H.B. 555
GENERAL ASSEMBLY OF NORTH CAROLINA
Apr 13, 2021
SESSION 2021 HOUSE PRINCIPAL CLERK
H D
HOUSE BILL DRH40330-MLxfa-101F
Short Title: 2021 Governor's Budget. (Public)
Sponsors: Representative Saine.
Referred to:
1 A BILL TO BE ENTITLED
2 AN ACT TO MAKE BASE BUDGET APPROPRIATIONS FOR CURRENT OPERATIONS
3 OF STATE DEPARTMENTS, INSTITUTIONS, AND AGENCIES, AND FOR OTHER
4 PURPOSES.
5
6 The General Assembly of North Carolina enacts:
7
8 PART I. TITLE AND INTRODUCTION
9
10 TITLE OF ACT
11 SECTION 1.1. This act shall be known as the "Current Operations Appropriations
12 Act of 2021."
13
14 INTRODUCTION
15 SECTION 1.2. The appropriations made in this act are for maximum amounts
16 necessary to provide the services and accomplish the purposes described in the budget in
17 accordance with the State Budget Act. Savings shall be effected where the total amounts
18 appropriated are not required to perform these services and accomplish these purposes, and the
19 savings shall revert to the appropriate fund at the end of each fiscal year, except as otherwise
20 provided by law.
21
22 PART II. CURRENT OPERATIONS AND EXPANSION/GENERAL FUND
23
24 GENERAL FUND APPROPRIATIONS
25 SECTION 2.1.(a) Appropriations from the General Fund for the budgets of the State
26 departments, institutions, and agencies, and for other purposes as enumerated, are made for each
27 year of the 2021-2023 fiscal biennium, according to the following schedule:
28
29 Current Operations – General Fund FY 2021-2022 FY 2022-2023
30
31 EDUCATION
32 Community College System 1,432,724,578 1,420,069,224
33
34 Public Instruction 11,131,752,838 11,651,562,774
35
36 Appalachian State University $149,908,008 $149,908,008
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 General Assembly Of North Carolina Session 2021
1 East Carolina University
2 Academic Affairs $237,020,776 $237,023,882
3 Health Affairs $78,885,988 $78,885,988
4 Elizabeth City State University $37,428,716 $37,428,716
5 Fayetteville State $56,759,060 $56,759,060
6 NC A&T State University $100,216,469 $102,732,073
7 NC Central University $90,190,962 $88,690,962
8 NC State University
9 Academic Affairs $430,077,583 $430,138,733
10 Agricultural Extension $41,475,407 $41,475,407
11 Agricultural Research $55,527,028 $55,527,028
12 UNC-Asheville $41,742,078 $41,742,078
13 UNC-Chapel Hill
14 Academic Affairs $282,468,198 $282,468,198
15 Health Affairs $202,537,781 $202,537,781
16 AHEC $54,548,874 $54,548,874
17 UNC-Charlotte $260,161,673 $260,161,673
18 UNC-Greensboro $181,883,221 $181,883,221
19 UNC-Pembroke $79,821,812 $79,820,733
20 UNC-School of the Arts $34,894,255 $34,894,255
21 UNC-Wilmington $147,888,777 $147,888,777
22 Western Carolina University $133,841,637 $133,879,328
23 Winston-Salem State University $67,004,094 $66,504,094
24 General Administration $44,758,667 $44,758,667
25 University Institutional Programs $402,786,427 $558,475,983
26 Related Educational Programs $125,640,501 $133,443,751
27 NC School of Science and Math $26,924,672 $26,924,672
28 Aid to Private Institutions $167,349,756 $185,849,756
29 Total – University of North Carolina $3,531,742,420 $3,714,351,698
30
31 HEALTH AND HUMAN SERVICES
32 Department of Health and Human Services
33 Aging and Adult Services 57,796,400 57,879,301
34 Central Management and Support 208,424,991 208,958,534
35 Child Development and Early Education 251,368,114 276,612,732
