AN ACT to enact The NC Airport Security Continuity and Federal Worker Relief Act.

The General Assembly of North Carolina enacts:

SECTION 1. This act shall be known as the NC Airport Security Continuity and Federal Worker Relief Act.

SECTION 2. The NC Federal Worker Airport Security Emergency Fund (Emergency Fund) is established as a special fund within the Highway Fund to be administered by the Department of Transportation, Division of Aviation in accordance with this act. Funds allocated under this act shall be considered emergency operational continuity grants.

SECTION 3. The purpose of the Emergency Fund is to provide financial relief in the form of an interest free loan to a person working at an airport located within the State (eligible airport) without compensation due to a federal funding lapse in any of the following positions (qualifying positions):

(1)        Transportation Security Officer employed by the United States Department of Homeland Security, Transportation Security Administration (TSA) that is performing federally mandated screening duties.

(2)        Air Traffic Controller employed by the United States Department of Transportation, Federal Aviation Administration (FAA).

SECTION 4. The Division shall only allocate funds in the Emergency Fund to an eligible airport upon certification by the Secretary of Transportation that due to a lapse in federal funding a person in a qualifying position at an eligible airport has not been paid for a period of 14 or more consecutive days. Upon receipt of the allocation of funds, the airport shall be responsible for all of the following:

(1)        Determining the eligibility and amount of the interest free loan.

(2)        Disbursement of the loan.

(3)        Administering the automatic repayment of the loan when the federal government issues back pay to affected workers.

(4)        Any other requirements set forth by the Division.

SECTION 5. The Division shall establish procedures and adopt rules in accordance with the purpose of this act.

SECTION 6. Within 60 days of an allocation of funds under this act, the Division shall submit a report to the House of Representatives Appropriations Committee on Transportation, Senate Appropriations Committee on the Department of Transportation, Joint Legislative Transportation Oversight Committee (JLTOC), and the Fiscal Research Division

SECTION 7. There is appropriated from the Highway Fund to the Department of Transportation the sum of twenty‑five million dollars ($25,000,000) in nonrecurring funds for the 2026‑2027 fiscal year to be transferred to the NC Federal Worker Airport Security Emergency Fund for use in accordance with this act. Funds in the Emergency Fund shall not revert but shall remain available for use consistent with this act.

SECTION 8.  This act is effective when it becomes law.