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House | March 26, 2015 | Chamber | House Session

Full MP3 Audio File

The House will come to order. Members will take their seats. Visitors will retire from the chamber. The Sargent at Arms will close the doors. Members and any visitors with us today are asked to please silent any and all electronic devices. Today’s prayer will be offered by Rep. Rena Turner. Members I would ask that you please stand during the prayer. Visitors in the gallery, the same. And also, please remain standing for the Pledge of Allegiance. Rep. Turner. [SPEAKER CHANGES] Thank you. Pray with me please. Our Heavenly Father, we thank You for Your presence in this chamber. We remember those who’ve gone before us and lift up those You have called to serve in this place today. We thank you for the rich heritage we have in North Carolina, for our past and present leaders and our communities, our state, and also in our country. Remind us of Your will and Your way, as we consider the laws we make for us, Your people of North Carolina. Lord, we look to You today for such a time as this, when we need Your grace and Your mercy to guide us. Strengthen us as we move ahead, to accomplish the tasks that You have set before us. Help us always to trust You, to lead us, that we might in turn follow You each moment. Mold us and make us into the servants You’ve called us to be, and forgive us when we fall short. Your way is perfect, and You’re worthy of our praise and honor. These things we ask in our own way, and I ask in the name of my savior, Jesus. Amen. [SPEAKER CHANGES] Amen. [SPEAKER CHANGES] I pledge allegiance to the flag of the United States of America, and to the Republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. [SPEAKER CHANGES] The gentleman from Harnett, Rep. Lewis is recognized for a motion. [SPEAKER CHANGES] Mr. Speaker, the journal for March 25 has been examined and found to be correct. I move that it stand approved as written. [SPEAKER CHANGES] Rep. Lewis moves that the journal for March 25th be approved as written. Those in favor will say aye, those opposed, no. The ayes have it. The journal is approved as written. Members, our nurse of the day is Debra Parker, from Middlesex, North Carolina. Is she with us now? She may have stepped out, so we’ll hold the applause until we see her back. Introduction of bills and resolutions, the Clerk will read. [SPEAKER CHANGES] House Bill 344, Reps. Jones, Lambeth, Malone, and McGrady. Gubernatorial team ticket. [SPEAKER CHANGES] Elections. [SPEAKER CHANGES] House Bill 345, Reps. Steinburg, Carrington country. Remove abandoned vessels. [SPEAKER CHANGES] Local government. [SPEAKER CHANGES] House Bill 346, Reps. Steinburg, counties public trust areas [SPEAKER CHANGES] Local government. [SPEAKER CHANGES] House Bill 347, Rep. West. Modify Graham county occupancy tax. [SPEAKER CHANGES] Local government in favorable finance. [SPEAKER CHANGES] House Bill 348, Rep. Schaffer and Bishop. NC religious freedom restoration act. [SPEAKER CHANGES] Judiciary One. [SPEAKER CHANGES] House Bill 349, Rep. Tine, Saine, Hager, and Hanes, develop broadband plans. [SPEAKER CHANGES] Public Utilities. [SPEAKER CHANGES] House bill 350, Reps. Butterfield, Richardson, Hurley, and Turner. Restore driving privileges competency. [SPEAKER CHANGES] Transportation favorable. Judiciary two. [SPEAKER CHANGES] House Bill 351 Reps. R. Collins and Warren, clarify utility rates. [SPEAKER CHANGES] Public utilities. [SPEAKER CHANGES] House Bill 352, Rep. Tolbert, standard of proof public safety dispatchers. [SPEAKER CHANGES] Judiciary Two. [SPEAKER CHANGES] House Bill 353, Reps. Langdon and Daughtry. Wilson mills, satellite annexation. [SPEAKER CHANGES] Local government, favorable finance. [SPEAKER CHANGES] House Bill 354, Rep. Cotham, Charter School Transparency Act. [SPEAKER CHANGES] Education K-12.

[SPEAKER CHANGES] And referred to Judiciary Four. [SPEAKER CHANGES] House Bill 355, Representatives Reeves and Stam, Exchange Protection for Group Home Residents. [SPEAKER CHANGES] Health, then Judiciary Two. [SPEAKER CHANGES] House Bill 356, Representatives Arp, Collins, and Warren, NC Utiltiies Commission Regulatory Fee Changes. [SPEAKER CHANGES] Public Utilities. [SPEAKER CHANGES] House Bill 357, Representatives Stam, Faircloth, Glazier, and Hurley, Toxicology Reports District Court. [SPEAKER CHANGES] Judiciary Two. [SPEAKER CHANGES] House Bill 358, Representatives L. Johnson, Horn, Holloway, and Elmore, School Performance Grade Scale. [SPEAKER CHANGES] Education K-12. [SPEAKER CHANGES] House Bill 359, Representatives L. Johnson, Holloway, Horn, and Elmore, Excellence in School Leadership. [SPEAKER CHANGES] Appropriations. [SPEAKER CHANGES] House Bill 360, Representatives Harrison, Carney, and D. Hall, Raise Minimum Wage, Set Cost of Living Adjustment. [SPEAKER CHANGES] Rules Calendar and Operation of the House. [SPEAKER CHANGES] House Bill 361, Representatives Collins, Tyne, and Setzer, Principal Base Reserving. [SPEAKER CHANGES] Insurance. [SPEAKER CHANGES] House Bill 362, Representatives Faircloth and Brockman, Cities Business Registration. [SPEAKER CHANGES] Finance. [SPEAKER CHANGES] House Bill 363, Representatives Faircloth and Brockman, High Point/Doughnut Annexations. [SPEAKER CHANGES] Local Government then Finance. [SPEAKER CHANGES] House Bill 364, Representative Lewis, Clarify Laws on Executive Orders and Appointments. [SPEAKER CHANGES] Rules, Calendar, and Operation of the House. Messages from the Senate. [SPEAKER CHANGES] Senate Bill 29, Committee Substitute Second Edition, a bill to be entitled An Act to Allow Registers of Deeds and Clerks of Court to Redact Certain Identifying Information from Certain Public Records to Protect the Public from Identity Theft. [SPEAKER CHANGES] Judiciary Two. [SPEAKER CHANGES] The House will please come back to order. Chair would like to extend a couple of courtesies of the gallery if the body will give the Chair the attention please. Members on behalf of the Members from Union County, Representatives Horn, Arp, and Brody, the Chair is happy to extend the courtesies of the gallery to Scott Mayer of Waxhaw with the Concrete Contractors' Association. If you would pelase stand so that we could welcome you here today, thank you. Members on behalf of Representative Saine of Lincoln County and the Chair, the Chair is happy to extend the courtesies of the gallery to former U.S. Senator Rick Santorum of Pennsylvania. Senator Santorum, glad to have you here with us today. Calendar, House Bill 13, strike that, House Bill 12. The clerk will read. [SPEAKER CHANGES] Representative Torbett, House Bill 12, a bill to be entitled An Act to Amend Foster Care Ombudsman Talent Program for Gaston County. General Assembly of North Carolina enacts. [SPEAKER CHANGES] House will come to order, the gentleman from Gaston has the floor to debate the bill. [SPEAKER CHANGES] Thank you so very much Mr. Speaker. Ladies and gentlemen, two years ago I came before this body and asked for your approval to allow Gaston County to run a trial program, a pilot program if you would, that would provide assistance via an ombudsman for those moms and dads that choose to be foster parents. They have operated under that plan for the last two years, and in conference with them over the last several months, and just a few minor midifications they have asked us if we would remove that trial statement and allow it to be an ongoing operational plan

in the confines of Gaston County, and the bill before you allow that to do that. It simply removes it from being a pilot program and allows them to continue the service that provides a needed service for specifically the children and secondly for those moms and dads that choose to open up their house, and their wallets, and their hearts to provide for these kids. And I would appreciate an affirmative vote, thank you very much, Mr. Speaker. [SPEAKER CHANGES]Further discussion, further debate? For what purpose does the gentleman from Cumberland, Representative Lucas rise? [SPEAKER CHANGES]To see if the gentleman from Gaston would yield to a question. [SPEAKER CHANGES]Does the gentleman from Gaston yield to the gentleman from Cumberland? [SPEAKER CHANGES]Absolutely. [SPEAKER CHANGES]He yields. [SPEAKER CHANGES]Thank you, Representative Torbett. Can you tell me, has this has this helped with the waiting list for foster care with the Ombusman Program, has it helped, or do you have a waiting list? What is the status right now? [SPEAKER CHANGES]The status is we're still in need of foster parents, what it has done is provide help and assistance for those people determining if they want to be foster parents and also the relationship with the children that they are having under their care. So, has it decreased the numbers? Unfortunately I don't have a number to validate that but here's what I will tell you with certainty, is that we need all the foster parents that we can possible get throughout the state to assist with this program. [SPEAKER CHANGES]Thank you, very kindly. [SPEAKER CHANGES]Further discussion, further debate? If not, the question before the House is passage of House Bill 12, a local bill on its second reading. So many favoring passage will say aye. [SPEAKER CHANGES]Aye. [SPEAKER CHANGES]Those opposed will say no. They ayes have it. The House Committee Substitute to House Bill 12 passes its second reading and without objection will be read a third time. [SPEAKER CHANGES]General Assembly of North Carolina enact. [SPEAKER CHANGES]Further discussion, further debate? If not, the question before the House is passage of House Committee Substitute to House Bill 12 on its third reading. So many favoring passage of the bill will say aye. [SPEAKER CHANGES]Aye. [SPEAKER CHANGES]Those opposed will say no. They ayes have it. The House Committee Substitute for House Bill 12 passes its third reading and will be sent to the Senate. Members, the Chair's going to skip over 152, I know that there's some amendments, but we will come back to it. House Bill 242, the clerk will read. [SPEAKER CHANGES]Representatives Faircloth and Stam, House Bill 242, a bill to be entitled and act to expand the list of crimes for which an investigative grand jury may be convened and to clarify that the records gathered by the investigative grand jury are part of the file of the prosecutors office and subject to disclosure to the defendant. General Assembly of North Carolina enacts. [SPEAKER CHANGES]For what purpose does the gentleman from Guilford, Representative Faircloth rise? [SPEAKER CHANGES]To debate the bill, Mr. Speaker. [SPEAKER CHANGES]The gentleman has the floor to debate the bill. [SPEAKER CHANGES]Thank you. We had a good vote on this yesterday, a good, strong vote, I think most of the questions were answered and I ask you to support the bill. [SPEAKER CHANGES]Further discussion, further debate? If not, the question before the House is passage of House Committee Substitute to House Bill 242 on its third reading. So many favoring passage of the bill will vote aye, those opposed will vote no, the clerk will open the vote. The clerk will lock the machine and record the vote. 112 having voted in the affirmative and none in the negative, House Committee Substitute to House Bill 242 passes its third reading, amendments ordered and grossed, the bill will be sent to the Senate. For what purpose does the gentleman from Harnett, Representative Lewis rise? [SPEAKER CHANGES]A motion with respect to today's calendar. [SPEAKER CHANGES]The gentleman is recognized to state his motion. [SPEAKER CHANGES]Thank you, Mr. Speaker. Mr. Speaker, I would move that on page 2, House Bill 146, short title, Amend advanced health care directives law be removed from today's calendar and be re-calendared for Wednesday, April 1st, 2015. [SPEAKER CHANGES]Rules Chairman, the gentleman from Harnett has moved that the House Bill 146 be removed from today's calendar and re-calendared for Wednesday. Is there objection to the motion? Hearing none, so ordered. Are the amendments ready to go on House Bill 152? House Bill 152, the clerk will read. [SPEAKER CHANGES]Representatives Ross, Hardister, Lewis and Glazier, House Bill 152, a bill to be entitled and enact to enact the historical preservation tax credit. General Assembly of North Carolina enacts. [SPEAKER CHANGES]Representative Ross, the Chair notices you like, the intention of the Chair was to go ahead and dispose of the amendment

