A BILL TO BE ENTITLED
AN ACT to require businesses seeking economic development incentives to disclose incentives offers from other jurisdictions and to authorize the State to work with other interested parties on the development of a model agreement limiting the use of incentives.
The General Assembly of North Carolina enacts:
SECTION 1.  Part 2 of Article 10 of Chapter 143B of the General Statutes is amended by adding a new section to read:
"§ 143B‑435.2.  Disclosure required.
(a)	Findings. – It is the policy of the State to make wise and judicious use of its resources with regard to economic development. Economic research has found that asymmetrical information can distort markets and create economic inefficiencies. As such, the State's objectives can more easily be achieved when the State has adequate information in order to determine the appropriateness of the use of incentives in a particular case.
(b)	Disclosure Required. – When a business makes an application under one of the programs listed in subsection (c) of this section, the business shall disclose all of the information listed in this section. The business shall make the disclosure under oath on a form supplied by the Department of Commerce. The business shall update the disclosure when new information becomes available up until the time the Department has made a final decision on the application. The requirements of this section are in addition to any other disclosure requirement related to a specific program or general law. The disclosure statements are public records governed by Chapter 132 of the General Statutes and any applicable provisions of the General Statutes protecting confidential information. The business shall disclose the following information:
(1)	Other sites, including sites outside of the State, that the business is considering for the location or expansion of the business or industrial project for which an application is made.
(2)	The nature and value of any economic development incentives that are offered by a unit of government or agency or instrumentality thereof with respect to each site that is under consideration.
(3)	The nature and value of any economic development incentives for which the business is eligible by operation of law with respect to each site that is under consideration.
(4)	The nature and value of any economic development incentives for which the business has applied with respect to each site that is under consideration.
(c)	This section applies to applications for the following programs:
(1)	The Site Infrastructure Development Fund established under G.S. 143B‑437.02.
(2)	The Job Maintenance and Capital Development Fund established under G.S. 143B‑437.11.
(3)	The Job Development Investment Grant Program established under Part 2G of this Article.
(4)	The One North Carolina Fund established under Part 2H of this Article, but not including the One North Carolina Small Business Program established under Part 2I of this Article."
SECTION 2.  The General Assembly makes the following findings:
(1)	In the current environment, economic development incentives are used to advance the public purposes of creating jobs, diversifying the State's economy, increasing the State and local tax bases, and increasing net State and local revenues.
(2)	Economic development incentives may involve certain inefficiencies in some cases.
(3)	The best interests of the State lie in changing the competitive environment so that economic development incentives play less of a role in addressing the State's needs with respect to economic development.
(4)	The State has limited power to change the competitive environment on its own and its best option for changing that environment lies in cooperation with other jurisdictions.
SECTION 3.  It is the intent of the General Assembly that the State explore options for multijurisdiction agreements that would limit the use of economic development incentives.  The State shall work with other interested parties for the development of a model agreement limiting the use of incentives.  This section does not authorize any statutory changes absent further action by the General Assembly.
SECTION 4.  This act is effective when it becomes law and applies to applications made on or after that date.