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

Adds control and custody of a digital asset to the definitions provisions of the Digital Asset Financial Act (new Article 26 of GS Chapter 53) and the NC Stablecoin Act (new Article 27 of GS Chapter 53).

Makes the following further changes to the Digital Asset Financial Act. Modifies defined term digital asset custody services so that it now includes safekeeping, administration, or control of digital assets (was, digital assets and any associated cryptographic key), now described as including (1) holding, controlling, or maintaining access to private keys necessary to transfer, encumber, or otherwise exercise control over digital assets belonging to or benefiting a customer; (2) maintaining digital assets in an omnibus, pooled, or segregated  account structure on behalf of one or more customers; and (3) exercising control over digital assets through any technical protocol, smart contract, multi-signature arrangement, or contractual mechanism that functionally restricts or directs the disposition of a customer's digital assets. Sets five-day deadline from receiving the audit results for financial institution to provide the results of its annual independent audit of its custodial holdings and activities to the regulating authority (was, financial institution had to do so promptly) in GS 53-442. Removes licensed money transmitters as one of the entities that may serve as a subcustodian of digital assets under GS 53-443. Adds a trust company or other company authorized under Article 24 of GS Chapter 53. Makes technical corrections. Narrows the types of counterparties a financial institution can facilitate digital transactions with under GS 53-445 (digital transaction services) to those who are authorized to do so under new Article 26 or other state or federal law). Clarifies that the regulating authority (either the Commissioner of Banks if it’s a state-chartered bank or the Administrator of Credit Units if it’s a state-organized credit union) has the powers under GS Chapter 53C (regulation of banks) and GS Chapter 54 (cooperative organizations in addition to those set forth in new GS 53-450 (enforcement and supervisory authority under new Article 26). Removes authority to issue corrective action orders. Now requires a financial institution to request a hearing on a temporary restraining order within ten days after the order issues (was, just provided for a hearing to be held within that time). Requires hearing to be held within ten days of the request. Makes conforming change.

Removes the dollar amounts required to trigger the notice provisions for digital assets presumed abandoned under GS 116B-59 (notice by holders to apparent owners) that were based on property type, now setting one value of $25 or more trigger. Limits use of electronic delivery of that notice only to when the digital asset holder uses electronic communications in the regular course of business. Requires holder to maintain a record of how notice was delivered. Lowers the dollar amount triggering a holder of abandoned property’s report obligations under GS 116B-60 from $50 to $25 and includes any amounts due to an apparent owner of: (1) a security or other equity interest in a business association; (2) debt of a business association; (3) any dividend, profit, distribution, interest, redemption, payment on principal, cash compensation (including amounts from a demutualized insurance company), or other sum held or owing by a business association for or to shareholders and other security holders; and (4) digital assets. Makes conforming changes.  Removes requirement that a digital asset holder notify the State Treasurer if it is holding digital assets and does not have the necessary private key or is otherwise unable to transfer the digital assets to the qualified custodian in new GS 116B-61.1 (delivery of abandoned digital assets). Specifies that if that holder later transfers the asset to the Treasurer is has to report the digital asset in subsequent reports. Provides immunity to the Treasurer for any loss, income, or gain for digital assets liquidated. Narrows a digital asset holder’s immunity under new GS 116B-61.1 to the digital assets delivered or proceeds paid, in accordance with GS 116B-63. Enacts GS 116B-61.2 (staking of unclaimed digital assets), authorizing the Treasurer to stake unclaimed digital assets on one or more blockchain networks so long as the two specified conditions are met. Specifies that all rewards or other benefits earned from staking accrue to the benefit of the State.

Amends GS 116B-65 to no longer prohibit the sale of digital assets delivered to the Treasurer before the holding period expires. Also no longer specifies that nothing in the statute requires the Treasurer to liquidate digital assets upon the conclusion of the three-year holding period.

Exempts digital assets under new Article 26 from the Revised Uniform Fiduciary Access to Digital Assets Act (GS Chapter 36F). Makes technical and conforming changes to the act’s provisions pertaining to start-date for reporting or delivery of abandoned digital assets.  

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

Makes technical changes to GS 105-278.6 (charitable use exemption from real and personal property taxes). Defines public agency (state, county, municipal, housing authority, and federal agencies or departments overseeing the described government-sponsored affordable rental housing) in new GS 105-278.7A. Modifies the U.S. Department of Housing and Urban Development publication date on median income and family size referenced in income limit.

