House committee substitute, with amendments from the House Finance Committee engrossed, makes the following changes.

PARTS I-XXIX: RESERVED

PART XXX: CAPITAL PROJECTS

UNC NON-GENERAL FUND CAPITAL PROJECTS
SECTION 30.7. Authorizes the planning or construction by certain constituent institutions of The University of North Carolina of the following capital improvement projects, financed by specified funds, revenue bonds, or certain special obligation bonds, as detailed. Allows the Governor to authorize an increase or decrease in the cost of funding, or a change in the method of funding. Effective when the act becomes law.

Appalachian State University
Winkler Residence Hall Renovation $ 11,805,000

East Carolina University
Athletic Facilities Expansion and Improvement – Phase 4
Auxiliary Practice Gymnasium 15,000,000

Fayetteville State University
Rudolph Jones Student Center Expansion and Renovation 23,289,021

North Carolina A&T State University
New Health Center 10,000,000

North Carolina Central University
Chidley Residence Hall Expansion and Renovation 41,193,000

North Carolina State University
Centennial Campus Housing Complex 129,000,000
Lee Residence Hall and Sullivan Residence Hall 6,000,000

The University of North Carolina at Chapel Hill
Carolina Inn Renovation – Phase 2 9,000,000
Woollen Gymnasium Renovation – Phase 2 2,650,000

The University of North Carolina at Charlotte
New Residence Hall – Phase X 31,045,802
New Residence Hall – Phase XI 40,837,005
Residence Dining Hall Replacement 29,176,738
Parking Deck J 27,418,000

The University of North Carolina at Greensboro
Student Recreation Center 91,000,000
Tower Village II Residence Hall Acquisition 34,500,000
Campus Police Building 10,030,000
Village Parking Deck 10,877,000

The University of North Carolina at Pembroke
Student Health Services Comprehensive Renovation and Addition 3,950,000

Western Carolina University
Walker Residence Hall Expansion and Renovation 17,289,000

The University of North Carolina at Chapel Hill
Mary Ellen Jones Renovation – Phase 1 4,000,000
Research Building at Carolina North 6,000,000

The University of North Carolina at Charlotte
New Residence Hall – Phase XII 3,840,741
Cedar, Hickory, and Sycamore Residence Halls Renovation 750,000

PART XXXI: FEES

EDUCATION/DRIVER EDUCATION REFORM
SECTION 31.1. Amends GS 115C-215.1 to provide for a standardized driver education program, administered by the Department of Public Instruction. Expands eligibility to home school students. Adds requirement for one hour of motorcycle safety awareness training. Adds requirement that State Board of Education establish and implement a strategic plan for this program and specifies minimum elements of that plan. Requires local boards of education to offer noncredit courses using standardized curriculum provided by the Department of Public Instruction. Allows local boards of education to charge fee of up to $75 for the course. Repeals GS 115C-215, recodifies portions of GS 20-88.1 and makes other conforming amendments.

EDUCATION/STATE BOARD AUTHORITY TO ESTABLISH GED TESTING FEES
SECTION 31.2. Amends GS 115D-5(s) to clarify that the State Board of Community Colleges may establish fees for General Education Development retesting.

EDUCATION/NORTH CAROLINA VIRTUAL PUBLIC SCHOOLS ALLOTMENT FORMULA
SECTION 31.3. Directs the State Board of Education to implement an allotment formula for the North Carolina Virtual Public Schools (NCVPS) beginning with the 2011-12 school year. Provides that only funds provided through this allotment formula may be used to fund NCVPS. Specifies the allotment formula. Provides that the NCVPS program is to be provided at no cost to all NC students enrolled in public schools and schools operated by the Department of Defense and the Bureau of Indian Affairs. Limits courses offered to high school courses and excludes any courses in physical education. Requires State Board of Education to establish a per student fee structure for out-of-state, private school, and home school students and requires that NCVPS provide online enrollment process for these students beginning with the 2012-13 school year. Requires NCVPS to develop and submit to the State Board of Education by September 15, 2011 a plan for revenue from sale of courses to out-of-state educational entities. Provides for consolidation of all e-learning opportunities offered by state-funded entities other than charter schools and alignment of these courses with the standard course of study. Caps administration costs at 15% per year of funds transferred to NCVPS.