Does the gentleman wish to speak prior to the consideration of the amendments? [SPEAKER CHANGES] Thank you Mr. Speaker. I think in lieu of the vote yesterday, we can proceed. I will deal with the amendments as they come. [SPEAKER CHANGES] Thank you. I won't count that as debate against the gentleman on that, but so what we'll do, Representative Speciale from Craven, for what purpose does the gentleman rise? [SPEAKER CHANGES] To bring forth an amendment. [SPEAKER CHANGES] The gentleman is recognized to send forth an amendment. The clerk will read. [SPEAKER CHANGES] Representative Speciale moves to amend the bill on page 1, lines 8 through 11, by rewriting the lines to read [SPEAKER CHANGES] The gentleman from Craven has the floor to debate the amendment. [SPEAKER CHANGES] Ladies and gentlemen, we did discuss this bill quite a bit yesterday. I think everybody understands what we've got here. We tried to save some money while we reduce people's taxes by getting rid of this exemption and it appears as if many of you are interested in reinstating it. If we're going to do that, then let's make it fair for the folks that want it, the folks that have pushed many of you into supporting it, which was the County Commissioner's Association, League of Municipalities. If we're going to give them what they want, let's make them put some skin in the game, and let's do it 50-50. The upside to this, upsides to this, is that we won't be giving up and compromising [SPEAKER CHANGES] Just a minute Representative Speciale. The Chair is hearing a lot of noise and I'm imagining a lot of members are having difficulty hearing the gentleman debate. I would ask the members please if you have conversations to take those outside, to give the gentleman the attention he deserves. The gentleman from Craven has the floor to continue debating the amendment. [SPEAKER CHANGES] There are some upsides to this. One of them is that we are not going to, we will not be compromising in giving away everything that we set up two years ago. We will be helping the counties and the cities achieve what they want to achieve. We would be, this would be run through them before it came to the state. They'd have to approve it. Whatever the projects are, because they'll have some money invested in this because they'll have to pay us back 50% of the tax credit. They get to make the decision whether that project goes forward or not. And because they have an investment in it, they're going to make sure that only the best projects move forward. I think it's a win-win for everybody, and I'd like to ask for everybody here to support this amendment and I think that we'll see good support on the bill, if this amendment passes. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Alamance, Representative Ross, rise? [SPEAKER CHANGES] To ask the amendment sponsor a question. [SPEAKER CHANGES] Does the gentleman from Craven yield to the gentleman from Alamance? [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Thank you. Representative, I can go through examples all over North Carolina, but I just picked one. Would you agree that the City of New Bern, North Carolina has gone through a dramatic historic renovation? [SPEAKER CHANGES] I would agree that they have. [SPEAKER CHANGES] Thank you. Are you [SPEAKER CHANGES] Does the gentleman wish to ask an additional question? [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] And does the gentleman from Craven yield to an additional question? [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Are you aware that just in the last 12 months, the City of New Bern has spent well over a million dollars on infrastructure, to directly assist historic properties that are being renovated? [SPEAKER CHANGES] No, I'm not. But because it, whether or not it affects my district is irrelevant. It's going to, my district's going to follow the rules just like everybody's else's. This isn't a “I want to do things except I don't want it to affect my district.” I don't play the, I don't do it that way. ?? I'll follow everybody. [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] Does the gentleman yield to an additional question? [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] Are you aware that in the last 10 years, there have been 22 projects in New Bern where the city has expended over 10 million dollars for the same purpose? [SPEAKER CHANGES] I am aware. I'd like to see how this is relevant. [SPEAKER CHANGES] All right. Follow up. [SPEAKER CHANGES] Does the gentleman yield to an additional question? [SPEAKER CHANGES] I do. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Would you agree that that's skin in the game? [SPEAKER CHANGES] I would agree that that is skin in the game but however I would also agree that a lot of the money was private money as well, so everybody has been putting skin in the game and that's the way it should be for every community. Not just New Bern. [SPEAKER CHANGES] Further discussion, further debate on the amendment sent forth. For what purpose does the

does the gentleman from Alamance, Representative Ross, rise? [SPEAKER CHANGES] Thank you, Mr. Speaker. That's one example, you multiply- [SPEAKER CHANGES] The gentleman is recognized to debate the amendment. [SPEAKER CHANGES] Thank you. That's one example. You could multiply that all across the entire state of North Carolina, millions. I just ask that you defeat the amendment. [SPEAKER CHANGES] Mr. Speaker. [SPEAKER CHANGES] For what purpose does the gentleman from Pender, Representative Millis, rise? [SPEAKER CHANGES] To see if Representative Speciale, the amendment sponsor, would rise for a question. [SPEAKER CHANGES] Does the gentleman from Craven yield to the gentleman from Pender? [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Representative Speciale, thank you for providing this amendment here today but in light of the conversation that just went on a few moments ago I just want to ask you a quick question here. It is your belief that the tax payers of the 16th House District, Pender County and Western Onslow, should be actually paying a tax burden to subsidize historic preservation in your district by way of the city of New Bern? [SPEAKER CHANGES] I'm not sure I understand how you came to that conclusion. [SPEAKER CHANGES] Follow-up. [SPEAKER CHANGES] Does the gentleman from Craven yield to an additional question- [SPEAKER CHANGES] I do. I yield. [SPEAKER CHANGES] The gentleman yields. [SPEAKER CHANGES] Representative Speciale, regardless of the discussion here prior, my question is that, by way of our tax code we have exemptions, deductions, and credits, what's before us today is an actual state credit in order to incentivize the preservation of historic buildings. But that credit takes away, or actually adds to the uniform burden of taxation for all citizens across this state and therefore, as what was actually asked, my question to you is that the city of New Bern has actually had historic preservation tax credits issued to them in part because of the tax burden that the citizens that represent actually has to bear. My question to you is that do you believe that the constituents I represent should be subsidizing interest in your district? [SPEAKER CHANGES] No, I don't believe that the citizens in your district should be subsidizing what goes on in my district and that's what I think this amendment does, is it makes it fair, it lets Craven County, for example, put money in. If were going to do this, the whole concept of tax incentives is something I disagree with but if we're going to do this we need to make it as fair as possible. [SPEAKER CHANGES] Mr. Speaker, to speak briefly on the amendment. [SPEAKER CHANGES] The gentleman from Pender has the floor to debate the amendment. [SPEAKER CHANGES] Fellow colleagues, I understand Representative Speciale's intent and I fully support this amendment, by all means, and I definitely hope that we actually have preservation of historic buildings but not at the demise of the actual state tax burden. If locals decide to do this, let them put their monies into it in equitable burden and as you seen this map here doesn't include all the aspects of districts across the state and I wouldn't want your constituents subsidizing my constituents by way of a tax burden that is supposed to be uniform, just, and equitable. I would ask that you support this amendment. [SPEAKER CHANGES] For what purpose does the gentleman from Dare, Representative Tine, rise? [SPEAKER CHANGES] Debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Thjank you, Mr. Speaker. I rise to opposed the amendment and the reason is because you're talking about fairness in this amendment, that you want to make sure that everybody has a piece in it. Well, this amendment would exclude several counties, a lot of counties in this state who need it the most. Washington County with Plymouth that needs revitalization and needs investment in it's downtown area is the exact one that doesn't have the money to put forward towards this type of effort. So you're going to exclude those types of counties, the Hydes, the Washingtons, the Camdens, those areas that raise $79,000 on one cent property tax, for example. So it's not even that their not willing to, it's that they just don't have the ability to. So I opposed the amendment. [SPEAKER CHANGES] For what purpose does the gentleman from Mecklenburg, Representative Jeter, rise? [SPEAKER CHANGES] To see if my good friend from Craven would yield to a question. [SPEAKER CHANGES] Does the gentleman from Craven yield to the gentleman from Mecklenburg? He yields. [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] I haven't raised my hand this high since Luebke asked me a question a couple weeks ago. My question is if this amendment passes, would it be your intent to vote for the bill in its entirety? [SPEAKER CHANGES] And that is relevant because...? [SPEAKER CHANGES] It's relevant to me. [SPEAKER CHANGES] There's another amendment that will be coming forth, if both the amendments are approved I will support the bill. [SPEAKER CHANGES] For what purpose does the gentleman from Nash, Representative Collins, rise? [SPEAKER CHANGES] To debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] I think I'd just like to comment on the last two comments that were made. With all due respect to my esteemed colleague from the outer banks, where I love to vacation, I think history will show us that the poorer towns and counties are the ones who are more than willing to put the money in to

These things happen. My fear, as I said yesterday, is that it's not the little small poor towns and counties that aren't willing to put the money up. I know Edgecomb County next to me is willing to mortgage their future basically on another topic, to try to get the auto manufacturing plant and they're putting up tons of money because they realize the increased property value they'll have if anything like that ever comes there. And most of the small towns realize that too. That if they can turn worthless buildings into buildings that have a high value, they're going to get a lot more property taxes in through the years. It's the larger, more prosperous cities I worry about, thinking hey, we can get this state money for free, and you know the developers are taking very little chance in downtown Charlotte or downtown Kerry or whatever in order to make a project work and we probably won't have to put anything up in addition to that so I think the situation's actually reversed from what we've been presented. And I agree with Representative Speciale. If both amendments that are offered today pass, I will vote for this bill. But if either one of them fail, I won't. I would, I think this is an equitable arrangement that's being expressed for this amendment. Actually, I wanted to make both of the amendments that were being brought forward today but I got beat to the punch by Representatives Speciale and Ford, so I would ask you to support this amendment. [SPEAKER CHANGES] For what purpose does the gentleman from Catawba, Representative Adams, rise? [SPEAKER CHANGES] I rise to oppose the amendment. [SPEAKER CHANGES] The gentleman is recognized to debate the amendment. [SPEAKER CHANGES] This is fairly transparent. I mean, this turns this tax credit into a municipal or county appropriation, which then puts it in the hand of a County Commission or a City Council. This is simply a delaying tactic. This would effectively gut this bill and this is, I still say, this is a jobs bill and I urge your support for the pure bill and not the amendments. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Gaston, Representative Baumgartner, rise? [SPEAKER CHANGES] To debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] I think this is a good amendment and I support this amendment and I don't see anything wrong with the people in the towns that are developing these historic properties be involved in the decision making process to decide whether a project goes forward or not. And I don't understand what, I hear all this about economic development and it's a jobs bill but they should be involved in it and I want them to be involved in it, and this amendment makes this a better bill. And I urge you to support. [SPEAKER CHANGES] For what purpose does the gentleman from Rowan, Representative Ford, rise? [SPEAKER CHANGES] To debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Thank you Mr. Speaker, we're constantly being told by those at home, “Please leave us alone at local government. Let us have local control.” That's what this amendment is doing, and I encourage you to pass it. [SPEAKER CHANGES] For what purpose does the gentleman from Cabarrus, Representative Pittman, rise? [SPEAKER CHANGES] To speak on the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Representative Ford stole part of my thunder because I was going to say this enhances local control by having the local people make decisions on what they want to go forward with. My other comment is, you know, what was done a year ago or ten years ago, the last ten years or whatever, is irrelevant to this amendment. This is talking about what we're going to do going forward and so I support the amendment. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Alamance, Representative Ross, rise? [SPEAKER CHANGES] Thank you Mr. Speaker. To debate the amendment one final time. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment a second time. [SPEAKER CHANGES] Thank you. Members, I've spent a lot of time over the last day, trying to give you examples of how our cities and municipalities and counties participate. I've given you hard-dollar numbers. I don't know what else I can do to get across the fact that the participation is already there. The participation is there in the tune of just millions of dollars. They already participate. That's their local control. They decide on these things as they come along. You know, what are we going to do? What kind of infrastructure are we going to provide to try to make this happen? To just address one comment that was made just a moment ago about bigger cities and letting them take more of the risk. Folks, we don't take the risk. The state doesn't take the risk. The local government doesn't take the risk. This is a credit. This is only paid out when the project is complete and signed off on. The developers that take on these projects take the risk. I've tried to get that across also. So there is no risk. So when we talk about

