The House committee substitute to the 2nd edition deletes all provisions of the previous edition and replaces it with the following.

Amend transplanting of oysters and clams statute

Amends GS 113-203 to also make it unlawful to (1) transplant oysters or clams taken from permitted acquaculture operations to private beds except from waters in the approved classification and (2) transplant oysters or clams from public grounds or permitted aquaculture operations using waters in the restricted or conditionally approved classification to private beds except when the transplanting is done in accordance with the provisions of the statute and implementing rules (was, it is not unlawful to transplant oysters taken form public grounds to private beds when it is done in accordance with the statute and implementing rules).

Makes it unlawful to transplant seed oysters or seed clams taken from permitted aquaculture operations using waters in the restricted or conditionally approved classification to private beds pursuant to an Aquaculture Seed Transplant Permit that set times during which transplant is allowed and other reasonable restrictions when (1) transplanting seed clams less than 12 millimeters in their largest dimension or (2) transplanting seed oysters less than 25 millimeters in their largest dimension. Also makes it unlawful to conduct a seed transplanting operation under these provisions if the operation is not conducted in compliance with its permit.

Amends the statute to make it legal to transplant from public bottoms to private beds (was, to transplant to private beds) oysters or clams taken from waters in the restricted or conditionally approved classifications (was, from polluted waters) with a permit setting out specified types of restrictions.

Exempts construction and demolition landfills from the minimum financial responsibility requirements applicable to other solid waste management facilities

Amends GS 130A-295.2 to require owners or operators of a sanitary landfill for the disposal of construction and demolition debris waste to establish financial assurance sufficient to cover at least $1 million in costs for potential assessment and corrective action. Makes conforming changes.

On-site wastewater approval clarification

Amends GS 130A-343 to add that in considering the application by a manufacturer of a wastewater system using expanded polystyrene synthetic aggregate particles as a septic effluent dispersal medium for approval of the system under the statute, an application may not be conditioned, delayed, or denied based on the particle or bulk density of the expanded polystyrene materials. Requires the reissuance of approvals already issued that include conditions or requirements related to the particle or bulk density of the expanded polystyrene material. The reissued approval must delete the conditions and requirements related to the density of the expanded polystyrene material.

Provides that until the reissuance of approvals, conditions or requirements in existing approvals relating to the particle or bulk density of expanded polystyrene have no further force or effect.

Expand daily flow design exemption for low-flow fixtures

Amends Section 34(b) of SL 2013-413 to add that notwithstanding the Daily Flow for Design rates listed for dwelling units in 15A NCAC 18A .1949(a) a wastewater system must be exempt from the Daily Flow for Design and other design flow standards provided flow rates less than those in 15A NCAC 18A .1949 (was, in Table No. 1 of the rule) can be achieved through engineering design that uses low-flow fixtures and low-flow technologies and the design is prepared, sealed, and signed by a professional licensed engineer. Allows establishing by rule lower limits on reduced flow rates but adds the requirement that the Commission for Public Health rely on scientific evidence specific to soil types found in the state that the lower limits are necessary for those soil types. Adds that rules adopted under this section must become effective as provided in GS 150B-21.3(b1) as though 10 or more written objections had been received.

Reform agency review of engineering work

Requires each Regulatory Authority to, by December 1, 2014, review and make any necessary revisions to its procedures for review of Regulatory Submittals, defined as an application to a Regulatory Authority for a permit, license, or approval; for local governments, an application to a program approved by or delegated from the Department of Environment and Natural Resources (DENR) or Department of Health and Human Services (DHHS). Regulatory Authority is defined as DENR, DHHS, and any local government operating a program that (1) grants permits, licenses, or approvals to the public and (2) is either approved by or delegated from DENR or DHHS. Sets out goals of the review and revision process, including standardizing the provision of review and comments on Regulatory Submittals. Requires each Regulatory Authority, by December 1, 2014, to create a process for each regulatory program it administers for an informal internal review at the Submitting Party's request in the following circumstances: (1) the inclusion in a Regulatory Submittal of a design or practice sealed by a Professional Engineer but not included in the Regulatory Authority's existing guidance, manuals, or standard operating procedures (sets out procedures for the review); (2) a disagreement between the reviewer of the Submittal and the Submitting Party regarding whether the authority identified by the Authority for revisions or requests for additional information designated as required justifies a required change.

