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General Assembly of North Carolina Session 2015 House Bill 1030

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General Assembly of North Carolina Session 2015 House Bill 1030 GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2015 HOUSE BILL 1030 RATIFIED BILL AN ACT TO MODIFY THE CURRENT OPERATIONS AND CAPITAL IMPROVEMENTS APPROPRIATIONS ACT OF 2015 AND TO MAKE OTHER CHANGES IN THE BUDGET OPERATIONS OF THE STATE. The General Assembly of North Carolina enacts: PART I. INTRODUCTION AND TITLE OF ACT INTRODUCTION SECTION 1.1. The appropriations made in this act are for maximum amounts necessary to provide the services and accomplish the purposes described in the budget. Savings shall be affected where the total amounts appropriated are not required to perform these services and accomplish these purposes, and, except as allowed by the State Budget Act or this act, the savings shall revert to the appropriate fund at the end of each fiscal year, except as otherwise provided by G.S. 143C-1-2(b). TITLE OF ACT SECTION 1.2. This act shall be known as the "Current Operations and Capital Improvements Appropriations Act of 2016." PART II. CURRENT OPERATIONS AND EXPANSION GENERAL FUND CURRENT OPERATIONS AND EXPANSION/GENERAL FUND SECTION 2.1. Appropriations from the General Fund of the State for the maintenance of the State departments, institutions, and agencies, and for other purposes as enumerated, are adjusted for the fiscal year ending June 30, 2017, according to the schedule that follows. Amounts set out in parentheses are reductions from General Fund appropriations for the 2016-2017 fiscal year: Current Operations – General Fund FY 2016-2017 EDUCATION Community Colleges System Office 30,095,192 Department of Public Instruction 313,930,959 University of North Carolina – Board of Governors Appalachian State University East Carolina University Academic Affairs Health Affairs Elizabeth City State University 250,000 Fayetteville State University NC A&T State University NC Central University NC State University Academic Affairs 200,000 *H1030-v-7* Agricultural Extension Agricultural Research UNC-Asheville UNC-Chapel Hill Academic Affairs 1,500,000 Health Affairs 3,000,000 AHEC UNC-Charlotte UNC-Greensboro UNC-Pembroke 675,000 UNC-School of the Arts 630,000 UNC-Wilmington Western Carolina University Winston-Salem State University General Administration University Institutional Programs 118,285,194 Related Educational Programs 300,000 NC School of Science & Math Aid to Private Institutions 44,140,000 Total University of North Carolina – Board of Governors 168,980,194 HEALTH AND HUMAN SERVICES Department of Health and Human Services Central Management and Support 8,942,769 Division of Aging & Adult Services 809,321 Division of Blind Services/Deaf/HH 91,653 Division of Child Development & Early Education (6,675,783) Health Service Regulation 469,252 Division of Medical Assistance (310,324,922) Division of Mental Health, Developmental Disabilities, & Substance Abuse Services 25,173,816 NC Health Choice 350,831 Division of Public Health 19,638,226 Division of Social Services 14,370,213 Division of Vocational Rehabilitation 456,517 Total Health and Human Services (246,698,107) AGRICULTURE AND NATURAL AND ECONOMIC RESOURCES Department of Agriculture and Consumer Services 9,572,830 Department of Commerce Commerce 20,320,848 Commerce State-Aid 650,000 Department of Natural and Cultural Resources Natural and Cultural Resources 14,718,687 Roanoke Island Commission 0 Wildlife Resources Commission 305,608 Department of Environmental Quality 19,767,076 Department of Labor 298,430 JUSTICE AND PUBLIC SAFETY Department of Public Safety 61,149,731 Page 2 House Bill 1030-Ratified Judicial Department 27,643,723 Judicial Department – Indigent Defense 6,541,345 Department of Justice 5,540,436 GENERAL GOVERNMENT Department of Administration 5,405,307 Office of Administrative Hearings 103,296 Department of State Auditor 501,059 Office of State Controller 361,006 State Board of Elections 117,012 General Assembly 7,806,816 Office of the Governor Office of the Governor 107,248 Office of the Governor – Special Projects 313 Office of State Budget and Management 440,763 OSBM – Reserve for Special Appropriations 20,700,000 Housing Finance Agency 5,000,000 Department of Insurance 2,532,502 Office of Lieutenant Governor 25,637 Department of Military and Veterans Affairs 213,347 Department of Revenue 1,891,151 Department of Secretary of State 878,913 Department of State Treasurer State Treasurer 319,008 State Treasurer – Retirement for Fire and Rescue Squad Workers 5,197,982 Department of Information Technology 43,297,929 RESERVES, ADJUSTMENTS AND DEBT SERVICE Compensation Bonus Reserve – Executive Branch 28,103,159 OSHR Minimum of Market Adjustment (12,000,000) Reserve for Future Benefit Needs (867,331) Information Technology Reserve (21,320,843) Information Technology Fund (21,681,854) Job Development Investment Grants (JDIG) (10,000,000) One North Carolina Fund (417,883) Pending Legislation Reserve 1,200,000 Public Schools Average Daily Membership (ADM) (107,000,000) UNC System Enrollment Growth Reserve (31,000,000) State Emergency Response and Disaster Relief Fund 10,000,000 House Bill 1030-Ratified Page 3 Debt Service General Debt Service 1,253,023 Federal Reimbursement 38,000,000 TOTAL CURRENT OPERATIONS – GENERAL FUND 401,984,512 GENERAL FUND AVAILABILITY STATEMENT SECTION 2.2.