NER/COMMERCE/SET REGULATORY FEES FOR UTILITIES COMMISSION
SECTION 31.4. Sets public utility regulatory fee under GS 62-302(b)(2) at 0.12% of jurisdictional revenues earned during each quarter that begins on or after July 1, 2011. Sets the electric membership corporation regulatory fee under GS 62-302(b1) at $200,000 for the 2011-12 fiscal year. Effective July 1, 2011.

NER/AGRICULTURE/INCREASE FEES FOR PET SHOPS, AUCTIONS, KENNELS, AND DEALERS
SECTION 31.5. Amends GS 19A-27, 19A-28, and 19A-29 to increase from $50 to $75 the costs of licenses to operate pet shops, public auction and boarding kennels, and dealers respectively.

NER/AGRICULTURE/REPEAL BOARD OF AGRICULTURE REVIEW OF FEE SCHEDULES
SECTION 31.6. Repeals GS 106-6.1(b), which required biennial fee reports.

NER/AGRICULTURE/FEES FOR OUT-OF-STATE SOIL TESTS AND EXPEDITED SOIL TESTS
SECTION 31.7. Amends GS 106-22(17) to allow for out-of-state soil tests and expedited soil tests and provides that fees for these tests must be no less than $5 and $100 respectively.

NER/AGRICULTURE/TECHNICAL CORRECTIONS REGARDING COMMERCIAL FERTILIZER INSPECTION FEE AND PESTICIDE TECHNICIAN IDENTIFICATION CARD RENEWAL FEE
SECTION 31.8. Amends GS 106-671(b) to increase commercial fertilizer inspection fee from 25¢ to 50¢ per ton. Amends GS 106-65.31(b1) to increase pesticide technician annual renewal fee from $25 to $40.

NER/AGRICULTURE/INCREASE AGRICULTURAL LIMING MATERIALS TONNAGE FEES
SECTION 31.9. Amends GS 106-92.8 to increase fees for agricultural liming materials and landplaster from 10¢ to 50¢ per ton.

NER/AGRICULTURE/INCREASE ANTIFREEZE DISTRIBUTION REGISTRATION FEE
SECTION 31.10. Amends GS 106-579.4 to increase the license and inspection fee for each brand of antifreeze from $250 to $500.

NER/ENVIRONMENT/REDUCE PORTION OF CERTIFICATE OF TITLE FEES CREDITED TO MERCURY SWITCH REMOVAL ACCOUNT
SECTION 31.11 Amends GS 20-85(a1) to reduce from $1 to 50¢ of the amount collected for each specified motor vehicle certificate of title and registration fee that is transferred to the Department of Environment and Natural Resources for the Mercury Switch Removal Account.

NER/ENVIRONMENT/DIVERT SCRAP TIRE TAX PROCEEDS TO GENERAL FUND
SECTION 31.12. Effective for the taxes levied during the 2011-12 fiscal year, provides that the 17% of the net Scrap Tire Disposal Tax proceeds previously mandated by GS 105-187.19(b) to be deposited to the Scrap Tire Disposal Account be deposited instead to the General Fund.

NER/ENVIRONMENT/DIVERT WHITE GOODS TAX PROCEEDS TO GENERAL FUND
SECTION 31.13. Effective for the taxes levied during the 2011-12 fiscal year, provides that the 20% of the net White Goods Disposal Tax proceeds previously mandated by GS 105-187.24 to be deposited to the White Goods Management Account be deposited instead to the General Fund.

NER/ENVIRONMENT/STUDY FOOD AND LODGING FEES AND THEIR DISTRIBUTION BETWEEN THE STATE PROGRAM AND THE LOCALS PROGRAMS
SECTION 31.14. Directs the Fiscal Research Division to study the administration and financing of the state’s food, lodging, and institution sanitation programs and rules, and to report to specified entities by May 1, 2012.

NER/ENVIRONMENT/ADDITIONAL USES OF HAZARDOUS WASTE FEES
SECTION 31.15. Amends GS 130A-294.1(b) to allow hazardous waste fees to be used to provide oversight of response activities for inactive hazardous substance or waste disposal sites, and to provide compliance and prevention activities to prevent disposal of hazardous wastes in solid waste management facilities.

NER/LABOR/REPEAL STATUTE REQUIRING BIENNIAL REVIEW OF FEES BY DEPARTMENT
SECTION 31.16. Repeals GS 95-14.1, which requires Department of Labor biennial review of fees.

