GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1989

H	3 

HOUSE BILL 381*
Committee Substitute Favorable 5/9/89
State Government Senate Committee Substitute Adopted 6/8/89

Short Title:  Housing Division in Commerce.	(Public)
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Sponsors:
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Referred to:  
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February 27, 1989

A BILL TO BE ENTITLED
AN ACT TO TRANSFER THE DIVISION OF COMMUNITY ASSISTANCE FROM THE DEPARTMENT OF NATURAL RESOURCES AND COMMUNITY DEVELOPMENT TO THE DEPARTMENT OF COMMERCE, TO TRANSFER THE DIVISION OF ECONOMIC OPPORTUNITY FROM THE DEPARTMENT OF NATURAL RESOURCES AND COMMUNITY DEVELOPMENT TO THE DEPARTMENT OF HUMAN RESOURCES, TO DIRECT THE SECRETARY OF COMMERCE TO ESTABLISH THE FUNCTIONS OF COMMUNITY DEVELOPMENT AND HOUSING, TO CHANGE THE NAME OF THE DEPARTMENT OF COMMERCE TO THE DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT, TO CHANGE THE NAME OF THE SECRETARY OF COMMERCE TO THE SECRETARY OF ECONOMIC AND COMMUNITY DEVELOPMENT, AND TO ESTABLISH A TOLL-FREE TELEPHONE NUMBER FOR HOUSING ASSISTANCE INFORMATION WITHIN THE DEPARTMENT OF COMMERCE.
The General Assembly of North Carolina enacts:
Section 1.  The Division of Community Assistance in the Department of Natural Resources and Community Development is transferred to the Department of Commerce, as renamed the Department of Economic and Community Development pursuant to this act.  The Division of Economic Opportunity in the Department of Natural Resources and Community Development is transferred to the Department of Human Resources. The transfers shall have all the elements of a Type I transfer, as that term is defined in G.S. 143A-6(a).
Sec. 2.  The Secretary of Commerce, as renamed the Secretary of Economic and Community Development pursuant to this act, shall establish the functions of community development and housing and shall establish the position of Deputy or Assistant Secretary for Community Development and Housing within the Department, which Deputy or Assistant Secretary shall be of the same status and position as the Deputy or Assistant Secretary for Economic Development. The functions of the transferred Division of Community Assistance shall be located under the Deputy or Assistant Secretary for Community Development and Housing.
Sec. 3.  The phrase "Department of Commerce”is deleted and replaced by the phrase "Department of Economic and Community Development”wherever it occurs in each of the following sections or chapters of the General Statutes:
(1)	G.S. 20-81.3. Special personalized registration plates.
(2)	G.S. 54-109.11. Duties of Administrator.
(3)	G.S. 54B-4.  Definitions and application of terms.
(4)	G.S. 58-27.31. State Fire Commission – Powers and duties.
(5)	G.S. 65-49. The North Carolina Cemetery Commission.
(6)	G.S. 105-228.24A. Income tax credit for supervisory fees.
(7)	G.S. 113A-105. Coastal Resources Advisory Council.
(8)	G.S. 113B-11. Powers and authority.
(9)	G.S. 114-4.2D. Employment of attorney for Energy Division of Department of Commerce.
(10)	G.S. 126-5. Employees subject to Chapter; exemptions.
(11)	G.S. 143-166.13. Persons entitled to benefits under Article.
(12)	G.S. 143-169.1. State agency public document mailing lists to be updated.
(13)	G.S. 143A-11. Principal departments.
(14)	G.S. 143B-2. Interim applicability of the Executive Organization Act of 1973.
(15)	G.S. 143B-6. Principal departments.
(16)	G.S. 143B-390. North Carolina Marine Science Council – membership; terms; rules of procedure; meetings; quorum; expenses.
(17)	G.S. 143B-417. North Carolina Internship Council – creation; powers and duties.
(18)	G.S. 143B-426.39. Powers and duties of the State Controller.
(19)	G.S. 143B-427. Department of Commerce – creation.
(20)	G.S. 143B-428. Department of Commerce – declaration of policy.
(21)	G.S. 143B-429. Department of Commerce – duties.
(22)	G.S. 143B-430. Secretary of Commerce – powers and duties.
(23)	G.S. 143B-432. Transfers to Department of Commerce.
