By Lorrie Ross
Staff Writer
As we turn the calendar page to a new year, more than a dozen new laws will take effect in North Carolina for 2025. From Hurricane Helene relief to tax changes and modifications in juvenile justice, several are highlighted here, with brief descriptions of each.
Hurricane Helene relief
Probably the one being looked at most closely by many North Carolinians is the third Hurricane Helene relief bill, Senate Bill 382, which is supposed to provide $227 million in financial relief. An early version of the bill transferred $225 million from state reserves to the Helene fund to be appropriated by the legislature. Some was to be used for debris removal, soil and water conservation support and childcare grants for centers impacted by the storm. It also allocated $50 million for Hurricanes Matthew and Florence and ReBuild NC.
Because the proposed law encompasses several unrelated items, it has received criticism from many legislators from both parties, along with a veto by Governor Roy Cooper. It addresses state elections; the judicial system; the attorney general’s office; executive appointment; utilities and energy; the highway patrol; the lieutenant governor’s office; the state superintendent of public instruction’s office; education, public safety; the Department of Health and Human Services and other miscellaneous items.
It has been challenged in court with hopes to block some parts of it. SB 382 most recently passed on Wednesday, Dec. 11 by overriding North Carolina Roy Cooper’s veto of the law. Many sections of SB 382 are already in place, but some sections in the bill are set to take effect later.
These are some of the tenets of Senate Bill 382:
• SB 382 permits the General Assembly to appoint two new special superior court judges, starting Jan. 1. One judge will be nominated by the N.C. Speaker of the House, while the N.C. Senate president pro tempore will nominate the other.
• Campaign finance changes will go into effect. While current law allows political party executive committees and affiliated committees to create a political party headquarters building fund, those are mostly used for a party’s headquarters expenses. The new law also allows the money to be spent on legal actions, which means contributions from previously prohibited sources such as corporations, business entities and labor unions may be used for those legal actions.
• One SB 382 change effective in the new year requires boards of election to finish counting provisional ballots by 5 p.m. "on the third business day after the election."
Here are some of the other new laws for North Carolina and what to expect:
Tax reductions
The 2023 budget bill for North Carolina reduces the state’s income tax rates for individuals over a few years. According to House Bill 259, the first decrease begins in January when individual income tax rates will decrease from 4.5 percent for 2024 to 4.25 percent for 2025. The following year, they will drop to 3.99 percent. In addition, corporate income tax rates in North Carolina will also change. For 2025, the tax rate will drop to 2.25 percent from 2.5 percent. Further reductions are planned in subsequent years, which will eventually bring the rate to zero percent by 2030.
Alcohol
law changes
Senate Bill 527 makes changes to the current alcohol laws in North Carolina, which mostly impact licensees such as restaurants, wineries, breweries and other servers. Beginning Jan. 1, the law will exclude ready-to-drink cocktails from a mixed beverage charge. It also allows to-go and delivery sales of wine-by-the-glass and mixed beverages to those with appropriate licensing.
Building code regulatory reform
Senate Bill 166 amends various North Carolina development regulations and state building codes, along with some design professional and construction contractor regulations. It also amends some environment health and environment regulations and reorganizes the building code council.
Juvenile justice modifications
The term 'delinquent juvenile' has been redefined with the 'Raise the Age' law which went into effect on Dec. 1. Now, young adults 16 to 17 years old who commit certain felonies could be automatically charged as adults. This was the result of more serious, dangerous crimes being committed by younger perpetrators, often urged by older counterparts.
Liability
insurance
Senate Bill 452 increases the minimum liability insurance required for auto drivers. Rather than $30,000 per person, the minimum insurance will be $50,000 per person in and $100,000 per accident instead of $60,000 per accident. The coverage also applies to uninsured drivers.
Retirement system changes
Starting Jan. 1, House Bill 1020, called the Retirement Administrative Changes Act of 2024, creates administrative changes to the retirement systems for local government employees, teachers and other state employees, as well as employees of the consolidated judicial retirement system and the legislative retirement system. There is also clarification of changes for employees receiving severance pay. Under the new act, an employee receiving employer severance pay prior to Jan. 1, is not eligible to receive a retirement allowance.
State employee health coverage
As of Jan. 1, Aetna is scheduled to become third-party administrator for North Carolina’s State Health Plan. They are replacing Blue Cross North Carolina after more than 40 years. The transition impacts state employees, retirees, teachers and the dependents of those covered.
For complete information about new North Carolina laws, visit the North Carolina General Assembly website at: https://www.ncleg.gov.