Requires DENR, by March 1, 2015, to complete a pilot study on the Pretreatment, Emergency Response and Collection System (PERCS) wastewater collection system permitting program and the stormwater permitting program and perform specified activities with cooperation of the NC Board of Examiners for Engineers and Surveyors and the Professional Engineers of North Carolina. Requires a report to the Environmental Review Commission (ERC) by April 15, 2015.

Requires each Regulatory Authority, by December 1, 2014, to (1) review the working job titles of every employee with duties that include the review of Regulatory Submittals and (2) propose revisions to the titles or other measures that will eliminate the public identification as engineers of people conducting reviews who are not engineers.

Requires each Regulatory Authority to report to the ERC before the convening of the 2015 Session of the General Assembly on implementation of the standardized procedures, informal review process, and job title review. Requires annual reports to the ERC beginning in 2016; the reporting requirement expires on January 1, 2019.

Study temporary groundwater withdrawal permits within central coastal plain capacity use area

Requires the Department of Environment and Natural Resources (DENR) to study groundwater withdrawal permitting in the Central Coastal Plain Capacity Use Areas. Specifies three items to be included in the study. Allows an interim report before the convening of the 2015 General Assembly and requires a final report to the General Assembly when it reconvenes in 2016.

Amend isolated wetlands regulation

Requires the Environmental Management Commission to adopt a rule to amend 15A NCAC 02H .1305 (Review of Applications) so that when implementing the rule (1) the amount of impacts of isolated wetlands is less than or equal to 1 acre of isolated wetlands east of I-95 for the entire project and less than or equal to 1/3 acre of isolated wetlands west of I-95 for the entire project and (2) the mitigation ratio is 1:1. Identical provisions are in effect when the act becomes law and expire on the date that the required rule is adopted. 

Requires the Department of Environment and Natural Resources to study (1) how isolated wetland is defined in state law and whether it should be clarified to provide certainty in identifying isolated wetlands and (2) the surface area thresholds for the regulation of mountain bog isolated wetlands and report to the Environmental Review Commission on or before November 1, 2014.

Speed limit waiver in state parks and forests

Amends GS 143-116.8 to allow a person to petition DENR, or the Department of Agriculture and Consumer Services, for a waiver allowing the person to operate a vehicle in the state parks road system, or the state forests road system, as applicable, at a speed exceeding 25 miles per hour in connection with a special event. Allows conditions to be imposed on the waiver and requires a provision requiring that the recipient execute an indemnification agreement and obtain general liability insurance in an amount not to exceed $3 million covering personal injury and property damage that may result from the higher speed. 

Increase certain penalties for taking of protected plants

Increases the minimum fine from $10 to $75 and the maximum fine from $50 to $175 for digging up, pulling up, or taking any of the plants listed in the statute from another's land or any public domain. Ads that each plant taken constitutes a separate offense. Requires the clerk of court for the jurisdiction in which a conviction occurs  involving any species listed in the statute that also appears on the NC Protected Plants list to report the conviction to the Plant Conservation Board so that the Board may consider a civil penalty. Makes the statute statewide, removing the exemption for 22 listed counties. Applies to offenses committed on or after December 1, 2014.

Study use of contaminated property

Requires DENR to study ways to improve the timeliness of actions necessary to address contaminated properties so that the property is safe for productive use, threats to the environment and public health are minimized to acceptable levels, and the risk of taxpayer fund remediation is reduced. Specifies five items to be considered. Requires a report to the Environmental Review Commission (ERC) by November 1, 2014.

Scope of local authority for ordinances

Repeals Section 10.2 of SL 2013-413, which placed temporary limitations on the enactment of environmental ordinances by local governments, and required a related study. Requires the Department of Agriculture and Consumer Services (DACS) and the Department of Environment and Natural Resources (DENR) to report to the Environmental Review Commission by November 1 of 2014 and 2015 on any local government ordinances that impinge or interfere with areas regulated by those departments. Requires DENR and DACS to receive input from the public regarding any local government ordinances that impinge on or interfere with any area subject to regulation by the department.