Modifies the exemption for government supported affordable rental housing as follows. Now describes the required agreement between a public agency and the owner which requires that the property receiving public financing support be operated as affordable housing for fifteen years as a “regulatory agreement” (was, “agreement”). Requires that deed restrictions or regulatory agreement accompanying any support for financing affordable rental housing in a locality by a municipality, county, or housing authority must be recorded with the register of deeds in the county where the property is located. Specifies that the rights under those instruments endure for the full term of the agreement and are not defeasible without the government’s written agreement.

Modifies the exemption for non-government supported affordable rental housing as follows. Defines “100% owned” when describing the ownership and operation of a nonprofit corporation that has owned and operated affordable housing for at least five years as follows. Either the nonprofit is the sole record owner of the property or if title is held by a single-purpose entity, the eligible nonprofit corporation, either directly or through one or more wholly-owned disregarded entities, solely owns 100% of the legal and equitable ownership interest in the title-holding entity as specified. Removes the one-year transition period pertaining to the exemption amount. Now requires that an eligible owner receiving an exemption under the statute reapply every year, as described (was, certify eligibility for the exemption annually). Specifies that property ineligible for the exemption under new GS 105-278.7A because it has been designated a special class under GS 105-277.16 can now qualify for the exemption if a new Low-Income Housing Credit Allocation and Certification has been awarded for newly financed improvements at the property and separately applied for and qualified under GS105-278.7A.

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

Part I.

Allows a person who completes the career-ready lead teacher academy to receive either a North Carolina Early Childhood Credential or a Provisional NC Early Childhood Credential (was, only a North Carolina Early Childhood Credential) that will enable the student to begin working as either a lead teacher or group leader (was, begin teaching) in a licensed child care program immediately upon graduation. Clarifies that the family child care homes must be licensed. Changes the name of the Credential from the Provisional Early Childhood Care Credential to the Provisional Early Childhood Credential and no longer requires completion of a series of micro credentials demonstrating competency in required child care health and safety trainings in order to qualify for the credential. Instead of working on the micro credentials, now requires the North Carolina Community Colleges System, Department of Public Instruction, North Carolina Center for Afterschool programs, and the Department of Health and Human Services, Division of Child Development and Early Education, to collaborate to ensure that the required child care health and safety trainings are embedded in each of the required courses so that individuals working to obtain the credentials have access to the required trainings through structured micro credentials; sets a deadline of March 31, 2027. Specifies that persons seeking the North Carolina Early Childhood Credential must have obtained a high school diploma or its equivalent. Makes additional clarifying changes.

Part III.

Amends the proposed changes to GS 110-91 as follows. Allows a licensed child care center to use the combined education and work experience of two staff persons to meet the requirements for the Level II and Level III certificate or designation for the NC Early Childhood Administration Credential certificate (was, for the Level II or Level III administrator designation) and amends qualifications to now require the following: (1) one individual must complete EDU 261 and 262 or the equivalent, or hold an associates degree or higher in business administration or a related field, or have at least two years of verifiable business or administrative work experience and (2) one individual must (a) hold an associates degree or bachelors of science degree in early childhood education or child development; (b) be responsible for the center’s curriculum, program delivery, and compliance practices; and (c) must be physically onsite for at least the minimum number of hours required by the child care staffing requirements. Allows any individual, not just a child care center administrator, to earn the minimum mandatory North Carolian Early Childhood Administration Credential without completing the specified coursework when the individual has the listed degree or work experience.

Part V.

Amends Section 9D.5 of SL 2023-134 by amending the bidding practices for the North Carolina Partnership for Children, Inc., and all local partnerships when contracting for goods and services to now require for amounts of $25,000 or more, but less than $40,000 (was, $25,000 or more in previous edition), a request for proposal process with solicitation in appropriate venues, including, but not limited to, websites, major newspaper portals, or other options to ensure a strong competitive process.

House committee substitute to the 2nd edition makes the following changes.

Part V.

Amends GS 143-129 by reverting back the amount of construction or repair work that triggers the requirements under the statute for letting of public contracts so that it is an expenditure of public money in an amount equal to more than $500,000 (previous edition had increased this amount to $1.5 million); retains the changes that apply to contracts for construction or repair work for the University of North Carolina.