who's taken risk, let's be clear. It's the developer, to the state, not the municipalities. The effect of this amendment would be that the wealthier, large cities would probably be able to continue but everywhere else in North Carolina where you have these historic properties would not be able to participate because they simply wouldn't be able to afford it. Thank you, and I ask you to defeat the amendment. [SPEAKER CHANGES] Chair notices we now have three lights. For what purpose does the gentleman from Chowan, Representative Steinburg, rise? [SPEAKER CHANGES] To speak the amendment, Mr. Speaker. [SPEAKER CHANGES] The gentleman from Chowan has the floor to debate the amendment. [SPEAKER CHANGES] Thank you. I am rising to oppose the amendment. I thought that after talking with Representative Speciale yesterday, certainly he makes some very good points, some very interesting points about why more involvement would be better in terms of the local participation, at least that's what he's suggesting. I think that's what others here have stood up and said they believe would be better but I would just like to remind folks that the areas that are in need and desperately in need of this investment are areas that have been affected by the decline of three particular industries, the textile industry, the tobacco industry, and the furniture industry. Those are the folks that, those industries were located in many of these towns that we are trying to help. It has diminished their revenue significantly, which has limited the amount of money that they have available just to maintain their own infrastructure let alone expanding the infrastructure through investment. So these are the towns that we are trying to help. They are scattered all across the state in rural North Carolina. So I encourage you to defeat this amendment and support the original bill. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Harnett, Representative Lewis, rise? [SPEAKER CHANGES] Mr. Speaker, in honor of Representative Floyd, I seek recognition to offer a motion. [SPEAKER CHANGES] The gentleman is recognized for a motion. [SPEAKER CHANGES] Mr. Speaker, I would move the previous question on Amendment 2. [SPEAKER CHANGES] The gentleman from Harnett has moved the previous question. So many in favor of the motion for previous question will vote aye, those opposed will vote no, the clerk will open the vote. The clerk will lock the machine and record the vote, 76 having voted in the affirmative and 36 in the negative. The previous question is adopted. Members, since this is not on a final question to the body there is no rebuttal time. The question before the House is the adoption of Amendment 2 sent forth by Representative Speciale. So many favoring adoption of the amendment will vote aye, those opposed will vote no, the clerk will open the vote. The clerk will lock the machine and record the vote, 32 having voted in the affirmative and 81 in the negative. The amendment fails. We are now back on the question of the bill. For what purpose does the gentleman from Rowan, Representative ford, rise? [SPEAKER CHANGES] Send forth an amendment. [SPEAKER CHANGES] The gentleman is recognized to send forth an amendment. The clerk will read the amendment. [SPEAKER CHANGES] Representative Ford moves to amend the bill on page 2, line 25 through page 3, line 9 by deleting those lines. [SPEAKER CHANGES] The gentleman from Rowan has the floor to debate the amendment. Actually, before the gentleman proceeds, our nurse of the day is back in the chamber now and I want to make sure we properly introduce her. Debra Parker from Middlesex, North Carolina. Thank you for being here with us. The gentleman from Rowan has the floor to debate the amendment. [SPEAKER CHANGES] Thank you, Mr. Speaker. This removes the entire section on non-income producing properties. Of the 15 cities in my two counties that I represent, only four have sent official support for this bill and not one of them have mentioned the private property or homes, they've all talked about downtown. So that's why I want to pass this and nobody has a problem with it that I know of back home, I haven't heard from them, and so this simply removes the non-income producing properties. Thank you, Mr. Speaker.

For what purpose does the gentleman from Alamance, Representative Ross, rise? [SPEAKER CHANGES] Thank you Mr. Speaker. To debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Thank you Mr. Speaker. Once again, this is an attempt to try to gut the bill. What we did in the version that we have of this bill, is we greatly reduced the credit for non-income-producing properties. The maximum is $22,500, and we did that in order to find a threshold that we felt like would still allow us to maintain the truly historic structures that are found in every community across North Carolina. You know, Raleigh here, you could look at say, Blunt Street for example. Those old historic homes on Blunt Street. Every community has them. So we structured this in a way that we could continue to try to preserve those properties with the opportunity of preventing any of the abuses that may have happened in the past by not having a cap. So now we have a cap, the max is $22,500, it's a good provision in the bill. It makes the bill work. And I ask you to defeat the amendment. [SPEAKER CHANGES] For what purpose does the gentleman from Wilkes, Representative Elmore, rise? [SPEAKER CHANGES] To speak to the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] I understand my colleague's point that you want to look at things through a state-wide viewpoint, but you always have to go back and look at the particular situations of your district when you're looking at issues of that nature. I served on the Town Board of North Wilkesboro prior to being elected down here and the big issue we had in our area was our housing inventory. The average age of a house in North Wilkesboro is 1952, and we took very conservative policies, unlike bigger cities in the state, on when they needed additional property tax revenue, they primarily went out and annexed and trying to annex properties to increase that tax base. We did not. We did not have those type of policies in place. Plus too, we at the same time we were losing population. If you look at current maps, my area's lost about 3.4% population. So as you lose industries, leaving your area, you look at what the housing inventory is and even if we bring in jobs to the area or attempt to, they look at housing inventory too. And with a per capita income of $13,344 in the town of North Wilkesboro, it's very difficult to increase the property taxes on the people. These type programs help replenish that tax base that we have in the area. And I'll give you a firm example. Lowes corporate office building sat in North Wilkesboro. They came through and tore down the building because now that company is placed in Morrisville. We lost I forgot how many hundreds of thousands of tax revenue because that industry building was gone. A developer comes in with one of our old cotton mills, develops that into condominiums which replenished that tax base. So it's not an issue of locals paying more. There's not more to pay in a lot of these areas. So I appreciate my colleague here sitting next to me's intent on the amendment, but I would encourage all of you to look at city data and look at the housing age of your area. This will really help with the local tax base and the investment in that, so I urge you to defeat the amendment. [SPEAKER CHANGES] For what purpose does the gentleman from Chowan, Representative Steinberg, rise? [SPEAKER CHANGES] To address the amendment, Mr. Speaker. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Ladies and gentlemen, I rise to oppose the amendment. I really feel in my heart and I think those of us who live in many small towns that have begun to turn the corner, realize that the investment of any historic properties whether income producing or not, and investment commercially downtown in historic properties, these two items are inextricably tied to one another. You, I'll use Edenton as an example, my hometown. We came there because of the historic district. We invested money in our home. Others, many others did the same thing. The tax base was not there for the people who live there locally to put that kind of money into these homes. I'm not suggesting that I have the money either [LAUGHTER] but I put the money in there anyway.

But, many of the folk who have come to town for that reason, for these old homes , for restoring these homes and being able to have the opportunity to help in the restoration of this are also folks who have come to town to invest in local businesses there. So the two are inextricably tied, you can't have one without the other, at least not to the extent that we would like to see the impact of this bill have on rural North Carolina and across the state, indeed. So, I ask you to respectfully defeat this amendment and let's keep the original bill intact, thank you. [SPEAKER CHANGES]For what purpose does the gentleman from Catawba, Representative Adams rise? [SPEAKER CHANGES]To debate the amendment. [SPEAKER CHANGES]The gentleman has the floor to debate the amendment. [SPEAKER CHANGES]Two initial points. One, for a tax credit to be triggered, there has to be income. And second thing is, there has to be an expense. You have to have income to enjoy the tax credit. Now, in a non income producing property, you're basically talking about a residence, you have W-2 income that you use to pay for modifications to the historic structure, and you get a credit for spending that income for that purpose. Now, that income goes to the people who lay the carpet, who do the painting, who do the plumbing, who do the modifications to restore the house. I'm going to give you an example, another one of my real life examples. Five houses down the street from me, there was a house that was built originally in 1903, it was built by the Menzies Family in Hickory, they're one of the founding families in Hickory. I won't go through the whole sequence of events, but the house was partially renovated in 1999 from a very dilapidated situation. Unfortunately the folks who did the updates were crushed in 2008, it ended a 40 year marriage, the house went to the bank, and now a young couple has come in to buy that house. A young minister and his four children and his wife will occupy that house. They're not wealthy, but they're going to be spending their money to trade people to do the necessary repairs so they can live in this house. This is not about rich people, this is about all of us and I urge you to defeat the amendment and pass the bill in its pure form, thank you. [SPEAKER CHANGES]Further discussion, further, for what purpose does the gentleman from Wake, Representative Pendleton rise? [SPEAKER CHANGES]I wanted to clarify one thing. [SPEAKER CHANGES]The gentleman has the floor to debate the amendment. [SPEAKER CHANGES]I'm sorry sir, on these historic tax credits, or any tax credits, the preponderance of them are not used by the person that develops them, they are sold to corporations in the maximum tax bracket and they use them. So, I wanted to make sure you understand how these credits work. [SPEAKER CHANGES]For what purpose does the gentleman from Alamance, Representative Ross rise? [SPEAKER CHANGES]Thank you, Mr. Speaker, just a second comment. [SPEAKER CHANGES]The gentleman has the floor to debate the amendment a second time. [SPEAKER CHANGES]This is really not germane to this part of the amendment but I just want to clarify something that was just said, these tax credits under this new bill cannot be sold, we need to be clear on that. If you read the second section of the bill, I believe it is, it spells out the criteria for how you get the credit and the criteria for the ownership. They cannot be sold and I just want to make that clear. [SPEAKER CHANGES]Further discussion, further debate? If not, the question before the House is the adoption of Amendment 3 sent forth by Representative Ford. So many if favor of the amendment will vote aye, those opposed will vote no, the clerk will open the vote. The clerk will lock the machine and record the vote. 29 having voted in the affirmative and 84 in the negative, the Amendment fails. We are back on the bill, for what purpose does the gentleman from Burke, Representative Blackwell rise? [SPEAKER CHANGES]To send forth an amendment, Mr. Speaker. [SPEAKER CHANGES]The gentleman is recognized to send forth an amendment, the clerk will read. [SPEAKER CHANGES]Representative Blackwell moves to