Enacts new GS 106-678 prohibiting local governments from adopting or continuing in effect any ordinance, rule, regulation, or resolution regulating fertilizer in any area subject to regulation by the Board of Agriculture. Provides that the statute does not prevent local governments from exercising planning and zoning authority, or fire prevention or inspection authority, nor does it limit the authority of DENR or the EMC to enforce water quality standards. Also provides that the statue does not prohibit a local government or political subdivision of the state from adopting ordinances regulating fertilizers to protect water quality if the ordinances have been approved by the EMC or DENR as part of a local plan or NPDES permit application and do not exceed the state's minimum requirements to protect water quality.

Closure of certain animal waste containment basins

Enacts new GS 143-215.10J to allow DENR to consider any waste containment basin to be a fresh water storage facility meeting all requirements for closure under 15A NCAC 02T .1306 if the owner of the basin demonstrates that (1)  the basin has been used only for the containment of dairy cattle waste, (2)  the basin was constructed before 2006, (3)  the basin has not been used for the containment of dairy cattle waste after September 1, 2006, (4) the only liquid currently entering the basin is from rainwater or rainwater runoff, and (5) nitrogen levels in the basin water do not exceed 40 parts per million.  Requires that written notification be provided to the basin owner meeting the requirements that the basin is no longer considered an animal waste management system.

Fee rollback for oyster permits under private docks

Repeals GS 113-210(l) and (m), concerning the $100 Under Dock Oyster Culture Permit fee and the advance sales of those permits. Effective July 1, 2014.

Local government leases for renewable energy facilities

Amends GS 160A-272 to allow a city council to approve a lease for the siting and operation of a renewable energy facility for up to 25 (was, 20) years without treating the lease as a sale of property and without giving notice by publication. Makes the subsection statewide, deleting the provision limiting the provisions to 19 counties, cities, and towns.

Open burning

Provides that no air quality permit is required for the open burning of leaves, logs, stumps, tree branches, or yard trimmings if the six specified conditions are met, including that there are no public pickup services available, that the burning occurs within the specified time of day, and that the burning does not create a nuisance. Requires the Commission to adopt a rule amending current rules that is substantively identical to these provisions. The provisions expire on the date that the adopted rules become effective. Exempts the rules from Part 3 of Article 2A of GS Chapter 150B and provides that the rules become effective as though 10 or more written objections had been received. Requires that the current rule for open burning without an air quality permit be implemented as provided in these provisions until the effective date of the revised rule.

Inlet hazard areas

Prohibits the Coastal Resources Commission from establishing any new and requires the repeal of any existing inlet hazard area where (1) the location is the former location of an inlet but the inlet has been closed for at least 15 years; (2) due to shoreline migration, the location no longer includes the current inlet location; and (3) the location includes an inlet providing access to a state port via a channel maintained by the US Army Corps of Engineers. Requires the Commission to adopt a rule amending current rules that is substantively identical to these provisions. The provisions expire on the date that the adopted rules become effective. Exempts the rules from Part 3 of Article 2A of GS Chapter 150B and provides that the rules become effective as though 10 or more written objections had been received. Requires that the current rule for AECs within ocean hazard areas be implemented as provided in these provisions until the effective date of the revised rule.

Hunting trials

Requires the Wildlife Resources Commission to adopt rules to clarify the requirements in 15A NCAC 10B .0114 addressing which participants in retriever field trials are required to possess a hunting license. Requires holding public hearings and consulting with field trial groups.

Expedited IBT process for certain reservoirs

Amends GS 143-215.22L (w) to add a petition for a certificate to withdraw or transfer water stored in any multipurpose reservoir constructed by the US Army Corps of Engineers and partially located in a state adjacent to North Carolina, provided the Corps of Engineers approved the withdrawal or transfer on or before July 1, 2014, to those that are to be considered and a determination made according to the specified procedures.

