Bill Summary for S 582 (2017-2018)

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Summary date: 

Jun 28 2017

Bill Information:

View NCGA Bill Details2017-2018 Session
Senate Bill 582 (Public) Filed Monday, April 3, 2017
Intro. by Barringer.

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Bill summary

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

Amends the long and short titles.

Deletes all provisions of the 1st edition.

Repeals GS 14-27.23(c) and GS 14-27.28(c), which authorize a court to sentence a defendant found guilty of statutory rape of a child or statutory sexual offense with a child to a greater term of months of imprisonment than is allowed under GS 15A-1340.17 in certain circumstances.

Amends GS 14-208.18(c). Further prohibits registered sex offenders from knowingly being within 300 feet ofany location intended primarily for the use, care, or supervision of minors when the place is located on premises that are not intended primarily for the use, care, or supervision of minors, when the offender has committed an offense in violation of GS 14-202.3 (Solicitation of child by computer or certain other electronic devices to commit an unlawful act).

Amends GS 14-313(d), which prohibits sending or assisting a person less than 18 years to purchase or receive tobacco products or cigarette wrapping papers. Creates an additional exception to this prohibition for the Department of Health and Human Services, when it enlists persons under the age of 18 to test compliance under 21 USC 9, Subchapter IX, under the supervision of the FDA and with parental consent. Makes clarifying and technical changes.

Amends GS 18B-1000 (Definitions concerning establishments) to definesports and entertainment venue.

Amends GS 18B-1001 (Kinds of ABC permits; places eligible). Authorizes the issuance of an on-premises malt beverage permit, an on-premises unfortified wine permit, and a mixed beverage permit to sports and entertainment venues.

Amends GS 18C-112(a). Provides that the Governor-appointed member of the NC State Lottery Commission that has at least five years' experience in law enforcement may be an elected law enforcement official.

Amends GS 28A-2B-2 (Venue). Clarifies that the venue for a petition for living probate of a will under GS 28A-2B-1 is the county in which the petitioner whose will or codicil is the subject of the petition resides (was, is domiciled).

Appears to recodify GS 39-35 as GS 31D-5-505. Amends caption of recodified GS 31D-5-505 to read Requisites of release as against creditors and purchasers for value. Deletes all references to limitations of powers of appointments. Contingent upon the enactment of H 229 from the 2017 Regular Session, directs the Revisor of Statutes to print all explanatory comments of the drafters of this section, as the Revisor deems appropriate.

Amends GS 36C-5-505 (Creditor's claim against settlor). Amends the description at GS 36C-5-505(c)(1)c. of a class of inter vivos trusts, the property of which is considered not to have been contributed by a settlor, when a beneficiary of the trust is only the settlor's spouse, or the settlor's spouse and the settlor's issue, to replace the provision that refers to the settlor's issue with a provision that refers to issue of the settlor, the settlor's spouse, or both. Directs the Revisor of Statutes to print all explanatory comments of the drafters of this section, as the Revisor deems appropriate.

Makes a technical change to GS 42A-37.

Amends GS 45-10 (Substitution of trustees in mortgages and deeds of trust). Provides that an attorney who serves as the trustee or substitute trustee shall not represent either the noteholders or the interests of the borrower while initiating a foreclosure proceeding. Makes a clarifying change.

Enacts new GS 58-3-226 (Reimbursement contracts and assignment of benefits). Defines five terms. Requires a reimbursement contract between a health care provider and an insurer or a third-party administrator to require that reimbursement shall be made directly to the health care provider for any service provided by the health care provider under the reimbursement contract and covered under the health benefit plan. Directs an insurer or third-party administrator to accept and honor a valid, completed assignment of benefits agreement that assigns the insured's reimbursement benefits to a health care provider, if there is no reimbursement contract between a health care provider and an insurer or third-party administrator. Effective October 1, 2017, and applicable to reimbursement contracts and assessment of benefit agreements entered into or amended on or after that date.

Amends GS 58-10-345(g). Deletes that the provision that applies GS 58-2-160 (Reporting and investigation of insurance and reinsurance fraud and the financial condition of licensees; immunity from liability)to investigations conducted by outside legal, financial, and audit services at the direction of the Commissioner of Insurance under that statute.