Amend the bill on page one, lines 8 through 11, rewrite the lines to read. [SPEAKER CHANGES] The gentleman from Burke has the floor to debate the amendment. [SPEAKER CHANGES] Members of the House will understand from my comments yesterday that I am very skeptical at best of historic tax credits, but I think this amendment would at least improve the bill in a number of respects, and I hope that the House will consider it in a favorable vein. For one thing, it would, basically what the amendment would do would be to limit the availabilities of the credit to properties in tier one and tier two counties. That's where we need to, if we're going to incentivize growth, if that's where it's needed, our tier three counties with the exception maybe of some pockets in certain areas are doing pretty well. They already get a disproportionate amount of sales taxes collected in the state, they get a heavily disproportionate share of incentive funds in other respects, they are sucking population and wealth out of the rural counties, and we don't need to create an incentive that makes that problem worse. What we need to do is incentivize growth where it's not naturally occurring on its own at a rather rapid clip, so I would ask the House to give serious consideration to this and in the process, we can also reduce the drain on the state treasury in terms of what it's costing us in lost revenues. [SPEAKER CHANGES] For what purpose does the gentleman from Brunswick, Representative Iler rise? [SPEAKER CHANGES] To debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] Thank you mister speaker. Be very brief. I'm tired of discriminating against half of my county. Half of my county should be tier three, the other half should not be, but it's all tier three. So I would urge the defeat of any amendment like this that discriminates against parts of counties. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Alamance, Representative Ross rise? [SPEAKER CHANGES] Thank you mister speaker, debate the amendment. [SPEAKER CHANGES] The gentleman has the floor to debate the amendment. [SPEAKER CHANGES] The gist of the amendment is sort of the opposite of what we're trying to do here. In fact, it, is the exact opposite of what we're trying to do here. If you go back to the bill, what we have done is we have specifically targeted tier one and tier two counties with an extra bonus, and we did that to try to help tier one and tier two counties that have these historic properties within their areas in order to help them be able to have the extra push that they need to help get these projects done. I think that it would be wrong to ?? tier two to tier three or tier one to tier three. The facts are the tier three counties may be actually invest more of their dollars into infrastructure, and as far as the population, the population is gonna go where the jobs are, and I agree with my colleague that spoke earlier. This, this really is a jobs bill, and I ask you to defeat the amendment. [SPEAKER CHANGES] Further discussion, further debate on the amendment? If not, the question before the House is the adoption of amendment four, sent forth by Representative Blackwell. So many favoring adoption of the amendment will vote aye. Those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and close the vote. 25 having voted in the affirmative and 87 in the negative, the amendment fails. Now back on the bill. Further discussion, further debate? If not, the question before the house is the passage of the House committee substitute to House bill 152 on its third reading. So many favoring passage of the bill will vote aye. I'll wait on you, Representative Stam. Those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and record the vote. 98 having voted in the affirmative and 15 in the negative, the House committee substitute to House bill 152 passes its third reading, and is ordered sent to the Senate. Members, it is the, if the members will give the chair attention for a few moments. It is my understanding that

I know Rep. Hager’s going to announce a Republican caucus, I’m not sure if Rep. Hall is going to announce a Democratic caucus. But it is the Chair’s intention that we go into recess until 1 PM, so Members will know why that is. There is a possibility we may take up two conference reports that appear to be reached, if you’re interested, those two bills are Senate Bill 14 and Senate Bill 20. I believe 14 is done, 20 is not yet done, but I believe the parties are talking, so that will be the intention of the Chair. For what purpose does the gentleman from Durham, Rep. Luebke rise? [SPEAKER CHANGES] Mr. Speaker, I know what one of those bills is but not the other, so could you give the title of those bills? [SPEAKER CHANGES] Just a moment, I’d be glad to. Just a moment, I think somebody just texted it to me. [SPEAKER CHANGES] Mr. Speaker? [SPEAKER CHANGES] Senate Bill 14 is the Academic Standard Rules Review Commission Bill. Kolash Funds. That’s 14. 20 was the highway funding bill. For what purpose does the gentleman from Rutherford, Rep. Hager rise? [SPEAKER CHANGES] For announcement Mr. Speaker. [SPEAKER CHANGES] The gentleman has the floor for an announcement. [SPEAKER CHANGES] Thank you, Mr. Speaker. The republicans will caucus in 1228 immediately when we leave here. [SPEAKER CHANGES] And I believe the minority leader has been brought into the loop in some of these discussions. [SPEAKER CHANGES] Yes, Democrats will caucus in 1425 immediately after recess. [SPEAKER CHANGES] Intention of the chairs to come back in at one o’clock. Just a moment, we’ll see if we need to recess subject to anything. [SPEAKER CHANGES] Members, we’re going to recess subject to receipt of conference reports, committee reports, and messages from the Senate. Madam Clerk anything else the Clerk knows of that is there? We’re going to stand in recess until 1 P.M. The House is in recess. [SPEAKER CHANGES] Messages from the Senate, the Clerk will read. [SPEAKER CHANGES] Senate Bill 305, Committee substitute, second edition. A bill to be entitled “An Act to Provide Cost Recovery for Acquisition of Joint Municipal. Agency Ownership Interests in Generating Facilities.” To authorize municipalities, that members of joint municipal powers and agencies enter to support contracts, to issue bonds to pay cost of projects. Senate Joint Resolution 334, first edition. [SPEAKER CHANGES] Hold on. Has Senate Bill 305 referred to finance? [SPEAKER CHANGES] Senate Joint Resolution 334, first edition, “A Joint Resolution Setting a date for the House of Representative and the Senate-elect members state board of Community college” [SPEAKER CHANGES] Pursuant to Rule 32, the resolution is place on today’s calendar. [SPEAKER CHANGES] The House will come back to order. Reps. Brawley, Saine, Hastings, Martin, Setzer, and Szoka are recognized. Send forth committee report, the Clerk will read. [SPEAKER CHANGES] Reps. Brawley, Saine, Hastings, Martin, Setzer, and Szoka. Finance committee report. House Bill 6. Autocycle definition and regulation favorable. [SPEAKER CHANGES] Calendar, and the Chair’s considering adding this to today’s calendar. Does anyone have any objection? I see Rep. Luebke hitting ?? The bill is the autocycle definition and regulation bill. House Bill 6 came out of finance today. [SPEAKER CHANGES] No objection, sir. Thank you. [SPEAKER CHANGES] Calendared for today without objection. [SPEAKER CHANGES] House Bill 229 Modify religious property exemption. Favorable committee substitute. Unfavorable original bill. [SPEAKER CHANGES] The original bill, unfavorable calendar. Committee substitute calendar.

XVVPVL [0:00:00.0] This bill being added to today’s calendar by anyone? Saying none, the bill will be added to today’s calendar. Members I believe we have a school visiting with us also today from the Peachland-Polkton Elementary School in Anson County, we are glad to have you all with us here today. [Applause] And you are representing is Mark Broody, Mr. Representative please stand up, Representative Broody in the back, he’s your Representative from Anson County. [Applause] Back on the calendar, House Bill 281, the clerk will read. [SPEAKER CHANGES] Representatives L. Hall, Setzer, Cunningham, and Pierce, House Bill 281: a bill to be entitled an act to provide for the division of adult correction to provide copies of all records to the office of the chief medical examiner in the event of the death of an inmate in the custody of the division. The General Assembly of North Carolina enacts. [SPEAKER CHANGES] For what purpose does the gentleman from Durham, Representative Hall arise? [SPEAKER CHANGES] To speak on the bill Mr. Speaker. [SPEAKER CHANGES] The gentleman has the floor to debate the bill. [SPEAKER CHANGES] Thank you Mr. Speaker and ladies and gentlemen, this bill is one that is been a work in progress between the Department of Corrections, Department of Justice, and the State ?? office, all parties have their issues satisfied in this bill and what this bill does is allow timely information sharing regarding injuries and death and departmental corrections and allows the information to be kept confidential where appropriate. So I ask for your support on the bill. [SPEAKER CHANGES] Further discussion further debate? If not, the question before the house is the passage of the House Committee Substitute to House Bill 281 on its second reading. So many favoring passage of the bill will vote aye, those oppose will vote no, the clerk will open the vote. The clerk will lock the machine and record the vote, 111 having voted in the affirmative and one in the negative. The House Committee Substitute for House Bill 281 passes its second reading and will without object be read at third time. [SPEAKER CHANGES] Mr. Speaker? [SPEAKER CHANGES] Does the gentleman wish to be recorded just having voted aye or does the gentleman stand for his no vote? [SPEAKER CHANGES] I want to stand but I’m…Hang on. [SPEAKER CHANGES] The gentleman will be recorded just having voted aye. [SPEAKER CHANGES] Mr. Speaker? [SPEAKER CHANGES] For what purpose does the gentleman from Hardin, Representative Louis arise? [SPEAKER CHANGES] To see if the gentleman from Durham yell to a question? [SPEAKER CHANGES] Does the gentleman from Durham yell to the gentleman from Hardin? [SPEAKER CHANGES] Yes. [SPEAKER CHANGES] Gentleman from Durham. [SPEAKER CHANGES] The distinguish elder spokesman. [SPEAKER CHANGES] That’s better, he yells. [SPEAKER CHANGES] Representative Mitchell I noticed that you had a digital malfunction there, it that the first time that’s happen this year? [SPEAKER CHANGES] This is first time this happen. [Laughter] [SPEAKER CHANGES] And the Chair reminds the members they cannot be prosecuted for what they say on the floor. [Laughter] Third reading, further discussion further debate? If not, the question before the…Let the clerk read it. [SPEAKER CHANGES] The General Assembly of North Carolina enacts. [SPEAKER CHANGES] The question before the house is the passage of the House Committee Substitute to House Bill 281 on its third reading, so many favoring passage of the bill will say aye. [SPEAKER CHANGES] Aye. [SPEAKER CHANGES] Those oppose will say no, the ayes have it and the House Committee Substitute for House Bill 281 passes its third reading and will be sent to the Senate. Members of the Chair is gonna take up House Bill 6 next. The House Bill 6, the clerk will read. [SPEAKER CHANGES] Representative Torbett, House Bill 6: A bill to be entitled an act to define and regulate autocycles. The general assembly of North Carolina enacts. [SPEAKER CHANGES] For what purpose does the gentleman from Gaston, Representative Torbett arise? [SPEAKER CHANGES] To speak on the bill Mr. Speaker. [SPEAKER CHANGES] The gentleman has the floor to debate the bill. [SPEAKER CHANGES] Thank you so much and thank you also for place on the calendar today and for the indulgence have it moved up so I can get back home for an event. Ladies and gentlemen the house I come Berkeley and you have no information and I wasn’t expecting this be on the floor but I will try to do it for remembering. This bill has come through two committees both received an overwhelming support and if you wanna look at North Carolina back you won’t see this but if you want to look at North Carolina as we progress into the future you will see this it’s an innovative approach to try to… [0:04:58.9] [End of file…]

