A BILL TO BE ENTITLED
AN ACT TO MODIFY THE FY 2005‑2006 AND 2006‑2007 TRANSFER FROM the TOBACCO TRUST FUND DESIGNATED IN SESSION LAW 2005‑276, SENATE BILL 622.
The General Assembly of North Carolina enacts:
SECTION 1.  Section 2.2(a) of S.L. 2005‑276 reads as rewritten:
"GENERAL FUND AVAILABILITY STATEMENT
SECTION 2.2.(a)  The General Fund availability used in developing the 2005‑2007 biennial budget is shown below:
	FY 2005‑2006	FY 2006‑2007

Unappropriated Balance Remaining 
	from Previous Year	$	0	$	117,227,875
Projected Over Collections FY 2004‑2005	681,500,000	0
Projected Reversions FY 2004‑2005	115,000,000	0
Less Earmarkings of Year End Credit Balance		0
	Savings Reserve Account	(199,125,000)	0
	Repairs and Renovations	(125,000,000)	0
Beginning Unreserved Credit Balance	$	472,375,000	$	114,345,875

Revenues Based on Existing Tax Structure	$ 15,417,300,000	$ 16,993,257,284

Nontax Revenues
	Investment Income	74,800,000	78,700,000
	Judicial Fees	144,800,000	148,300,000
	Disproportionate Share	100,000,000	100,000,000
	Insurance	49,500,000	51,300,000
	Other Nontax Revenues	138,000,000	151,300,000
	Highway Trust Fund/Use Tax
		Reimbursement Transfer	252,558,117	252,663,009
	Highway Fund Transfer	16,166,400	16,166,400
Subtotal Nontax Revenues	$	775,824,517	$	798,429,409

Total General Fund Availability	$ 16,665,499,517	$ 16,990,375,284

Adjustments to Availability:  2005 Session		
	Streamlined Sales Tax Changes	40,000,000	61,700,000
	Maintain 4.5% Sales Tax Rate	417,100,000	462,700,000
	Other Sales Tax Changes
		Apply Sales Tax to Candy	9,800,000	15,800,000
		Apply General Sales Tax Rate to Cable	10,900,000	26,100,000
		Exempt Potting Soil for Farmers	(200,000)	(300,000)
	Tobacco Tax Rate Changes	118,800,000	189,400,000
	Extend 8.25% Individual Income
		Tax Rate for 2 years	39,800,000	89,700,000
	Continue Use Tax Line on Individual Returns	3,200,000	3,200,000
	Conform Estate Tax to Federal Sunset	29,100,000	115,600,000
	Film Industry Jobs Incentives	(3,500,000)	(3,500,000)
	IRC Update – Partial Conformance	(8,000,000)	(10,700,000)
	Adjust Rates for Health Maintenance
		Organizations	0	14,300,000
	Increase Earmarking for 
		NC Grape Growers Council	(150,000)	(150,000)
	Proceeds from the Sale of the Polk Building	4,977,781	0
	Justice and Public Safety Fees	17,028,271	20,428,271
	Transfer from Tobacco Trust Fund						30,000,000	25,000,000
	Transfers from Special Revenue and Other Funds	5,453,950	0
	Reimburse Debt Service for
		Certain Capital Facilities and
		Land Acquisition per S.L. 2004‑179	5,958,723	21,060,827
	Transfer to Civil Penalty and Forfeiture Fund	(80,000,000)	(85,000,000)
	Suspend Highway Fund Transfer	(16,166,400)	(16,166,400)
	Adjust Transfer from Insurance Regulatory Fund	389,013	243,813
	Adjust Transfer from Treasurer's Office	468,478	67,478

Subtotal Adjustments to Availability:
	2005 Session			
					$ 624,959,816	$ 929,483,989
		
Revised General Fund Availability		
				$ 17,290,459,333	$ 17,922,741,273
		
Less: General Fund Appropriations
	SB 622 (2005 Appropriations Act)	(17,077,231,458)	(17,293,127,963)
	G.S. 143‑15.3B:  Clean Water
		Management Trust Fund 	(100,000,000)	(100,000,000)

Total General Fund Appropriations
	2005‑2007 Biennium		
				($17,173,231,458)	($17,387,127,963)
		
Unappropriated Balance Remaining			
					$ 113,227,875	$ 529,613,310"
SECTION 2.  Section 2.2(b) of S.L. 2005‑276 reads as rewritten:
"SECTION 2.2.(b)  Notwithstanding G.S. 143‑16.4(a2), of the funds credited to the Tobacco Trust Account from the Master Settlement Agreement pursuant to Section 6(2) of S.L. 1999‑2 during the 2005‑2007 fiscal biennium, the sum of thirty million dollars ($30,000,000) for the 2005‑2006 fiscal year and the sum of twenty‑five million dollars ($25,000,000) for the 2006‑2007 fiscal year shall be transferred from the Department of Agriculture and Consumer Services, Budget Code 23703 (Tobacco Trust Fund) to the State Controller to be deposited in Nontax Budget Code 19978 (Intrastate Transfers) to support General Fund appropriations for the 2005‑2006 and 2006‑2007 fiscal years."
SECTION 3.  This act becomes effective July 1, 2005.