House committee substitute to the 1st edition makes the following changes.
Part I
Section 1.4
Adds defined terms CDBG-DR (Community Development Block Grant – Disaster Recovery), FEMA, NCEM (Division of Emergency Management of the Department of Public Safety), and OSBM (Office of State Budget and Management).
Part II
Makes organizational changes.
Section 2.1
Now directs the State Controller to transfer $275 million (was, $500 million) from SERDF to the Helene Fund.  
Section 2.2
Appropriates $500 million from the Helene Fund as follows:
1. Notwithstanding GS 143B-1040(c), $140 million to the Department of Commerce (DOC), Division of Community Revitalization, for the Home Reconstruction and Repair Program (Home Program) with certain directives to ensure maximum reimbursement from federal funds when available.2. $75 million to the Department of Agriculture and Consumer Services (DACS), Division of Soil & Water Conservation for (1) natural restoration projects that enable farmers in the affected area to resume production and protect communities against additional flood damage (specifies what is considered an eligible project) and (2) cost-share, engineering, and technical assistance for eligible projects. Allows using the funds across programs to maximize impact and federal funding.2A. $75 million to DACS for the Hurricane Helene Agricultural Crop Loss Program, described below.3. $100 million to NCEM for the Private Road and Bridge Repair and Replacement as set forth in Section 2.3 of the act, described below.4. $55 million for the Small Business Infrastructure Grant Program (SBIGF), as set forth in Section 2.4 of the act, described below.5. $20 million to the Office of State Budget and Management (OBSM) to distribute to State agencies and units of local government for debris removal unmet needs. Directs the Governor's Recovery Office for Western North Carolina (GROW-NC) and NCEM to assist OSBM in coordinating the debris removal with relevant State agencies and local stakeholders. Requires OBSM to prioritize using the funds to address gaps in debris cleanup not met by other federal and State programs.6. $10 million to NCEM to provide grants to Volunteers Organizations Active in Disaster (VOAD) assisting with disaster response and recovery efforts in the affected area.7. $10 million to the Office of the State Fire Marshal (OSFM) to provide funds for repairs of damage to fire stations and to buildings or vehicles used by rescue squads or EMS providers. Requires OSFM to disburse any remaining funds in equal amounts to all fire departments in the affected area to purchase equipment or make capital improvements to assist with readiness for future emergency response. Authorizes OSFM to use up to $250,000 for administrative costs related to grant disbursement.8. $10 million to the Department of Health and Human Services, Division of Social Services (DSS) to supplemental rental assistance payments in line with Section 4B.7 of SL 2024-53.9. $5 million to DOC for the nonprofit corporation with which  DOC  contracts  pursuant  to GS143B-431.01(b) for targeted media campaigns to encourage both in-state and  out-of-state  tourists  to  return  to  areas  impacted  by  Hurricane  Helene  in 2025,  and  for  grants  to  local  tourism  offices  in  the  affected  area  for  the activities  of  those  offices  and  for  development  of  a  coordinated  market strategy.
Section 2.3
Establishes the Private Road and Bridge Repair and Replacement Program (Program) within NCEM to disburse grants for the repair and replacement of private roads and bridges damaged or destroyed by Hurricane Helene. Requires NCEM to consult with the Department of Transportation (DOT) in administering the Program and develop criteria and an application process to select  private roads and bridges eligible for repair or replacement. Prioritizes applications for the repair and replacement of private roads or bridges that provide the sole option for ingress and egress for (1) emergency services to a residential property  that is occupied by the owner for more than six months of the calendar year, (2) multiple residential homes, or (3) recreation or commercial facilities. Allows the funds to be used to provide technical support and assistance for individuals and local governments to comply with no-rise certification requirements required by FEMA under the National Flood Insurance Program. Directs NCEM to not duplicate efforts if federal assistance or alternate funds are available. Starting on June 20, 2025, and ending on June 30, 2029, requires NCEM to submit annual reports on five specified matters pertaining to the Program to the specified NCGA committee and the Fiscal Research Division. 
Section 2.4
Establishes the Hurricane Helene Agricultural Crop Loss Program within DACS to provide financial assistance to farmers affected by Hurricane Helene. Requires the following in order to be eligible for financial assistance for losses of agricultural commodities: (1) the person experienced a verifiable loss of agricultural commodities or farm infrastructure as a result of Hurricane Helene, and the person’s farm is located in an affected area; and (2) the agricultural commodity was planted but not harvested on or before September 24, 2024, or for aquaculture commodities, the commodities were being raised on or before that date. Defines agricultural commodity as any crop, flowering plant, freshwater aquaculture species, fruit, grain, native grass, ornamental plant, sod, tree, or vegetable (excludes stored grain). Defines farm infrastructure as fencing, greenhouses, barns, equipment, and farm roads or other structures or site improvements used for farming purposes. Sets out requirements for documenting the loss. Requires that a person first qualify for and receive payment through the USDA Livestock Indemnity Program and be a participant in a livestock or poultry indemnity program administered by the USDA Farm Service Agency. Sets out requirements for submitting documentation of loss and indemnity from the USDA Livestock Indemnity