Amends GS 58-10-355 (Organizational audit). Provides that an organizational audit (was, investigation or audit) may be performed before an applicant business entity is licensed under GS Chapter 58, Article 10, Part 8 (NC Captive Insurance Act). Provides that such investigation or audit shall consist of a general review (was, general survey) of the applicant's records, as currently specified.

Amends GS 58-10-385(a). Provides that a change in a captive insurance company's executive officers or directors is deemed approved unless it is disapproved within 30 days from the completion of the Commissioner's review of the biographical affidavit.

Amends GS 58-57-90. Amends caption to read Credit property insurance; personal property coverage. Amends the definitions ofsingle interest credit propertyanddual credit property to refer topersonal property instead ofpersonal household property. Amends the definition of the termpersonal household property, renaming the termpersonal property, and including all personal property of the debtor, except an automobile, not used by the debtor in a business trade or profession.

Amends GS 58-57-110(a). Directs the Commissioner to prescribe a minimum incurred loss ratio every three years (currently: every year), beginning September 1, 2018. Provides that the minimum incurred loss ratio standard is effective January 1, the year after it is prescribed, and remains in effect until a new minimum incurred loss ratio standard requirement is prescribed.

Amends GS 66-58 (Sale of merchandise or services by governmental units). Replaces the provision that this statute does not prohibit the operation of lunch counters by the Department of Health and Human Services (DHHS) with one that this statute does not prohibit the operation of food and vending services under GS Chapter 111, Article 3 (Operation of Vending Services on State Property).

Enacts new GS 111-47.4 (Food service at certain state properties or facilities). Authorizes DHHS to operate or contract for the operation of food or vending services at State property or State facilities allocated to the Department of Administration or the Department of Insurance. Provides that net proceeds of revenue generated by food and vending services at such property or facilities shall be credited to the Division of Services for the Blind of DHHS for the purposes specified in GS 111-43. Does not remove an exemption granted in GS 111-42(c).

Amends GS 146-29.1 (Lease or sale of real property for less than fair market value). Provides that this statute does not apply to leases entered into by DHHS for the operation of food and vending services under GS Chapter 111, Article 3.

Amends GS 90-92(a). Designates one new class of substances to be a Schedule IV narcotic. Contingent upon the passage of H 464, from the 2017 Regular Session, repeals GS 90-92(a)(5)c., which is added by that act. Effective December 1, 2017, and applies to offenses committed on or after that date.

Amends GS 90-113.74 (Confidentiality). Authorizes DHHS to release data in the controlled substances reporting system to the NC State Opioid Treatment Authority for purposes of approving, denying, or evaluating programs.

Repeals SL 2008-107, Section 7.18(b), which directs the Department of Public Instruction to report to the Joint Legislative Oversight Committee by April 15 of each year on the effectiveness of the Plant Operation Section of the School Support Division's efforts to assist local school administrative units in managing environmental issues.

Amends SL 2015-241, Section 31.7(b). Amends the due date of the reports of each State agency on the status of agency capital projects semiannually to the Joint Legislative Commission on Governmental Operations, and quarterly to the Fiscal Research Division and the Office of State Budget and Management, to begin on October 15, 2017 (was, October 1, 2015), and periodically thereafter as specified.

Amends GS 143-47.7 (Notice and record of appointment required). Deletes the provision requiring written notice of appointments to the State Library.

Recodifies GS 143-320(3) as GS 143B-135.44(3a).

Recodifies GS 143-323(a) and (d) as GS 143B-135.58(a) and (b), to be entitled Additional powers and duties of the Department regarding recreation.

Amends GS 143B-135.58, as enacted by this act. Reassigns the powers and duties from the Department of Environmental Quality to the Department of Natural and Cultural Resources. Requires federal grant funds to be expended under the State Budget Act. Designates the Director of the Division of Parks and Recreation as having the authority and responsibility to accept and administer funding through the federal Land and Water Conservation Fund or any successor fund, and the Secretary of the Department of Natural and Cultural Resources may designate additional personnel to assist the Director in these responsibilities.

Amends GS 143-166.13(a). Provides that sworn state law enforcement officers with the power of arrest within the Department of Natural and Cultural Resources that are subject to the Criminal Justice Training and Standards Act are entitled to the benefits of GS Chapter 143, Article 12B (Salary Continuation Plan for Certain State Law Enforcement Officers).

