GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1991

H	1 

HOUSE BILL 363

Short Title:  Area Auth. Property.	(Public)
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Sponsors: Representative Flaherty.
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Referred to:  Appropriations.
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March 28, 1991

A BILL TO BE ENTITLED
AN ACT TO REGULATE ACQUISITION OF PROPERTY BY AREA MENTAL HEALTH, DEVELOPMENTAL DISABILITIES, AND SUBSTANCE ABUSE AUTHORITIES.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 122C-147(b) reads as rewritten:
"(b)	Unless otherwise specified by the Secretary, State appropriations to area authorities shall be used exclusively for the operating costs of the area authority; provided however:
(1)	 
	The Secretary may specify that designated State funds may be used by an area authority in fulfilling its responsibilities under G.S. 122C-117, for the purchase, alteration, improvement, or periodic payments on a real property mortgage in (i) the name of the county or area authority for facilities operated by the area authority or (ii) in the name of a private, nonprofit corporation under contract with an area authority, when the contract is for the purpose of assisting the area authority in fulfilling its responsibilities under G.S. 122C-117.
(2)	Upon cessation of the use of a facility by the area authority, if operated by the area authority, or upon termination, default, or nonrenewal of the contract if operated by a contractual agency, the Department shall be reimbursed a proportionate share of value, based on the State's investment, in accordance with rules adopted by the Secretary, when State funds have been paid on a grant, lump sum, or mortgage basis."
Sec. 2.  This act becomes effective July 1, 1991.