Transportation. We're talking about a vehicle that will have the capability of going 84 miles per gallon at a cost of $6,800, and it's essentially like riding in a car, the car you have today, a little bit smaller on the inside, but with only three wheels instead of four. Fully enclosed, air bag, roll cage, seat belts, and most of the safety things required by the federal government. Now, what the bill does, currently in North Carolina in that vehicle if you got in it, you would have to wear a motorcycle helmet. This bill simply says if you get one of these and you're riding in it, you would not have to wear a motorcycle helmet. This same bill, the language is being addressed in many, a myriad of states across the country to provide the moving forward of this innovation, of this technology, of this advancement of transportation for people that very honestly look for something just like this. And let me add a caveat for some of my, let's say, more greener friends. Imagine this now as an electric vehicle. You can see it, can't you? This vehicle we're talking about, it's a petroleum, it's a gas vehicle, but there's nothing that disables the opportunity for another entrepreneurial spirit to create an electric vehicle along the same lines, and this just simply puts it on the, on the books in North Carolina that this type of innovation, these type of people can promote this, perhaps manufacture and, and promulgate this across the countryside in the great state of North Carolina. Thank you, mister speaker. I'm available for any questions. [SPEAKER CHANGES] For what purpose does the lady from Orange, Representative Insko rise? [SPEAKER CHANGES] To ask the bill sponsor a question. [SPEAKER CHANGES] Does the gentleman from Gaston yield to the lady from Orange? [SPEAKER CHANGES] I yield and will make every attempt to answer her question. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] On line 12, it says that the enclosed seating does not require the operator to straddle or sit astride. It sounds like that that's an option, that you can do either. [SPEAKER CHANGES] I don't have a good answer for you, but what it does now, it does not have that. In other words, you don't ride it like a motorcycle. It has a seat and a steering wheel. [SPEAKER CHANGES] Thank you. [SPEAKER CHANGES] Representative Insko, I believe Representative Torbett has one he might sell to you if you want it. I don't know. For what purpose does the gentleman from Robeson, Representative Graham rise? [SPEAKER CHANGES] To ask a question of the bill sponsor. [SPEAKER CHANGES] Does the gentleman from Gaston yield to the gentleman from Robeson? [SPEAKER CHANGES] Happily, mister speaker. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Thank you, mister speaker. Representative Torbett, you said this was enclosed. What is the specs on the enclosure? What type of material would this enclosure be made from? [SPEAKER CHANGES] I do not know. I do not have an answer to that. I'm sure you could find that online under ELIO if you wanna access Google. Yeah, but you did hear me say it did have a roll cage included in the vehicle, is that? [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] Does the gentleman from Robeson wish to ask an additional question? [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] And does the gentleman from Gaston yield? [SPEAKER CHANGES] Yes, mister speaker. [SPEAKER CHANGES] He yields. Just to make clear I, I want to support this but I just want to make sure that the enclosure will be a safe enclosure and is not gonna be something that will be subjecting the passengers to maybe like a T bone or something like that that could disintegrate during those type impacts. [SPEAKER CHANGES] The, the proper safety is in place. Now, I can't guarantee ?? in any automobile manufacturer the absolute guarantee of a safety of a vehicle, but it meets what, pretty much what's required for this type of vehicle. [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] Does the gentleman yield to an additional question? [SPEAKER CHANGES] Make every attempt, mister speaker. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] So the helmets that the, the individuals would not be required to wear a helmet. [SPEAKER CHANGES] While in this vehicle, that's correct. [SPEAKER CHANGES] Thank you mister speaker. I'd like to ask a question of Representative Boles. [SPEAKER CHANGES] Does the gentleman from Moore yield to the gentleman from Robeson? [SPEAKER CHANGES] Reluctantly. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Representative Boles, do you support this bill? [SPEAKER CHANGES] Yes, sir. [SPEAKER CHANGES] Thank you mister speaker. [SPEAKER CHANGES] For what purpose does the gentleman from Wake, Representative Martin yield, arise? [SPEAKER CHANGES] To ask the bill sponsor a question. [SPEAKER CHANGES] Does the gentleman from Gaston yield to the gentleman from Wake? [SPEAKER CHANGES] Absolutely. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Thank you mister speaker. Mister speaker, the first question I was gonna ask was already asked by the gentleman from Robeson and answered to my satisfaction. The second question I was gonna ask about the equipment that comes with this vehicle is the

Bill sponsor's version of it gonna be equipped with an ash tray. [SPEAKER CHANGES] Mister speaker, I have not had that conversation with, with the manufacturer, but based on my previous knowledge on the more two wheel vehicular types, they're always provided as an option. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of the House committee substitute to House bill 6 on its second reading. So many favoring passage of the bill will vote aye. Those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and record the vote. 113 having voted in the affirmative and none in the negative, the House committee substitute to House bill 6 passes its second reading and will, without objection, be read a third time. [SPEAKER CHANGES] General assembly of North Carolina and acts. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of the House committee substitute to House bill 6 on its third reading. So many favoring passage of the bill will say aye. Those opposed will say no. The ayes have it. House committee substitute to House bill 6, having passed its third reading, will be sent to the Senate. House bill 286, the clerk will read. [SPEAKER CHANGES] Representative Jones. House bill 286, a bill to be entitled an act to amend the dental hygiene act to authorize properly trained dental hygienists to administer intraoral local dental anesthetics under the direct supervision of a licensed dentist. General assembly of North Carolina and acts. [SPEAKER CHANGES] The gentleman from Rockingham, Representative Jones, is recognized to debate the bill. [SPEAKER CHANGES] Thank you mister speaker. Ladies and gentlemen of the House, this is a bill that passed unanimously in the health committee. When you look at it right off it might look like one of those scope of practice turf war bills that legislators hate to see, but I am very pleased to tell you that this is one in which stakeholders came together and agree on. It is endorsed, supported by the North Carolina Dental Society and the North Carolina Dental Hygiene Association, the North Carolina board of dental examiners. I am not aware of any organized opposition to it. It is currently done in 45 states, and just to tell you quickly what the bill does, an intraoral local anesthetic, intraoral is an injection in the mouth, so we're talking about a dental injection, and a local anesthetic is, in layman's terms, what you receive when you are getting numbed at the dentist's office. And so this bill would allow a properly trained dental hygienist under the direct supervision of a licensed dentist in North Carolina to be able to administer an intraoral local anesthetic. I would be happy to entertain any questions but I think hopefully that explains to you, and I would appreciate your support for the bill. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of the House committee substitute to House bill 286 on its second reading. So many favoring passage of the bill will vote aye. Those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and record the vote. 113 having voted in the affirmative and none in the negative, the House committee substitute to House bill 286 passes its second reading and will without objection will be read a third time. [SPEAKER CHANGES] General assembly of North Carolina and acts. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of the House committee substitute to House bill 286 on its third reading. So many favoring passage of the bill will say aye. Those opposed will say no. The ayes have it and House bill 286 passes its third reading and will be sent to the Senate. House bill 229, yes, no wait a minute. House, Senate joint resolution 334, the clerk will read. [SPEAKER CHANGES] Senator Soucek and Tillman, House joint resolution 334, a joint resolution setting the date for the House of Representatives and the Senate to elect members to the Senate board of community colleges. [SPEAKER CHANGES] The gentleman from Randolph, the clerk will suspend. The gentleman from Randolph, Representative McNeill is recognized to debate the resolution. [SPEAKER CHANGES] Thank you. Ladies and gentlemen, this is the enabling legislation for the community college board of elections, and I recommend your approval. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of Senate joint resolution 334 on its

second reading, so many favoring passage of the resolution will vote aye, those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and record the vote, 114 having voted in the affirmative and none in the negative. Senate Joint Resolution 334 passes its second reading and will, without objection, be read a third time. [SPEAKER CHANGES] The Senate resolved, House concurring. [SPEAKER CHANGES] Further discussion, further debate? If not, so many favoring passage of the resolution on its third reading will say aye. Those opposed will say no. The aye's have it. Senate Joint Resolution 331 passes its third reading. Senate will be so notified. The resolution is ordered enrolled. Now House Bill 229, the clerk will read. [SPEAKER CHANGES] Representative McNeill, Shepard, Riddell, and Pierce, Senate Bill 229, a bill to be entitled an act to modify the exemption for real property use for religious purpose. The General Assembly of North Carolina enacts. [SPEAKER CHANGES] For what purpose does the gentleman from Randolph, Representative McNeill, rise? [SPEAKER CHANGES] To debate the bill. [SPEAKER CHANGES] The gentleman has the floor to debate the bill. [SPEAKER CHANGES] Ladies and gentlemen of the House, this bill was heard this morning in Finance. It received a favorable report. As a matter of fact it was a unanimous report. Basically what this bill does is it closes a loophole in existing law and it also sets a precedent in the law. Some of the boards of equalization review in the state had ruled on this differently. It has economic impact on the counties or the state. I appreciate the bill sponsors, Representative Pierce, Riddell, and Shepard that went on it with and I stand ready for any questions if anybody has any but I appreciate your support on the bill. [SPEAKER CHANGES] Further discussion, further debate? If not, the question before the House is the passage of the House Committee Substitute to House Bill 229 on its second reading. So many favoring passage of the bill will vote aye, those opposed will vote no. The clerk will open the vote. The clerk will lock the machine and record the vote, 113 having voted in the affirmative and one in the negative. House Committee Substitute to House Bill 229 passes its second reading and will, without objection, be read a third time. [SPEAKER CHANGES] The General Assembly of North Carolina enacts. [SPEAKER CHANGES] Further discussion, further debate. If not, the question before the House is the passage of House Bill 229 on its third reading. So many favoring passage will say aye, those opposed will say no. The aye's have it, House Bill 229 passes its third reading, will be sent to the Senate. Members, to give the body some idea of what the schedule is, as the Chair indicated earlier, we have a couple of conference reports that potentially will be added to today's calendar. The Chair's inquiring as to what the status is on those. There were a couple bills that came out of committee, I believe Representative Stevens had some that came out of Judiciary that I believe were not controversial. In order to use our time, we'll advise of any bill numbers and give members time to look and see if there's objection to adding those to today's calendar. So if the body will be at ease. For what purpose does the gentleman from Rowan, Representative Ford, rise? [SPEAKER CHANGES] I've seen the light. I want to change my vote on the last bill. [SPEAKER CHANGES] Representative Ford, you won't know how surprised I was to see you voting red on that bill. The gentleman will be recorded as having voted aye. [SPEAKER CHANGES] For what purpose does the gentleman from Scotland, Representative Pierce, rise? [SPEAKER CHANGES] I want to know what light was it? [SPEAKER CHANGES] He was having a little trouble seeing the light, I think. But now he has seen the light. For what purpose does the gentleman from Durham, Representative Hall, rise? [SPEAKER CHANGES] Ask a question of the Chair. [SPEAKER CHANGES] The gentleman may state his inquiry. [SPEAKER CHANGES] Mr. Speaker, there's an Election Laws meeting scheduled for today. Is it possible that we could hold that meeting in the interim while the conference reports are being prepared, as opposed to adding bills to the calendar or having that election law meeting after session? [SPEAKER CHANGES] That's a fair question. Give me just a moment, we'll look in to that. The House will come back to order. It is the Chair's intention to do the following. One, to put us in recess until 2:15, which will be about 30 minutes and to