(24)	G.S. 143B-433. Department of Commerce – organization.
(25)	G.S. 143B-434. Economic Development Board – creation, duties, membership.
(26)	G.S. 143B-435. Publications.
(27)	G.S. 143B-436. Advertising of State Resources and Advantages.
(28)	G.S. 143B-437. Investigation of impact of proposed new and expanding industry.
(29)	G.S. 143B-439. Credit Union Commission.
(30)	G.S. 143B-443. Administration by Department of Commerce.
(31)	G.S. 143B-448. Energy Division.
(32)	G.S. 143B-450. Reporting of stocks of coal and petroleum fuels.
(33)	G.S. 143B-450.1. Authority to collect data; administration and enforcement; confidentiality.
(34)	G.S. 143B-471. Creation of Technological Development Authority.
(35)	G.S. 143B-475. Department of Crime Control and Public Safety – functions.
(36)	G.S. 147-69.1. Investments authorized for General Fund and Highway Fund assets.
(37)	G.S. 150B-1. Policy and scope.
(38)	G.S. 150B-38. Scope; hearing required; notice; venue.
(39)	G.S. 159-30. Investment of idle funds.
(40)	G.S. 159C-4. Creation of Authorities.
(41)	G.S. 159C-7. Approval of project.
(42)	G.S. 159C-8. Approval of bonds.
(43)	G.S. 159D-4. Creation of the Authority.
(44)	G.S. 159D-7. Approval of project.
(45)	G.S. 159D-8. Approval of bonds.
(46)	Chapter 130B of the General Statutes, as created by Chapter 168 of the Session Laws of 1989.
Sec. 4. The phrase "Secretary of Commerce”is deleted and replaced by the phrase "Secretary of Economic and Community Development”wherever it occurs in each of the following sections or chapters of the General Statutes:
(1)	G.S. 20-81. Official license plates.
(2)	G.S. 54B-53. Savings and Loan Commission.
(3)	G.S. 54B-238. Examination and certification by Secretary of Commerce.
(4)	G.S. 54B-240. Proposed amendments submitted to Secretary of Commerce.
(5)	G.S. 54B-241. Examination and certification of amendments.
(6)	G.S. 54B-246. Supervision by Secretary of Commerce.
(7)	G.S. 54B-247. Special examinations.
(8)	G.S. 54B-248. Right to enter and to conduct investigations.
(9)	G.S. 54B-249. Removal of officers or employees.
(10)	G.S. 113-315.25. Creation of N.C. Seafood Industrial Park Authority.
(11)	G.S. 113-315.26. Personnel.
(12)	G.S. 113-315.34. Jurisdiction of the Authority; application of Chapter 20; appointment and authority of special police.
(13)	G.S. 113B-3. Composition of Council; appointments; terms of members; qualifications.
(14)	G.S. 143B-426.31. North Carolina Board of Science and Technology; membership; organization; compensation; staff services.
(15)	G.S. 143B-430. Secretary of Commerce – powers and duties.
(16)	G.S. 143B-439. Credit Union Commission.
(17)	G.S. 143B-449. Organization of Energy Division.
(18)	G.S. 143B-451. Navigation and pilotage commissions.
(19)	G.S. 143B-452. Creation of Authority – membership; appointment, terms and vacancies; officers; meetings and quorum; compensation.
(20)	G.S. 143B-454. Powers of Authority.
(21)	G.S. 146-45. Distribution of copies of State publications.
(22)	G.S. 147-33.11. Membership of North Carolina Housing Commission.
(23)	G.S. 147-45. Distribution of copies of State publications.
(24)	G.S. 159C-7. Approval of project.
(25)	G.S. 159D-7. Approval of project.
(26)	Chapter 130B of the General Statutes, as created by Chapter 168 of the Session Laws of 1989.
Sec. 5.  Consistent with the provisions of this act, the Codifier of Statutes is hereby authorized to change the name of the North Carolina Department of Commerce to the Department of Economic and Community Development and the name of the Secretary of Commerce to the Secretary of Economic and Community Development in (i) any general statute not listed in sections 3 or 4 of this act and (ii) any session law currently in effect which is not otherwise covered by the lists in sections 3 or 4 of this act.
