A BILL TO BE ENTITLED
AN ACT to align the authorized purposes for special assessments for critical infrastructure needs with the purposes of project development financing, clarify the law concerning financing a project for which assessments may be pledged, and exempt private entities that implement projects for which ASSESSMENTs may be pledged from the competitive bidding requirements of local governments.
The General Assembly of North Carolina enacts:
SECTION 1.(a)  G.S. 153A‑210.2(a) reads as rewritten:
"(a)	Projects. – The board of commissioners of a county may make special assessments as provided in this Article against benefited property within the county for the purpose of financing the capital costs of projects for which project development financing debt instruments may be issued under G.S. 159‑103. 
						"
SECTION 1.(b)  G.S. 153A‑210.4 reads as rewritten:
"§ 153A‑210.4.  Financing a project for which an assessment is imposed.
(a)	Financing Sources. – A board of commissioners may provide for the payment of the cost of a project for which an assessment may be imposed under this Article from one or more of the financing sources listed in this subsection.  The assessment resolution must include the estimated cost of the project and the amount of the cost to be derived from each respective financing source.
(1)	Revenue bonds issued under G.S. 153A‑210.6.
(2)	Project development financing debt instruments issued under the North Carolina Project Development Financing Act, Article 6 of Chapter 159 of the General Statutes.
(3)	General obligation bonds issued under the Local Government Bond Act, Article 4 of Chapter 159 of the General Statutes.
(4)	General revenues.
(b)	Assessments Pledged. – An assessment imposed under this Article may be pledged to secure revenue bonds under G.S. 153A‑210.6 or as additional security for a project development financing debt instrument under G.S. 159‑111. If an assessment imposed under this Article is pledged to secure financing, the board of commissioners must covenant to enforce the payment of the assessments."
SECTION 1.(c)  Article 9A of Chapter 153A is amended by adding a new section to read:
"§ 153A‑210.7.  Project implementation.
A county may act directly, through one or more contracts with other public agencies, through one or more contracts with private agencies, or by any combination thereof to implement the project financed in whole or in part by the imposition of an assessment imposed under this Article. A private agency that enters into a contract with a county for the implementation of all or part of the project is subject to the provisions of Article 8 of Chapter 143 of the General Statutes only to the extent specified in the contract."
SECTION 2.(a)  G.S. 160A‑239.2(a) reads as rewritten:
"(a)	Projects. – The council of a city may make special assessments as provided in this Article against benefited property within the city for the purpose of financing the capital costs of projects for which project development financing debt instruments may be issued under G.S. 159‑103. 
						"
SECTION 2.(b)  G.S. 160A‑239.4 reads as rewritten:
"§ 160A‑239.4.  Financing a project for which an assessment is imposed.
(a)	Financing Sources. – A city council may provide for the payment of the cost of a project for which an assessment may be imposed under this Article from one or more financing sources listed in this subsection. The assessment resolution must include the estimated cost of the project and the amount of the cost to be derived from the respective financing source.
(1)	Revenue bonds issued under G.S. 160A‑239.6.
(2)	Project development financing debt instruments issued under the North Carolina Project Development Financing Act, Article 6 of Chapter 159 of the General Statutes.
(3)	General obligation bonds issued under the Local Government Bond Act, Article 4 of Chapter 159 of the General Statutes.
(4)	General revenues.
(b)	Assessments Pledged. – An assessment imposed under this Article may be pledged to secure revenue bonds under G.S. 153A‑210.6 or as additional security for a project development financing debt instrument under G.S. 159‑111. If an assessment imposed under this Article is pledged to secure financing, the city council must covenant to enforce the payment of the assessments."
SECTION 2.(c)  Article 10A of Chapter 160A of the General Statutes is amended by adding a new section to read:
"§ 160A‑239.7.  Project implementation.
A city may act directly, through one or more contracts with other public agencies, through one or more contracts with private agencies, or by any combination thereof to implement the project financed in whole or in part by the imposition of an assessment imposed under this Article. A private agency that enters into a contract with a city for the implementation of all or part of the project is subject to the provisions of Article 8 of Chapter 143 of the General Statutes only to the extent specified in the contract."
SECTION 3.  This act is effective when it becomes law.