The House and Senate bill filing deadline was 4:00 p.m. on Thursday, April 30, with the filing deadline for local bills on Tuesday, May 5 at 4:00 p.m. As of the writing of this Weekly Update, NCACC staff have conducted a preliminary review of all filed bills from this session for any potential impact on county operations or budgets. This week’s edition covers many of those filed bills but should not be considered exhaustive. Future Weekly Updates will include new information as additional bills are identified or modified to impact counties in some way.

Bills on the Move

H696 – Medicaid & HHS Adjust./Other Critical Needs

Bill Summary: The bill includes numerous changes, some of which impact counties:

  • The bill establishes a study of centralizing all federal and state social services at the state level, to be delivered by July 2027. Counties and departments of social services (DSS) offices are to be included in those conversations.
  • It funds Medicaid through the remainder of the fiscal year, totaling $319 million.
  • It modifies Medicaid eligibility requirements, the look-back period to qualify for services, reporting requirements, and eligibility review frequency.
  • The bill does not fund the counties’ increased Supplemental Nutrition Assistance Program (SNAP) administrative expenses as a result of House Resolution 1, something originally thought to be included in the bill.
  • It is now expected that those funds will need to proceed through the normal state budget process.
  • It makes various changes to local grants, some of which impact counties. For a full list, refer to page 31 of the bill.

Changes of Note: None this week

Bill Next Steps: Both the House and Senate passed the bill, and the governor signed it into law on April 30.

Senate Bill 214 – Various Local Provisions VII 

Bill Summary: The bill makes various land use changes for a number of local governments.

Changes of Note: Two previously discussed provisions were removed from the bill: one allowing Franklin County to acquire land from Halifax, Vance, or Warren counties without their permission, and modifying election timelines for the Winston-Salem/Forsyth County Board of Education.

Bill Next Steps: The bill passed its third reading in the Senate and is on the House calendar for a third reading on Tuesday, May 6, where it is expected to pass without further modification. Since it impacts fewer than 15 counties and does not have general statewide applicability, it is a local bill and will take effect after it passes the House. It will not require presentment to the governor since it is a local bill.

Senate Bill 840 – Teacher Licensure Modifications

Bill Summary: This bill seeks to remove the testing requirement for admission into the educator preparation program and would give teachers up to three years to meet their licensure exam requirement. Additionally, teachers from other states with at least three years of experience, and in good standing, would be able to receive a Continuing Professional License in North Carolina.

Changes of Note: None this week

Bill Next Steps: Senate Bill 840 received a favorable report in the Senate Education/Higher Education Committee Wednesday, April 29. It will now head to the Senate Appropriations and Base Budget Committee.

Legislation Filed This Week

House Bill 1028 – Harnett County Jetport 

Bill Summary: The bill allows any local government in Harnett County to enact and enforce airport zoning regulations, exempting the county from current state downzoning restrictions so long as the zoning change directly relates to airports. Though the bill only impacts Harnett County, it is indicative of numerous local bills that have been filed in this biennium because of the statewide ban on downzoning imposed in late 2024.

Changes of Note: None this week

Bill Next Steps: The bill was filed on April 22 and was referred to the House Committee on State and Local Government. If it passes favorably from the committee, it will be sent to the House Housing and Development Committee, then the House Rules Committee.

House Bill 1072 – Affordable Housing Infrastructure Development 

Bill Summary: The bill creates the Affordable Housing Infrastructure Development Loan Program, administered by the North Carolina Housing Finance Agency, to provide revolving below-market interest rate loans to nonprofit organizations for developing and improving sites for affordable housing. The bill appropriates $50 million for one-time support of the program.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and referred to the House Committee on Housing and Development. If passed favorably, it will proceed to the House Appropriations Committee, then the House Rules Committee.

House Bill 1089 – Const. Amend. Property Tax Levy Limit 

Bill Summary: This bill proposes an amendment to the North Carolina Constitution, requiring the North Carolina General Assembly to pass a law that would limit the amount of property tax a local government could levy, with exceptions. If passed, the amendment would be included on the November ballot and would need to be approved by a majority of voters.

Levy limits in other states have been used to restrict year-over-year growth in local government spending, often tied to inflation plus population growth factors. This bill was a recommendation of the House Select Committee on Property Tax Reduction and Reform. The NCACC has stated opposition to this bill. 

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and referred to the House Committee on Finance. If passed favorably, it will proceed to the House Rules Committee.

House Bill 1090 – RURAL Care Act 

Bill Summary: Creates a new Rural Healthcare Infrastructure Fund and Program to be managed by the State Health Coordinating Council, replacing the previous Rural Health Care Stabilization Program and Fund. The fund’s goal is to provide a dedicated funding source for the capital and infrastructure needs of rural health care facilities, supporting both new construction and improvements to existing facilities.  

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

House Bill 1092 – Reform NC Property Tax 

Bill Summary: This bill contains numerous provisions to amend property tax law:

  • Amends the North Carolina Constitution to allow the General Assembly to use area median income as a criterion for statewide property tax relief. 
  • Changes the property tax homestead circuit breaker by replacing the income eligibility limit with a new threshold and changing the calculation of deferred taxes. 
  • Revises the property tax exemption for nonprofit organizations providing housing for low- or moderate-income individuals or families. 
  • Appropriates $20 million in nonrecurring funds to the North Carolina Association of County Commissioners for grants to local governments to support more frequent property reappraisals, prioritizing those with reappraisal cycles longer than four years, for technical assistance, and technology upgrades.   

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and referred to the House Rules Committee. 