Without objection, permit the elections law committee meet up until 2:10, which would be five minutes before the end of session as opposed to the normal fifteen minute rule which hopefully, I believe these are local bills that Representative Jones indicated that they are, to take those up. That is, that is the intention of the chair at this point. For what purpose does the gentleman from Cumberland, Representative Floyd rise? [SPEAKER CHANGES] See if the election committee chair will yield for a question? [SPEAKER CHANGES] The gentleman from Rockingham yield to the gentleman from Cumberland? [SPEAKER CHANGES] Yes sir. [SPEAKER CHANGES] He yields. [SPEAKER CHANGES] Is it possible that we can have that meeting in 1425 in, then to go across. [SPEAKER CHANGES] Representative Floyd, I think it would be quicker for us to just walk over to 544 than to try to have the staff try to move everything that's already ready in place. I think if we can leave now, mister speaker, may I be recognized for an announcement? [SPEAKER CHANGES] The gentleman from Rockingham is recognized for a committee announcement. [SPEAKER CHANGES] The elections law committee will meet in room 544 immediately upon recess. [SPEAKER CHANGES] For what purpose does the gentleman from Union, Representative Horn rise? [SPEAKER CHANGES] Point of personal privilege. [SPEAKER CHANGES] The gentleman may speak to a moment of personal privilege. [SPEAKER CHANGES] Thank you mister speaker. Ladies and gentlemen of the House, yesterday I brought you up to date on Representative Brawley's wife, and I bring you up to date again. It's amazing what can happen in a short period of time. She's doing so well that there's a pretty good possibility that she'll be coming home tomorrow and we'll have the pleasure of Representative Brawley's company with us next week. So I'm very pleased to be able to tell you that. Thank you all. [SPEAKER CHANGES] Members, before we leave, these are the bills the chair is looking at adding to today's calendar. Representatives Davis and Ford are recognized to send forward a committee report. The clerk will read. [SPEAKER CHANGES] Representatives Davis and Ford, local government committee report, House bill 199 Raleigh donate service animals to officers, favorable. [SPEAKER CHANGES] Calendar, and without objection to today's calendar, is there objection? Hearing none, so ordered. [SPEAKER CHANGES] House bill 204, Caswell beach quick take eminent domain, favorable. [SPEAKER CHANGES] Calendar, and without objection, today's calendar. [SPEAKER CHANGES] House bill 243, local economic development commission, favorable. [SPEAKER CHANGES] Calendar, and without objection, today's calendar. [SPEAKER CHANGES] House bill 263, City of Trinity terms of election. [SPEAKER CHANGES] Objection. [SPEAKER CHANGES] First of all, calendar. The chair would inquire to add to today's calendar. The gentleman from Durham, Representative Luebke has stated an objection to that. Just a moment. Believe this is Representative Hurley's bill. Does the lady desire to make a motion to add it to today's calendar, or is that lady fine if that bill rolls over to Monday? [SPEAKER CHANGES] I'd like for it to be heard today, if it could be. [SPEAKER CHANGES] Very well. [SPEAKER CHANGES] Make a motion that it be heard today. [SPEAKER CHANGES] All right. [SPEAKER CHANGES] Mister speaker. [SPEAKER CHANGES] For what purpose does the gentleman from Durham, Representative Luebke rise? [SPEAKER CHANGES] Mister speaker, we spent most of the local government committee meeting today on this bill. I respect Representative Hurley's support for the bill. There was however an amendment to the bill that narrowly lost that asked for a referendum on the bill. It's a bill to change the composition of the Trinity City Council. It is not proper in my judgment to take a bill of that controversy and put it on the calendar at this late hour at a time really when we're really just putting it on the calendar because we're waiting for conference reports. It's really, to my judgment, mister chair, I would ask you to remove this from the calendar because it was high level of controversy. [SPEAKER CHANGES] For what purpose does the gentleman from Davidson, Representative Watford rise? [SPEAKER CHANGES] I'd also like to object to this hearing today, because I submitted the bill, the amendment to the bill. Thank you. [SPEAKER CHANGES] Okay. The, just, just for the body's notice of where we are procedurally, the objections have been noted which would be, which would at this point require a motion to be made which has been made by the lady of Randolph to add the bill to today's calendar. It can be added by a simple majority vote is, is where we stand. So the motion before the, the motion before the body is to add House bill 263 to today's calendar. [SPEAKER CHANGES] Mister speaker? [SPEAKER CHANGES] For what purpose does the gentleman from Guilford, Representative Blust rise? [SPEAKER CHANGES] To ask Representative Hurley a question. [SPEAKER CHANGES] Does the lady from Randolph yield to the gentleman from Guilford? [SPEAKER CHANGES] I yield. [SPEAKER CHANGES] Representative Hurley, is there a reason this bill is particularly time sensitive that would mean we need to hear it today? [SPEAKER CHANGES] Not really. I'll be glad to withdraw it until Monday. [SPEAKER CHANGES] Okay. [SPEAKER CHANGES] The, very well, the motion is withdrawn and it is the intent

intention of the Chair to set this local bill for Monday night. House Bill 247, strike that, one additional bill, I believe from the committee? [SPEAKER CHANGES]Yes. [SPEAKER CHANGES]Strike the two. [SPEAKER CHANGES]House Bill 279, Hope County local option sales tax favorable and referred to Finance. [SPEAKER CHANGES]The bill is referred to finance. [SPEAKER CHANGES]House Bill 279, Wake City local board equalization review, favorable to Committee Substituent, unfavorable to bill. [SPEAKER CHANGES]The original bill placed on the unfavorable calendar, the Committee Substitute calendar. Is there objection to this bill being added to today's calendar? House Bill 279, Wake City local board equalization review. [SPEAKER CHANGES]Mr. Speaker, can we have, Mr. Speaker? [SPEAKER CHANGES]For what purpose does the gentleman from Cumberland, Representative. [SPEAKER CHANGES]I was wondering if we could have one minute just to look at that bill before we have to note an objection. [SPEAKER CHANGES]Absolutely, I'd be glad to afford the gentleman that. Actually, the Chair's determined, I don't move anything controversial but we've added four bills to the calendar, they are local bills, I don't believe they'll get in much discussion, I hope not. If they do, I can feel certain that, be assured from the Chair that they'll probably be moved to next week. But this bill here, let me put it to you this way, unless I get a request from any Wake County Representatives to add this bill to today's calendar, the Chair's going to allow this bill to go over to Monday's calendar. Is anyone representing Wake desire that this bill be added to today's calendar? Seeing no likes, the bill will go on Monday night's calendar. Members, given that we've taken a few minutes with procedural matters, the House is going to go into recess shortly, come back at 2:30. Chairman Jones, your committee is permitted to meet up until 2:25, that will suspend the normal 15 minute rule for you. Any notices or announcements anyone feels inclined to make at this moment? If not, we're going to go into recess subject to receipt of conference reports, committee reports and messages from the Senate, referral of bills and resolutions until 2:30 PM. FINANCE [SPEAKER CHANGES]Go ahead and take our seats, we'll go ahead and get started. Good morning, thank you for coming to our Finance Meeting today. I'm pleased to announce our Sergeant-at-Arms, thank you for serving with us this morning. We have Reggie Sills, Marvin Lee, Terry McCraw and Chris McKraken. We are also honored to have several pages with us this morning, hope you've had a great week. We have Tyrek Rhodes from Wake County, sponsored by Shelly Willingham, David Costenburger from Wake County sponsored by Chris Malone, Kenny Luk from Wake County sponsored by Darren Jackson and Sean Comb from Nash County sponsored by Jeff Collins. Thank you for being here. Okay we have three bills on the calendar for this morning, we will start with House Bill 6, Autocycle definition and regulations, and Representative Torbett, you are invited to come forward and present your bill. Can I have a motion to have the bill properly before us? Thank you. [SPEAKER CHANGES]Good morning, it's an exciting time in North Carolina, what you guys are looking at today pretty much just hammers home what we're doing in North Carolina as far as innovation, expanding the opportunities for entrepreneurial activity, and looking forward as opposed to looking through the rear view mirror as what the future of transportation might bring to our citizens in North Carolina. The reason I say it's exciting is if you all haven't pretty much viewed or seen what we're talking about today, imagine yourself today in the automobile that you drive, but now your automobile just happens to have only three wheels instead of four wheels. It's totally enclosed and has the safety aparatuses designed for the

vehicle to keep you safe, and now you're getting, how many miles per gallon? Quite a few more than you're probably currently getting. It's an entry market, it's an exciting market, my guess is we'll see these in North Carolina if we're fortunate to move ahead with this bill in the very near future. I'll even step out on a limb and say it may end up being one of the mainstays of our future transportation needs as far as where the consumer goes. When you're looking for a vehicle has low cost, high miles per gallon, extended life, and it's an attractive vehicle, my guess is they'll be selling quite a few. With that Madame Chairman, if there are any questions, I'll lean to your advice, and also we do have a gentleman from the Elio Company here, and at the proper time perhaps have him available for comments. [SPEAKER CHANGES]Thank you, and do you want staff to go over the bill or have the presenter first. [SPEAKER CHANGES]Yeah, I guess it would probably be of benefit if staff want to go over the bill and that would be great, thank you. [SPEAKER CHANGES]Thank you, recognized staff? [SPEAKER CHANGES]Good morning. I'm Gregory with the Research Division. The main thrust of the bill is to move autocycles from regulatory regime of motorcycles to it's own regulatory regime which is more like automobiles. And so under current law, an operator of an autocycle in North Carolina would have to have a helmet and would have to have a driver's license endorsement to operate a motorcycle, so it would be classified as a motorcycle. So the basic structure of the bill is just go through, click through some of the DMV statutes so that we will classify them as their own thing, an autocycle. They'll be regulated like an automobile as far as lights and safety equipment under state law. Under federal law there still a motorcycle, but the advantage to this would allow, like this one company here that's making such a big push to market these in the United States, that operators of these vehicles would just be able to use a normal driver's license and they would not have to wear a helmet. [SPEAKER CHANGES]Thank you. Do we have a representative from Elio Motors who would like to speak? Okay, please come forward. Do you have a presentation, is it given on the computer? [SPEAKER CHANGES]Yes, Madame Chair, there's handouts there. [SPEAKER CHANGES]I think they're in the packet, correct? Okay, I guess there are some extra handouts in the back if anyone is interested, and they should be in your packet. Please state your name, company and position for our records. [SPEAKER CHANGES]Madame Chairman and honorable members of the House Finance Committee, my name is Joel Sheltron, I am Vice President of Elio Motors, Governmental Affairs. Representative Torbett did a great job of talking about our vehicle. I'd like to give you a little bit of background about the vehicle. It's a two passenger, tandem seating, front wheel drive, three wheel, three cylinder, gasoline powered, fully enclosed, as mentioned technically considered a motorcycle by federal standards. The vehicle will retail for an expected $6,800 and get an expected 84 miles to the gallon. It's been engineered to the highest available standards. It has three air bags, it has a high strength roll cage, ABS stability controlled traction control, plus other safety enhancement equipment that you would normally find in a automobile. It's truly a cross between an automobile and a motorcycle. Currently, looking at your handout there, and I've got two different handouts. The one I brought was a little different. But anyway, P4, our prototype, if you notice there we have 41,000 pre-sold reservations, which is amazing. We wont be in production until next year and people have already put in mostly non-refundable deposits on this vehicle. The next page shows you that the interior of the vehicle is basically half a car and has a steering wheel, has controls just like an automotive control. Of course the problem we have is the fact that in North Carolina