NER/NATURAL RESOURCES/DIVERT PORTION OF DEED STAMP TAX REVENUE SOURCE FOR NATURAL HERITAGE TRUST FUND
SECTION 31.17. Effective for taxes levied during 2011-12, provides that $8 million of the funds previously mandated by GS 105-228.30(b) and 113-77.9 to be deposited to the Natural Heritage Trust Fund be deposited to the General Fund instead.

NER/NATURAL RESOURCES/PARKS AND RECREATION TRUST FUND; ALLOCATION OF DEED STAMP TAX PROCEEDS CREDITED TO FUND
SECTION 31.18. Effective for taxes levied during 2011-12, provides for the following allocation of funds in the Parks and Recreation Trust Fund: (1) $6 million for operating expenses of the Division of Parks and Recreation in the Department of Environment and Natural Resources; (2) up to $8 million for state parks capital projects; (3) up to $4.23 million for grants to local governments; and (4) up to $750,000 for the Coastal and Estuarine Water Beach Access Program. Provides that any funds in this Trust Fund in excess of the above amounts during the 2011-12 fiscal year shall be used according to GS 113-44.15(b).

NER/NATURAL RESOURCES/DIVERT PORTION OF DEED STAMP TAX REVENUE SOURCE FOR PARKS AND RECREATION TRUST FUND
SECTION 31.19. Effective for taxes levied during 2011-12, provides that $8.435 million of the funds previously mandated by GS 105-228.30 and 113-44.15 to be deposited to the Parks and Recreation Trust Fund be deposited to the General Fund instead.

NER/NATURAL RESOURCES/NEW FUNDING SOURCE FOR WILDLIFE RESOURCE COMMISSION OPERATING BUDGET
SECTION 31.20. Effective for the 2011-12 fiscal year, directs the Office of State Budget and Management, State Controller, and the Wildlife Commission to jointly effectuate the transition from the Commission receiving sales tax proceeds to General Fund appropriations of $18.5 million for the operating budget of the Wildlife Resources Commission. Repeals GS 105-164.44B.

NER/NATURAL RESOURCES/REPEAL DENR REVIEW OF FEE SCHEDULES
SECTION 31.21. Repeals GS 143B-279.2(4), which requires the Department of Environment and Natural Resources to review and make recommendations about all fees charged in programs under its authority.

NER/NATURAL RESOURCES/NO NEW FEES FOR PARKING IN STATE PARKS
SECTION 31.22. Prohibits any increase in fees for parking in state parks over the amounts charged in fiscal year 2011-12.

JPS/AOC/INCREASE CERTAIN COURT COSTS
SECTION 31.23.(a) Rewrites GS 7A-304(a)(4) to increase the General Court of Justice fee in criminal cases from $100.50 to $124.50 for cases in district court, and from $102.50 to $154.50 for cases in superior court, and decrease from $2.05 to $1.00 the portion of each fee remitted to the N.C. State Bar for the provision of legal services under GS 7A-474.4.
SECTION 31.23.(b) Rewrites GS 7A-305(a)(2) to increase the General Court of Justice fee in civil cases from $125.00 to $180.00 for cases in superior court; from $80.00 to $130.00 for cases in district court; and from $55.00 to $80.00 for cases assigned to magistrates. Reduces from $2.05 to $1.00 the portion of each fee remitted to the N.C. State Bar for the provision of legal services under GS 7A-474.4. Adds new GS 7A-305(a5) providing for the assessment of additional fees for every civil action, except domestic violence actions under GS Chapter 50B, in which a party files a counterclaim or cross-claim, as follows:
• facilities fee of $12.00 for cases heard by a magistrate and $16.00 for cases in district and superior court, to be paid to the municipality or county providing court facilities;
• $4.00 in each case for upgrade, maintenance and operation of judicial and county courthouse phone systems;
• for support of the General Court of Justice, $180.00 for cases in superior court and an additional $1,000.00 if a case is assigned as a complex business case; $130.00 for cases in district court, except $80.00 if the case is assigned to a magistrate. Directs that $1.95 of each fee be remitted to the State Bar for legal services described in GS 7A-474.4 ($1.00) and GS 7A-474.19 ($.95).
Adds new GS 7A-305(f), providing for a fee of $20.00 for any motion filed with the clerk that is not listed in GS 7A-308 (miscellaneous fees and commissions).
SECTION 31.23.(c) Rewrites GS 7A-306(a)(2) to increase the General Court of Justice fee in special proceedings from $75.00 to $106.00, and to decrease from $2.05 to $1.00 the portion of each fee remitted to the N.C. State Bar for the provision of legal services under GS 7A-474.4. Adds new GS 7A-306(g) providing for a General Court of Justice fee of $20.00 for any motion filed in a special proceeding that is not listed in GS 7A-308 (miscellaneous fees and commissions).
SECTION 31.23.(d) Rewrites GS 7A-307(a)(2) to increase the General Court of Justice fee in estate matters from $75.00 to $106.00, and to decrease from $2.05 to $1.00 the portion of each fee remitted to the N.C. State Bar for the provision of legal services under GS 7A-474.4. Adds new GS 7A-307(a)(4) providing for a General Court of Justice fee of $20.00 for any motion filed in an estate matter that is not listed in GS 7A-308 (miscellaneous fees and commissions).
SECTION 31.23.(e) Rewrites GS 7A-308(a) to increase from $150.00 to $300.00 the fee for foreclosure under power of sale in deed of trust or mortgage, and to add a fee of $15.00 in civil matters for all alias and pluries summons issued and all endorsements issued on an original summons.
SECTION 31.23.(f) Repeals GS 7A-34.1, which provides that cover sheets are not required for papers filed in civil actions after the initial filing if the subsequent filing contains specified information.