House Bill 1144 – Dominique Moody Safety Act 

Bill Summary: This bill would create a child welfare escalation team in the North Carolina Division of Social Services to thoroughly verify a child’s safety if the child is flagged as having a high likelihood of being in an unsafe home and/or has had multiple abuse reports within a 12-month period. The escalation team would work in partnership with program managers, regional and county social services directors, and law enforcement, and there would be triggers in place to identify and escalate urgent safety concerns. The bill also includes an appropriation of more than $550,000 in recurring funding for six employee positions.

Changes of Note: None this week 

Bill Next Steps: The bill was filed Thursday, April 30, and now awaits its first reading and committee assignment. 

House Bill 1156 – Wastewater Design Flow Modifications 

Bill Summary: This bill allows permittees to calculate wastewater flows for new dwelling units at a rate less than 75 gallons per day per bedroom if the North Carolina Department of Environmental Quality approves, based on demonstration that the requested lower rate matches the average actual flow from the previous calendar year, and will not adversely impact public health or the environment.

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

House Bill 1163 – Workforce Act of 2026 

Bill Summary: The bill aims to modernize North Carolina’s education-to-workforce pipeline with a range of state-funded initiatives. It provides ongoing funding to support apprenticeship programs through community colleges, enhances state efforts to identify and promote industry-valued workforce credentials, and strengthens data collection and alignment with federal Workforce Pell Grant regulations.

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

House Bill 1189 – Datacenter Transparency Act 

Bill Summary: The bill establishes a two-year moratorium on permitting new data centers in the state and requires data centers to submit annual documentation to receive sales and use tax exemptions.

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

House Bill 1191 – Fostering Care in NC Act 2026 

Bill Summary: The bill makes numerous changes to the state foster care system, including modifying records retention requirements, child welfare procedures, termination of parental rights, juvenile custody requirements, and when cases are referred to legal authorities.

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

House Bill 1213 – Protect Taxpayers and Consumers 

Bill Summary: The bill repeals the sales and use tax exemption for data centers.

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and is waiting for committee assignment. 

Senate Bill 889 – Property Tax Reappraisal Moratorium

Bill Summary: The stated intent of the bill is to freeze property valuations in the 12 counties (Anson, Bladen, Buncombe, Chowan, Clay, Davidson, Guilford, Harnett, Onslow, Pamlico, Pender, and Scotland) that completed revaluations in 2026. The bill would require those counties to use their existing property valuations (completed prior to January 1, 2026) in their 2026-2027 fiscal year budgets. Then, for the 2027-2028 fiscal year, the counties would use their schedule of values adopted for the January 1, 2026 reappraisal. The bill also requires county tax assessors to pay a $20 examination fee. 

Changes of Note: None this week 

Bill Next Steps: The bill was filed this week and quickly moved to both Senate Finance and Rules committees. This bill will likely be calendared for debate and votes on the Senate floor next week.  

Senate Bill 913 – Screen Free Schools 

Bill Summary: The bill adds smart watches as a wireless communication device to the list of banned items during instructional time at school for public school students. This legislation also removes language that allows teachers to use their discretion to authorize devices for instructional or emergencies.

Changes of Note: None this week

Bill Next Steps: This bill was filed Wednesday, April 29, subsequently passed its first reading April 30 and will now head to the Senate Rules Committee.

Senate Bill 947 – Military Influence Areas 

Bill Summary: The bill permits downzoning along military bases by permitting local governments to designate “military influence areas” and adopt zoning regulations or unified development ordinances with minimum standards to prevent incompatible developments near military bases.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.

Senate Bill 992 – Truth in Taxation 

Bill Summary: The bill contains numerous provisions for how local governments handle the tax process:

  • Requires that, in years when a general reappraisal of real property is conducted, a local governing board must follow new procedures to adopt a property tax rate higher than the revenue-neutral rate. 
  • Prohibits adoption of a tax rate above the revenue-neutral rate unless a resolution or ordinance is approved after specific notice and hearing requirements. 
  • Mandates publication of the local government’s interest in exceeding the revenue-neutral rate. 
  • Requires the county clerk to send notice of intent to exceed the revenue-neutral rate to each taxpayer. The notice must include detailed information on the revenue needed, tax rate, estimated amount of tax, and information on the public hearing. 
  • Requires a public hearing dedicated to the issue of exceeding the revenue-neutral rate, with a majority vote of the governing body needed to approve the higher rate before adopting the budget ordinance. 

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.

Senate Bill 994 – Early Voting Procedures at Fire Stations 

Bill Summary: The bill sets various requirements for county boards of elections to have in place at fire stations hosting early voting sites.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.

Senate Bill 1001 – Coastal Regulatory Reform 

Bill Summary: The bill expands eligible uses of the Coastal Storm Damage Mitigation Fund to include costs associated with permitting, construction, or repair of terminal groins under certain conditions, in addition to existing uses for beach nourishment and dune projects. The bill also appropriates $800,000 in nonrecurring funds to the Coastal Storm Damage Mitigation Fund.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.

Senate Bill 1009 – Repeal Hardened Structure Ban 

Bill Summary: The bill removes the statewide ban on hardened structures along waterways and empowers the Coastal Resources Commission to adopt rules to regulate placement, construction, and permitting of erosion control structures.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.

Senate Bill 1043 – 2026 Water Safety Act 

Bill Summary: The bill makes numerous changes to detect, reduce, and mitigate water contaminates relating to per- and polyfluoroalkyl substances (PFAS), and appropriates funds accordingly. The bill also establishes numerous limits for the state to enforce on water quality and authorizes state agencies to study new regulations on PFAS as well as interbasin transfers.

Changes of Note: None this week

Bill Next Steps: The bill was filed this week and is waiting for committee assignment.