A BILL TO BE ENTITLED
AN ACT to grow a Renewable and Energy‑efficient economy in North Carolina (GREEeN) by establishing a green business fund to be administered by the State Energy Office to provide SEED grants to encourage the development of North Carolina's Green Economy.
The General Assembly of North Carolina enacts:
SECTION 1.  Article 36 of Chapter 143 of the General Statutes is amended by adding a new Part to read:
"Part 4. NC Green Business Fund.
"§ 143‑345.19.  NC Green Business Fund established as a special revenue fund.
(a)	Establishment. – The NC Green Business Fund is established as a special revenue fund in the Department of Administration. The State Energy Office is responsible for administering the Fund.
(b)	Purposes. – Moneys in the NC Green Business Fund shall be allocated pursuant to this subsection. The State Energy Office shall make grants from the Fund to private business with less than 100 employees, nonprofit organizations, local governments, and State agencies to encourage the expansion of small‑ to medium‑size businesses with less than 100 employees to help grow a green economy in the State. Moneys in the NC Green Business Fund shall be used for projects that will focus on the following three priority areas:
(1)	To encourage the development of the bio‑fuels industry in the State. The State Energy Office shall make grants available to maximize development, production, distribution, retail infrastructure, and consumer purchase of bio‑fuels in North Carolina, including workforce development.
(2)	To encourage the development of the green building industry in the State. The State Energy Office shall make grants available to grow a market for installation, certification, building material distribution, energy audits, and marketing and sales of green building in North Carolina, including workforce development. 
(3)	To attract and leverage private‑sector investments and entrepreneurial growth in additional clean technology and renewable energy products and businesses, including workforce development.
"§ 143‑345.19A.  Green Business Fund Advisory Committee.
The State Energy Office may establish an advisory committee to assist in the development of the specific selection criteria and the grant making process of the Green Business Fund.
"§ 143‑345.19B.  Agreements required.
Funds may be disbursed from NC Green Business Fund only in accordance with agreements entered into between the State Energy Office and an eligible grantee. Each agreement must contain the following provisions:
(1)	A description of the acceptable uses of grant proceeds. The agreement may limit the use of funds to specific purposes or may allow the funds to be used for any lawful purposes.
(2)	A provision allowing the State Energy Office to inspect all reasonable records of the business that may be used to confirm compliance with the agreement or with the requirements of this Part.
(3)	A provision establishing the method for determining compliance with the agreement.
(4)	A provision establishing a schedule for disbursement of funds under the agreement.
(5)	A provision requiring recapture of grant funds if a business subsequently fails to comply with the terms of the agreement.
(6)	Any other provision the State finds necessary to ensure the proper use of State funds.
"§ 143‑345.19C.  Program guidelines.
The State Energy Office shall develop guidelines related to the administration of the NC Green Business Fund and to the selection of projects to receive allocations from the Fund, including project evaluation measures. At least 20 days before the effective date of any guidelines or nontechnical amendments to guidelines, the State Energy Office must publish the proposed guidelines on the Office's Web site and provide notice to persons who have requested notice of proposed guidelines. In addition, the Office must accept oral and written comments on the proposed guidelines during the 15 business days beginning on the first day that the Office has completed these notifications. For the purpose of this section, a technical amendment is either of the following:
(1)	An amendment that corrects a spelling or grammatical error.
(2)	An amendment that makes a clarification based on public comment and could have been anticipated by the public notice that immediately preceded the public comment.
"§ 143‑345.19D.  Reports.
The State Energy Office shall conduct an annual audit review of each Green Business Fund grantee to assess project quality assurance. The State Energy Office shall publish a report on the use of funds in the NC Green Business Fund at the end of each fiscal year. The report shall contain information on the commitment, disbursement, and use of funds allocated under the NC Green Business Fund. The report shall also include the State Energy Office's audit review of the Green Business Fund grantees. The report is due no later than September 1 and must be submitted to the following:
(1)	The Joint Legislative Commission on Governmental Operations.
(2)	The chairs of the House of Representatives and Senate Finance Committees.
(3)	The chairs of the House of Representatives and Senate Appropriations Committees.
(4)	The Fiscal Research Division of the General Assembly."
SECTION 2.  There is appropriated from the General Fund to the NC Green Business Fund, created pursuant to Section 1 of this act, the sum of fifteen million dollars ($15,000,000) for each year of the 2007‑2009 fiscal biennium.  The distribution of funding within the Green Business Fund shall follow this priority order:  
(1)	Priority #1:  Bio‑fuels – A minimum of 40% of available funds.
(2)	Priority #2: Green Building – A minimum of 40% of available funds.
(3)	Priority #3:  Green Entrepreneurship – Any remaining available funds.
SECTION 3.  G.S. 147‑68(d1) reads as rewritten:
"(d1)	The Treasurer shall report to the Joint Legislative Commission on Governmental Operations, the chairs of the House of Representatives and Senate Appropriations Committees, the chairs of the House of Representatives and Senate Finance Committees, and the Fiscal Research Division of the General Assembly, on a quarterly basis, concerning all investments and deposits made by and through his office. The report shall include a listing of all investments with or on behalf of the State or any of its agencies or institutions and shall include the particular agency or institution, fund, rate of return, duration of the investment, and the amount of deposit on all noninterest bearing accounts. The first report is due 90 days after July 1, 1982, and shall include all investments and deposits made during the 1981‑82 fiscal year and all investments made during the first quarter of the 1982‑83 fiscal year; thereafter, reports shall be made on a quarterly basis including all investments and deposits made during that reporting period. The report shall include a specific listing of all investments made with certified green managers and companies and funds that support sustainable practices, including the names of the companies, managers, and funds, the amount invested, and the State's return on investment."
SECTION 4.  This act becomes effective July 1, 2007.