Program. Requires a person receiving assistance to provide a signed affidavit, under penalty of perjury, certifying that each fact of the loss presented is accurate. Sets out five criteria that DACS must follow in administering the program, including setting parameters for calculating payments. Allows DACS to audit the recipient’s financial and other records to ensure that the funds are used according to the program’s requirements; sets out further regulations governing these audits. Requires awarded funds to be used for agricultural production expenses and recovery of losses due to the impacts of Hurricane Helene; specifies that funds are subject to State and federal income tax. Requires a person to refund funds if they provided inaccurate information. Requires DACS to report to the specified NCGA division no later than the first day of the month six months after this section becomes effective, and every six months thereafter until all funds are expended or the program expires. Sets out information that must be included in the reports. Sets this program to expire 30 months after this section becomes effective; any funds that are not expended or encumbered at that point revert to the Helene Fund. 
Section 2.5
Establishes the SBIGF, administered by DOC to assist small businesses by providing grants to local governments to expedite infrastructure repairs impacting the operation and patronage of small businesses in the affected area. Sets forth five defined terms. Sets the maximum amount of a grant award as the lesser of the cost of the qualifying infrastructure needs or $ 1 million per project. Directs local governments to use the grants under the SBIGF for qualifying infrastructure needs that DOC determines adversely affect access to or operations of identified small businesses. Provides for an application process and requirements by an eligible local government with qualifying infrastructure needs or a small business therein.  Specifies that grants will be awarded on a first-come, first-served basis to the eligible local government in which the qualifying infrastructure needs are located, and the eligible local government will be responsible for using the grant amount for repairing the needs identified in the application. Allows DOC to retain up to 3% of the appropriated funds or administrative expenses.  Starting on December 15, 2025, and continuing every six months thereafter, requires DOC to submit  report to the specified NCGA committee and the Fiscal Research Division (FRD) on the grants awarded under the SBIGF, including information on the four listed matters in the act. Terminates reporting requirement after award of the final grant by DOC.
Part III
Section 3.1
Further extends the statewide declaration of emergency initially issued by the Governor in Executive Order No. 315 and extended by Section 3.1 of SL 2024-51 until June 1, 2025. Directs this has no effect on the Governor’s Executive Order 322 (October 16, 2024).
Part IV
Section 4.1
Specifies that funds appropriated under Part II of the act revert to the Savings Reserve if not expended or encumbered by June 30, 2030, except as otherwise provided by the act. Requires recipients of State funds under the act to use best efforts and take all reasonable steps to obtain alternative funds to cover losses or needs for which State funds are provided, including insurance funds.  Requires institutions of higher education or non-State entities to seek private donations to help cover the losses or needs for which Sate funds are provided.  Provides for notice to State aid recipients of this requirement. Requires recipients of alternative funds to remit the funds to the State agency from which the State funds were received not exceeding the amount of State funds provided to the recipient. Directs that any contract or other instrument entered into for the receipt of funds to include the alternate funds requirements set out above
Prevents the Governor from using the funds described in the act to make budget adjustments or reallocations. Direct the Governor to ensure that funds allocated in the act are expended in such a manner that does not adversely affect any person's or entity's eligibility for federal funds that are made available, or are anticipated to be made available, as a result of natural disasters and to avoid using State funds to cover costs that will, or likely will, be covered by federal funds.
Requires OSBM to report to the chairs of specified NCGA committees and to the Fiscal Research Division on the implementation of the act on a quarterly basis until the end of the quarter in which all funds are expended. Requires the reports to include six listed categories of information including (1) the current, year-to-date, and total cumulative funds appropriated, receipted from non-State sources, expended, encumbered, and obligated by program and by source of funds; (2) purpose of the program, responsible department or agency and summary of activities; (3) total program spending by county, where practicable; and (4) funds returned to the Savings Reserve, where appropriate.  Requires non-State entity fund recipients to fully cooperate with OSBM so that it can meet its reporting requirements. Directs that if this reporting requirement conflicts the reporting requirements set forth in other Helene recovery bills (Section 7.1(h) of SL 2024-51, as amended by Section 5.6 of SL 2024-53, and Section 3.1(g) of SL 2024-53), then this new requirement supersedes those requirements.
Part V
Section 5.1
Extends the expiration date of the following provisions of SL 2024-51 (Helene I), SL 2024-53 (Helene II), and SL 2024-57 (Helene III) providing regulatory flexibility that are (i) expiring, ending, or otherwise limited in applicability, on any day of March 2025 or (ii) for which no expiration date is specified to the date of expiration of the statewide declaration of emergency issued by the Governor in Executive Order No. 315, concurred to by the Council of State, and extended pursuant to SL 2024-51, this act, or any other enactment of a general law:

Helene I:

Section 10.1 ("Funding Flexibility for Drinking Water and Wastewater 50 Infrastructure Projects").
Section 10.3 ("Storm Debris Open Burning Regulatory Relief").
Section 16.1 ("Extend Grace Period for Corporations, Nonprofits, and LLCs in FEMA-designated Counties to Correct Grounds for Administrative Dissolution").
Helene II:

Section 4E.1 ("Authorize State Agencies to Exercise Regulatory Flexibility for Employment-Related Certifications").
Section 4E.3 ("Flexibility for Building Permit Issuance/Inspections in Disaster Area").
Helene III:

Section 1D.6 ("Temporary Pump and Haul Wastewater Permits").
Section 1D.7 ("Authorize Waiver of Submission and Approval of Sedimentation Pollution Control Plan Prior to Initiation of Land-Disturbing Activities in Certain Circumstances").
Section 1D.8 ("Tree Ordinance Restriction in Disaster Declared Counties").
Section 1E.1 ("Extend Certain Concealed Handgun Permits").
Section 1F.4 ("Authorize the Office of the State Fire Marshal to Promulgate Rules for Temporary Manufactured and Modular Dwellings").







Section 5.2
Extends the time by which the Board of Funeral Service (BFS) may suspend the requirements governing funeral establishment preparation rooms which is strictly private, of suitable size for the embalming of dead bodies from 180 days to two years after a triggering event, including a weather event under GS 90-210.27A (funeral establishments). Now requires a funeral establishment to comply with the licensee requirements and permitting requirements under GS 90-210.25 (licensing) during that time (was, establishment had to comply with certain embalming requirements during that time). Removes requirement for establishment to comply with requirements and regulations of the Division of Health Services (DHS) during that time. Requires an establishment seeking an extension beyond the two-year period to petition a court of competent jurisdiction who,  upon  finding  that  granting  the  requested  extension  would  not negatively affect the public health, safety, and welfare, may grant an additional extension not to exceed three years from the date of loss or one year from the date of the court's order, whichever is greater (was, applies to the Board for an extension up to 90 days). Authorizes the BFS to adopt rules to implement these changes.
Section 5.3
Requires the following to facilitate permanent installation of broadband infrastructure damaged by Hurricane Helene:

For roadway constructors repairing roads or related roadway  infrastructure  located  within  an  affected  county  that  is  one quarter of a mile or longer in total length, then the roadway constructor must collaborate  and  cooperate  with  any  broadband  provider  that  is  repairing  or rebuilding the broadband infrastructure that is or was located in or along the original road right-of-way as specified in the act.
In instances where a roadway constructor has allowed the installation of a temporary backbone broadband service or  repair within a roadway  right-of-way  as an immediate means of restoring the backbone broadband service after damage by Hurricane Helene, requires that constructor to cooperate with the broadband service provider to convert the temporary solution to the permanent solution if the broadband service provider provides evidence that the temporary solution is the most cost effective and efficient means of achieving a permanent solution. 
For the Department of Transportation (DOT) and local governments to allow the underground installation of broadband infrastructure within rights-of-way as needed for repair of broadband infrastructure damaged by Hurricane Helene in affected counties.

Section 5.4
Requires the Department of Adult Correction to coordinate with the Department of Transportation to for the use of inmates to clean up debris resulting from Hurricane Helene on public roads and roadsides in the affected areas. Requires this coordination to be in accordance with GS 148-26(b) (setting out parameters for the employment of minimum and medium custody prisoners in the maintenance and construction of public roads of the State), except for the requirement that the number and location of prisoners be agreed to far enough in advance of each budget.
Section 5.5
Adds new GS 143-49.2 (purchases by volunteer organizations active in disasters) allowing any VOAD member organization in the State to purchase heavy construction equipment and motor vehicles under State contract through the Department of Administration (DOA) if the purchases are used to aid disaster recovery in the State.  Instructs DOA to use the same laws applicable to nonprofit organizations under GS 143-49(6) (powers and duties of the Secretary of Administration). Directs that any proceeds or benefits from the disposition or sale of the purchased goods can only be used for a public purpose.
Adds new GS 143-64.8 (distribution of surplus property for disaster recovery) requiring DOA to regularly publish on its website a list of heavy construction equipment and motor vehicles in its possession and control for review and consideration by units of local government and VOAD member organizations as to the useability of such equipment/vehicles for disaster recovery in the State. Directs DOA to lend out that equipment to local government units and VOAD member organizations on a first-come, first-served basis for five years without assessing or collecting any service charge or fee so long as property distributed that was originally obtained from the United States of America complies with federal guidelines for the distribution of federal property and State law. Prohibits transfer of loaned property.  Provides for ownership of the property by the loanee after the five-year period expires. Directs that any proceeds or benefits from the disposition or sale of the property can only be used for a public purpose. Requires DOA to maintain records of each piece of construction equipment and motor vehicle distributed, including the recipient and the value of the thing distributed. Requires DOA to submit an annual report by February 1 of each year to the specified NCGA committees and the FRD. 
Part VI
Section 6.1
Specifies that the headings to the parts and sections of the act are a convenience do not expand, limit, or define the text of the act, except for effective dates referring to a part or section.
Section 6.2
Contains severability clause.
Makes technical, organizational, and clarifying changes.

Statutes affected:
Edition 2: 90-210.27A