36 Health Benefits 4,069,530,904 4,628,434,153
37 Health Services Regulation 23,319,672 24,034,219
38 Mental Hlth/Dev. Disabl./Subs. Abuse Serv. 835,855,328 844,608,700
39 Public Health 171,399,274 175,060,760
40 Services for the Blind, Deaf and Hard of Hearing 9,016,973 9,126,300
41 Social Services 212,985,919 213,940,500
42 Vocational Rehabilitation 42,410,103 41,892,928
43 Total Health and Human Services 5,882,107,678 6,480,548,127
44
45 AGRICULTURE, NATURAL, AND ECONOMIC RESOURCES
46 Agriculture and Consumer Services 152,533,429 149,937,142
47
48 Department of Commerce
49 Commerce 14,590,436 15,150,890
50 General State Aid 19,155,810 19,155,810
51 Economic Development 147,175,700 170,175,700
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2 Environmental Quality 145,238,498 133,487,536
3
4 Labor 23,992,455 24,506,693
5
6 Department of Natural and Cultural Resources
7 Natural and Cultural Resources 215,857,072 214,932,002
8 Roanoke Island 590,328 590,328
9
10 Wildlife Resources Commission 13,701,079 14,002,646
11
12 JUSTICE AND PUBLIC SAFETY
13 Judicial Department 653,859,151 668,876,476
14
15 Judicial Department – Indigent Defense Services 142,021,396 152,581,619
16
17 Department of Justice 63,471,445 61,889,725
18
19 Department of Public Safety 2,450,167,703 2,475,798,251
20
21 GENERAL GOVERNMENT
22
23 Department of Administration 75,423,383 63,108,394
24
25 Office of Administrative Hearings 7,350,101 7,507,187
26
27 State Board of Elections 10,801,670 10,329,678
28
29 Office of State Auditor 16,543,955 16,935,699
30
31 Office of State Controller 30,081,779 31,592,208
32
33 General Assembly 82,023,510 81,736,245
34
35 Office of the Governor 6,764,054 6,897,892
36
37 Office of State Budget and Management
38 Office of State Budget and Management 11,029,977 11,216,556
39 OSBM – Reserve for Special Appropriations 2,000,000 2,000,000
40
41 Housing Finance Agency 18,320,000 18,320,000
42
43 Office of State Human Resource 12,374,712 13,296,573
44
45 Department of Insurance
46 Insurance 46,999,830 47,868,084
47 Insurance – Industrial Commission 9,173,603 9,316,257
48
49 Office of Lieutenant Governor 1,060,186 1,083,866
50
51 Department of Military and Veterans Affairs 15,208,815 14,369,044
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2 Department of Revenue 115,674,781 116,964,109
3
4 Department of Secretary of State 18,611,994 18,484,540
5
6 Department of State Treasurer
7 Treasurer 5,465,106 5,502,186
8 Treasurer – Retirement for Fire and
9 Rescue Squad Workers 32,370,423 32,720,423
10
11 Information Technology 61,308,332 61,711,145
12
13 RESERVES, DEBT, AND OTHER BUDGETS
14 General Debt Service 686,250,070 693,199,242
15
16 Federal Debt Service 1,616,380 1,616,380
17
18 Statewide Reserves
19 OSHR Minimum of Market Adjustment 3,500,000 3,500,000
20 Reserve for Salary Adjustments 6,450,000 6,450,000
21 Contingent and Emergency Reserve 2,000,000 2,000,000
22 Workers Compensation Settlement Reserve 5,000,000 5,000,000
23 IT Rate Reserve 1,720,000 1,720,000
24 State Capital Infrastructure Fund 15,000,000 15,000,000
25
26 Total Net Appropriation 27,320,804,677 28,667,062,349
27
28 SECTION 2.1.(b) For purposes of this act and the Committee Report described in
29 Section 42.2 of this act, the requirements set forth in this section represent the total amount of
30 funds, including agency receipts, appropriated to an agency, department, or institution.
