GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2001
H	2
HOUSE BILL 421
 Committee Substitute Favorable 4/9/01

Short Title:	Budget Approval Process/Comm. Colleges.	()	
Sponsors:	     	
Referred to:	     	
March 1, 2001

A BILL TO BE ENTITLED
AN ACT TO MODIFY THE PROCEDURE FOR SUBMITTING LOCAL BUDGETS TO THE STATE BOARD OF COMMUNITY COLLEGES FOR APPROVAL. 

The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 115D‑54(b)(4) reads as rewritten:
"(b)	The budget shall be prepared and submitted for approval according to the following procedures:
…
(4)	Plant Fund Budget. – The budget request shall contain the items of capital outlay, as provided in G.S. 115D‑31 and 115D‑ 32, for which funds are requested, from whatever source. The board of trustees shall submit the budget to the local tax-levying authority. The local tax-levying authority shall approve or disapprove, in whole or in part, that portion of the budget requesting local public funds. After approval by the local tax‑levying authority, the board of trustees shall submit the budget to the State Board of Community Colleges on a date designated by the State Board. The State Board may approve or disapprove, in whole or in part, that portion of the budget requesting State or federal funds. Plant funds provided for construction and major renovations shall be permanent appropriations until the conclusion of the project for which appropriated."
SECTION 2.  G.S. 115D‑55(b) reads as rewritten:
"(b)	Approval of Budget by State Board of Community Colleges. – After notification by the local tax‑levying authority of the amount appropriated, the budget shall be submitted to the State Board of Community Colleges on a date designated by the State Board of Community Colleges for approval of that portion within its authority as stated in G.S. 115D‑54(b). The State Board of Community Colleges shall approve the budget for each institution in such amount as the State Board decides is available and necessary for the operation of the institution.
The State Board of Community Colleges shall have authority to call for all books, records, audit reports and other information bearing on the financial operation of the institution except records dealing with specific persons for which the persons' rights of privacy are protected by either federal or State law.
Nothing in this Article shall be construed to place a duty on the State Board of Community Colleges to fund a deficit incurred by an institution through failure of the institution to comply with the provisions of this Article or rules and regulations issued pursuant hereto."
SECTION 3.  This act becomes effective July 1, 2001.