North Carolina is one of four states now that require helmets for everyone in the vehicle. We have some states that are age-specific, and H6 would insert "autocycle" in definition and would exempt from autocycle--from helmets and the motorcycle endorsement. The helmet issue, we're going to look at that first. Wearing a helmet in a completely enclosed vehicle makes it difficult to hear emergency vehicles, sirens. Wearing a helmet reduces vision and can create blind spots. Our vehicle, as well as others on the road today, with airbags, are not designed for helmet use. Airbag deployment requires sensitive calibrations. Adding a three- to four-pound helmet on adds 30% to 40% more weight to the head. No automobile manufacturer considers helmets when calibrating airbag deployment. The extra weight of a helmet will actually lower our safety rating because of neck elongation, one of the measurements considered, and this is crash ratings. The use of a helmet with safety, three-point safety restraints, puts the operator and passenger in a dangerous situation. The three-point restraints hold the body against the seat, but the head, with the extra weight of the helmet, will be pulled violently forward in a frontal collision. To avoid the significant injuries results from the action, NASCAR drivers are now using the HANS device. They drive a lot faster than we do. However, the NASCAR and safety engineers will tell you that you can get killed just as quickly at 30 miles an hour if you stop quickly enough under this scenario. So the helmets are actually a very dangerous thing to require. The next page here, if you want to look at the helmet map, shows you exactly where we're at in the nation with helmet requirements. I got a call yesterday that Ohio's now done, so we can cross that off. Two days ago, New Mexico was finished. And so things are moving along quite nicely. We're almost done with the helmet portion of the legislation would, this legislation would take care of. Motorcycle endorsement is another issue. We're way too wide. You can see by, in the handout, how we're way too wide, way too long, to pass your motorcycle skills test. And there isn't anything on the skills test that would be relevant to our vehicle anyway. [SPEAKER CHANGES] Excuse me, Mr. Shatern??, if you could conclude in one minute, and then we can start taking questions? [SPEAKER CHANGES] And so obviously if we can't pass the test, there is no reason and no benefit, no protection of the public require a motorcycle test for this type of vehicle. It handles like an automobile, it drives like an automobile, it has automotive controls. Thank you very much, and with the Chairman's--Madam Chairman's leave, I will answer any questions that you have. [SPEAKER CHANGES] Thank you very much. Members, do we have any questions about this bill? Representative Collins. [SPEAKER CHANGES] Madam Chair, for a motion at the appropriate time. [SPEAKER CHANGES] Thank you. Any other questions? Yes, Representative Adams. [SPEAKER CHANGES] Yes. There's two-cycle and four cycle, and what's the weight of the vehicle? [SPEAKER CHANGES] The vehicle weighs 1,229 pounds, it's a four-cycle engine, it's three-cylinder--it's a regular automotive engine. [SPEAKER CHANGES] Fuel injected? [SPEAKER CHANGES] It's sequential port fuel injection. [SPEAKER CHANGES] Representative Hastings. [SPEAKER CHANGES] I'll try to be brief. NHTSA, National Highway Traffic Safety Administration, do you also work at the federal level? [SPEAKER CHANGES] Yes we have, currently we have legislation that mirrors Representative Torbett's legislation on the federal level, so they're already working on that now. Senator Vitter has Senate Bill 685. [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] So there's a supremacy clause issue that you're having to deal with at the federal level because of unilateral action at the state level would still put you in a problematic situation? [SPEAKER CHANGES] There isn't a supremacy clause issue. You can do whatever you want to in North Carolina. However, the reason we introduced it on the federal level is because these vehicles are going to be on the road, and they need consistent safety standards. You can imagine what it would be like if you tried to register in another state, and you don't fit the definition. [SPEAKER CHANGES] Follow up? [SPEAKER CHANGES] Follow up. [SPEAKER CHANGES] So there isn't a supremacy

issue then what do you do with the fact that the Federal Government classifies it as a motorcycle? [SPEAKER CHANGES]The states have the ability, as long as they accept the certification of motorcycle to register the vehicle as an autocycle. Some are using motor vehicle and an autocycle is a motor vehicle, some states are saying an autocycle is a motorcycle. [SPEAKER CHANGES]Okay, Representative Carney? [SPEAKER CHANGES]Thank you Madame Chair, and I'm on the Transportation Committee and this was fully debated in there and it's here in Finance and looking at the physical note, there's not a really big hit to the state for the, it could be a revenue generator which was hard for the staff to estimate, so I'm sorry the Representative Collins beat me to the motion. But one question, if I may, of the bills sponsor. [SPEAKER CHANGES]Yes, Rep, go ahead. [SPEAKER CHANGES]Representative Torbett, we've ran out of time in Transportation, but I'm dying to ask you this question, will you fit in one of these cars? [SPEAKER CHANGES]Representative Carney, probably like you, the closest I've been to the vehicle is what I've seen on the website. [SPEAKER CHANGES]Any other questions? Representative Jones? [SPEAKER CHANGES]Thank you, this is a financial question, but can you explain, to Representative Torbett, why is the cost. We've got a $90 million cost and then an ongoing $9 million, what is that for? [SPEAKER CHANGES]Madame Chairman? [SPEAKER CHANGES]You're recognized. [SPEAKER CHANGES]I could, but there's someone here of much higher intelligence than me that can speak on that and that would be Commissioner Thomas from the Department of Motor Vehicles, if Madame Chair would like him to address the fiscal impact. [SPEAKER CHANGES]Will the representative from the DMV come forward? And state your name and department for our records, please. [SPEAKER CHANGES]Thank you, my name is Kelly Thomas, Commissioner of Motor Vehicles, and I'm not looking at the same fiscal note you are. The IT costs for this initiative, which I very much support, the definition of autocycle and the classification of this vehicle is exactly what brings us into current operations in the State of North Carolina, so I very much look forward to autocycles. I also look forward to the next classification of vehicles, the autonomous vehicle, that we'll see here in recent, or in very soon history. But anyway, back to the IT question, our estimate for IT build requirements is $109,000 to put this autocycle definition into our STARS database, so I don't have whatever figure you're looking at, at $9 million. $109,000 for IT costs. [SPEAKER CHANGES]Okay, got that. Representative Warren, did you have a question? [SPEAKER CHANGES]Yeah, I'm just curious whether or not the occupants, it seats two and everything, is it one behind the other? [SPEAKER CHANGES]It seats two, tandem, and the reason for that is you are able to reduce the wind pressure on the front of the vehicle, which helps get better fuel economy. [SPEAKER CHANGES]Thank you. [SPEAKER CHANGES]Representative Collins, you're recognized for a motion. [SPEAKER CHANGES]I'd like to make a motion for a favorable report for Committee Substitute to House Bill 6, unfavorable to the original. [SPEAKER CHANGES]Members, you've heard the motion, and all in favor of a favorable report will now signify by saying aye. [SPEAKER CHANGES]Aye. [SPEAKER CHANGES]Opposed? House Bill 6 passes Committee, it will be sent to the floor. Thank you for joining us, thank you Representative Torbett. [SPEAKER CHANGES]Thank you, Madame Chairman, members of the Committee. [SPEAKER CHANGES]We are now going to hear House Bill 229, Modify religious property exemptions. Representative McNeil and other sponsors, please come forward. Can I have a motion to have the PCS properly before us? Representative Carney in second. Representative Warren, thank you. [SPEAKER CHANGES]Thank you. I want to thank the Committee and Chairman for allowing us to bring House Bill 229 before you. This bill basically does two things, it attempts to close a loophole in current law, and also make the law consistent across the whole state. If you'll go all the way, the first page is current law, if you'll go all the way to the second page, you'll see in Section G, there's some strike throughs, those are basically just technical corrections. The meat of the change in this law is in Section 3, excuse me Subsection 3 at the very end. And basically, let me explain to you what this does.

RPNJSR [0:00:00.0] For years in North Carolina religious property that is occupied for religious purposes has been tax exempt. Recently, through some liberal interpretations by local tax departments they have taken buildings that were under construction, that were not completed by January 1st, has not being occupied. Giving you an example, what happened in North Carolina that we had a Church that was building a new sanctuary well I’m sorry the old sanctuary on property they are doing for years, they were not through, it was a 900 or almost a thousand seats sanctuary, they were not through with construction on January 1st. Therefore, they technically had not occupied it according to a liberal interpretational law. So theoretically and the tax department said, “We are gonna tax the bill, we are not gonna tax the land on its own because it has been taxed down for years.” Obviously, since the building was not under construction, was not finished construction so they couldn’t get an occupancy permit to occupy for any purposes. So they were in kind of get 22 situation. Well, luckily they appeal to that ruling and the board of equalization review in Randolph County said, “No, no, no we don’t believe that statue that is exempting religious property.” However, in other counties I understand for South County and other counties the board of equalization review has gone against the Churches and said that, “They had to pay their taxes.” So I personally, when I heard about the situation I didn’t believe that that was the intent of the original statue that exempted property. So I saw as a loophole, I saw that it has been interpreted different in different counties and the state. And I felt like it was something that we needed to do as legislators to close this loophole and make it all consistent across the entire state. I will direct you to the fiscal note, on the back it shows no fiscal impact to the state and it shows no fiscal impact to the counties. And my co-sponsor ??. [SPEAKER CHANGES] Okay, ?? are you not gonna look out for the brother and the sisters in and we just get through in a building and I can understand the impact of it will be taxed and it’s a strange loophole there but it’s not in use but both people noticed it’s gonna be used for religious purpose so I wanna thank Representative McNeil for that. So I would join with him and ask to be work to this ?? Church Community and those Churches who are in the process to build for that time period, thank you Madam Chair. [SPEAKER CHANGES] Thank you, are there questions from the committee? [SPEAKER CHANGES] Madam Chair? [SPEAKER CHANGES] I have Representative Jones. [SPEAKER CHANGES] Thank you Madam Chair for the motion at the appropriate time. [SPEAKER CHANGES] Thank you, Representative Setzer. [SPEAKER CHANGES] I was gonna make a motion. [SPEAKER CHANGES] Okay, any other questions? Representative Jones you are recognized. [SPEAKER CHANGES] Thank you, I will propose favorable report for the committee substitute for House Bill 229 unfavorable to the original. [SPEAKER CHANGES] Members you have heard the motion, all in favor signify by saying aye. [SPEAKER CHANGES] Aye. [SPEAKER CHANGES] Any oppose, no. Thank you very much, Committee Substitute to House Bill 229 passes. Next in our agenda, we have House Bill 265: NCEMPA Asset Sale and Representative Collins please come forward to present the bill. [SPEAKER CHANGES] [Inaudible] ?? [SPEAKER CHANGES] Since we have fully debated this in public utilizes, I feel comfortable to maintain as Chair come present the bill but if that changes I will have my colleague step up. [SPEAKER CHANGES] And Representative Stam would also be here, he was first to speak on this bill yesterday but he’s involved in other meeting, if he was needed I will him certainly it wouldn’t be. We debated this bill fully in public utilizes and you folks on public utilities, okay. So you have heard it already, so we are not gonna debate it. And this is the Finance Committee; we should be interested in the finance. So let me say this is the bill that I have been waiting to run through this house for five years and Senator Newton said same thing in the Senate, we had the Study Committee four years ago that we begged and pleaded and we are awarded and nine Co-Chairs too where this was one of the main findings of the Study Committee, the folks at Duke and ?? I would be ?? if I did not thank them publicly, ?? on this than anybody else to make this day come true and it looks like finally where I live and some of the areas that Representative Pierce lives and some of the areas that you represent those 30 or 40% premiums that we are paying on electricity are finally gonna combine and… [SPEAKER CHANGES] May I have your attention please… [0:05:00.3] [End of file…]