Eliminate outdated air quality reporting requirement

Amends GS 143-215.3A to delete the requirement that DENR report to the Environmental Review Commission (ERC) and the Fiscal Research Division on the cost of the Title V program. Repeals sections 10, 11 as amended, 12, and 13 of SL 2002-4, concerning reductions in emissions of oxides of nitrogen (NOx) and sulfur dioxide (SO2) in relation to GS 143-215.107D and related reports, reports on issues related to monitor mercury emissions from coal-fired generating units and studying issues related to the implementation of plans to control emission of CO2, evaluating technologies, and estimating costs of alternative strategies. Repeals GS 143-215.108(g) (requiring any person who is required to hold a permit under this section to submit a written description of current and projected plans to reduce the emission of air contaminants under such permit by source reduction or recycling). 

Clarifying changes to statutes pertaining to the management of venomous snakes and other reptiles

Amends GS 14-419 to require a museum or zoo that finds a seized reptile is a venomous reptile, large constricting snake, or crocodilian regulated under the Article to determine the final disposition of the reptile in a manner consistent with public safety, which in the case of a venomous reptile for which antivenin approved by the US Food and Drug Administration (was, antivenin) is not readily available, the reptile must be euthanized unless the species is protected under the federal Endangered Species Act of 1973 (was, may include euthanasia).

Reform on-site wastewater regulation

Amends GS 130A-334 to add and define the term ground absorption system. Amends the definition of plat to provide that it also means, for subdivision lots approved by the local planning authority, if a local planing authority exists at the time of application for a permit under this Article, a copy of the subdivision plat that has been recorded with the county register of deeds and is accompanied by a site plan that is drawn to scale. Amends the term wastewater system to include a ground absorption system. Adds that a wastewater system located on multiple adjoining lots or tracts of land under common ownership or control must be considered a single system for purposes of permitting under this Article. 

Amends GS 130A-335 to require the local health department, following the preconstruction conference, to advise the owner or developer of any rule changes for wastewater system construction that incorporates current technology that can reasonably be expected to improve the system's performance. Requires the local health department to issue a revised authorization for wastewater system construction incorporating the rule change, upon request.

Amends GS 130A-336 to remove the five-year limit on the authorization for wastewater system construction.

Repeal waste management board rules

Requires the Secretary of Environment and Natural Resources to repeal 15A NCAC Chapter 14 (Governor's Waste Management Board) on or before December 1, 2014.  Prohibits implementing the rule until the effective date of the repeal.

Repeal energy audit requirements

Amends GS 143-64.12 to require state agencies and state institutions of higher learning to update their utility management plan biennially instead of annually. Also requires each community college to submit written reports of utility consumption and costs biennially instead of annually. Deletes the requirement that the Department of Administration (DOA) develop an energy audit and procedure for conducting energy audits, as well as provisions for conducting the audits and reporting on the audits. Deletes the provision allowing DOA to adopt architectural and engineering standards to implement the statute. Requires the State Energy Office to report by December 1 of every odd-numbered year (was, every year) to the Joint Legislative Energy Policy Commission (was, Joint Legislative Commission on Governmental Operations) on the program to manage energy, water, and other utility use for state agencies and state institutions of higher learning.

Well contractor licensing changes

Amends GS 87-43.1 to exclude from the Article (electrical contractors) the installation, construction, maintenance, or repair of electrical wiring, devices, appliances, or equipment by a person certified as a well contractor under GS Chapter 87, Article 7A, when running electrical wires from the well pump to the pressure switch.

Amends GS 87-98.6 to require the Well Contractors Certification Commission, with the Secretary's assistance, to establish minimum requirements of education, experience, and knowledge for each type of certification for well contractors for specified activities. The developed requirements apply only to the initial certification of an applicant and are not required as part of continuing education or as a condition of certification renewal.

Standardize local well programs

Amends GS 87-97 to require local well programs to use the standard forms created by the Department for all required submittals and prohibits creating their own form unless the local program petitions the EMC for rule making and the EMC finds that circumstances unique to the area served by the program constitute a threat to public health that will be mitigated by the use of a local form. Requires that the registry of private drinking water wells maintained by local health departments be searchable by addresses served by the well.