Sec. 6.  G.S. 143B-431, as amended by Chapter 76, section 25 of the Session Laws of 1989, reads as rewritten:
"§ 143B-431.  Department of Economic and Community Development – functions.
(a)	The functions of the Department of Economic and Community Development, except as otherwise expressly provided by Article 1 of this Chapter or by the Constitution of North Carolina, shall include:
(1)	All of the executive functions of the State in relation to economic development including by way of enumeration and not of limitation, the expansion and recruitment of environmentally sound industry, labor force development, the promotion of and assistance in the orderly development of North Carolina counties and communities, the promotion and growth of the travel and tourism industries, the development of our State's ports, energy resource management and energy policy development;
(2)	All functions, powers, duties and obligations heretofore vested in any agency enumerated in Article 15 of Chapter 143A, to wit:
a.	The State Board of Alcoholic Control,
b.	The North Carolina Utilities Commission,
c.	The Employment Security Commission,
d.	The North Carolina Industrial Commission,
e.	State Banking Commission and the Commissioner of Banks,
f.	Savings and Loan Association Division,
g.	The State Savings Institutions Commission,
h.	Credit Union Commission,
i.	The North Carolina Milk Commission,
j.	The North Carolina Mutual Burial Association Commission,
k.	The North Carolina Rural Electrification Authority,
l.	The North Carolina State Ports Authority, all of which enumerated agencies are hereby expressly transferred by a Type II transfer, as defined by G.S. 143A-6, to this recreated and reconstituted Department of Economic and Community Development; and,
(3)	All other functions, powers, duties and obligations as are conferred by this Chapter, delegated or assigned by the Governor and conferred by the Constitution and laws of this State.  Any agency transferred to the Department of Economic and Community Development by a Type II transfer, as defined by G.S. 143A-6, shall have the authority to employ, direct and supervise professional and technical personnel, and such agencies shall not be accountable to the Secretary of Economic and Community Development in their exercise of quasi-judicial powers authorized by statute, notwithstanding any other provisions of this Chapter, provided that the authority of the North Carolina State Ports Authority to employ, direct and supervise personnel shall be as provided in Part 10 of this Article.
(b)	The Department of Economic and Community Development is authorized to establish and provide for the operation of North Carolina nonprofit corporations to achieve the purpose of aiding the development of small businesses and to achieve the purposes of the United States Small Business Administration's 504 Certified Development Company Program.
	(c)	The Department of Economic and Community Development shall have the following powers and duties with respect to local planning assistance:
(1)	To provide planning assistance to municipalities and counties and joint and regional planning boards established by two or more governmental units in the solution of their local planning problems. Planning assistance as used in this section shall consist of making population, economic, land use, traffic, and parking studies and developing plans based thereon to guide public and private development and other planning work of a similar nature. Planning assistance shall also include the preparation of proposed subdivision regulations, zoning ordinances, capital budgets, and similar measures that may be recommended for the implementation of such plans. The term planning assistance shall not be construed to include the providing of plans for specific public works.
(2)	To receive and expend federal and other funds for planning assistance to municipalities and counties and to joint and regional planning boards, and to enter into contracts with the federal government, municipalities, counties, or joint and regional planning boards with reference thereto.
(3)	To perform planning assistance, either through the staff of the Department or through acceptable contractual arrangements with other qualified State agencies or institutions, local planning agencies, or with private professional organizations or individuals.
(4)	To assume full responsibility for the proper execution of a planning program for which a grant of State or federal funds has been made and for carrying out the terms of a federal grant contract.
(5)	To cooperate with municipal, county, joint and regional planning boards, and federal agencies for the purpose of aiding and encouraging an orderly, coordinated development of the State.
(6)	To establish and conduct, either with its own staff or through contractual arrangements with institutions of higher education, State agencies, or private agencies, training programs for those employed or to be employed in community development activities."
Sec. 7.  G.S. 143B-433 is amended by adding three new subdivisions:
"(23)	Community Assistance Division,
(24)	Community Development Council,
(25)	Housing Coordination and Policy Council,".
Sec. 8.  The Community Development Council in the Department of Natural Resources and Community Development is transferred to the Department of Commerce, as renamed the Department of Economic and Community Development pursuant to this act.  The transfer shall have all the elements of a Type II transfer as that term is defined in G.S. 143A-6(b).
