A BILL TO BE ENTITLED
AN ACT to amend the north carolina professional employer organization act concerning bonding provisions and maintenance of employee benefits, and to clarify the application of tax credits and other incentives to professional employer organizations.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 58‑89A‑50(a) reads as rewritten:
"(a)	An applicant for licensure shall file with the Commissioner a surety bond for the benefit of the Commissioner as follows:
(1)	If the applicant was initially licensed prior to October 1, 2008, the bond, or other items as provided for in subsection (f) of this section, shall be in the amount of one hundred thousand dollars ($100,000).
(2)	If the applicant was not initially licensed prior to October 1, 2008, the bond, or other items as provided for in subsection (f) of this section, shall be in an amount equal to five percent (5%) of the applicant's prior year's total North Carolina wages, benefits, workers compensation premiums, and unemployment compensation contributions, but not greater than five hundred thousand dollars ($500,000), or such greater amount as the Commissioner may require."
SECTION 2.  G.S. 58‑89A‑105 is amended by adding a new subsection to read:
"(a1)	A client company may sponsor and maintain employee benefit plans for the benefit of assigned employees."
SECTION 3.  G.S. 58‑89A‑31 reads as rewritten:
"§ 58‑89A‑31.  Tax credits and other incentives.
For purposes of determination of tax credits and other economic incentives provided by the State or a political subdivision and based on employment, covered employees are considered employees solely of the client. A client shall be entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of the client. Each professional employer organization must provide, upon request by a client, employment information that is required by any agency or department of the State or a political subdivision responsible for administration of any tax credit or economic incentive and that is necessary to support a request, claim, application, or other action by a client seeking the tax credit or economic incentive. For purposes of this section, the term "political subdivision" has the same meaning as in G.S. 162A‑65(a)(8)."
SECTION 4.  This act is effective when it becomes law.