News

October 8, 2024

Congratulations to our client the North Carolina Outdoor Advertising Association for their outstanding contribution to storm recovery in Western North Carolina. They delivered 18 pallets of tarps to the distribution site in Lenoir. There were approximately 50 tarps per pallet. According to Executive Director TJ Bugbee:  “Before we had finished unloading, they had already allocated 10 pallets.”

September 12, 2024

Legislative Update

The General Assembly returned to Raleigh this week and held several votes. They were not expected to hold votes until after the election, but a recent agreement on several budget items between the House and Senate motivated legislators hold a voting session.

Miniature Budget Update

The Legislature failed to reach a new budget agreement in the short session this year and have been relying on the two-year budget passed last year. One of the main issues Republicans wanted to address this year was a backlog for the Opportunty Scholarship program, which provides payments of up to $7,500 for parents to send their children to private schools. Recently, the income caps were lifted from the program, and the current appropriations did not cover the number of applicants. The bill passed this week adds an additional ~$460 million to the program. Democrats argued that the program takes money away from public schools, while Republicans argued that school choice would lead to better education outcomes.

The bill also contains a provision to require sheriffs to cooperate with federal Immigration and Customs Enforcement (ICE) officials with suspected illegal aliens charged with violent crimes. Republicans have pushed this provision for the last several years, but it has always been vetoed by Democratic Governor Roy Cooper, who claims the provision unfairly targets immigrants.

Also contained in the legislation are funds for the Community College System, children with disabilities, Medicaid, broadband infrastructure, and mega site transportation improvements in Randolph County. 

The bill passed on mostly party lines, with Democrats opposing the Opportunity Scholarship and Sheriff/ ICE provisions, and expressing that they believe more crucial programs are being under funded. It is expected that Governor Cooper will veto the bill. 

Veto Overrides

The legislature also overrode several vetoed bills with the required three-fifths majority for the bill to become law, notwithstanding the veto. Those bills include the following:

 HB 115: Titles for Off-Road Veh./Low Speed Veh. Insp.

HB 556: Tenancy in Com./E-Notary/SmallClaims Changes.

HB 690: No Centrl Bank Digital Currency Pmts to State.

SB 166 : 2024 Bldg. Code Regulatory Reform.

 The Senate overrode the veto on SB 445: Recording of Court-Filed Documents, but the House withdrew the bill from the calendar.

 The Legislature adjourned this week’s session as planned and will not return until October 9. The General Assembly will also return to session on November 19, and December 11. The adjournment resolution leaves the door open for any legislative topic to be addressed when they return, although votes are not expected until the November session. The issues taken up in November will largely depend on the outcome of the election, and if both the House and Senate retain super majorities and which party wins the Governor’s race.

Quick Update: August 2, 2024

The General Assembly returned to Raleigh this week for a planned three-day session. The House successfully overrode three vetoed bills, however, the Senate did not hold any votes. The following vetoed bills were overridden by the House: 

HB 115: Titles for Off-Road Veh./Low Speed Veh. Insp.

HB 556: Tenancy in Com./E-Notary/SmallClaims Changes.

HB 690: No Centrl Bank Digital Currency Pmts to State.

The Senate will still need to override the veto of these bills for them to become law. The North Carolina Constitution requires each chamber to vote by a three-fifths majority to override a veto. Since none of the vetoed bills are time sensitive, the Senate is not expected to act on them soon.

The Legislature adjourned this week’s session on Thursday, as planned, and will not return until September 9. The General Assembly will also return to session on October 9, November 19, and December 11. The adjournment resolution leaves the door open for any legislative topic to be addressed when they return, although votes are not expected until the November session. The issues taken up in November will largely depend on the outcome of the election, and if both the House and Senate retain super majorities.

North Carolina Legislative Short Session Wind Down: June 28, 2024

This week, the General Assembly wrapped up the majority of its policy work for the foreseeable future. This session started in April with high hopes of the House and Senate reaching a consensus spending plan before the end of the fiscal year on June 30. However, those negotiations fell apart several weeks ago and the legislature failed to pass a budget before leaving town. The General Assembly passed a two-year budget last year, so the State and government programs will continue to function, but without increased funding or new items.

