GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

H	1 

HOUSE BILL 1777*

Short Title:  Dare Utility Undergrounding Amendments.  	(Local)

─────────────────────────────────────── 
Sponsors: Representative Culpepper.

─────────────────────────────────────── 
Referred to:  Rules, Calendar, and Operations of the House.

─────────────────────────────────────── 

May 25, 2000

A BILL TO BE ENTITLED
AN ACT TO ALLOW DARE COUNTY TO EXPAND THE PURPOSE OF SPECIAL TAX DISTRICTS TO UNDERGROUND ELECTRIC UTILITY LINES SO AS TO ALLOW UNDERGROUNDING OF TELEPHONE AND CABLE TELEVISION LINES.
The General Assembly of North Carolina enacts:
Section 1.  Section 1.1 of S.L. 1999-127 reads as rewritten:
"Section 1.1. Authorization to Create Utility District.  A county board of commissioners may create one or more Utility Districts for the purpose of raising and expending funds to underground electric, telephone, and cable television utility lines in the district."
Section 2.  Section 5(a) of S.L. 1999-127 reads as rewritten:
"Section 5.(a)	Powers. By resolution the board of commissioners of the county, acting ex officio on behalf of the Utility District, may levy a tax of up to:
(1)	One dollar ($1.00) per month on each residential electric power customer bill for service within the district, and up to five dollars ($5.00) per month on each commercial or industrial electric power customer bill within the district.
(2)	One dollar ($1.00) per month on each residential telephone customer bill for service within the district, and up to five dollars ($5.00) per month on each commercial or industrial telephone customer bill within the district.
(3)	One dollar ($1.00) per month on each cable television customer bill for service within the district."
Section 3.  Section 6 of S.L. 1999-127 reads as rewritten:
"Section 6. Use of Funds.  The taxes levied under this act, after being expended for the necessary administrative expenses of the utility district, shall be used only for undergrounding of electric, telephone, and cable television utility lines within the district.  The budget for the Utility District shall be adopted by the special commission for that district."
Section 4.  Section 9(b) of S.L. 199-127 reads as rewritten:
"Section 9.(b)	Collection.  Every utility subject to a tax authorized by this act shall, on and after the effective date of the levy of the tax, collect the tax.  The tax shall be collected as part of the charge for furnishing service. The tax shall be stated and charged separately and shall be paid by the purchaser to the utility as trustee for and on account of the Utility District.  The tax shall be added to the sales price and shall be passed on to the purchaser instead of being borne by the utility.  The Utility District shall design, print, and furnish to all appropriate utilities in the district the necessary forms for filing returns and instructions to ensure the full collection of the tax.  A utility who collects a tax authorized by this act may deduct from the amount remitted to the Utility District a discount equal to the discount the State allows the utility for State sales and use tax.  For the purpose of this act, a utility includes a government entity providing service, a cooperative, and any other utility.  A utility shall have the same right to suspend or terminate service for nonpayment of the tax that it has to suspend or terminate service for payment of any other part of the utility bill. The obligation of the utility to pay the tax if the customer has not paid the bill is the same as its liability under G.S. 105-164.4(a)(4a)."
Section 5.  Section 5 of S.L. 1999-127 is amended by adding a new subsection to read:
“Section 5.(b)	The board of commissioners may exempt from payment of the tax any person for whom the payment would work an unreasonable financial hardship in accordance with criteria established by the board of commissioners."
Section 6.  This act is effective when it becomes law.