GENERAL ASSEMBLY OF NORTH CAROLINA
1993 SESSION
CHAPTER 255
The General Assembly of North Carolina enacts:
Section 1. G.S. 105-487(a) reads as rewritten:
"(a) Except as provided in
subsection (c), forty percent (40%) of the revenue received by a county from
additional one-half percent (1/2%) sales and use taxes levied under this
Article during the first five fiscal years in which the additional taxes are in
effect in the county and thirty percent (30%) of the revenue received by a
county from these taxes in the second five next 10 fiscal years
in which the taxes are in effect in the county may be used by the county only
for public school capital outlay purposes or to retire any indebtedness
incurred by the county for these purposes."
Sec. 2. G.S. 105-502(a) reads as rewritten:
"(a) Sixty percent (60%)
of the revenue received by a county under this Article during the first 11 16
fiscal years in which the tax is in effect may be used by the county only
for public school capital outlay purposes or to retire any indebtedness incurred
by the county for these purposes during the period beginning five years prior
to the date the taxes took effect."
Sec. 3. G.S. 105-487(c) reads as rewritten:
"(c) The Local Government
Commission may, upon petition by a county or municipality, authorize a county
or municipality to use part or all its tax revenue, otherwise required by
subsection (a) or (b) to be used for public schools or water and sewage capital
needs, for any lawful purpose. The petition shall be in the form prescribed
by of a resolution adopted by the City Council or Board of County
Commissioners and transmitted to the Local Government Commission and Commission.
The petition shall demonstrate that the county or municipality can provide
for its public school or water and sewage capital needs without restricting the
use of part or all of the designated amount of the additional one-half percent
(1/2%) sales and use tax revenue for these purposes.
In making its decision, the Local Government Commission may
shall consider information contained in the petition concerning
not only the public school or water and sewage capital needs, but also the
other capital needs of the petitioning county or municipality. The
Commission may also consider information from sources other than the
petition. The Commission shall issue a written decision on each petition
stating the findings of the Commission concerning the public school or water
and sewage capital needs of the petitioning county or municipality and the
percentage of revenue otherwise restricted by subsection (a) or (b) that may be
used by the petitioning county or municipality for any lawful purpose.
Decisions of the Commission allowing counties or municipalities to use a percentage of their tax revenue that would otherwise be restricted under subsection (a) or (b) for any lawful purpose are final and shall continue in effect until the restrictions imposed by those subsections expire. A county or municipality whose petition is denied, in whole or in part, by the Commission may subsequently submit a new petition to the Commission."
Sec. 4. G.S. 105-502(b) reads as rewritten:
"(b) The Local Government
Commission may, upon petition by a county, authorize a county to use part or
all of its tax revenue, otherwise required by subsection (a) to be used for
public school capital outlay purposes, for any lawful purpose. The petition
shall be in the form prescribed by of a resolution adopted by the
Board of County Commissioners and transmitted to the Local Government Commission
and Commission. The petition shall demonstrate that the county
can provide for its public school capital needs without restricting the use of
part or all of the designated amount of the additional one-half percent (1/2%)
sales and use tax revenue for these purposes.
In making its decision, the Local Government Commission may
shall consider information in the petition concerning not only the
public school capital needs but also the other capital needs of the petitioning
county. The Commission may consider information from sources other
than the petition. The Commission shall issue a written decision on each
petition stating the findings of the Commission concerning the public school
capital needs of the petitioning county and the percentage of revenue otherwise
restricted by subsection
(a)
that may be used by the petitioning county for any lawful purpose.
Decisions of the Commission allowing counties to use a percentage of their tax revenue that would otherwise be restricted under subsection (a) for any lawful purpose are final and shall continue in effect until the restrictions imposed by those subsections expire. A county whose petition is denied, in whole or in part, by the Commission may subsequently submit a new petition to the Commission."
Sec. 5. G.S. 105-504(b) reads as rewritten:
"(b) The Local Government
Commission may, upon petition by a municipality, authorize a municipality to
use part or all its tax revenue, otherwise required by subsection (a) to be
used for water and sewage capital needs, for any lawful purpose. The petition
shall be in the form prescribed by of a resolution adopted by the
City Council and transmitted to the Local Government Commission and Commission.
The petition shall demonstrate that the municipality can provide for its
water and sewage capital needs without restricting the use of part or all of
the designated amount of the additional one-half percent (1/2%) sales and use
tax revenue for these purposes.
In making its decision, the Local Government Commission may
shall consider information in the petition concerning not only the water
and sewage capital needs but also the other capital needs of the petitioning
municipality. The Commission may consider information from sources
other than the petition. The Commission shall issue a written decision on each
petition stating the findings of the Commission concerning the water and sewage
capital needs of the petitioning municipality and the percentage of revenue
otherwise restricted by subsection (a) that may be used by the petitioning
municipality for any lawful purpose.
Decisions of the Commission allowing municipalities to use a percentage of their tax revenue that would otherwise be restricted under subsection (a) for any lawful purpose are final and shall continue in effect until the restriction imposed by that subsection expires. A municipality whose petition is denied, in whole or in part, by the Commission may subsequently submit a new petition to the Commission."
Sec. 6. This act becomes effective July 1, 1993.
In the General Assembly read three times and ratified this the 30th day of June, 1993.
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Dennis A. Wicker
President of the Senate
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Daniel Blue, Jr.
Speaker of the House of Representatives