Part I
Appropriates $217 million from SERDF (the State Emergency Response and Disaster Relief Fund) to the Department of Public Safety (DPS), Office of Recovery and Resiliency (NCORR) for 2025-26 to complete the homeowners recovery projects for Hurricanes Matthew and Florence.
Sets forth a reporting schedule for NCORR to submit regular reports to the specified NCGA committee and the Fiscal Research Division (FRD), on all funds allocated to homeowner recovery projects for Hurricanes Matthew and Florence and thereafter regularly report future disbursements of all funds allocated to homeowner recovery projects as they are disbursed until all homeowner recovery projects are completed. Requires the reports to include expenditures, obligations, encumbrances, and associated Notices to Proceed or other documentation relating to funds appropriated by or received for those purposes. Sets forth a reporting schedule. Directs NCORR to prioritize entering into an MOU with the Housing Finance Agency to receive eligible funding and spending those funds for the unmet needs for the homeowner recovery projects. Directs that, if after the homeowner recovery projects for Hurricanes Matthew and Florence are completed, NCORR has remaining funds appropriated for the program, then those funds revert to the Savings Reserve. Directs NCORR to reevaluate all persons who were removed, denied, or otherwise ruled ineligible by NCORR within the past 180 calendar days within 30 calendar days after the act becoming law. Requires NCORR to submit reports to the Office of the State Auditor and to send information and documents relating to funds already disbursed to the Auditor within seven business days after the act becomes law. Requires NCORR to provide an accounting and explanation of any failure to timely report expenditures to the Auditor and the specified NCGA committee. Requires the Auditor to produce reports to the specified NCGA committee upon request. Also requires the Auditor to conduct additional periodic financial and performance audits of the Division of Emergency Management of DPS, the Governor's Recovery Office for Western North Carolina, and any additional financial or performance audits as requested by the General Assembly. Provides for a public dashboard to be provided by the Auditor on the amount spent by the executive branch for Hurricanes Matthew and Florence relief.  Provides for OSBM to provide ongoing financial monitoring of the Office for the duration of the Office's operations, including funding for previous, current, and future storm recovery programs. Directs OSBM to oversee and track the Office's budget, expenditures, and obligations through OSBM's Office of Internal Audit or  appropriate combination of OSBM staff. Directs that to the extent any provision of this section conflicts with a previous reporting  requirement under SL 2024-51 (Disaster Recovery Act of 2024), SL 2024-53 (Modifications to the Disaster Recovery Act of 2024), or SL 2024-57 (Further Modifications and Additional Appropriations for Disaster Recovery), this act supersedes those provisions.
Appropriates $1.5 million from SERDF to the Office of State Fire Marshal for supplies and equipment needed for an emergency operations center and new office space.
Part II
Removes provisions in GS 143B-1040 (Office of Recovery and Resiliency) pertaining to the administration of Community Development Block Grant Disaster Recovery awards.
Part III
Directs that funds appropriated in this act revert to the Savings Reserve if not expended or encumbered by June 30, 2027. Requires recipients of funds under the act to use best efforts and take reasonable efforts to obtain alternative funds to cover the losses or needs for which the State funds are provided. Provides for notice to recipients of such funds about these requirements. Requires remittance of funds back to the State agency from which they were received if alternative funds are obtained. Provides for contract requirements. Specifies that the Governor cannot use the funds in this act to make budget adjustments or reallocations. Directs the Governor to ensure that funds allocated in the act are expended in a manner that does not adversely affect any person's or entity's eligibility for federal funds that are made available, or that are anticipated to be made available, as a result of natural disasters. And, to the extent practicable, avoid using State funds to cover costs that will be, or likely will be, covered by federal funds.

Statutes affected:
Filed: 143B-1040