JPS/AOC/COMMUNITY MEDIATION CENTERS/WORTHLESS CHECK PROGRAMS
SECTION 31.24.(a) Adds new GS 14-107.2(b1) providing that a community mediation center may establish and charge fees for services in the collection of worthless checks as part of a mediation program and may assist the Administrative Office of the Courts and district attorneys establish worthless check programs in any districts in which such programs have not been established.
SECTION 31.24.(b) Rewrites GS 71-38.5(a) (clearly intends to amend GS 7A-38.5(a)) to provide that a community mediation center may establish and charge fees for its services.
SECTION 31.24.(c) Rewrites GS 7A-38.6(a) to require all community mediation centers, regardless of whether they receive state funds, to report annually to the Mediation Network of North Carolina on their funding and activities.
SECTION 31.24.(d) Rewrites GS 7A-38.7 to provide that the $60.00 mediation fee required by that provision be used to support services of community mediation centers and the Mediation Network of North Carolina (rather than the General Court of Justice); provide that the clerk remit the fees to the Mediation Network; authorize the Network to retain up to $3.00 of each fee for administrative expenses; and require that the remainder be remitted to the community mediation center that mediated the case.

JPS/AOC/INCREASE INTERSTATE COMPACT FEE
SECTION 31.25. Rewrites GS 148-65.7(a) to increase from $150.00 to $250.00 the transfer application fee required of someone who has been convicted in this state and requests transfer to another state.

JPS/AOC/CONTINGENT COURT COST INCREASES FOR COUNTIES
SECTION 31.26.(a) Contingent on the enactment of House Bill 642, or other legislation that requires confinement of a misdemeanant with a period of confinement of six months or less to be in a local facility, rewrites GS 7A-304(a)(2) to increase the facilities fee for criminal cases in district court from $12.00 to $30.00.
SECTION 31.26.(b) Contingent on the enactment of House Bill 642, or other legislation that requires confinement of a misdemeanant with a period of confinement of six months or less to be in a local facility, adds new GS 7A-304(a)(4b) to add a fee of $50.00 to the costs in cases under GS Chapter 20 resulting in a conviction of an improper equipment offense, to be remitted to the Department of Correction for contractual services to reduce county jail populations.
SECTION 31.26.(c) Contingent on the enactment of House Bill 642, or other legislation that requires confinement of a misdemeanant with a period of confinement of six months or less to be in a local facility, rewrites GS 7A-311(a)(1)a. to increase the civil process fee from $15.00 to $30.00.
SECTION 31.26.(d) Contingent on the enactment of House Bill 642, or other legislation that requires confinement of a misdemeanant with a period of confinement of six months or less to be in a local facility, rewrites GS 7A-313 to increase the daily jail fee from $5.00 to $10.00.
SECTION 31.26.(e) Contingent on the enactment of House Bill 642, or other legislation that requires confinement of a misdemeanant with a period of confinement of six months or less to be in a local facility, rewrites GS 153A-225(a) to increase from $10.00 to $20.00 the amount a local confinement facility may charge for the provision of nonemergency medical care for prisoners.

