Senate committee substitute to the 1st edition makes the following changes. Changes the act’s long title.

Section 1

Amends the requirements that must be met for the CAMA Application Processing Rule for both CAMA major and minor development permit applications, as follows: (1) specifies the provision stating that the documentation showing that notice was sent by certified mail to an adjacent riparian landowner satisfies the notice requirements applies if the applicant provides proof that the adjacent riparian landowner received the notice; (2) adds that if the applicant cannot provide proof that the adjacent riparian landowner received the notice, the permit application may proceed without proof of receipt only if the applicant provides documentation showing that notice was sent by certified mail, return receipt requested, at least 60 days before issuance of the permit, to both the adjacent riparian landowner's tax address of record and to the property address of the adjacent riparian property, if the address differs; and (3) adds that during the 60-days after the date the notice was sent by certified mail, the Department of Environmental Quality (DEQ), Division of Coastal Management, or the local permit officer may continue to process the application (however, if there is no proof of receipt, the permit cannot be issued until the 60 days have expired). Makes conforming changes to provide that failure of an adjacent riparian landowner to receive, claim, or respond to the certified mail notice does not delay or prevent issuance of the permit after the 60-day period. Makes additional clarifying and technical changes.

Section 3

Further amends the criteria an upland basin marina must meet to qualify for permitting development of an upland basin marina project under GS 113A-129.12(b)(2) as follows. Specifies that the demonstration of compliance with dissolved oxygen standards through site-specific modeling when the site-specific sampling data documents pre-project ambient dissolved oxygen levels above 5.0 mg/L in the project baseline area, is only for pre-permitting design demonstration purposes and is used only in determining whether aeration or other active interventions are required as a condition of issuing the permit. Defines what may be included as a specific deficiency under which DEQ may be allowed to require additional mechanical aeration or other active interventions to increase or maintain dissolved oxygen as a condition of permit issuance (previously required DEQ to show demonstration identifying material errors in the applicant's demonstration based on peer-reviewed methodology or site-specific monitoring data). Adds that (b)(2) does not modify, supersede, or invalidate any certification issued under section 401 of the Clean Water Act, any federal permit, any permit issued under the Coastal Area Management Act, or any condition of those approvals. Provides that DEQ’s acceptance of a demonstration does not limit or supersede its continuing authority to require monitoring, adaptive management, mechanical aeration, or other corrective measures needed to comply with water quality standards or with the conditions of any applicable permit or certification.

Section 6.5

Adds the following.

Amends GS 113A-129.2 which created the North Carolina Coastal Reserve System (System). No longer requires DEQ to consult with the Coastal Resources Commission (CRC) in administering the System, but makes administration of the System subject to: (1) use standards adopted for the System by the CRC, and (2) permits and orders issued by the CRC concerning activities allowed in the System. Adds that for any component of the System that is also a dedicated nature preserve DEQ and the CRC must act as primary custodian to manage such components. Requires the Secretary of Natural and Cultural Resources to monitor these preserves and retain authority to report alleged violations of the approved management plan or the articles of dedication for such preserves; if there are violations, requires the Secretary to request that the Department of Administration coordinate mediation with the primary custodian. Provides that if mediation is unsuccessful, then the Department of Natural and Cultural Resources has standing and a right of action in Superior Court to enforce the terms of any articles of dedication applicable to those components. Effective January 1, 2027.