In an effort to make minor tweaks to the budget, the legislature passed a stop-gap funding bill to prevent unspent money from reverting back to the General Fund and to increase funding for child care programs to replace federal money that is running out. The legislature attempted to pass a similar funding bill for additional teacher raises and to fund private school vouchers, known as Opportunity Scholarships, due to expanded eligibility for high income earners, but it did not pass.

Legislators had pushed several controversial issues, including medical marijuana, known as the Compassionate Care Act, and expanded gambling in the form of thousands of Video Lottery Terminals (VLTs), but failed to gain enough support to bring either issue to a vote in both chambers. Medical Marijuana, championed by Senate Rules Chairman Senator Bill Rabon, passed the Senate in several different bills, but was never taken up by the House. VLTs did not gain enough support in the House Republican Caucus to make it into a bill. Proponents of both topics hope to advance these issues later in the year, potentially after the election in November.

Vetoed Bills

Governor Cooper has vetoed three bills so far this session, and all three bills were overridden this week. The NC Constitution requires three-fifths of the members present and voting in each chamber to override a veto. Republicans have veto-proof majorities in both chambers, but struggled to have enough member present to override until this week.

The vetoed bills that were overridden and now law include the following:

·      House Bill 198: DOT Legislative Changes.-AB –  The Agency Bill for the Department of Transportation and includes various changes for the Department and related industries.

·      House Bill 834: Juvenile Justice Modifications – Modifies the Raise the Age Law to allow some minors that commit serious crimes to be prosecuted as adults to deter gangs from recruiting juveniles. Also increases punishments for adults that coax minors into committing crimes.

·      House Bill 237: Various Criminal and Election Law Changes: Makes changes to laws regarding face masks in public, which were repealed in response to the COVID-19 pandemic, and also loosens restrictions on corporate donations to political parties.

Constitutional Amendments

North Carolina voters will have a constitutional amendment on their ballots this November. The Legislature approved an amendment by the required three-fifths majority vote and the amendment will need to be approved by a majority of the voters to be enacted. The amendment would more strongly word a current section of the NC Constitution that stipulates that only United States citizens can vote in elections.

Four other constitutional amendments were considered but failed to gain support in both chambers. Legislative leaders have indicated that they may take up the amendments up later this year. The outstanding amendments would do the following: cap the state income tax at 5%, remove the governor’s power to fill vacant Council of State offices and give that power to political parties, repeal a voter literary requirement that is no longer in effect due to the federal Voting Rights Act of 1965, and include a voter ID requirement for mail in ballots.

Adjournment Resolution

In the adjournment resolution passed this week, the General Assembly selected several dates to return to session. The General Assembly will be in session on the dates below:

·      Wednesday July 10 (one day only)

·      Monday July 29 to Thursday August 1

·      Monday September 9 to Wednesday September 11

·      Wednesday October 9 (one day only)

·      Tuesday November 19 to Friday November 22

·      Wednesday December 11 to Friday December 13 to adjourn Sine Die (for the year)

The adjournment resolution spells out legislative items that will be eligible for consideration on the dates that the legislature is in session, which includes conference reports. Neither chamber has a rule that additions to bills be germane to the original topic, so any piece of legislation can be included in a conference report.

New Laws

Click this link to view laws with effective dates of July 1, 2024 through January 1, 2025.

Sands Law Update from the Capitol: January 11, 2024

The General Assembly remains quiet for the start of the year and is not expected to begin official legislative business until after the March 5 primary election. This legislative year is considered the Short Session of the biennium. However, the General Assembly never officially adjourned last year. They have chosen to take a series a recesses and return to Raleigh every month. This keeps North Carolina in a continuous two-year session. The General Assembly will return to session on at least the following dates: 

  • January 17, 2024

  • February 14, 2024

  • March 13, 2024

  • April 16, 2024

  • April 24, 2024

We expect interim oversight and study committees to begin meeting in February.