Sec. 9.  Chapter 143B of the General Statutes is amended by adding a new Part 3A to read:
“Part 3A. Community Development Council.
"§ 143B-438.1.  Community Development Council; creation; functions.
(a)	There is created the Community Development Council of the Department of Economic and Community Development. The Community Development Council shall have the following functions and duties:
(1)	To advise the Secretary of Economic and Community Development with respect to promoting and assisting in the orderly development of North Carolina counties and communities;
(2)	To advise the Secretary of Economic and Community Development with respect to the type and effectiveness of planning and management services provided to local government; and
(3)	The Council shall consider and advise the Secretary of Economic and Community Development upon any matter the Secretary may refer to it.
"§ 143B-438.2. Council membership; compensation; procedures.
The Community Development Council of the Department of Economic and Community Development shall consist of 11 members appointed by the Governor. The composition of the Council shall be as follows: one member who shall be a local government official, one member who shall be the Executive Secretary of the League of Municipalities, one member who shall be the Executive Secretary of the County Commissioners Association, one member who shall represent industry, one member who shall represent labor, and six members at large.
The Governor shall designate one member of the Council as chairman to serve at the pleasure of the Governor.
The initial members of the Council other than those members serving in an ex officio capacity shall be appointed to serve for terms of four years and until their successors are appointed and qualified. Any appointment to fill a vacancy on the Council created by the resignation, dismissal, death, or disability of a member shall be for the balance of the unexpired term.
The Governor shall have the power to remove any member of the Council from office in accordance with the provisions of G.S. 143B-16 of the Executive Organization Act of 1973.
Members of the Council may receive per diem and necessary travel and subsistence expenses in accordance with the provisions of G.S. 138-5.
A majority of the Council shall constitute a quorum for the transaction of business.
All clerical and other services required by the Council shall be supplied by the Secretary of Economic and Community Development.
"§ 143B-438.3.  Council meetings.
The Community Development Council shall meet at least semiannually and may hold special meetings at any time and place within the State at the call of the chairman or upon the written request of at least a majority of the members."
Sec. 10. Chapter 143B of the General Statutes is amended by adding a new Part 3B to read:
“Part 3B. Housing Coordination and Policy Council.
"§ 143B-438.4. Housing Coordination and Policy Council; creation; duties.
(a)	There is created the Housing Coordination and Policy Council of the Department of Economic and Community Development. The Housing Coordination and Policy Council shall have the following functions and duties:
(1)	To advise the Secretary of Economic and Community Development and the Deputy Secretary of Community Development and Housing regarding the coordination of various public and private low and moderate income housing programs;
(2)	To advise the Secretary of Economic and Community Development and the Deputy Secretary of Community Development and Housing in the preparation of an overall, comprehensive State housing plan with specific recommendations to address identified areas of need, which report shall be presented to the Governor and General Assembly;
(3)	To advise the Secretary of Economic and Community Development and the Deputy Secretary of Community Development and Housing with respect to the best use of housing resources under the Deputy Secretary; and
(4)	To advise the Secretary of Economic and Community Development regarding any other matter relating to housing the Secretary may refer to it.
(b)	Nothing herein shall abrogate the existing statutory responsibility of any other agency to develop housing plans and policies relating to specific housing programs.
"§ 143B-438.5. Council membership; compensation; procedures.
(a)	The Housing Coordination and Policy Council shall consist of 15 representatives, as follows:
(1)	Two members of the N.C. Housing Partnership who are experienced with housing programs for low-income persons, as designated by the chairman.
(2)	Two members of the Community Development Council who are experienced with federal, state and local housing programs, as designated by the chairman.
(3)	Two members of the N.C. Housing Finance Agency Board of Directors who are experienced with real estate finance and development, as designated by the chairman.
(4)	One member of the Weatherization Policy Advisory Council who is experienced with community weatherization programs, as designated by the chairman.
(5)	One member of the Governor's Advocacy Council for Persons with Disabilities who is familiar with the housing needs of the disabled.
(6)	The executive director of the Commission of Indian Affairs, or a designee familiar with Indian housing programs.
(7)	The deputy secretary of Community Development and Housing, or a designee familiar with housing programs related to community development and housing functions;
(8)	The assistant secretary of the Division of Aging, or a designee familiar with the housing programs of the division.