SBJVYO [0:00:00.0] …Let’s fortunate people financially to be able to perhaps for the electricity… [SPEAKER CHANGES] The visitor who are retire from the chamber, house proposed to resume the session following recess. [SPEAKER CHANGES] As far as the fiscal piece goes let me just say this, there is not a fiscal note if you will notice on this, this is not ?? will come with a market driven solution to something that benefits everybody, it benefits ??, it benefits the other groups ??, group progress right there through this bill, fuel cost go down by an estimated 70 million dollars a year, there are no losers in this and we are not asking for a dime or state money, this is not a bailout solution, this is a market driven solution. Also, the other thing is that it does not affect the states bonding capacity or whatsoever because in the campus and ?? in the state. I think those are the financial questions for us, I will stop here and Representative Pierce. [SPEAKER CHANGES] I wanna say this. [Laughter] [SPEAKER CHANGES] Committee thank you for that, I just had Representative Kim and some of the same folks down, and I want to thank Representative Hager just because what my constituents just really worked on him for this bill. So we are just glad to be here this morning and many capacities but some of the newspaper articles from local papers that talked about the win, win situation for all of us citizens and lot of our folks are benefited and citizens and others who sometime these bills are really burdensome they have to choose sometime between it and other things. So just I want to get into all of that, just a great dealing and I’m just glad to be, it’s a great day, many of seen in North Carolina with this bill is finally signed and becomes law, it will be truly a great day. So thank you all for allowing us to share that we did this morning. [SPEAKER CHANGES] Thank you. I had a few questions, Representative Jones. [SPEAKER CHANGES] For motion at appropriate time. [SPEAKER CHANGES] Thank you, Representative Moore. [SPEAKER CHANGES] I was gonna do the same, let me just say that I’m very that this bill is come about, I have relatives who live in rural areas, they are not blessed to and live where I live and this has been a concern for them in the passage so I look forward to the passage and giving some relief to those citizens who have these issues for the years hopefully. [SPEAKER CHANGES] Thank you Representative Goodman. [SPEAKER CHANGES] Thank you Madam Chair, just to comment to Representative Moore, if he know a new way or like to live in Gods country down where we are he would not have made that comment. [SPEAKER CHANGES] The house will come back to order. [SPEAKER CHANGES] For what purpose does the gentleman from Gaston, Representative Bumgardener arise? [SPEAKER CHANGES] I’m sorry. Are there any other questions? [SPEAKER CHANGES] Okay. [SPEAKER CHANGES] Representative Jones you are recognized for your motion. [SPEAKER CHANGES] Thank you Madam Chair, I do want to comment…. [SPEAKER CHANGES] Can I ask a question? [SPEAKER CHANGES] The gentleman may state his inquiry. [SPEAKER CHANGES] Thank you. [SPEAKER CHANGES] I don’t know I can just it was all, that’s it. [SPEAKER CHANGES] Any question? [SPEAKER CHANGES] Point of fact finding committee to work on that. [SPEAKER CHANGES] This meeting is adjourned. [SPEAKER CHANGES] Thank you Madam Chair. [SPEAKER CHANGES] The house will come back to order. [Background Conversations] [SPEAKER CHANGES] The gentleman from Wake, Representative Dollar is recognized to send forward a conference report. The clerk will read. [SPEAKER CHANGES] President of the Senate, the Speaker of House Bill presenters, the conferees, ?? was all the differences between the Senate and the House Bill presenters in Senate Bill 14: A bill to be entitled an act to provide funds for the operating expenses of the academic standards review commission; to require that the academic standards review commission post certain public records on its web site; to provide that a state officer may serve on the economic development partnership board; to clarify coal ash management commission appropriations; to clarify when a downstream inundation map must be prepared by a licensed professional engineer; to extend the deadline for the submission of emergency action plans for dams not associated with coal combustion residuals surface impoundments to December 31, 2015; to limit the use of funds appropriated to the department of health and human services for health information exchange; and to require a performance audit of Medicaid eligibility determinations by county departments of social services. House Committee Substitute Favorable 2/20/15, Third Edition Engrossed 3/3/15 submitted to follow on report. The conferees for the Senate Brown Chair, Tom Apodaca, Kathy Harrington, Ralph Hise, Brent Jackson, Jerry Tillman, the conferees for the House Representatives… [0:04:57.6] [End of file…]

Nelson Dollar, Chair, Linda P. Johnson, Donny Lambeth, Chuck McGrady, Susan Martin, Paul Stam, Kim Goodman. [SPEAKER CHANGES] Calendar. And there is objection to this conference report being to today's calendar? Again, this is Senate Bill 14. Is there objection to the bill being added to today's calendar? If not, so ordered. Representative Hager is recognized to send forth a conference report. The clerk will read. [SPEAKER CHANGES] To President of the Senate, the Speaker of the House of Representatives, to conferees appointed to resolve the difference between the Senate and the House of Representatives on Senate Bill 20, a bill to be entitled an act to update the references to internal revenue code to decouple from certain provisions of the Federal Tax Increase Provision Act of 2014, to modify the motor fuels tax rate, and to make certain reductions within the Department of Transportation for the 2014/2015 fiscal year. House Committee Substitute favorable 3/3/15, fifth edition engrossed 3/5/15, submit the following reports, conferees of the Senate, Tom Apodaca, Chair, Warren Daniel, Kathy. Conferees from the House of Representatives, William Brawley, Chair, Mike Hager, Edward Haines, Jr. [SPEAKER CHANGES] Members, this is the bill the Chair had previously announced was being looked at it being added to today. However, it's been determined that the conference report is material, therefore the Chair rules it is material. As a result, it is eligible to calendared on Monday, March the 30th, it will be calendered for Monday, March the 30th. For what purpose does the gentleman from Chowan, Representative Steinburg, rise? Alright, Senate Bill 14, the clerk will read. [SPEAKER CHANGES] Senate Bill 14, a bill to be entitled an act to provide funds for the operating expenses of Academic Standards and Review Commission. [SPEAKER CHANGES] The gentleman from Wake, Representative Dollar, has the floor to debate the conference report and for a motion. [SPEAKER CHANGES] Mr. Speaker, I would move the adoption of the conference report. [SPEAKER CHANGES] The gentleman's motion is accepted. The gentleman now has the floor to debate the motion. [SPEAKER CHANGES] The bill went back over to the Senate, we had a good conference, the Senate agreed with and took our recommendations for adjustments that were agreed upon. With respect to the coal ash section of the bill, the Senate agreed to our changes with respect to the Economic Development Partnership Board. We came to an agreement on the provisions that the House had put in with regard to the health information exchange freeing up some money, to keep that operation moving forward for the state. We kept also in the provision that the House had put in with respect to an audit with the local DSS's that was put in by the House. With respect to the first two provisions of the original bill, the House had taken out $100,000 from, that was for the defense of a lawsuit with regard to the Rules Review Commission and the Board of Education. The compromise was not $100,000 but there was a compromise to $50,000 for the purposes of assisting in the defense of that particular suit. As some of you may know some of the provisions were dropped, contingents were dropped from that suit, but not all of them and that money will come out of reversions. And then the conference report also provides, as the underlying original bill provide, $275,000 for the Academic Standards Review Commission from DPI operating costs, LAP salaries and the like. So I would be happy to answer any questions. Everyone on all sides signed off on the conference report and would appreciate your support. [SPEAKER CHANGES] Further discussion, further debate on the motion to adopt the conference report? If not, the question before the House is the adoption of the conference report to Senate Bill 14. So many favoring adoption of the conference report will vote aye, those opposed will vote no, the clerk will open the vote.

The clerk will lock the machine and record the vote, 109 having voted in the affirmative and 4 in the negative. The conference report to Senate Bill 14 is adopted, the Senate will be so notified. Members, given that Senate Bill 20 will not be taken up today, the Chair is inclined, after several comments, that the other matters can simply remain and wait to be dealt with on Monday. The gentleman from Wake's fine with 146, never mind that's been moved to Wednesday. Notices and announcements. For what purpose does the gentleman from Guildford, Representative Johnson, rise? [SPEAKER CHANGES] Mr. Speaker, I wanted to be recorded as a yes vote. [SPEAKER CHANGES] I'm sorry? [SPEAKER CHANGES] I wanted to be recorded as a yes vote. [SPEAKER CHANGES] The gentleman will be recorded as having voted yes on the conference report. For what purpose does the gentleman from Rockingham, Representative Jones, rise? [SPEAKER CHANGES] For an announcement. [SPEAKER CHANGES] The Gentleman is recognized for an announcement. [SPEAKER CHANGES] House Elections Committee will resume immediately after session. [SPEAKER CHANGES] For what purpose does the gentleman from Craven, Representative Speciale, rise? [SPEAKER CHANGES] Make an announcement. [SPEAKER CHANGES] The gentleman is recognized for an announcement. [SPEAKER CHANGES] Homeland Security, Military and Veterans Affairs has been cancelled. [SPEAKER CHANGES] For what purpose does the gentleman from Wayne, Representative Bell, rise? [SPEAKER CHANGES] For an announcement. [SPEAKER CHANGES] The gentleman has the floor for an announcement. [SPEAKER CHANGES] Mr. Speaker, [??] would like to announce that Representative Jamie Boles and Representative Dean Arp have been appointed to deputy whips to serve in the House Republican Caucus. Please join me in congratulating them. Thank you. [SPEAKER CHANGES] For what purpose does the gentleman from Guilford, Representative Johnson, rise? Further notices and announcements. If not, for what purpose does the gentleman from Durham, Representative Hall, rise? [SPEAKER CHANGES] Announcement, Mr. Speaker. [SPEAKER CHANGES] The gentleman has the floor for an announcement. [SPEAKER CHANGES] House Democratic Caucus will meet one hour before session on Monday evening in 1425, one hour before session on Monday evening in 1425. [SPEAKER CHANGES] Further notices and announcements. If not, the gentleman from Harnett, Representative Lewis is recognized for a motion. [SPEAKER CHANGES] Thank you, Mr. Speaker. I move that, subject to re-referrals of bills and resolutions, appointment of conferees... [SPEAKER CHANGES] Receipt of conference reports. [SPEAKER CHANGES] Receipt of conference reports, that the House adjourn to reconvene Monday, March 30th at 7:00 PM. [SPEAKER CHANGES] Representative Lewis moves, seconded by Representative Rucho, just kidding, by Representative Bell that the House adjourn to the stipulations heretofore mentioned, to reconvene Monday, March 30th at 7:00 PM and before we vote, before we vote, members please join me in thanking our pages who'be been here with us all week. Pages, thank you all. And one more matter we're going to slip in under the wire before I call the vote, we have a school group, I believe some are still walking in, visiting. you guys got here right at the end. From Coltrane-Webb Elementary in Concord, North Carolina, thank you all for being here with us, please stand so we'll know you're here. So many in favor of the motion to adjourn pursuant to the stipulations and conditions set forth by the rules chair please signify by saying aye, those opposed no, the aye's have it. The House stands adjourned. To those of you from the school group, we're glad you're here. We actually just finished our business for the week. We've been here since Monday. I hope you all are having a good visit. Are you getting to see some museums and all? This is kind of a chance to rest and relax a minute too? Well we're glad to have you here, as you can see there are 120 House members that serve and everybody's kind of scattering to go home for the week but we're honored you all came with us. Sorry we wrapped up our business before you could see some of the action but we've been in session meetings since 11:00 this morning and dealing with a number of bills, but I hope you guys have a good time. I recommend the Science and Nature Museum. The snakes, that's the coolest thing to see. I hope you guys enjoy your visit and have a nice weekend. Thank you.

House bill 348, short title NC Religious Freedom Restoration Act is re-referred to committee and judiciary 4, fund J1.