund, the Volunteer Rescue/EMS Fund, and the Rescue Squad Worker's Relief Fund. Increases amounts that are to be distributed to the Inspection Program Account, the Telecommunication Account, and the Division of Air Quality. Effective October 1, 2011. Amends GS 20-87 to add an additional $1 passenger vehicle registration fee to be distributed as follows: (1) 78¢ to the Highway Fund, (2) 13¢ to the Volunteer Rescue/EMS Fund, and (3) 9¢ to the Rescue Squad Workers' Relief Fund. Amends GS 20-88 to add an additional $1 property hauling vehicle registration fee to be distributed as follows: (1) 78¢ to the Highway Fund, (2) 13¢ to the Volunteer Rescue/EMS Fund, and (3) 9¢ to the Rescue Squad Workers' Relief Fund.

Above provisions are effective October 1, 2013.

Amends GS 20-122.1 to eliminate the following possible defenses to a charge of operating a motor vehicle with unsafe tires: (1) that a person obtained a certificate from an official safety inspection equipment station within 15 days after the arrest; (2) that the tires had been made to conform to the requirements of the statute; or (3) that the vehicle had been sold, destroyed, or permanently removed from the highways. Requires that the Division, with the assistance of the Department of Environment and Natural Resources, Division of Air Quality, develop and implement a management improvement plan for the Motor Vehicle Emission Inspection program to increase efficiency, reduce costs, and improve customer service. Specifies information to be included in the plan, including that it meets both federal and state reporting requirements. Requires the Division to present the plan to the Joint Legislative Transportation Oversight Committee and the Joint Environment and Natural Resources Oversight Committee by December 31, 2013.

The Division must also report annually to the Joint Legislative Transportation Oversight Committee by January 15 of each year on the prior fiscal year and include recommendations on legislation to improve the program. Requires the Fiscal Research Division to conduct a fiscal review of the Motor Vehicle Emissions Inspection program. Specifies factors to be reviewed. Requires the Fiscal Research Division to report to the Joint Legislative Transportation Oversight Committee, the Joint Environment and Natural Resources Oversight Committee, the Joint Program Evaluation Oversight Committee, and the Program Evaluation Division by May 1, 2014.

Makes a conforming change to GS 20-127(d) (window tinting violations). Effective when the act becomes law unless otherwise noted.

 

Repeals GS 143B-85 (America's Four Hundredth Anniversary Committee), GS 143B-86, and GS 143B-51(b)(15).

Amends GS 143B-53, Organization of the Department, deleting America's Four Hundredth Anniversary Committee from inclusion in the Department of Cultural Resources.

Amends Section 11 of SL 2011-19, as amended, extending the deadline for local forensic science labs and certain forensic scientists to receive accreditation to July 1, 2020 (was, 2013).

Makes conforming changes.