Amends GS 143-548 (Vocational Rehabilitation Council). Authorizes the member of the Council who is a representative of a parent training and information center to serve more than two consecutive full terms.

Amends GS 143B-68 (Public Librarian Certification Commission--members; selection; quorum; compensation). Re-designates the seat on the commission, currently provided to the chairman of the NC Association of Library Trustees, to be for an additional individual named by the Governor upon nomination of the NC Library Association.

Amends the title of GS Chapter 143B, Article 2, to read North Carolina Zoological Park.

Enacts new GS 143B-135.204 (Powers and duties of the Secretary). Authorizes the Secretary of the Department of Natural and Cultural Resources to adopt rules governing the operation of the Zoological Park, including rules regulating its use and enjoyment by the public. Does not limit the power of the NC Zoological Park Council to establish and set admissions fees. Authorizes the Secretary to acquire, dispose of, and develop Zoological Park property, both real and personal, in accordance with generally accepted practices for zoos and aquariums accredited by the American Association of Zoos and Aquariums.

Amends GS 143B-135.234(a). Reassigns the administration of the Clean Water Management Trust Fund from the Department of Environmental Quality to the Department of Natural and Cultural Resources.

Amends GS 147-86.70 (Policy and definitions). Definesrepresentative payee.

Amends GS 147-86.71 (ABLE Program). Further authorizes a representative payee to establish an account by making an initial contribution to the ABLE Program Trust, signing an application form, and naming the designated beneficiary. Further requires the ABLE Program Board of Trustees to ensure that a representative payee appointed as a signatory of an ABLE account does not have or acquire any beneficial interest in the account and administers the account for the benefit of the designated beneficiary.

Amends GS 95-25.8 (Withholding of Wages). Prohibits an employer from withholding or diverting any portion of an employee's wages for the purpose of paying a membership fee or dues to a membership association organized under 26 USC 501(c)(5) or 26 USC 501(c)(6), except as provided in GS 143B-426.40A (Assignment of claims against State) and under federal law. Effective when the bill becomes law, and applicable to agreements between employers and employees or membership associations entered into, renewed, or extended on or after that date.

Amends GS 95-79 (Certain agreements declared illegal). Declares invalid and unenforceable, as against public policy in restraint of trade or commerce, any provision that directly or indirectly conditions the terms of an agreement not to sue or settle litigation upon an agricultural producer's status as a union or nonunion employer or entry into or refusal to enter into an agreement with a labor union or labor organization. Effective when the bill becomes law, and applicable to agreements and settlements entered into, renewed, or extended on or after that date.

Amends GS 153A-335 (Subdivision defined), as amended. Requires (currently, authorizes but does not require) a county to require only a plat for recordation for the division of a tract or parcel of land in single ownership, if each of the currently listed criteria are met. Amends the criteria regarding permanent means of ingress and egress for each lot, to require as an alternative that a lot may front an existing public right-of-way. Effective August 1, 2017.

Amends GS 160A-376 (Definition), as amended. Changes are identical to those for GS 153A-335. Effective August 1, 2017.

Amends the effective date for SL 2017-10, Section 2.5, which amended GS 153A-335 and GS 160A-276, to take effect August 1, 2017 (was, July 1, 2017). This provision, amending the effective date of SL 2017-10, Section 2.5, is effective July 1, 2017.

Amends GS 159-32 (Daily Deposits). Provides that taxes and other collected and received money by officers or employees of local governments or public authorities are to be deposited in a properly licensed and recognized cash collection service (currently, does not specify where). Amends the provision authorizing a governing board to approve delaying such deposits until moneys on hand amount to at least $250, to delete the requirement that in any case a deposit must be made on the last business day of each month. Requires money to be maintained in a secure location until deposited or officially submitted. Effective October 1, 2018.

Amends SL 2016-81, Section 3, regarding the effective date of GS Chapter 53, Article 16B (NC Money Transmitters' Act). Makes that act effective October 1, 2016 (was, October 1, 2015).

Amends SL 2017-10, Section 3.3. Directs the Department of Environmental Quality to submit its report on the findings of the Division of Waste Management on whether the solid waste management activities in the State are being conducted in a manner most beneficial to State citizens on March 1, 2018 (was, March 1, 2017).

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