HB 185 (Edition 1)

GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2025

H 1

HOUSE BILL 185

Short Title: Transylvania Rural Development Authority.		(Local)
Sponsors:	Representative Clampitt. For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to:	Judiciary 1, if favorable, State and Local Government, if favorable, Rules, Calendar, and Operations of the House

February 26, 2025

A BILL TO BE ENTITLED

AN ACT establishing the transylvania rural development authority.

The General Assembly of North Carolina enacts:

SECTION 1. Establishment. – There is hereby established a separate and independent body corporate and politic to be known as the Transylvania Rural Development Authority (hereinafter "Authority"). The Authority shall have all the powers and duties granted to a rural development authority established under Chapter 988 of the Session Laws of 1965, as amended by Chapter 931 of the Session Laws of 1969 and S.L. 2023‑143; provided, however, the board of commissioners of Transylvania County shall have no authority over the Authority.

SECTION 2. Membership; Organization; Removal. – (a) There shall be nine members of the Authority who shall be appointed as follows: three members by the Governor, three members by the President Pro Tempore of the Senate, and three members by the Speaker of the House of Representatives. Each member shall be a resident of Transylvania County and shall serve a term of five years; provided, however, in order to stagger the members' terms, each appointing authority shall, in appointing the initial members, appoint one member to serve a term of two years, one member to serve a term of three years, and one member to serve a term of five years. A member shall hold office until his or her successor is appointed and qualified. Vacancies for unexpired terms shall be promptly filled by the original appointing authority, and the person appointed shall serve for the remainder of the unexpired term. A member shall receive no compensation for his or her services but shall, within the limit of available funds, be entitled to reimbursement of necessary expenses, including travel expenses, incurred in the discharge of his or her duties.

(b) The members of the Authority shall select from among their membership a person to serve as chair, vice‑chair, and any other officers they deem necessary to conduct the business of the Authority. The Authority shall adopt rules and regulations not inconsistent with the provisions of Chapter 988 of the Session Laws of 1965, as amended, as necessary for the proper discharge of its duties. The chair may appoint committees as may be authorized by the Authority's rules and regulations. The Authority shall meet regularly at the times and places specified in its rules and regulations, and special meetings may be called pursuant to those rules. All meetings shall be open to the public. A majority of the members shall constitute a quorum for all purposes.

(c) A member of the Authority may be removed by the Governor for inefficiency or neglect of duty or misconduct in office. No member shall be removed unless he or she has been given a copy of the charges at least 10 days prior to the hearing thereon and has been given an opportunity to be heard in person or by counsel.

SECTION 3. Staff; Employees. – Within the limits of available funds, the Authority may appoint a secretary, legal counsel, technical experts, and any other officers, agents, and employees as it may require and shall determine their qualifications, duties, and compensation. The Authority may delegate to one or more of its members, agents, or employees such powers and duties as it deems necessary to carry out its powers and duties, subject always to the supervision and control of the Authority.

SECTION 4. Interest of Members or Employees. – No member or employee of the Authority shall (i) acquire any interest, direct or indirect, in any development project or any property included, or planned to be included, in any development project, or in any area which the member or employee may have reason to believe may be included in any development project or (ii) have any interest, direct or indirect, in any contract or proposed contract for materials or services to be furnished or used by the Authority or in connection with any development project. The acquisition of any interest in a development project or in any property or contract as described in this section shall constitute misconduct in office. If any member or employee of the Authority shall have already owned or controlled within the preceding two years any interest, direct or indirect, in any property later included or planned to be included in any development project under the jurisdiction of the Authority, or has any interest in any contract for material or services to be furnished or used in connection with any development project, the member or employee shall disclose the same in writing to the Authority, and the disclosure shall be entered upon the minutes of the Authority. Failure to make a disclosure, as required by this section, shall constitute misconduct in office.

SECTION 5. Certificate of Incorporation. – The Authority shall cause a copy of this act to be filed in the office of the Secretary of State and, upon receipt of the same, the Secretary of State shall issue a certificate of incorporation. In any suit, action, or proceeding involving or relating to the validity or enforcement of any contract or act of the Authority, a copy of the certificate of incorporation duly certified by the Secretary of State shall be admissible in evidence and shall be conclusive proof of the legal establishment of the Authority.

SECTION 6. Environmental Issues. – Notwithstanding any other provision of law, neither Transylvania County nor any other county, the State of North Carolina, or any other governmental unit that provides funds to the Authority or collaborates with the Authority on a development project or other project shall be liable for any environmental issues, known or unknown, related to the project solely because of providing funds to or collaborating with the Authority.

SECTION 7. Section 23 of Chapter 988 of the Session Laws of 1965, as amended by Chapter 931 of the Session Laws of 1969 and S.L. 2023‑143, reads as rewritten:

"Sec. 23. This Act shall only apply to the counties of Cherokee, Clay, Graham, Jackson, Macon, Swain, ~~Transylvania,~~ and Yancey."

SECTION 8. This act is effective when it becomes law.