TO FACILITATE THE IDENTIFICATION OF SURPLUS STATE OWNED REAL PROPERTY; TO REQUIRE THAT THE OWNERSHIP OF THAT PROPERTY BE TRANSFERRED TO THE TEACHERS' AND STATE EMPLOYEES' RETIREMENT SYSTEM; TO REQUIRE THE STATE TREASURER TO MANAGE THAT PROPERTY FOR THE BENEFIT OF THE STATE RETIREMENT SYSTEM; AND TO MAKE CONFORMING CHANGES TO THE GENERAL STATUTES.
Enacts new GS 143-341(4)e1. adding the power to identify and dispose of surplus state-owned real property to the Department of Administration’s (Department) list of powers and duties.
Enacts new Article 19, Surplus State-Owned Real Property, providing for the identification and management of surplus state-owned real property. Defines surplus state-owned real property as real property with title vested in the state that is unused or underused and no longer needed for state purposes. Directs the Department to continuously review the current uses of state-owned real property (property) to determine whether the property is surplus. Directs the Department to conduct the required review at least every two years for every piece of property with an appraised value of at least $25,000. Lists nine factors for the Department to consider when determining whether the property is surplus. Specifies that the review of property will not be based solely on qualitative or categorical information, but will also include quantitative data. Instructs the Department to report the determination that a piece of property is surplus to specified entities, and to include a statement that the property will be disposed as required. Details the timeline for transferring surplus property and the effect of a bill disapproving the transfer. Transfers title to the surplus property to the Teachers’ and State Employees’ Retirement System (Retirement System), effective on the property’s transfer date. Specifies that the conveyance will not require approval by the Governor and Council of State. States that the transferred property becomes an asset of the Retirement System within the meaning of Section 6 of Article V of the NC Constitution, and any net proceeds derived from the sale, lease, or other disposition remain funds of the Retirement System. Requires the State Treasurer to manage transferred property, as detailed. Directs the Department to sell, lease, or rent transferred property in a manner similar to other state-owned real property, except as detailed. Specifies that the net proceeds, as defined, of any disposition of transferred property are appropriated in the following priority: (1) in accordance with any trust or other instrument of title under which title to the property was acquired and (2) the remainder remitted to the State Treasurer to be deposited in the Retirement System. Requires state agencies to provide the Department any applicable information, as requested. Instructs the Department to report in writing on a quarterly basis to specified entities, including two types of detailed information. Explains restrictions on property disposition.
Enacts new GS 147-86.3, directing the State Treasurer to determine whether any disposition of transferred property is in the best interest, as defined, of the Retirement System, and to identify the best type of disposition. Includes additional provisions related to disposition of transferred property.
Effective October 1, 2011.