Contains NCGA findings.
Imposes a moratorium on the Environmental Management Commission’s (EMC) issuance of certificates authorizing significant new or increased surface water transfers until six months after the report required herein. Defines significant in the context of a new or increased surface water transfer.
Directs the North Carolina Collaboratory at the University of North Carolina at Chapel Hill (Collaboratory) to study and report on the current statutory process for approval of surface water transfers and recommend any needed legislative revisions. Requires the Collaboratory to submit its findings and report to the 2027 General Assembly when it convenes.
Requires the Collaboratory to specifically review:

The adequacy of the requirements in GS 143-215.22L for an environmental impact study to ensure that all impacts on upstream and downstream water users in the river basin are comprehensively and equitably compiled and considered.
Whether the information EMC uses to decide final certification adequately takes into account (1) issues of economic equity for lower income and lower population communities in the source river basin whose future economic growth may be impacted by the proposed transfer; (2) negative impacts of increases in water pollutant concentration on riverine ecosystems resulting from large surface water transfers; and (3) whether the denial of a surface water transfer request would result in a substantial increase in utility rates or cause a financial hardship due to alternative infrastructure construction costs for the requesting party.
Process changes needed to account for periods of extreme heat, drought, or flooding events impacting the State’s mainstem rivers.
How incentives regarding land use, infrastructure, and drought resiliency policies for parties requesting surface water transfers could be built into the certification process to reduce the size of future transfers needed to meet demand.
Any other matters deemed relevant by the Collaboratory to increase the fairness and effectiveness of surface water transfer certification requirements.

Requires the Collaboratory to consult with the Army Corps of Engineers and other entities that manage water impoundments whose ability to meet present and projected hydroelectric power generation and water supply needs are impacted by significant surface water transfers.