31
32 GENERAL FUND AVAILABILITY
33 SECTION 2.2.(a) The General Fund availability derived from State tax revenue,
34 nontax revenue, and other adjustments used in developing the budget for each year of the
35 2021-2023 fiscal biennium is as follows:
36
37 FY 2021-2022 FY 2022-2023
38 Unappropriated Balance 457,272,694 1,740,186,752
39 Anticipated Reversions 400,000,000 -
40 Projected Over Collections 4,136,300,000 -
41 Total, Prior Year End Fund Balance 4,993,572,694 1,740,186,752
42
43 Statutory Earmark (575,200,000) -
44 Educator Bonuses in May 2021 (447,408,350) -
45 Beginning Unreserved Fund Balance 3,970,964,344 1,740,186,752
46
47 Tax Revenues
48 Personal Income $14,456,300,000 $14,954,600,000
49 Sales and Use $8,890,500,000 $9,222,200,000
50 Corporate Income $867,500,000 $912,300,000
51 Franchise $733,400,000 $745,400,000
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1 Insurance $792,900,000 $955,300,000
2 Alcoholic Beverage $446,700,000 $465,800,000
3 Tobacco Products $253,600,000 $252,400,000
4 Other Tax Revenue $144,600,000 $145,400,000
5 Subtotal, Tax Revenues $26,585,500,000 $27,653,400,000
6
7 Non-tax Revenues
8 Judicial Fees $190,400,000 $218,400,000
9 Investment Income $29,300,000 $33,200,000
10 Disproportionate Share $115,400,000 $122,500,000
11 Master Settlement Agreement $127,000,000 $123,600,000
12 Insurance $91,100,000 $92,400,000
13 Other Non-tax Revenues $211,900,000 $218,000,000
14 Subtotal, Non-tax Revenue $765,100,000 $808,100,000
15
16 Total, Net Revenues 27,350,600,000 28,461,500,000
17
18 Adjustments to Tax Revenues: 2021 Session
19 Earned Income Tax Credit (146,500,000) (121,200,000)
20 Child and Dependent Care Tax Credit (219,000,000) (87,100,000)
21 Subtotal, Adjustments to Tax Revenue (365,500,000) (208,300,000)
22
23 Savings and Contingencies
24 Additional Transfer to the Savings Reserve (524,800,000) –
25 Medicaid Contingency Fund (150,000,000) –
26 Medicaid Transformation Reserve (64,000,000) (160,000,000)
27 Retiree Health Benefits Fund (OPEB Liability) (150,000,000) –
28 Subtotal, Savings and Contingencies (888,800,000) (160,000,000)
29
30 Infrastructure and Resiliency Reserves
31 Capital Improvements Projects Reserve
32 Plan and Design Bond Projects (106,063,500) –
33 UNC System Repairs and Renovations (143,555,000) –
34 UNC System Renovation & Modernization – (462,170,000)
35 State Agency Recommendations (173,941,234) –
36 State Agency Repairs and Renovations (75,000,000) (75,000,000)
37 Repairs and Renovations – Energy Efficiency Projects (50,000,000) (50,000,000)
38 Energy and Environment Reserve (225,000,000) (175,000,000)
39 Information Technology Reserve (169,925,950) (157,911,556)
40 State Emergency Response and Disaster Relief Fund (100,000,000) –
41 Subtotal, Infrastructure and Resiliency (1,043,485,684) (920,081,556)
42
43 Other Adjustments to Availability
44 Disproportionate Share Transfer 33,400,000 33,400,000
45 Adjustment to Transfer from Department of Insurance 3,292,412 4,160,666
46 Adjustment to Transfer from State Treasurer 520,450 557,530
47 Subtotal, Other Adjustments (37,212,862) (38,118,196)
48
49 Total, Adjustments and Reservations (2,260,572,822) (1,250,263,360)
50
51 Revised Total Net General Fund Availability 29,060,991,522 28,951,423,485
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1
2 Less General Fund Net Appropriations (27,320,804,677) (28,667,062,349)
3
4 Unappropriated Balance Remaining 1,740,186,845 284,361,136
5
6 SECTION 2.2.(b) Notwithstanding G.S. 143C-4-2, the State Controller shall
7 transfer a total of five hundred twenty-four million eight hundred thousand dollars
8 ($524,800,000) from the unreserved fund balance to the Savings Reserve on June 30, 2021. This
9 transfer is not an "appropriation made by law," as that phrase is used in Section 7(1) of Article V
10 of the North Carolina Constitution. This subsection becomes effective June 30, 2021.
11 SECTION 2.2.(c) The State Controller shall reserve to the Medicaid Transformation
12 Reserve from funds available in the General Fund the sum of sixty-four million dollars
13 ($64,000,000) in nonrecurring funds for the 2021-2022 fiscal year and the sum of one hundred
14 sixty million dollars ($160,000,000) in nonrecurring funds for the 2022-2023 fiscal year. Funds
15 reserved in the Medicaid Transformation Reserve do not constitute an "appropriation made by
16 law," as that phrase is used in Section 7(1) of Article V of the North Carolina Constitution.
17 SECTION 2.2.(d) The State Controller shall transfer from the Medicaid
18 Transformation Reserve in the General Fund to the Medicaid Transformation Fund, established
19 under Section 12H.29 of S.L. 2015-241, the sum of two hundred seventy-five million two