(a) The General Fund availability statement set out in Section 2.2(a) of S.L. 2015-241 applies to the 2015-2016 fiscal year only. The General Fund availability used in adjusting the 2016-2017 budget is shown below: FY 2016-2017 Unappropriated Balance 175,488,544 Over Collections FY 2015-16 330,200,000 Reversions FY 2015-16 420,815,473 Earmarkings of Year End Fund Balance: Savings Reserve (473,616,801) Repairs and Renovations (81,400,000) Beginning Unreserved Fund Balance 371,487,216 Revenues Based on Existing Tax Structure 21,417,800,000 Non-tax Revenues Investment Income 37,500,000 Judicial Fees 242,600,000 Disproportionate Share 147,000,000 Insurance 77,000,000 Master Settlement Agreement (MSA) 127,400,000 Other Non-tax Revenues 178,700,000 Subtotal Non-tax Revenues 810,200,000 Adjustment for Medicaid Transformation Fund (S.L. 2015-241) (150,000,000) Total General Fund Availability 22,449,487,216 Adjustments to Availability: 2016 Session Individual Income Tax – Increase Standard Deduction (145,000,000) Sales Tax – Exempt Styrofoam Pellets for Alternative Wastewater System Materials (1,000,000) Sales Tax – Limit Repair and Maintenance Tax on Airplanes and Boats (Direct Pay Option) (500,000) Sales Tax – Repeal Automotive Service Contracts (RMI Services Taxable) (1,600,000) Sales Tax – Modify Base on RMI – Removes Retail/Non-retail Distinction, Applies Capital Improvement Test 22,400,000 Sales Tax – Elimination of State Contribution to Local Sales Tax Distribution 17,600,000 Mill Machinery Tax – Expand 1%/$80 rate to Secondary and Precious Metal Recyclers, Metal Fabricators, and Ports (6,000,000) Adjustment for Transfer from Treasurer's Office 517,872 Adjustment for Transfer from Insurance Regulatory Fund 2,532,502 Adjustment for Transfer from NCGA Special Fund 3,000,000 Subtotal Adjustments to Availability: 2016 Session (108,049,626) Revised General Fund Availability 22,341,437,590 Less General Fund Appropriations (22,341,437,590) Unappropriated Balance Remaining 0 Page 4 House Bill 1030-Ratified SECTION 2.2.(b) Notwithstanding the provisions of G.S. 143C-4-3(a), the State Controller shall transfer a total of eighty-one million four hundred thousand dollars ($81,400,000) from the unreserved fund balance to the Repairs and Renovations Reserve on June 30, 2016. Funds transferred under this section to the Repairs and Renovations Reserve are hereby appropriated for the 2016-2017 fiscal year and shall be used in accordance with Section 31.5 of S.L. 2015-241, as amended by Section 37.4 of this act. This subsection becomes effective June 30, 2016. SECTION 2.2.(c) Notwithstanding G.S. 143C-4-2, the State Controller shall transfer a total of four hundred seventy-three million six hundred sixteen thousand eight hundred one dollars ($473,616,801) from the unreserved fund balance to the Savings Reserve Account on June 30, 2016. This transfer is not an "appropriation made by law," as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution. This subsection becomes effective June 30, 2016. SECTION 2.2.(d) Notwithstanding any other provision of law to the contrary, effective July 1, 2016, three million dollars ($3,000,000) from the Special Fund – Non-Interest Bearing (Budget Code 21000) shall be transferred to the State Controller to be deposited in the appropriate budget code as determined by the State Controller. These funds shall be used to support the General Fund appropriations as specified in this act for the 2016-2017 fiscal year. PART III. CURRENT OPERATIONS/HIGHWAY FUND CURRENT OPERATIONS AND EXPANSION/HIGHWAY FUND SECTION 3.1. Appropriations from the State Highway Fund for the maintenance and operation of the Department of Transportation and for other purposes as enumerated are adjusted for the fiscal year ending June 30, 2017, according to the following schedule. Amounts set out in parentheses are reductions from Highway Fund Appropriations for the 2016-2017 fiscal year. Current Operations – Highway Fund FY 2016-2017 Department of Transportation Administration $ 0 Division of Highways Administration 0 Construction 2,500,000 Maintenance 1,554,090 Planning and Research 0 OSHA Program 0 State Aid to Municipalities 0 Intermodal Divisions Ferry 10,000,000 Public Transportation 4,000,000 Aviation 14,817,417 Rail 13,750,000 Bicycle and Pedestrian 0 Governor's Highway Safety 0 Division of Motor Vehicles 4,973,177 Other State Agencies, Reserves, Transfers 7,494,167 Capital Improvements 0 Total Highway Fund Appropriations $ 2,048,690,000 House Bill 1030-Ratified Page 5 HIGHWAY FUND AVAILABILITY STATEMENT SECTION 3.2. Section 3.2 of S.L. 2015-241 is repealed. The Highway Fund availability used in adjusting the 2016-2017 fiscal year budget is shown below: Highway Fund Availability Statement FY 2016-2017 Unreserved Fund Balance $ 0 Estimated Revenue 2,048,910,000 Adjustment to Revenue Availability: Vehicle Registration Fees (Permanent Plates) (220,000) Total Highway Fund Availability $ 2,048,690,000 Unappropriated Balance $ 0 PART IV.
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