GENGOV/INS/SET INSURANCE REGULATORY CHARGE
SECTION 31.27(a) Provides that the percentage rate to be used to calculate the insurance regulatory charge under GS 58-6-25 is 6% for the 2011 calendar year.
SECTION 31.27(b) Makes the provision effective when it becomes law.

IT/INFORMATION TECHNOLOGY FUND/AVAILABILITY
SECTION 31.28.(a) Sets amounts available to support appropriations from the Information Technology Fund and appropriates funds from the Fund for fiscal years 2011-12 and 2012-13 as follows.

FY 2011 2012 FY 2012 2013

Appropriation from General Fund $4,458,142 $6,158,142
Interest $ 100,000 $ 100,000
IT Fund Balance June 30 $2,454,934 $1,227,467
Total Funds Available $7,013,076 $7,485,609

Appropriations are made from the Information Technology Fund for the 2011 2013 fiscal biennium as follows:
FY 2011 2012 FY 2012 2013
Information Technology Operations
Center for Geographic Information and Analysis $ 599,347 $ 599,347
Enterprise Security Risk Management $1,064,148 $1,064,148
Enterprise Project Management Office $1,673,285 $1,673,285
Architecture and Engineering $ 648,000 $ 648,000
Criminal Justice Information Network $ 166,422 $ 166,422
Statewide IT Procurement $0 $0
ITS Overhead Reduction ($91,486) ($91,486)
Subtotal Information Technology Operations $4,059,716 $4,059,716
Information Technology Projects
State Portal $0 $0
IT Consolidation $1,320,893 $ 820,893
Transfer to OSC for Data Integration $ 100,000 $ 100,000
Subtotal Information Technology Projects $1,420,893 $ 920,893
Data Integration License Funding Transfer to State Agencies $ 200,000 $2,400,000
Position Transfer to Office of State Budget and Management $ 105,000 $ 105,000
Total $5,785,609 $7,485,609

SECTION 31.28.(b) Provides that statewide information technology procurement will be funded through a fee charged to agencies using the services, and directs the Office of the State Chief Information Officer to provide a fee schedule to allow cost recovery to the Office of State Budget and Management.
SECTION 31.28.(c) Requires that by September 1 of each year, data integration funding in the Information Technology Fund be transferred to state agencies in proportion to their use of data integration licenses at that point. Directs the State Chief Information Officer to report by September 2 of each year on the status of the transfers. Provides that any licensing requirements after the 2011-13 fiscal biennium are the responsibility of the participating agency, and requires the State Chief Information Officer to notify affected agencies of this requirement by September 1, 2011, and to report on that notification by September 2, 2011.
SECTION 31.28(d). Makes the section effective when it becomes law.

TRANSPORTATION/DIVISION OF MOTOR VEHICLES BULK DATA
SECTION 31.29.(a) Adds new GS 20-43.1(e) providing that the Division of Motor Vehicles may provide copies of partial crash report data collected under GS 20-166.1, partial driver license data kept pursuant to GS 20-26(a), and partial vehicle registration application data collected pursuant to GS 20-52, in bulk form to persons or entities for non-official uses, upon payment of a fee of 3 cents per individual record. Prohibits the furnishing of such data except upon execution by the recipient of a written agreement to comply with the Driver’s Privacy Protection Act of 1994, as amended, 18 U.S.C. 2721, et seq. Provides that the information released is not a public record under GS Chapter 132.

TRANSPORTATION/FERRY DIVISION TOLLING ON ALL ROUTES
SECTION 31.30.(a) Rewrites GS 136-82, effective April 1, 2012, to require that all ferry routes be tolled in an amount established by the Board of Transportation.
SECTION 31.30.(b) Requires the Board of Transportation to toll all ferry routes no later than April 1, 2012, but encourages it to do so before that date. Requires the Board, in setting tolls for ferry routes, to consider the needs of commuters and other frequent passengers.

PART XXXI-A: EFFECTIVE DATE
SECTION 31A.1. Provides that unless provided otherwise, the act becomes effective July 1, 2011.