AN ACT creating the capital for communities special fund.

The General Assembly of North Carolina enacts:

SECTION 1.  Article 9 of Chapter 143C of the General Statutes is amended by adding a new section to read:

§ 143C‑9‑11.  Capital for Communities Special Fund.

(a)        Creation. – The Capital for Communities Special Fund is established as a nonreverting special fund in the General Fund to be administered by the Office of State Budget and Management to carry out the provisions of this section. Appropriations from the Fund may be administered by other State agencies as deemed necessary by the Office of State Budget and Management. Interest and investment earnings received on monies in the Fund shall be credited to the Fund.

(b)        Source of Funds. – Transfers shall be made to the Capital for Communities Special Fund in accordance with G.S. 147‑69.4A.

(c)        Use of Funds. – Funds in the Capital for Communities Special Fund shall be utilized solely for the purpose of economic development projects occurring within the State, including the awarding of grants for a project, that fall into one or more of the following categories:

(1)        Creation of affordable housing.

(2)        Creation of child care centers or schools.

(3)        Creation of specialized ambulatory care facilities designed specifically to reduce a healthcare disparity or shortage, such as a birth center.

(4)        Support and furtherance of groundbreaking medical research.

(5)        Workforce development.

(6)        Creation of jobs that offer a living wage no less than the median salary of a teacher in this State.

(7)        Building a nonprofit education facility.

SECTION 2.  Article 6 of Chapter 147 of the General Statutes is amended by adding a new section to read:

§ 147‑69.4A.  Transfers to the Capital for Communities Special Fund.

(a)        Funding for Capital for Communities Special Fund. – Notwithstanding any provision of law to the contrary, and to the extent permitted under federal law, the State Treasurer shall transfer a portion of the funds specified in this section to the Capital for Communities Special Fund, as provided for under G.S. 143C‑9‑11. Transfers shall be made on a quarterly basis.

(b)        Funds Subject to this Section. – All of the following shall be subject to transfer under this section in any given quarter, provided that for the previous quarter the fund or investment account had a return profile of seven percent (7%) or higher:

(1)        All funds held by the State Treasurer.

(2)        All investments of special funds under G.S. 147‑69.1, 147‑69.2, and 147‑69.2A.

(c)        Portion of Funds Subject to Transfer. – For each quarter of the State fiscal year, three and one‑half percent (3.5%) of the total of each of the funds subject to this section shall be transferred to the Capital for Communities Special Fund.

SECTION 3.  This act is effective when it becomes law and applies to the next State fiscal quarter on or after that date.