Prohibits DENR and any local well program from requiring that well contractor identification plates include the well construction permit numbers. Allows local well programs to install a plate with the permit number or other relevant information at the program's expense. Requires the EMC to adopt a rule consistent with these provisions. 

Prohibits the local well program from requiring the contractor to be on-site during the predrill inspection if the contractor is available by phone when the well location marked on the map submitted with the application is also marked with a stake on the property.

Senator Jean Preston marine shellfish sanctuary

Requires the Division of Marine Fisheries (DMF) of the Department of Environment and Natural Resources (DENR) to designate a contiguous area of appropriate acreage in the Pamlico Sound as a recommendation to the Environmental Review Commission (ERC) for establishing the Senator Jean Preston Marine Shellfish Sanctuary. Also requires DMF to create a plan for managing the sanctuary that includes components concerning specified issues related to the location and duration of the sanctuary, administration of the sanctuary, funding, commercial fisherman relief including free or discounted leases to fishermen meeting specified conditions, and recommendations for statutory or regulatory changes needed to expedite the expansion of shellfish restoration and harvesting. Requires DENR to report to the ERC on implementation no later than December 1, 2014, and quarterly thereafter until the final plan is submitted.

Clarify gravel under stormwater laws

Amends GS 143-214.7(b2) to remove gravel from those items excluded from the term built-upon area. Also provides that the term does not include a slatted deck (was, a wooden slatted deck). Applies to projects for which permit applications are received on or after the date that the act becomes law. Requires the Environmental Management Commission (EMC) to amend its rules to be consistent with this definition of built-upon area.

Provides that the EMC and the Department of Environment and Natural Resources (DENR), unless authorized by the General Assembly, do not have the authority to define gravel for purposes of implementing stormwater programs. Any rule adopted by the EMC or DENR defining gravel for purposes of implemeting stormwater programs is not and will not become effective.

Requires the Department of Biological and Agricultural Engineering at NC State University to study the extent to which different aggregate surfaces are pervious, impervious, or partially pervious. Specifies issues that must be included in the study. Requires an interim report to DENR and the Environmental Review Commission no later than September 1, 2014, and requires a final report no later than January 1, 2015. Requires DENR to use $110,000, of the funds available to DENR for 2013-15 to contract with the Department of Biological and Agricultural Engineering at NC State University to conduct the study.

US Postal Service cluster box units/no stormwater permit modification required

Provides that the addition of a cluster box unit to a single family or duplex development permitted by a local government does not require a modification to any stormwater permit for that development. Only applies when the individual curbside mailboxes are replaced with cluster box units whereupon the associated built-upon area supporting the cluster box units are considered incidental and are not required in the calculation of built-upon area for the development for stormwater permitting purposes. Effective when the act becomes law and expires December 31, 2015, or when regulations on cluster box design and placement by the US Postal Service become effective and those regulations are adopted by local governments, whichever is earlier.

Modifications of approved wastewater systems

Requires the Commission for Public Health to adopt a rule amending 15A NCAC 18A .1969(j) so that the rule is implemented so as to not require a survey or audit of installed modified systems in order to confirm the satisfactory preform of those systems. The provisions expire on the date that the adopted rules become effective. Exempts the rules from Part 3 of Article 2A of GS Chapter 150B and provides that the rules become effective as though 10 or more written objections had been received. Requires that the current rule be implemented as provided in these provisions until the effective date of the revised rule.

Capstone permitting

Amends GS 150B-23 to add that where multiple licenses are required from an agency for a single activity, the agency's chief administrative officer may issue a written determination that the decision reviewable under Article 3 of GS Chapter 150B occurs on the date the last license for the activity is issued, denied, or otherwise disposed of. Any licenses issued for the activity before the date of the last license identified in the written determination are not reviewable until the last license for the activity is disposed of.

Severability clause and effective date

Adds a severability clause.

Except as otherwise provided, the act is effective when it becomes law.