(9)	The executive director of the N.C. Housing Finance Agency, or a designee familiar with the housing programs of the agency.
(10)	The director of the Division of Mental Health or a designee familiar with housing for those with mental disabilities.
(11)	The executive director of the N.C. Human Relations Council or a designee familiar with federal and state fair housing laws.
(12)	A chairman designated by the Secretary of Economic and Community Development.
All members except those serving ex officio shall be appointed by the Secretary of Economic and Community Development. The Secretary of Economic and Community Development shall designate one member of the Council to serve as Chair.
(b)	The initial members of the Council other than those serving ex officio shall be appointed to serve for terms of four years and until their successors are appointed and qualified. Any appointment to fill a vacancy created by resignation, dismissal, death, or disability of a member shall be for the balance of the term.
(c)	Members of the Council may receive per diem and necessary travel and subsistence expenses in accordance with the provisions of G.S. 138-5.
(d)	A majority of the Council shall constitute a quorum for the transaction of business.
(e)	All clerical and other services required by the Council shall be supplied by the Secretary of Economic and Community Development.
"§ 143B-438.6. Council meetings; report.
(a)	The Housing Coordination and Policy Council shall meet at least quarterly and may hold special meetings at any time and place within the State at the call of the Chair or upon written request of a majority of the members.
(b)	The Council shall assist in the preparation and filing of an annual written report which contains a review of work completed, a review of ongoing activities, and housing policy recommendations. This report shall be filed with the General Assembly and the Governor by May 1. The report to the 1991 Session of the General Assembly shall contain specific recommendations regarding the further consolidation of housing programs within State government."
Sec. 11.  G.S. 143-320 reads as rewritten:
"§ 143-320. Definitions.
As used in this Article, unless the context otherwise requires:
‘Department' means the Department of Natural Resources and Community Development.
‘Secretary' means the Secretary of Natural Resources and Community  Development.
‘Recreation' means those interests that are diversionary in character and that aid in promoting entertainment, pleasure, relaxation, instruction, and other physical, mental, and cultural developments and experiences of a leisure nature, and includes all governmental, private nonprofit and commercial recreation forms of the recreation field and includes parks, conservation, recreation travel, the use of natural resources, wilderness and high density recreation types and the variety of recreation interests in areas and programs which are incorporated in this range."
Sec. 12.  G.S. 143-323(c) is repealed.
Sec. 13.  G.S. 143B-279(10) is repealed.
Sec. 14.  G.S. 143B-280 reads as rewritten:
"§ 143B-280. Board of Natural Resources and Community Development; duties; members; selection; meetings; quorum; compensation; services.
The Board of Natural Resources and Community Development shall consider and advise the Secretary of Natural Resources and Community Development upon any matter that the Secretary may refer to it. The Board shall assist the Secretary of Natural Resources and Community Development in the development of major programs and recommend priorities for programs within the Department.
The Board of Natural Resources and Community Development shall perform such other duties as may be specifically given to it.
The Board of Natural Resources and Community Development shall consist of the following 20 members. The chairman of each of the following commissions: the Wildlife Resources Commission, the Environmental Management Commission, the Marine Fisheries Commission, the Coastal Resources Commission and the Soil and Water Conservation Commission; the chairman of each of the following councils: the Forestry Council, the Parks and Recreation Council and the North Carolina Zoological Park Council; 11 members at large appointed by the Governor to serve at his pleasure; and the Secretary of Natural Resources and Community Development who shall be a member and chairman ex officio. The Board of Natural Resources and Community Development shall meet at least once in each quarter and may hold special meetings at any time and place within the State at the call of its chairman.
A majority of the Board shall constitute a quorum for the transaction of business.
Members of the Board shall receive per diem and necessary travel expenses in accordance with the provisions of G.S. 138-5.
All clerical and other services required by the Board shall be supplied by the Secretary of Natural Resources and Community Development."
Sec. 15. G.S. 143B-305 through 143B-307 are repealed.
Sec. 16.  There shall be established in the Department of Economic and Community Development a toll-free telephone number to provide information on housing assistance to the citizens of the State.
Sec. 17. Nothing herein shall require the State to appropriate funds to implement the provisions of this act.
Sec. 18.  This act shall become effective July 1, 1989.